Paytm Postpaid services disabled: Are you a Paytm wallet user? Then this news is very important for you. India's one of the largest e-commerce payment system and digital wallet company, Paytm, has shut down one of its postpaid services-- Paytm Postpaid. However, Paytm has not yet issued any official statement in this regard.
Paytm had launched its post-paid service in December 2018, which allowed users a certain credit limit based on their transactions through the mobile wallet app. It allowed the user to pay back the amount without interest within a period of 30 plus 7 days.
Several of Paytm's postpaid service users took to Twitter, claiming they have lost their money due to this sudden withdrawal. Users are sharing screenshots of their mobile wallet with hashtag #paytmChorHai seeking answers for their disabled postpaid wallet services.
Earlier last month too, users complained about Paytm's lending service, Paytm Postpaid is active and in use. However, Paytm had issued a clarification on its blog on August 14, saying its postpaid service is still "active and operational" following news reports stating otherwise.
Notably, Paytm withdrawing its postpaid services come months after PIL was filed against the digital payment application in Delhi High Court alleging illegal operations and violation of banking norms. In May, the Delhi HC issued a notice to both RBI and PayTM, seeking their response to the PIL.
Responding to PIL, both the Reserve Bank of India (RBI) and the company on 5th September opposed the petition. RBI, for its part, said that a PIL cannot be used as a weapon to challenge the financial or economic decisions taken by the Centre or the RBI.
In its affidavit, RBI said that section 22 of the Banking Regulation Act empowers the RBI to issue banking licence to a company to carry on banking business in India, subject to certain conditions provided in this provision.