‘100 million Paytm users have completed KYC’
Several users opted for minimum KYC done through Paytm app by submitting Aadhaar number, PAN, or driving licence number, among others
Paytm, run by One97 Communications Ltd, on Monday said more than 100 million wallet customers have completed their know-your-customer (KYC) process, as mandated by the Reserve Bank of India (RBI) in October.
Paytm claims to have 280 million mobile wallet users and five million merchant partners.
RBI’s norms in October said all e-wallet customers must be fully KYC-compliant within 12 months of opening an e-wallet account, making it mandatory for companies to collect identity proof from users.
Wallet users need to submit Aadhaar, permanent account number, driving licence or any other valid government ID.
This also meant that users must complete KYC through biometric identification or by submitting a copy of identity proof to the wallet issuer. Paytm said in a note that it set up offline centres and a team of agents who collected documents from customers for the KYC process.
The company added that several users also opted for getting minimum KYC done through the Paytm app by submitting Aadhaar number, permanent account number, or driving licence number, among others.
Users can, however, open a wallet account with the basic one-time, password-based KYC, and the maximum amount the user can hold will be limited to Rs10,000.
Additionally, wallet users can only use their wallet to make commercial transactions like paying for a cab ride or mobile recharges, but cannot make person-to-person payment, in case he chooses basic KYC. He also cannot transfer money to a bank account with basic KYC.
Prior to RBI guidelines, mobile wallet users were able to send and receive money from other users without submitting proof of their identity.
“We are excited to see that our customers appreciate the benefits of completing their KYC and it is evident with the large number of KYC requests that we are receiving. We are doing our best to serve everyone as soon as possible while we continue to set new benchmarks for ourselves. As our commitment to our customers, we will continue to invest further to strengthen the payments infrastructure in our country,” said Renu Satti, managing director, Paytm Payments Bank.
Wallet companies were given time until February end to meet the new KYC regulations, but some companies were struggling to comply with the new norms.
In March, Payments Council of India (PCI), an industry body of prepaid payments instrument (PPI) holders, wrote to the RBI seeking withdrawal of full KYC for PPIs; however, RBI did not accept the demand.
- Oil prices steady as industry data shows unexpected drop in inventories
- Data localization: Deadline over, what’s next for firms?
- Global oil traders keen on India’s strategic crude reserves
- CVC report suggests tough measures to curb banking frauds
- Volvo warns some vehicle engines may exceed emission limits
Editor's Picks »
- Women journalists attacked in Sabarimala despite police presence
- Huawei just launched a smartphone that can wirelessly charge other phones. Here’s how it works
- UK PM met Ratan Tata as JLR warns on Brexit, diesel: Report
- Gold prices surge to 2-year high on festive demand
- Man Booker Prize 2018: A year of surprises