If you’re one of those folks using Google Pay for online stuff, listen up—this one’s for you. Google Pay just dropped a new rule out of nowhere. Now, if you’re settling bills like power or gas with a credit or debit card, you’re gonna have to dig a little deeper into your wallet. Yep, using Google Pay for bills is starting to feel heavier on the cash! Their website says they’re tacking on an extra 0.5% to 1% on whatever you’re paying, and they’ll throw GST on top of that too. But here’s the bright side—if you’re linked up with UPI and paying from your bank account, you won’t owe them a dime more. This tweak’s hitting the card users hardest, no doubt. Everyone’s saying this is just how digital payment apps roll these days.
They’re pushing for more UPI action to keep their profits up. People in the know reckon it’s a way for these apps to stay afloat while everyone’s jumping on the digital payment train. Fun fact—Google Pay’s got about 37% of the UPI game locked down. In January 2025, they moved 8.26 trillion rupees, only trailing behind PhonePe. It’s not just Google Pay either—big names like PhonePe and Paytm are playing the same game. PhonePe adds a little extra if you pay water or gas bills with a card, and Paytm’s grabbing 1 to 40 rupees as a platform fee for UPI recharges and bills. Keeping UPI running costs these guys a bunch. In 2024, UPI expenses stacked up to around 12,000 crore rupees, with 4,000 crore spent on small payments under 2,000 rupees. To keep digital payments growing, the government said back in 2020 that UPI stuff under 2,000 rupees stays free. Over that, they slap on a 1.1% merchant fee. Even with all this shifting around, UPI’s blowing up in India. January 2025 saw 16.99 billion UPI transactions worth 23.48 trillion rupees. That’s a 1.55% bump in deals and 1% more cash than December 2024, with a 39% yearly spike in action.
What’s Fresh with Google Pay -Google Pay’s got this new thing going that’s stirring the pot. Pay with a card for bills, and you’re looking at a little extra—it’s how they’re keeping the show on the road as digital payments take off.
Cards or UPI: What’s the Catch
They’re adding 0.5% to 1% on card payments, plus GST, but UPI straight from your bank? No extra charge there. Card folks are definitely feeling this one more.
Why They’re Switching It Up
Google Pay’s not alone—PhonePe and Paytm are doing it too. They’re tossing on fees for card payments to cover their bills and get people hooked on UPI instead, which works better for them.
How It Hits You
If you’re all about cards, this stinks a bit—those little fees on power or gas bills pile up quick. UPI users, though, can chill without stressing over extra costs.
