NEW DELHI: Paytm, the favored fintech firm, is dealing with a significant setback because the Reserve Financial institution of India (RBI) has cancelled the providers of its Paytm Funds Financial institution (PPBL) as a result of some irregularities. This has left greater than 300 million Paytm customers in a dilemma, as they ponder whether they are going to be capable to use the Paytm app for his or her transactions or not.
In right now’s DNA, Zee Information analysed the Reserve Financial institution Of India’s clampdown towards fintech large Paytm.
DNA : नियमों का उल्लंघन, Paytm पर RBI का एक्शन. क्या सच में Paytm खत्म होने वाला है?#DNA #PaytmPaymentsBank #PaytmKaro #PaytmBank #PayTM #RBI @ramm_sharma pic.twitter.com/KCzjdkLGSB
— Zee Information (@ZeeNews) February 1, 2024
Nevertheless, all these providers can be discontinued from 29 February, as per the RBI’s order. The RBI has invoked part 35A of the Banking Regulation Act, 1949, and directed PPBL to cease its operations and settle with its prospects by 15 March. The settlement will embody issues associated to curiosity, cashback or refund on the accounts.
The RBI’s motion got here after it discovered some irregularities in PPBL, based mostly on audit stories. The RBI didn’t disclose the character of the irregularities, however it’s speculated that they might be associated to the violation of the norms for funds banks. Funds banks are a brand new class of banks that may settle for deposits as much as Rs 1 lakh per buyer, however can not lend cash or difficulty bank cards. They will solely provide fundamental banking providers, equivalent to financial savings accounts, present accounts, remittances and invoice funds.
Watch Tonight’s DNA for an in depth evaluation on Reserve Financial institution Of India’s clampdown towards fintech large Paytm.
DNA : नियमों का उल्लंघन, Paytm पर RBI का एक्शन. Paytm पर एक्शन का ‘यूजर फ्रेंडली’ DNA टेस्ट #DNA #PaytmPaymentsBank #PaytmKaro #PaytmBank #PayTM #RBI @ramm_sharma pic.twitter.com/qBouwhUM0A
— Zee Information (@ZeeNews) February 1, 2024
