After walking into a fire with recently launched “Mobile App POS” service, which was then withdrawn within hours citing security concerns. One of India’s leading digital wallet provider Paytm has launched a new service for merchants to easily accept card payments from consumers.
Paytm has now come up with Peer-to-Peer (P2P) payment system for small and medium businesses. These time the new service got a green signal from RBI and its also 100 percent PCI-DSS compliant payment option. The new service will be available on the latest version of Paytm mobile app for Android.
Here merchants can accept card payments from customers securely and at zero percent fee. Customers can also feel safe as they now pay to the merchant from their own device. They need not share or enter card details with the merchant. Customers first, will add money to their Paytm wallet from any bank’s Debit or Credit card. Then the money is transferred from their wallet to merchant’s wallet using Paytm P2P payment system.
How to use Paytm Peer-to-Peer payment system
- Merchants start by selecting “Accept Payment” option on Paytm mobile app.
- Then select “Accept Debit/Credit card” payment.
- Enter the bill amount for the purchase made by the customer along with their mobile number.
- Customer will instantly receive an SMS on their own device with a secure Paytm payment link.
- Clicking on it will take the customer to Paytm payment gateway. Where he/she will confirm the mobile number by authenticating using One Time Password (OTP).
- After authentication, the customer pays the order via his/her debit card or credit card.
- Once the transaction is complete, money will be instantly credited to the merchants Paytm Wallet at zero percent fees.
- Both merchant and customer will get a digital receipt for the transaction.
How secure is the whole P2P transaction? This time Paytm has made sure all transaction are 100 percent secure and safe. The payment link received by the customer is generated from Paytm PCI DSS certified payment gateway servers. Payment happens only if the mobile number entered by the customer matches the mobile number entered by the merchant. This is verified using OTP authentication. For added security, the payment link will remain active for a single transaction or only for 30 minutes.
As the customer is entering the card details on his/her own smartphone there is zero risk of someone keylogging the card details. Also, Paytm has ensured that all payments made through its channel are 100 percent compliant with regulatory norms and security standards.
If you have missed, Paytm recently launched “Nearby” feature where you can find stores and merchants accepting Paytm wallet cash near your location. To pay money, you only need the merchant’s mobile number or email id or the Paytm QR code.