Sunday, March 9

Month: March 2024

Safeguard Your Digital Transactions using 8 Simple Techniques
Banking, Fintech, Payments

Safeguard Your Digital Transactions using 8 Simple Techniques

Safer Ways to Conduct Digital Transactions In an increasingly digital world, secure online transactions are essential to protect your financial information and personal data. Whether you’re shopping online, paying bills, or transferring money, following best practices ensures a safer experience. Here are some crucial steps to enhance the security of your digital transactions: 1. Use Unique Passwords Why? A strong password is your first line of defense against unauthorized access. What to Do: Create unique passwords for each online account. Avoid using easily guessable information like birthdays or common words. Combine uppercase and lowercase letters, numbers, and special characters. Consider using a reliable password manager to securely store your passwords. ...
International Transactions on Credit Card: 2 simple ways to Disable it
Banking, Payments

International Transactions on Credit Card: 2 simple ways to Disable it

In today’s interconnected world, credit cards and digital transactions have become an essential part of our financial lives. They offer convenience, security, and flexibility. However, with the increasing prevalence of online transactions and global travel, it’s crucial to understand the risks associated with international credit card usage. In this article, we’ll delve into why international transactions pose a higher risk and explore steps to safeguard your finances by disabling them. Why Is the Risk Higher on International Transactions? Lack of 2-Factor Authentication (2FA): In India, domestic credit card transactions require 2-factor authentication (2FA). This means that both a PIN (for point-of-sale transactions) and an OTP (for online transactions) are necessary for adde...
Bajaj Housing Finance Initiates IPO Preparation, Aims for $9-10 Billion Valuation
NBFC, Wealthtech

Bajaj Housing Finance Initiates IPO Preparation, Aims for $9-10 Billion Valuation

Bajaj Housing Finance Gears Up for IPO, Targets Multi-Billion Dollar Valuation Bajaj Housing Finance, a subsidiary of Bajaj Finance Ltd, has commenced preparations for an initial public offering (IPO) with the goal of achieving a valuation between $9 billion and $10 billion. The move comes as a result of regulatory requirements imposed by the Reserve Bank of India (RBI) on "upper layer" non-banking financial companies (NBFCs) to list within three years of identification. Let's delve into the details of this upcoming IPO. Preparations for IPO: Bajaj Housing Finance has reportedly entered into preliminary discussions with various investment banks regarding the potential IPO. The company aims to raise approximately $900 million to $1 billion through the IPO, considering the minimum dilutio...
Axis Bank Credit Card Fraud: 5 Actions to Take Immediately
Payments, Banking

Axis Bank Credit Card Fraud: 5 Actions to Take Immediately

The recent Axis Bank credit card fraud fiasco has left many customers in India concerned and vulnerable to fraudulent international transactions. It is crucial for affected individuals to take immediate action to safeguard their financial interests and protect themselves from further harm. This article aims to provide an overview of the situation and offer guidance on the necessary steps to mitigate the risks associated with this incident. Understanding the Axis Bank Credit Card Fraud: Axis Bank, one of India's leading financial institutions, recently faced a significant security breach resulting in fraudulent international transactions on some of its customers' credit cards. This incident has raised concerns among the affected individuals, as unauthorized transactions can have severe fi...
CBDC’s Programmability: Revolutionizing Digital Transactions and Governance
Payments

CBDC’s Programmability: Revolutionizing Digital Transactions and Governance

Central Bank Digital Currency (CBDC) has emerged as a transformative force in the financial landscape, with experts predicting that its programmability feature will turbocharge its impact. In a recent episode of FinTech Diary, industry leaders discussed the potential of CBDC, its current initiatives, and the journey of India's CBDC pilot projects. This article explores the key insights shared by these experts and highlights the significance of CBDC's programmability in revolutionizing the way we transact and govern financial transactions. Exploring CBDC's Potential and Scope: CBDC, often referred to as digital cash, operates outside traditional bank accounts and instead resides in digital wallets. Ajay Rajan, Country Head at Yes Bank, emphasizes that CBDC's programmability, offline mode,...
RBI’s Risk Weight Hike: Implications for Incremental Bank Lending to NBFCs
Digital Lending, NBFC

