When PM Modi launched BHIM app which offers seamless fund transfers through UPI, global IT giants like Whatsapp and Google were quick to join the payment scenario. Google’s Tez became the most used UPI app beating BHIM. And this miracle happened as Google was paying Rs 51 for every first transaction and even had attractive referral payments. All this was for free when launched as UPI payments are free for transactions below Rs 10,000. Google, being a profit based organisations have now tied up several private sector banks to offer instant loan services.
Tez has found a place in the lives for more than 22 million people and businesses who use it every month. People from over 300,000 suburbs, towns, and villages are using it to pay their electrician, book bus rides, or split a dinner bill with friends. With simple and fast transactions, Tez has made it easy to recharge a phone or pay the monthly utility bills in just a few taps. Users have made over 750 million transactions — with each one settled instantly and securely into a bank account. In total, these transactions are worth over Rs 2,00,000 crores. Along with the growth of Tez, India’s monthly UPI transactions have grown 14x – an astounding change that puts India’s economy as one of the world’s leading innovators in digital finance.
Google through its blog has announced that Google Tez will be called Google Pay whenever users update the app. All the loved functions by users as well as the interface will remain the same. The number of places one can pay with Google Pay will be expanding – online on apps and website, as well as branded retail stores. For online merchants, you can already use Google Pay to transact securely at places like Goibibo, FreshMenu, redBus and in over two thousand other online apps and sites. And in the coming weeks, we will be adding more partners, including deeper integrations with BookMyshow. For big brands, Google India is in talks with the largest stores like Big Bazaar, e-Zone, and FBB.
Google Pay brings instant loan on-the-tap. Google Pay is partnering with banks such as HDFC Bank, ICICI Bank, Federal Bank, and Kotak Mahindra Bank to facilitate pre-approved loans to their customers, right within Google Pay very swiftly. In the coming weeks, these customers will be able to use Google Pay to take out a customised loan amount from their banks, with minimal paperwork. So, the app will be free for UPI users but Google may have made agreements with leading private banks for offering loan services for a fee.
– Chaitanya Kulkarni
Source – Google India.