Citing customers’ interest, RBI gives Paytm relief till March 15

Sandeep Dikshit

New Delhi, February 16

The RBI on Friday gave customers and merchants of Paytm Payments Bank Ltd (PPBL) 15 more days to shift their accounts to other banks.

Now, by March 15, Paytm must close most of its operations, including deposit and credit transactions. The earlier deadline was February 29.

The RBI also clarified that the withdrawal or utilisation of balances by PPBL customers from their saving and current accounts, prepaid instruments, FASTags and National Common Mobility Cards will be permitted without any restrictions, up to their available balance, beyond March 15. But no further top-ups will be allowed.

It asked all customers to make alternative arrangements with another bank before March 15, 2024 to avoid inconvenience.

The existing deposits of PPBL customers maintained with partner banks can be brought back (sweep-in) to the accounts with PPBL, subject to the Rs 2 lakh ceiling on balance. These sweep-ins for use or withdrawal by the customer will continue to be allowed but no fresh deposits with partner banks through PPBL will be allowed after March 15. Customers paying EMIs or OTT subscriptions through PPBL will have to make alternative arrangements.

Merchants accepting payments using Paytm QR code, Paytm soundbox, Paytm POS terminal linked to PPBL account or wallet, will not be able to avail the service after March 15, and should also look for other alternatives.

Can use wallet, cards beyond deadline

Wallet services, FASTags and NCMC cards issued by Paytm Payments Bank can be used until the balance is exhausted beyond March 15, but no fresh deposits will be allowed