At last, the Department of Posts has been granted Payment Bank Licence by the Reserve Bank of India. The application was pending for a long time. The RBI took the decision to grant Payment bank licence to 10 other organisations also. Telecom companies Vodafone and Airtel are in the list.
The Payment Bank can accept deposits up to one lakh, maintain SB and Current Accounts, issue debit cards and also offer internet banking. But they can not give loans or issue credit cards.
It is hoped that the Department of Posts and the people at large will benefit since the DoP has Post offices through out the nook and corner of the country.