UPI payments with credit cards, banks: Step-by-step guide

There is good news for the millions of people who use UPI to make online payments and other digital transactions. Payments can now be made over UPI using credit cards in addition to savings accounts and current accounts. RuPay credit cards can now be used to make payments over UPI by scanning the QR code. Users of the RuPay Credit Card will be able to conveniently make payments in Pos machines with the introduction of this feature without having to swipe or tap their card.

Customers of these three banks to benefit at first: 

Shaktikanta Das, governor of the Reserve Bank, introduced this facility on Tuesday. According to experts, the Reserve Bank's facility may potentially boost the credit card market by a factor of up to five times. Right now, customers of Punjab National Bank, Union Bank of India, and Indian Bank will be the first to take advantage of this option. Experts anticipate that MasterCard, Visa, and Rupay cards would all soon be able to make payments over UPI. At the opening of the new facility, Infosys non-executive chairman Nandan Nilekani stated that the RBI has become a global pioneer in fusing regulation with innovation.

RBI promoting digital payments

To encourage digital payments, the Reserve Bank (RBI) continues to make improvements. Following the June MPC meeting (RBI MPC Meet June 2022), the Central Bank announced that credit cards can now be linked to UPI to make payments. When credit card payments became available on the UPI network, then-RBI Governor Shaktikanta Das claimed that customers will have more options than before.

These users may also benefit:

Governor Das did, however, clarify that RuPay Credit Card will be the first credit card to be linked to UPI. The majority of users won't currently have access to the option to make credit card payments using UPI because Mastercard and Visa currently control the majority of the credit card market. Right now, only those who have a RuPay credit card will have access to this facility. Please inform us of the banks that now offer RuPay credit cards and how to connect the credit card to UPI.

These banks are providing RuPay credit cards:

State Bank of India 

 The "Shaurya SBI RuPay Card" and "Shaurya Select SBI RuPay Card" are available from SBI.

Punjab National Bank

PNB also provides two RuPay credit cards. Punjab National Bank PNB RuPay Select Card and PNB Platinum RuPay Card are what they are called.

Bank of Baroda

The Bank of Baroda Easy RuPay Credit Card and the Bank of Baroda Premier RuPay Credit Card are two more RuPay credit cards offered by this state-run bank.

IDBI Bank

There is an IDBI Winnings RuPay Select Card available from IDBI Bank.

Union Bank of India

Two cards are offered by this bank; Union Platinum RuPay Card and Union Select RuPay Card.

Saraswat Bank

 Platinum RuPay Card from Saraswat Bank.

Federal Bank

RuPay Signet credit card from Federal Bank.

How to link a credit card to a UPI:

Step 1: Open the UPI payment app first.
Step 2: Select the profile photo.
Step 3: Select Payment Settings from the menu.
Step 4: Choose to Add Credit/Debit Card from the menu.
Step 5: Enter the card's number, which must be current, the CVV, the cardholder's name and other details.
Step 6: Click the save button once all the information has been entered.
Step 7: In this manner, credit card payments will be made.

Now that the Reserve Bank has provided this service, it will be possible to make purchases without using a credit card. The credit card will need to be connected to UPI first for this. After that, you can pay by simply scanning the QR code. You will have the choice of using a credit card or debit card to make the payment while making it. A UPI app will send an OTP to your registered mobile number as soon as you start the payment. The payment will be finished once the OTP has been entered.
This will simplify things for those who occasionally take cash from ATMs or transfer funds from their credit cards to bank accounts. People are required to pay additional tax and fee payments in both of these cases.