Sachin Bansal's Navi partners with Karnataka Bank to launch credit lines on UPI

Private sector lender Karnataka Bank has partnered with Sachin Bansal-founded Navi to launch credit lines on Unified Payments Interface (UPI)-based transactions.

The Mangaluru-headquartered lender will offer credit lines to Navi’s users. The product is currently offered to a closed group of pre-qualified users, and it will be rolled out to more users based on customer feedback.

“We believe that by leveraging the widespread reach and real-time capabilities of UPI, the credit line on UPI offering will become the future of credit via UPI, enabling millions of underbanked and underserved consumers to access credit seamlessly," said Sachin Bansal, chief executive officer, Navi Technologies.


The bank is starting with a short-term monthly loan product and is in discussions to add other variants like EMI facilities, working capital credit lines and more.

“The product provides freedom to credit access and is expected to revolutionise how people pay without cards through UPI. This strategic engagement with Navi will create significant synergies and the digital offering is a unique offering, providing a superior experience to all UPI users,” said Srikrishnan H, managing director and CEO of Karnataka Bank.

Navi operates as a third-party payment application on UPI. In July, the platform processed 68 million transactions and settled around Rs 3,574 crore worth of transactions.