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After the action of Reserve Bank of India, huge fluctuations are being seen in Paytm Payment Bank. Meanwhile, Vijay Shekhar Sharma has resigned from the post of Chairman of Paytm Payment Bank. Along with this, Vijay Shekhar Sharma has also resigned from the board of Paytm Payments Bank.
Major changes in Paytm Payment Bank
Actually, after the Reserve Bank's action on Paytm Payment Bank, many changes have been made in the board. Paytm said in a press release on Monday that company founder Vijay Shekhar Sharma has decided to step down from the post of part-time non-executive chairman of Paytm Payments Bank. Along with this, he has also left the post of board member of PPBL.
After the resignation of Vijay Shekhar Sharma, the board of Paytm Payment Bank has also been reconstituted. In which many new faces have been included. Now former Chairman of Central Bank of India Srinivasan Sridhar will be a member of the board. Apart from this, retired IAS Debendranath Sarangi, former executive director of Bank of Baroda Ashok Kumar Garg and retired IAS Rajni Sekhri Sibal will be members of the board.
After the action of RBI, the existence of Paytm Payments Bank is in danger. Vijay Shekhar Sharma is the largest shareholder of this bank.
RBI advice for running Paytm payment bank
Let us tell you, only last week the Reserve Bank of India (RBI) has issued new guidelines regarding Paytm Payments Bank. Actually, if Paytm UPI services are linked to Paytm Payments, it will not work after March 15. If this service is to be continued, customers and merchants will have to link their Paytm UPI to another bank. Paytm's parent company One97 Communication Limited is in contact with 4-5 banks for this.
At the same time, RBI has asked NPCI to take necessary steps to maintain Paytm's UPI service. The central bank had issued an advisory to NPCI saying that to maintain the service through the Paytm app, NPCI should facilitate certification of banks having the capacity to handle high volume UPI transactions as payment service providers. Should do. RBI has asked NPCI, the organization that oversees digital payments, to transfer the @paytm handle to other new banks.
Threat to Paytm Payment Bank after March 15!
RBI has said that migration of UPI handle will be only for those customers and merchants whose UPI handle is linked to Paytm Payment Bank. This step of RBI will provide relief to those customers and merchants of Paytm Payment Bank whose UPI is linked to Paytm Payment Bank.
Paytm had applied to NPCI to act as a third-party application provider for UPI business in collaboration with Axis Bank. Let us tell you, since UPI transactions happen through Paytm Payments Bank, Paytm is not currently classified as a TPAP. On the other hand, 22 entities including Amazon Pay, Google Pay, Mobikwik, PhonePe and WhatsApp currently hold TPAP licenses.
It is worth noting that to keep any UPI account active, it is very important to link it with a bank account. Let us tell you that NCPI operates and monitors UPI transactions across the country. RBI has asked NPCI to review the request of One97 Communications Ltd to become a third party application provider in the UPI system. RBI says if OCL gets Third Party Application Provider (TPAP) status, @paytm handles should be migrated seamlessly without causing any difficulty to customers.