In a recent development, the Reserve Bank of India has initiated a mandate that states that credit card holders will most likely be able to link their credit cards with UPI (Unified Payments Interface). This a bold step undertaken by the RBI as more and more people find it easier to pay with UPI, as it has become more popular as well as convenient.
The governor of the Reserve Bank of India, Mr. Shaktikanta Das, told the media that he has announced this regulatory move along with other a conduction of other bi-monthly policy reviews. Reiterating the same, he said, “We have proposed the linking of cards to UPI.” Das further remarked that the new development is more likely to arouse more avenues as well as convenience to all credit card consumers while making payment at various outlets, through the integration of UPI.
Currently, the UPI facility is only available for transactions that are linked to a savings or current accounts connected to a debit cards. It is highly discussed among officials that the move of integrating UPI to credit cards will facilitate the recurring payments such as insurance premium, subscriptions, fees for education, etc.
“To begin with, the RuPay credit cards will be linked to the UPI platform. This will provide additional convenience to users and enhance the scope of digital payments,” Das commented. It is said that the linking of the cards to UPI will firstly begin with RuPay credit cards only, which are issued by the RBI-promoted National Payments Corporation of India (NPCI).
This sudden integration plan, as Das told the media, is a result of exponentially growing digital transactions being made by the India consumers, both within and outside the country; such a digital payments boom has led to a revolution as such.
As data suggests, there are over 26 crores of unique UPI users and more than 5 crores of merchants which have on boarded in the platform. Das informed the media that in the month of May, 2022, a transaction number of 594.63 crores, which amounts for around ₹10.40 lakh crores have been processed through the mode of UPI payment.
Non-cash transactions that were made using UPI is likely to account for around 67% of all the transactions made the year 2026, which states the growing use of the payment mode.
As per a specified report, there are several banks across the country which issue RuPay credit cards to its consumers. Such common banks in India are: Punjab National Bank (PNB), Union Bank, Federal Bank, IDBI Bank, State Bank of India (SBI), Bank of Baroda, etc.
RuPay is also linked with banks suc as HDFC, SBI PNB, and Union Bank for co-brand cards.
