Plastic money, be it debit or credit card so far has been bearing logos of global payment service providers MasterCard and Visa. But it might not be too long when these logos would be replaced by 'Rupay'.

Rupay, the Indian payment service is being launched by National Payments Corporation of India (NPCI). NPCI began operations three years back with 10 banks coming together to form it. It basically looks into the retail payment system in the country.

The entire plastic money payment mechanism in India is presently routed through these foreign players, MasterCard and Visa.

"There should be something domestic. Payment information is very sensitive. So there has to be repository of payment information with some institution. Why should banks in India pay such high fee to MasterCard or Visa," AP Hota, CEO, National Payments Corporation of India said.

"We believe that it's possible to reduce the processing fee that banks pay to MasteraCard and Visa by half if not more. Rupay will be aiming at reducing the cost for the bank," Hota added.

Alok Mishra, CMD, Bank of India , said, "It is indigenous and will be cheaper. Most people here don't travel abroad nor do they need settlement for Visa, MasterCard. What they require is a settlement here. And I think Rupay will work for them."