New Delhi, Sept. 16 -- * All person-to-person transactions to remain free
* MDR will apply to specified merchant transactions above Rs. 2,000
The Union Government yesterday announced the Merchant Discount Rate (MDR) regime for UPI transactions. The new UPI framework introduced will have no impact on any person-to-person transactions. It will continue to remain completely free for all person-to-person transactions, irrespective of the amount transferred.
It is clarified that MDR is neither a tax nor a charge collected by the Government or National Payments Corporation of India (NPCI). It is distributed among payment ecosystem participants, including banks and payment application providers, to support the operation and continued expansion ...