Top News

Highlights

• Fee on UPI transaction Now ICICI Bank charged fee, will be implemented from 1 August 2025
• Only payment aggregators like razorpay, payu, cashfree will have to be given additional charge
• Customers may have to pay additional money on restaurant, online shopping and food delivery
• Fees rates dependent on the position of the escrow account, the charge can be from ₹ 6 to ₹ 10
• NPCI and RBI believe, keeping UPI free is not possible for a long time

Those who change the face of digital payment in the country Fee on UPI transaction Now it is going to be a bitter truth. ICICI Bank has announced a processing charge on UPI payment under certain circumstances from 1 August 2025. This decision can affect millions of people who pay food, shopping or other services through online medium everyday.

What is the new rule?

Fees will be applied to payment aggregators

According to ICICI Bank, this fee will not be levied directly on the common consumers, but Payment aggregators—Sele razorpay, payu and cashfree – will be applicable. Through these companies, when you pay on a website, app or restaurant, an additional fee can be charged on the respective platforms, which may eventually have to bear the customer.

What will be the rates of fees?

Different charge based on Escrow account

ICICI Bank Fee on UPI transaction Is divided into two categories:

• In ICICI near the aggregators Escrow account Is:
  • 0.02% fee per transaction
  • Up to maximum ₹ 6
• Those who do not have an Escrow account in ICICI:
  • 0.04% fee per transaction
  • Up to maximum ₹ 10

However it has been clarified that Traders who have a current account in the bankNo fee will be charged from them.

What will be the effect on common customers?

Indirectly can increase pocket

Although the customer will not be charged directly, but Fee on UPI transaction Because of e-commerce websites, restaurants or apps can add this charge to the price of your product or service. For example, if you pay on swiggy or amazon, it is possible that you have to pay some extra money.

Which banks have taken these steps before?

Before ICICI Bank Yes bank And Axis bank Has also announced such a fee. The direct indication of this is that now the days of the digital payment system in the country are probably the counting day.

What is the reason for imposing fees?

Financial compulsion of banks

Banks claim that everyone Fee on UPI transaction The reason for planting is that they cost a certain cost on the processing of every transaction. Apart from this, NPCI (National Payments Corporation of India) also has to pay a fee to banks.

Recently, RBI Governor Shaktikanta Das also made a statement that the future of UPI is safe only when for him Sustainable model Be ready That is why now banks are slowly moving towards this model by paying fees.

Will UPI always be free?

RBI has indicated change

The Reserve Bank of India has already considered that Fee on UPI transaction Applying is a possible requirement. In a discussion letter issued in February 2024, the RBI had said that it is necessary to make a fee structure to maintain digital payment ecosystem.

Although the government has so far said that it wants UPI to remain free, but the increasing cost of banks is not making it possible for a long time.

Is there any option for you?

New routes of digital payment

If you Fee on UPI transaction If you want to avoid, some options can be considered:

• Direct Bank Transfer (NEFT/IMPS): These options come with low fee or zero fee.
• Credit/Debit Card Payment from
• Cash payment (Although Digital India will have the opposite steps)

What will be the effect on small traders?

Margin cut or increase in prices

Small traders, who take payment through aggregators like Razorpay or Payu, are now in double difficulty. They will either have to pay this fee from their profits or collect it from customers. From this Fee on UPI transaction Can a major debate cause – is it obstructing the path of digitization?

A new beginning or the beginning of an end?

UPI has made an unprecedented contribution to the imagination of Digital India. but now Fee on UPI transaction The beginning of the imposition shows that even free service is not there forever. Although this fee is not directly on the customer, this may be the first step that can also affect common consumers in the coming time.

It is now necessary to be aware in this changing scenario and understand options.