RBI allows linking of credit cards with the UPI platform.
Highlight
- RBI today allowed linking of credit cards with Unified Payments Interface
- This will enable more people to pay using the popular platform
- Currently, UPI facilitates transactions by linking savings or current accounts through debit cards.
RBI News UpdatesThe Reserve Bank of India on Wednesday (June 8) allowed the integration of credit cards with the Unified Payments Interface (UPI), allowing more people to make payments using the popular platform.
Currently, UPI facilitates transactions by linking savings or current accounts through debit cards of users.
RBI Governor Shaktikanta Das, while announcing the bi-monthly policy review as well as regulatory steps, said, “… it is proposed to allow linking of credit cards with UPI.”
He said that initially RuPay credit cards issued by the National Payments Corporation of India (NPCI) promoted by the Reserve Bank of India will be enabled with this facility, and this facility will be made available after the development of the system.
What did the RBI governor say?
Das said the new arrangement is expected to provide more opportunities and convenience to customers to make payments through the UPI platform.
Know more about UPI:
He said that UPI has become the most inclusive mode of payment in India, with over 26 crore unique users and 5 crore merchants on the platform.
Das said that in May 594.63 crore transactions worth Rs 10.40 lakh crore were processed through UPI.
Das said that the interoperability of prepaid payment instruments (PPIs) has facilitated the access of PPIs to the UPI payment system for carrying out transactions.
(with inputs from agencies)
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