6 Reasons to Link Your RuPay Credit Card to UPI

In June 2022, the Reserve Bank of India (RBI) opened up a whole new world of possibilities for Indian consumers by allowing RuPay credit cards to be linked with UPI. This move has quickly caught on, with major banks like SBI, ICICI, and Federal Bank jumping on board.

But why should you care? Linking your RuPay credit card (other card networks and how RuPay differs) to UPI is more than just a fancy feature – it’s a practical way to make your everyday life easier and more rewarding. Here’s why:

• Credit Line on UPI: Imagine having the power of your credit card for every UPI transaction. Whether it’s groceries, fuel, a restaurant bill, or even a small purchase like chips or tea, you can now easily use your credit card’s limit for everyday expenses.
• Rewards on Every Payment You Make: Every time you pay with your linked RuPay credit card through UPI, you could be getting rewards like cashback or points. That means your morning coffee, your bus fare, and even your online shopping sprees can all contribute to your reward earnings.
  
  For example, I use my HDFC Tata Neu Infinity credit card instead of UPI for most daily expenses, even my morning coffee. I get 1.5% back on every purchase. Here are other high-cashback RuPay credit cards for UPI.
• Accepted everywhere: UPI is the most widely accepted form of digital payment in India, used by everyone from small street vendors to large online retailers. Linking your credit card makes it even more convenient to use UPI wherever you go.
• Ditch Your Wallet: With UPI on your phone and your credit card linked, you can leave your wallet at home and still pay for everything you need. No more fumbling for cash or cards – just a quick scan of a QR code or a tap on your phone, and you’re done.
• Peace of Mind with Chargebacks: We’ve all been there – a transaction goes wrong, and you’re left wondering what to do. With a credit card linked to UPI, you have the added security of being able to initiate a chargeback if needed. This protects you against frauds and scams.
• Check Your Limit on the Go: You can quickly check your available credit limit within your UPI app before making a purchase. It’s much simpler than opening your banking app, navigating to the credit card section, and then checking your limit.

Linking your RuPay credit card to UPI is a simple process that can unlock a world of convenience and rewards. Give it a try and see how it can transform your payment experience. All you need to do is apply for a RuPay credit card or convert your existing card to RuPay if your bank allows it, then link the credit card to your UPI payment app (PhonePe, Google Pay, Paytm, Cred, etc.), and you’re set to go.

However, note that not all merchants may accept UPI payments on credit cards. This is because they have to bear MDR (Merchant Discount Rate) charges on payments over Rs. 2,000 made via credit card on UPI. Also, smaller merchants with monthly inward transactions lower than Rs. 50,000 are not eligible to receive credit card payments on UPI.

Here are some of the most popular RuPay credit cards in India:

• HDFC Bank Tata Neu Infinity / Plus RuPay credit card
• PNB Select RuPay credit card
• Bank of Baroda Premier RuPay credit card
• Myntra Kotak RuPay credit card
• Federal Bank RuPay Signet credit card
• ICICI Bank Coral RuPay credit card, and more.