Paytm has swiftly addressed concerns from millions of customers following a Google Play notification that caused uncertainty regarding its UPI services. The fintech company clarified that regular UPI transactions remain secure, with only a small group of users—those relying on recurring subscriptions—required to take action. The confusion arose when Google Play sent a notice stating that ‘@paytm UPI handles will be deprecated’ starting August 31, 2025. This sparked fears among users that Paytm’s entire UPI service might be discontinued. However, the alteration only affects recurring payments, such as subscriptions to YouTube Premium, Google One storage, or similar services.
Paytm, under the leadership of founder Vijay Shekhar Sharma, refuted claims of any impending disruption, stating, ‘There will be no disruption for users when they make UPI payments on Paytm. Both consumer and merchant transactions will remain seamless.’ What changes are being implemented? According to Paytm, the adjustment pertains specifically to recurring payment mandates. Users who pay for services like YouTube Premium or Google One using their existing @paytm handle must transition to a new UPI ID linked with their bank. These new IDs may appear as @pthdfc, @ptaxis, @ptyes, or @ptsbi, depending on the user’s bank account. For example, a UPI ID previously set as rajesh@paytm will now operate as rajesh@pthdfc or rajesh@ptsbi.
Notably, routine UPI transactions—like scanning QR codes, paying merchants, or sending money to friends—will proceed without any modifications. Why is this necessary? The transition is part of Paytm’s compliance with the National Payments Corporation of India (NPCI), which has permitted Paytm to act as a Third Party Application Provider (TPAP). This update is designed to ensure that recurring subscriptions continue without interruption within the new regulatory framework. Essentially, it’s a background adjustment rather than a disruption for daily users. Paytm stressed, ‘This is a simple update to ensure uninterrupted recurring payments, while all other UPI transactions on the app continue without any change.’ What actions should users take?
Users who utilize Paytm UPI for subscriptions must make adjustments before September 1, 2025. They can: update their recurring mandates to the new Paytm-linked bank handles, switch their recurring payments to another UPI app like Google Pay or PhonePe, or alternatively, use debit or credit cards for subscription renewals. For all other users—those who only use Paytm for money transfers, shopping, or bill payments—no changes are necessary. A storm in a teacup: Although Google Play’s notification was technically accurate, Paytm believes it was incomplete and caused unnecessary panic. With millions depending on Paytm for daily transactions, even a minor alert was sufficient to provoke anxiety. In reality, this adjustment is a one-time update for subscriptions rather than a significant disruption.
Once users refresh their recurring payment details, it will be business as usual. Therefore, for those concerned about the disappearance of Paytm UPI, the message is clear: relax. Your QR code scans, bill payments, and money transfers will continue as normal. Only subscription services require a quick update before August 31, 2025.