Amazon Pay recently tied up with ICICI Bank to enable FASTag recharges. It also partnered with ICICI to launch a new co-branded credit card. Furthermore, it has also collaborated with RBL Bank to enable UPI payments on its platform.
Now, it looks like Amazon Pay is gearing up to bring credit options to UPI payments. According to a report by The Financial Express, Amazon Pay is looking to partner with National Payments Corporation of India (NPCI) to launch credit options on its payment platforms.
According to the report, there have been many uncertainties regarding the interchange fee structure around credit for UPO transaction. There has also been low adoption among smaller merchants which has restricted growth of credit for UPI transactions. The report quotes Vikas Bansal, whole-time director, Amazon Pay, who said that Amazon has an extensive network of merchants who could “help establish a discount rate” which may help in incentivise all stakeholders.
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“Improving customer experience and value proposition is one of our key goals, and we’re partnering with NPCI to work towards this initiative. Credit on UPI is a significant milestone we’re looking forward to achieving,” Bansal was quoted as saying in the report.
Amazon Pay claims to have enrolled about 8.5 million brick-and-mortal sellers in 350 urban and rural areas. Amazon Pay is also accepted by over 10,000 online sellers, including Uber, Zomato, and Swiggy, as per the report.
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Earlier this month, NPCI unveiled three new features for UPI-linked RuPay credit cards. Users can now apply for EMI facility through these credit cards, set up UPI AutoPay for clearing credit card bills and enhance RuPay credit card limits. The three features will roll out from May 31.
