Currently accepting new projects
Payment Gateway Charges in India: Razorpay vs PhonePe vs Cashfree vs Stripe
Razorpay charges, PhonePe PG, Cashfree, Stripe: every gateway headline looks similar until you add GST, card types and offers that expire. Here are the current published rates side by side, what the terms actually mean, and a calculator to see what you would pay each month.
What you are actually paying for
The short answer: As of November 2026, Razorpay's pricing page lists a standard fee of 2% plus GST per transaction, with no setup or annual fee. PhonePe PG shows a 1.99% Standard Plan, Cashfree lists 1.95% for most domestic methods, and Stripe India lists 2% for Indian cards but is invite-only for new Indian businesses. GST at 18% is added to the fee, so a 2% fee costs you 2.36% of the sale.
Payment gateway charges in India are made of a few different pieces. Gateways do not always use the same words for them, which is why headline rates are hard to compare.
MDR
The merchant discount rate set for card and UPI networks. UPI and RuPay debit have zero MDR under government policy.
Platform fee
The gateway's own charge for its service. This can apply even where MDR is zero, including on UPI.
Read the fine printGST on the fee
18% GST is added to the gateway's fee, not to your whole sale. A 2% fee becomes 2.36%.
Setup and AMC
One-time setup and annual maintenance charges. All four gateways here list zero setup fees.
Razorpay's own FAQ illustrates the first two points well: it says standard UPI has zero MDR, but its 2% platform fee still applies. Always ask what a quoted rate covers.
Current rates side by side
These figures come from each gateway's official pricing page as of November 2026. Rates and offers change often, so open the linked page before you sign up.
| Gateway | Headline domestic rate | International cards | Setup / AMC | Source |
|---|---|---|---|---|
| Razorpay | 2% + GST (RuPay credit card on UPI: 2.15% + GST) | Not broken down on the pricing page | ₹0 / ₹0 | official pricing page |
| PhonePe PG | 1.99% Standard Plan (per-method rates not published) | Page says same pricing structure | Zero / zero | official pricing page |
| Cashfree | 1.95% platform fee (some card types listed at 2%); credit card EMI 2.2% | 2.99% Visa/Mastercard, 2.95% Amex | Zero setup | official pricing page |
| Stripe India | 2% Indian Visa/Mastercard cards | 3% (3.5% Amex), +2% if conversion needed | No setup or monthly fees | official pricing page |
Stripe India is invite-only. Stripe's support page says Indian businesses cannot sign up for a new account through its website; new accounts are by invitation or waitlist, while existing active Indian accounts continue to be supported. Do not plan a launch around Stripe unless you already have an account or an invite.
Offers sit on top of these rates. As of November 2026, Razorpay advertises a 0% fee for the first 90 days, PhonePe PG shows a "Free*" offer with terms applying, and Cashfree runs a new-merchant offer of 0% platform fees on the first ₹20 lakh of volume, with GST still charged. Read the terms: offers end, and the standard rate then applies automatically.
Calculate your monthly gateway cost
Enter your expected monthly online sales. Each row applies the headline rate above plus 18% GST on the fee. It ignores introductory offers, so it shows what you pay once they end.
Rates as listed on each official pricing page, November 2026. Real costs vary with your mix of UPI, cards, EMI and international payments, and high-volume merchants can negotiate custom pricing.
At ₹2 lakh a month, the gap between the cheapest and the dearest headline rate is under ₹200. For most small businesses, success rates, settlement speed and support matter more than a 0.05% difference. A gateway that fails one payment in ten costs far more in lost orders than it saves in fees, so test on real phones with real UPI apps before you commit.
Where the money goes on one order
A ₹1,000 order on a 2% + GST gateway
On Shopify, a separate Shopify transaction fee applies on lower plans, because Shopify Payments is not available in India.
If you sell on Shopify, add that platform fee to your sums. Our guide to Shopify plans and pricing in India includes a calculator for the combined cost.
Which gateway suits which business
Razorpay
Mature dashboard, wide plugin support for WooCommerce, Shopify and custom code, plus payment links and subscriptions.
Safe default for mostPhonePe PG
Familiar brand for UPI-heavy customers. Ask for the per-method rate card, since the public page shows only the headline plan.
UPI-first audiencesCashfree
Lowest headline rate of the four, clearly published international rates, and payouts if you also send money out.
Rate-conscious sellersStripe India
Strong for international cards and developer tooling, but closed to most new Indian sign-ups right now.
Existing accounts onlyPeople searching "phonepe payment gateway charges" often expect UPI to be free. Zero MDR on UPI does not mean the gateway charges nothing, so get the rate in writing for each method you will use.
How to choose without regret
- Estimate your payment mix
Split expected sales into UPI, debit cards, credit cards, EMI and international. The cheapest gateway depends on this mix.
- Get the full rate card
Ask for per-method rates, GST treatment, refund fees and chargeback fees, not just the headline.
- Check your platform
Confirm there is a maintained plugin or app for your site: WooCommerce, Shopify or custom code.
- Read offer terms
Note when introductory pricing ends and what rate applies after.
- Test before launch
Run real low-value payments on mobile with UPI and cards, and check refunds and settlement reports.
If you are budgeting a new site alongside the gateway, our guide to website design cost in India covers the build side.
Frequently asked questions
What are Razorpay charges per transaction?
As of November 2026, Razorpay's pricing page lists a standard fee of 2% plus GST per transaction, with no setup or annual maintenance fee. RuPay credit cards on UPI are listed at 2.15% plus GST. Merchants above about ₹5 lakh a month can ask for custom pricing.
What are PhonePe payment gateway charges?
As of November 2026, PhonePe's pricing page shows a Standard Plan at 1.99% with zero setup and annual fees, plus a "Free*" offer with terms applying. It does not publish per-method rates, so ask PhonePe for the full rate card.
Is Stripe available in India?
Stripe India is invite-only. Stripe's support page says Indian businesses cannot sign up for a new account through its website, though existing active accounts are still supported. New businesses can request an invite or join the waitlist.
Is UPI free on payment gateways?
UPI has zero MDR, but gateways can still charge a platform fee on UPI payments. Razorpay's FAQ, for example, says its 2% platform fee applies to standard UPI. Check each gateway's terms.
Is GST charged on payment gateway fees?
Yes. GST at 18% is charged on the gateway's fee, not on your full sale amount. A 2% fee therefore costs 2.36% of the transaction value.
Which payment gateway is cheapest in India?
On published headline rates as of November 2026, Cashfree at 1.95% is lowest of the four, but the difference is small. Your payment mix, success rates, offers and support matter more for most small businesses.
Need a gateway connected to your site?
We integrate Razorpay, PhonePe PG, Cashfree and other gateways into WordPress, WooCommerce and custom-built sites, and test the full payment flow before launch. Get a fixed quote within one business day on our website development page.
Get a fixed quoteWebsite development
Only to see which pages help and which don’t. Nothing is sold, nothing is used for advertising, and declining changes nothing about how the site works. More in our privacy policy.