September 26, 2020


Google Pay is not banned; fake news doing rounds on Twitter

Twitter has been going crazy over the news of Google Pay has been banned in India.#Gpaybanned has been doing rounds on twitter. Therefore National Payments Corporation of India (NPCI) came to the forefront to clarify that it is not so. Google pay has the highest number of transactions taking over its platform. Google Pay uses Unified Payments Interface (UPI), which is a platform started by the NPCI. The news on twitter said that RBI banned Google pay because it was not a payment system operator. Soon after the message began circulating on the internet, it hit WhatsApp messages, and hence the NPCI had to come forward to clarify the situation and sort out the problem. They announced that RBI sanctioned it as a Payments System Operator (PSO) and conformed that all transactions taking over the application are protected under the law. “RBI has authorized NPCI as a Payment System Operator (PSO) of UPI and NPCI in its capacity as PSO authorizes all UPI participants. We want to clarify that Google Pay is classified as a Third-Party App Provider (TPAP) that provides UPI payment services like many others, working through banking partners and operating under the UPI framework of NPCI. All transactions made using any of the authorized TPAPs are fully protected by the redressal processes,” said an official from NPCI. Economist Abhijit Mishra has filed a PIL against Google Pay, saying that it had started transactions before receiving a sanction from the RBI. NPCI responded that Google Pay does not operate any payment systems; hence they are not violating any law. They also shared some guidelines to keep in mind while using UPI ID.