Tool profile
Razorpay: cost, fit and limits
Razorpay is a payment gateway and payments suite made by Razorpay Software Limited, with payment aggregation run by Razorpay Payments Private Limited, that lets merchants accept and settle card, UPI, netbanking and wallet payments, mostly in Indian rupees.
What to know first
Razorpay charges 2% + GST per successful payment on its standard pay-as-you-go plan, with no setup fee and no annual maintenance charge. A table footnote on the same pricing page reads 2.15% + GST, and the page does not explain the difference, so confirm the rate before you commit. Funded startups see a 0% offer for 90 days, and larger businesses are quoted individually.
Razorpay at a glance
| Maker | Razorpay Software Limited, India |
|---|---|
| Free plan | Free trial only |
| Entry price | 2% + GST per transaction |
| API access | Yes |
| Category | Best AI Payment Processing Software in 2026, rank 12 of 12 |
| Website | razorpay.com |
Who Razorpay is best for
Indian online merchants
UPI, netbanking, wallets, EMI and Pay Later are all listed under one rate, so a store selling to Indian shoppers can cover the common ways people pay without stacking providers.
Funded startups
The pricing page shows a 0% fee instead of 2% plus a free payment gateway for the first 90 days, requested through a custom plan form.
Small sellers using links and invoices
Payment Links, Payment Pages, Payment Buttons and Invoices share one platform fee, so a seller without a website can still collect money by sending a link.
Teams using AI assistants for payment tasks
The privacy policy describes an MCP connector so assistants such as ChatGPT or Claude can send requests to Razorpay's MCP server on the user's behalf.
Razorpay plans and pricing
| Plan | Price | What it includes |
|---|---|---|
| Standard (pay as you go) | 2% + GST per transaction (table footnote: 2.15% + GST) | Cards, UPI, netbanking, wallets, EMI, Cardless EMI, Pay Later and Credit Card on UPI, with zero setup and zero annual maintenance charges per the pricing FAQ. |
| Funded startup | Custom plan; 0% fee for the first 90 days shown | An offer requested through a Get a custom plan form, with a free payment gateway for 90 days and a pricing plan crafted for each startup. |
| Enterprise | Custom quote | For businesses with monthly revenue above Rs 5,00,000 that collect large volumes; customised pricing comes through contact with sales. |
Checked November 2026.
What Razorpay does
- Instant Settlement add-on
- Instant Settlement is optional, and its pricing applies only when the merchant switches it on, per the pricing FAQ. Without it, settlement follows the standard schedule, which the pages opened do not state.
- Bank-to-bank UPI
- Standard bank-to-bank UPI transfers carry zero MDR, yet the 2% platform fee still applies to the transaction, according to the pricing FAQ. Budget the platform fee even when the payer's bank charges nothing.
- Product modules
- The pricing menu lists Subscriptions, Routes, Smart Collect, Instant Refund, Magic Checkout, TokenHQ and QR Codes, plus Razorpay POS for in-person payments. Which ones cost extra was not checked.
- Developer section
- The site carries an API Reference, an API Playground and onboarding APIs, so developers can test calls before wiring a checkout into a store or app.
- MCP connector
- Section 4a of the privacy policy describes optional AI Integrations: an MCP connector that lets outside assistants send requests to Razorpay's MCP server, which processes only what the user asks it to run.
How Razorpay handles your data
The privacy policy says MCP connector logs are kept for 12 months unless the law requires longer, and that stored personal data is deleted on an erase request. It describes the MCP server as processing only what the user asks it to execute. Whether Razorpay trains models on customer data, where data is hosted and which certifications it holds were not stated on the pages opened, and the trust portal page returned no certification text. Ask the vendor before sending sensitive data.
Where Razorpay falls short in practice
- Two fee figures on one page. The FAQ says 2% + GST, while the product table footnote says 2.15% + GST for the same product. The page does not reconcile them, so the cost on a large volume could differ by 0.15 points.
- India-centered pricing. Prices are shown in Indian rupees and the Enterprise threshold is Rs 5,00,000 a month. International Payments is a separate product on the menu, and its rates were not checked.
- Startup offer is time boxed. The 0% rate for funded startups lasts 90 days and needs a custom plan request. After that, expect the standard rate or whatever plan was crafted for the company.
Works with
Alternatives to Razorpay
Razorpay: common questions
What does Razorpay charge per transaction?
The pricing FAQ says 2% + GST per successful payment with no setup or annual maintenance charge, while a table footnote on the same page reads 2.15% + GST. The page does not explain the gap, so ask Razorpay which rate your account receives.
Does Razorpay charge for UPI payments?
The pricing FAQ says standard bank-to-bank UPI transfers have zero MDR, but the platform fee is still applied to the transaction. The page lists UPI plus 53 other UPI options within the standard plan, so budget for the platform fee.
Is there a discount for startups on Razorpay?
Funded startups see 0% instead of 2% and a free payment gateway for the first 90 days. The offer is requested through a Get a custom plan form, and Razorpay crafts a pricing plan for each startup that applies for it.
Can I connect Razorpay to ChatGPT or Claude?
The privacy policy describes an optional MCP connector that lets assistants such as ChatGPT or Claude send requests to Razorpay's MCP server. It processes only what the user asks it to run, and its logs are kept for 12 months.
When does Razorpay move to a custom quote?
The Enterprise plan applies to businesses with monthly revenue above Rs 5,00,000 (INR 5 lakh) that collect large payment volumes. Pricing is customised through contact with sales rather than published on the page, so expect a quote that depends on volume.