As the September month rolled in, you should know about the India Post Payments Bank (IPPB). With the launch of operations across India, now the postmen will help you open a bank account. Along with this, the post office’s IPPB plans to provide customers with savings and current accounts. Services such as remittance and money transfer, including bills and utility payments, direct benefit transfers and enterprise and merchant payments come into action with this new launch. Incorporation of net banking and mobile banking facilities is also a part of this.
8 things to know about the India Post Payments Bank:
1) India Post Payments Bank is said to be set up under the Department of Posts, Ministry of Communication, with 100% equity owned by Government of India.
2) On 30 January 2017, its operations began with the opening two pilot branches, one at Raipur and the other at Ranchi.
3) India Post Payments Bank offers 4 percent interest rate on savings accounts.
4) Payments banks accept deposits of up to Rs 1 lakh per account from individuals and small businesses. At the same time, they do not have the mandate to extend loans.
5) But India Post Payments Bank will, in alliance with other financial service providers, plan to offer third-party products.
6) India Post Payments Bank offers a range of products such as savings and current accounts, direct benefit transfers, money transfer bill and utility payments, and enterprise and merchant payments.
7) These products and services offer across multiple channels using the India Post Payments Bank’s technology platform.
8) India Post Payments Bank has been allowed to link with around 17 crore postal savings bank (PSB) accounts to its accounts.