To provide convenient and affordable options of Federal Bank Debit Cards through Innoviti Point of Sale (POS)terminals, the Federal Bank and Innoviti Payment Solutions Pvt. Ltd(Innoviti) have entered into a partnership, which will offer Equated Monthly Installments(EMIs) options to over 7.5 million Federal Bank Debit Card holders at over 70,000 Innoviti POS terminals across 1000 cities.
- The partnership is in view of COVID-19 crisis as people are cautious about their spending and still will need affordable options in essential categories such as healthcare, education and IT (computers and laptops).
Points to be Noted
EMI– Through this partnership customers can access the credit, which can be repaid in convenient Equated Monthly Installments(EMIs) through their Federal Bank Debit Card, particularly in smaller Tier 2/Tier 3 towns.
The proposed solution design is simple. The customers can have an instant credit eligibility check if they dip a Federal Bank Debit Card in Innoviti’s POS.
The eligible customers need to enter their PIN(Personal Identification Number) and access the credit in a seamless manner.
Options for Merchants and Brands
Through in-depth integration of business billing systems with Innoviti’s payment system, there are options for merchants and brands to enable product-specific EMI schemes as well.
Note– Initially the EMI options have been limited to credit cards and primarily used for purchases in durables and mobiles.
i.Innoviti is processing over USD 6.5 billion annualized offline merchant payment volume. As per the RBI data, this is approximately 5% of India’s offline merchant volume.
ii.It directs monthly terminal output at USD 7000 per terminal. According to the RBI data, this is double the India’s average of all other payment providers
iii.Innoviti has further powered gross margins, with the use of technology to constantly drive reliability and automate processes, which makes it the most capital-efficient company in this space (based on publicly available data).
- Innoviti is backed by marquee investors like Bessemer Venture Partners(USA), SBI Venture Capital(Singapore), FMO(Netherlands), and Catamaran(India).
- FMO and Bessemer led the series C funding.
Recent Related News:
i.Airtel Payments Bank Ltd has partnered with National Skill Development Corporation (NSDC) to train and skill the youth in rural India.This will enable them to find employment opportunities and become entrepreneurs in the financial services sector.
ii.The Asian Development Bank (ADB) and the Green Climate Fund (GCF) agreed to partner toward the “Green Recovery”. This is to help hands for the people who are facing the harsh economic impact due to COVID-19 pandemic.
About Innoviti Payment Solutions Pvt. Ltd:
Registered office– Bangalore, Karnataka
Chief Executive Officer(CEO)– Rajeev Agrawal
About Federal Bank:
Headquarters– Aluva, Kerala
Managing Director(MD) & CEO– Shyam Srinivasan
Tagline – Your Perfect Banking Partner