In this article, we explain to you What is India Post Payments Bank and How does it work? PM Modi launches the India Post Payments Bank on September 1, 2018. The idea behind launching such type of bank in India is to bring banking services to the doorstep. The government now utilize its 3 Lakh postmen’s to receive and deliver payment deposits at the doorstep.
What is India Post Payments Bank and How does it Work? (Explained)
India Post Payments Bank is like the common banks, but this bank will not provide any loans and credit cards to you. You can deposit a maximum of Rs 1 lakh in this bank account. If the amount deposited in your account exceeds Rs 1 lakh, the outstanding amount will be credited automatically to your Post Office Savings Account. Moreover, for your saving account Bank gives you 4% of Interest rate. Apart from this, this bank also gives you other useful services like mobile payments, fund transfer, ATM, debit card etc.
The government says that in our country there are more than 600 branches and 3,000 access points of India Post Payments Bank. However, this figure will increase by the end of the Year 2018.
To open an account in India Post Payments Bank, you must have only Aadhaar card. You will be able to pass the transit to the Rural Postal Service. Your biometric i.e fingerprint will be used as a transaction pin.