Home » News » Tech » Google Pay is NOT Banned By RBI: Your Transactions Are As Safe As Any Other Payment App

Google Pay is NOT Banned By RBI: Your Transactions Are As Safe As Any Other Payment App

Google Pay is NOT Banned By RBI: Your Transactions Are As Safe As Any Other Payment App

Google Pay is not banned in India, and the forwarded WhatsApp message circulating social media is based on a miscued claim rising from an RBI submission to the Delhi High Court from earlier this week.

GPay banned by RBI – the aforementioned is right now at the top of all trending topics on Twitter in India. However, it is important to note that the same is NOT true, and is yet again based on a misleading WhatsApp message that seems to be circulating social media. The trend has likely stemmed from a report from earlier this week, wherein a Press Trust of India report quoted the Reserve Bank of India as stating that Google Pay does not operate a payment system in India, and hence does not find a place in the list of authorised payment system operators published by the National Payments Corporation of India (NPCI). RBI’s response came in light of a PIL to the Delhi High Court, filed by economist Abhijit Mishra. However, Google has since responded to RBI’s submissions, stating that it is a legal operator in India, and as a result, your money is as safe as it would be on another other payment service’s platform.

On June 24, Google Pay India posted a PTI article, stating, “Google Pay operates completely within the law. We work as a technology service provider to partner banks, to allow payments via UPI. UPI apps in the country are categorised as 'third party apps', and are not required to be 'payment systems operators’.” A Google spokesperson’s statement to PTI on the matter said, “Some quotes on social media, wrongly attributed to the RBI, claim that issues arising while transferring money through Google Pay are not protected by the law, since the app is unauthorised. This is incorrect and can be verified on NPCI''s website.”

The statement on the matter further says, “All transactions made via Google Pay are fully protected by redressal processes laid out by applicable guidelines of the RBI/NPCI, and users can reach out for any help 24/7, through Google Pay customer care.”

An NPCI spokesperson also confirmed to News18, "Google Pay is classified as Third Party App Provider (TPAP) that also provides UPI payment services like many others, working through banking partners and operating under the UPI framework of NPCI. All authorised TPAPs are listed on the NPCI Website. All transactions made using any of the authorised TPAPs are fully protected by the redressal processes laid out by applicable guidelines of NPCI/RBI and customers already have full access to the same. Further, we would also like to clarify that all authorised TPAP’s are already bound by full compliance to all the regulations and applicable laws in India. UPI ecosystem is fully safe and secure, and we appeal to the citizens not to fall prey to such malicious news. We also request UPI customers not to share their OTP (one time password) and UPI Pin with anybody."

Given these circumstances, it is advised to Indian citizens to NOT believe in forwarded WhatsApp messages that claim that Google Pay has been banned by the RBI, since that is not the case in India. Google India has also posted on the matter, clarifying that it is in accordance with the law of the land, and hence, transacting on Google Pay keeps your money as safe as it would be on any other payment platform in India.