Paytm has received the necessary approval from the regulatory authorities to migrate its UPI users to new Payment System Provider (PSP) bank handles. NPCI has granted approvals to One 97 Communications Limited (OCL), which owns the brand Paytm, the company said in a stock exchange filing. Paytm announced that it has expedited its integration with Axis Bank, HDFC Bank, State Bank of India (SBI), and YES Bank in light of NPCI's approval on March 14, 2024, to onboard OCL as a Third-Party Application Provider (TPAP) on the Multi Payment Service Provider API Model. The announcement was made through a press release.
This means that OCL will be able to offer its UPI services through Paytm's platform, which will now be connected to the above-mentioned banks.
"One 97 Communications Limited (OCL) which owns the brand Paytm, India's leading payments and financial services company and the pioneer of QR, soundbox, and mobile payments, received go ahead, yesterday from the National Payment Corporation of India (NPCI) to start the user migration to new Payment System Provider (PSP) bank handles immediately," the release said.
All four banks are now functioning on the TPAP platform, which has streamlined the process for Paytm to transfer user accounts to these PSP banks. The company has already begun transitioning '@paytm' users to these banks, ensuring seamless UPI payments, according to the company's statement. "We are committed to grow the UPI ecosystem in partnership with NPCI to every nook and corner of India," stated a Paytm spokesperson.
The company has filed a communication with stock exchanges informing that it has received approval from the National Payment Corporation of India (NPCI) to participate in UPI as a Third-Party Application Provider (TPAP) under multibank mode. This approval will allow existing users and merchants to carry out UPI transactions and AutoPay mandates without any interruption. This communication is a continuation of the earlier letter dated March 14, 2024.
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