Paytm Renounces all Charges on Merchant Transactions; Set to Fund MDR of Rs.600 Crore for MSMEs

Paytm, India’s indigenous digital financial services platform, announces the waiver of all charges on merchant transactions. This will help the company create a level playing field for the merchant partners who can accept payments from Paytm wallet, UPI apps and RuPay cards at zero charges.

Paytm will absorb Rs.600 crore in MDR charged annually by banks and other charges to support MSMEs during the ongoing pandemic. This will ensure that MSMEs have adequate liquidity to expand their businesses.

This initiative will benefit over 17 million merchants on Paytm ecosystem who use Paytm All-in-One QR, Paytm Soundbox and Paytm All-in-One Android POS to accept unlimited payments from their customers at zero charges. It will also empower merchants with choices to either receive payments directly into their bank accounts or into their Paytm wallet.

Kumar Aditya, Sr. Vice President, Paytm said, “We are absorbing MDR to extend support to our merchant partners to increase their overall liquidity to expand their businesses. We believe waiving off these charges will benefit all MSMEs accepting Paytm All-in-One QR, Paytm Soundbox and Paytm All-in-One Android POS devices to collect payments directly into their bank accounts. Paytm All-in-One QR has always been the best mode for merchants to accept digital payments as it accepts unlimited payments at zero cost from any UPI app and Rupay Cards, now with Paytm Wallet too. This move would also encourage merchants to embrace digital payments which would further strengthen the Digital India mission.”

The company is also extending financial support to MSMEs and aims to disburse Rs.1000 crore in loans by March’21. Paytm continues to offer collateral-free loans under the Merchant Lending Program in Paytm for Business app.