Freecharge has launched ‘Pay Later’ facility for its customers.
“The expenses get aggregated for a month and customers can pay at the end of the month, in a seamless manner,” it said in a statement on Tuesday, adding that it can be used both on Freecharge’s platform as well as on a network of over 10,000 online and offline merchants.
Using Pay Later, customers can pay their electricity bills, recharge their mobiles, order food, medicines, grocery online without the need for any card.
“Unlike other digital payment options, Pay Later does not require remembering or saving card numbers, loading wallet or any OTP approvals. All the payments can be done through a secure one click process,” it further said.
On successful onboarding on Pay Later, customers receive a monthly credit limit of up to ₹5,000 and this usage limit gets enhanced in the future, depending on the customer’s profile.
“The facility enables our customers to pay for their small-ticket purchases both online and offline with mobile being the form factor, rather than cash or cards,” said Siddharth Mehta, CEO, Freecharge.
There is no processing fee but a small interest is levied on usage. However, the interest will be credited back to the customer’s Freecharge wallet in the form of a ‘Cashback’ on the repayment of the Pay Later bill at the end of the month, the company said.