Mumbai: ICICI Bank and PhonePe have joined forces to offer a short-term credit line on UPI, available to selected PhonePe users. Through this partnership, eligible users can get up to Rs 2 lakh in credit on the PhonePe app, with a 45-day repayment window.
With PhonePe leading UPI transactions at 49% of the market, this new credit line taps into the growing demand for flexible, digital credit options. ICICI Bank sees this move as a way to help customers access quick credit, especially ahead of the festive season when spending spikes.
This service is part of a larger push by the National Payments Corporation of India (NPCI) to offer credit on UPI, a feature launched last year. Other major banks, like HDFC and SBI, have also adopted this option, making instant credit accessible on platforms like Google Pay and BHIM as well. This partnership reflects a broader shift as banks and digital platforms work together to meet changing consumer needs in digital finance.
