SBI Cards collaborates with Google
SBI Cards & Payment Services Limited (SBI Card) has entered into a collaboration with Google to enable cardholders to use their SBI credit cards on the Google Pay platform.
SBI Credit Card users will now be able to make card payments using Google Pay app on their Android smartphones. Cardholders can make safe and secure payments using Google Pay in three modes- via 'tap & pay' at NFC-enabled PoS terminals, by scanning Bharat QR code at the merchant as well as online payments, without using the physical credit card. This launch is in line with SBI Card’s endeavour to promote zero contact, digital forms of payments for safe and enhanced customer experience.
SBI Cards & Payment Services is the second-largest credit card issuer in India with a market share of around 18 per cent, followed by HDFC Bank (market share of 27 per cent).
In the recent quarter (Q1FY21), the company’s NPA declined by 33 bps, and credit cost declined by 552 bps QoQ. The company also beat the estimates with a jump in profit, supported by a strong net interest income (NII), lower operating expenses, and lower-than-expected provisioning.
On capital adequacy, the company's capital-to-risk ratio, consisting of tier I and tier II capital was 24.4 per cent as against to 18.9 per cent by June 2019, which was higher than the regulatory requirement. The company's focus on non-discretionary and digital spends translated into healthy loans to Rs 23,300 crore.
A reduction was seen in the debt-moratorium accounts, both in terms of value and volume. In June 2020, the total number of moratorium accounts declined to 1.5 lakh from 12 lakh in April 2020.