New Delhi: Paytm has announced to levy an extra 2% fees for recharging their wallets using credit cards. As per a post on official blog of PayTm, the charge has been applied to avoid misuse of the wallet. The post says that users had taken to recharging their wallets using credit cards, and then were transferring the money back to their bank accounts to rotate the money in order to claim freebies on offer.
The new charge is applicable from March 8.
Founder and CEO Vijay Shekhar Sharma in his blog wrote that “Paytm pays fee to card networks or banks whenever you use any payment instrument like any other online commerce company. Paytm pays a hefty charges when you use your credit card to card networks & issuing banks. If a user simply adds money and takes to bank, we lose money,”.
Also, it added that using money for any other payment options remains free other than recharges. After demonetisation, Paytm had introduced zero percent platform fee to attract small merchants to accept payments from their wallet.