Paytm introduces Postpaid Credit Line on UPI with Suryoday Small Finance Bank

New Delhi, 17 September 2025: One 97 Communications Limited (NSE: PAYTM, BSE: 543396), the parent company of Paytm, has introduced its latest product, Paytm Postpaid Credit Line on UPI, in association with Suryoday Small Finance Bank. The product allows users to “Spend Now, Pay Next Month,” offering up to 30 days of interest-free credit on UPI merchant QR codes and online apps.

One 97 Communications Limited, Paytm’s parent entity, is India’s largest fintech company, driving innovations like payments through QR codes and Soundbox devices. Listed on NSE as well as BSE, the firm runs a full-stack merchant payments and financial services ecosystem, enabling millions of MSMEs and businesses across India.

Product Highlights

The new credit line facility enables customers to make day-to-day transactions using UPI with short-term liquidity backing. Settlement can be done at any UPI merchant QR, as well as for online shopping, bill payments, mobile recharges, and holiday bookings. The repayment cycle provides up to 30 days’ interest-free usage, after which charges may be levied as applicable.

The service is intended to offer instant short-term credit with guaranteed settlement to merchants to allow hassle-free business dealings. Already available to a limited number of customers, Paytm has announced that a broader roll-out is in the offing within the next couple of months.

Avijit Jain, COO  Lending at Paytm, informed that the collaboration is intended to provide greater flexibility in liquidity to families in their daily spends. CIO & Head Digital Banking at Suryoday Small Finance Bank, Vishal Singh, stressed that the collaboration provides access to responsible credit with easy and frictionless user experience.

Stock Market Performance

In spite of the product launch, Paytm shares traded slightly lower on September 17, 2025. Shares were quoted at ₹1,226.60 at 12:19 p.m. IST, down 0.39% from the last close of ₹1,231.30. The stock reached an intraday high of ₹1,243 and low of ₹1,220.

Paytm’s shares have experienced volatility in the last one year with a 52-week high of ₹1,296.60 (September 4, 2025) and a 52-week low of ₹628.50 (September 19, 2024). The market capitalization of the company was ₹78,290.29 crore with a free float market cap of ₹41,725.04 crore. Traded volume was at 8.11 lakh shares with a traded value of ₹99.81 crore and delivery participation at 57.31%.

Industry Context and Outlook

The launch is at a time when digital credit and UPI-based lending are quickly picking up in India. While RBI norms are becoming increasingly stringent against unsecured lending, banks and fintechs are increasingly innovating to provide low-ticket, short-duration credit products that satisfy customer demand without over-exposing risk.

India’s UPI ecosystem remains in control of digital payments, registering over 14 billion transactions per month in August 2025. Experts opine that embedding credit lines within UPI might speed up digital credit adoption, especially by young working professionals and urban households looking for immediate liquidity options.

For traders, the shift guarantees quicker settlements and greater payment convenience, possibly boosting sales volumes. For Paytm, the partnership with Suryoday Small Finance Bank deepens its lending base and broadens revenue sources beyond core payment.

REF: https://nsearchives.nseindia.com/corporate/PAYTM_17092025085820_SEDisclosure_Press_Release_17092025_sd.pdf

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