RBI's digital-lending rules: Paytm's BNPL biz may need operational tweaks

Analysts have said that they will be watchful of the operational impact of the new norms, especially on customer convenience of the payment firm

The ‘buy now, pay later’ (BNPL) business of Paytm may need some operational tweaks to comply with the Reserve Bank of India’s (RBI’s) digital lending guidelines, even as the firm’s merchant and personal loans business is completely in sync with the new norms, analysts say.    

Currently, under Paytm Postpaid, loans are not directly disbursed to the customer's account. Instead, these are disbursed to a nodal account, from where the payments firm routes them to the merchant’s account.

According to the RBI’s new digital lending norms, all loan disbursements and repayments are required to be executed only between the bank