.

In the past few years, digital transactions have made the entire buying-selling process easier while bridging the gaps between customer touchpoints. Banks also offer discounts, reward points, deals, discounts, and other add-on services. Amidst this, credit cards are one of the widely used payment methods for shopping, paying bills, recharging phones/broadband, etc.  

According to PayU, a 31 percent year-on-year jump has been spectated this festive season. Overall, a 64 percent surge has taken place after a massive number of people bent toward digital payment due to its various benefits. PayU added, “most people choose a credit card as their primary spending method. To be precise, they spend five times more than the debit cards.”

On average, a user spends INR 6000 via credit card compared to a debit card paying approximately INR 2500. Credit repayments like personal loans, shopping bills, and recharge also witnessed a 107% increase in this festive season. According to a bank professional, “Credit card and UPI is dominating the financial market throughout this year. It can be assumed that it will continue to amaze people in the upcoming time.”

Not just cashback and discounts luring people towards using a credit card, but also, they want to improve their CIBIL score with this spending. With increased credit card and UPI adoption, small businesses and consumers are getting benefits that lead them to bifurcate their costs. It also helps them meet their needs without making a hole in their pocket. They can materialize things, provided by organized planning and setup.

After the devastating situation caused by the COVID pandemic, buying habits have drastically changed. It made people more agile, persistent, and patient when spending hard-earned bucks. However, the preferences merely changed. That is why credit cards marked themselves as a success story during this festive season.

In a nutshell, credit card and UPI transactions have successfully added millions of Indian people into the fold of digital payments. Not just supercharging the growth of the Indian economy but curbing the proliferation of corruption, digital payments are playing an instrumental role.