The Reserve Bank of India (RBI) has decided that there would be no fee for UPI transactions up to Rs 2,000 while using the Rupay Credit Card. In a recent circular, the RBI provided instructions in this regard.
The Rupay credit card has been in use for the past four years since the circular took effect on October 4. It is connected to all of the country’s main banks. “The procedure of attaching the credit card on the app and generating the UPI PIN requires the customer’s agreement to enable the credit card in all types of transactions,” the RBI circular that was released on October 4 stated.
2,000 or less, according to NPCI, credit cards would also be subject to the app’s current procedure for handling overseas transactions. Additionally, it stated that for up to a transaction amount of Rs 2,000 or less, there will be no merchant concessional rate (MDR) payable for this category.
According to the information provided by the RBI, this circular will be effective as of its publication. This means that as of October 4th, this rule is in effect. Additionally, RBI stated that members are urged to take note of this and inform the relevant parties of its contents.
The goal of integrating credit cards with UPI is to give customers more payment alternatives, according to RBI Deputy Governor T Ravi Shankar. Currently, debit cards are used to connect UPI to savings or current accounts.
News Mania Desk
