RBI Deadline On Paytm Payments Bank Ends Today: See What Is Allowed, What Is Not

Paytm Bank deadline: The RBI recommends customers to make alternative arrangements for setting up EMI payments and receiving payments via other banks or wallets before the deadline

One97 Communications, Paytm's parent entity, has been approved by the NPCI to participate in UPI services as a Third-Party Application Provider under a multi-bank model. ( Image Source :Getty )

The Reserve Bank of India (RBI) has set March 15 (Friday) as the deadline for Paytm Payments Bank (PPBL), following its earlier restrictions imposed on the bank. Initially barred from accepting fresh deposits and conducting credit transactions after February 29, the deadline was later extended to March 15 by the central bank due to persistent non-compliance issues and supervisory concerns identified in comprehensive audits.

Customers of PPBL are apprehensive about the potential disruption in services post the deadline. Here's what services will cease and what will remain operational.

Deposit and Transfer

While withdrawals and transfers will still be permitted, no further deposits, except interest, cashbacks, sweep-ins, or refunds, will be accepted after the deadline.

UPI/IMPS

Transfer of funds into PPBL accounts via UPI/IMPS will not be possible post-deadline.

UPI Services

Paytm's UPI service will continue to function seamlessly.

FASTag

Existing FASTags issued by PPBL can still be used for toll payments, but no further funding or top-ups will be allowed.

Auto Debit EMIs

Auto debit mandates will continue until the PPBL account maintains a balance.

Paytm Wallet

While top-up and transfer facilities will cease, existing funds in the wallet can still be utilised for transactions.

National Common Mobility Card (NCMC)

NCMC cards issued by PPBL can be used until the available balance depletes, but no further loading or top-up will be permitted.

UPI Migration

Customers and merchants with '@paytm' handles will be seamlessly migrated to other banks to avoid disruptions.

NPCI Approval

One97 Communications Limited (OCL), Paytm's parent entity, has been approved by the National Payments Corporation of India (NPCI) to participate in UPI services as a Third-Party Application Provider (TPAP) under a multi-bank model.

Alternative Arrangements

The RBI recommends customers to make alternative arrangements for setting up EMI payments and receiving payments through other banks or wallets before the deadline to avoid inconvenience. After March 15, users or merchants of PPBL bank account will not be able to receive any credit into their bank account or wallet with PPBL other than refunds, cashbacks, sweep-in from partner banks or interest. As the deadline ends today, Paytm Banks customers are urged to make necessary adjustments to their banking arrangements to minimise disruption to their financial activities.