The company is planning to raise $500 million for the unit, a model to be used to equip shopkeepers with technology, logistics and marketing capabilities
Additionally, if a customer becomes a senior citizen before the maturity period
The company has also introduced a dedicated 'Bank' section on the Paytm app where it has made available a range of banking services.
The company plans to expand to 31 branches and 3,000 customer service points by end of first year
Every Paytm customer who has completed the Paytm KYC process can now have a consumer beta of bank account
The payments banks can take savings deposits and remittances but are not permitted to lend
PPB account holders will soon be able to send and receive money using a UPI ID
Paytm is third firm after Bharti Airtel and India Posts to have launched payments banks.
Paytm plans to roll out 31 branches and 3,000 customer service points of the bank in the first year
Rate much lower compared to Airtel's 7.25% and India Post's 5.5%