Payments company MobiKwik will now allow UPI payments from ICICI Bank through its payment gateway aggregator ZaakPay, a company spokesperson told MediaNama. What this means, is that MobiKwik users can load money to their wallets using the UPI and which will be processed by ICICI Bank. Note that wallets aren't allowed on the UPI and inter-operability between wallets is not allowed. However, banks do allow loading of money to wallets using UPI. However, ICICI Bank's tie up with ZaakPay is interesting as it gives access to other smaller merchants on the payments aggregator for UPI transactions. MobiKwik said that it would consider offereing UPI payments to merchants. This is significant as banks are ramping up partnerships with payment gateway aggregators to get access to merchants. Banks are allowed to charge a higher fee to merchants for UPI transacations as compared to P2P payments. Typically, there is a revenue sharing agreement with payment companies and banks for UPI transactions for access to their merchant database. In the case of Razorpay, banks pay 20 basis points per transaction. MobiKwik declined to give further details about its agreement with Zaakpay and ICICI Bank, and also did not disclose if it had a revenue sharing agreement with the bank. Note that Axis Bank and FreeCharge partnered to allow its users to make payments through the UPI. Through this, FreeCharge users will be allowed to load money into their wallets through the UPI option which will be powered by Axis Bank’s SDK. However, MobiKwik's competitor Paytm has not signed signed up with…
