Paytm Payments Bank can’t offer services after February 29: RBI

New Delhi: The Reserve Bank of India (RBI) has barred Paytm Payments Bank Ltd of giving any services after February 29. The service includes accepting deposits or allowing credit transactions, or top-ups, in customer accounts or prepaid instruments, such as wallets and FASTags, linked to accounts.

In an official statemenr RBI confirmed that the customers can continue to utilise balances from their accounts, including savings and current without restriction and up to their available limit.

Meanwhile, the nodal accounts of Paytm’s parent company, One97 Communications Ltd., and Paytm Payments Bank Ltd (PBBL), have been terminated by the central bank.

The RBI’s order of barring the service of Paytm cited the persistent non-compliances and continued material supervisory concerns in the bank that were flagged after a comprehensive audit of its systems by external parties.

At the same time, neither the company nor its founder or CEO, Vijay Shekhar have responded to the news so far.

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