*Lot of misinformation about Paytm development*
All mainly talk about two things. Let’s address that quickly.
1 Are my mutual fund investments via Paytm at risk? Will my SIPs be affected?
No. All that’s via a separate company called Paytm Money, which is regulated by SEBI and not RBI.
2 Will my UPI via Paytm stop?
No. That’s a big miscommunication by the media, to be frank.
The likes of Paytm, PhonePe, GPay or CREDPay etc run UPI, via backend partnerships with certain banks
For PhonePe, its a mix of YES BANK and ICICI Bank. For GPay it’s Axis Bank. And for Paytm, it’s the sister company Paytm Payments Bank
And, it’s the payments bank which has been barred. from doing UPIP transactions, not Paytm
Means what?
If Paytm switches its backend banking partner, the UPI payments via the app would go on smoothly.
And if you would recall, when Yes Bank collapsed, PhonePe onboarded ICICI Bank in less than 18 hours or so
So, Paytm can do that too. No big deal.
Hope that clarifies all the concerns.
For information only
