Here’s a closer look at Paytm’s first ever credit card

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Paytm, which has partnered with Citibank to launch its first contactless-enabled credit card, will provide one percent cash back on all transactions made by the user, without any restrictions.

Indian digital payments major, Paytm, on Tuesday announced its foray into the credit card business with the launch of its Paytm First credit card, co-branded and issued by Citibank India.

According to the company, the contactless-enabled card issued by Citi will provide one percent cashback on all transactions made by the user, without any restrictions. The cashback will be auto-credited to the card every month.

In addition to this, the company said the card will be accepted in India and internationally, and comes with an annual fee of Rs 500, which will be waived off on spends exceeding Rs 50,000 per year.


Users can also avail exclusive offers on dining, shopping, and travel amongst others on the globally-acclaimed Citi Privileges platform. Further, the card EMI paid by a consumer will be subjective.

In a statement, Paytm said that customers can apply for a credit card on their Paytm app, where they will also be able to conveniently track offers through the Paytm First Card passbook.

Paytm First Card customers will also be awarded Paytm promo-codes worth Rs 10,000 on spending a minimum of Rs 10,000 on the credit card within the first four months of issuance, said the company. The Paytm First Card passbook not only allows customers to track their credit card transactions, but also highlights exclusive offers, both from Patym and Citi on a real-time basis.

Speaking on the launch, Vijay Shekhar Sharma, Chairman and CEO – One97 Communications, the parent of Paytm, said,

“We are delighted to partner with Citi to launch the Paytm First Card. Our new offering is designed to bring utmost flexibility to our customers in their digital payment options and will help spur large-ticket cashless payments. We are confident of getting a very good response from our customers.”

Paytm will identify the potential base using a selection tool, jointly developed by Citi and Paytm, to assess credit worthiness. This provides an innovative alternative to underwrite customers, who otherwise may or may not have a credit history.


Paytm also added that the Paytm First card will be offered based on an individual digital behaviour, and has nothing to do with ‘Paytm First’, the company’s premium subscription-based rewards and loyalty programme, launched in March, this year.

Stephen Bird, CEO, Global Consumer Banking, Citi, added,

“Paytm First Card gives us the opportunity to extend our expertise in credit card services to a new all-digital consumer base. What began as an institutional relationship for Citi has grown into a stronger and deeper partnership across the Citi franchise. Today’s announcement affirms how Citi is establishing itself globally as the partner of choice to accelerate growth for our partners, customers, and business.”

However, One97 Communications and Citi’s collaboration goes a long way.

One97 Communications started as a Citi Commercial Banking client in 2009. To support the firm’s growing ambitions, Citi was an advisor on the initial investment by Ant Financial in February 2015 and the subsequent strategic investment by Alibaba Group and Ant Financial Services Group in 2016.



In November 2016, Paytm wallet was integrated with Citibank online and mobile app to make it convenient for Citi’s customers to top up their Paytm wallets online. Citi and Paytm have subsequently, and periodically, built exclusive offerings for Citi debit and credit card customers, such as cashback on movie tickets booked on the Paytm app.

Shinjini Kumar, Country Business Manager, Global Consumer Bank, Citibank India, added,

“The introduction of Paytm First Card is reflective of Citi’s commitment to partner with leading brands and to expand India’s digital ecosystem. Integrating the Citi service experience within a Paytm proposition will build engagement, thereby driving usage.”

Last week, YourStory reported that Paytm’s banking arm, Paytm Payments Bank, was also in talks with Visa to issue contactless debit cards. In addition to this, the payments major was also working with Visa to launch contactless point-of-sale terminals for its merchants who are new to card acceptance.




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