The Finance Ministry on Monday notified that UPI transactions of up to Rs 2,000 and payments made using RuPay debit cards will not attract any charges.

In a notification dated September 14, the Ministry of Finance’s Department of Financial Services said the Centre was exercising powers under Section 10A of the Payment and Settlement Systems Act, 2007 to specify the electronic modes of payment that would attract no charge.

The notification covers RuPay-powered debit cards and UPI transactions up to Rs 2,000.

The notification states that no bank or system provider can directly or indirectly impose any charge on a person making or receiving a payment through these specified modes. The move effectively provides statutory protection against charges for UPI transactions within the Rs 2,000 threshold.

“No bank or system provider shall impose, whether directly or indirectly, any charge upon a person making or receiving a payment by using the electronic modes of payment specified in paragraph above,” the notification said.