The e-commerce payment system and financial technology Indian company Paytm announced on Monday, to introduce co-branded credit cards by partnering with leading banks.
The company plans to issue two million cards in another 12-18 months.
Equipped with different features of security and total control, Paytm announced that these new credit cards will introduce ‘new to credit’ users to the formal economy.
Paytm Credit Cards for Everyone
According to Bhavesh Gupta, CEO Paytm Lending,
“In our country, credit cards are still considered a product for the affluent sections of the society and not everyone can avail of its benefits.
At Paytm, our aim is to provide credit cards that benefit India’s aspiring youth and evolved professionals. These cards are designed to help them lead a healthier financial life through managing and analyzing the spends to make well-informed decisions.”
Currently, the credit card coverage penetration in India is only 3%, compared to markets like the US, where this figure is upto 320%.
By bringing its credit cards to life, Paytm aspires for young professionals and college-goers to avail its experiences, further radiating the spectrum of Indian card users.
Security and Control
Paytm announced its upcoming credit cards to be ‘Next generation’ credit cards.
“Paytm’s credit card will provide insurance protection against fraudulent transactions to protect users’ money. This service will also come with a personalised spend analyser helping in assessing expenses and planning future spends smartly.”
It will provide complete control to cardholders, thus allowing them to manage their transactions in real-time.
Users can also switch off their cards for contactless payments or international transactions when not required, to avoid fraudulent activities.
Users can also instantly change their security pin number, update the address, apply for a duplicate card and view outstanding credit-limit.
Paytm Support and Reward
Paytm has also claimed that in addition to providing all the help and support to its credit card users, everything can be controlled from within the app. There will be no such hassle of visit a branch or calling customer support.
“Paytm Credit cards will have a transparent & compelling rewards program with assured cashback on every transaction.
The accrued rewards point will have no expiry and users will also be able to utilize those for various payments in the Paytm ecosystem. Since the cashback will be received directly in the form of Paytm Gift Vouchers, they can be spent anywhere.
It will also give great lifestyle benefits for the users in the form of discount vouchers & complimentary memberships across travel, entertainment, food, and many such categories”, quoted Paytm in its statement.