Recharging mobile to cost more on Paytm, PhonePe as they start levying platform fee

There was a time when payment apps like Paytm and PhonePe gave cashbacks to encourage users to pay their utility bills using their platforms. Now, these apps have started charging their customers a platform fee for recharging their mobile numbers, paying electricity bills etc.

What is the platform fee?
As per the PhonePe app, the platform fee is a nominal fee for using PhonePe for recharges/bill payments, regardless of the payment mode and it is inclusive of GST. However, if the mobile recharge fails then, the platform fee will be refunded to you along with the recharge amount paid (inclusive of GST).


How much do you have to pay as a platform fee?
For recharging your mobile number using the Paytm app, you will be charged a platform fee of Re 1 for each mobile recharge. The PhonePe app charges a platform fee of Rs 2.

A 30-day Airtel mobile recharge of Rs 296 will cost you Rs 297 on the Paytm app and Rs 298 on the PhonePe app.

An interesting thing to note is that not everyone is being charged this platform fee; it is being charged to the select users only. Thus, if it is not being charged to you, then this platform fee may be levied to you in the future.

Netizens complain
According to netizens, making electricity bill payments via the Paytm app is charging Rs 5 for every transaction.

Though the above screenshot shows Re 1 as a platform fee, however, for other users, the charges vary.


However, it is important to note that other payment apps such as Google Pay are not levying such fees. Also, if an individual uses a mobile number operator's own site or app to do mobile recharge and use these apps to make payment, then the platform fee is not levied.