Charges on debit card transactions of up to Rs 2,000 to be lowered by RBI

Mumbai: In order to promote digital payments, the Reserve Bank of India (RBI) lowered merchant discount rates or payments made by debit cards under Rs 2,000, as reported by Economic Times.

Merchant discount rate is the price paid by merchants to banks.

In addition, no charges will be applied by prepaid payments instrument companies on transactions up to Rs 1,000 done through USSD, IMPS or UPI.