ICICI Bank to offer EMI facility for UPI transactions above Rs 10,000

ICICI Bank has introduced an equated monthly instalment (EMI) facility for UPI payments made by scanning QR code. The facility will be available for customers who are eligible for the bank’s ‘buy now pay later’ scheme – PayLater.

Customers can pay transaction amount above Rs 10,000 in the form of instalments in three, six, or nine months. The EMI facility for PayLater will shortly be extended for online shopping as well, the bank said in a statement.

The facility can be availed of across a host of categories such as electronics, groceries, fashion apparel, travel, and hotel bookings.

Bijith Bhaskar, Head- Digital Channels & Partnership, ICICI Bank, said “We have seen that maximum payments these days are made through UPI. In addition, we have observed that customers are increasingly opting for UPI transactions from PayLater, the Bank’s ‘buy now, pay later’ service.

ICICI Bank introduced PayLater facility in 2018 to enable customers to buy small ticket items immediately in a completely digital and paperless manner. PayLater facility enables customers to shop online, pay bills, and pay to any merchant UPI ID at physical stores instantly.

During the monetary policy review announcement earlier this month, the Reserve Bank of India (RBI) proposed to expand the scope of UPI by enabling transfer to/from pre-sanctioned credit lines at banks. At present, UPI handles 75 per cent of the digital payment volumes in India.