Paytm has finally opened its Payments Bank for every customer. The mobile wallet company had launched its Payments Bank in May this year, after securing an approval from Reserve Bank of India. However, the previous launch was an invite only event where the beta version was distributed mostly among the company’s employees and associates. But now, Paytm in its latest update, has opened the bank from all users. This new feature is now available for both Android and iOS devices. It should be noted that the Paytm Payments Bank can only be accessed from the Paytm app as of now. There is no website available nor can visit any physical branches.
After Airtel and India Post, Paytm had become the third entity in India to launch a payments bank. One97 Communications, its parent company, had said that the plan is to invest Rs 400 crore at the start. Paytm is backed by Chinese firm Alibaba and Japanese conglomerate SoftBank. Paytm Payments Bank was registered in August 2016 as a subsidiary of One97 Communications. Under the payments bank licence, Paytm wallet users will be transferred to Paytm Payments Bank unless the user notifies otherwise. The amount can be transferred to his/her bank account after the user provides the name of the account holder, account number and IFSC code.
How to access and use Paytm Payments Bank?
1. Firstly, you need to update your Paytm app to the 6.0.0 version. Now, when you open the app, you will automatically get a flash message about the Paytm Bank. You can also access it by clicking on the ‘BANK’ icon on Paytm app’s home screen.
2. After the click, you will be asked to set a password for the Paytm Bank. You will also have to provide details about an appointed nominee.
3. You will now have to provide your details, like home address. But if you already use the app often, the info will be filled automatically.
4. Enter your Aadhaar Card details, including name and Aadhaar number.
5. After this formalities have been done, Paytm will send a representative for the KYC requirements. A TelecomTalk report said that users who have already done the process for Paytm wallet, will not have to do it again.
Creating an account on Paytm Payments Bank sppears to be a simple process which gets completed without much paperwork. Interestingly, your mobile number will become your account number here. From bank statements to other details, everything can be accessed from the app itself.
Other details about the Paytm Payments Bank:
Your account has zero balance requirement and every online transaction (such as IMPS, NEFT, RTGS) is free of charge. However, the maximum balance cap has been set at Rs 1 lakh, according to RBI guidelines. The company offers an interest of 4 per cent per annum for savings accounts. The company also offers current accounts to its millions of merchants. Payments bank, however, is not eligible to offer loans or credit cards.