BENGALURU: Digital wallet player Paytm will now levy a 2% fee for adding money to Paytm wallet using credit cards. This is a result of multiple users using Paytm to get free credit by using credit cards to top up their digital wallets and transferring the money back to their bank accounts at zero transaction cost.The digital payment wallet will, however, provide an equivalent amount of cashback for using credit card to add money to the wallet. The cost of adding money to the wallet through other modes such as netbanking and debit cards remains non-chargeable.In November, Paytm had introduced 0% platform fee targeted at small merchants to accept payments to their wallet during the move to demonetise high value currency notes.The platform does not charge any fee to transfer back the amount in the wallet to a user's bank account.In a blog post written on Wednesday, Paytm said, "Paytm pays hefty charges when you use your credit card at card networks and issuing banks. If a user simply adds money and takes it to the bank, we lose money." The 2% fee will be applicable with effect from March 8, adding that the platform will make money only if the wallet balance is used to pay for services and products on the Paytm ecosystem.Users on multiple social media sites have also pointed out that the wallet was being used to earn credit card points and access free credit at no cost. Merchants processing credit card transactions, in this case Paytm, pay a fee for interbank settlement of the payment, known as merchant discount rate which could be as high as 3 to 4%. Credit card users transacting on the Paytm marketplace, booking tickets and paying utility bills on the platform will not be charged the said fee.The platform has also added UPI enabled payment and Immediate Payment Service (IMPS) for instant fund transfer between banks using mobile phones. These gateways will be available for shopping, bill payments, ticketing and filling Paytm wallet. The Alibaba-backed platform has over 200 million wallet users and plans to create a network of 1crore offline merchants.