PayU India has received Reserve Bank of India’s (RBI) approval to operate its own non-banking financial company (NBFC), the digital payments firm owned by South Africa’s Naspers Ltd said 17 September 2018. The move will help PayU promote inclusive growth in the country by catering to the diverse financial needs of various segments of the society, fintech startup claims.
The approval from the central bank is subject to “certain pending RBI compliance”, PayU said in a statement. We realized the potential in consumer credit space and have already introduced innovative credit products in order to tap the market. We have already served more than 500,000 consumers during last 12 months.
PayU is working towards both scalability and a better experience for consumers so that credit services are delivered with more agility and faster. Through its newly acquired NBFC licence, PayU is planning to bolster its effort in laying the foundation for its long-term credit business.
According to PayU, its deferred payment facility called LazyPay witnesses around 10,000-11,000 transactions per day. More than 800,000 transactions have already taken place using this facility. Launched in April last year, LazyPay has already tied up with more than 100 merchants across food, travel, entertainment and bill payments. PayU has already crossed the ₹ 100 crore (USD 16 million) mark for credit issuance on the existing platforms and is targeting to clock next ₹ 100 crore volume in next 3 months itself.