Vijay Shekhar Sharma, one of the most recognised faces of India's fintech industry, is facing a big crisis in a race to save his revolutionary digital payments firm - Paytm.
Unlike the curbs on Yes Bank or several cooperative banks, the latest series of RBI restrictions were not a fallout of the dire finances of the entity concerned.
While Paytm is yet to give a clear statement on the same, here are 5 things you need to know about RBI restrictions on Paytm Payments Bank and how it may impact Paytm wallet, FASTag, UPI and more
In a surprising move, the Reserve Bank of India (RBI) has restricted all services provided by Paytm Payments Bank (PPBL), effective February 29, 2024. Debit and credit transactions, including wallet operations, cease post this date, with withdrawals allowed. Fund transfers, bill payments, and UPI facilities through Paytm will also be halted. Users linked to external banks are unaffected. Paytm wallet services and Fastag operations will be disrupted, but stock market and mutual fund services remain unaffected.