India’s leading digital wallet player Paytm has received the final licence from the Reserve Bank of India for its payments bank entity. With this, the road is now clear for the Noida-based payments player to kickstart its much-awaited payments bank operations next week.
Paytm Payments Bank Limited will begin its banking operations from May 23, 2017. As per the Central bank’s guidelines, the company will transfer its wallet business to the newly incorporated payments bank entity under a payments bank licence awarded to Founder and CEO Vijay Shekhar Sharma.
Customers using the payment wallet will see it move to the Paytm Payments Bank Limited in the same capacity and have the option of discontinuing their wallet services with due communication sent to the company by May 23.
The money will be transferred to the Paytm Payments Bank Limited as the wallet business will become part of the new company. It will happen automatically, and you need not do anything. Other banks too have their wallet businesses apart from their usual business.