PayUMoney to shut down its wallet service by the end of Jan'18

Online payment service provider PayUMoney is shutting down its mobile wallet service to focus more on credit-based product LazyPay to push its consumer-facing business. The wallet service will be closed by January 31, 2018, and users have been asked to transfer all their money from wallet to their bank accounts. The news of the shutdown was first reported by Medianama.

The company said, "We would like to inform you that the PayUMoney wallet issued by RBL will be closing its services on 31st January 2018. Although we are restricting loading money to PayUMoney wallet from today onwards, you can still shop with your saved cards on your favorite brands."

Going forward, all the merchants offering PayUMoney wallet will be replaced by Citrus Pay. PayU bought Citrus Pay for $130 million in September 2016.

Citrus Pay, co-founder and PayU India MD, Jitendra Gupta said, "We will keep the wallet live as long as we see steady use cases but the focus is going to be push credit through LazyPay." He confirmed that the company is also slated to bring German credit startup Kreditech to India by next year.

Now that PayUMoney is officially shutting down, PayU will focus on growing its payment business under Citrus Pay and also on its consumer credit business under its Lazy Pay offering, which is essentially a pay later product.