PhonePe inks pact with rival FreeCharge

Flipkart’s payments arm PhonePe said it has partnered mobile wallet company FreeCharge to allow the latter’s customers pay for transactions at PhonePe’s partner merchants.

According to the deal terms, PhonePe has now enabled its over 45 million users to link their existing FreeCharge wallets to the PhonePe app, PhonePe said in a statement.
Once linked, PhonePe customers will be able to spend their Free Charge wallet balance at all online and offline merchant outlets that accept payments via Phone Pe, it added.

“This is in line with our vision of making PhonePe India’s first truly open payments platform, where customers can use any and all payment instruments of their choice,” PhonePe Head Banking Products and Strategic Partnerships Hemant Gala said.

To pay via FreeCharge on PhonePe, customers can link FreeCharge from ‘My Account-Other Wallets’ section, following which they they can pay using FreeCharge or PhonePe wallet balance.

As part of the partnership, FreeCharge customers will be able to recharge and pay bills as well as make payments for over 60,000 online and offline merchants including MakeMyTrip, PVR, Cleartrip, 1mg, FreshMenu, Cafe Coffee Day, Apollo Pharmacy, KFC, Barista, Spencer s and FoodWorld etc.

Last year, Flipkart’s rival Snapdeal had agreed to sell its mobile wallet business — FreeCharge — to Axis Bank in a Rs 385 crore deal.