On Thursday, payment solution provider PayU announced its collaboration with the National Payments Corporation of India (NPCI) to introduce the 'Credit Lines on UPI' feature on its platform. This collaboration aims to provide financial security and growth opportunities to the merchants.
According to a media release by the company, the feature will enable banks to pre-sanction credit lines through UPI, which will benefit both businesses and consumers. It will also contribute to India's financial inclusion agenda.
PayU will share information regarding the type of credit the consumer has undertaken, such as personal loans or pay-later, with the merchants as part of the integration. This information will help the merchants create customized products and formulate strategies for growth, thus enhancing customer experience.
PayU expects that over 380 million UPI users will gain easier access to credit lines, as they anticipate the next leap in digital payments is from credit.
It also offers over 100 local digital payment methods, value-added data insight solutions, and affordability solutions across offline and online channels. They have been a payments partner for nearly 60% of e-commerce merchants, serving almost five lakh merchants.
