Paytm Payments Bank deadline ends today; here's what will work and what won't from tomorrow

Paytm Payments Bank deadline: Today marks the end of an extended deadline set by the Reserve Bank of India (RBI) for Paytm Payments Bank Limited (PPBL) to wind up its banking operations. After March 15, PPBL will stop accepting fresh deposits and top-ups. Originally, the RBI had set a deadline of February 29, which was later extended to March 15.

The end of the deadline will mean significant changes for millions of Paytm users and merchants.

Here's a fresh lowdown on what will work and what won't after March 15:

Account Operations Deposits:

 Customers will no longer be able to deposit money into their savings bank or current accounts with Paytm Payments Bank.

Withdrawals and Transfers:

Users will still be able to withdraw or transfer funds from their accounts, but no fresh deposits will be allowed after the deadline, except for interest, cash-backs, sweep-ins from partner banks, or refunds.

Also Read: Paytm joins third-party UPI app club; check out the full list here

Credits:

 Refunds, cashbacks, sweep-ins from partner banks, or interest will be allowed to be credited into accounts after March 15, 2024.

Paytm FASTag Usage:

 Customers will be able to continue to use their Paytm FASTags to pay tolls with the existing balance. However, no further funding or top-ups will be permitted after March 15.
Migration:
 To ensure uninterrupted travel, the National Highways Authority of India (NHAI) advises Paytm FASTag users to switch to FASTags issued by other banks before the deadline.

Auto Debit EMI's Execution:

Auto debit mandates will continue to be executed until the account balance is available. However, no further credits or deposits will be allowed after March 15.

Paytm Wallet Operations:

 Customers won't be able to top-up or transfer funds into their Paytm Wallets after March 15. However, existing funds can still be used for transactions and payments.

National Common Mobility Card (NCMC) Usage:

 NCMC cards issued by PPBL can still be used up to the available balance. However, reloading or topping up funds won't be possible after the deadline.

QR Codes and Sound Boxes Arrangements:

Users or merchants linked to other bank accounts for fund transfers can continue this arrangement post-March 15. However, no direct credit will be permitted into Paytm bank accounts, except for specified transactions like refunds and cashbacks.

UPI Services:

 Paytm's UPI service will remain operational beyond the deadline.

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

Migration:

Customers and merchants with '@paytm' handles will be seamlessly migrated to other banks, facilitated by the National Payments Corporation of India (NPCI).

Approval from NPCI

 On March 14, NPCI granted approval to One97 Communications Limited (OCL), Paytm's parent company, to participate in UPI services as a Third-Party Application Provider (TPAP) under the multi-bank model.

The RBI's deadline for Paytm Payments Bank brings significant operational changes for users and merchants. While certain services will continue, others will cease to function as usual. Customers are advised to make necessary arrangements to ensure minimal disruption to their financial activities.