PhonePe, HDFC Bank Collaborate To Launch Co-Branded Credit Card With UPI Integration
PhonePe has partnered with HDFC Bank to launch its first co-branded credit card, offering rewards on everyday UPI spends.
PhonePe has entered the co-branded credit card segment with the launch of the ‘PhonePe HDFC Bank Credit Card’, introduced in partnership with HDFC Bank. The new offering targets India’s rapidly growing base of digital-first consumers.
Launched on the RuPay network, the offering is available in two variants — ‘Ultimo’ and ‘UNO’. It is designed to reward users for everyday spending, especially through UPI transactions on the PhonePe app. The newly launched card offers cashback and reward points across categories, such as bill payments, travel, groceries, cab bookings and online shopping.
In a move that blends the ease of UPI with the power of credit, PhonePe and HDFC Bank’s co-branded card allows users to make payments through UPI QR codes using their credit limit. According to PhonePe, the integration is aimed at expanding credit access and improving the user experience for millions of digital-first consumers.
Sonika Chandra, chief business officer – consumer payments at PhonePe, said, “This card is positioned to offer PhonePe customers value on their regular spends, by giving them 10% reward points across select categories like bill payments, recharges and travel bookings. Additionally, consumers can use this card seamlessly across millions of UPI merchants.”
HDFC Bank views this partnership as an opportunity to deepen its engagement with digitally savvy customers. Parag Rao, country head – payments, liability products, consumer finance and marketing at HDFC Bank, said, “Our partnership with PhonePe allows us to tap into a segment of digitally native consumers, making credit cards more rewarding and widely usable, especially via UPI — an interface that has become central to India’s digital payments ecosystem.”
Unlock 10% Rewards, Free Airport Lounge Access
The ‘Ultimo’ variant of the co-branded credit card comes with a host of benefits. Users earn 10% reward points on spends within the PhonePe app across categories such as bill payments, recharges, travel bookings and purchases on PhonePe’s hyperlocal shopping platform, Pincode. In addition, the card offers 5% reward points on transactions with select leading online merchants and 1% reward points on all UPI Scan and Pay purchases using the card. Cardholders are also entitled to two complimentary domestic airport lounge visits every quarter.
Apply, Activate And Use
Eligible users can apply for the card directly through the PhonePe mobile app. The application process is entirely digital. Once approved, the HDFC Bank-issued card can be instantly linked to the PhonePe app, enabling users to make payments via UPI and manage their card, including bill payments, all within the app itself. The roll-out of the card will take place in phases.
PhonePe was launched in 2016. As of April 2025, it had over 61 crore registered users and a merchant acceptance network spanning more than four crore businesses across the country.
