Unpacking Niyo Solutions' zero forex markup cards

As of now, Niyo Global cards are a good payment option for frequent overseas travellers

- Shipra Singh

Here’s why fintech companies want you to opt for their debit and credit cards: A superior online banking experience, albeit such cards being issued in association with banks. Fancy that? Let’s take the case of Niyo Solutions. The firm has partnerships with Equitas, DCB Bank, Yes Bank and SBM Bank for its different offerings—prepaid cards for blue-collar salaried professionals, savings account-linked debit cards and the zero forex markup travel card, known as Niyo Global.

In any case, by signing up with Niyo, you open a regular savings account with one of the partner banks. For a debit card, you have to open a zero balance savings account with either Equitas or DCB Bank, whereas its credit cards are issued in partnership with SBM bank. For the prepaid cards, it has a tie up with YES Bank.

Niyo facilitates the application process and lets you bank through its mobile app. “All the savings account functions that a customer can do with a bank can be done with Niyo as well. We, as a tech company, make the banking experience better through our mobile application with superior user interface," said Vinay Bagri, co-founder and CEO, NiYo. To be sure, you can operate the same savings account through the partner bank’s netbanking service and by visiting the bank branch.

Graphic: Mint
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Graphic: Mint
Next, you get a debit or credit card linked to this savings account. The credit card, however, is a secured card. To be sure, secured cards can only be taken against a fixed deposit (FD). The credit limit is equal to the FD amount. If the customer defaults on bill payments, the card is blocked and the FD is used to settle the outstanding bill. The card is unblocked only after the customer pledges a fresh FD of the entire amount.

Most importantly, the credit card is issued only to passport holders. “Currently, credit cards are offered only under our Niyo Global programme," said Bagri.