UPI Transactions to Get Costly from April 2023: Shocking Update for Google Pay & Paytm

From April 1, 2023, a surcharge of 1.1 percent will be imposed on transactions above Rs 2,000 through Unified Payment Interface (UPI) payment in India.

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The surcharge will be applied to transactions made through Prepaid Payment Instruments (PPI), which includes digital wallets like Google Pay, Phone Pay, and Paytm.

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The surcharge will be paid by customers to the merchant transaction and will affect millions of people.

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Interchange fees are usually associated with card payments and are charged to accept transactions and cover costs.

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A report revealed that 70 percent of UPI transactions are of more than Rs 2,000.

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The National Payments Corporation of India (NPCI) issued the circular and stated that it will be reviewed on or before 30 September 2023.

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