Airtel Payments Bank, the banking services arm of Bharti Airtel, will be launched in Delhi on 12 January. This will be launched in the presence of Union Minister of Finance Arun Jaitley and Bharti Group Chairman Sunil Bharti Mittal.
Though a total of 11 companies have received in-principle approval from the Reserve Bank of India (RBI) to offer payments bank services, so far, only Airtel has launched it.
The company launched its first payments bank in Rajasthan in November 2016 and then has rolled out the same in four other states including Karnataka, Andhra Pradesh and Telangana. With the Delhi launch, the company would aim at spreading the services in three nearby states of Delhi, UP and Haryana. It would also look at a pan-India roll out.
A typical payments bank is a fully digital and paperless bank and offers all basic banking facilities like account opening services and cash deposit & withdrawal facilities. Savings accounts are opened using Aadhaar based e-KYC. This requires no documents at all, only the customer’s Aadhaar number is needed.
Airtel Payments Bank offers all these services and just like any traditional bank, it also offers its customers interest on their deposits. However, Airtel offers 7.25% interest compared to 3 or 4% offered by conventional banks. Besides the lucrative interest rate, the bank also offers personal accidental insurance of Rs. 1 Lac with every savings account and free talktime equaling the amount deposited in the payments bank saving account.
What You Can Do With Airtel Payments Bank
- Like a traditional bank, one can open a savings account in a payments bank.
- Your Airtel mobile number is your account number
- You may get a debit/ATM card
- You will not get a credit card
- You can earn interest of 7.25% p.a on your deposit
- You can deposit upto Rs 1,00,000
- You can transfer money to any bank account
- You can do online shopping, ticket booking, transactions etc
- You can withdraw cash
- You get Rs 1 lakh personal accident insurance with a new savings account