Paytm was introduced years ago and during that time, it made it easy for people to recharge a mobile phone, pay bills and other such things. It is reliable and it offers multiple modes of payments for the user. With time, it expanded its services and today Paytm has a Payment Bank and even a Wallet. I am sure most of us use Paytm Wallet to transact or to accept payments.
As you know that everything comes with advantages and disadvantages. In this article, we have listed Advantages and Disadvantages of Paytm which can help you in differentiating between the different services offered by Paytm. This will give you an idea about the areas where you are at a loss while using Paytm.
So, let us now look at the advantages of Paytm and in the later part, we will talk about the disadvantages of using Paytm.
Advantages of Using Paytm
Easy to Use – Paytm is easy to use. Even people who are not tech-savvy can use Paytm easily and the user interface is also very simple. You can teach your parents to use Paytm in just 2 minutes of time and it will make it easy to transact for them.
Digital Transactions Made Easy (Acceptability) – Paytm has changed the way we transact. It is now very easy and quick to make the payment to merchants. In addition to this, Paytm was a saviour during demonetization. It became really easy to transact with a lot of street vendors accepting Paytm. Today, most of the eateries, shopkeepers and vendors accept Paytm. Moreover, there are multiple modes of payment supported for adding cash in Paytm. You can use Debit Card, Credit Card, Net Banking, UPI and much more.
Transfer Money to Person or Business – With help of Paytm, you can transfer money to a business or a person. For example, if my brother needs some money to book tickets or to pay someone, I can simply transfer the money to my friend within seconds.
Transfer Money to Bank – Paytm also makes it possible to transfer money to the bank and this is surely an advantage. You can transfer it to Bank using the account number and IFSC Code. It works like IMPS and the money is transferred to the bank Isn’t that amazing?
Recharge, Tickets, Movies and Much More – Paytm entered the market as a platform to recharge and today it has expanded its service by multiple folds. You can now book movie tickets, air tickets, train tickets, hotels, pay for the insurance premium, school fee and even challan with help of Paytm.
Gold and Mutual Funds – Imagine if you could buy gold worth Rs 50 whenever you wished to. This way, you can buy a lot of gold with time. The good part is that Paytm lets you buy digital gold and if required, you can convert it into physical gold as well. In addition to this Paytm has now started allowing people to buy Mutual Funds as well.
Discounts – There are many discounts available via Paytm and you even get cashback code while using Paytm. This is the best part about Paytm as you end up saving a lot of money while using Paytm.
No Need to Carry Change – You don’t have to carry change to shops and there is no problem about finding change if you need to make the payment via Paytm. This has ended the never-ending struggle of finding change.
Connect to Uber, Zomato and Other Apps – Paytm can be connected to different apps like Uber and Zomato and this makes it easy to make the payment for Cab Rides or Food that you order. There are many other apps which support Paytm.
You have looked at the advantages of Paytm and let us now look at the other side of the coin.
Disadvantages of Using Paytm
High Transaction Charge – The transaction charges with Paytm are quite high if you wish to transfer Money in your bank account. The transfer charges for that matter is 4% and this means that you end up paying Rs 400 for transferring Rs 10,000 to the bank. This should certainly be reduced.
KYC Required – It is required to register KYC for unlocking the full capabilities of Paytm. It is not possible to transfer money to a bank without using Paytm and not everyone likes to register KYC.
Prone to Frauds – Paytm is also prone to digital frauds and hence one needs to be very careful while dealing with unknown phone calls. You should never share OTPs and Passwords with anyone as it makes you prone to fraud.
High Charges on Gold – Paytm has made it easy to purchase digital code but there is a price difference between the daily rate and the price that Paytm charge. Moreover, Paytm may ask you to pay making charges to convert it into physical gold.
Customer Service – The Customer service of Paytm is actually non-existent. It takes at least 7 days for them to revert back to a simple query. This is the biggest disadvantage of Paytm and it is also a factor which people hate about Paytm.
Losing Phone is a Risk – If you lose your phone then you are at risk of losing money as well. If you do not have a password on Phone then anyone can use your Paytm to transfer the balance.
These were all the advantages and disadvantages of using Paytm. We are sure that there are more benefits than the disadvantages of the app.
We are sure that Paytm would be working on resolving some of these disadvantages like poor customer service. In the meantime, let us take things with a pinch of salt.