Visa to launch payroll cards in India

Visa India is planning to introduce payroll cards even as it has recorded a 135 per cent increase in its debit card usage in the first half of 2004.

"We are in talks with banks for introducing the payroll cards for the population who are not covered under the banking sector," country manager - South Asia Visa International, Santanu Mukherjee, told reporters here.

A prepaid account will be opened with the bank and the money can be withdrawn from the ATMs, he said adding, it would create awareness about the cards among the people.

Sales volumes, which is the usage of Visa debit cards to pay for purchases at point of sale, has reached $310 million representing 135 per cent year-on-year growth, he said. "We expect over 100 per cent year-on-year growth over the next few years," he added.

"India has over 130 million consumers with bank accounts who are eligible for debit cards. With the increasing support from Visa's member banks in India, we are confident that Visa debit cards will increasingly become the preferred form of payment and help stimulate the migration to cashless electronic payments in the country," Mukherjee said.