Closed-Loop Wallet Management

Closed-Loop Wallet API enables businesses to implement merchant-specific digital wallet solutions that can only be used within the issuing merchant's website or mobile application. This prepaid payment instrument provides a controlled, branded payment experience that drives customer loyalty and repeat engagement.

Unlike semi-closed-loop wallets, closed-loop wallets are not regulated by RBI and operate within the merchant's ecosystem, making them ideal for businesses looking to create a seamless, integrated payment experience for their customers.

Key Highlights

• Merchant-specific wallet usage only
• No RBI regulatory requirements
• Enhanced customer retention through integrated experience
• Cashback and loyalty program integration

Implementation Benefits

• Easy to Integrate: Simplified implementation process
• Merchant Control: Complete control over wallet features and experience
• Customer Retention: Enhanced loyalty through integrated payment experience
• Flexible Features: Support for cashback, promotions, and loyalty programs

Key Features

Merchant-Specific Usage

The wallet can only be used on the issuing merchant's website or mobile application, ensuring complete control over the customer payment experience.

One-Click Payments

• Instant payment processing using stored wallet balance
• Pre-fetched wallet balance display during checkout
• Seamless transaction completion without redirections

Load & Pay Functionality

• On-the-fly wallet loading during checkout
• Flexible payment options when wallet balance is insufficient
• Immediate transaction processing after successful loading

No Cash Withdrawal

Cash withdrawal is not permitted, ensuring funds remain within the merchant ecosystem for future purchases.

Advantages

• Enhanced Customer Retention: Closed-loop wallets keep customers within your ecosystem, encouraging repeat purchases and building long-term customer relationships through integrated loyalty programs
• Simplified Compliance: Since closed-loop wallets are not regulated by RBI, businesses can implement wallet solutions without complex regulatory compliance requirements.
• Complete Control: Merchants have full control over the wallet experience, including branding, features, and customer journey optimization.
• Increased Transaction Success: With funds pre-loaded in the wallet, transaction success rates improve significantly compared to traditional payment methods.

Load & Pay Journey

For Transaction Amount > Wallet Balance:

1. Insufficient Balance Detection System identifies when wallet balance is insufficient for the transaction

2. Add Amount Option Customer can choose to add the required amount to complete the purchase

3. Payment Instrument Selection Customer selects preferred payment method for wallet loading

4. Transaction Completion Wallet is loaded and original transaction is processed immediately

Closed loop wallet management involves the following APIs:

• Create Wallet/Card API: This API will be required by the merchants to register the customer for wallet.
• Retrieve Customer Record API: This API will be required by Merchants to fetch customer details and balance present in the customer wallet.
• Update Profile API: This API will be used to update the customer profile details.
• Load API: To load the money in the wallet post receiving success of the transaction.
• Unload API: To spend the money from the wallet.
• Check Status API: This will be required to check status of the load API used in the top-up journey.
• Statement Inquiry API: This API can be used to fetch wallet transaction data between specific range.
• Change Card Status API: This API used to change the card status of the card number of the customer.