{
  "id": 7595948,
  "title": "UPI MDR Regime Explained: Here’s What Will Be Charged After Oct 15",
  "url": "https://urgent.news/2026/09/15/upi-mdr-regime-explained-heres-what-will-be-charged-after-oct-15",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-09-15T16:36:50.000Z",
  "source": {
    "name": "Inc42",
    "slug": "inc42",
    "url": "https://inc42.com/features/upi-mdr-regime-explained-heres-what-will-be-charged-after-oct-15/"
  },
  "original_language": "en",
  "account": "The Unified Payments Interface (UPI) payment system in India will undergo a significant transformation from October 15, 2026, with the introduction of a merchant discount rate (MDR) on specific transactions. Merchants will now be charged an MDR of 0.4% on person to merchant (P2M) UPI transactions exceeding ₹2,000, with a maximum cap of ₹300 for transactions worth ₹75,000 or higher. This change does not make UPI a paid service for consumers; it adds a commercial element for merchants. Regular P2M transactions above ₹2,000 will incur an MDR of 0.4% of the transaction value, while those below ₹2,000 will remain unaffected by MDR. High-value transactions of ₹75,000 or more will have a capped MDR of ₹300. Small merchants processing up to ₹1 Lakh monthly through UPI QR codes will continue to enjoy zero MDR. Sectors like railways, telecom, insurance, fuel, utilities, and capital markets have been exempted from the standard 0.4% MDR, instead receiving a flat rate of ₹5 for transactions above ₹2,000. The MDR revenue will be distributed among the issuer bank, TPAP, and acquiring bank, ensuring the infrastructure remains financially sustainable while keeping UPI accessible for consumers.",
  "summary": "India’s ubiquitous UPI payment system is set for a significant change from October 15, with the introduction of a merchant…",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}