Exciting Perks for RuPay Credit Card Holders Using UPI for Transactions

Great news for RuPay credit card users who utilize UPI! Starting September 1, you’ll enjoy the same benefits through UPI as other credit card users. Previously, RuPay credit cardholders did not have access to these perks. This decision by the National Payments Corporation of India (NPCI) comes in response to allegations of discrimination against RuPay credit card users. Banks were reportedly offering different facilities to RuPay credit cardholders compared to users of other credit cards. NPCI has directed all banks to ensure that there is no disparity in the services and benefits provided to credit card users.

In June 2022, the Reserve Bank of India (RBI) permitted linking RuPay credit cards to UPI. Initially, this service was available only through Pay Now. In October 2023, NPCI introduced an interchange fee for RuPay-UPI payments, which includes a 2% charge for transactions exceeding ₹2,000.

Benefits of Using RuPay Credit Cards with UPI

Using RuPay credit cards with UPI is incredibly convenient. It simplifies the payment process for both customers and merchants, as payments can be made effortlessly using QR codes. Currently, 16 banks offer this service, including major institutions like Punjab National Bank, Union Bank, Indian Bank, HDFC Bank, Axis Bank, Kotak Mahindra Bank, and ICICI Bank.

Promotion by RBI and NPCI

Both RBI and NPCI view the integration of credit cards with UPI as a significant achievement. They believe it will make this facility more accessible to the public. UPI supports two types of credit card transactions: UPI RuPay Credit Cards and UPI Credit Lines. According to officials, monthly UPI credit transactions are reaching up to ₹10,000 crore, with a substantial share attributed to UPI RuPay credit cards.

Recently, RBI Governor Shaktikanta Das mentioned at a conference in Mumbai that efforts are underway to make UPI and RuPay cards globally recognized. This has led several countries to adopt UPI for use within their borders, including Bhutan, Nepal, Sri Lanka, Singapore, the United Arab Emirates, Mauritius, Namibia, Peru, and France.