India Post Payments Bank to start from September 1

India Post Payments Bank to start from September 1

Senior Superintendent of Posts Mangaluru Division Diwakara speaks to reporters in Mangaluru on Wednesday.

The India Post Payments Bank (IPPB) will start its operations from one branch at Balmatta Post office and five access points in Mangaluru division from September 1.

Speaking to reporters on Wednesday, Senior Superintendent of Posts Mangaluru Division Diwakara said the five access points are Mangaluru Head Post Office, Balmatta, Katipalla, Kuthethooru and Soorinje.

The IPPB will be inaugurated at Town Hall in Mangaluru by Union Minister for Statistics and Programme Implementation D V Sadananda Gowda.

With the starting of IPPB, the postmen who deliver letters and money orders to the customers will don the new role of a ‘banker’ with smartphones and biometric devices in hand to facilitate doorstep banking.

An account can be opened at the doorstep with the help of postman by furnishing the details of Aadhaar and phone number and an OTP will reach the mobile phone of the customer within five minutes.

The postman/Gramin Dak Sevaks are armed with financial knowledge and equipped with a smartphone and biometric device enabling him/her to offer financial services.

He said that the IPPB will leverage public infrastructure (RBI/National Payments Corporation India) payments to offer last mile affordable banking.

The IPPB will make banking and payments simple. Using Aadhaar, it will help the customers to make digital transactions with the help of QR cards and biometric authentication.

The IPPB will offer a range of products such as savings and current accounts, remittances and money transfers, direct benefit transfers, bill and utility payments and enterprise and merchant payments.

The Senior Superintendent of Posts said that the IPPB’s QR card eliminates the need for customers to remember their account number and PIN.
Customers can transact without cash through digital channels.

The bank will equip and enable small merchants and vendors to accept cashless payments (QR card enabled payments. A Payments Bank account can hold a maximum balance of Rs 1 lakh per customer. If it exceeds Rs 1 lakh, then it will be transferred to the post office savings bank accounts of the customer.

Prime Minister Narendra Modi will launch IPPB across the country with 650 branches and 3,250 access points on September 1. It will be extended to cover all 1.55 lakh access points in the country by December 31. Accordingly, all the 542 post office branches in DK will have IPPB by the year’s end.

Diwakara said that already 20,000 IPPB accounts have been opened in Karnataka with 600 in Mangaluru division so far.

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