@Paytm handle shall be redirected to YES Bank
BBN Bureau
Mumbai: The National Payments Corporation of India (NCPI), the umbrella organization for operating retail payments and settlement in India, approved Paytm-owner One97 Communications Ltd on Thursday to participate in UPI as a Third-Party Application Provider (TPAP) under the multi-bank model.
TPAP is an entity that provides UPI compliant apps to end-user customers to facilitate UPI-based payment transactions. These applications could be mobile wallets, merchant apps, or any other platform that utilizes UPI payments.
Axis Bank, HDFC Bank, State Bank of India, and YES Bank will act as Payment System Provider or PSP banks (enable mYES,hants to accept credit and debit card payments) to Paytm. YES Bank shall also be acting as a merchant acquiring bank. It means the bank is licensed by card schemes (e.g., Mastercard or Visa) to accept credit or debit card payments for merchants for existing and new UPI merchants for One97 Communications Ltd (OCL). The @Paytm handle shall be redirected to YES Bank, NPCI said in a statement.
NPCI approved One97 Communications Limited (OCL) to participate in UPI as a Third-Party Application Provider (TPAP) under the multi-bank model. OCL provides payment services under the Paytm brand. “This will enable existing users and merchants to continue to do UPI transactions and AutoPay mandates seamlessly and uninterruptedly,” it said.
Paytm has been advised to complete migration for all existing handles and mandates, wherever required, to new PSP banks at the earliest. The NPCI’s decision comes a day ahead of the Reserve Bank deadline asking customers and merchants of Paytm Payments Bank Ltd (PPBL) to shift their accounts to other banks by March 15.
