Paytm receives NPCI approval for user migration to new PSP banks

In a significant development for India's digital payments landscape, One 97 Communications Limited (OCL), the parent company of Paytm, received the green light from the National Payment Corporation of India (NPCI) yesterday to commence user migration to new Payment System Provider (PSP) bank handles.

This approval comes in the wake of NPCI's endorsement on March 14, 2024, to onboard OCL as a Third-Party Application Provider (TPAP) on the Multi Payment Service Provider API Model. As a result, Paytm has swiftly moved to integrate with four major banks: Axis Bank, HDFC Bank, State Bank of India (SBI), and YES Bank.

With all four banks now operational on the TPAP, Paytm aims to streamline the process of shifting user accounts to these PSP banks. The company has initiated the transition of '@paytm' handle users to these banks, ensuring a seamless experience for UPI payments.

A spokesperson for Paytm commented, "We are committed to growing the UPI ecosystem in partnership with NPCI to every nook and corner of India." Leveraging the robust infrastructure of its banking partners, Paytm assures uninterrupted and secure UPI payments for both users and merchants through its app.