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🚨 BIG! Offline UPI Payments in the Works! NPCI is developing a system that will let users pay up to ₹2,000 from PRELOADED UPI Lite balances. — This will work even when both the phone and terminal are offline 🤯 No PIN required. The transaction is stored and settled...

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#WATCH | Bengaluru, Karnataka: On UPI MDR transaction charges, Chartered Accountant Mohandas Pai says, "The recent decision regarding MDR and UPI is a welcome move. It is important to look at the data: 96% of UPI transactions will not be affected by MDR at all. Because roughly 70% of all payments are person-to-person (P2P)—which carry no charges whatsoever. The remaining payments below ₹2,000 are also completely exempt. Only transactions above ₹2,000 will be subject to a nominal MDR. It is important to clarify that MDR is not a tax. It is a payment made to the banks and payment providers, similar to how credit cards work. When you use a credit card, merchants pay a processing fee to the credit card company and the bank. Furthermore, if someone needs to make a payment of ₹2,500, most people will simply split it into two smaller payments. By paying ₹1,500 and ₹1,000, they easily remain below the ₹2,000 threshold. Why is MDR required now? We operated under a completely free regime for a long time, placing the heavy burden of investment entirely on banks, fintech startups, and digital payment companies. The financial losses and capital investments required to maintain this infrastructure have been huge. In the past, UPI experienced transaction failure rates as high as 15% to 30% due to sudden surges in volume. With transaction volumes expected to grow from 24 billion to 50 billion in two years, the entire IT infrastructure must be upgraded to support real-time processing. Who is going to fund that upgrade? If banks bear the entire cost, it ultimately impacts depositors. Instead, the cost will now be shared by merchants who directly benefit from offering online payments..."

ANI

128,788 Aufrufe • vor 2 Tagen