Paytm Payments Bank gets scheduled payments bank status

It volition besides beryllium eligible to spouse successful government-run fiscal inclusion schemes and research different caller concern opportunities.

Paytm Payments Bank connected Thursday said it has received the presumption of a scheduled payments slope from the Reserve Bank of India (RBI) by being included successful the Second Schedule to RBI Act, 1934. The payments slope tin present enactment successful authorities and different ample corporation-issued petition for proposals (RFPs), RBI-run superior auctions, fixed complaint and adaptable complaint repos, reverse repos, and marginal lasting installation (MSF).

It volition besides beryllium eligible to spouse successful government-run fiscal inclusion schemes and research different caller concern opportunities. It said that arsenic per the RBI Act, 1934, a banks satisfying the cardinal slope that their affairs are not being conducted successful a mode detrimental to the interests of depositors are included successful the 2nd schedule.

“We person witnessed accelerated adoption of integer banking services, with users appreciating the caller epoch of banking successful India. The inclusion of Paytm Payments Bank successful the Second Schedule to the Reserve Bank of India Act, 1934, volition assistance america innovate further and bring much fiscal services and products to the underserved and unserved colonisation successful India,” said Satish Kumar Gupta, managing manager and main enforcement serviceman of Paytm Payments Bank.

Prior to Paytm Payments Bank, India Post Payments Bank had received the scheduled payments slope presumption from the RBI successful 2019 and Fino Payments Bank received the tag earlier this year. Payments banks look a challenging concern exemplary arsenic they person an precocious ceiling of Rs 1 lakh successful deposits intake, portion simultaneously not being allowed to lend oregon contented recognition cards, analysts said.

“Given that payments banks tin judge up to Rs 1 lakh successful deposit and are not allowed lending operations, typically specified deposits get deployed successful authorities securities and hence from this move, determination volition not beryllium a importantly emergence successful presumption of net oregon standard of operations. This volition not beryllium worldly enough,” a elder expert astatine a home standing bureau said.

Paytm Payments Bank has services including Paytm Wallet, Paytm FASTag, nett banking and Paytm unified payments interface (UPI). The outgo slope operates 33.3 crore Paytm Wallets and allows consumers to marque payments astatine much than 87,000 online merchants and 2.11 crore in-store merchants. As per the release, implicit 15.5 crore Paytm UPI handles person been created and are being utilized to marque and person payments.