Paytm Payment Bank to be in operation from January 15

Paytm wallet users will be given the option of opening a bank account with Paytm. They will get facilities like debit card and cheque book

GN Bureau | January 11, 2017


#Paytm   #payment banks   #RBI   #digital wallets   #India Post   #cashless  
Paytm Payment Bank to be in operation from January 15
Paytm Payment Bank to be in operation from January 15

If you have a Paytm account and there is money in your wallet, then soon you can get interest on your money. The statement came from the Paytm’s blog post, in which the company announced that it will launch its payment bank on January 15.
 
Paytm wallet users will be given the option of opening a bank account with Paytm payment bank. On doing so, the user will get all the benefits of payment banks like debit card and cheque book.
 
Unlike other commercial banks, payment banks are not allowed to give credit or loans. These banks are, however, allowed to make arrangements with commercial and small finance banks, with prior permission from Reserve Bank of India (RBI). Those having a bank account in a payment bank can keep deposits up to Rs 1 lakh. Account holders in these banks get cheque books, debit card and interest on their deposits.
 
There will be no difference in usage of the Paytm wallet post January 15. All services will continue to be same, the company claims. 
The Paytm payment bank is 51 percent owned by Vijay Shekhar Sharma, India-based entrepreneur and 49 percent by One97Communication Limited, a Delhi-based internet company.
 
The intention behind payment bank is to financially include those with small saving accounts, low-income households, small businesses and unorganised sector.
 
Another payment bank licence holder is India Post. The government-run courier service will reportedly open its first payment bank (India Post Payments Bank) in Jharkhand in January. Last year, prime minister Narendra Modi had announced that all India Post offices should be converted into payment banks by January 2017.
 
RBI gave in-principal licences to 11 entities to launch payment banks, which included department of posts, Paytm, Airtel and Reliance Industries. Out of 11, three companies - Chalomandalam Distribution Services, Sun Pharmaceutical Industries Limited and Tech Mahindra – surrendered their licence.
 
As per RBI norms, “The operations of the [payment] bank should be fully networked and technology driven from the beginning, conforming to generally accepted standards and norms.”
 

Comments

 

Other News

In Delhi, 672 candidates, chasing 1.47 crore votes

The national capital territory of Delhi (NCTD) is going to assembly elections on February 8, and the results will be out on February 11. Now that the candidates have filed their nominations, here is an overview of electors and contenders. The ruling Aam Aadmi Party (AAP) is the only party to

Coronavirus outbreak: India steps up vigil

As the coronavirus outbreak in China continues to claim lives, India has stepped up its precautionary measures. The cabinet secretary on Monday reviewed the situation along with the secretaries in the ministries of health, external affairs, civil aviation, labour, defence, I&B, member-s

Violence never resolves any issue: Modi

Urging all who have taken the path of violence for their political campaigns to shun it and return to the mainstream, prime minister Narendra Modi has said that weapons cannot achieve lasting peace. “On the solemn occasion of Republic day, I would appeal to anyone in any part of the co

India set to bolster ties with Brazil during Bolsonaro`s visit

As India gears up to celebrate its 71st Republic Day on January 26, it will host Brazilian president Jair Bolsonaro as the chief guest of the event that marks the day when the country formally adopted the Constitution as the guiding document. This will be Bolsonaro’s maiden visit, which he would like

India gears up to meet Coronavirus challenge

With the outbreak of Coronavirus reported from China, India has started taking precautionary measures, and begun screening passengers of selected flights. “As of 21st January, a total of 43 flights and 9156 passengers have been screened for novel Coronavirus illness. Till now, no case

Reit: Real estate for retail

Every middle-class Indian dreams of a home coupled withlanded property to live off the rent. However, large initial investment, particularly inmetros, and low yields ensure that real estate is out of the reach of the common man. A return of 7-8 percent from commercial properties is considered highly commen



Archives

Current Issue

Video

CM Nitish’s convoy attacked in Buxar

Opinion

Facebook    Twitter    Google Plus    Linkedin    Subscribe Newsletter

Twitter