The existing wallets will move from One97 Communication Ltd (the company currently behind Paytm) to Paytm Payments Bank Ltd. Over the next five days, the money in 160 million Paytm wallets will show up in a corresponding number of Paytm Payment Bank wallets as the wallet company becomes a payments bank.
As news of the change emerged, some social media chatter created panic amongst Paytm users who thought they would lose the amount in their accounts. Paytm has scotched these rumours.
This doesn’t mean people with a Paytm wallet need to open an account with the bank to continue to use the wallet. In a 6 December 2016 notification, Paytm said that as per Reserve Bank of India guidelines, its wallet would be transferred to the newly incorporated Paytm Payments Bank. “Your Paytm wallet will work as it is, even after 15 January. Log in details, wallet balance and user experience will remain the same. Your Paytm wallet experience will remain the same for all current use cases such as paying at stores, paying for Uber rides, ticketing, fuel, etc,” the company said on its website.
Nor does it mean people with a Paytm wallet will automatically get an account with the new bank. “Once we launch the bank, you will be given an option to open a separate bank account with us,” Paytm said in the notification.
What will happen to the money in wallets ? Read the full story on Livemint.
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