Google during its event, Google for India, on Thursday, announced Credit products aimed at consumers and merchants through its GPay app. This will help merchants get access to credit from trustworthy and regulated lenders.
These products also form the foundation of Google Pay’s Digital Pragati initiative, aimed at growing economic opportunity for every Indian. Google said in a statement.
Google Pay is collaborating with multiple partners including Sachet Loans, ICICI Bank and Axis Bank. These financial institutions offer credit to merchants and customers to address the working capital requirements of merchants.
Sachet Loans, powered by DMI Finance Merchants will offer loans starting from Rs 15000, and can be repaid with easy repayment options starting at just Rs 111. This offering is aimed at bringing ease and convenience to SMBs (Small and Medium Businesses). With this introduction, Google Pay stands on an equal ground with its competitors in merchant lending services. Google in a statement said it will add more partners to lead merchants shortly.
GPay has been providing personal credit services for the last few years in collaboration with ICICI and Axis Bank. However, Google didn’t provide credit services to merchants unlike other FinTech players such as Paytm, BharatPe and Phone Pay.
Earlier in the year, GPay introduced a facility to link Rupay credit cards within its GPay app, allowing users to effortlessly make transactions through the Unified Payments Interface (UPI). To expand this feature, GPay has partnered with Payment Service Provider (PSP) ICICI Bank to offer users the option to access credit lines from banks through UPI. This means that users can now make payments through GPay using credit lines in the same seamless manner as traditional UPI transactions.
