Paytm gets RBI nod to start Paytm Payments Bank from May 23, 2017

New Delhi, May 17 (KNN) Paytm, Noida based digital wallet player, has got the final nod from the Reserve Bank of India (RBI) for its payment bank entity.

Paytm is all set to start its payments bank operations next week. Paytm Payments Bank Limited will begin its banking operations from May 23rd, 2017. As per the Central bank’s guidelines, the company will transfer its wallet business to the newly incorporated payments bank entity under a payments bank licence awarded to Founder and CEO Vijay Shekhar Sharma.

Paytm’s long-time executive and vice president Renu Satti will be the CEO of the payments bank. Satti has been Paytm's owner One 97 Communications for over a decade, most recently heading its movie ticketing business.

Customers using the payment wallet will see it move to the Paytm Payments Bank Limited in the same capacity and have the option of discontinuing their wallet services with due communication sent to the company by May 23rd.

The RBI allows payments banks to accept deposits from individuals and small businesses of up to Rs 1 lakh per account.