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HDFC TATA Neu Infinity Credit Card: UPI Payments Guide

On 09 June 2022, the Reserve Bank of India permitted the use of credit cards on the UPI platform, beginning with RuPay credit cards. Razorpay was among the first payment gateways to support credit card transactions over UPI.

By the afternoon of 14 February 2023, only three banks had officially enabled RuPay credit card transactions via UPI: Punjab National Bank, Indian Bank and Union Bank of India. On 14 February, HDFC Bank’s TATA Neu family of RuPay credit cards also went live on BHIM UPI.

Within hours, these cards started working on TATA Neu, Freecharge and PayZapp as well, making HDFC Bank the first private-sector lender to enable RuPay credit cards on UPI.

Below are my observations and hands-on experience using UPI with the HDFC TATA Neu Infinity credit card, which I recently tested.

PROS for Merchants

  • Average order value generally rises when customers pay with credit cards.
  • Maintaining a physical card swipe machine may become less necessary over time.
  • Credit card acceptance via UPI simplifies payments and improves customer convenience.

PROS for Customers

  • No additional charges for using credit cards on UPI (at the time of writing).
  • Combines UPI’s convenience with the flexibility of credit card payments.
  • Customers don’t need to use cash or transfer funds from their bank account for everyday UPI payments.
  • No need to carry the physical credit card for payments at merchants who previously did not accept cards.
  • Earn rewards (NeuCoins or reward points) on UPI transactions at outlets that traditionally had no card acceptance, such as fruit and vegetable vendors or small shops.

How to Add a Credit Card to UPI Apps

If you have a RuPay credit card enabled for UPI (for example, a TATA Neu Infinity card or RuPay cards from PNB, Indian Bank, Union Bank or HDFC), you can add it to UPI apps and use it for P2M transactions. The process on BHIM is straightforward:

  • Open and log in to the BHIM app (register if you haven’t already).
  • Tap the tab in the top center of the app that resembles a retweet icon.
  • On the next screen, use the plus symbol at the bottom right to add a card.
  • Complete the verification steps to add your RuPay credit card, then you’re ready to transact.

Notes on Other UPI Apps

  1. Paytm’s Android beta (v10.23.0) showed an option to add RuPay credit cards to UPI; availability across other versions may vary. PhonePe and Google Pay were expected to enable support soon after initial launches.
  2. Mobikwik released an update (18 February) that allows adding credit cards to UPI.
  3. There is generally no restriction on the number of RuPay credit cards you can add to UPI, so multiple eligible cards can be registered.
  4. Refer to RuPay’s terms for details on any cashback offers, such as limited-time BHIM cashback promotions (for example, 10% up to a monthly cap subject to minimum transaction criteria).

Keep in mind that RuPay credit cards on UPI work only for P2M (person-to-merchant) transactions. P2P transfers and receiving funds to the linked credit card are not supported.

Rewards on UPI Transactions

The TATA Neu Infinity credit card currently awards base NeuCoins at a rate of 1.5% on payments made via UPI, which is a positive outcome for cardholders using UPI.

HDFC Bank issued a notification indicating it would cap rewards to 500 reward points per month on HDFC RuPay credit cards for UPI transactions. That cap implies maximum qualifying monthly spend of roughly ₹33,334 to earn the full 500 points. Since TATA Neu cards credit NeuCoins rather than HDFC reward points, the practical impact may be ambiguous, but in my tests I have received 1.5% NeuCoins on transactions so far. This policy may change as banks update their terms.

Make hay while the sun shines!

Transaction Limits on UPI

  • First 24 hours: ₹5,000 (initial limit in some apps)
  • Standard per-day card limit: ₹1,00,000
  • For certain merchant category codes (MCC), the per-day limit may be ₹2,00,000

There is no restriction on the number of transactions you can make using a linked credit card on UPI, subject to the above per-transaction and per-day limits.

In my experience, a large payment via a RuPay credit card on UPI succeeded, while a subsequent attempt that would have pushed cumulative daily spends past ₹1,00,000 failed, which aligns with the stated limits.

QR Payment Experience

I added the Infinity card to BHIM on the launch day (14 February 2023) and then to TATA Neu, Freecharge and PayZapp within 24 hours. I later tested on Paytm (beta). Transaction success varied by app:

  • BHIM: Generally flawless on Paytm and Amazon QR codes; also worked once on Google Pay QR.
  • PayZapp: Two attempts on Paytm QR succeeded.
  • TATA Neu / Freecharge: Attempts on Paytm and Google Pay QR codes failed consistently.
  • Paytm (beta): Successful on each attempt during my testing.

Conclusion

At present, customers are not being charged MDR for using RuPay credit cards on UPI. NPCI appears to be configuring the system to balance benefits for banks, customers and merchants.

Overall, RuPay on UPI is a promising development. I hope reliability and reward consistency improve across all UPI apps and payment gateways without undermining cardholder benefits.