One97 Communications Ltd, the parent of digital payments firm Paytm, has announced the launch of Instant Bank Settlement facility for its merchant partners, which allows them to settle payments immediately or at certain a point in time.
The solution will help merchants in growing their business by improving their daily cash flows, the firm said in a statement.
With this solution, the company aims to benefit over 9.8 million merchant partners who accept payments using Paytm at their offline stores.
Today, customers pay the merchants by scanning the Paytm QR and choosing their preferred mode of payment, that is, Paytm Wallet, BHIM UPI or bank account. And with Instant Bank Settlement, the merchants can choose their preferred time to settle the payment collected or can do an instant settlement as and when they want, directly into their bank accounts. This functionality is available to them at the Paytm for Business app, where the merchants can also track all their payments and settlements on a real-time basis.
The company has rolled out this functionality to over one million merchants across India now. It’s currently in the process of rolling it out to all of its 9.8 million offline merchants.
“Liquidity is important for the merchants to manage their cash flow and stay ahead of their personal and business cash needs. With this objective in mind, we have introduced the feature of instant settlements," said Kiran Vasireddy, chief operating officer, Paytm.