HomeTechnologyPayment fintechs are getting squeezed as banks add charges for UPI merchant transactions

Payment fintechs are getting squeezed as banks add charges for UPI merchant transactions

Anand J & Bhavya Dilipkumar • July 31, 2025 / 13:55 IST

The bank charges are limited to those accounts where the PAs use the banks for merchant acquisition. Since the fees is 0.02%, PAs are likely to absorb the cost and are not expected to pass these to merchants immediately

Banks impose charges for merchant UPI transactions

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