How to Earn Rewards on Every UPI Payment with Credit Card?

Do you know that you can now earn rewards on all your UPI payments, given you have a credit card that is linked to the UPI app?

UPI payments are a highly popular method of payment. Online payments via various UPI apps is an unbeatable system of fund transfer because of the ease, convenience, safety and speed. However, it is interesting to know that you can even gain several benefits on each of these transfers you make. For this, you need to link your credit card to the UPI app you use.

Because we often use UPI to pay grocery bills, other bills and transfers, getting this done can be a awesome way to earn some benefits easily and almost every time. Paying regularly using UPI can be your door to a vast number of surprises.

It must be noted that the NPCI or National Payments Corporation of India currently permits only RuPay credit cards to be linked with UPI apps. Cards that work on Mastercard and Visa networks are not permitted to link to UPI as of now.

So, link your RuPay credit card/s with a UPI app to earn rewards. Read further for more details.

Benefits of Using Credit Cards for UPI Transactions

There are several benefits of making UPI transfers via RuPay credit card:

• Rewards to Your Benefit: You can earn 1-2% cashback or points worth the same amount.
• Milestone Points/Bonuses: There are various reward bonus point offers from banks as well, given that you reach any of its set milestones in spending and using the credit card.
• Longer Billing Cycles: Lastly, being awarded with interest-free credit, you can also go-ahead delaying payments, thereby stretching the billing cycles ahead.

Note that the linking of credit cards with UPI apps depends upon the bank whose account is linked, along with the UPI app as not every UPI app currently lets you link a credit card.

You may also like "Five Ways Paytm Is Making UPI Safer and Smarter"

How Does This Work?

Basically, when you link your (RuPay) credit card with a UPI app (where the bank and the app both allow linking), you are replacing the bank account with your credit card account. So, you will be paying using the UPI application, but the money will be supposed to have been paid from that particular account. It is the credit card network that's billing the transaction.

This is letting people earn bonuses by merely using credit cards for UPI payments, but on the RuPay network. It may be noted additionally, that such payments are allowed only from peer to merchants, that is, P2M transactions are the only ones applicable.

Even not all credit cards would allow you this feature. You will need a credit card that allow UPI linking to your issuer's dashboard, that gives cashback on shopping, and that also reward monthly milestones benefits.

How to Link Your Credit Card with UPI?

We've talked about the requirements and benefits of linking credit cards with UPI apps. However, we also need to know the process of the linking. Here you go:

• Start by opening the UPI app, which you use or aim to use for credit card linkage
• Now go to 'Add Account;' this option will be available to you underneath
• Now go ahead choosing your preferred credit card via which the payments will go
• Enter the card details such as CVV
• Enter the OTP received on your registered mobile number
• Set a PIN for the card's UPI that will be used authorize transactions in the future post-linking

You're all set to start with the payments and also to earning great cashbacks or points on the same.

UPI RuPay Credit Cards – Maximize Your Rewards

Here are some common ways you can ensure that you are optimally using the feature:

• Frequent Use: You should be little frequent in using the card-linked UPI app feature. This is for setting monthly targets as well as for keeping a track of your spending.
• Using Cashback Categories: Next, keep a check of the categories that are offering cashbacks; these may be insurance, utility bills, etc.
• Knowing the Bank/Issuer's Caps: Achieving milestones can get you further bonuses, but you need to have an idea of the bank's milestone categories and other terms.
• Recurring Bills Purchase: Lastly, reward point earning is possible via recurring bills' purchase such as that for rent and the phone.

The UPI RuPay Credit cards are many. You just need to make the settings once and enjoy the benefits thereafter.

Recent article "Easy Steps to Use Your Credit Card for UPI Transactions"

More Latest Articles

Upcoming Bank Holidays

Find More Useful Links