PayPay Interview Preparation and Recruitment Process

About PayPay


PayPay Corporation is a Japanese fintech company specializing in mobile payment services. Launched in 2018, it was established as a joint venture between SoftBank Group and Yahoo Japan (now under LY Corporation and Z Holdings). With over 65 million registered users as of August 2024, PayPay is Japan’s largest mobile payment app, holding a two-thirds share of the QR code payments market.

PayPay Interview Preparation

Key Information:


* Service: PayPay offers a smartphone-based payment platform using QR codes and barcodes, developed in collaboration with Paytm, an India-based payment service. Users link their bank accounts to the app, add funds, and make payments by scanning QR codes or presenting barcodes at points of sale. It supports transactions at various merchants, including convenience stores (e.g., 7-Eleven, Lawson), restaurants (e.g., Yoshinoya, Starbucks), and online platforms like Uber Eats. The app also facilitates bill payments, online shopping, and recently introduced digital salary payments to promote cashless transactions.

* Growth: Since its inception, PayPay has grown rapidly, achieving 63 million users and a transaction volume of 12.5 trillion yen by May 2024. It processes 1.65 billion payments quarterly, with 33.2 million monthly active users. The company reported 211.5 billion yen in revenue and achieved EBITDA profitability with 9.8 billion yen in the same period.

* Global Presence: PayPay operates primarily in Japan but has a development center in India (Pay2DC, launched in 2022) and collaborates with Paytm for technological advancements. Its workforce includes over 1,000 employees from more than 50 countries, fostering a diverse and global team.

* Mission: PayPay aims to lead Japan’s shift to a cashless society, viewing “cash” as its primary competitor. It strives to become the world’s top fintech company by delivering user-centric financial services, including banking, securities, loans, and insurance.

* Work Culture: The company promotes a flexible, remote-friendly work environment through its “Working From Anywhere” (WFA) system, allowing employees to live anywhere in Japan. About 80% of its product team’s discussions are in English, supported by translators to accommodate its diverse staff.

* Challenges: In November 2020, PayPay suffered a hacking attack originating in Brazil, compromising user data due to configuration flaws. The company has since focused on enhancing security measures.

Additional Ventures:


PayPay Securities: A subsidiary offering a mobile trading brokerage app for US stocks and Japanese ETFs.

PayPay Asset Management: Manages investment advisory and discretionary investment contracts.



Business Model & Revenue Streams:


* Merchant transaction fees (~1-3%).

* Partnerships with financial services (loans, insurance, investments).

* Advertising and promotional tie-ups.


Recruitment Process


1. Interview Process


* PayPay has a pretty intense and competitive recruitment process. Check out their interview process provided below for details on the hiring procedure that the recruitment team will follow.

* PayPay interviews candidates on campus as well as online. If you are applying online, the first step is to submit your resume and cover letter for the opening you are interested in. PayPay screens resumes in order to shortlist candidates that can clearly articulate what they do, describe their goals, and describe their motivation to work for PayPay. Interviews revolve around three key factors:

* What do you value? Try to articulate the types of challenges you would like to solve for society.
* In what way do you work? PayPay looks for candidates who are not averse to taking risks.
* What are you doing to grow and prosper? Recruiters want to know about your past experiences and your future goals so that they can understand your skill set.

Therefore, if you are seeking a technical role with PayPay, you will need to be able to demonstrate what sets you apart from the rest and how you can make your efforts count towards achieving these goals.

2. Interview Rounds


As part of the hiring process, candidates are subjected to five rounds of assessments that assess their technical skills as well as their analytical skills.

* Round 1: Online Assessment
* Round 2: Technical Interview (1st)
* Round 3: Technical Interview (2nd)
* Round 4: Technical Interview (3rd)
* Round 5: HR Interview

Note: Candidates must be prepared to cope with any type of interview round. There may be several rounds of technical interviews depending on your performance. You must make it through all of these rounds to be considered for a position with PayPay.

1. Online Assessment: The online/aptitude assessment round at PayPay involves a coding challenge. It's usually conducted on Hackerrank, and there are two questions with 14 test cases each.

2. Technical Interview Round (1st): Those shortlisted after the PayPay Online test will be invited for the PayPay Technical Interview. In a technical interview, your skills are evaluated not only on the basis of your technical abilities, which are often directly related to the position you are seeking but also on the basis of your ability to resolve conflicts and deal with challenging situations. Interviewers will ask about your familiar programming language, garbage collectors, Java concepts, etc., followed by coding questions.

