What happened
NPCI circular effective 15 Oct 2026 caps UPI MDR.
NPCI has capped UPI MDR at ₹300 for transactions above ₹75,000.
The 0.4% P2M rate applies above ₹2,000, with 97.5% of transactions staying free.
Yes Bank leads payer share with over 50% of the revenue slice.
Timeline
- 16 Sep 2026 — The Hindu reports
- 15 Oct 2026 — Effective
Why it matters for me
Merchants pay at most ₹300 on large UPI orders.
Money
Merchants
High-value UPI transactions above ₹75,000 now face a ₹300 MDR cap.
Money
Fintech Banks
TPAPs PhonePe (46%) and Google Pay (32%) dominate UPI revenue share.
What to remember
UPI MDR now capped at ₹300 above ₹75,000.
UPI MDR capped at ₹300 — who gains most?
Verified sources (2)
Who has to pay MDR on UPI
↗MDR FAQs
↗Claims and linked sources
4 claimsUPI MDR capped at ₹300 for transactions above ₹75,000 from 15 Oct 2026.
UPI P2M transactions above ₹2,000 attract a 0.4% MDR rate.
MDR revenue splits 40% payer bank, 30% merchant bank, 20% TPAP, 10% PSP.
Yes Bank holds over 50% of payer bank share in UPI MDR revenue.