Razorpay vs. PayU vs. Cashfree: The Ultimate 2026 Guide for Indian Businesses

By WovLab Team | March 10, 2026 | 3 min read

Beyond the MDR: A Head-to-Head on All Transaction Fees and Setup Costs

For any Indian business, the first question when evaluating payment gateways is cost. While the Merchant Discount Rate (MDR) is the headline figure, it's merely the starting point. A true cost analysis requires looking at the full spectrum of fees. The choice in the razorpay vs payu vs cashfree india debate often hinges on these hidden details. In 2026, with digital payments being the default, understanding the nuance between a percentage point and a platform fee can make or break your profitability.

Standard transaction charges (TDR) for domestic cards and net banking hover around 2% plus GST for all three providers on their standard plans. However, the differentiation lies in their offerings for high-volume merchants and the fees for other essential services. UPI transactions are often free to attract merchants, but a fee can apply above a certain monthly volume. International transactions are another battleground, with currency conversion fees and higher MDRs that can significantly eat into your margins.

A common mistake is ignoring Annual Maintenance Charges (AMC) and setup fees. While often waived for basic plans, premium features or custom enterprise plans can introduce these fixed costs. Always clarify this during onboarding.

Here’s a breakdown of typical standard plan pricing you can expect in 2026. Remember, these rates are always negotiable based on your transaction volume and business history.