3. Technical Interview Round (2nd): This round lasts for about an hour and consists primarily of questions about your resume. Based on your experience, it is likely that you will be asked about DSA, system design, OOP concepts, etc. Afterward, questions may pertain to coding.

4. Technical Interview Round (3rd): This is also an hour-long round, in which you will be asked questions relating to database principles, including rollback transactions, coding problems, binary search algorithms, backend/frontend topics, etc.

Note: In some cases, you may have to undergo more technical interview rounds based on your performance in previous rounds, your experience, and the requirements of the company. There may also be differences in the types of questions asked, so you should be prepared. Never hesitate to inform an interviewer (in a polite way) if you are not sure of an answer.

5. HR Interview Round: A good academic record and technical skills won't guarantee you a job. In any company's recruitment process, the HR round is often the last, but it may be the most critical. Candidates are evaluated on their personalities, communication skills, strengths & weaknesses, reasoning ability, and fit for the role. Questions will cover both technical and behavioral areas. You may also be asked about previous internships and other resume-related questions. When attending an HR interview, it is prudent to be familiar with the company's vision and leadership principles.

When the interview rounds are over, the interviewers will conduct a debriefing to discuss your performance. Recruiters will contact you after 2-3 business days if the majority of interviewers endorse your candidacy, and you can expect an offer letter within a week of the interview.

PayPay Interview Questions :

1 .
State difference between Commit and Rollback in SQL.
Commit Rollback
A COMMIT statement in SQL is used to permanently save the changes made during a transaction in a table/database. ROLLBACK statements in SQL are used to undo unfinished transactions in the database.
It is impossible for the database to return to its previous state after COMMIT has been executed. In case of an error during transaction execution, this command will restore the database to its previous state.
COMMIT is applied after a successful transaction. ROLLBACK occurs when a transaction is aborted, incorrectly executed, or a system failure occurs
When all statements are correctly executed without error, the COMMIT statement permanently saves the state. With the ROLLBACK statement, if any operations fail during the execution of a transaction, the change is not permanently saved; therefore, it may be undone with the statement.

Syntax:

COMMIT;

Syntax:

ROLLBACK;

2 .
What is a rollback transaction?

A rollback transaction is a database operation that reverts changes made during a transaction, restoring the database to its previous state before the transaction began. It’s a key part of transaction management in databases to ensure data integrity and consistency.

Here's how it works:

Imagine you're transferring money between two bank accounts:

  1. Debit $100 from Account A

  2. Credit $100 to Account B

If something fails (like the system crashes after step 1 but before step 2), you don’t want Account A to lose money without Account B getting it. So the whole transaction is rolled back—it’s like it never happened.



Use Cases for Rollback
  • Errors during the transaction (e.g. constraint violations, timeouts)

  • Manual cancellation by user or system logic

  • Data integrity checks fail


Key Concepts:
  • BEGIN TRANSACTION: Starts a transaction

  • COMMIT: Saves the changes permanently

  • ROLLBACK: Undoes all changes since BEGIN TRANSACTION


Example (SQL):
BEGIN TRANSACTION;

UPDATE accounts SET balance = balance - 100 WHERE id = 1;
UPDATE accounts SET balance = balance + 100 WHERE id = 2;

-- Something goes wrong here
ROLLBACK;  -- Everything is undone
3 .
What do you mean by deadlock, livelock, and starvation?
There may be more than one process competing for a limited amount of resources in a multiprogramming environment. If a process requests a resource that is not currently available, the process will wait until the resource becomes available. In some cases, the waiting process may not gain access to the resource, resulting in deadlock, livelock, and starvation.

* Deadlock: Processes can become stuck in a deadlock when they can't acquire resources and stop advancing as each of them waits to get the resource held by the other process.

* Livelock: In a livelock, the state of the processes involved changes constantly. This is a deadlock-like situation where processes block each other by changing their states repeatedly and yet do not progress.

* Starvation: Starvation occurs when a process does not have regular access to the resources needed to complete its task and so becomes unable to perform any work. All the low priority processes get blocked, while the high priority ones continue.
4 .
What is race condition?
Both Race Condition and Data Race terms are frequently used when developing multi-threaded programs and are responsible for several types of exceptions, including the well-known EXC_BAD_ACCESS. Race conditions occur when the timing or ordering of events (multiple threads) affects the correctness of a program.