RBI’s Risk Weight Hike: Implications for Incremental Bank Lending to NBFCs

The Reserve Bank of India (RBI) recently implemented a significant increase in risk weight for bank exposures to Non-Banking Financial Companies (NBFCs). This move is expected to have a notable impact on incremental bank lending to the NBFC sector. In this article, we will explore the implications of the RBI's decision and discuss the potential consequences for the lending landscape. Key Points: Decrease in Bank Loans to NBFCs: As of January 2024, outstanding bank loans to NBFCs stood at Rs 15.03 trillion. However, in FY23, banks extended only Rs 3.08 trillion to finance companies, a significant decline compared to the previous year's Rs 73,831 crore. This downward trend can be attributed to various factors, including the tightening of risk weights by the RBI. Projections for FY25: ...
Paytm’s FY25E Revenue Likely to Decline by 24%: Challenges Ahead
Payments

Paytm’s FY25E Revenue Likely to Decline by 24%: Challenges Ahead

Introduction:  In a rapidly evolving digital landscape, Paytm, one of India’s leading digital payment platforms, faces significant headwinds. A recent report by Motilal Oswal Financial Services sheds light on the company’s future prospects, highlighting potential revenue declines and competitive pressures. The Forecast: A 24% Revenue Drop Motilal Oswal estimates that Paytm’s FY25E revenue is expected to decline by a substantial 24%. This projection reflects the challenges the company is currently grappling with. Let’s delve into the key factors contributing to this anticipated decline: Business Transition: Paytm is undergoing a significant business transition. As it diversifies its offerings beyond payments, it faces the delicate task of retaining existing cus...
Trust Bank Empowers Customers with AutoPay for Hassle-Free Credit Card Repayments
Fintech, Payments

Trust Bank Empowers Customers with AutoPay for Hassle-Free Credit Card Repayments

Trust Bank, Singapore's digital bank, has rolled out AutoPay, a new feature aimed at simplifying credit card repayments for its users. This development allows Trust Bank customers to set up automatic repayments for their credit cards with just a few clicks, provided they have a savings account. Introducing Trust Bank's AutoPay Feature Trust Bank's AutoPay feature offers a straightforward setup process. Customers who have a Trust credit card and savings account can activate AutoPay in a matter of seconds. Even those without a savings account can open one quickly, with an account opening experience that takes approximately one minute. Benefits for Savings Account Holders: Interest Rates and Insurance Coverage In addition to the convenience of automatic repayments, Trust Bank's savings ac...
The Economics of Holi: Celebrating Color, Culture, and Commerce
Economics

The Economics of Holi: Celebrating Color, Culture, and Commerce

Holi, the vibrant festival of colors, is not only a time for joyous celebration and cultural festivities but also an occasion that holds economic significance. Originating in India, Holi has transcended borders and gained recognition as a global festival. In this article, we explore the economics of Holi, examining its impact on various sectors and shedding light on the financial aspects associated with this colorful extravaganza. The Colourful Economics of Holi 1. Tourism and Hospitality Industry: According to the Ministry of Tourism, Government of India, Holi attracts a substantial number of international tourists. In 2019, around 300,000 foreign tourists visited India during the Holi season. A report by the Federation of Hotel & Restaurant Associations of India (FHRA...
Digital Wallet Dominance: 58% India’s E-Commerce Revolution Driven by Mobile Wallets
Fintech, Payments

Digital Wallet Dominance: 58% India’s E-Commerce Revolution Driven by Mobile Wallets

India’s e-commerce landscape is undergoing a significant transformation, with alternative payment methods now commanding a substantial 58% share of the market in 2023. This shift, driven by the widespread adoption of mobile and digital wallets, marks a profound change in consumer preferences and transactional behavior. The Changing Face of Indian E-Commerce: The Rise of Alternative Payments Mobile Wallets: Brands like Amazon Pay and Google Pay have gained prominence as alternative payment solutions among Indian consumers. Decline of Cash: Traditional cash payments, prevalent in in-store retail, have witnessed a sharp decline in online purchases, capturing only a 6.2% share of the market. Payment Cards Remain Relevant Credit and Charge Cards: Payment...