Airtel Payments Bank and charging 0.65 percent fee for cash withdrawal

Airtel Payments Bank and charging 0.65 percent fee for cash withdrawal

With more than 10k retailer outlets, the Indian telecom giant Airtel took the pride of opening the India’s first Payment bank recently in the state of Rajasthan. Everyone has thought of Paytm to open the India’s first payment bank, but airtel manages to act overhead of Paytm and set the milestone.

Airtel Payments Bank and charging 0.65 percent fee for cash withdrawal

Just like the ordinary banking services the payment bank services started by the airtel would functions exactly same as the nationalized banks which are under governance by the Reserve bank of India. For amounts which are deposited in the airtel payment bank, the account holder would able to get the interest rate of 7.25% which is equal to the rates provided by many nationalized banks all across the India.

Withdrawal Fee of Airtel Payment Bank

On the other hand they have also withdrawn the entire processing fee that was there on the digital transactions. So digital transaction will have no processing fee and cash withdrawals will cost 0.65% of the cash to be withdrawn.

The implementation of the above mentioned will be done from the month of January of the coming year. The main motive behind doing so is all about encouraging people to seek out for cashless transactions and to decrease cash withdrawals.

Airtel Payment Bank in 2017

It is expected that the airtel would make some slight changes in the function of airtel payment bank from the year 2017. Right now, there’s no processing free charged by the airtel payment bank either from merchant and as well as from customers side. However, recently statement has been received from the respective authorities as the airtel payment bank will charge about 0.65% fee for the withdrawal carried by their consumers. Though, the charges are not in practice now, it will be implemented from January 2017.

On the other hand, the statement clearly mentioned as there won’t be any charges or processing free for transaction held in digital form. So consumers can able to transfer money without any charges on cashless transactions. In addition to that, the consumers of airtel payment bank able to get the interest rate of 7.25% as the annual interest rate for their depositing their money in savings account. The retail outlets of airtel payment bank are available only in the state of Rajasthan as of now; very soon it will be extended to all other states.

In a statement released by Airtel it has been said that the company aims at creating an ecosystem in the country where making and receiving payments for customers like store owners, business owners or any individuals too will be very easy and more over it would be cashless. They would focus on making use of mobile phones and laptops or computers in receiving and making payments.

Gifts Offered by Airtel Payment Banks for Digital Transactions

With more Airtel Payment Banks being launched the company would encourage a person to open savings accounts in Airtel and then be benefited with easy payment modes that just uses a smartphone.

  • The airtel customers who are all using airtel payment banks would able to receive the surprise gift on basis of lucky draw. The surprise gift would be the free talk time up to 100 minutes in between airtel to airtel connections.
  • The implementation of the fee on cash withdrawal will start from January and along with the company would also come up with other initiatives to move towards the ways of digital transactions by encouraging all.

These initiatives will be in par with the digital campaigns of the government of India.

People’s response to Airtel Payment Banks

According to the reports released from the trustable sources, around 1 lakh accounts have been opened in airtel payment bank within 2 weeks of opening date. The MD and CEO of the airtel payment bank, Mr. Shashi Arora conveyed that, the response from the people/customers are highly positive and it motive us to take our banking services to a new level which can be more convenient level to satisfy all levels of customer’s needs.

The main reason behind such high positive response from the people about the airtel’s payment bank is about 75% of the retailer banks outlets are located in rural areas. Also, the offers which are announced by the airtel payment bank attract a lot.

In addition to those services offered by the airtel payment bank, the offer introduced by the telecom giant bharti airtel drives lots and lots of aritel customers to open an account in the airtel payment bank. As per the offers, every airtel customer who owns an account with airtel payment bank would able to get free talk for every deposit they made. For Example, if a customer deposits Rs. 100 in their account means he or she would receive 100 minute free airtel talk time which can be utilized for making airtel calls all over the India.

Conclusion:

As the India’s biggest telecom network stepping into banking sector, it will be the high competition going to be experience in the banking sectors. Since, the Airtel Payment bank concentrates highly in rural areas; it will be huge benefits for rural people to get practiced with the digitalization.

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