The race condition results from two or more threads accessing shared data at the same time and attempting to change it simultaneously. The thread scheduling algorithm is capable of switching between threads at any time, so you never know in what order they will try to access the shared data. Thus, the outcome of data changes is determined by the thread scheduling algorithm. Thus, both threads fight/race for control of the data that they wish to access/change.
5 .
Explain data race.
Programs utilizing multiple threads can be highly complex and can introduce subtle defects, such as race conditions and deadlocks. If such a defect is present, it may take a considerable amount of time to reproduce the problem and even longer to identify and remedy it. A data race occurs when multiple tasks or threads are accessing a shared resource simultaneously without adequate protection, resulting in unpredictable behavior. A data race defect is caused when:

* A shared variable is accessed simultaneously by two or more threads in a single process,

*
One of the threads attempts to modify the variable, and

*
Threads do not use exclusive locks in order to control access to that memory.
6 .
How does spring IoC work?
Spring sets itself apart from other frameworks with features including Spring IOC (Inversion of Control), Spring AOP (Aspect-Oriented Programming), and transaction management. Among the most important components of the Spring Framework is the IOC Container. Objects are created, their dependencies are gathered and configured, and their lifecycle is managed using it. In order to manage the components of the application, the Container utilizes DI (Dependency Injection). Object-related information is obtained from either Java code or configuration files (XML), Java POJO classes, and Java annotations. These objects are known as beans. Because Java objects and their lifecycle are not controlled by developers, the term Inversion Of Control (IoC) has been coined. In the following diagram, you can see how the Container manages beans utilizing Java POJO classes and Configuration metadata.
7 .
When does an Object become eligible for Garbage collection in Java?
Objects are automatically deleted when they are no longer in use by the Java runtime environment, and this process is known as garbage collection. When the object is no longer referenced or is no longer reachable by any thread, it is eligible for garbage collection. Alternatively, you can drop an object reference explicitly by setting the variable's value to null. A program can contain more than one reference to the same object; before an object is eligible for garbage collection; all references to it must be dropped. Cyclic references do not count as live references, so if two objects point to each other while neither has a live reference, then both are eligible for GC.
8 .
Write a program to check if a given Binary Tree is SumTree or not.
In a sum tree, the value of each non-leaf node is equal to the sum of its left and right subtrees. A leaf node may have any value, while an empty child node has a value of 0.

Example: Consider the following example of Binary Tree:

         40

       /     \

    15       5

  /     \        \

9       6       5

Now, for each non-leaf node, determine if the node's value is equal to the sum of all elements in its left and right subtrees. The given binary tree cannot be a sum tree if this relation does not hold for any of the nodes.

Code:
// Java program to determine if Binary tree is a sum tree
import java.io.*;
class Node
{
    int val;
    Node left, right, nextRight;
    Node(int item)
    {
        val = item;
        left = right = null;
    }
}

class Main
{
    public static Node root;   
    static int sum(Node node)
    {
        if(node == null)
        {
            return 0;
        }
        return (sum(node.left) + node.val+sum(node.right));
    }
   
    static int checkTree(Node node)
    {
        int sumleft, sumright;
       
        //Return true if node is NULL or a leaf node
        if(node == null || (node.left == null && node.right == null))
        {
            return 1;
        }
       
        // Add up nodes in left and right subtrees
        sumleft = sum(node.left);
        sumright = sum(node.right);
       
        if((node.val == sumleft + sumright) && checkTree(node.left) != 0 && checkTree(node.right) != 0)
        {
            return 1;
        }
        return 0;
    }
   
    // Driver code
    public static void main (String[] args)
    {
        Main tree=new Main();
        tree.root = new Node(40);
        tree.root.left = new Node(15);
        tree.root.right = new Node(5);
        tree.root.left.left = new Node(9);
        tree.root.left.right = new Node(6);
        tree.root.right.right = new Node(5);
        if(checkTree(root) != 0)
        {
            System.out.println("This is a SumTree!");
        }
        else
        {
            System.out.println("This is not a SumTree!");
        }
    }
}​


Output:

This is a SumTree!
9 .
Write a program to check if a given string is a palindrome?
A palindrome string is one that will be the same whether it is read from left to right or right to left.

