EPFO Directs Restrictions on Paytm Payment Bank Accounts Following RBI Directive
EPFO has issued a directive to all its regional offices, Paytm Payment Bank Transactions advising them against processing claims linked to bank accounts held with Paytm Payment Bank in light of the recent restrictions imposed by the Reserve Bank of India (RBI). The circular, released on Thursday, stipulates that this directive will come into effect from February 23, 204. As a consequence of this measure, individuals who are subscribers of EPFO and maintain accounts with Paytm Payment Bank may encounter delays in the processing of withdrawals and credit transactions.
The decision by EPFO follows the RBI’s directive on January 31, which mandated Paytm Payments Bank to cease all banking operations, including the acceptance of deposits and payment processing, effective February 29, 2024.
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In a press conference subsequent to the MPC meeting, RBI Deputy Governor Swaminathan J elucidated on the recent regulatory actions taken against Paytm Payments Bank. He clarified that the regulatory intervention was necessitated by the bank’s persistent non-compliance with regulations despite repeated warnings. The decision to impose restrictions on Paytm Payments Bank’s acceptance of new deposits was made after affording the institution ample opportunity to rectify its non-compliant practices.
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Last year, EPFO had instructed its banking division to allow EPF payments into accounts held with Paytm Payment Bank and Airtel Payments Bank. However, the recent directive from the RBI has prompted EPFO to impose restrictions on deposits and credit transactions for subscribers maintaining EPF accounts with Paytm Payment Bank.
Subscribers are urged to promptly update their bank account details to ensure uninterrupted access to their Employees’ Provident Fund (EPF) corpus.
Updating Your Bank Account Details with EPFO : Paytm Payment Bank Transactions
- Visit the EPFO’s member portal and log in using your username and password.
- Navigate to the ‘Manage’ option in the top menu bar and select ‘KYC’ from the drop-down menu.
- Choose the document type as ‘bank’ and input the correct bank account number and IFSC code as per bank records. Click ‘save.’
- After saving, the details will appear under the ‘KYC pending for approval’ tab. Submit the document proof to your employer.
- Upon verification by the employer, the status will be visible under ‘Digitally Approved KYC,’ and a confirmation SMS will be sent to the registered mobile number.
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