PCI Backs UPI Merchant Charges

The Payments Council of India (PCI) has sought to separate free everyday payments from charges on select merchant transactions to ensure commercial viability of the service. Small merchants, including kirana stores, should not be charged for accepting UPI payments. Consumers will not face any charges for UPI payments. The government has introduced a law that empowers it to permit charges on digital payment transactions. Any merchant service charge would be a commercial arrangement between merchants and payment providers, not a charge on customers.