Code:
// Java program to determine if a string is palindrome
import java.util.*;
public class Main
{
    // Returns true if string is palindrome
    static boolean checkPalindrome(String s)
    {
        int i = 0, j = s.length() - 1;
        while (i < j)
        {
            if (s.charAt(i) != s.charAt(j))
                return false;
            i++;
            j--;
        }
        // Given string is a palindrome
        return true;
    }

//Driver method
    public static void main(String[] args)
    {
        Scanner sc=new Scanner(System.in);  
        System.out.println("Enter a string: ");
        String s= sc.nextLine();         
        //Convert the string to lowercase
        s = s.toLowerCase();
        if (checkPalindrome(s))
            System.out.print("Yes, the given string is a Palindrome!");
        else
            System.out.print("No, the given string is not a Palindrome!");
    }
}​

Sample Output 1:
Enter a string:
Level
Yes, the given string is a Palindrome!​

Sample Output 2:
Enter a string:
Scaler
No, the given string is not a Palindrome!​
10 .
When given a string str, how can you calculate its longest palindromic substring?
Given a string s, we need to identify the longest palidrome substring.

Code:
import java.util.*;
import java.lang.*;
import java.io.*;
class Main
{
    static void printSubStr(String s, int low, int high)
    {
        for (int i = low; i <= high; ++i)
        System.out.print(s.charAt(i));
    }

    public static int longPalindromeSubstr(String s)
    {
        int l = s.length();
    
        // Every subString of length 1 is a palindrome
        int maxLength = 1, start = 0;
    
        // Mark start and end index with nested loop
        for (int i = 0; i < s.length(); i++)
        {
            for (int j = i; j < s.length(); j++)
            {
                int flag = 1;
    
                // Check for palindrome
                for (int n = 0; n < (j - i + 1) / 2; n++)
                    if (s.charAt(i + n) != s.charAt(j - n))
                        flag = 0;
    
                // Palindrome
                if (flag!=0 && (j - i + 1) > maxLength)
                {
                    start = i;
                    maxLength = j - i + 1;
                }
            }
        }
       
       System.out.print("Longest palindromic substring in given string is: ");
       printSubStr(s, start, start + maxLength - 1);
    
       return maxLength;
    }
    public static void main(String args[])
        {
        Scanner sc=new Scanner(System.in);  
        System.out.println("Enter a string: ");
        String s= sc.nextLine();
        System.out.println("\nLength: " + longPalindromeSubstr(s));
    }
}​

Output:
Enter a string:
Bananas
Longest palindromic substring in given string is: anana
Length: 5​
11 .
What do you mean by autocommit mode in SQL Server?
If you enable auto-commit mode, this means that once you have finished your statement, the method commit will be automatically called on the statement. The SQL Server Database Engine uses it as its default transaction management mode. By setting implicit_transactions ON, you can disable auto-commit. In SQL Server, you can disable auto-commit by running the following T-SQL command.
SET IMPLICIT_TRANSACTIONS ON​

When you use implicit transactions, every change you make starts a transaction that must be manually committed. If you want to enable it, simply run the OFF clause in the above command. You may enable auto-commit with the following command.
SET IMPLICIT_TRANSACTIONS OFF​

Frequently Asked Questions



1. What is the Eligibility Criteria at PayPay?

PayPay Eligibility Criteria for freshers

Degree Required: BE/BTech/BCA/MCA.
Programming skills in at least one language.
Good analytical skills and problem-solving abilities.
Strong foundation in Computer Science.
Knowledge of the project undertaken as part of the course curriculum.


2. How long is the PayPay Interview process?

Interviewing is a fairly straightforward process, and there are generally four rounds involved. Depending on the complexity of the interview, it might take PayPay three to four weeks to finalize the process.


3. Does PayPay pay well?

The salary of a Software Engineer at PayPay varies with the type of role and experience. You can expect to earn between JP¥65,00,000/yr and  JP¥1Cr/yr. A Software Engineer can earn up to JP¥76,28,389/yr annually on average.


4. How do I join PayPay?

PayPay interviews candidates both on-campus and online. Online applicants should first submit their resumes and cover letters to suitable job postings. In shortlisting applicants, PayPay takes into account their previous or current roles, their professional goals, and their motivations for seeking employment with PayPay. Finally, the interview process consists of four rounds, and if you are selected, you will be contacted by a recruiter within two to three business days and receive an offer letter within a week. On-campus hiring follows a similar process.


5. Is PayPay interview difficult?

New members are joining PayPay from around the world in order to revolutionize the industry and create new values. There is a little bit of a learning curve to the PayPay interview and its level of difficulty is still quite basic. Although some questions are difficult, most are fairly straightforward. Anyhow, if you are well prepared, no interview will seem difficult. Preparation for a job interview can make you appear relaxed, calm, and collected, which is exactly what an employer wants in a potential employee.