Convenience Fee on Card Payments & Real-Time Passbook Entries

This is to clarify the recent updates regarding the convenience fee on card transactions so that everyone is on the same page.

1. The convenience fee for card payments started being charged through Razorpay on 7th July 2025.

2. Initially, the corresponding entries for convenience fees were not reflected in the Passbook. So, we are manually raising invoices for the convenience fee charged between 7th July and 14th August 2025.

3. From 14th August 2025 onwards, convenience fee entries have been automated and are now visible in the Passbook.

4. We also observed that some transactions were using UPI with RuPay Credit Cards. So, we have implemented an additional check for this scenario, which went live on 28th August 2025. 

The finalized SOP for the 2% + GST convenience fee on wallet recharges made through credit cards (Razorpay only). This should help us align internally and respond consistently to seller queries. 

• • Applies only on: Razorpay credit card transactions.

  • Not applicable on: UPI, Net Banking, Debit Cards, Wallets, Smart Collect, or Quick transactions.

  • Visibility:

    • Fee shown at Razorpay checkout after payment method selection.

    • Reflected in Seller Panel → Passbook.

    • Monthly VAS invoice generated for the fee.

• Examples

  • If a seller recharges ₹1,00,000 via credit card →

    • Wallet gets credited with ₹97,640.

    • A VAS entry of ₹2,360 (2.36%) is raised in real-time.

    • Invoice for this fee is issued at month-end.

  • For Unsecured Postpaid clients →

    • The billed invoice (₹1,00,000) is considered fully paid.

    • A separate VAS invoice of ₹2,360 is generated for the convenience fee.

    • If this fee is again paid via credit card, another convenience charge may apply (can be avoided by paying through UPI/Netbanking).

• Refunds & Cashback

  • Refunds: Only the net credited amount (e.g., ₹97,640) is refunded, not the full recharge.

  • Cashback: Fee is not included in cashback calculation.

• Action Items for Teams

  • Support/KAMs – Be clear with sellers on:

    • Why the fee is applied.

    • Alternate payment methods (UPI/Net Banking) to avoid charges.