New Delhi. The Reserve Bank has ordered to ban the payments bank of leading fintech company Paytm. After February 29, Paytm will not be able to provide payments bank facility to its customers. Due to RBI order, customers are joining other fintech services instead of Paytm. In fact, customers fear that Paytm’s wallet service may also become a problem for them. Whereas, RBI has not given any order to stop the wallet service of Paytm and the consumers’ money is also safe.
According to the report of Money Control, an app intelligence company named AppFigures has said that due to RBI’s action on Paytm, the inclination of consumers towards the services of other fintech companies has increased. According to AppFigures data, people are connecting with PhonePe and BHIM app. Whereas, not many people have shown interest in Google Pay. According to the latest data from AppFigures, PhonePe got 2.79 lakh new customers on February 3. All of them are related to Android platform. Earlier on January 27, 1.92 lakh people had joined PhonePe. In this way, a jump of 24 percent was seen in the number of people joining PhonePe between the two dates. According to AppFigures, there has also been a 50 percent increase in people joining the BHIM app. The number of people joining Google Pay has increased by only 4.9 percent.
Paytm had achieved the forefront in providing digital payment services in India. After Paytm, other fintech companies started work. Now RBI has banned Paytm’s Payments Bank after finding many irregularities. According to the information, many accounts were opened on the same PAN number. Apart from this, many customers were found in Paytm Payments Bank without PAN and KYC. It was only after these major irregularities came to the notice of the Reserve Bank that it took action against Paytm. Now Paytm has said that it will continue its fintech services through other banks. However, if consumers move towards other wallet services, the company may face difficulties in the coming days.