PhonePe starts charging users for paying mobile bills. Details here
PhonePe has started charging processing fees in the range of 1 to ₹ 2 per transaction for mobile charges.
Walmart’s Group online payment application PhonePe has become the country’s first such app that has started charging for mobile recharges. Digital payment app PhonePe has started charging processing fees in the range of ₹ 1 to ₹ 2 per transaction for mobile charges done for above ₹ 50.
On recharges, we are running a very small-scale experiment where a few users are paying for mobile recharges. Recharges below ₹ 50 are not charged, recharges between 50 and ₹ 100 are charged Re 1, and above ₹ 100 are charged ₹ 2. Essentially, as a part of the experiment, a majority of users are either not paying anything or paying Re 1, “PhonePe said.
To clarify on bill payments, “we are not the only player or payment platform charging a fee. Charging a small fee on bill payments is now a standard industry practice and is done by other biller websites and payment platforms also. We charge a processing fee. (called as convenience fee on other platforms) on payments with credit cards only, “the PhonePe spokesperson said.
PhonePe has the largest share in terms of UPI transactions among the third-party apps. The company had recorded over 165-crore UPI transactions on its platform in September, clocking over 40% share among the app segment. PhonePe was founded in 2015 by former Flipkart executives Sameer Nigam, Rahul Chari, and Burzin Engineer. The digital payment app has over 300 million registered users.
Walmart-owned digital payments firm PhonePe has launched PhonePe Pulse, India’s first interactive platform with data, insights and trends on digital payments in the country. The PhonePe Pulse website showcases more than 2000 crore transactions by consumers on an interactive map of India. With over 45 per cent market share, PhonePe’s data is representative of the country’s digital payment habits.
PhonePe also launched the Pulse Report, an in-depth study on the evolution of digital payments over the past 5 years. The report also has insights about how digital payment adoption across India has evolved since 2016, and includes detailed geographical and category-specific trends.
“Pulse is our way of giving back to the digital payments ecosystem. When we started PhonePe five years back, we struggled to get reliable granular data on digital payments trends across the country,” said Sameer Nigam, founder and CEO of PhonePe. “We had promised ourselves that if we are successful and gather enough data on our platform, we would open it for anyone who wants to get deeper insights on the Indian payments industry. We built PhonePe Pulse because we can, and crucially because we should help unlock opportunities for others to build in India.”
And, like other players, PhonePe is also charging processing fees for payments made through credit cards. However, other transactions on PhonePe and money transfers will continue to remain free of charge.