SUMMARY
With the introduction of the latest feature, PayU will now enable its merchants to accept digital payments via Credit Line, creating avenues of financial security and growth for them
PayU will soon share information about the relevant identifiers related to the type of credit the consumer has undertaken, such as pay-later, personal loans, etc
This move by PayU is aimed at offering financial flexibility to the customers
Fintech platform PayU on Wednesday (February 14) said it has joined hands with the National Payments Corporation of India (NPCI) for merchants to accept digital payments via credit line.
The ‘Credit Lines on UPI’ feature integrates the functionality on the PayU application.
“Our partnership with NPCI to accept pre-sanctioned Credit Line on UPI underscores our commitment to delivering innovative solutions to our merchants and financial flexibility to our consumers. We will continue to work cohesively with ecosystem enablers to further democratise credit access in India and focus on building customised products for our stakeholders”, said Swaroop Kulkarni, vice president, Products, PayU.
To further embed innovation in this integration and empower both big and small merchants with valuable digital payments insights, PayU will soon share information about the relevant identifiers related to the type of credit the consumer has undertaken, such as pay-later and personal loans.
Merchants can leverage this information to form strategic growth strategies and create relevant, customised products for better customer experience.
Last year, the Reserve Bank of India also allowed scheduled commercial banks to offer credit lines to their customers through the UPI. Explaining the move the RBI said that payments through a pre-sanctioned credit line issued by a scheduled commercial bank to individuals, with prior consent of the individual customer, are enabled for transactions using the UPI system.
Recently, fintech startup SalarySe secured $5.25 Mn funding in seed round to develop technology stack for financial management application that taps the credit-on-UPI.
Also, credit card management solutions startup Kiwi raised $13 Mn as a part of its Series A funding round to scale up its ‘credit cards on UPI’ offerings across the country.
