Yes, Bank is also on the list of banks that support UPI payments in Swiggy, so Swiggy has removed the option to order food using the UPI account from the app. Similarly, Flipkart has also removed the option to make payments using PhonePe.
The Reserve Bank of India (RBI) has put a moratorium on Yes Bank on Thursday, after which a Yes Bank customer can withdraw only Rs 50,000 per month. The sudden news has affected not just Yes bank account holders, but many third-party apps and fintech startups in India. One of the most affected apps is PhonePe, which started experiencing a complete outage as soon as Yes Bank announced the moratorium. Not only this, but the impact of this news has also appeared on food delivery app Swiggy and e-commerce giant Flipkart.
On social media, many PhonePe users have complained about the problem of not doing the transaction. PhonePay confirmed the outage via a tweet posted late Thursday, describing it as “undetermined maintenance activity”.
However, Sameer Nigam, Founder, and CEO of PhonePe have confirmed on Friday i.e. today that the issue is due to Yes Bank update.
PhonePe is one of the many start-ups that have Yes Bank as Acquisition Bank or Payment Service Provider (PSP). Swiggy also has Yes Bank among the list of banks that support UPI payments, so Swiggy has removed the option to order food using the UPI account from the app. Similarly, Flipkart has also removed the option to pay using PhonePe. Payment Gateway RazorPay also uses Yes Bank in its backend. The company has stated that the payment gateway services are currently unaffected, while some other services of the gateway may be affected due to Yes Bank news.
Companies such as Airtel Payments Bank and CRED have made it clear on social media what impact this news will have on their operations.
Yes Bank: yes bank is one of the leading private banks in India providing many solutions to power startups. In November last year, the Mumbai-based bank launched the Yes Fintech developer platform as an API sandbox with over 50 virtual APIs to allow startups and individual developers to test banking integration for their apps.
Yes Bank: yes bank placed under moratorium by the RBI with a 50K rupees per month restrictions on deposit withdrawals. We must ask what the RBI’s nominee was doing on the board, poring over a bailout by an investor who was getting his teeth polished like chiclets.
Along with the impact of this news on third-party app and payment platforms, Yes Bank’s own apps and NetBanking services have also been affected and access to them is currently discontinued. This means that if you have a YES bank account, you will not be able to transfer your funds to another bank. Apart from this, you will not be able to use NetBanking to pay anywhere. Although there is no need to panic, hopefully, the situation should return to normal soon.