RBI moots ‘tiered’ charge on payments through UPI, seeks public feedback

The Reserve Bank of India (RBI) has sought feedback from stakeholders on the possibility of imposing a “tiered” charge on payments made through the Unified Payments Interface (UPI), based on different amount bands.

The RBI’s discussion paper on charges in payment systems, released on Wednesday, seeks to structure its policies and streamline the framework of charges for different payment services or activities, such as UPI, IMPS (Immediate Payment Service), NEFT (National Electronic Funds Transfer), RTGS (Real-Time Gross Settlement), and payment instruments including debit cards, credit cards, and prepaid payment instruments (PPIs).