Picture this: a daily-wage worker in a Tier 3 city paying digitally for the first time, a kirana store owner checking credit options in seconds, a gig worker tracking every rupee on a single screen. That everyday transformation is the world Payinstacard set out to build when it launched in 2022. Born in Hyderabad and shaped by the realities of Tier 2, 3, and 4 cities in India, the platform was created by Sai Krishna Musunuru, director and CEO of Payinstacard, who saw a glaring gap: millions of Indians were joining the digital revolution through smartphones and UPI, but still had no meaningful access to credit, financial tools, or the confidence to navigate them. What began as a bold idea is now reshaping how blue-collar workers, small business owners, gig earners, and first-time credit seekers interact with money. And with its vision to become India’s most trusted super app by 2030, Payinstacard is not just building a product; it’s building a financial bridge for millions stepping into their digital future.
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What led you to start Payinstacard?
It came as a turning point to observe how reward programmes in fintech got muddled up and confusing. I realised that the majority came up with ‘points’ that held no value to the users, particularly the neo digital finance users. In 2022, it was decided that Payinstacard would be launched on an uncomplicated mission plan: keep genuine cash rewards, ultimate transparency, and financial inclusivity at the center. It was about the revival of trust in digital payments while building up a platform that worked diligently for the masses of India.
What problem in Tier 2 and 3 cities did you see that existing fintech players failed to address?
While fintech growth was flourishing in the metros, small towns were excluded. The user journeys were complicated, there was no local support and limited access to credit. Most applications also presumed high financial literacy and perfect data connectivity, which wasn’t the case in Tier 2 and 3 cities. We recognised the opportunity to build for the hole left behind by designing a India-first platform that’s intuitive, regional language accessible, operates even in low-data situations, and tackles real pain points such as the payment of bills, micro-credit, and daily financial management.
How do you make digital payments simple for users who are new to smartphones and UPI?
Our design strategy has forever been simple. We value one-touch payment and recharge flows eliminating unnecessary steps. There is also regional language support so users can transact in the language they’re comfortable with low-data mode to keep the app functioning even in incomplete network areas. We often assist onboarding with on-ground officers who help first-time users. By diminishing friction as well as handholding the newer users, we make digital payments as intuitive as passing on cash.
What specific design choices make Payinstacard a ‘India-first’ app?
At Payinstacard, each design decision aligns with our India-first mindset. The partner dashboard is designed to be local, so that the agents, the merchants, can see metrics in vernacular languages, making it more accessible. Even the application itself, the low-bandwidth savvy feature, caches the essential screens, so that no matter where the user is, even where connectivity is poor, the screens open up very quickly. Onboarding has also been kept bare minimum, fast KYCs, specific to smaller towns, so that the first-time user doesn’t face any friction. Even the local shops and the shopkeepers, can operate sub-agents and see the transactions happen seamlessly.
How has user behaviour in smaller cities surprised you?
It’s the fastest adoption rate once trust has been established. People expected the users in smaller cities would be apprehensive, yet the reverse has been true. After trying the ease and transparency that Payinstacard offers, they don’t just use it to pay, they also immediately look into the credit, rewards, and other money services. It’s a nice surprise that the growth based on referrals has been the users organically referring Payinstacard amongst themselves, demonstrating the best adoption driver still being word-of-mouth within India.
How do you ensure financial literacy and awareness while onboarding first-time users?
We understand that most of our users use smartphone, UPI, and are digital finance virgins. Our app employs plain language, local translations, and visual prompts to describe transactions succinctly. We also integrate micro-learning modules and contextual pointers like reminders about safety or descriptions about cashbacks so users learn as they pay. That way, financial literacy develops organically, making users feel empowered and capable.
Cyber fraud is rising in India. How do you protect vulnerable users?
The notion of security is central to Payinstacard’s thinking. For a first-time digital user, trust is essential. We have established a framework for layered protections, weaving in global standards and India-specific safeguards. This includes PCI-DSS level data security, RBI-compliant KYC, and AI-based fraud detection systems that monitor unusual behaviors or activities constantly. Each user will have a real-time transaction alert ensuring they are always in the loop, while any suspicious behaviours will be brought to their attention immediately.
But we also realise that technology alone is not enough. Cyber fraud with users from smaller cities is often a lack of awareness, so education is part of our strategic approach to security. Through in-app notifications, community activations, and training with our agents, we teach users how to spot a scam, never share an OTP, and to keep digital habits safe.
Moreover, and especially for first-time users, Payinstacard also carries cyber insurance coverage which provides financial coverage in the event of fraud. As such, users can feel confident, especially if they are new to digital payments, that if something does happen or unexpectedly goes wrong, they are not left uncovered.
Can you explain how your cyber insurance offering works in real user scenarios?
Our cyber insurance is meant to secure everyday users in India. For example, if a user accidentally falls victim to a phishing scam, and they lose money, our insurance coverage is available so they can recover financially and emotionally. We keep it simple: claims can be processed directly in the app with limited documentation, and our entire ecosystem of partners will stand behind you. This level of assurance will give first-time digital users the confidence to transact freely, with the peace of mind knowing that they are protected — even in the worst case.
How important have partnerships with Axis Bank, NPCI, and IAMAI been for your growth?
The partnerships have been indispensable to our growth story. We have Axis Bank, which gives us powerful transactional banking solutions — the foundation of our business. Then there is NPCI India Connect, which allows us to offer real-time, effortless bill payments for more than 21,000 billers across several categories using the trusted infrastructure of NPCI.
IAMAI and similar industry forums have also given us an excellent platform for collaborating with peers, sharing experiences, and staying ahead of emerging trends while meeting on policy level discussion.
What challenges do you face in acquiring and retaining users in Tier 2 and 3 markets?
The obstacles are quite different from people who live in the bigger cities. In Tier 2 and 3 markets, the biggest obstacles are digital literacy, trust, and infrastructure. Most users are new to smartphones and UPI, so onboarding must be simple and intuitive. If an application is not either optimised for low bandwidth, connectivity issues can de-incentivise the inclination. Retention, on the other hand, is about creating value over time and if users are achieving value then they will stick around.
How do you provide credit access to people without a formal credit history?
To serve users who do not have the traditional credit footprint, we’ve developed alternative pathways. Instead of relying solely on formal credit bureau data, we look at transaction behaviour, repayment behaviour, and digital payment history, for example, we can assess one’s credit worthiness beyond what is available in traditional means. At that point, we begin with small-ticket loans, BNPL options, and micro-credit in order to allow users to build an evolving financial profile. This not only enhances access but also introduces first-time users to the concept of responsible credit in a perceived safe and manageable way.