Rediff.com  » Business » PhonePe, digital partners hit by freeze on Yes Bank

PhonePe, digital partners hit by freeze on Yes Bank

Source: PTI
March 06, 2020 12:03 IST
Get Rediff News in your Inbox:

After Yes Bank was placed under moratorium, digital payments were impacted as PhonePe, which depends on the cash-strapped lender for its transactions, could not operate. 

Even the bank's own net banking facilities have not been operational since last evening. Other fintech operators who rely on Yes Bank to settle their transactions are also down.  

 

“We sincerely regret the long outage. Our partner bank (Yes Bank) was placed under moratorium by RBI. Entire team's been working all night to get services back up asap (as soon as possible),” the app's chief executive Sameer Nigam tweeted early in the morning. 

PhonePe, one of the country's largest digital payment platforms, is dependent on Yes Bank to process its transactions. 

He added that the app -- one of the most popular interfaces for UPI transactions -- hopes to be live in a “few hours”. 

Yes Bank was placed under a moratorium Thursday evening, with the RBI capping deposit withdrawals at Rs 50,000 per account for a month and superseding its board. 

Yes Bank will not be able to grant or renew any loan or advance, make any investment, incur any liability or agree to disburse any payment.

For the next month, Yes Bank will led by the RBI-appointed administrator Prashant Kumar, an ex-chief financial officer of SBI.

Get Rediff News in your Inbox:
Source: PTI© Copyright 2020 PTI. All rights reserved. Republication or redistribution of PTI content, including by framing or similar means, is expressly prohibited without the prior written consent.
SHARE THIS STORY