Satin Creditcare goes live with UPI AutoPay for EMI payments

By Leandra Monteiro

Satin Creditcare Network, a microfinance institution in the country, has made loan EMI payments more seamless for its customers by introducing UPI AutoPay. SCNL claims to be the first player in the micro finance segment to go live with this functionality. This will also be the first time that customers can pay their loan EMIs via UPI platform.

HSBC India is the banking partner to Satin Creditcare. Through this association with Satin Creditcare, HSBC India has become the only international bank as part of the UPI AutoPay platform. This strategic alliance between Satin Creditcare, HSBC and NPCI would ensure borrowers get an effective loan repayment experience.

UPI AutoPay – which was launched by the National Payments Corporation of India (NPCI) last year – will also empower customers of SCNL to verify the mandated transaction prior to authenticating the same. All the subsequent payments of borrowers can be seamlessly executed without any manual intervention.

With Satin taking the lead in integrating UPI AutoPay into its system, the possibilities for other firms in NBFI and MFI sectors are wide open for them to plan about onboarding this feature for convenience of their customers. By implementing UPI AutoPay, the company would redefine borrowers’ perspective towards EMI payments. The integration of UPI AutoPay would help SCNL reduce cash management risks, save customers’ time in center meetings, maximize customer convenience, bring more efficiency to the process and strengthening the overall collection framework.

The company has facilitated this digital ecosystem across all its branches in India. It has already begun to disburse 100% of its loans in cashless mode and with its comprehensive suite of cashless collection provisions such as UPI, online web portal, customer service app and UPI AutoPay, it has establishes itself as a new-age technologically driven enterprise.

Mr. HP Singh, Chairman and Managing Director, Satin Creditcare Network Ltd said, “It is a delight to partner with NPCI and HSBC in making UPI 2.0 a reality for microfinance users. The payments ecosystem is evolving, and improved customer experience is at the heart of this transformation. Instant service and no human intervention are the defining attributes of future consumer payment experiences. UPI AutoPay has the potential to accelerate and drive cashless collections at a much faster pace. It is time to go beyond conventional cash collections and scale-up digital transactions.  With the COVID-19 led ‘new normal’ here to stay, implementing innovative solutions like UPI AutoPay are need of the hour. India’s focused on-ground implementation of the Pradhan Mantri Jan Dhan Yojana (PMJDY) is a massive asset that has augmented India’s banked population.”

Siddharth Rungta – Country Head, Global liquidity & Cash Management, HSBC India shared, “We are focused on leveraging emerging technologies, innovation and developments in digital payments infrastructure to offer customized solutions to our clients. Our partnership with Satin Creditcare Network Ltd on UPI AutoPay solution is one such example. In this case, we’ve integrated our API (Application Programming Interface) stack with the AutoPay functionality for recurring payments to enable an efficient and fully automated EMI collections solution. This will support Satin Creditcare in their endeavour towards driving financial inclusion for low income communities and women entrepreneurs across India.”

Ms. Praveena Rai, COO, NPCI added, “We are happy to collaborate with HSBC and Satin Creditcare to facilitate the integration of UPI AutoPay feature. We believe this functionality is all geared-up to provide a unique opportunity to borrowers for repayment of their loans using UPI which is fully secure, convenient and automated. We are also glad to witness UPI AutoPay foraying into micro finance space and we are hopeful that it will see a widespread adoption among MSMEs and Joint Liability Groups seeking basic access to financial aid as per their capabilities. It is our constant endeavor at NPCI to get UPI AutoPay to venture into diverse sectors and offer a seamless recurring payment mechanism for the ease of customers.”