Amid RBIs crackdown on Paytm Payments Bank, in an attempt to ease customer anxieties, Paytm founder Vijay Shekhar Sharma on Friday tweeted that the app would remain functional until February 29. This was in spite of the Reserve Bank of India imposing limits on the fintech companys associate bank starting in March.Your favourite app is working, will keep working beyond 29 February as usual. I with every Paytm team member salute you for your relentless support. For every challenge, there is a solution and we are sincerely committed to serve our nation in full compliance Paytm founder Vijay Shekhar Sharma said in a post on X.To every Paytmer,Your favourite app is working, will keep working beyond 29 February as usual.I with every Paytm team member salute you for your relentless support. For every challenge, there is a solution and we are sincerely committed to serve our nation in full…— Vijay Shekhar Sharma (@vijayshekhar) February 2, 2024India will keep winning global accolades in payment innovation and inclusion in financial services - with PaytmKaro as the biggest champion of it, the post on X added.Paytm Payments Bank Limited (PPBL), an associate of OCL (One 97 Communications Limited), received RBI directions on termination of the nodal account of OCL and Paytm Payments Services Limited (PPSL) by February 29, 2024.Assuring the services through its official blog post, Paytm said, We are expanding our existing relationships with leading third-party banks to distribute payments and financial services products.What will workMost Paytm app features: All the core functionalities of the Paytm app, such as bill payments, recharges, shopping, movie tickets, etc., will continue to function as usual.Paytm wallet: You can still use your existing Paytm wallet balance for transactions after February 29.Offline payment solutions: Paytms offline payment offerings like Paytm QR, Soundbox, and card machines will also continue to work seamlessly.What might be affectedTransactions linked to Paytm Payments Bank: If your UPI address or wallet is linked to Paytm Payments Bank (PPBL), then you wont be able to add money or top up your account after February 29. However, you can still use the existing balance and withdraw or transfer funds.New features and partnerships: Paytm might face some limitations in launching new features or partnering with other banks due to the RBIs directive on PPBL. However, the company is actively working on solutions to minimize these impacts.
