Payments bank is the latest buzzword and rightly so. In a recent development, the Reserve Bank of India (RBI) has granted permission to 11 parties to establish payments banks in every nook and cranny of the country. The progressive initiative manifests the Indian government’s commitment for digitization and taking banking to sections of society that have remained aloof hitherto. Though the new entrants to the Indian banking bandwagon share few startling mutual elements with the conventional banks, the list of anomalies is also sizeable. Operating at a smaller scale, the payments banks can involve in all regular banking activities, except for advancing loans and issuing credit cards.
As the payments bank era is upon us, the everyday consumer is set to gain in tangible ways. Now, the flexibility of mobile wallets and assurance of direct bank debit come as default with a payments account. Easy mobile recharge, which is integral to connectivity savvy generation, is more likely to become convenient, seamless and financially rewarding. If you still are reluctant to embrace the idea of payments banks, you are at the right place.
The payments banks are supposed to outdo conventional banks in terms of outreach. As per the current trend, the payment bank licensees, particularly the telecom companies, are not only opening new banking points but are zealously transforming their existing retail outlets as well. These revamped retail outlets will serve as banking points catering to masses with limited or no access to conventional banks. Most telecom operators are looking to set up banking points in the coming times, so you can do your banking chores, besides availing easy mobile recharge.
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The very motive for invention of payments banks is to bring convenience and time savings to the growing deluge of net-savvy population. You are free to make utility bill payments or online recharge from the nearest supermarket that serves as a banking point for the licensees. As such, the need to stand in queues to deposit money, withdraw cash, access remittance services, third party fund transfers or any other banking activity is eliminated outright. Since these banks will be operational throughout the year from 8 AM to 10 PM, you can expect better flexibility vis-à-vis conventional banks. The payments banks will offer debit cards to facilitate convenient online and offline shopping, and accomplish easy mobile recharge.
Money Saving Perks
Cashback and discount offers have remained a prerogative of mobile wallets. However, the payments banks are all set to change the status quo. As a ploy to attract clients, these banks are offering creative money saving perks to allow for additional savings. Currently, certain companies are offering free talk time, which is equal to the rupees you deposit in their payments bank account. So, you may not need an easy mobile recharge any sooner provided you open an account prior to expiry of the limited time offer.
Given the variety of benefits they usher in, payments banks are finding takers aplenty. Besides convenience, the banks offer cashback and discounts, allowing for a superb banking experience.