HDFC bank decides to upgrade its Credit Card

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HDFC Bank is looking to replace its traditional credit card system with a modern and more efficient tech platform. This will be an efficient, cost-effective, and people-driven platform. This upgrade aims to make credit cards more secure and give its customers a better experience than the traditional system.


This step comes four months after RBI banned the bank from issuing the new credit cards to its customers in December, without citing any reason. This step from RBI saw 189000 cards portfolio decline by the bank by the end of February. The most significant private banking sector, HDFC Bank Ltd., still may have the most important number of credit card users, at 15.2 million, its 43% of decline has been captured by ICICI bank. If this situation prevails, it won’t be long that HDFC loses its maximum credit card users. Hence, the bank has taken this step.

“HDFC Bank is thinking of moving its card platform to a credible fintech company to have smoother end-to-end processing of cards, user experience, and also have a much more secure system. Many new-age financial tech companies have a good platform for online banking solutions, like credit card management and issuance. This fintech provides an option to the banks to migrate it to their platforms.” an anonymous person, aware of this matter, said.
The bank is considering either Zeta or Sprinklr for the same. But they need to wait until the ban is lifted.

But a spokesperson from the bank said that this rumor about moving and transferring the portfolio is wrong.

Zeta has been in this business for 5 years and provides help to banks to launch modern retail and fintech products. Banks work on traditional technologies but don’t have the expertise to offer what’s best for the customers. Currently, Zeta is providing its service to Sodexo for employee benefits and rewards.

Asked about their tie-ups with HDFC Bank, Murali Nair, president of the banking business at Zeta, didn’t give any direct answers but said that Zeta is in talks with some of the private banks to move them to their platform within the next 6-8 months.

If these talks are genuine about HDFC Bank transferring to a fintech company, the process to attain the credit card will become more cost-effective and efficient. It will also exponentially increase the number of credit card users for India’s biggest private sector lender.

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