Paytm Cash launched; cashbacks are now non-transferable

Paytm has launched a new version of Paytm Cashback in the form of Paytm Cash that makes cashbacks on the platform non-transferable. This means that the user will not be able to transfer the amount to other Paytm users or to any bank account. It will rather remain in the account holders wallet.

As TelecomTalk reports, it is a server-side change which means users should have already received the feature by now. The feature essentially locks your cashback amount to be used only while making payment at Paytm accepting merchants. This makes the cashback non-transferable to fellow users or to any bank.

Paytm Cash will have a dedicated tab under the Passbook option. This new tab will list the details about the cashback you've received through various online and offline deals. Previously, the app was jointly showing all the cashback received and the existing wallet balance under the Wallet tab.

While this move might upset users as they will be compelled to use the cashback through Paytm transactions alone, it is said to benefit the company by increasing the transaction value for Paytm. It will also reduce the cashback misuse.

In December, the Paytm app hit the benchmark of 100 million downloads on Google Play. The app already supports features such as BHIM UPI functionality and Paytm Payments Bank integration. It also recently set up an investment arm, Paytm Money that will offer investment and wealth management products.