Paytm halts third-party transaction services in India

Paytm Payments Services Limited (PPSL) will stop processing transactions through third-party platforms like Juspay. Instead, starting April 1, all transactions will go directly through Paytm's own payment gateway. This change aims to improve service for merchants. The announcement comes after other payment companies, Razorpay and Cashfree, made similar decisions to handle transactions directly. Paytm has advised businesses to switch to its platform before the April deadline to avoid any disruptions in payment services. In India, the competition is heating up between payment aggregators and orchestration platforms. These companies are increasingly overlapping in the services they offer. Juspay, which has allowed merchants to connect to various payment gateways, has expressed concerns that limiting third-party options could harm many businesses. Recently, Juspay received a payment aggregator license from the Reserve Bank of India and is now in direct competition with firms like Razorpay. Despite this, Juspay co-founder Sheetal Lalwani has stated that they do not intend to compete directly with other payment aggregators.