PhonePe and HDFC Bank have rolled out a new co-branded RuPay credit card that integrates seamlessly with UPI, offering credit-on-UPI convenience directly in your favorite apps.
Why It’s a Big Deal
Fully UPI-Integrated Credit Use
This is part of a broader shift—since RBI cleared RuPay credit cards for UPI linkages in mid-2022, issuance of RuPay credit cards jumped from 5% to 30% of all new cards.
First co-branded launch
HDFC’s virtual UPI RuPay Mega Saver card, launched recently, is built as a virtual-only credit card for UPI payments, offering cashback on everyday spends like groceries, utilities, and dining .
How It Works
- Instantly link the HDFC RuPay credit card to UPI apps like PhonePe, Google Pay, Paytm, and more—no physical card needed.
- Use it at any UPI merchant for credit transactions—P2M only, no
- Rewards structure (example: Mega Saver):
- 3% cashback on groceries, dining, PayZapp
- 2% on utilities
- 1% on other spends—all earned as CashPoints, capped monthly.
What It Means for You
- More ways to pay : Carrying a physical card is no longer required for UPI transactions—credit is only a QR scan away.
- Rewarded every time : Earn meaningful cashback when using UPI, previously restricted to debit or banking apps.
- Banks and fintech boost RuPay : With this innovation, RuPay credit is rising—from niche to mainstream.
This is a game-changing step toward credit-on-demand via UPI. The HDFC–PhonePe launch makes credit payments as frictionless as UPI debits, and that’s powerful. If you already use UPI daily, this co-branded solution could seamlessly add credit rewards to your usual payment flow—no new app, no physical card hassle.