Paytm Payments Bank on January 2 sought to soothe troubled customers by sending out emails and text messages assuring them that their money is safe, as per an NDTV report.
Days after the central bank issued orders for Paytm to halt all new deposits and credit transactions after the month’s end (February 29, 2024), the mass communication came as a way to assure customers of services, it said.
Prefaced as an “important update” the communication said: “Your money is safe with the Bank.”
Also Read | Are you a Paytm Payments Bank customer? Here’s what you should know about RBI order against company
It also acknowledged that while as per RBI’s directives, customers may not be allowed to add money to their wallets post-February 29, withdrawals will continue uninterrupted.
“There is no restriction on withdrawal of money from your existing balance even after Feb 29, 2024. For any further assistance, please reach out to us via the 24×7 help section on the App,” it read.
So Far…
The Reserve Bank of India (RBI) on January 31 barred Paytm Payments Bank from accepting customer deposits from 1 March, after an audit revealed “persistent non-compliances” and “continued material supervisory concerns”. This comes almost two years after the payments bank was restricted from onboarding new customers, a restriction that is still in force.
Also Read | RBI’s grip tightens: What lies ahead for Paytm after regulatory blow
They will not be impacted since it comes under the parent company (One 97 Communications) of the payments bank. That apart, UPI or unified payments interface transactions would also work on the app.
RBI has allowed such customers to extinguish their balances but they cannot load these instruments with more money from March 1, 2024. There are no restrictions on withdrawal and transfer of funds from Paytm Payments Bank accounts.
Here’s your comprehensive 3-minute summary of all the things Finance Minister Nirmala Sitharaman said in her Budget speech: Click to download!
Download The Mint News App to get Daily Market Updates & Live Business News.
Published: 02 Feb 2024, 08:40 AM IST