New Delhi: In-line with the Reserve Bank of India’s (RBI’s) guidelines, Airtel Payments Bank has announced that it has become the first payments bank in the country to enable Rs 2 lakh day-end balance account limit. Customers having an account with Airtel Payments Bank will be able to save more with this increased limit.
The Bank deposits are insured under the Deposit Insurance and Credit Guarantee Corporation (DICGC) which is a wholly owned subsidiary of the RBI.
Airtel Payments Bank has 55 million engaged users and serves them through technology and a retail-based distribution network. The Bank has built a strong network of over 500,000 neighborhood banking points, which is bigger than the total number of bank branches and ATMs in India. These neighborhood banking points take services closer to the customer and have even reached deep rural pockets that never had access to banking services.
Anubrata Biswas, MD and CEO, Airtel Payments Bank, said, “The RBI’s decision to increase the balance limit is an endorsement of the role Payments Banks have in furthering financial and digital inclusion in India. We are glad to enable this increased day-end balance limit for our customers. At Airtel Payments Bank, we have always believed that higher balance limits would enhance consumer usage of payments banks, as well as enable large sections of informal India, such as small merchants and traders, to access formal banking easily.”
On April 7, the RBI doubled the limit of maximum balance that an individual customer can hold with Payments Banks. “The extant “Guidelines for Licensing of Payments Banks” issued on November 27, 2014 allow payments banks to hold a maximum balance of ₹ 1 lakh per individual customer. Based on a review of performance of payments banks and with a view to encourage their efforts for financial inclusion and to expand their ability to cater to the needs of their customers, including MSMEs, small traders and merchants, it has been decided to enhance the limit of maximum balance at end of the day from ₹1 lakh to ₹2 lakh per individual customer, ” an RBI statement had said.