look news india
After the ban on Paytm Payment Bank by the Reserve Bank of India, the biggest problem faced by the users was using Paytm Wallet. In this matter too, people will soon get relief, because RBI is working on a new system, where users will be able to link their wallet to the UPI app just like a bank account.
Millions of people in the country are still using the wallet feature on digital payment apps. This includes every app from PhonePe to Amazon Pay. Mobile wallet is different from UPI. It is a prepaid payment instrument (PPI), in which money has to be deposited in advance. Now the rules related to this have been changed.
How will UPI and wallet linking work?
Usually you can transfer money to the wallet of whatever digital payment app you are using. To transfer this money, you can use third party UPI and the money goes into the wallet of the other person.
This means that you cannot transfer money added to the wallet of one app to the wallet of another app. Now RBI has found the solution to this problem. RBI has proposed to link your mobile wallet with third party UPI apps like Paytm, PhonePe, Google Pay. In this way your wallet will also work like an account.
RBI Governor Shaktikanta Das, while announcing the monetary policy in April, had said that now PPI holders will be given more flexibility. PPI will be allowed to be linked with third party UPI, allowing UPI payments to be made from wallets as well as bank accounts.
In this way the general public will benefit
According to reports, the general public is going to benefit greatly from this gift of RBI. After this, now customers will be able to access any wallet through any UPI app and make payments. This means if you have money in PhonePe wallet and you pay through Paytm UPI then you can use that money in PhonePe wallet also.