One97 Communications Limited, the parent company of Paytm, has announced the launch of Paytm Postpaid, a credit line service. The service is in partnership with Suryoday Small Finance Bank.
This integration allows customers to access short-term credit and offers the convenience of ‘Spend Now, Pay Next Month’.
With Paytm Postpaid, consumers can make payments using a credit line on UPI at all merchant touchpoints. This includes scanning any UPI QR code, shopping online, or paying for recharges, bills, and bookings through the app. The service offers up to 30 days of short-term credit, giving individuals the flexibility to spend instantly and repay in the following months. It also optimises daily payments, making them more reliable and faster. The service is currently being rolled out to a select group identified by their spending behaviors and will be expanded to more customers soon. Customers can start using Paytm Postpaid immediately after activation, with no waiting time to access credit.
The service uses Paytm’s technology for secure, real-time payments. It offers customers the flexibility to manage liquidity without affecting their daily expenses, while merchants benefit from universal acceptance and assured instant settlement through the familiar UPI payment flow.
This growth is expected to occur as the BNPL payment market in India is projected to expand by 13.4% annually to reach USD 21.95 billion by 2025, and the market is forecasted to grow at a CAGR of 9.8% from 2025 to 2030.
Paytm’s latest collaborations
In August 2025, India’s central bank granted preliminary authorisation to Paytm’s Payment Services division to function as an online payment aggregator. This approval was a key regulatory step for the firm, which had been restructuring its payments operations following earlier regulatory interventions.
The move followed Paytm’s announcement in August 2024 that it had applied for a payment aggregator licence from the Reserve Bank of India (RBI). This application was submitted several months after the RBI instructed the company to close its payments bank, a separate entity within its business structure.
