India’s fintech firm, Paytm, has received approval to pivot
its operations towards a consumer digital payments platform, following
regulatory orders to wind down its banking affiliate, Paytm Payments Bank. This
development marks a transition for the company, ensuring continuity in its core
business amidst regulatory challenges.
The National Payments Corporation of India (NPCI) announced yesterday
(Thursday) that Paytm has been granted approval to operate as a consumer
digital payments platform, with support from prominent lenders including Axis
Bank, HDFC Bank, State Bank of India, and Yes Bank. These banking partners will
facilitate peer-to-peer transactions and Unified Payments Interface (UPI)
payments
Payments
One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl
One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl
Read this Term, leveraging India’s pioneering instant money transfer system.
Previously, Paytm operated under a license linked to its
affiliate, Paytm Payments Bank, which managed its digital wallets and payments
traffic. However, regulatory orders mandated the cessation of Paytm Payments
Bank’s operations due to continued breaches of rules, prompting Paytm to seek
alternative arrangements to sustain its business.
Now, officially your Paytm UPI will work! We have received approval from @NPCI_NPCI to participate in UPI as a Third-Party Application Provider (TPAP) under multi-bank model
Read here: https://t.co/qTKQAiCY3Q pic.twitter.com/W6QCTGjTeF
— Paytm (@Paytm) March 14, 2024
Bank Partnerships Emerge amid Paytm Payments Bank Closure
To mitigate the impact of Paytm Payments Bank’s
closure, Paytm has forged partnerships with other banks to fulfill its
operational requirements. Last month, a deal with Axis Bank replaced Paytm
Payments Bank as the backbone for its merchant payments settlement
Settlement
Settlement in finance refers to the process when a buyer makes payment and receives the agreed-upon services or goods. The term is used on exchanges such as New York Stock Exchange (NYSE) when security changes hands. When the asset is transferred and placed in the new buyer’s name, it is considered settled. This process could take a few hours or several days after a trade is made. It depends on the clearance process. In the United States, the settlement date for marketable stocks is usually 2
Settlement in finance refers to the process when a buyer makes payment and receives the agreed-upon services or goods. The term is used on exchanges such as New York Stock Exchange (NYSE) when security changes hands. When the asset is transferred and placed in the new buyer’s name, it is considered settled. This process could take a few hours or several days after a trade is made. It depends on the clearance process. In the United States, the settlement date for marketable stocks is usually 2
Read this Term business.
Paytm wins approval to become a consumer digital-payments platform https://t.co/hfXDCRCFsU
— Bloomberg (@business) March 15, 2024
The significance of UPI in India’s digital payments
ecosystem cannot be understated, with transactions worth 18.3 trillion rupees
processed in February alone. While companies do not directly profit from UPI
transactions, they leverage the platform to access a vast pool of consumers for
cross-selling services such as insurance and mutual funds.
India’s fintech firm, Paytm, has received approval to pivot
its operations towards a consumer digital payments platform, following
regulatory orders to wind down its banking affiliate, Paytm Payments Bank. This
development marks a transition for the company, ensuring continuity in its core
business amidst regulatory challenges.
The National Payments Corporation of India (NPCI) announced yesterday
(Thursday) that Paytm has been granted approval to operate as a consumer
digital payments platform, with support from prominent lenders including Axis
Bank, HDFC Bank, State Bank of India, and Yes Bank. These banking partners will
facilitate peer-to-peer transactions and Unified Payments Interface (UPI)
payments
Payments
One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl
One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl
Read this Term, leveraging India’s pioneering instant money transfer system.
Previously, Paytm operated under a license linked to its
affiliate, Paytm Payments Bank, which managed its digital wallets and payments
traffic. However, regulatory orders mandated the cessation of Paytm Payments
Bank’s operations due to continued breaches of rules, prompting Paytm to seek
alternative arrangements to sustain its business.
Now, officially your Paytm UPI will work! We have received approval from @NPCI_NPCI to participate in UPI as a Third-Party Application Provider (TPAP) under multi-bank model
Read here: https://t.co/qTKQAiCY3Q pic.twitter.com/W6QCTGjTeF
— Paytm (@Paytm) March 14, 2024
Bank Partnerships Emerge amid Paytm Payments Bank Closure
To mitigate the impact of Paytm Payments Bank’s
closure, Paytm has forged partnerships with other banks to fulfill its
operational requirements. Last month, a deal with Axis Bank replaced Paytm
Payments Bank as the backbone for its merchant payments settlement
Settlement
Settlement in finance refers to the process when a buyer makes payment and receives the agreed-upon services or goods. The term is used on exchanges such as New York Stock Exchange (NYSE) when security changes hands. When the asset is transferred and placed in the new buyer’s name, it is considered settled. This process could take a few hours or several days after a trade is made. It depends on the clearance process. In the United States, the settlement date for marketable stocks is usually 2
Settlement in finance refers to the process when a buyer makes payment and receives the agreed-upon services or goods. The term is used on exchanges such as New York Stock Exchange (NYSE) when security changes hands. When the asset is transferred and placed in the new buyer’s name, it is considered settled. This process could take a few hours or several days after a trade is made. It depends on the clearance process. In the United States, the settlement date for marketable stocks is usually 2
Read this Term business.
Paytm wins approval to become a consumer digital-payments platform https://t.co/hfXDCRCFsU
— Bloomberg (@business) March 15, 2024
The significance of UPI in India’s digital payments
ecosystem cannot be understated, with transactions worth 18.3 trillion rupees
processed in February alone. While companies do not directly profit from UPI
transactions, they leverage the platform to access a vast pool of consumers for
cross-selling services such as insurance and mutual funds.