RBI Governor Addresses Paytm Payments Bank Clampdown: Minimal Impact Expected, Services Explained

Services that will continue to work after March 15, 2024:

1. Money Withdrawal:
   • Paytm Payments Bank users can still withdraw the existing amount from their account or wallet.
2. Refunds and Cashback:
   • Users can receive refunds, cashback, sweep-ins from partner banks, and interests from their Paytm Payments Bank account.
3. Executing Withdrawal or Debit Mandates:
   • Withdrawal or debit mandates, like NACH mandates, can be executed from the Paytm Payments Bank account if there is a sufficient balance.
4. Merchant Payments:
   • Paytm Payments Bank wallet remains usable for making merchant payments.
5. Closing Paytm Payments Bank Wallet:
   • Users have the option to close the wallet and transfer the balance to another bank account.
6. Fastags Availability:
   • Fastags will be available, but users can only use them up to the available balance; adding more amounts won’t be an option.
7. Withdrawal using UPI:
   • Users can withdraw money from their Paytm bank account using UPI or IMPS.
8. Monthly OTT Payments:
   • Monthly OTT payments can be made using the existing balance, but after March 15, this must be done via another bank account.
9. Bank Account Transition:
   • Users need to add another bank account or change their bank account from Paytm Payments Bank to another supported bank account for services like salary credit, EMI payments, and recharging other Fastag balances.

Services that will not work after March 15, 2024:

1. Top-Up for Accounts, Fastag, or Wallet:
   • The option for top-ups for accounts, Fastags, or wallets won’t be available.
2. Incoming Transfers:
   • Users won’t be able to receive money from other users into their Paytm Bank account.
3. Salary and Direct Benefit Transfers:
   • Salary or other direct benefit transfers to the Paytm Payments Bank account won’t be available.
4. Fastag Balance Transfer:
   • Paytm-issued Fastag balance cannot be transferred to another Fastag.
5. Incoming Transfers via UPI/IMPS:
   • Transferring money into the Paytm Payments Bank account through UPI/IMPS won’t be possible after March 15, 2024