NPCI Nod Opens New Avenues for Credit Integration
Fintech platform ZET announced it has received approval from the National Payments Corporation of India (NPCI) to function as a Third-Party Application Provider (TPAP). This development marks a significant step in integrating credit card functionalities into the widely used Unified Payments Interface (UPI) system.
ZET UPI Facilitates Credit-Linked Transactions
The company has subsequently launched ZET UPI, a service enabling users to link their RuPay credit cards for UPI transactions. This feature diverts payments from traditional bank accounts to the credit line, effectively allowing everyday, low-value purchases to be managed via credit. The integration specifically utilizes the RuPay UPI-on-credit-card framework.
Technology and Banking Backing
ZET's UPI offering is built upon the technological infrastructure of Juspay and secured through a banking partnership with RBL Bank. This collaboration ensures the smooth operation and compliance of credit-linked UPI transactions. ZET credit card holders with an active subscription plan will also receive cashback benefits on these UPI transactions, in addition to existing rewards programs.
Expanding Credit Access
This initiative aligns with a broader industry trend among fintech firms focused on merging digital payment convenience with tools for credit building. ZET positions its secured credit cards as a method to help individuals with limited or no credit history establish and enhance their credit scores. The company has not yet disclosed projected transaction volumes or a timeline for a wider rollout of the service.