Following the Reserve Bank of India’s regulatory actions, Paytm is revamping its operations to function as a Third-Party Application Provider (TPAP).

This significant shift involves transitioning users to new Unified Payments Interface (UPI) handles, as its previous @paytm UPI addresses are no longer in use for UPI services. The National Payments Corporation of India (NPCI) has officially recognized Paytm as a TPAP, enabling this transition.

Paytm’s Newly Formed Alliances

With this change, Paytm has formed alliances with four leading banks: State Bank of India (SBI), Axis Bank, HDFC Bank, and Yes Bank. These partnerships are designed to ensure that Paytm’s users continue to enjoy uninterrupted UPI services.

Previously, Paytm users held a UPI address with an ‘@paytm’ suffix. Now, these will be replaced with new UPI handles, including @ptsbi, @ptyes, @pthdfc, and @ptaxis. This migration process is designed to be automatic, sparing users from manual updates. Notably, in most scenarios, users can retain their distinctive UPI usernames during this transition.

Key Points for Paytm Users Post-Transition

While Paytm assures a smooth transition for its user base, several critical considerations emerge with the introduction of new UPI handles. Any existing UPI mandates linked to the former @paytm addresses may face disruptions, potentially affecting transactions depending on the specific merchant.

Users are advised to review their UPI mandates to avoid any inconvenience. Another important change is the update of Paytm UPI QR codes. The transition to new UPI handles means that existing QR codes, whether in sticker form or any other medium used for receiving payments, must be updated to reflect the new UPI addresses.

Failing to update to the new UPI handle will render the old @paytm VPA inoperative, leading to failed transactions if attempted. This shift also extends to Paytm’s merchant network across India, necessitating new QR codes and soundboxes for payment acceptance. Paytm is actively supporting its merchant users through this update process.

In summary, Paytm’s transition to a fully compliant TPAP with new banking partners marks a significant adjustment for its user and merchant base. Users and merchants alike are encouraged to stay informed about these changes to ensure a smooth transition and continued ease of transactions.

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