SBI Card Ties Up With Paytm to Launch Co-Branded Credit Cards
Grow Your Business, Not Your Inbox
You're reading Entrepreneur India, an international franchise of Entrepreneur Media.
Credit card company SBI Card have tied up with Paytm to launch co-branded credit card. Available in two variants—Paytm SBI Card and Paytm SBI Card SELECT—the products have been launched on the Visa platform.
The Vijay Shekhar Sharma-led financial services platform had launched the first credit card product in collaboration from Citibank.
The cardholders will have complete control to manage their transactions in real time through one-tap features available on both Paytm mobile app and SBI Card app.
To prevent fraud, cardholders will be able to lock/unlock their cards for online transactions, contactless payments, during international travel and in the case of loss, all through a single click.
Among other features, a cardholder can view outstanding credit limit on her card and even issue a duplicate card upon loss. The Paytm app will also offer a personalized spend analyser to Paytm SBI Card users to help them assess and plan their expenses better.
"These cards will help them lead a healthier financial life by managing and analysing their spends through the Paytm app and make well-informed financial decisions,” said Bhavesh Gupta, CEO, Paytm Lending.
Paytm users interested to get the card can apply through the app. The company will evaluate applicants on the basis of historical transactions undertaken by the customer on the Paytm app.
The company said in an earlier press statement that Paytm has digitized the credit card experience on its app from application, tracking to issuance of the credit card.
Paytm’s foray into the credit market is its attempt to go beyond payments and become a full stack financial services company offering insurance, mutual funds and credit. Gupta said in the company’s statement that these co-branded cards will help democratise credit cards in an otherwise credit-starved market.
Each transaction through the card will be rewarded with a cashback and additional cashback of 5 per cent and 3 per cent on Paytm SBI Card SELECT and Paytm SBI Card respectively, will be given upon booking movie and travel tickets on Paytm app and purchasing items from Paytm Mall.
Commenting on the partnership, Ashwini Kumar Tewari, managing director, SBI Card said “Our strategic partnership with Paytm is intended towards making credit cards more accessible to all. Through this partnership, we will also be able to leverage Paytm`s extensive reach to bring new-age, digitally evolved consumers across India, a safe, convenient, and rewarding payment solution, combined with the benefits of a credit card.”
Paytm said in an earlier statement on October 19 that it aims to distribute 2 million cards in the next 12-18 months.