Payments company ItzCash has partnered with card network Visa and has been approved as a member. This will allow ItzCash to issue Visa branded payment instruments, acquire merchant transactions with mVisa, as well as offer Visa Direct for real-time P2P payments and money transfers, and other services.
The company says that it is the first non-bank institution to get direct membership with Visa. ItzCash will now be able to issue a virtual Visa card, contactless Visa payWave cards, and mobile payment solution mVisa. ItzCash recently launched an open loop wallet in association with RBL Bank, which allows users to withdraw cash from ATMs. At the time, the company had partnered with RuPay to launch prepaid cards.
ItzCash will also offer payment processing and white-label solutions with the new partnership.
Visa’s rival MasterCard already issues virtual cards with a number of other wallets. In December 2015, Paytm partnered with ICICI Bank to issue virtual cards. In May, private sector lender YES Bank said it has issued 1.7 million virtual prepaid cards and claims it is the largest issuer of such cards in the world on the MasterCard platform. YES Bank started issuing virtual cards in association with FreeCharge in January to make payments across all online merchants in India.
Way back in 2013, MasterCard had also partnered with Beam Money which would allow its wallet users to transact at ATMs, physical merchants and online shops.
In July, ItzCash also got an in-principle nod to run a Bharat Bill Payments Operating Unit (BBPOU). The National Payments Corporation of India (NPCI) set up the Bharat Bill Payment System (BBPS), a centralized interoperable bill payment system.
BBPOUs are units which can create an agent network and will be responsible for on-boarding billers and aggregators. In addition, they will be responsible for transaction handling, infrastructure development and application development, including APIs.
ItzCash has clocked volume transactions of over Rs 6,000 crore in the utility bill payments space for the year 2015-16. Cumulatively, it has processed bill payment transactions worth Rs 50,000 crore till date from when it started operations in 2006. Of the bills worth Rs 50,000 crore processed, the company says that 45% of them were for utilities and 55% of them were DTH and telecom bills.