Truecaller has informed users that it will suspend all UPI payments service in India starting March 8. Users, however, will still be able to avail of loans, the company said. This takes a significant app out of the UPI ecosystem; Truecaller is installed in over 185 million Indian users’ phones, though it is unclear how many of those users had UPI payments enabled. The app’s Money tab now focuses on personal loans it offers in partnership with a non-banking financial company (NBFC).
Users will no longer be able to transfer money, recharge, or pay bills on the app. Users’ Truecaller UPI IDs will be deregistered after ensuring zero-settlements with partner banks. The company is now directing users to UPI payments services offered by their banks and other third-party apps.
From the Truecaller app.
User data, including transaction history, account information, and other sensitive information related to UPI will be deleted from Truecaller’s systems after a statutory period of 180 days as required by regulations.
The Swedish caller ID and spam identification had launched UPI payments service only two years ago in March 2019 in partnership with ICICI Bank. Earlier in 2018, Truecaller acquired lending company Chillr.
India is Truecaller’s largest market, accounting for over 75% of the company’s 250 million-strong userbase. As of May 2020, it had revealed that 720,000 of 1.2 million premium subscribers were from India. In 2020, its active users grew by 25% to 267 million; the company claimed that it became profitable and cash flow positive as well. In January, it hired a new chief financial officer to prepare for an initial public offering (IPO).
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