NPCI grants approval to Paytm to participate in UPI as a Third-Party Application Provider

National Payments Corporation of India (NPCI) has on Thursday granted approval to One97 Communications Limited (OCL) to participate in UPI as a Third-Party Application Provider (TPAP) under multi-bank model.

Alongwith this, NPCI has said that four banks, namely Axis Bank, HDFC Bank, SBI, and YES Bank, will be acting as Payment System Provider (PSP) to One97 Communications Limited. 

NPCI also informed that YES Bank will be acting as merchant acquiring bank for existing and new UPI merchants for OCL. And “@Paytm” handle will be
redirected to YES Bank. 

The payments watchdog stated that the move will allow existing Paytm users and merchants to continue conducting UPI transactions and AutoPay mandates in a seamless and uninterrupted manner.

Also, NPCI has aksed OCL to complete migration for all existing handles and mandates, wherever required, to new PSP banks at the earliest.

In an announcement on X (formerly known as Twitter, NPCI said: "NPCI grants approval to One97 Communications Limited (OCL) to participate in UPI as a Third-Party Application Provider (TPAP) under multi-bank model."

NPCI grants approval to One97 Communications Limited (OCL) to participate in UPI as a Third-Party Application Provider (TPAP) under multi-bank model.@dilipasbe

Read more here: https://t.co/XuJpyiiRNq

— NPCI (@NPCI_NPCI) March 14, 2024

More details awaited,.