PayTM, India’s largest wallet service has finally got the permission from Reserve Bank of India to launch the Paytm Payments Bank.
“At Paytm Payments Bank, our aim is to build a new business model in banking industry, focussed on bringing financial services to 100’s of millions of unserved or underserved Indians,” Vijay Shekhar Sharma, the founder and CEO of Paytm, wrote in a blog post.
“With power of technology and innovation-at-scale, we aim to become a benchmark in world of banking,” he wrote.
Once operational, the Paytm Payments Bank will be able to issue debit cards to users. It will be able to allow account holders to transact through NEFTs, RTGS and UPI too.
As per RBI guidelines, payment banks can hold a up to Rs 100,000 per individual customer. However, payments banks are not allowed to issue credit cards or issue loans to users.
“We can’t wait to bring it in front of you,” Sharma wrote in the blog, without revealing the final launch date of the bank.