New Delhi, March 6: PhonePe, one of India's leading digital wallet firm, went off since Thursday night after regulatory action was taken against YES Bank. Since the lender was being used as the payment service provider (PSP) by PhonePe, it was not able to process any digital transaction. The outage of services evoked resentment from the PhonePe users on social media. YES Bank Crisis: Frantic Customers Line Up Outside ATMs as RBI Caps Withdrawals at Rs 50,000 For a Month.

A statement was issued by PhonePe on Twitter, expressing regret over the inconvenience being faced scores of its users. The company said it would remain temporarily out of service as YES Bank served as its PSP for all digital transactions. While replying to a user, the microblogging handle of PhonePe said we would be back in around "24 hours".

Statement Issued by PhonePe

'We'll Be Back in 24 Hours'

Users Resent on Social Media

'How Long Will It Take to be Back?'

Why No Back-Up PSP? Ask Twitterati

Small Traders to be Affected

Amid the flak, the PhonePe Support team issued another statement, reiterating that they are working towards resolving the issue at the earliest. "It is with great regret we inform you that our partner bank (Yes Bank) is placed under moratorium by RBI. We pulled an all-nighter working on getting our services back up. Sit tight, we'll be back in a few hours, better than ever," it said.

The banking operations of YES Bank was freezed by the RBI last night. A moratorium was imposed for 30 days, with the bank being barred from advancing fresh loans. The account holders were also hit as the central bank has capped the withdrawal limit at Rs 50,000 till further orders. Following the order issued by the RBI, a rush was seen at YES Bank ATMs, with several machines running out of cash.

(The above story first appeared on LatestLY on Mar 06, 2020 10:48 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).