Vijay Shekhar Sharma, Founder and CEO of PayTM, finally announced that India’s largest wallet service has got the permission from Reserve Bank of India to launch the Paytm Payments Bank.
In a moment of ecstasy he said, " We can't wait any longer to bring it to our customers." 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.
“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.
He is plans to become a bench-mark in the world of banking, with the power of technology and innovation-at-scale and he also intends to take a full-time executive role in the bank.
The announcement has come, exactly three years after Paytm launched its mobile wallet on January 3rd 2014.