Google is expanding its push into consumer finance in India with the launch of a UPI-linked credit card, betting on a country of more than 1.4 billion people where fewer than 50 million currently hold a credit card. On Wednesday, Google entered India’s growing co-branded credit card market with the launch of Flex by Google Pay, partnering with private lender Axis Bank to expand access to credit in the country’s UPI-driven payments ecosystem. India’s rapid adoption of digital payments through the government-backed Unified Payments Interface (UPI) has transformed how consumers pay but has not translated into broad access to credit. That gap has created an opportunity for technology companies and banks to embed lending into widely used payments apps, helping explain Google’s move into the space. Flex by Google Pay is issued digitally through the Google Pay app and can be used both online and at physical merchants, the company said. Built on the Indian government-backed RuPay network, the card includes a rewards program that credits virtual “Stars” on transactions, with each Star worth ₹1. Users can monitor spending and bills within the app, choose to repay balances in full or convert them into installments, and manage security settings such as blocking the card or resetting a PIN. The launch builds on Google Pay’s broader effort to expand access to credit in India, where it has already partnered with banks and non-bank lenders to offer personal and gold-backed loans through the app. As one of the country’s most widely used UPI platforms, Google Pay offers Axis Bank access to a large, digitally active user base at a time when lenders are increasingly looking to scale credit distribution through technology platforms rather than physical branches. While Google has started with Axis Bank, it aims to add more issuer partners soon to expand its co-branded credit card offering in India. Image Credits:Google Pricing on the card, including interest and applicable charges, will vary by user and credit profile, with no application fee, Google said, adding that charges linked to repayment choices are shown upfront in the app. Processing fees apply to EMI conversions, and late-payment charges will be levied in line with the issuing bank’s policy. Techcrunch event San Francisco | October 13-15, 2026 India’s credit card market has been expanding rapidly in recent years. The number of outstanding cards has grown at an annual rate of about 14% over the past three years to around 110 million, while transaction volumes and values have risen at close to 30%, per a recent PwC report (PDF). Average annual spending per card has increased from about ₹132,000 (around <head>,450) to roughly ₹192,000 (about $2,100), suggesting cards are being used more frequently for routine payments rather than occasional big-ticket purchases. Despite growth in the number of outstanding cards and credit card spending in India, the expansion has largely been driven by existing users rather than a meaningful increase in the number of cardholders. Google aims to help address that gap by bringing new users into the credit system, particularly those wary of traditional card repayment structures. “It’s the same users getting more and more credit,” said Sharath Bulusu, senior director of product management for Google Pay, adding that flexible repayment options are designed to ease concerns around unpredictable billing for first-time credit users. “We think we now understand the problem, the space, and the user well enough to solve something uniquely for them,” Bulusu told TechCrunch, explaining Google’s timing. Google’s move comes amid growing competition in India’s co-branded credit card market, where companies including Amazon, as well as Walmart-owned Flipkart and PhonePe, already offer similar products. Consumer internet platforms such as food delivery firms Swiggy and Zomato, along with online travel companies including MakeMyTrip and Yatra, have also entered the space in partnership with banks. Co-branded credit cards accounted for about 12-15% of India’s total credit cards in the financial year ended 2024 and are projected to capture more than a quarter of the market by volume by 2028, growing at an annual rate of 35-40%, according to a report (PDF) by consultancy firm Redseer. Alongside the co-branded card launch, Google is also rolling out “Pocket Money,” a feature in the Google Pay app that lets parents give children limited access to digital payments. Built on the recently introduced UPI Circle functionality, the feature lets parents set a monthly spending cap of up to ₹15,000 or approve individual transactions initiated by the child. Parents receive notifications for each transaction and can view spending history or pause access to the feature through their own Google Pay app, the company said. The move could also help Google broaden Google Pay’s usage and addressabl