Comprehensive programs within the budgetary provisions can raise awareness about the efficacy of secured credit cards in cultivating positive credit histories
FinTech BizNews Service
Mumbai, January 24 2024: With the upcoming Union Budget 2024-25, Rakshit Agarwal, Co-Founder, Rupicard, has shared his expectations from the budget session for the fintech industry. Rupicard is a mobile-only, secured credit card fintech with a bold mission of providing millions of Indians with their first credit card.
Pre Budget expectations by Rupicard:
Approaching the milestone of achieving a $5 trillion economy, the upcoming Union Budget holds immense importance in driving a significant transformation in the credit card industry. It aims to position the industry as a powerful force for enhancing financial inclusion and expediting the adoption of digital payments.
To promote the use of digital payments, especially credit cards integrated with the Unified Payments Interface (UPI), it is crucial for the government to actively initiate programs focused on expanding the merchant acceptance landscape. A strategic approach may involve implementing incentives for small-scale merchants adopting credit card transactions or reducing Goods and Services Tax (GST) rates linked to Merchant Discount Rates (MDRs) for credit card transactions. Such measures have the potential to substantially increase credit card usage among merchants, fostering a faster shift towards a cashless economy.
Additionally, in anticipation of the forthcoming budget, there is a compelling need for introducing schemes dedicated to educating the public about credit scores and strategies to establish and improve one's creditworthiness. The budget should particularly address the often overlooked significance of secured credit cards as effective tools for building credit scores. Comprehensive programs within the budgetary provisions can raise awareness about the efficacy of secured credit cards in cultivating positive credit histories.
Through these concerted efforts, we are confident that the Union Budget holds the potential to bring about transformative impacts in the credit card industry. By addressing these key areas, the budget can empower millions, not only by promoting financial literacy but also by significantly contributing to the realization of India's overarching development goals.
