According to the deal terms, PhonePe has now enabled its over 45 million users to link their existing FreeCharge wallets to the PhonePe app, PhonePe said in a statement.
Once linked, PhonePe customers will be able to spend their FreeCharge wallet balance at all online and offline merchant outlets that accept payments via PhonePe, it added.
"This is in line with our vision of making PhonePe India's first truly open payments platform, where customers can use any and all payment instruments of their choice," PhonePe Head Banking Products and Strategic Partnerships Hemant Gala said.
To pay via FreeCharge on PhonePe, customers can link FreeCharge from 'My Account-Other Wallets' section, following which they can pay using FreeCharge or PhonePe wallet balance.
As part of the partnership, FreeCharge customers will be able to recharge and pay bills as well as make payments for over 60,000 online and offline merchants including MakeMyTrip, PVR, Cleartrip, 1mg, FreshMenu, Café Coffee Day, Apollo Pharmacy, KFC, Barista, Spencer's and FoodWorld etc.