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RBI Imposes Major Restrictions on Paytm Payments Bank.

Banking & Finance | Dated: 31 Jan 2026

In a significant regulatory action, the Reserve Bank of India (RBI) has barred Paytm Payments Bank Ltd (PPBL) from accepting further deposits, credit transactions, or top-ups in any customer accounts, prepaid instruments, wallets, and FASTags after February 29, 2024. The action was taken under Section 35A of the Banking Regulation Act, 1949.

🎯 Key Highlights:

  • The action follows persistent non-compliance and material supervisory concerns.
  • Customers can still withdraw or utilize balances from their accounts.
  • One97 Communications is the parent company of Paytm.

💡 Other Important Facts:

  • Bank: Paytm Payments Bank.
  • Action: Restrictions Imposed.
  • Authority: RBI.

📚 Test Your Knowledge:

Which payments bank was recently barred by the RBI from accepting new deposits and top-ups after February 29?

Correct Answer: Paytm Payments Bank

🚀 Quick Recap:

About Payments Banks

  • Committee – Nachiket Mor Committee
  • Lending – Not Allowed