After the listing in the stock market, the shares of Paytm continued to fall. Experts say that the RBI’s decision regarding Paytm Payments Bank may see pressure on the shares of Paytm in the stock market on Monday and there is a possibility of further decline.
Experts say Paytm has diversified its business significantly and its wallet has a wide reach to a large number of small shopkeepers as well as general consumers. Along with this, mutual funds are also giving the option of investing in the stock market and other options. But in the current global economic conditions, even the strong foundation of Paytm is not working and its share price is continuously declining.
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Paytm Payments Bank’s existing customers not affected
The decision to stop Paytm Payments Bank from adding new customers will not have any effect on the existing customers. In this decision of the Reserve Bank, no direction or advice has been given regarding the functioning of Paytm Payments Bank, transactions and accounts of existing customers. In this case, if you are an existing customer of Paytm Payments Bank, then these instructions will not affect you, as your money, transaction or existing wallet is not covered by the new instructions.
Paytm Payments Bank was fined Rs 1 crore
In fact, during the investigation of Paytm Payments Bank, RBI has found such things about which observers have expressed concern. Keeping this in mind, there has been a ban on adding new customers. Earlier in October 2021 last year, RBI imposed a fine of Rs 1 crore on Paytm Payments Bank. RBI had said at that time that Paytm Payments Bank had sent an application to RBI for Final Certificate of Authorization (COA), on examination of which it was found that the information provided by it did not reflect the correct position of the company.
It is noteworthy that earlier HDFC Bank, one of the country’s largest private banks, was also banned and barred from issuing new credit cards. In the case of HDFC Bank too, concerns were raised about IT and software. Last year also RBI gave a stern warning to HDFC Bank regarding IT.