Yes and no. UPI payments are free of cost for most bank customers.

However, Kotak Mahindra Bank, recently informed its customers that it will start charging for UPI transactions starting May 1, 2019. The bank said every month, for each Kotak Bank account, the first 30 UPI fund transfers will be free, after which a charge will be levied on all fund transfers from the bank account. This will be applicable across all platforms, including Paytm, PhonePe, Google Pay or Truecaller Pay among others. The bank will charge Rs 2.50 per transaction for an amount value below or equal to Rs 1,000, and Rs 5 per transaction will be levied for a payment value above Rs 1,000.