Uber Auto Moves to Cash-Only Model: What Riders Need to Know

Uber has recently made a significant change to its auto-rickshaw service in India by shifting to a cash-only payment model. This decision, which came into effect on February 18, 2025, has sparked mixed reactions from riders. Let’s dive into what this means for users and how it impacts your daily commute.

What Has Changed?

Previously, Uber Auto allowed riders to pay using various digital payment methods, including UPI, credit/debit cards, and Uber Wallet. However, under the new policy:

• Riders must pay drivers directly in cash or through a mutually agreed UPI transfer.

• The fare displayed in the Uber app is now a suggested price, not a fixed charge.

• No digital transactions will be processed by Uber for auto rides.

• Uber credits and promotional discounts cannot be applied to these trips.

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Why Has Uber Made This Change?

Uber's decision to move to a cash-only model is influenced by rising competition from Rapido and Namma Yatri, which have adopted a subscription-based model for auto drivers. Instead of charging a commission per ride, these platforms allow drivers to subscribe to a daily plan and keep the entire fare. By following a similar model, Uber aims to retain drivers and increase their earnings.

Impact on Riders

This shift affects Uber users in multiple ways: ✅ More control over pricing – Riders can negotiate fares directly with drivers. ✅ No more automatic payments – Users must carry cash or arrange payments manually. ❌ No promo codes or Uber credits – Discounts and rewards will not apply to auto rides. ❌ Possible surge pricing and fare manipulation – Drivers might demand higher fares beyond the suggested rate.

Reactions from Users

Many Uber riders have expressed frustration over the change, highlighting concerns about convenience and potential fare disputes. Social media is abuzz with mixed opinions, with some users calling it a step backward in digital payments, while others believe it gives drivers more flexibility.

What Should Riders Do Now?

If you regularly use Uber Auto, here’s how you can adapt:

• Carry enough cash for your rides.

• Discuss and confirm the fare with the driver before starting the trip.

• Use UPI payments if the driver agrees.

• Consider alternative ride-hailing apps that still offer digital payments.

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