UPI transactions more than 20 times may cost you around ₹5; details inside

BHIM UPI payments have become key to which many people are making payments every day. From money transfers to paying bills, users can send and receive money quickly and quite easily. However, private banks are w going to charge you money if you exceed a limit of 20 transactions. 

Private banks are going to charge you around Rs 2.5 to Rs 5 after every transaction 

Private banks will w be charging you around Rs 2.5 to Rs 5 for P2P after every, as per siting on official sites of respective banks. However, official websites of banks reveal that "re are charges for 'Received money' transactions on UPI". This means if your total transaction for month is 70. But, you only made 20 payments and rest 50 is received amount, you will t be charged extra.

official site of ICICI Bank, Axis Bank and Kotak Bank will charge a user Rs 2.50 for transactions up to Rs 1000 and Rs 5 for transactions beyond Rs 1000, once y have exceeded 20 UPI transactions. HDFC Bank's official portal reveals that bank is going to charge Rs 2.75 for transactions up to Rs 1000 and Rs 4.75 for transactions beyond Rs 1000 after limit of 20 UPI transactions is complete.

Also Read | Amazon's New World shows 'failed to aunticate with Persona'; Here's a potential fix

Should private banks charge you for your UPI transactions?

According to WorldProNews, RBI spends around Rs 5,000 crore annually to print cash but as world is shifting towards digital payments, re are certain savings incurred by organisation.

A report published by Ashish Das, a Professor of Statistics at Indian Institute of Techlogy Bombay, sites guidelines imposed by Government through Section 10A which says, “10A. twithstanding anything contained in this Act, bank or system provider shall impose any charge upon anyone, eir directly or indirectly, for using electronic modes of payment prescribed under section 269SU of Income-tax Act, 1961”.

Das also revealed that BHIM UPI transactions have increased from 2019 to 2020 and this is reason why banks are eyeing this limit on transactions. 

Also Read | Hinge app t working issues logged out users; it says 'We hear you'

As we all are aware that 2020 has been quite ecomically challenging for country. Whereas people shifting to online payments has t only reduced earnings that private banks received once a person used to do card transactions but it has also made it quite hard to substantiate money. However, Prof Das also brings to tice of what should be done to avoid harassing private banks and users at same time.

Also Read | Windows 95 turns 25, stalgic Microsoft says "Start me up" again

He reveals that government's directives regarding UPI transaction by mentioning that “RBI and Banks will absorb se costs from savings that will accrue to m on account of handling less cash as people move to se digital modes of payment”. This explains that government has reportedly stated that RBI and banks should use cost from savings that come as people shift to cashless transactions which reduce need to invest more on printing cash.

Also Read | Reliance Jio introduces ₹499 & ₹777 prepaid plans with free Disney+ Hotstar subscription