digital-payments-india

Credit Card Most Profitable Business of Indian Banks

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Credit Card lending is the most profitable business vertical of Indian Bank / Financial services company. High profitability is driven largely by the high yielding unsecured credit business. While share of fee income is high in total revenues (~50% of total income net of interest expenses), most of the fees (penalties, etc.) are credit-linked. The credit card penetration in India is quite low at 62 Cards per 1,000 working people.

Fees such as annual subscription charges are also largely recovered from customers that are borrowers or who have very low spending. The affluent customers, normally the transactors, account for most of the spending and help the credit card issuers screen as a potent marketing channel to manufacturers / traders. This enables the credit card issuer to

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Digital Payments & Lending Revolution in Indian FinTech Space

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The Digital Payments landscape in India has been revolutionized by the regulators and the banks’ proactive initiatives, e.g., IndiaStack and UPI. It is quite surprising that India has emerged as one of the most exciting markets for digital payments across the world. Last year, home-grown payment networks (RuPay and UPI) took a lion’s share of the total digital transactions, ~65%, showcasing how for once the Government efforts have been in the right direction for achieving targets.

Popular Payment methods are e-wallets, UPI, biometric payments, BharatQR code, and sound-wave-based payment technologies. One of the primary reasons can be attributed to the forward-thinking of central & state governments and Reserve Bank of India for successfully bringing a digital payment revolution in India. Buoyed by the success of Virtual Payment Address – UPI (it’s like your e-mail id), Google wrote to the US Federal Reserve, about UPI model adopted in India and recommended creating

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ZestMoney and LazyPay – New Age Just in Time Loans for Millennials

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Digital penetration has increased at a swift pace over the past few years in India. The decrease in average data cost and drop in price of smartphones has resulted in higher internet activity. This has promoted digital transaction and online purchases. PayTM, MobiKwik, etc. started the digital payment revolution and these platforms have expanded vertically. UPI has increased at a sharp pace in India. New entrants like PhonePe, Google Pay, etc. have increased digital payment adoption in the past two years.

ZestMoney‘s co-founders were inspired by the scope of digital lending in India while working in London. Urbanization and rising aspirations of Indian consumers, alongside the discount model of the online e-commerce industry, has fueled the swift pace of growth in online purchases. E-commerce is expected to

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Transerv – Multi-Mode Digital Payment Platform

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In the aftermath of the Demonetisation in India, the payment platform is undergoing a lot of changes. The challenge is that payment business is not a delight from a customer’s perspective. Payment is no longer about isolated products but an integrated experience as offered by Mumbai based Transerv.

Different consumer groups could pick and choose products of their choice available over multiple channels. For example

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