Das unveils three digital payment solutions at Fintech Fest

Mumbai

Reserve Bank of India (RBI) Governor Shaktikanta Das on Tuesday unveiled RuPay Credit Card on UPI, UPI Lite, and Bharat BillPay Cross-Border Bill Payments to further boost digital payments in India.

With the linkage of RuPay Credit Card on UPI, people will benefit from the increased opportunity to use their credit cards, and merchants will benefit from the increase in consumption by being part of the credit ecosystem with the acceptance of credit cards using assets like QR codes, NPCI said.

RuPay Credit Cards will be linked to a Virtual Payment Address (VPA) i.e. UPI ID, thus directly enabling safe, and secure payment transactions.

The initial phase of operationalisation will be centred on extracting actionable learnings that would be used to fine-tune the proposition in later phases to scale up the usage. Customers of Punjab National Bank, Union Bank of India, and Indian Bank will be the first to be able to use  RuPay Credit Card on UPI with BHIM app.

UPI Lite will  provide users with a convenient solution for faster and simpler low-value transactions. At present, India is thriving on low-value UPI payments, with 50% of transactions through UPI below ₹200. With UPI Lite enabled on BHIM App , users will be able to make small-value transactions in a near-offline mode. 

UPI Lite will reduce the debit load on the core banking system, thereby improving the success rate of transactions further, enhancing the user experience, and taking us one step closer to processing a billion transactions a day on the UPI platform.

The upper limit of a UPI Lite payment transaction will be ₹200, while the total limit of UPI Lite balance for an on-device wallet will be ₹2,000 at any point in time. Eight banks are live with the feature, including Canara Bank, HDFC Bank, Indian Bank, Kotak Mahindra Bank, Punjab National Bank, State Bank of India Union Bank of India and Utkarsh Small Finance Bank, NPCI said.