Business

RuPay credit cards coming soon

18 Jun 2015 | By Siripriya
RuPay credit cards soon to be reality

The National Payment Corporation of India (NPCI) has decided to launch India's very own credit card payment system - RuPay from next year.

The NPCI has grown from 2 million transactions a day to 20 million transactions now, in a span of 5 years.

160 million people have already been issued RuPay and by 2020 the NPCI aims to reach every Indian.

In context: RuPay credit cards soon to be reality

Dec 2008NPCI introduced to help the common man

National Payments Corporation of India (NPCI) was incorporated in December 2008.

It was issued Certificate of Commencement of Business in April 2009.

NPCI was set up to be a hub for all electronic retail payment systems.

Its other objective was to promote an affordable payment mechanism to facilitate the common man and bring in financial inclusion.

26 Mar 2012RuPay born to challenge Visa and Master Card

India launched its very own card payment gateway RuPay, which would compete with the likes of Visa and Master Card and provide an alternative system for banks to provide a debit card service.

RuPay would help in building a payment network in rural areas.

200,000 RuPay debit cards has been issued and the NPCI had plans to issue 10 million cards by March 2013.

What does RuPay stand for?

RuPay is the portmanteau (or linguistic blend) of two terms Rupee and Payment. It is the seventh such payment gateway in the world.
RuPay finds validation under Jana Dhan Yojna

28 Aug 2014RuPay finds validation under Jana Dhan Yojna

Modi took the RuPay a step closer to global acceptance by making it a part of the Jan-Dhan Yojna launched on 28 March 2014.

Under this scheme, banks would give every account holder a 'RuPay' debit card with an inbuilt Rs. 1 lakh accident insurance cover.

This paved the way for the reach of debit cards to the poor and rural population of India.

24 Mar 2015Railways goes the RuPay way

The Indian Railway Catering and Tourism Corporation (IRCTC) launched RuPay pre-paid debit card service in collaboration with the National Payment Corporation of India and the Union Bank of India

This would allow railway passengers to book their tickets, shop and pay service bills using these pre-paid cards.

The railway minister Suresh Prabhu said it was "a union with your bank for customers' interest".

China's version of RuPay

China has its own national card service called China Union Pay (CUP) with a card base of 1.8 million and is accepted in 26 countries across the world.

18 Jun 2015 RuPay credit cards coming soon

16 Dec 2015RuPay gives tough competition to Visa and MasterCard

RuPay cards have gained a market share of 35% against 28% for MasterCard in the electronic card space in India.

However, half of the RuPay cards have not been used.

MasterCard alleged that there is an unsaid mandate by the government to issue RuPay card in the Jan Dhan Yojana, which has affected the level-playing field and restricted opportunities for them, despite being cheaper.

Electronic channel still forms meager portion

According to estimates, there are 622 million cards in India, but just 3% of the $1.5 trillion total payment flows in India are through electronic modes, implying a huge potential of growth for all players.

15 Feb 2016Expect RuPay credit cards by Jul 2016

The National Payment Corporation of India (NPCI) is planning to launch RuPay credit cards by July 2016.

There are about 241 million RuPay debit cards already in service which account for 35% of the total card base in the country.

According to NPCI chairman, M. Balachandran, China Union Pay (CUP) and Japan Credit Bureau (JCB) cards will also be accepted in India starting Sept'16.