Rajesh Kumar, TransUnion CIBIL: CICs will help credit grantors make informed lending decisions. The secondary user will not need to have a separate bank account linked to UPI, simplifying the process and enhancing ease of use
FinTech BizNews Service
Mumbai, August 8, 2024: Following the Reserve Bank of India’s Monetary Policy Committee meeting today, RBI Governor Shaktikanta Das proposed the introduction of a 'Delegated Payments' facility in UPI. Dilip Modi, Founder & CEO of Spice Money, has sharing studied views on the above announcement:
"At Spice Money, we are excited about the proposal to introduce 'Delegated Payments' in UPI. This innovative feature, which allows a primary user to authorize another individual, such as a family member, to make UPI transactions from their bank account up to a specified limit will significantly enhance the convenience and inclusivity of digital payments. Importantly, the secondary user will not need to have a separate bank account linked to UPI, simplifying the process and enhancing ease of use.
The potential impact of this development is particularly significant for rural communities where access to banking facilities can be limited. Families often share financial responsibilities, and this new feature will help them manage their finances more efficiently. For instance, a primary user can allow a family member to make necessary transactions without the need for additional banking accounts or complex procedures. This not only simplifies the process but also ensures that more people can participate in the digital economy.
By enabling more individuals to utilize digital payments, we are taking a crucial step toward deepening the reach and usage of digital payments across the country. At Spice Money, we remain committed to driving financial inclusion and ensuring that every individual, no matter where they are, can benefit from the convenience and security of digital payments”
Rajesh Kumar, MD & CEO, TransUnion CIBIL: “This is a very progressive move which will significantly strengthen the credit information ecosystem. With more frequent data reporting by banks and credit institutions, CICs will be able to update credit records faster and this will translate into more updated data being available for making informed lending decisions by credit grantors. This will also help in resolving consumer disputes faster based on updated data in the credit records. Credit information solutions help create economic opportunity for millions of people in India, and we take our responsibility to deliver accurate data very seriously. As India’s pioneer credit information company, we work constantly to strengthen the credit information ecosystem for the public good.”
