Paytm is initiating payment with an OTP-less card for transactions below Rs 2,000. The feature will work both online and offline. According to the company, the facility would eliminate the need to wait for the OTP for payment. While the one-time password serves as a layer of security when making payments, it can also be cumbersome. Multiple redirects and connection timeout issues can be a struggle when making payments online. The Indian e-commerce payment system thinks the new facility will improve overall payment flow.
how it works?
Paytm says that a large number of its users spend less than Rs 2,000 for their daily frequent payments. To help those users not wait for OTPs or get lost in redirection, the company is introducing this new feature. To avail the service, Paytm users can enable their saved card or add a new card for immediate payment at offline retail stores or using any of their Paytm services. The service will also work on several other platforms like Uber, Zomato, Jio.
To make the feature available to more users, the company has also tied up with Flipkart-owned Myntra. It says that millions of its users will be able to pay through any of their preferred payment modes. Since demonetisation, Paytm has become the torch bearer for mobile payments in the country. The service aims to generate 12 billion transactions by the end of the financial year 2019-20. It had 5.5 billion transactions in 2018-19 and 2.5 billion in 2017-18.
Paytm First, a subscription-based service launched in March, has attracted half a million subscribers, according to a LiveMint report. It has 350 million registered users and now extends to Tier 4-5 cities. The service offers a variety of payment options ranging from mobile payments to unified payment interfaces and Internet banking.