Switch From Paytm To Other Platforms, Traders Body CAIT Tells Merchants
Bhartia and Khandelwal urged traders to explore alternative payment applications or consider direct UPI transactions.
The Confederation of All India Traders has advised traders to switch from Paytm to other payment apps, days after RBI's fresh strictures on its payments bank.
"The recent restrictions imposed by RBI on Paytm have raised concerns about the security and continuity of financial services provided by the platform," CAIT National President BC Bhartia and Secretary General Praveen Khandelwal said in a statement today.
Further, CAIT added that if there is any evidence of fund irregularities, the Enforcement Directorate should investigate Paytm Payments Bank.
Bhartia and Khandelwal urged traders to explore alternative payment applications or consider direct UPI transactions.
On Jan. 31, the Reserve Bank of India restricted Paytm Payments Bank from undertaking any fresh deposit or credit transactions in any customer accounts after Feb. 29.
No other banking services, apart from withdrawals or utilisation of balances, are allowed after this date.
The regulator cited persistent non-compliance and supervisory concerns for the restriction. In 2022, the RBI had put a halt on the payments bank's onboarding of new customers.
