Paytm waives off transaction charges for MSME merchants, enables zero charge payments
Paytm today announced the waiver of all charges on MSME merchant transactions, and the fintech giant said that it will benefit more than 17 million merchants on the Paytm ecosystem.
India’s leading digital payments platform, Paytm today announced waiver of all charges on MSME merchant transactions. The move would help to ensure that these merchants have adequate liquidity to expand their businesses.
According to the press release, the company is now taking payments revolution to the next level by enabling the merchant partners to accept payments from Paytm wallet, UPI apps, and RuPay cards at zero charges. Paytm will absorb Rs 600 crore in MDR charged annually by banks and other charges to support MSMEs during the ongoing pandemic.
Kumar Aditya, Sr Vice President - Paytm said, “We are absorbing MDR to extend support to our merchant partners to increase their overall liquidity to expand their businesses. We believe waiving off these charges will benefit all MSMEs accepting Paytm All-in-One QR, Paytm Soundbox, and Paytm All-in-One Android POS devices to collect payments directly into their bank accounts.”
Paytm All-in-One QR has been a preferred mode for merchants to accept digital payments as it accepts unlimited payments at zero cost from any UPI app and RuPay cards, and now with Paytm Wallet too. This move would also encourage merchants to embrace digital payments which would further strengthen the Digital India mission, he added.
This initiative will benefit more than 17 million merchants on Paytm ecosystem, he said.
Paytm has also been working to help kirana stores and other small business owners who have been left behind by the traditional banking sector and do not have easy access to loans and credit.
Last month, the company also issued a statement which said that it is expanding its collateral-free loans for MSMEs from Rs 550 crore in the last fiscal year to Rs 1,000 crore by March 2021. It also mentioned that it is expanding its collateral-free loans of up to Rs 5 lakh at a low-interest rate and unique daily EMI product customised for micro-merchants.
The fintech giant also became a prominent player in the small business payments solutions space by coming up with contactless payment option during the COVID-19 outbreak. The pocket-sized, all-in-one Android PoS device helped buyers and merchants safely conduct transactions without violating social distancing rules or touching contaminated surfaces.
Edited by Kanishk Singh
