Context:
Paytm, in collaboration with Suryoday Small Finance Bank (SFB), has introduced a credit line on UPI called Paytm Postpaid.
Key Highlights:
- Type of Credit: Short-term, interest-free credit for up to 30 days, repayable the following month.
- Usage: Can be used for online shopping, UPI payments, bill payments, recharges, and bookings on the Paytm app.
- Infrastructure: Powered by NPCI and leverages Paytm’s UPI payment platform for seamless transactions.
Significance:
- Financial Inclusion: Provides easy access to short-term credit for users without the need for formal loans.
- Digital Payments Growth: Encourages wider adoption of UPI-based credit and digital transactions.
- Convenience for Consumers: Enables users to manage monthly expenses without interest, promoting responsible digital credit usage.
