Update: Paytm has now confirmed that it's lending service, Paytm Postpaid is active and in use.
Paytm has canceled their postpaid services following which a backlash on Paytm erupted from the affected users on Twitter. At the beginning of this year, a bunch of lucky customers was selected to be Paytm’s first Postpaid service members.
This opened up a plethora of ways through which the users could complete transactions and pay. For this postpaid option, Paytm had collaborated with ICICI Bank, India’s largest private sector bank. Customers using the Paytm app would get instant credit by the virtue of ICICI Bank’s policy.
The selected customers received an email from Paytm which read, “Now you can do your mobile and DTH recharges, book movie and travel tickets and shop on Paytm, without using your card or bank details or frequent wallet top-ups. Just spend using Paytm Postpaid and pay back the same amount next month. All this, at zero cost or interest.”
However, the bank does run an algorithm on the customer’s financial behavior before ascertaining the credit limit to the customer. The Paytm credit limit would range from Rs. 3,000 to Rs. 10,000. However, the credit could go up as much as Rs. 20,000. Customers would also be given up to 45 days on interest-free credit depending on their credit score.
Now the Paytm Postpaid service has stopped abruptly without any prior notice. The customers who previously were availing the services are seeing the following message on their screen on the app, “Services disabled! Thank you for using Paytm Postpaid. Paytm Postpaid Services have been disabled now and you will not be able to transact using Postpaid anymore. You can still continue to use Paytm Wallet, UPI as usual. Please clear your dues immediately to completely close the account at bureau’s end.”
Tweets have erupted condemning the hastily taken decision on Paytm’s part. A Twitter user Vasu Vatsyayan has tweeted, “@Paytm should have at least informed their customers before abruptly discontinuing the #paytmpostpaid service. Disappointment and unprofessional.”
Another user, Muntazir Alam tweeted addressing the same issue, “Dear @Paytmcare @Paytm u hv stopped my #PaytmPostpaid service without any reason... I have paid all the bill amt on time every time... plz look into the matter and start the services again.” Paytm has not responded to any of the tweets yet.