How to Add & Use RuPay Credit Card in UPI Apps

Unified Payments Interface (UPI) has revolutionised digital payments in India with the transactional volume increasing month after month. The introduction of a RuPay credit card has further pushed the adoption and usage of UPI as you can transact via UPI using a RuPay credit card to all registered merchants by scanning a QR code or entering the UPI ID.

RuPay, the homegrown payment services system backed by the National Payment Corporation of India (NPCI), has paved the way for credit card users to transact directly via UPI. The best part is that a customer is not required to pay any additional fee for doing a credit card transaction on UPI. 

How to link RuPay credit card to UPI Apps

Linking your RuPay credit card to the UPI app is a super-easy process. You just have to follow simple steps:

• Step 1: Open the UPI app, Paytm, Google Pay, PhonePe or Cred. 
• Step 2: Search and click the option “RuPay Credit on UPI” on Paytm, “RuPay credit card” on Google Pay, “RuPay Credit Cards on UPI” on PhonePe, or “Activate UPI on your credit card” on Cred.
• Step 3: Select the bank that has issued a RuPay credit card.
• Step 4: Verify the credit card number and enter the OTP sent to the registered mobile number to finish the verification.
• Step 5: Set a separate UPI PIN and verify by entering the new OTP.
• Step 6: You can begin using a RuPay credit card for UPI transactions once the credit card is successfully linked to the UPI app of your choice. 

After linking your RuPay credit card with UPI, you can start paying to all merchant's accounts by scanning the QR code or entering the UPI ID of the merchant. 

Benefits of linking RuPay credit cards with UPI

Rewards on UPI

Activating RuPay credit cards on UPI also entitles you to enjoy the perks associated with credit cards. With UPI being a handy option for payments, you can earn rewards points, cashback, and vouchers based on spending in a calendar month, quarter, or year. It is like a double bonanza for users as you can use a credit card for periodic payments and have at least 45 days to clear off the bill, while the spends pave the way for reward points and milestone benefits. 

Nation-wide Acceptance

With UPI acting as the mode of transaction, you can pay millions of merchants across who don’t have PoS machines or who don’t accept card payments. You’ll be able to reach the spending milestone faster as you can do most digital payments through UPI via a RuPay credit card. 

Cardless & Contactless Transactions

You acquire the ease of payment as a RuPay credit card on UPI empowers a user to do contactless and cardless transactions. Two prime benefits. You’re no longer required to carry a credit card as all merchants who have PoS, also have QR codes for UPI payments. Secondly, you can pay directly from RuPay credit cards via UPI to smaller merchants who don’t have the facility of card payments. 

UPI transactions with RuPay credit card: Key things to note

• You won’t incur additional fees while paying through UPI from your RuPay credit card. However, there can be additional surcharges on several merchant categories including fuel as some RuPay credit cards don’t offer fuel surcharge waivers.
• The annual fee waiver conditions on RuPay credit cards are minimalistic compared to similar category cards issued on Visa, Mastercard, or Amex platforms.
• With a bouquet of benefits associated with RuPay credit cards, you’ll not be entitled to some card offers exclusively designed for Mastercard and Visa as they have a deeper penetration among the total credit/debit card outstanding.
• Some merchants don’t accept UPI payments through a RuPay credit card. It is up to their discretion as retailers continue to incur merchant discount rates (MDRs) on credit card payments, irrespective of the card network Visa, Mastercard, Rupay, or Amex. Interestingly, the NPCI issued a circular in October of 2022 directing banks to not charge MDR from small merchants for all transactions up to Rs 2,000.