Apple Credit Card May Launch In India Via HDFC Bank And Apple Pay With NPCI UPI?

Apple Card, a physical credit card backed by Apple Pay could soon debut in India. Currently, Apple Card is only available in the United States of America, but India could be the first foreign country for the iPhone maker to launch its financial solutions.

Apple is trying to release its credit card, and as an extension, financial services, in India. The company has initiated conversations with the Reserve Bank of India (RBI) and HDFC Bank. Let's look at the unofficial and unconfirmed developments which would allow iPhone users in India access to Apple Pay.

Apple Credit Card To Be Co-Branded With HDFC Bank In India?

A report citing undisclosed sources claims Apple is keen to offer its Apple Pay services in India. The company's representatives have been holding talks with the RBI officials for necessary clearances.

Back in April, when Apple CEO Tim Cook was in India to inaugurate two Apple Stores in the country, he reportedly met with Sashidhar Jagdishan, CEO and MD of HDFC Bank. It is strongly believed that Apple may partner with the bank to offer its financial services in India.

Apple's talks with the RBI are reportedly about procedures to be followed to launch a credit card in India. Although the meeting details are strictly confidential, some reports suggest RBI is in no mood to bend its rules for the world's richest consumer electronics manufacturer.

RBI has reportedly asked Apple to follow the standard procedure for releasing co-branded credit cards in India. This strongly suggests that Apple may have to rely heavily on an Indian bank to offer its financial services in the country.

The Apple Credit Card is made of Titanium metal. It offers unlimited daily cashback with every purchase, 1% cashback when the physical card is used wherever Mastercard is accepted, 2% cashback when Apple Pay is used, and 3% cashback when used at Apple or select merchants.

Apple Pay May Be Offered Via NPCI UPI Gateway

The Housing Development Finance Corporation Limited, commonly referred to as HDFC Bank, is India's largest private-sector bank. The Apple Credit Card could arrive via this bank in India.

It is interesting to note that the Apple Card in India would look and work differently than its US counterpart. This is because it will be would be up to the credit card issuing bank that runs the business in India to finalize and approve the designs.

On the other hand, Apple Pay is a fully-digital financial solution. To get this service off the ground, Apple is reportedly in talks with the National Payments Corporation of India (NPCI).

Simply put, Apple Pay in India will likely be powered by UPI. However, this would mean it would compete with PhonePe, Google Pay, Paytm, and other instant payment apps that have been deeply entrenched in the digital payment ecosystem by now.

It is important to note that Apple hasn't made any official announcement about bringing Apple Credit or Apple Pay to India. Moreover, it is reportedly discussing with HDFC Bank. Simply put, nothing has been finalized.