75% Will Abandon UPI If Charged: Survey

A survey by LocalCircles revealed that 75% of UPI users would discontinue using the service if a transaction fee were imposed. The survey, which received 42,000 responses from 308 districts, highlights the growing reliance on UPI for payments and strong resistance to potential fees.

A survey by LocalCircles has identified that a significant 75% of UPI users will stop using the service if any transaction charge is introduced. The findings highlight the high dependency on UPI, with 38% of users making over half their payments through this platform instead of traditional digital methods like debit or credit cards.

The survey, conducted between July 15 to September 20, gathered 42,000 responses from across 308 districts, although the number of responses per question varied. Specifically, the question regarding transaction fees on UPI had 15,598 responses.

This comes at a time when the National Payments Corporation of India (NPCI) reported a 57% increase in transaction volume and a 44% rise in transaction value for the 2023-24 fiscal year compared to the previous year. UPI transactions crossed the 100 billion mark for the first time, closing at 131 billion transactions, equating to Rs 199.89 trillion in value. LocalCircles intends to present these findings to the Ministry of Finance and the Reserve Bank of India (RBI) to influence their policy decisions regarding any potential MDR charges.