From 15 October, Unified Payments Interface (UPI) merchant transactions move from a zero-fee structure to a modest, tiered one, a narrow change with wider implications for how India’s payments system sustains itself. The standard fee is 0.4%, applied to person-to-merchant payments above ₹2,000 and capped at ₹300 beyond ₹75,000. Railways, telecom, insurance, fuel, and a few other essential categories pay a flat ₹5 instead, while capital market transactions carry a lower 0.02%, also capped at ₹300. Consumers pay nothing, and transfers between individuals remain free as before. Small and micro merchants are already exempt. Vendors receiving up to ₹1 lakh a month through UPI QR codes stay at zero fee, and this covers more than 95% of all merchant transactions by volume. So, the new fee touches only a small, higher-value slice of commerce, not the everyday retail most Indians associate with UPI.