Apple recently launched its credit card for its iOS users, and amid the rising competition, from Google and the other digital wallet providing companies, India’s largest digital wallet Paytm is now launching its first credit card named First Card. The company announced on Tuesday that it will be launching its first credit card for its wallet users that too with 1 per cent ‘universal unlimited’ cash back on every purchase.
The company has been struggling with maintaining its position in the Indian eCommerce market. And, the company has been trying new strategies to deal with the rising competition. It even launched its own eCommerce platform, Paytm Mall, that too providing huge cash backs for the users. But still, the threats from its rivals are only growing.
“We are delighted to partner with Citi to launch the Paytm First Card. Our new offering is designed to bring the utmost flexibility to our customers in their digital payment options and will help spur large-ticket cashless payments. We are confident of getting a very good response from our customers.” said Vijay Shekhar Sharma, Chairman and CEO – One97 Communications, the parent of Paytm.
Though there are only 50 million people, who actually have credit cards and use for purchases in India, Paytm hopes to make 25 million of Indians to avail its new credit card service. To launch the credit card, the company has partnered with the global payments company Citi Bank. The company will charge an annual fee of INR 500 to the First Card users, and if the spendings of the users will go above INR 50000 per year, the fee will be waved off for those users. The users will also be provided with the offers on dining, shopping, and travel on the platforms having tie-up with Citi Bank.
The customers can apply for the credit card directly through the Paytm app, and the Paytm account passbook will reflect the offers from both Paytm and Citi Bank for the credit card holders. The users with minimum INR 10000 expenditure in a month will be able to avail promo codes of worth INR 10000. The users of First Card will also get the option to pay for goods in easy instalments.
The Citi Bank First card is powered by Visa and is valid internationally. Noticeably, Paytm had just joined its hands with Visa to launch its debit cards last week. The partnership between Citi Bank and Paytm has a long history, and this time, it is an initiative taken to support Paytm’s new subscription-based loyalty program ‘Paytm First’ and retain its users who have been shifting to the other payment apps.
Yashica is a Software Engineer turned Content Writer, who loves to write on social causes and expertise in writing technical stuff. She loves to watch movies and explore new places. She believes that you need to live once before you die. So experimenting with her life and career choices, she is trying to live her life to the fullest.