Feb-4, After the Reserve Bank of India’s (RBI) crackdown on Paytm Payments Bank and its regulatory violations, the merchant association advised users to switch to other payment apps. The association announced that it has issued a warning to Paytm users and asked them to switch to other payment apps.
The Confederation of All India Traders (CAIT) in a statement that traders should not use payment platforms other than Paytm for commercial transactions, as the Reserve Bank of India (RBI) has flagged several risks of Paytm payment banks due to KYC violations.
CAIT said in a statement: “As the Reserve Bank of India has imposed certain restrictions, CAIT has advised users to take proactive steps to protect their funds and ensure uninterrupted financial transactions.” Small traders, vendors, street vendors and women make payments through Paytm and therefore RBI’s restrictions on Paytm may lead to financial disruption for these people. ”
It emphasized the urgency of this recommendation and called on traders to act quickly and make informed decisions to mitigate the potential negative impact on financial operations.