How Paynback is turning everyday UPI payments into real rewards

What problem does your startup solve in one sentence?

In India, most people pay offline using UPI, yet very few receive any rewards. Only some credit or debit card users enjoy perks. Paynback changes that by rewarding everyday UPI payments—so every transaction feels meaningful.

When did the idea hit you, and what was the first thing you did next?

It all started at an airport. I tried to access the lounge using my debit card, but it was declined. When I called the bank, they told me I hadn’t used the card enough, so they revoked my lounge access.

I was shocked. I spend regularly, but mostly through UPI. That’s when it clicked—UPI users like me make purchases every day, yet get zero rewards. It didn’t seem fair.

So I started building a concept: what if every UPI payment earned points? Points that could be used like real money at local partner stores. Simple, practical, and finally rewarding.

How did you fund the early days—bootstrapped, borrowed, or begged? (Be honest!)

Fully bootstrapped. We used personal savings and cut back on spending. It wasn’t easy, but we believed deeply in what we were building—and that belief kept us going.

What’s your current revenue model in simple terms?

We generate revenue in two ways:

1. Helping brands and local shops promote themselves on our platform.

2. Earning a small commission from transactions made at partner stores.

In return, shops gain loyal customers, and users earn real rewards. It’s a win-win.

One thing you thought would work but totally flopped?

QR code flyers.

We assumed people would scan them and instantly join. But the reality? No one scans anything unless there’s a strong reason.

So we dropped that approach and instead focused on getting merchants to refer users and promoting the app directly inside stores—which worked far better.

One business myth you want to bust right now?

“Build it and they will come.”

That’s a myth. Even if your product is amazing, you have to market it, explain how it helps, and earn users’ trust. Building it is just the beginning.

Team strength today, and who was your first hire?

We’re now a team of 22.

Our first hire was a talented UI/UX designer who helped turn rough ideas into something users could actually interact with.

Biggest hiring lesson? Attitude beats fancy degrees. We've found that passion and curiosity often lead to the best work

If someone invested ₹10 crore right now, where would you spend it first?

Two major priorities:

1. Enhancing our technology—especially personalization, field sales tracking, and UPI integrations across India.

2. Scaling aggressively in Tier 2 and Tier 3 cities, where loyalty programs truly resonate and where user excitement is already high.

Your first-ever pitch deck—how different was it from where you are now?

Our first deck? Honestly, it looked like a diary—big dreams, messy sketches, and little structure.

Today, we’ve got real traction, working prototypes, active users, and a focused go-to-market strategy. We’re still dreaming big—but with our feet firmly on the ground.

Biggest milestone so far—what made you feel “we’re onto something”?

Two moments really stood out.

First, getting approved for BBPS integration under NPCI—that was huge. It felt like the system itself validated our vision.

Second, when TRAI cleared our IoT development efforts—it unlocked major potential in smart retail and connected payments.

But the most meaningful moment? When merchants began signing up on their own, without our team even reaching out. That’s when we knew the ecosystem was truly working—and that people genuinely wanted in.