Paytm Suspended 2% Charge on Credit Cards for Adding Money to Wallet
India’s leading mobile wallet, Paytm has suspended its decision to charge its customers 2% extra for recharging via credit cards. Yesterday, 10 March 2017 Paytm has decided to take action against credit card customers who were misusing Paytm's platform. Paytm complained in their blog post about how some users are using their credit card for getting free money into their bank accounts at the cost of Paytm. These kind of transactions were costing a fortune to the company, hence the need for such a drastic step.
“We will put 2% fee (inclusive of taxes) only on adding money to wallet using credit cards while adding money using any other payment option remains free,” said Paytm while introducing a new charge.
Paytm soon realised that the decision to charge extra 2% for credit card transactions to prevent misuse of its platform will also hurt those who use credit cards for genuine transactions. This decision of reversal comes within 24 hours of the announcement of the extra charge levied on credit card transactions.
Although Paytm announced to compensate those 2% charges in the form of discount coupons, the company decided to reverse the decision as it affected a large segment of its genuine credit card users.
“We are suspending 2% charge on credit cards for adding money to wallet keeping users’ convenience in mind,” announced Paytm via a blog post.
Paytm has now announced that it will devise other ways to fight the misuse of its 0% transaction fee facility for adding money via credit cards.
“We will introduce new features to prevent credit card misuse in add money,” said Paytm.
Paytm has proved that the company works for the convenience of its large user base and can fight fraudulent practices without affecting the normal innocent users.