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Unlocking the Future of Credit: Credit Line on UPI

In September 2023, NPCI introduced 'Credit Line on UPI,' reshaping India's credit landscape. Discover Synoriq's LMS, revolutionizing UPI credit. Explore our leading solutions on this page or ead our blog to dive deeper

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Revolutionizing the Untapped Market

Credit Line on UPI makes pre-approved bank lines available at the point of consumption, including 30M+ UPI merchants and 1M+ terminal merchants.

This new credit option is accessible through any UPI app, offering convenience and reach like never before.

Credit Cards, Debit Card EMI, and similar options had limitations, leaving segments underserved.

Credit Cards, for instance, served only the top 2.5% of users, leaving many without access to credit.

Want to know more about Credit on UPI? Head to the blog.

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Market Statistics

Here are some statistics of today, illuminating the vast potential of UPI credit lines in the financial landscape.

30 Crores

UPI users

112 Crores

Debit Card users

9.5 Crores

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Credit Card Users

Companies who already trust our LMS

Benefits for Financial Institutions With the advent of Credit Line on UPI, financial institutions can unlock a world of opportunities. 

Here's how they stand to benefit:

Access to a Broader Audience

Access to a Broader Audience

Credit Line on UPI brings credit to a wider range of consumers, including those who were previously underserved by traditional credit card networks.

Innovation and Partnership

Fintech companies can partner with banks to introduce new form factors and innovative credit solutions on UPI, driving consumer discoverability and awareness.

Formal Credit Introduction

New-To-Credit (NTC) consumers can be introduced to formal credit through UPI step-up credit lines, starting with small lines and growing based on repayment behavior.

Zero-Cost EMI Competition

UPI Zero-Cost EMI is expected to emerge as strong competition, democratizing access to all banks in a segment primarily controlled by a few.

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Synoriq's LMS: Your Ideal Partner

Traditional Core Banking Systems (CBS) and credit card management systems often fall short in handling the nuances of Credit Line on UPI. Synoriq's Loan Management System (LMS) is here to bridge that gap and provide a robust solution. Here are a few examples

Efficient Processing

Our LMS efficiently handles high volumes of small-ticket transactions, ensuring stability and reliability.

Multiple Repayment Schedules

We support the creation of multiple repayment schedules, offering flexibility that traditional systems often lack.

Tailored to Your Needs

Synoriq's LMS is designed to meet the dynamic requirements of the evolving UPI credit landscape.

Configurability for Innovative Loan Products:

Synoriq's LMS offers a high degree of configurability, enabling banks to create innovative loan products tailored to their specific requirements.

Limit Management:

1. Automated limit enhancement with customer consent.
2. On-demand limit increase or reduction.
3. Provision for ad-hoc limit adjustments during festive seasons.

Repayment Configurations:

1. Automated limit enhancement with customer consent.
2. On-demand limit increase or reduction.
3. Provision for ad-hoc limit adjustments during festive seasons.

Billing Flexibility:

1. Users can enjoy interest-free periods and grace periods.
2. Customized statement generation dates based on individual cash flow patterns.
3. Multiple billing cycle options, including daily, weekly, bi-weekly, monthly, and quarterly.

Expiry and Renewal Management:

The system automates the management of credit line expirations, sending alerts and facilitating seamless renewal flows.

Fees and Penalties:

Banks can configure and manage a range of fees and penalties, including:
  - Processing fees.
  - Annual fees.
  - Penal charges.
  - Penal interests.

Collateral-Backed Credit Cards:

 The system supports collateral-backed credit cards, enabling banks to offer secure credit lines:
  - Collateral options include cash collateral (savings account/FD), gold, and more.
  - Flexibility to allow or disallow early payments.

Customized Billing and Limits:

- Clients can use customized billing dates based on user-specific cash flow patterns.
- Provides flexibility in setting maximum carry forward limits.
- Implements auto reminders to ensure timely payments and enhance user experience.

Contact us to schedule a demo to view all the features of our LMS 

Want to dive deeper into Credit on UPI

Click on the link below to read the blog we have curated just for you  

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