Reserve Bank of India (RBI) Governor Shaktikanta Das launched three initiatives by the National Payments Corporation of India (NPCI) at the Global Fintech Fest 2022 in Mumbai on September 20.
- The initiatives include RuPay Credit Card on UPI, UPI LITE, and Bharat BillPay Cross-Border Bill Payments.
RuPay Credit Card on UPI
- Until now, only debit cards were allowed to be linked with UPI. With the linkage of RuPay Credit Card on UPI, users will have an additional option to use their credit cards.
- RuPay Credit Cards will be linked to a Virtual Payment Address (VPA) i.e. UPI ID, thus directly enabling 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
- UPI Lite will provide users with a convenient solution for faster and simpler low-value transactions.
- At present, 50 percent of UPI payments are below Rs 200. With UPI Lite enabled on BHIM App, users will be able to make small-value transactions in a near-offline mode by loading up to Rs 2,000 in their on-device wallets.
- Transactions up to Rs 200 can be made through UPI Lite.
- UPI Lite is expected to reduce the debit load on the core banking system.
Bharat BillPay Cross-Border Bill Payments
- Bharat BillPay Cross-Border Bill Payments will make bill payments easier for people residing out of India but also maintaining a house in India.
- Bharat BillPay Cross-Border Bill Payments facility will enable Non-Resident Indians (NRIs) to undertake utility, water, and telephone-related bill payments on behalf of their families in India.
- Federal Bank with UAE’s Lulu Exchange will be the first to go live with Bharat BillPay Cross-Border Bill Payments.
