Published: Thu, April 05, 2018
Research | By Raquel Erickson

RBI Grants Approval to Reliance Jio for Jio Payments Bank

RBI Grants Approval to Reliance Jio for Jio Payments Bank

Jio Payments Bank is a joint venture between Reliance Industries and the country's biggest lender, State Bank of India.

Mumbai: Jio Payments Bank has commenced operations with effect from April 3, 2018, the RBI said in a statement on Tuesday.

The procedure for opening a payments bank account is very simple. As Jio Payments Bank commences its operations with the SBI, how far it manages to bring banking services to the underserved sector will be something to be looked at.

"Jio is introducing a Cricket Season Pack that will allow cricket lovers to get access to their favourite live matches on mobile and stream nearly every live match throughout the duration of 51 days (Available at Rs 251 only, offering 102 GB Data)".

Paytm founder Vijay Shekhar Sharma promoted Paytm Payments Bank began operations from May 2017 last year while FINO Payments Bank Limited kicked-off in in June last year. After a huge success during demonetisation, Paytm also launched its payments bank services in May 2017. Reliance Jio, which has about 129 million customers, now, with its Payments Bank, is planning to attract more users on board. H Srikrishnan, who was earlier with HDFC Bank and Yes Bank has been appointed MD and CEO of Jio Payments Bank. It will, however, be able to open bank accounts through "alternate methods", if available.

Being in direct competition with banks, payments bank offer you higher rate of interest. Also, payments banks can accept deposits of up to Rs 1,00,000 per account.

However, recently, UIDAI lifted the ban on Airtel, but Airtel Payments Bank continues to be banned. Interestingly, payments banks offer zero balance or no minimum balance accounts without charging any fee.

Most importantly, don't worry if you are already having a wallet with the company.

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