Bengaluru, Sept. 18 -- A new breed of fintech startups is helping banks co-brand and manage credit cards with leading consumer brands, as issuers outsource origination to platforms like Hyperface, Card91, Falcon and VegaPay.

As credit card non-performing assets (NPAs) inch up and credit card issuances flatline, several private sector banks are turning to these players for digital-led acquisition while firmly retaining the issuer role.

Banks, including YES Bank, ICICI Bank, AU Small Finance Bank, Federal Bank and IndusInd Bank, have been outsourcing credit card origination to these startups, according to conversations with industry experts and fintech operators.

Co-branded credit cards run on networks such as RuPay over UPI, Visa and Ma...