Razorpay vs Cashfree vs Instamojo for Selling Ebooks and Courses (2026 Fees)

For selling ebooks and courses in India, Razorpay charges 2% + 18% GST per sale, Cashfree charges 1.95% + GST, and Instamojo charges 2% + ₹3 + GST on payment links but 5% to 10% + ₹3 on digital products sold through its store. On a ₹499 ebook you keep about ₹487 with Razorpay or Cashfree and about ₹484 with an Instamojo payment link. Cashfree has the lowest standard rate and a festive offer for new merchants. Razorpay is the most widely used, and Instamojo is the simplest to set up but the costliest if you use its digital-product store.

Fees checked on razorpay.com/pricing, cashfree.com/payment-gateway-charges and instamojo.com/pricing on 20 October 2026. These are researched comparisons from official pages, not hands-on tests.

Fee comparison table (standard plans, 2026)

Sources: Razorpay pricing, Razorpay international cards, Cashfree charges, Instamojo pricing.

How much does each gateway take on a ₹499 ebook?

This assumes a domestic UPI or card payment at standard rates.

Razorpay (2% + 18% GST)

• Fee: ₹499 × 2% = ₹9.98
• GST: ₹9.98 × 18% = ₹1.80
• You keep: ₹499 − ₹11.78 = ₹487.22

Cashfree (1.95% + 18% GST)

• Fee: ₹499 × 1.95% = ₹9.73
• GST: ₹9.73 × 18% = ₹1.75
• You keep: ₹499 − ₹11.48 = ₹487.52

Instamojo payment link (2% + ₹3 + GST)

• Fee: ₹9.98 + ₹3 = ₹12.98
• GST: ₹12.98 × 18% = ₹2.34
• You keep: ₹499 − ₹15.32 = ₹483.68

Instamojo free store, digital product (10% + ₹3 + GST)

• Fee: ₹49.90 + ₹3 = ₹52.90
• GST: ₹9.52
• You keep: ₹499 − ₹62.42 = ₹436.58

The ₹3 fixed fee hurts more the cheaper your product. On a ₹99 workshop it's 3% of the price on its own, so an Instamojo payment link costs ₹99 × 2% + ₹3 = ₹4.98 + GST ₹0.90 = ₹5.88 (5.9%). Razorpay costs ₹1.98 + ₹0.36 = ₹2.34 (2.4%) on the same sale.

And on a ₹10,000 course?

• Razorpay: ₹200 + ₹36 GST = ₹236, so you keep ₹9,764
• Cashfree: ₹195 + ₹35.10 GST = ₹230.10, so you keep ₹9,769.90
• Instamojo payment link: ₹203 + ₹36.54 GST = ₹239.54, so you keep ₹9,760.46
• Instamojo store, digital product (Lite): ₹1,003 + ₹180.54 GST = ₹1,183.54, so you keep ₹8,816.46

On high-ticket sales the three gateways sit within about ₹10 of each other, as long as you use Instamojo's payment links rather than its digital-product store. For comparison, course platforms like Graphy, Exly and TagMango take around 10% on entry plans (see our fee comparison). That's why many creators take payment directly and deliver the course through a separate tool.

Is UPI free on Razorpay and Cashfree?

Not entirely. UPI has zero MDR from banks, but gateways charge a platform fee. Razorpay's FAQ says that even with zero MDR on bank-to-bank UPI, "a standard platform or technology fee of 2% will be applied" (Razorpay pricing FAQ). Cashfree's FAQ says UPI charges are "as per the applicable law", while its fee table groups UPI with the 1.95% platform fee (Cashfree charges). Instamojo lists UPI among the modes charged at 2% + ₹3. Since most Indian ebook buyers pay by UPI, budget for the platform fee on every sale.

Are the new-merchant offers worth it?

Both offers are real, and both have conditions that matter for course sellers.

Razorpay 90-day offer (terms):

• For merchants who complete KYC and activate on or after 1 July 2026 and haven't transacted on Razorpay before.
• Zero platform fee on domestic transactions for 90 days or the first ₹5,00,000, whichever comes first.
• Excludes prepaid, corporate, Amex and Diners cards and EMI.
• GST isn't waived, and a ₹199 + tax KYC fee may apply.

