Tapesh Kumar alleges that Paytm charged him ₹190.55 as a “convenience fee” while repaying his HDFC Bank loan of ₹16,148. Choice4Voice.com investigates if such fees are legal under RBI guidelines and explains what customers should do if charged unfairly.
Complaint Summary : Paytm Charges ₹190 Extra on HDFC Loan Repayment – Tapesh Kumar Raises Complaint
| Detail | Information |
|---|---|
| Complainant Name | Tapesh Kumar |
| Companies Involved | Paytm & HDFC Bank |
| Transaction Type | Loan repayment via Paytm |
| Amount Paid | ₹16,148 |
| Extra Charges Levied | ₹190.55 convenience fee |
| Customer’s Allegation | Hidden charges / scam in the name of digital convenience |
| Concern Raised | “Bank already charges loan interest, why should Paytm also charge extra?” |
| Loss Incurred | ₹190.55 |
| Complaint Status | Pending |
| Original Post | LinkedIn Post by Tapesh Kumar |
Full Complaint Write-Up
Tapesh Kumar, a consumer and professional, reported a shocking experience while repaying his HDFC Bank loan through Paytm.
He repaid ₹16,148, but Paytm charged an additional ₹190.55 as a “convenience fee.”
Tapesh expressed frustration by saying:
- “Loan ka interest bank le raha hai, aur loan chukane ka interest Paytm le raha hai!”
- “₹2–₹3 extra was understandable, but ₹200 as convenience fees? This is nothing short of a scam!”
He even tagged the Reserve Bank of India (RBI) questioning whether this kind of fee collection represents the idea of Digital India.
This case raises serious questions:
- Why should digital repayment platforms charge such high fees?
- Are these charges legal under RBI guidelines?
- Why are customers not informed clearly about extra fees before making payments?
Why This Case Matters
- Transparency Issues – Customers are not clearly informed about convenience fees before repayment.
- Double Burden on Borrowers – Bank takes interest, and the repayment platform charges extra fees.
- Digital India Paradox – Instead of making digital payments cheaper, they are becoming costlier.
- Consumer Exploitation – ₹190 on a ₹16,148 transaction = more than 1% extra burden.
- Legal Question – Is Paytm authorized by RBI to levy such charges on loan repayments?
20 Most Searched Questions & Answers on Paytm Loan Repayment Charges
1. What is Paytm’s convenience fee?
Paytm charges a convenience fee on certain transactions, including loan repayments, bill payments, and credit card dues, claiming it is for “payment gateway and processing costs.”
2. Is it legal for Paytm to charge a fee on HDFC loan repayment?
Yes, but only if it is clearly disclosed before payment. RBI does not allow hidden charges in digital transactions. If it is not transparently displayed, it can be challenged.
3. How much fee does Paytm charge on loan repayment?
The fee varies depending on the loan amount. In this case, ₹190.55 was charged on ₹16,148, which is significantly high compared to standard payment gateway charges.
4. Why is Paytm charging fees for HDFC loan repayment?
Paytm claims it is a processing/convenience fee for routing the payment to the bank. However, customers argue that this fee is excessive and unjustified.
5. Can HDFC Bank stop Paytm from charging extra?
Banks generally allow third-party apps like Paytm to collect payments. But if customers complain, HDFC Bank can intervene and provide alternate repayment channels.
6. Does RBI allow convenience fees on digital transactions?
RBI guidelines state that charges must be transparent. Hidden or misleading charges can be considered unfair practices.
7. Are there free ways to repay HDFC Bank loans online?
Yes. Customers can:
- Repay directly through HDFC NetBanking
- Use UPI linked to HDFC account
- Use official HDFC Bank loan repayment portal
8. Why are Paytm charges higher than other platforms?
Paytm adds higher convenience fees compared to other apps. Other repayment platforms may charge between ₹50–₹100, while Paytm’s charges often cross ₹150–₹200.
9. Can I get a refund of Paytm’s convenience fee?
If you can prove that the charge was not disclosed clearly before payment, you can request a refund. Many customers, however, face difficulty in getting it back.
10. How to raise a complaint against Paytm for hidden charges?
- Go to Paytm Help & Support in the app
- Email Paytm grievance officer at grievance.officer@paytm.com
- Escalate to consumerhelpline.gov.in
11. How to complain if HDFC loan repayment via Paytm has extra charges?
You can file a complaint with:
- HDFC Bank customer care
- Paytm grievance officer
- RBI Ombudsman
12. Why do loan repayment apps charge extra fees?
They claim it covers payment gateway, processing, and settlement costs, but the lack of transparency makes customers feel cheated.
13. Is this considered digital fraud?
If charges are not disclosed before payment, then yes, it qualifies as unfair trade practice and can be challenged legally.
14. What is the RBI’s rule on convenience fees?
RBI says: “All charges levied on customers must be disclosed upfront and must not be misleading.” Hidden charges are strictly against guidelines.
15. Can Paytm be penalized for overcharging?
Yes. If consumers file a complaint with RBI or consumer court, Paytm can face penalties for unfair trade practices.
16. What are the alternatives to Paytm for loan repayment?
- HDFC NetBanking
- UPI apps linked directly to the bank (Google Pay, PhonePe, BHIM UPI)
- HDFC Bank’s official mobile banking app
17. How do I check if I was charged extra on Paytm?
Check your transaction breakdown in the Paytm app. It will show “convenience fee” or “processing fee” separately.
18. Do all apps charge a convenience fee for loan repayment?
Not all. Some platforms charge zero fees, while others like Paytm, Mobikwik, and Freecharge often charge extra.
19. What can consumers do to avoid such charges?
- Use direct bank apps
- Check fee disclosure before confirming payment
- Avoid saving card/loan details on third-party apps
20. What if I already paid extra fees on Paytm?
You can demand a refund, escalate to consumer forum, or file a case with the RBI Ombudsman.
Final Note – Choice4Voice.com’s Stand
This case of Tapesh Kumar vs. Paytm & HDFC Bank proves that digital convenience is becoming costly for customers. Charging ₹190 on a ₹16,148 loan repayment is unfair and violates the trust of borrowers.
At Choice4Voice.com, we:
- Expose hidden charges and unfair practices by banks and apps
- Educate consumers about RBI rules and their rights
- Put pressure on companies like Paytm & HDFC to resolve such complaints
- Encourage transparency in all digital payment platforms
👉 If you have faced hidden charges, unfair convenience fees, or loan repayment scams, share your story on Choice4Voice.com Together, we can ensure companies don’t exploit Digital India in the name of convenience.