Mobile service provider Airtel has blocked e-wallet PhonePe with charges of violations of fair play by big players surfacing. ICICI Bank also blocked Flipkart group firm PhonePe.Customers of SBI, Bank of Baroda and Kotak Mahindra have also voiced concerns that they were unable to top up their PhonePe wallets by netbanking.
However, PhonePe said this was a temporary phenomenon for a few days due to 'service issues' and customers of Bank of Baroda and Kotak Mahindra can now use PhonePe. SBI clarified that its net banking facility has not been supporting any wallet, including that of PayTM, Freecharge, Citrus Pay , Mobikwik since last June due to "security concerns."ICICI Bank also pointed out security concerns. It recently blocked customers from accessing their accounts using PhonePe UPI's application -as the app discriminates against users of UPI apps of other banks.
Airtel did not respond to request for comment. An Airtel executive said, "We are concerned about security risks for our customers using e-wallets. When there is a transaction failure during phone bill payment (with a bank), there is a streamlined redressal mechanism, customer care service, 247 call centre and immediate reversal of paid amounts. But with wallets that is not the case. We are finding it difficult to deal with wallets and might have to re-think our digital strategy ."
PhonePe CEO Sameer Nigam said, " Airtel has communicated to us that they are re-thinking digital distribution network with transition into payment bank. They said there will be new responsibilities and challenges, so it is a wait and watch situation. We have expressed our concerns to them."
However, PhonePe said this was a temporary phenomenon for a few days due to 'service issues' and customers of Bank of Baroda and Kotak Mahindra can now use PhonePe. SBI clarified that its net banking facility has not been supporting any wallet, including that of PayTM, Freecharge, Citrus Pay , Mobikwik since last June due to "security concerns."ICICI Bank also pointed out security concerns. It recently blocked customers from accessing their accounts using PhonePe UPI's application -as the app discriminates against users of UPI apps of other banks.
Airtel did not respond to request for comment. An Airtel executive said, "We are concerned about security risks for our customers using e-wallets. When there is a transaction failure during phone bill payment (with a bank), there is a streamlined redressal mechanism, customer care service, 247 call centre and immediate reversal of paid amounts. But with wallets that is not the case. We are finding it difficult to deal with wallets and might have to re-think our digital strategy ."
PhonePe CEO Sameer Nigam said, " Airtel has communicated to us that they are re-thinking digital distribution network with transition into payment bank. They said there will be new responsibilities and challenges, so it is a wait and watch situation. We have expressed our concerns to them."
