Paytm Transitions to Direct Payments Management

Fintech company Paytm has decided to stop utilising third-party platforms such as Juspay for payment management and will now directly manage its transactions. This decision reflects a growing trend among companies like Razorpay, PhonePe, and Cashfree Payments, all of which have opted to move away from third-party orchestration platforms.

In a notice to its partners, Paytm Payments Services Limited (PPSL) stated that it will cease support for transactions routed through Juspay, with this change taking effect from April 1. The Noida-based firm emphasised that this decision is in line with PPSL’s dedication to providing a more seamless and dependable payment infrastructure for its merchant clientele.

The communication encouraged partners to start accepting payments directly through PPSL to ensure uninterrupted service. PPSL highlighted its capacity to support over 100 payment sources and its readiness to handle peak transaction loads efficiently.

This strategic adjustment is part of PPSL’s ongoing efforts to solidify its status as a foremost provider of payment solutions, with a focus on direct integration to boost performance and reliability.

PhonePe was the first fintech firm to sever ties with Juspay in December. Following PhonePe, both Cashfree and Razorpay made similar moves.

Previously, Juspay remarked that any Payment Aggregator (PA) or Payment Gateway (PG) that refuses to collaborate with a merchant would ultimately face setbacks, impacting not only the merchant but the wider payments ecosystem.