The Reserve Bank of India has issued a list of frequently asked questions (FAQs) to allay customers’ fears after it restricted operations of Paytm Payments Bank (PPBL) citing compliance issues.
The regulator also extended the deadline for customers to make deposits and credit transactions in the bank till March 15. In a detailed document, the RBI elaborated on what this move means for customers using Paytm Payments Bank for receiving salaries, paying EMIs and more.
Here are all your questions answered:
I have my savings/current account in PBBL. Can I use the funds?
Yes, you can continue to use, withdraw or transfer funds from your bank account till the available balance in your account is used up. You can also use your debit card to withdraw or transfer funds till then.
However, after March 15, you will be unable to deposit money into the account with Paytm Payments Bank. No credits or deposits other than interest, cashbacks, sweep-in from partner banks or refunds will be credited.
What if my salary account is in PBBL?
If your salary is credited into your PPBL account, you will not be able to receive it after March 15. The RBI suggested that people make alternative arrangements with another bank before the date.
What if I pay my electricity bills, OTT subscription charges through Paytm Payments Bank?
Withdrawal or debit mandates such as electricity bills or payment of over-the-top (OTT) subscriptions like Netflix will continue to get executed till there is balance available in the customer’s bank account. However, after March 15, credit or deposit in the accounts will not be allowed.
What about auto-debit EMI payments?
Auto-debit mandates will continue to get executed till balance in the account is exhausted. However, after March 15, accounts will be inactive. However, EMIs registered with any bank other than Paytm Payments Bank can continue.
Do I need to get a new Fastag?
Customers can continue to use their Paytm-issued Fastag to pay tolls till the available balance is exhausted. However, no further funding or top-ups will be allowed after March 15, 2024.
Credit balance transfer feature is not available in Fastag. Therefore, customers will have to close their old Paytm Fastag and request the bank for a refund.
What about UPI/IMPS payments through PPBL?
You cannot transfer the money into your Paytm Payments Bank account through UPI (unified payments interface) after March 15. However, you can withdraw your money from the account through UPI or IMPS till the balance in your account is fully utilised.