Cashfree festive offer (terms on the charges page):

• For new merchants who sign up on or after 21 July 2026. The campaign runs till 31 March 2027.
• Zero platform fee on the first ₹20,00,000 of domestic GMV, with T+1 settlement.
• GST is still deducted at 18%, calculated on the standard 1.95%. On a ₹10,000 sale that's still ₹35.10.
• Excludes Amex, Diners, corporate and prepaid cards, EMI, pay later, subscriptions and international payments.
• The offer can be withdrawn if 60% or more of your volume is credit cards.
• It doesn't apply to merchants with certain merchant category codes, including 8211 (correspondence schools), 8241 and 8244. An online course business could be classified under an education code, so ask Cashfree which MCC you'll get before counting on the offer.

Worked example: ₹3 lakh of ebook sales in your first two months

• Razorpay standard: ₹3,00,000 × 2.36% = ₹7,080. With the 90-day offer: GST isn't waived, but Razorpay's terms don't say how GST is calculated on a waived fee. Assume near zero, and confirm.
• Cashfree standard: ₹3,00,000 × 2.301% = ₹6,903. With the festive offer, only GST on 1.95% is deducted: ₹3,00,000 × 1.95% × 18% = ₹1,053.

What about international buyers?

If you sell to NRIs or overseas students, Razorpay advertises international card payments "at 3%" (Razorpay). Cashfree lists 2.99% for Visa and Mastercard and 2.95% for Amex. Instamojo enables international payments on request, subject to KYC, and doesn't support multi-currency: foreign cards are charged in INR. International activation usually needs extra documents on all three.

Which one should I choose?

• Selling a ₹99 to ₹499 ebook or workshop, starting from zero: Cashfree's festive offer is hard to beat if your business qualifies. Razorpay's 90-day offer is the alternative, and after it ends Razorpay has the widest ecosystem of plugins and checkout integrations.
• You want a hosted page with no website: Razorpay Payment Pages and Cashfree Payment Forms come at no extra platform cost. Instamojo's free Smart Page charges 5% + ₹3, and the Pro plan (₹12,999 a year) brings that down to 2% + ₹3.
• You want an all-in-one store for digital downloads: Instamojo is quick to set up, but the 10% + ₹3 digital-product fee on free plans is steep. One inconsistency: an Instamojo support article quotes 5% + ₹3 for digital goods, while the pricing page shows 10% + ₹3 on Lite and Starter stores. Confirm before you list.
• Cash flow matters: Razorpay and Cashfree settle T+1. Instamojo settles T+3 by default, with faster payouts at extra cost.

Whichever you pick, the rest of your funnel matters too. See our Graphy pricing breakdown if you're weighing a course platform instead, and browse our own ebooks and toolkits on the products page.

FAQ

Which payment gateway is cheapest for selling ebooks in India?

On standard rates Cashfree is lowest at 1.95% + GST, then Razorpay at 2% + GST. Instamojo payment links cost 2% + ₹3 + GST. For new merchants, Cashfree's festive offer waives the platform fee on the first ₹20 lakh, though 18% GST on 1.95% is still deducted.

Does Razorpay charge on UPI payments?

Yes. Razorpay's pricing FAQ says there's zero MDR on standard UPI, but a 2% platform fee applies, plus 18% GST. On a ₹499 ebook that's about ₹11.78 per sale.

Why does Instamojo charge 10% on digital products?

Instamojo's pricing page lists 10% + ₹3 for digital products on the free Lite and paid Starter stores, and 5% + ₹3 on Growth. A support article mentions 5% + ₹3 for digital goods. Payment links stay at 2% + ₹3, so many sellers use links and deliver the file separately.

Is GST charged on payment gateway fees?

Yes. All three charge 18% GST on their fee, not on your full sale amount. If you're GST-registered, you may be able to claim input credit on it. Confirm with your CA.

Can I use these gateways without a website?

Yes. Razorpay offers Payment Links and Payment Pages, Cashfree offers Payment Links and Forms, and Instamojo offers payment links and Smart Pages. Razorpay and Cashfree don't charge extra for these. Instamojo's free Smart Page charges 5% + ₹3 per sale.