PhonePe makes its big leap into the co-branded credit cards segment. On Thursday,27 June, in a major development for the digital payments sector in India, PhonePe and HDFC Bank have announced the launch of their co-branded RuPay credit card, which brings together UPI convenience and credit card benefits in one credit card experience.
The newly launched card is issued on the RuPay network and allows users to make UPI payments using their credit card. With this feature, cardholders can scan QR codes and pay at over 40 million merchant outlets across India. It gives them the ease of UPI for everyday transactions, while still enjoying credit card benefits like rewards, offers and discounts. The card is available in two variants: PhonePe HDFC Bank RuPay (Ultimo) and PhonePe HDFC Bank RuPay (UNO)
1. PhonePe HDFC Bank RuPay (Ultimo)
- For high-engagement users and offers:
- Joining Fee: ₹999 plus taxes
- Renewal Fee: ₹999 plus taxes
- Renewal Year Fee will be waived upon spending ₹2,00,000 in the previous year.
- Features:
- Users of the card can earn 10% reward points on select categories within the PhonePe app. This includes recharges, utility bill payments, movie tickets, hotel bookings, travel, PhonePe PINCODE orders, and the Travel Switch feature.
- They also get 5% reward points on purchases made through select online brands like Amazon, Flipkart, Myntra, Ajio, Swiggy, Zomato, and Uber.
- In addition, users earn 1% reward points on all UPI Scan & Pay transactions.
- The card also offers up to 8 complimentary domestic airport lounge visits per year, with 2 visits per quarter. However, to be eligible for this benefit, users must spend ₹75,000 or more in the respective quarter.
Also read: Save Up to ₹10,000 a Month Using UPI Credit Cards – Here’s How It Works!
2. PhonePe HDFC Bank RuPay (UNO)
- Delivers a straightforward rewards structure tailored to everyday digital and UPI spenders:
- Joining Fee: ₹499 plus taxes
- Renewal Fee: ₹499 plus taxes
- Renewal Year Fee will be waived upon spending ₹1,00,000 in the previous year
- Features:
- Users earn 2% reward points on select categories within the PhonePe app, including recharges, bill payments, movies, hotel bookings, travel, and PhonePe Pincode orders.
- They also get 1% reward points on spends with select online brands such as Amazon, Flipkart, Myntra, Ajio, Swiggy, Zomato, and Uber.
- Additionally, all UPI Scan & Pay transactions earn 1% reward points.
- The card is fully managed through the PhonePe app, making the entire experience digital. Be it applying and activating the card or tracking usage and paying bills, everything happens within the PhonePe app. Users can apply directly through PhonePe, while HDFC Bank handles the approval and onboarding process.
Speaking on the launch, Parag Rao, Country Head – Payments, Consumer Finance and Marketing at HDFC Bank, commented:
“As India’s leading card issuer, it is our constant endeavour to create impactful, tailored offerings for our customers, and expand access to credit in meaningful ways. Our partnership with PhonePe allows us to tap into a segment of digitally native consumers, making credit cards more rewarding and widely usable, especially via UPI—an interface that has become central to India’s digital payments ecosystem. With this co-branded card, users get the best of both worlds with our trusted credit card platform and PhonePe’s customer-centric digital experience.” This partnership demonstrates an important move toward making credit more accessible through everyday digital platforms and it’s likely to boost credit card adoption in India’s rapidly expanding fintech space. The PhonePe–HDFC Bank co-branded RuPay Credit Card has added another layer of digital banking, showing that the sector is moving towards more amalgamated products. By allowing users to make UPI payments using a credit card, while still earning rewards on regular digital spending, this launch is a significant moment for all HDFC and PhonePe users. With not just one, but two card variants to choose from, it offers flexibility for different spending habits and its hassle-free blend within the PhonePe app makes it simple and convenient to use.
Written by Teertha Ravi
