UPI merchant fee above ₹2,000 postponed until after Diwali
NPCIPostponed
By Clarifee teamAnnounced Last checked
NPCI’s UPI steering committee postponed the start of the new UPI merchant fee (MDR), which was due on 15 Oct 2026, “keeping in mind the festive season”. It will start right after Diwali, on a date NPCI will announce separately.
What it means for you
For now, UPI payments to your business above ₹2,000 still arrive without an MDR deduction.
See what it would cost you
The calculator uses today’s fee, 0% + 18% GST. Switch on Preview the announced fee to see the announced one: up to ₹2,000: 0% · above ₹2,000: 0.4% (cap ₹300) + 18% GST.
App
Payment method
You receive
₹25,000.00, after ₹0.00 in fees
Announced, deferred by NPCI — start date to be notified.
Read the full explainer: The UPI merchant fee (MDR), explained.
Official sources
Related
- UPI and bank transfers (direct) chargesDirect to your bank
- PhonePe chargesPayment gateway and in-store
- The UPI merchant fee (MDR), explainedGuide
- NPCI FAQ: UPI fee to start after Diwali, date to be notifiedNPCI · 15 Oct 2026
- New process for disputes over wrong UPI merchant categoriesNPCI · 14 Oct 2026
- PhonePe in-store UPI fees will start when NPCI sets the datePhonePe · 14 Oct 2026
- UPI merchant fee set: 0.4% above ₹2,000, capped at ₹300NPCI and Ministry of Finance · 15 Sept 2026
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