Sachin Bansal’s fintech startup, Navi, is updating its Unified Payments Interface (UPI) payments system. The company is also exploring credit opportunities through UPI. This move aims to enhance their payment solutions and capitalize on new credit possibilities.
On Friday, Bansal took to social media platform X (formerly Twitter) to talk about the potential for small-value credit distribution through the UPI network. He mentioned his desire to transform how users interact with UPI by introducing new products on Navi.
The National Payments Corporation of India (NPCI) supports two types of credit transactions via UPI. The first involves linking a RuPay credit card to a consumer’s UPI handle. The second allows for a pre-approved credit limit through UPI.
Founded by Bansal in 2018, Navi started as a consumer lending platform. It has since expanded into larger personal loans, secured credit options like home loans, and additional financial services, including insurance broking and asset management.
Navi processed 35.7 million UPI transactions in June, totalling around Rs 1,769 crore. Navi completed its NPCI integrations in August of the previous year to launch UPI payments.
Over the past two years, other consumer-facing apps like Flipkart, Cred, Groww, and Slice have adopted UPI payments. Despite over 70 apps using UPI, Google Pay and PhonePe still dominate, holding over 80% of the UPI payments market.
