UPI stays free for users, vast majority of transactions to remain free for merchants as well, says government

Consumers making UPI payments will not face any transaction charges, said the Union government on Saturday.

“All person-to-person transactions will continue to be free of charge,” stated the Union Ministry of Finance.

The clarification came two days after the Lok Sabha passed the Taxation and Other Laws Amendment Bill 2026, which would allow banks and other service providers to levy charges on payments through UPI and RuPay debit cards.