Recently, Bharti Enterprises (Airtel) launched Airtel Payment Bank wherein it indicated that its Savings Bank account would provide 7.25% interest rates which is highest SB interest rates in India. Currently banks are not offering such interest rates even on their FD schemes. This is catching attention to many investors. Airtel Payment Bank is digital banking service provided through mobile. How does Airtel Payment bank work? What are the features of Airtel Payment Bank? How to open Airtel Payment Bank in India? In this article I would provide some insights about Airtel Payment Bank.
Also Read: What is Payment Mobile Wallet and how does it work?
What is Airtel Payment Bank?
Airtel payment bank is digital banking service provided on the mobile phones of the customers and is very fast and works in an efficient manner. Airtel Payment Bank is the one amongst 11 payment banks which have been granted licence by the Reserve Bank of India. The aim of the company is to works with more than five million merchants out of which more than 1 million have already boarded. The main aim of the company is to provide benefits to millions of Indian, including those residing in rural areas. It is in collaboration with Master Card for cashless transaction. It is not only a wallet but it also helps in easy transaction with banks as well as it pays interest on the deposits made in the saving account. The Company first piloted its project in Rajasthan in November at 10,000 retail outlets in state.
Features of Airtel Payment Bank
- Airtel payment bank is an app which is available on android phones and iOS. Customers not having smartphones can use USSD and IVR for their transactions.
- It only requires installing MyAirtel app on your mobile phone and you can have seamless access to Airtel Payment Bank services that can be availed quickly without any charges for digital transaction.
- The account holder will able to transfer cash to any other wallet or banks account. The company is providing Personal Accident Insurance of Rs.1 lakh to its saving account holders.
- At present, the company does not provide ATM or debit cards to the account holders. Everyone has to withdraw or deposit cash through any of the Airtel retail outlet.
What are the Interest Rates offered on SB Account in Airtel Payment Bank?
The company offers interest rate of 7.25% p.a. for deposits in its saving account and also to their payment bank customers. The amount of interest paid by Airtel Payment Bank is higher than the interest rate paid by SBI. The company will also deposit one minute talktime to every rupee deposited by the customer in their account.
The company does not charge any transaction fee for Airtel to Airtel transfers and there is no process fees on any digital transaction made through Airtel payment bank.
One should note that amount added in Airtel Mobile Wallet does not carry any interest. Interest is paid only on the money added in Airtel payment bank account.
Also Read: Complete Guide about Sukanya Samriddhi Account Yojana Scheme
What are the details Airtel Payment Bank Website?
There is no separate link for Airtel Payment Bank. You can visit airtel.in/money for more info.
How to Open Airtel Payment Bank Account?
It is very easy and quick to open and operate account Airtel Payment Bank. It is totally paperless and no document is required to open the account. All it needs is just Aadhar card. The Airtel telephone number is the account number or the Aadhar number is only needed to start with cashless transaction.
- If you are non Airtel customer, Airtel Payment Bank Account opening process is different. You can open an account by visiting a designated Airtel retail outlet in your neighborhood along with your Aadhaar number. The account will be opened through a paperless process within minutes through Aadhaar-based paperless electronic know-your-customer process.
- You can open Airtel Payment Bank account with these simple steps.
- Step1: Log on to airtel.in/money. Click on register now. If you are already airtel money subscriber, you can skip these steps and go directly to Step5.
- Step2: Enter your ten digit Airtel mobile number, First name, last name, email and date of birth and choose mpin and one time OTP will be generated on your phone.
- Step3: You would get confirmation message that you are registered now.
- Step4: You can now download MyAirtel App.
- Step5: Select the option “Payment Bank”. Validate your payment bank with Aadhaar number, PAN number and nominee name.
- You should click on Payment Bank option and then click on Add money to earn interest.
- Don’t add money under MyAirtel option. This is only mobile wallet and do not earn an interest.
- Customers can open the Airtel Payment bank account with a minimum balance of Rs. 100. They will have to pay just Rs. 50 to close the account. The maximum amount of cash deposit is Rs. 49,990 and the minimum amount for online fund transfer, cash deposit, and withdrawal is Rs. 10. The maximum amount deposit per day is Rs. 49,990.
What is Airtel Payment Bank Customer Care number?
- Dial 400 from your Airtel number for queries or complaints.
- Dial 88000-12121 from any other mobile or fixed line (standard calling charges apply)
- E-Mail : wecare@airtelmoney.com
Also Read: Latest Post Office Interest Rates in Jan-2017
Future Outlook Airtel Payment Bank Limited
Sunil Bharti Mittal, Chairman of Bharti Enterprises says “the aim of the company is to convert its 100 million out of 270 million of its customers to Airtel Bank payment”. The company aims at providing efficient and cashless transaction to millions of Indians in rural areas.
The company’s aim is to works with more than five million merchants out of which 1 million has already boarded. Merchants like general store, chemist shop, stationary shop and many others can later download merchant app of Airtel Payment bank and take its benefits.
Shashi Arora MD and CEO of Airtel Payment Bank said that the company will not issue debit cards but soon will integrate UPI payments for its account holders.
The company’s target is to launch 6,00,000 banking points in all the 29 states out of which 2,50,000 has already been launched. The company will invest 3,000 crore for its payment bank and has become the first payment bank with Kotak Mahindra holding 20 percent shareholder in the company.
Conclusion: Currently many banks offer upto 6% interest rates on their SB account and upto 7% on bank FD Schemes. Hence, Airtel payment bank offering 7.25% interest rates on SB account would definitely benefit the investors / account holders.
Readers, what is your view about Airtel Payment Bank? Have you started transacting through this App?
If you enjoyed this article, share it with your friends and colleagues through Face book and Twitter.
Suresh
Airtel Payment Bank offers 7.25% Interest on SB Account
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Dear Suresh
There is another mandate for payment banks regarding total balance in account…
Account Holder cant hold more than Rs.1 Lakh in his/her account.
Please correct me if i am wrong.
Suraj Shetty
Delhi
Hi Suresh ,
Excellent article and yes I did open the account and you can add money using Internet or credit card option which was nice they have virtual card with cvv not sure if that can be used for digital transaction
I heard they charge 1% for cash withdrawal , is this true ? And max limit in account should not exceed 1lac is this correct ?
Regds
Jagadish
Nice article 🙂
But it doesn’t covers the withdrawal charges in Airtel payment banks account. It should also be catered.
Nice one.Very detailed. Do they offer fixed deposits too?
No Mohan. As of now no.
Thanks for insightful article. Seems like airtel payments bank is worth giving a try, as an alternative to sb account to park some part of emergency cash.