Key Points

The new feature enables Mastercard cardholders to make in-store payments by simply tapping their NFC-enabled smartphones at payment terminals using the PhonePe app.

The collaboration is designed to offer secure and frictionless ‘tap and pay’ experiences at physical retail outlets, while also supporting tokenised e-commerce transactions -- all through NFC-capable Android smartphones.

Cardholders can simply save their Mastercard credit, debit, and prepaid cards issued in India on their smartphones and enjoy all the benefits of card-based payments.

By combining Mastercard’s global expertise in tokenisation with PhonePe’s vast base of 618 million registered users, this launch expands access to digital payments both within India and internationally. It reinforces the shared commitment of both companies to strengthening the country’s rapidly growing digital economy.

“We’re delighted to collaborate with Mastercard to bring device-based tokenisation to millions of PhonePe users. With an increased penetration of NFC-enabled smartphones coupled with growing consumer preference towards usage of ‘tap and pay’ using their cards, this functionality marries the two seamlessly,” said Deep Agrawal, Head of Payments at PhonePe.

“This elevates both convenience and security for users, enabling contactless payments at physical stores and safer online transactions -- all within the familiar PhonePe app. We view this association as yet another key step toward delivering a world-class payment experience to PhonePe users across India and when travelling abroad,” Agrawal added.

Mastercard cardholders can now benefit from a suite of powerful features, including ‘secure tap and pay’ in-store payments to make contactless payments at NFC-enabled terminals across India and abroad using the PhonePe app on Android smartphones.

It provides safer online shopping. Individuals can shop securely with Mastercard cards via the PhonePe app, with each transaction tokenised and tied to your device, making stolen credentials useless elsewhere.

Saving the card just once can enable a fast, secure checkout every time, backed by Mastercard’s global expertise in tokenisation and PhonePe’s intuitive user experience.

“Mastercard has always believed in scaling innovation. This collaboration with PhonePe marks a key step in broadening the reach of digital payments by expanding device-based tokenisation, empowering Mastercard cardholders exclusively to ‘tap and pay’ at merchant outlets, both within the country and abroad. India plays a pivotal role in setting the pace of digital commerce globally, and Mastercard is proud to support this momentum with solutions that make transactions smarter and safer,” said Ravi Datla, Senior Vice President, Products and Solutions, South Asia, Mastercard.

Users can securely add their credit and debit cards on the PhonePe app through a simple, one-time process. Once the card is tokenised and saved, they can make seamless payments by selecting the card and tapping their smartphone against any PoS machine and shop online.

The new feature will begin rolling out to Mastercard cardholders on the PhonePe app in a phased manner.

- IANS