Hyderabad: The National Payments Corporation of India (NPCI), which has announced the interchange fee on the Unified Payments Interface (UPI) transactions over Rs 2000 from Apr. 1, on Wednesday clarified that the interchange charges will be only applicable for the Prepaid Payment Instruments (PPI) merchant transactions adding no charges will be levied on customers.
In a press statement, the NPCI, an umbrella organisation for all retail payments system in India, said that interchange charges introduced are only applicable for the PPI merchant transactions and there is no charge to customers. “It is further clarified that there are no charges for the bank account to bank account based UPI payments (i.e. normal UPI payments),” the NPCI statement read.
“With this addition to UPI, the Customers will have the choice of using any bank accounts, Rupay Credit card and prepaid wallets on UPI enabled apps,” it added. The statement came close to the heels of the NPCI announcement that transactions over Rs 2000 on UPI through the PPIs will be charged 1.1 percent effective from Apr. 1.