The Unified Payments Interface platform Google Pay will charge you if you use it for electricity or gas bill transactions. If a user makes a bill payment through a debit or credit card, the UPI platform will charge a fee ranging from 0.5% to 1% of the transaction value and the Goods & Services Tax. 

The tech giant had introduced a fee of Rs 3 on mobile recharges in 2023. The fresh move has been termed a “convenience fee”, the Economic Times reported. 

The report mentioned that a customer was charged Rs 15  as a “convenience fee” when he made payment through credit cards. This fee was a processing fee for credit or debit cards, including GST. 

A person familiar with the development said Google Pay’s new initiative of charging processing fees is a significant step where the platform charges for the transactions as the platform is looking to make up the transaction cost. 

Processing fees have become a new normal as several fintech institutions pass the transaction cost to customers. Google Pay’s website describes it as covering the cost of payments through debit and credit cards, but the website did not reveal when the changes have been made. 

Other UPI platforms like PhonePe and Paytm also charge for bill payments if they are made through credit or debit cards.