BharatPe, YES Bank unveil ‘Pay Later with BharatPe’ to expand UPI credit access

Fintech firm BharatPe , in partnership with YES Bank , has launched a new credit-on-UPI offering titled ‘Pay Later with BharatPe’ , aimed at empowering merchants and easing daily expenses for consumers. The product is designed to expand access to short-term credit while leveraging the growing adoption of UPI payments across the country.

The newly launched facility allows users to make payments using a pre-approved credit line at all UPI-enabled merchant locations. Consumers can scan any UPI QR code or use UPI online to pay for shopping, utility bills, mobile recharges and other everyday expenses without making an immediate payment from their bank accounts.

‘Pay Later with BharatPe’ offers instant digital onboarding with minimal documentation. Users can avail up to 45 days of interest-free credit , providing flexibility to manage cash flows. At the end of the billing cycle, customers have the option to repay the entire outstanding amount or convert it into easy EMI options ranging from three to twelve months.

The credit limit automatically resets upon repayment, allowing continued usage. All details related to credit usage, limits and repayment schedules can be tracked in real time through the BharatPe app , ensuring transparency and ease of use.

Commenting on the launch, BharatPe said that despite India’s rapidly growing digital payments ecosystem, access to formal credit remains limited, particularly for small merchants and first-time borrowers. The new UPI-linked credit product aims to bridge this gap by offering a simple, scalable and inclusive credit solution tailored for daily transactions.

As an added benefit, users of the service will earn BharatPe UPI rewards in the form of Zillion coins on every transaction. These rewards can be redeemed for vouchers, products, services, or used for bill payments, enhancing the overall customer experience.

YES Bank stated that the collaboration leverages its digital banking capabilities and underwriting expertise to enable seamless credit origination and distribution. The partnership reflects the increasing convergence of banks and fintech companies in delivering customer-centric digital financial solutions.

With its expanding financial services portfolio, including lending, payments and banking partnerships, BharatPe aims to strengthen its presence in India’s digital credit ecosystem through this initiative.