Paytm Payments Bank customers are worried due to RBI action. They are worried about losing their money. However, the central bank has said that the money deposited in the bank account can be withdrawn till February 29.
The customers of this bank are worried due to RBI’s announcement of ban on the services of Paytm Payments Bank (PPB) on January 31. They do not know what will happen to their money deposited in PPB. RBI has said that PPB cannot take new deposits and conduct credit transactions from March 1. Earlier, such problems had occurred with customers of Punjab and Maharashtra Cooperative Bank in 2019 and Yes Bank in 2020. Let us know what option Paytm Payments Bank customers have now.
What will happen to the money deposited in PPB?
Experts say that depositors can use their money deposited in PPB for payment. Another option is that they can deposit it in another bank. They can also keep this money in cash with them. RBI has said that PPB customers will be able to withdraw money from their account. Paytm’s Fastag service can also be used until its balance is exhausted. But, all this can be done only till 29th February.
Is the money deposited in PPB safe?
Customer money deposited in PPB is completely safe. The customer’s money deposited in the bank is insured. Deposit Insurance and Credit Guarantee Corporation (DICGC) provides this insurance. DICGC provides services under RBI. In case of bankruptcy of the bank, it pays the money deposited by the customers in the bank. The payment bank has to deposit the daily deposit balance entirely in the security of the government. Therefore, this money can be withdrawn as per the instructions of RBI.
Has DIGC insured the money deposited in PPB?
The answer is yes. According to RBI rules, customer deposits in all banks up to Rs 5 lakh are covered under insurance cover. The money of customers deposited in commercial banks, foreign banks, local banks and regional rural banks is insured.
