Federal Bank partners OneCard for mobile-first credit card to target Gen - Z

• Federal Bank on Wednesday announced a tie-up with OneCard for a mobile-first credit card that targets the country’s young, tech-savvy population.

• It will target young working professionals aged 23-35, primarily representing the millennials and Gen Z, it said in a statement.
• The launch comes ahead of the festive season as Federal Bank aims to cash in on consumer credit demand, which is expected to peak around the festive season on the back of economic revival.
• The credit card will be issued through the OneCard app in under three minutes, as per the company, and can be activated and used instantly in virtual format until the physical card gets delivered.
• Users can control their cards through the app—from tracking spends and rewards to setting transaction limit on the card and more.
• Federal Bank’s target user base for this offering is young working professionals aged between 23 and 35 years, as per the bank.
• Demand for credit cards has been seeing a steady rise over the years. Credit card spends have grown at a compound annual growth rate (CAGR) of 25% from financial year 2016 to financial year 2021 and are expected to reach ₹15 trillion in total credit card spends for financial year 2024, as per the bank’s data.
•  “Credit card is a highly interactive financial product and at OneCard we are aiming to revisit its value proposition by offering a highly tech-enabled, customized experience," said Anurag Sinha, co-founder and chief executive officer, OneCard.