One of India’s leading e-commerce platforms Paytm has shut its Postpaid service around the country.
Paytm Postpaid which started its service in December 2018, allowed the users to buy products, services and can pay later. The move has surprised the users as no prior notification was given by the company about it shutting down the postpaid services.
Paytm Postpaid use to provide its customers a credit with up to Rs 60,000 limit without any interest.
Entrackr informed that through a pop up saying – “Paytm Postpaid Services have been disabled now and you will not be able to transact using Postpaid anymore. Please clear your dues immediately to completely close the account at bureau’s end.”
Paytm has been facing a hard time with Reserve Bank of India asking it to stop its lending business as the payments banks license holders are not allowed to lend money.
Hearing public interest litigation that alleged that Paytm Payments Bank has been flouting regulations, Delhi High Court had asked for responses from both the parties – Paytm and RBI.
Sensing actions from RBI over the lending business, Paytm had recently transferred its loan book to Gutugram-based Clix Capital. The company had partnered with ICICI Bank for its lending service. Paytm has been emphasizing that it’s acting only as a facilitator for the service, and the firm doesn’t lend on its own book.