In this article, we study a spectral meshless radial point interpolation of pseudoparabolic equations in two spatial dimensions. Shape functions, which are constructed through point interpolation method using the radial basis functions, help us to treat problem locally with the aim of high‐order convergence rate. The time derivatives are approximated by the finite difference time‐stepping method. The stability and convergence of this meshless approach are discussed and theoretically proven. Numerical results are presented to illustrate the theoretical findings. © 2016 Wiley Periodicals, Inc. Numer Methods Partial Differential Eq 33: 724–741, 2017