India, Aug. 9 -- The Government on Saturday categorically stated that consumers and small merchants will continue to enjoy free Unified Payments Interface (UPI) services to allay fears regarding the levy of charges on such transactions following the passage of a Bill to amend the Payment and Settlement Systems Act, 2007.

However, a nominal Merchant Discount Rate (MDR) for merchants will be applicable as and when charges are introduced.

"They will apply only to a limited set of merchant transactions, above a certain threshold, at a nominal rate, far lower than debit or credit card MDRs," the finance ministry said in a statement.

The statement comes two days after the Lok Sabha passed a Bill to amend the Payment and Settlement Systems Ac...