IRCTC waives service fee for offline card payments; why not online payments too?

By ( @Sallu_SH

Indian Railways will not charge service fee on payments made via cards, while purchasing train tickets at railway platforms, reports The Hindu.

Service charge levied on net banking and card payments for tickets booked on IRCTC’s online ticket portal remain the same.

It’s worth noting that earlier this year, the Union cabinet had decided to remove surcharge and service tax on online payments charged by government organizations and other ministries. But IRCTC’s revenues would get impacted by the move as banks charge an interchange fee while handling card transactions online, which ends up being part of the service charge that is transferred to consumers.

IRCTC portal charges a service fee of Rs 20 (including additional tax) for second & sleeper class tickets and Rs 40 (including additional tax) for first class & AC tickets. IRCTC’s online site claims to receive 4.5 to 5 lakh bookings per day on an average. More info

Author: admin