Govt confirms UPI person-to-person transactions will remain free of charge

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The Ministry of Finance has officially clarified that UPI users will not face any charges for making payments on the platform. All person-to-person (P2P) transactions will continue to be free, the government confirmed in a press release. The ministry also addressed concerns around the Merchant Discount Rate (MDR), stating it has not been introduced yet. Should MDR be implemented in the future, it would apply only to a specific and limited category of merchant transactions exceeding a defined threshold, leaving everyday users unaffected.

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