Image result for ONLINE PAYMENTSIn an attempt to push customers towards digital transactions, the Reserve Bank of India (RBI) on Friday capped the Merchant Discount Rates (MDR) for debit card transactions up to R1,000 at 0.25% and for transactions above R1,000 and up to R2,000 at 0.5% of the transaction value till March 31, 2017. The central bank has also asked banks and PPIs to waive off transaction charges on payments of up to R1,000 on the Unified Payment Interface (UPI), Immediate Payment Service (IMPS) and USSD-based systems from January 1 to March 31, 2017. “The above measures shall not apply to ATM transactions,” it added. According to the existing MDR structure for debit card transactions, it had capped the MDR at 0.75% of the transaction amount for value up to R2,000 and not exceeding 1% for transaction amount for value above R2,000.