If you are an HDFC Bank customer, you’d have been pleasantly surprised with their text message this morning. The bank now lets you shop on Google Play, Amazon and other international sites with your debit card.
Now calling this a big deal would be an understatement. This is a really big deal. Although we wonder what took the bank so long.
Unlike in the US, credit cards aren’t so big in India. Debit cards rule. While there are over 350 million debit cards in India, there are about 22 mn credit cards in the country. Private bank such as ICICI and HDFC are the largest issuers of credit cards in India.
By purchase volume, HDFC bank has nearly a quarter of the credit card market. With this move, the bank just leapt over competitors (Update: ICICI also lets you use debit cards). It might even force others to work out similar deals.