Demand for RuPay credit cards surpasses Visa & Mastercard on Tier 2, 3, 4 cities

[coolanshu1000]

Merchants now requesting banks to stop accepting payments via Rupay CC on UPI. Details here -

Rupay credit card payments through UPI hits the MDR speedbreaker

A large number of small and large merchants have requested their banks to disable payments via Rupay credit cards on UPI as they are often forced to pay higher MDR than on other credit card transactions.

www.moneycontrol.com

 

[dvader]

Merchants now requesting banks to stop accepting payments via Rupay CC on UPI. Details here -

Rupay credit card payments through UPI hits the MDR speedbreaker

A large number of small and large merchants have requested their banks to disable payments via Rupay credit cards on UPI as they are often forced to pay higher MDR than on other credit card transactions.

www.moneycontrol.com

Why do they want to stop? If they are a small merchant most of their payments would be below 2000 no matter what. If they are a Small/Medium business they already have a PoS machine, I could just as well swipe the card. I mean this is a red herring. Unless I am missing something here. Do they think that they are now paying for UPI, but it's the increased payments via RuPay Credit Card (above and beyond their normal UPI TxN) that would have gone to PoS if the UPI didn't exist? Am I being too pedantic or are these merchants just being a PoS (Pun Intended)? If the RuPay UPI TxN has doubled so has their profit, what do these guys think would happen if they stopped RuPay UPI payments? will they still get those customers? I would understand if RuPay was charging more MDR than their competitors but apart from that there is no reason for this useless groveling.

 

[Abhishek012]

Why do they want to stop? If they are a small merchant most of their payments would be below 2000 no matter what. If they are a Small/Medium business they already have a PoS machine, I could just as well swipe the card. I mean this is a red herring. Unless I am missing something here. Do they think that they are now paying for UPI, but it's the increased payments via RuPay Credit Card (above and beyond their normal UPI TxN) that would have gone to PoS if the UPI didn't exist? Am I being too pedantic or are these merchants just being a PoS (Pun Intended)? If the RuPay UPI TxN has doubled so has their profit, what do these guys think would happen if they stopped RuPay UPI payments? will they still get those customers? I would understand if RuPay was charging more MDR than their competitors but apart from that there is no reason for this useless groveling.

Wait 2 years, everything will solved.

"Credit on UPI" is different network.

NPCI will sign the contract, give certification to payment companies and big merchants.

Big merchants release tender and those companies who win the bid. They will integrate "Credit on UPI" and maintain the payment gateway for next 5 years or 10 years etc.

Last thing, i told many time, "Credit on UPI" is currently on beta testing. Once "Credit on UPI" will fully live.

NPCI give certification to some selected partner companies and those partner companies will give certification to other big merchants etc.

currently, all big merchants and payment gateway companies need direct approval from NPCI and NPCI take too much time to give go live certificate.

The reason behind it taking so much time, "Credit on UPI" is new, many bugs and security bugs are available and then there is a risk of hack and fraud.

As a payment network gets older, trust in it increases, then there will be no need for approval from direct NPCI.

 

[habibmy]

Why do they want to stop? If they are a small merchant most of their payments would be below 2000 no matter what. If they are a Small/Medium business they already have a PoS machine, I could just as well swipe the card. I mean this is a red herring. Unless I am missing something here. Do they think that they are now paying for UPI, but it's the increased payments via RuPay Credit Card (above and beyond their normal UPI TxN) that would have gone to PoS if the UPI didn't exist? Am I being too pedantic or are these merchants just being a PoS (Pun Intended)? If the RuPay UPI TxN has doubled so has their profit, what do these guys think would happen if they stopped RuPay UPI payments? will they still get those customers? I would understand if RuPay was charging more MDR than their competitors but apart from that there is no reason for this useless groveling.

2% ? Wholesale Markets here runs on 0.5%-1%, profits.