Paytm, the e-commerce platform has tied up with ICICI Bank to offer instant digital loans to Paytm users. This is the first ever collaboration between an e-commerce platform and a scheduled commercial bank in India. The launch was tweeted by Vijay Shekhar Sharma, founder and CEO of Paytm stating it was logical to name the product as PostPaid.
How To Paytm Postpaid Works
The Paytm Postpaid provides you with an instant credit for the payments done using Paytm. You can get up to 45 days interest-free credit ranging from Rs 3,000 to Rs 10,000. Based on your credit repayment history, this amount is extendable up to Rs 20,000. By using Paytm-Postpaid as a payment mode, a customer can book movie or travel tickets, do mobile recharges and shop on Paytm Mall. For now, the facility is available to select ICICI Bank customers but soon will be open to other non-ICICI Bank customers.
- Download and install the latest Paytm app Google Play store
- Go to your profile section and select Paytm Postpaid.
- If the feature is not enabled, submit your interest or else proceed.
- Enter your Aadhaar and PAN details to set up the PostPaid account.
- Start using PostPaid as an alternative payment on the checkout page.
- History of PostPaid usage is available in your Pass Book section.
- Pay bills by 15th of every month to avoid late fee and interest.
Features Of Paytm PostPaid
- Interest-free instant credit up to Rs 2000 for 45 days.
- Paytm PostPaid is secure with 4 digits Paytm Passcode.
- 99% success rate for transactions with Paytm Postpaid.
- e-mail statement for transactions done using Paytm PostPaid.
- Automatic payment of bills from linked ICICI Bank account.
- Bill payment can also be done with wallet money and debit cards.
Every credit scheme comes with some penalty and can affect your CIBIL score if you fail to pay the bills on time. Here the late fee is R 50 and additional 3 percent interest on the loan amount per month, which you have to pay on the next bill cycle. However, it will still be a boon to many shoppers since Paytm offers additional discounts in the form of cash backs. Paytm is also considering an option for extending the due date of repayment. Hope you enjoyed the article, Peace!