Paytm finally launched the much awaited its Payments bank in India. After Vijay Shekhar Sharma secured an approval to start a payments bank in 2015, the Paytm bank was scheduled to commence operations around Diwali last year, but got delayed by several months. The existing wallet business will be transferred to the newly incorporated entity “Paytm Payments Bank Ltd” (PPBL).
Renu Satti will be the CEO of Paytm Payments Bank. The core mission of Paytm Payments Bank will be to cater to the requirements of the un-served and under-served communities of India, and bring them to the mainstream economy.
All paytm users current wallet will be transferred to Paytm Payments bank limited in the same capacity .i.e KYC wallet as KYC wallet and minimum detail KYC wallet as minimum detail KYC wallet. In case, if you choose not to continue the benefits of your paytm wallet, you can send an email to email@example.com or login to paytm.com/care to notify your choice of opting out and redeeming your balance by one time transfer to your own bank account. If you wallet has been inactive for last six months and has zero balance, it will be transferred to the paytm payment banks limited only if you give specific consent for the same.
India’s first bank with zero fee on online transactions, no minimum balance and free virtual debit card
The Paytm Payments Bank will bring a new banking model to the world where an account holder’s money will be absolutely safe. Deposits will only be invested in government bonds that are used for the development of our nation.
Initially, the Paytm Payments Bank is available on an invite-only basis. In the first phase, it will roll out the limited version of the banking app for their employees and associates. You can request an invite by logging onto www.paytmpaymentsbank.com or through the Paytm app (please upgrade to the latest version of the App to request an invite).
Paytm is also setting up KYC centers across India to help customers get KYC done and make themselves eligible for a Payments Bank account.
There will be an annual interest rate of 4% for all savings account. This is lower than the 7.5 % offered by Airtel payments bank and in line with other bank’s like Axis, ICICI and HDFC.
- As a Payments Bank, Paytm can now accept customer deposits up to Rs. 1 lakh per customer in a savings or current account and offer other banking services like Debit Cards, Online Banking and Mobile Banking. Payments Banks can not offer financial products of their own, but partner with other banks.
- Paytm Payments Bank is offering savings and current accounts with a debit card and the ability to make fast and easy payments. It will soon enable you to access a range of financial services such as Insurance, Loans, Mutual Funds offered by partner banks with the seamless Paytm experience.
- You would be able to send money to any bank account from your Paytm Payment Bank Wallet.
- Paytm is not bringing out its own ATMs. However, its debit card can be used with no charges five times at any non-metro ATM, or three times at metro ATMs. After that there will be a Rs. 20 cash withdrawal charge, while other transactions such as balance checks will cost Rs. 5.
- The Paytm bank will issue a Rupay debit card, which will be free, but it will charge Rs. 100 + delivery as an annual fee; a lost card replacement will also be Rs. 100 + delivery. A 10-leaves cheque book will also cost you Rs. 100 + delivery charges.
- There is no minimum balance requirement for the bank account. Also, online transactions (such as IMPS, NEFT, RTGS) will not have any charges.
- If you transfer more than Rs. 25,000 into your Paytm payments bank account, you will get a cash back of Rs. 250 (1 percent), up to four times.
Paytm Payments Bank Limited (PPBL) is 51% owned by Vijay Shekhar Sharma & 49% ownership is with One97 Communications Ltd. Paytm Payments Bank is a truly Indian company owned & operated by Indians.