On July 19, 2021, Paytm enabled its Paytm Payments Bank‘s (PPB) customers to make instant payments across online platforms through its all-in-one payment gateway using balances available in their Fixed Deposit (FD) account, which is held with IndusInd Bank, the partner bank of Paytm.
- Using FD as a payments source under the Paytm gateway is the first-of-its-kind solution of PPB.
Redemption from FD:
i.PPB enables its customers to open FD accounts with IndusInd Bank and it also allows its customers to redeem the FD from IndusInd Bank into a PPB account in real-time.
ii.Through which PPB became the 1st one in India to allow real-time redemption of FD balances into customer’s current and savings accounts for making payments.
Key Points:
ii.These initiatives would facilitate the user to liquidate their balances of FD to make easier real-time payments.
iii.PPB customers would not be levied charges/penalties for Premature withdrawal/Liquidation of the FDs that are opened in association with IndusInd Bank.
- Premature FD Liquidation – It is the closure of FD prior to its maturity/actual due date
iv.As of March 31, 2021, PPB had 6.4 crore savings accounts, and the total outstanding FDs under the arrangement between PPB and IndusInd bank stood at Rs 1,750 crore.
Recent Related News:
On March 16, 2021, The Securities and Exchange Board of India(SEBI) has approved Paytm UPI handle to enable fast and seamless payment mandates for Initial Public Offering (IPO) applications to benefit millions of users to invest in capital markets through various brokerage platforms using them @Paytm UPI Handle.
About Paytm Payments Bank:
It is India’s 1st mobile bank with zero balance – zero digital transaction charge accounts.
Headquarters – Noida, Uttar Pradesh
Chairman – Vijay Shekhar Sharma
MD & CEO – Satish Kumar Gupta
About IndusInd Bank:
Establishment – 1994
Headquarters – Pune, Maharashtra
MD & CEO – Sumant Kathpalia
Tagline – We Make You Feel Richer
