Paytm Payments Bank To Shut Down After March 15 Know everything

Paytm Payments Bank will stop providing services like deposit and credit transactions from March 15. The Reserve Bank of India had imposed restrictions on Paytm Payments Bank on January 31 citing serious violations of rules as per the instructions. The Bombay Stock Exchange (BSE) has also issued guidelines for investors who use the bank for stock trading.

Why is Paytm Payments Bank shutting down

The Reserve Bank of India ordered the closure of Paytm Payments Bank due to non-compliance issues and concerns within the bank. A report said that thousands of accounts were opened in the bank without proper identification, raising suspicion of illegal activities like money laundering. According to sources, this information was also shared with authorities including the ED and the Prime Minister’s Office. Revenue Secretary Sanjay Malhotra mentioned that the ED will investigate Paytm Payments Bank, which is going to be temporarily closed by March 15. The report also revealed that multiple accounts were linked to the same identity card, with multiple transactions. Apart from this, the number of closed accounts was also very high.

What will change after Paytm Payments Bank is closed

Customers their Paytm You will not be able to deposit money in the Payments Bank account, but will be able to withdraw or transfer money even after March 15. Salary credit, direct benefit transfer or subsidy will not be available in Paytm Payments Bank account, but refund, cashback and sweep-in facility from partner bank will still be available. Customers will not be able to top-up or transfer money in their wallet after March 15. However, if there is balance available in their account, they can make payments.

Customers will not be able to recharge their Fastag issued by Paytm Payments Bank. Recharge or top-up of funds to NCMC cards issued by Paytm Bank will no longer be available. After March 15, customers will not be able to transfer money to Paytm Payments Bank account via UPI or IMPS.