Coming as a sign of relief for the crisis-ridden Paytm Payments Bank, the Reserve Bank of India (RBI) has further extended the date to stop all transactions till March 15.
Earlier, it had asked the Fintech giant to stop Payments Bank operations from February 29.
“No further deposits or credit transactions or top ups shall be allowed in any customer accounts, prepaid instruments, wallets, FASTags, National Common Mobility Cards, etc. After March 15, 2024 (extended from the earlier stipulated timeline of February 29, 2024), other than any interest, cashbacks, sweep in from partner banks or refunds which may be credited anytime,” the RBI said in a statement.
It also said that no banking services, other than those referred, like fund transfers, irrespective of name and nature of services like AEPS, IMPS, etc., BBPOU and UPI facility should be provided by the bank after March 15, 2024.
However, for the purpose of withdrawal or utilisation of available balance by customers or wallet holders, such fund transfers including AEPS, IMPS and UPI may be allowed anytime, it said.
What not extended beyond February 29?
The RBI has also highlighted the Nodal Accounts of One97 Communications Ltd and Paytm Payments Services Ltd maintained by Paytm Payments Bank Limited are to be terminated at the earliest, in any case not later than February 29, 2024
Settlement of all pipeline transactions in nodal accounts referred to in Nodal Accounts of One97 Communications Ltd and Paytm Payments Services Ltd, shall be completed by March 15, 2024 and no further transactions shall be permitted thereafter.
Also, the withdrawal or utilisation of balances by its customers from their accounts including savings bank accounts, current accounts, prepaid instruments, FASTags, National Common Mobility Cards, etc. are to be permitted without any restrictions, upto their available balance.
Withdrawals upto available balance should be facilitated
The RBI has also directed that withdrawals upto their available balance should be facilitated by the bank from all accounts and wallets, excluding the ones that are frozen or lien marked by Law Enforcement or judicial authorities.
Further, it is directed that the bank shall facilitate a seamless withdrawal of customer deposits that are parked with partner banks under the automatic ‘sweep-in sweep-out’ facility without causing any inconvenience to such customers, the RBI said.
