What does Razorpay charge in India?

2% per successful transaction on domestic cards, UPI and netbanking, and up to 3% on international cards. Setup and annual maintenance are both ₹0, and 18% GST applies to the platform fee rather than the transaction value.

Which payment gateway should an Indian funnel use?

Any domestic gateway that handles UPI cleanly on mobile. Razorpay, Cashfree, PayU and Instamojo compete in a similar band, so check current published rates directly rather than relying on comparison tables.

How quickly does payment settle in India?

Typically T+1 or later, and new accounts sometimes sit on longer cycles. If you are running daily ad spend against delayed settlement, plan the cash-flow gap before scaling.

Payment Gateway Costs in India

Before you build a funnel in India, settle how money will actually reach your bank account. It constrains the rest of the build more than people expect.

What Razorpay charges

Taken from their published pricing page and verified in July 2026.

Item	Rate
Domestic cards, UPI, netbanking	2% per successful transaction
International cards	up to 3% per successful transaction
Setup fee	₹0
Annual maintenance	₹0
GST on the platform fee	18%

The 18 percent applies to the fee, not to your transaction value. On a ₹35,000 sale the platform fee is ₹700 and the GST on that fee is ₹126.

Other Indian gateways including Cashfree, PayU and Instamojo compete in a similar band. I have not verified their current published rates myself, so check their pricing pages directly rather than trusting a comparison table written by someone selling one of them.

Why UPI decides the architecture

Most Indian consumer payments happen over UPI. If your checkout does not handle it cleanly on a phone, your conversion rate suffers regardless of how good the page is.

This is also why Stripe-centric funnel platforms create friction here. Stripe India operates on a request-an-invite basis rather than open self-signup, so most Indian businesses collect through a domestic gateway, and any platform built assuming Stripe needs a bridge.

The detail that catches new businesses out

Settlement timing. Money does not arrive instantly. Standard settlement is typically T+1 or later, and new accounts sometimes sit on longer cycles until history builds.

If you are running ads, you are paying Meta daily while revenue arrives on a delay. That gap is a cash-flow problem rather than a profitability problem, and it has caused more panic than any conversion rate ever has. Plan for it before you scale spend.

What to sort before building

Business registration and bank account in the business name.
KYC documents ready, because verification is where launches slip.
A decision on whether you need EMI, which measurably changes conversion above roughly ₹20,000.
A refund policy written before the first sale, not after the first dispute.

On subscriptions

Recurring payments in India involve mandate rules that are stricter than in most markets. If your offer is a monthly subscription, confirm exactly how your gateway handles mandates and what the customer has to approve, before you design the pricing.

A one-time payment funnel is meaningfully simpler to launch. For a first offer, that simplicity is usually worth more than the recurring revenue you are giving up.

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