In a major good news for the businesses across India, they can now accept Paytm and BHIM UPI payments for 0 pct fee. The announcement was made by Paytm on Wednesday morning when it clarified that there will be no charges for receiving payments in your bank account. It will also help the businesses to receive the money in their account instantly. To start accepting the payments, the users will only have to visit: paytm.com/business. This news comes days after Paytm had integrated BHIM UPI, the government’s mobile payments interface, onto its platform with an aim to double its monthly user base over the next two years.
Paytm, which is managed by One97 Communications Ltd founded by Vijay Shekhar Sharma, currently gets about 100 million monthly users on its platform. Introducing payments via BHIM UPI will help Paytm broaden its customer base and help expand the usability of the instrument. BHIM or Bharat Interface for Money is an application that was developed by the National Payments Corp. of India (NPCI) for digital payments over the government-managed Universal Payments Interface (UPI) network.
Interestingly, this announcement comes on the demonetisation anniversary. Even though Paytm was existing in the Indian market for quite some time, it expanded the user base last year after the government had decided to demonetise Rs 500 and Rs 1000 notes. Back then, ‘Paytm karo’ was the mantra of the nation.
On the same day, global digital payments major PayPal announced its India operations, after offering cross-border payments in the country for close to a decade, the company said. “At launch, Indian consumers can use PayPal to shop online at some of India’s most popular businesses,” PayPal Holdings, Inc said in a statement, according to IANS. The government’s recent push towards digital payments has also led PayPal to partner with the government and state-owned banks on number of initiatives, including digital financial literacy programme and eTourist Visa (eTV), the company said. PayPal’s arrival in India will pose a direct threat to Paytm.