UPI merchant fee on payments above ₹2,000 is put off until after Diwali
NPCI will not start the revised merchant discount rate (MDR) on selected UPI person-to-merchant payments above ₹2,000 on 15 October as planned (Moneycontrol, NDTV, Mint). The new date is yet to be announced; the decision came two days before the start (Mint). Dainik Bhaskar puts the planned charge at 0.4 per cent. Earlier in the day the Kerala hotels association said it would stop accepting UPI payments above ₹2,000 from 15 October (The Hindu).
Shops pay the fee, and some may pass it on to customers or stop taking digital payments for larger bills. The delay gives banks and payment firms time to prepare.
You will not face a UPI merchant charge on 15 October. When the date is announced, a bill above ₹2,000 may cost shops more, and some may add a surcharge or ask for cash.
The Kerala hotels association said it would stop accepting UPI payments above ₹2,000 from 15 October because of the fee (The Hindu).
A delay is not a cancellation. Watch for the new date, for the exact payments covered, and for whether merchants add surcharges when it arrives.
DailyDrop India edition No. 10 · Morning · WED., OCT. 14, 2026