Post demonetization, Paytm has witnessed transactions worth millions and has even registered transactions worth Rs 120 crore in a day.
Amidst the severe cash crunch situation, the company became the centre of transactions and now millions of consumers and merchants across the country are trying mobile payments on the payment platform for the first time.
While Paytm has been stepping up its game introducing many new features, yet again it has announced a new update to its app.
More importantly, the new update will help regular merchants to accept Credit/Debit cards as a mode of transaction.
Paytm has launched a new feature for its mobile app dubbed as POS (Point of Sale). The update might be India's first app based POS which will allow all small and medium merchants to accept all card payments including Rupay, Visa, MasterCard and Maestro.
In essence, the app based POS will act as a virtual POS in shops and stores where a user can just enter their card details and make a payment using the merchant's smartphone when a POS machine might not be working or is not present.
To be more precise, a shopkeeper after generating the bill on the app POS will then give the phone to the payee to enter his card details. After entering the details, the payee will receive an OTP on his or her phone and the payment will be approved once the correct OTP is entered.
The transaction limit is fixed up to Rs. 50,000, after which customers will be required to submit their documents for KYC.
What's important and the key highlight of the update? The feature will immensely benefit small merchants as they will now be able to accept card payments without installing a bank provided swipe machine.
Moreover, Paytm will impose zero transaction fee for the payments made until December 31, 2016.
Paytm's CEO, Vijay Shekhar Sharma on a positive note, communicated that the company is expecting up to 10 million POS app downloads by the end of the week. He affirmed that around 1.5 million merchants have already started using Paytm after demonetization to accept payments.
He further added that Paytm was on a mission to democratize payments and empower even the smallest merchants to be able to accept credit and debit card payments from their customers. The company is very proud of being able to contribute to the digitization of the Indian economy.
As for Android users, the Paytm app has already been updated. It will now show a list of merchants who accept Paytm payment through QR codes or Credit/Debit card. The list can be found under the "Accept Payment" option in the app.
Similarly, Paytm is working on an update for its iOS app.