Rao made it clear that HDFC Bank’s partnership with Paytm is with the mother or father entity One97 Communications, and never with the Paytm Payments Bank, which is below regulatory scrutiny.
The restrictions positioned on Paytm take impact from February 29, and HDFC Bank will watch because the occasions unfold over the following two weeks, Rao mentioned.
HDFC Bank is “talking” to its longstanding associate Paytm because the fintech tries to discover a means out of the present restrictions positioned by RBI, a senior govt on the largest personal sector lender mentioned on Tuesday.
Also Read: Paytm CEO Vijay Shekhar Sharma Meets Finance Minister Amid Regulatory Concerns: Report
Stressing that the financial institution would have been conversing with the fintech even in any other case given its partnership within the acceptance and aggregator area, HDFC Bank’s nation head for funds Parag Rao mentioned it’s in a “wait and watch” mode.
Rao was replying to a query on experiences about Paytm reaching out to massive banks for assist.
“Paytm has been a partner over the years for our acceptance business, for our aggregator business. Under the current circumstances, we don’t know too much about what is happening but we are talking, we are waiting and watching to see how events develop. That is all I can say right now,” Rao mentioned.
At an occasion to launch a brand new bank card proposition for small companies right here, he additionally mentioned that ever since RBI positioned extreme restrictions on Paytm, there was a “significant increase” within the traction witnessed by HDFC Bank for its funds app and in addition service provider enterprise.
Every “upheaval” out there which impacts a rival opens up alternatives for different individuals because the good prospects realign themselves, Rao mentioned, including that there’s traction for Fastag, pay as you go card choices and sound containers as effectively.
Rao made it clear that HDFC Bank’s partnership with Paytm is with the mother or father entity One97 Communications, and never with the Paytm Payments Bank, which is below regulatory scrutiny.
The restrictions positioned on Paytm take impact from February 29, and HDFC Bank will watch because the occasions unfold over the following two weeks, Rao mentioned.
Meanwhile, Rao additionally mentioned the financial institution might be launching a totally revamped cell phone app in as much as two months from now. The new platform might be much better positioned in providing all of the modern providers and directing the customers to the proper providers, he added.
The financial institution launched 4 variants of bank cards for small companies on Tuesday, with becoming a member of charges going as much as Rs 10,000 for essentially the most unique of the playing cards.
Rao mentioned it first launched a devoted bank card for small and medium companies over two years in the past, the place it has over 3.5 million playing cards already, and added that learnings from the identical have been taken on board for the brand new set of choices.
It can be considering to launch a devoted bank card for gig economic system staff and freelancers. The advantages within the card will embody providers similar to working at co-working areas and accounting packages, Rao mentioned.
(This story has not been edited by News18 workers and is revealed from a syndicated information company feed – PTI)
