National Payments Corporation of India (NPCI) on Thursday granted a license to One 97 Communications Ltd. (OCL), which operates as Paytm, to supply UPI transactions as a Third-Party Application Provider (TPAP) beneath multi-bank mannequin.
Four banks — Axis Bank, HDFC Bank, State Bank of India and Yes Bank — will act as Payment System Provider (PSP) banks to OCL, NPCI mentioned in a press release.
Yes Bank will even act as service provider buying financial institution for current and new UPI retailers for OCL, it clarified. “@Paytm” deal with shall be redirected to Yes Bank, it added.
“This will enable existing users and merchants to continue to do UPI transactions and AutoPay mandates in a seamless and uninterrupted manner. OCL has been advised to complete migration for all existing handles and mandates, wherever required, to new PSP banks at the earliest,” NPCI mentioned.
