Paytm Announces User Migration to New Banks with NPCI Approval

One 97 Communications Limited (OCL), the parent company of India’s leading payments and financial services app Paytm, received a green light from the National Payments Corporation of India (NPCI) to initiate user migration to new partner banks. This development, announced on April 17, 2024, signifies a significant shift for Paytm’s UPI (Unified Payments Interface) users who currently hold ‘@paytm’ handles.

The development stems from NPCI’s March 2024 approval for OCL to operate as a Third-Party Application Provider (TPAP) within a multi-bank framework. This regulatory nod opened doors for Paytm to collaborate with established financial institutions, expanding their service offerings and ensuring long-term sustainability.

Recognising this opportunity, Paytm has been actively working towards integrating with leading banks. This integration process is now complete for 4 prominent financial institutions: Axis Bank, HDFC Bank, State Bank of India (SBI), and YES Bank. These esteemed banks will act as the new Payment System Providers (PSPs) for Paytm users transitioning away from Paytm Payments Bank.

The streamlined process facilitated by NPCI’s approval ensures a smooth transition for the vast user base. Paytm will begin migrating ‘@paytm’ users to their chosen partner bank, guaranteeing uninterrupted access to UPI payments and the broader spectrum of financial services offered by these established institutions.

This strategic shift not only ensures compliance with regulatory guidelines but also strengthens Paytm’s position in the ever-evolving Indian fintech landscape. By leveraging the robust infrastructure and extensive reach of its new partner banks, Paytm can offer its user base a wider range of financial products and services, fostering a more comprehensive financial ecosystem.

Paytm ensures uninterrupted and secure UPI payments for users and merchants through the Paytm app by leveraging the robust infrastructure of its banking partners.

“We are committed to grow the UPI ecosystem in partnership with NPCI to every nook and corner of India,” said a Paytm spokesperson.

About One 97 Communication Ltd

One 97 Communications Ltd is India’s leading digital ecosystem for consumers as well as merchants. The company operates Paytm, which is India’s leading mobile payments and financial services provider.

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