Paytm Payment bank expects 10 crore savings account in current year; opens branch in Delhi

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Published: April 3, 2019 6:07:37 PM

Paytm does not intend to open many branches. "If we open branches further it will be in single digit, nationally in the next two or three years. We will never get it to the double-digit," Satish Gupta told Financial Express Online.

paytm payment bank launches mobile app for easy bankingPaytm does not intend to open many branches.

With 4.4 crore accounts associated with Paytm Payment bank, the company looks to more than double the savings accounts this year as it launched its first branch in Delhi on Wednesday. Second in line after the company’s Noida headquarter, the branch will cater to customer services and will establish Paytm’s presence with the customers, CEO and MD Satish Kumar Gupta told Financial Express Online.

“The branch will also provide a range of services related to PPBL savings account, current accounts and wallet such as statement issuance, instant debit card issuance, KYC completion, and more,” Paytm bank said in a release. Also, cash deposit for Paytm bank users and cash withdrawing for all banks will be made available in the branch, it added.

However, Paytm does not intend to open many branches. “If we open branches further it will be in single digit, nationally in the next two or three years. We will never get it to the double-digit,” Satish Gupta told Financial Express Online.

Talking about the constraints that the company faces, Satish Kumar also said that Paytm faces competition from other banks as customer acquisition is an art. “We cannot offer full-time services if a customer wants to bank with us. But we are doing well. We are larger than many large banks,” he added.

He also said that the user-friendliness and the security that Paytm provides is a reason that it is popular with the consumers. Paytm bank provides zero-cost services to customers irrespective of the number of transactions, he added.

While Paytm was slated to open 31 branches in the first year of its inception, the company is lagging behind. Addressing that, Satish Gupta said that Paytm believes in ‘do-yourself’ approach which does not require a physical branch. “We just opened to gain the experience. We will see our experience from this and will decide to open more. Because ours is a model in which the customers can themselves do the work,” he said.

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