AU Small Finance Bank launches ‘Credit on UPI’ AU KOSMO Credit Card. Details here

AU Small Finance Bank (AU SFB) has officially launched its ‘AU KOSMO Credit Card’, a credit card based on UPI (Unified Payments Interface) in partnership with Kiwi, a leading ‘Credit on UPI’ platform.

UPI is fast emerging as the preferred payment option for credit cards now. In August 2025, UPI P2M (Person-to-Merchant) payments saw a 26% year-on-year growth, crossing ₹7.2 lakh crore in value. RuPay’s credit card market share has also grown significantly, rising from 3% in FY23 (2022-23) to nearly 12% in FY25 (2024-25), with around 28% of all credit card transactions being now powered by RuPay.

“By enabling UPI-based credit transactions at both online and offline merchants, the AU KOSMO credit card caters to India’s growing preference for UPI in everyday spending,” said Uttam Tibrewal, Executive Director & Deputy CEO, AU Small Finance Bank.

“Over the past two years, we have witnessed exponential growth in RuPay credit card adoption, usage, and retention,” said Mohit Bedi, Co-founder and Chief Business Officer, Kiwi.

Key features of the AU KOSMO Credit Card

Lifetime free card: No annual or renewal fees.

Rewards: Earn rewards on every spend – UPI, retail, or online via the Kiwi app. You can collect ‘Kiwi Rewards’ for your credit card spends made through UPI, the Kiwi mobile application, and on E-Com (E-Commerce), POS (Point of Sale) and for contactless transactions. Rewards earned on eligible spends during a statement cycle will be credited to your Kiwi account on the date of your credit card statement generation. They will be visible through the Kiwi App.

Note: Kiwi Rewards are not applicable for cash, rent, education and government payments, insurance, EMI (Equated Monthly Instalment), fuel and BBPS (Bharat Bill Payment System) transactions.

Fuel surcharge waiver: 1% fuel surcharge waiver on fuel spends between ₹400- ₹5000 across all fuel stations in the country.

Note: Maximum fuel surcharge waiver is ₹100 per statement cycle

Scan and pay convenience: Make credit payments via any UPI-enabled merchant QR code—no physical card needed. You must create a separate UPI PIN for your credit card to use for UPI transactions. This can be created when linking your ‘RuPay Credit Card’ to any UPI app. You can make transactions for up to ₹5000 without entering your PIN.

Xpress EMI: You can convert transactions of ₹500 and above with a minimum total value of ₹2000 into EMI. You can club up to 20 billed or unbilled transactions together for conversion.

Allirajan M is a journalist with over two decades of experience. He has worked with several leading media organisations in the country and has been writing on mutual funds for nearly 16 years.

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