No charge on normal UPI payment; interchange fee applicable for PPI merchant transactions: NPCI

National Payments Corporation of India (NPCI) on Wednesday said there is no charge for the bank account to bank account-based UPI payments or normal UPI payments.

However, interchange charges are applicable only for the prepaid payment instruments (PPI) merchant transactions and there is no charge to customers, NPCI clarified in a statement.

NPCI has permitted the PPI wallets to be part of interoperable UPI ecosystem and levied 1.1 per cent charge on unified payment interface (UPI) transactions above Rs 2,000 while using PPI.