Paytm not to charge any transaction fee

Paytm has refuted reports that said the digital wallet may apply a fee on transactions. Reports have suggested that charges may be applied for topping up the wallet, paying bills or school fees and buying tickets. The digital wallet company will start passing the Merchant Discount Rate (MDR) that is usually charged by banks and card companies for digital transactions, said media reports.

Nevertheless, Paytm has refuted all these rumors that it is going to charge any extra amount for digital transactions. "We would like to clarify that Paytm app/payment gateway owned by One97 Communications Limited does not charge or levy any convenience/transaction fee from our customers on using any payment method which includes cards, UPI, net-banking, and wallet," said the company's official blog.

According to Economic Times, Paytm was reportedly going to charge 1% on payments through credit cards, 0.9% for debit cards and up to Rs 12-15 for transactions by net banking and the Unified Payments Interface (UPI).

Paytm clarified that it has no plans to apply such charges in the future via a blog post. “Paytm customers can continue using all services available on our platform without any fee (same as before),” said Paytm.

According to the digital payments company, some companies, educational institutes or utility service providers do not accept credit cards. In such cases, the consumer is suggested to make payments through the UPI or debit card to avoid any kind of charges.