Uber ties up with Paytm; loses the ease - adds extra step

Taxi-hailing smartphone app Uber has now added debit card and net banking as payment options. However, it has also added one more step to the billing process. A user will now have to link his Uber account to a Paytm wallet, which needs to be recharged.

The Uber smartphone app used to be very easy to use. All one needed to do was download it onto an iOS / Android phone and register with Uber by filling out the mandatory details and entering his credit card details and CVV number. After registration, the user could use the app to locate the nearest available taxi and hail it to take him to the required destination. The app allowed the user to track the taxi, as it made its way to his/her pickup point. Uber handled the complete billing process.

How the new payment method works:

• Existing users will have to update the Uber app and open it. The user then taps on the profile icon at the top of the screen and clicks on 'Payment'. If he is unable to see the wallet option, he has to close the app and open it again.
• If a user already has a Paytm wallet, he may link it to his Uber account. If not, the app will help him create one.
• The user has to recharge his wallet whenever he wants by using a credit card, debit card or net banking account. The minimum recharge amount is Rs. 100.
• The user will be emailed a receipt at the end of the trip. The receipt will contain a detailed fare breakdown and the details of the trip route taken. The fare will be automatically debited from his e-wallet. If the fare exceeds his wallet balance, he will be prompted to clear the balance before taking the next ride.

Uber started its services in India last year and gained popularity quickly as it was offering luxurious cars such as Mercedes-Benz E-Class and BMW 5-Series. Now the company is believed to be replacing them with more economical cars like the Toyota Innova, Corolla and Honda City.