Paytm to partner with Axis Bank for merchant payment settlements
Paytm, in a strategic move, announced its partnership with Axis Bank for the settlement of merchant payments. One97 Communications, the parent company of Paytm
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Paytm, in a strategic move, announced its partnership with Axis Bank for the settlement of merchant payments. One97 Communications, the parent company of Paytm, revealed that it has transitioned its nodal account to Axis Bank through an escrow account to ensure seamless settlements for merchants, maintaining the operational continuity of Paytm QR, Soundbox, and Card Machine services for all merchant partners.
Assuring uninterrupted services, Paytm clarified that these essential tools for merchant transactions will continue to function seamlessly beyond March 15, 2024, as confirmed by the Reserve Bank of India (RBI). Merchants conducting transactions through bank accounts other than Paytm Payments Bank are assured of continuity without disruptions.
In response to concerns regarding the transition, a Paytm spokesperson affirmed the company's commitment to compliance and regulatory guidelines while ensuring uninterrupted service for merchant partners. The spokesperson emphasized that the shift of the nodal account to Axis Bank guarantees seamless settlement processes. Paytm reiterated its dedication to empowering Indians and contributing to the nation's financial inclusion journey.
Moreover, Paytm Payment Services highlighted its longstanding partnership with Axis Bank, anticipating a smooth transition for merchants accustomed to the Paytm ecosystem.
In parallel, the RBI issued FAQs addressing concerns among Paytm Payments Bank customers, assuring them that their accounts wouldn't be impacted by the central bank's actions. The RBI extended the deadline for Paytm Payments Bank to cease accepting fresh deposits and conducting credit transactions to March 15, following major business restrictions imposed earlier due to irregularities in KYC procedures.
Overall, Paytm's collaboration with Axis Bank underscores its commitment to maintaining seamless operations for merchants while adhering to regulatory standards, ensuring continued service excellence and customer trust.
