How to choose a payment channel in India and how to avoid freezing of public accounts in Indian banks! : India Three-Party Payment Licence

The current situation in India can be described as a "disaster". The impact of the epidemic on the economy is far-reaching, especially as it is critical for 2022, the year in which Prime Minister Modi's plan to achieve Rs 5 trillion by 2025 is to be realised.

In the recent past, the payments industry in India has been in turmoil, largely due to online money making schemes and Ponzi schemes. Many accounts were frozen and many payment companies went out of business to make way for a new generation of startups. Even established payment companies were not spared and many ceased operations.

Recently, the payment channel has served mainly poker and other card games, which have become the preferred choice of payment service providers due to fewer complaints and fewer account suspensions in these areas.

Despite the turmoil, payment products continue to fall into three main categories: online money-making and Ponzi schemes, betting and gambling (BC), and legitimate real-money card games. The emergence of the Unified Payments Interface (UPI) has changed the landscape by technically linking bank accounts to a unique transaction reference number (UTR), depending on the technical capabilities of each company.

I think UPI is better suited for businesses that have a strong customer base and are able to direct users effectively. For other businesses, it may not be the best choice.

In the case of third-party payment services, the availability of products depends to a large extent on the relationship between those services. Those services with good relationships may accept higher-risk customers, while those with weaker relationships tend to accept lower-risk customers. However, UPI payments are more about technical prowess.

The current dominant third-party payment services remain mainstream players such as Paytm, Cashfree and Razorpay. these services are favoured for their diversity. paytm has had a higher success rate and no longer accepts gaming apps, instead focusing on e-commerce and other types of apps. cashfree still accepts gaming apps but has strict controls and is known for freezing accounts. known for freezing accounts. Without an in-house relationship, it can be difficult to manage.Paytm is also known for having a high level of account freezes, with many users having restrictions on their main accounts.Paytm is also known for having a high level of account freezes, with many users having restrictions on their main accounts.

In general, public accounts are more versatile than private accounts. Private accounts have a limit of about one million, while public accounts can easily handle amounts up to ten million. Some companies operate dozens of public accounts, which are popular with customers for their ease of use. However, they are difficult to set up and require registered co-operation, including registering the company and physical location. The directors of the company must include one or two Indian nationals, and importantly, public accounts are taxable.

Source: Xiyunda