Mumbai, February 1: Indian multinational fintech company Paytm Bank's services have been curtailed the Reserve Bank of India. The prohibited services by Paytm Payments Bank include fund transfer, IPS, UPI, AEPS BBPO and more. The report mentioned that the fintech firm announced that the restrictions on the Paytm Payment Bank would prevent it from accepting deposits or top-ups in customer accounts, including the FASTags, wallets, instruments, wallets and NCMC cards.

According to the report by Times Now News, RBI ensured that the customers could withdraw and use their available balances and further confirmed that there will not be any restrictions on using balances in saving accounts, current accounts, NCMC cards, FASTags, prepaid instruments and others. The new restrictions on the Paytm Payment Bank will be effective from February 29, 2024. Hackers Likely Use ChatGPT To Promote Fake Data Breach From Rental Car Giant Europcar, Claim To Have Stolen Personal Information of Nearly 48 Million Customers.

Paytm Payment Bank My NCMC Will Stop Working:

Paytm Payment Bank POS and Soundbox Services Remain Unaffected:

Paytm Payment Bank My FASTag Will Stop Working:

Paytm App Will Be Working, Partnership Bank Services Remain Unaffected:

Paytm officially announced on X that the Paytm app will keep working as the company partners with the third party to "ensure continued services". Paytm posted on X that the My FASTag will stop working, but the users can continue using their existing balance on the Paytm FASTag. The company also posted that the POS machine and Soundbox services will not be affected along with services offered by partnered banks.

List of Paytm services Banned and Unaffected on Paytm Payment Bank

  • My National Common Mobility Cars (NCMC) - Banned 
  • FASTags - Banned 
  • Fund Transfer - Banned 
  • AEPS - Banned 
  • UPI facilities - Banned 
  • BBPOU - Banned 
  • IMPS - Banned 
  • Sound Box and POS Machines - Unaffected

According to the Times Now News report, the ban on NCMC cards will affect Online shopping, Food, Fuel, Metro and even Buses. Besides, platforms like Swiggy, Zomato, ZARA and DMRC will also be affected by Paytm Payment Bank restrictions on these cards. The report mentioned that the Nodal Accounts linked to One97 Communications Ltd and Paytm Payment Services will be terminated from February 29, 2024. The pending transactions and nodal accounts initiated on February 29 or earlier will reportedly be settled by March 15, with no further transactions allowed from that date onwards. eBay Agrees To Pay 'USD 59 Million' To Settle Lawsuit Related to Sales of Pill Press Machines.

The report highlighted that the Paytm Payment Bank will have to comply with these restrictions until further notice is received from RBI. These actions by the central bank focused on Paytm's banking activities. The Reserve Bank of India reportedly said, "Comprehensive System Audit" report and "subsequent compliance validation" report showed the bank's non-compliance and material supervisory concerns, leading to further supervisory action. 

(The above story first appeared on LatestLY on Feb 01, 2024 01:46 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website