๐ Medial Secures Investment on Shark Tank India - Fueling the Future of Professional Social Networking. ๐ฅ
โ
Login
Home
News
Messages
Startup Showcase
Trackers
Premium
Premium Content
Jobs
Notifications
Settings
Try our Valuation Calculator โ
Log In
News on Medial
Government considering return of merchant charges on UPI, RuPay
Economic Times
ยท
5m ago
Medial
The Indian government is considering reintroducing merchant discount rates (MDR) on UPI transactions and RuPay debit cards for large merchants with annual turnover over Rs 40 lakh. Presently, no MDR is charged on these digital payments. Industry insiders argue that reintroducing the fee would alleviate the financial burden on banks and payment aggregators, which have seen increased compliance costs and lower budget allocations for processing subsidies. Smaller merchants with turnover under Rs 40 lakh would continue without MDR charges.
View Source
Related News
No merchant discount rate on UPI transactions
Economic Times
ยท
1m ago
Medial
The Indian government reaffirmed its support for digital payments via the Unified Payment Interface (UPI) by confirming there will be no merchant discount rate (MDR) on UPI transactions. Any speculation regarding MDR charges on these transactions is baseless, as zero MDR has been applied since January 2020 for RuPay debit cards and BHIM-UPI transactions. The government continues to promote digital transactions and supports the payment ecosystem through incentive schemes for low-value transactions.
View Source
UPI payments above Rs 3,000 may attract charges: Report
Economic Times
ยท
1m ago
Medial
The Indian government is considering reintroducing merchant charges on Unified Payments Interface (UPI) transactions over Rs 3,000 to enhance revenue streams. Currently exempt, the proposed fees would apply to larger transactions, exempting small-ticket items. This change aims to balance financial sustainability for banks and payment providers, following the removal of Merchant Discount Rates (MDR), while keeping UPI favorable for small merchants. Meetings have been held to reassess the policy framework as UPI transactions dominate the digital payment landscape.
View Source
Rupay credit card payments through UPI hits the MDR speedbreaker
Money Control
ยท
1y ago
Medial
Rupay credit card transactions on UPI have increased from Rs 50-60 crore daily in May to Rs 100 crore daily in October, with Rupay's share of new credit card issuances growing to 25%. However, around 15-20% of merchants have requested their banks to disable Rupay credit card payments on UPI due to the higher merchant discount rate (MDR). The fear of lower or zero MDR for Rupay credit cards on UPI has led to a scramble among banks to distribute more Rupay credit cards to safeguard their interchange fees.
View Source
UPI Lite and wallet-based pay off to a slow start on zero-MDR bottleneck
Economic Times
ยท
2m ago
Medial
The National Payments Corporation of India's (NPCI) initiatives like UPI Lite, wallet-based payments, and UPI through RuPay credit cards aim to ease the banking system's load for small transactions. Yet, only recurring payments and credit cards via UPI have gained traction, while others struggle due to limited awareness and adoption. Barriers include the zero merchant discount rate, unresolved interchange rates for wallet-based UPI, and the high costs for banks to implement these new features without assured return on investment.
View Source
To ease financial squeeze, fintechs mull seeking MDR restoration or higher subsidy
Economic Times
ยท
4m ago
Medial
The fintech industry is urging the Indian government to restore merchant discount rates (MDR) or increase subsidy allocations for Unified Payments Interface (UPI) transactions, claiming the current Rs 1,500 crore allocation is insufficient for growth. The government recently removed incentives on RuPay debit cards and large merchant transactions, further straining the sector. Industry leaders suggest introducing a low MDR for merchants with higher turnovers to address funding issues while maintaining zero MDR for smaller merchants.
View Source
Subsidy on small-value UPI payments cut, banks look for ways to offset cost - The Economic Times
Economic Times
ยท
7d ago
Medial
The Indian government has reduced incentives for small-value UPI payments, impacting banks by further squeezing their revenue. Previously, incentives for processing such transactions at small merchant outlets were cut from 0.25% to 0.15%. This change, along with the withdrawal of incentives for RuPay debit cards and large merchant UPI payments, has forced banks to consider passing costs to partners or customers. The reduction reflects a budgetary cut for digital payment incentives from Rs 3,500 crore to Rs 1,500 crore.
View Source
Flipkart-backed Super.money climbs UPI rankings in Feb as leaders see volumes dip
YourStory
ยท
4m ago
Medial
Super.money has climbed to the fifth-largest position among UPI platforms, surpassing Cred and Axis Bank Apps by processing 139.1 million transactions in February. Despite PhonePe and Google Pay retaining top spots, overall UPI transactions saw a decline. Paytm remained third with a smaller transaction drop. The Indian government reduced the budget for promoting RuPay and BHIM-UPI incentives, which are crucial for facilitating low-value transactions amidst the absence of Merchant Discount Rate fees.
View Source
Government cuts funding for RuPay and BHIM-UPI incentive scheme in Budget 2025
YourStory
ยท
6m ago
Medial
The Indian government has reduced funding for the RuPay and BHIM-UPI incentive scheme from Rs 2,484.97 crore in FY 2023-24 to Rs 437 crore by FY 2025-26, cutting it by 82%. Initially set at Rs 1,441 crore for FY 2024-25, incentives were later revised to Rs 2,000 crore. UPI incentives are crucial due to the eliminated Merchant Discount Rate (MDR), supporting small players in digital payments. With UPI's market share growing to 83%, NPCI extended the compliance deadline for third-party app volume limits to 2026.
View Source
UPI integration gives a fillip to RuPay credit cards distribution
Economic Times
ยท
1y ago
Medial
Around 30% of new credit cards in India are now issued on the RuPay network, following the linking of Unified Payments Interface (UPI) with RuPay credit cards. Prior to this integration, RuPay cards accounted for only 5% of new credit card issuances. Large banks are actively issuing RuPay credit cards to meet customer demand, including co-branded cards running on the RuPay platform. However, transaction growth has not kept pace with card issuance. Some banks are concerned about losing credit card customers to popular UPI payment applications, which may cross-sell additional financial products to customers.
View Source
Govt May Impose MDR on UPI Payments Over INR 3,000 to Cut Banking Strain
StartupTalky
ยท
1m ago
Medial
The Indian government is considering reintroducing the Merchant Discount Rate (MDR) on Unified Payments Interface (UPI) transactions above INR 3,000 to alleviate financial burdens on banks and payment providers. Since January 2020, a zero-MDR policy has been in place, but it has been financially unsustainable. A proposed change could see larger transactions incurring MDR, while smaller ones remain free. The Payments Council of India suggests a 0.3% MDR for large merchants to support digital payment infrastructure.
View Source
Trackers
Active Indian VCโs
OG Capital
Email
With a hands-on approach, OG Capital aims to invest in over 20 promising...
Accel Partners
Email
Early and growth-stage investments in disruptive technology companies with...
Blume
Email
Early-stage venture capital firm investing in technology startups in India. Focus on...
Access All Trackers
Startup Showcase Winners
June 2025
Buddy
Helping your parents when you are miles away
BiteStop
The Pit Stop Your Cravings Deserve
Bloomer
The next generation E-commerce platform
Enter Ongoing Startup Showcase
Top Users
Trending News on Medial
Download the medial app to read full posts, comements and news.
Go to Medial App
Not Now
Know everything thatโs happening in the startup ecosystem, first.
Enable Notifications?
No, thanks
Count me in