Paytm Payments Bank Service Changes: What You Need to Know

HomeTech NewsPaytm Payments Bank Service Changes: What You Need to Know

Highlights

  • Withdraw and transfer funds up to the available balance in PPBL accounts.
  • No new deposits in PPBL accounts post-March 15, 2024.
  • Refunds, cashbacks, and interest credits continue in PPBL accounts.
  • Wallet, FASTag, and NCMC card usage allowed up to existing balance.

From March 15, 2024, Paytm Payments Bank Ltd (PPBL) will see significant changes to its services following directives from the Reserve Bank of India (RBI).

This comes after the RBI identified non-compliance with banking norms by PPBL, leading to restrictions on the bank’s ability to accept fresh deposits or top-ups from the said date.

The RBI’s decision has led to adjustments in the services provided by PPBL, impacting how customers can use their accounts.

Here’s a detailed overview of what’s changing, what services will remain available, and what won’t be accessible post-March 15.

Services Continuing Post-March 15

Services Continuing Post-March 15
Services Continuing Post-March 15
  • Withdrawals and Transfers: Customers can still withdraw or transfer money using their accounts or debit cards up to the existing balance.
  • Refunds and Cashbacks: Accounts will still receive refunds, cashbacks, and interests.
  • Sweep-in from Partner Banks: Funds with partner banks can be transferred back to PPBL accounts, respecting the ₹2 lakh balance limit.
  • Wallet Use: Wallet balances can still be used for transactions, transfers to other wallets, or bank accounts, and for merchant payments (minimum KYC wallets restricted to merchant payments only).
  • FASTag Payments: FASTags issued by PPBL can be used until their balance runs out.
  • NCMC Cards Use: NCMC cards can be used up to the balance available.
  • Bharat Bill Payment System (BBPS): Payments through BBPS can be made from PPBL accounts up to the available balance.
  • Biometric Withdrawals: Withdrawals using AePS (Aadhar enabled Payment System) are available up to the account balance.
  • Withdrawal via UPI/IMPS: Funds can be withdrawn through UPI/IMPS based on the available balance.

Services Discontinued After March 15

Services Discontinued After March 15
Services Discontinued After March 15
  • Account Deposits: No deposits, including salary, subsidies, or direct benefit transfers, can be made into PPBL accounts.
  • New Deposits to Partner Banks: Fresh deposits through PPBL into partner banks will be stopped.
  • Wallet Top-ups: No new funds can be added to PPBL wallets.
  • FASTag and NCMC Cards Recharge: No top-up or recharge will be possible for FASTags and NCMC cards issued by PPBL.
  • Money Transfers to PPBL Account: No money can be transferred into PPBL accounts via UPI/IMPS.

Making the Transition

Paytm Payments Bank Service Changes: What You Need to Know
Paytm Payments Bank Service Changes

Customers using PPBL for salary credits, subsidies, or direct benefit transfers need to link their transactions to another bank before March 15 to avoid disruptions.

Similarly, for automatic bill payments, subscriptions, or loan EMIs debited from PPBL accounts, ensure sufficient balance until alternative arrangements are made.

FAQs

Q: Can I still withdraw money from my Paytm Payments Bank account after March 15, 2024?

A: Yes, withdrawals and fund transfers from your PPBL account will remain active up to the available account balance.

Q: Will I be able to receive my salary in my Paytm Payments Bank account after the changes?

A: No, after March 15, 2024, credits such as salary payments into PPBL accounts will be discontinued. Consider linking your salary to a different bank account.

Q: Can I top-up my Paytm wallet after March 15, 2024?

A: No, adding new funds to your PPBL wallet, including top-ups and transfers, will not be permitted after the specified date.

Q: Are FASTag services by Paytm Payments Bank affected by the recent changes?

A: Yes, while existing FASTag balances can be used, recharging FASTags through PPBL will not be possible after March 15, 2024.

Q: How will the Paytm Payments Bank changes impact automatic bill payments and subscriptions?

A: Automatic withdrawals for bill payments and subscriptions will continue as long as there is a balance in your account. However, ensure alternative payment methods are set up due to the new deposit restrictions.

Also Read: Paytm Payments Bank Ban in India and FASTag: How To Deactivate, Port to Different Bank, Check Status, and More

Also Read: Paytm Partners with Axis Bank to Ensure Uninterrupted Merchant Transactions

Also Read: Top 10 Paytm UPI Alternative Apps in India for Secure Transactions

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