New Delhi: The Reserve Bank of India on Friday mentioned for the reason that Paytm Payments Bank can not settle for additional credit into its buyer accounts and wallets after March 15, 2024, sure further steps have develop into crucial to make sure seamless digital funds by UPI prospects utilizing ‘@paytm’ deal with operated by the Paytm Payments Bank, and minimise focus danger within the UPI system by having a number of fee app suppliers.
RBI has mentioned that the actions are undertaken within the sole curiosity of defending the shoppers and fee system from any potential disruptions and are with none prejudice to the regulatory or supervisory actions initiated by RBI towards Paytm Payments Bank.
RBI has taken additional motion on Paytm Payments Bank. The further steps are as follows, test essential particulars
— National Payments Corporation of India (NPCI) has been suggested by the RBI to look at the request of One97 Communication Ltd (OCL) to develop into a Third-Party Application Provider (TPAP) for UPI channel for continued UPI operation of the Paytm app, as per the norms.
— It has been additional suggested that within the occasion of NPCI granting TPAP standing to OCL, it could be stipulated that ‘@paytm’ handles are to be migrated in a seamless method from Paytm Payments Bank to a set of newly recognized banks to keep away from any disruption. No new customers are to be added by the mentioned TPAP till all the present customers are migrated satisfactorily to a brand new deal with.
— For seamless migration of ‘@paytm’ deal with to different banks, NPCI could facilitate certification of 4-5 banks as Payment Service Provider (PSP) Banks with demonstrated capabilities to course of excessive quantity UPI transactions. This is in keeping with NPCI norms for minimising focus risk1.
For the retailers utilizing PayTM QR Codes, OCL could open the settlement accounts with a number of PSP Banks (apart from Paytm Payments Bank).
The RBI has additional clarified that the migration of UPI handles as above is relevant solely to such prospects and retailers who’ve a UPI deal with ‘@Paytm’. For others who’ve a UPI deal with or deal with apart from ‘@Paytm’, no motion is required to be taken by them.
Similarly, the shoppers, whose underlying account/ pockets is at present with Paytm Payments Bank, are suggested to make various association with different banks effectively earlier than March 15, 2024, as already suggested within the FAQs launched by RBI on February 16, 2024.
RBI has reiterated that the holders of FASTag and National Common Mobility Cards (NCMC) issued by Paytm Payments Bank, could make various preparations earlier than March 15, 2024 to keep away from any inconvenience.
Source: zeenews.india.com
