Paytm Payments Bank gets final RBI nod to operate as Bharat Bill Payment Operating Unit
So far, Paytm Payments Bank Ltd has been facilitating bill payment services under in-principle authorisation from RBI.
Payments Bank has received final approval from the Reserve Bank of India to operate as a Bharat Bill Payment Operating Unit.
Under the Bharat Bill Payment System, a Bharat Bill Payment Operating Unit (BBPOU) is allowed to facilitate bill payment services for electricity, phone, DTH, water, gas insurance, loan, FASTag recharge, education fees, credit card, and municipal taxes.
Bharat Bill Payment System is owned by the National Payments Corporation of India.
So far, Paytm Payments Bank Ltd (PPBL) has been undertaking this activity under in-principle authorisation from the RBI.
"PPBL has got the final approval from RBI to operate as Bharat Bill Payment Operating Unit under the Payment and Settlement Systems Act, 2007. As an entity under Bharat Bill Payment System, PPBL has got the final authorization to conduct bill payment and aggregation business as a BBPOU," the company said in a statement.
Under RBI's guidance, Paytm Payments Bank Ltd will display all agent institutions onboard on its website.
"With this approval, we will increase the adoption of digital payments by merchant billers and enable them with secure, fast and convenient transactions," said a Paytm Payments Bank spokesperson.
"Through the Paytm app, users can make convenient payments for their bills and benefit from automatic payment and reminder services," the spokesperson said.
Edited by Swetha Kannan