Benefits of Using Paytm Payments bank
Paytm Bank offers a refund on deposits – If you transfer more than Rs. 25,000 into your Paytm bank account, you will receive a refund of Rs. 250 (1%), up to four times.
4 percent interest rate – A large difference between a portfolio and a payment bank is that the latter can offer interest. Paytm will pay 4% per year. This is lower than the 7.5% interest offered by Airtel’s payments bank, and in line with what you get from Axis, ICICI and HDFC.
No minimum balance requirement, no fees for online transactions – There is no minimum balance required for the bank account. In addition, online transactions (such as IMPS, NEFT, RTGS) will have no charge.
Paytm Bank offers debit cards but no credit cards – Unlike portfolios,
payment banks can offer debit cards (but no credit).
According to the Paytm website, physical services such as a checkbook, projects and debit cards will be available from the Paytm payment bank at a low cost. Interestingly, Airtel does not offer a physical debit card, but virtual to use online. The Paytm bank will issue a Rupay debit card, which will be free, but it will charge Rs. Delivery of 100 + in annual fees; A lost card replacement will also be Rs. 100 + delivery. A checkbook of 10 sheets will also cost you Rs. 100 + shipping costs.
Withdrawals from ATMs on debit cards Paytm – Paytm does not have its own ATMs. However, its debit card can be used free of charge five times in a non-metro ticket counter or three times in ATM machines. Then there will be a cash withdrawal fee, while other transactions, such as balance checks, will cost Rs. 5.
In particular, Paytm Payments Bank is not the only one of its type, or even the first, because the RBI has granted approval to set up a payment bank to 10 others. So far, Airtel has gotten its payment bank running, with Paytm following the lawsuit now.