Payments Banks License

₹ 25,99,999*/-
All Inclusive Fees
  • Payments Banks License.
  • Business Plan.
Request a call back
Secured by Norton

What are payments Banks?

Payment banks are conceptualized by the Reserve Bank of India (RBI). The maximum deposits restricted to these types of banks currently is INR 1 lakh per customer which shall be increased further. Both the current as well as savings account can be operated under such banks. They can issue service relating to debit cards, online banking mobile banking and also ATM cards. Payment banks also known as differentiated banks shall be permitted to set up outlets (branches), ATMs, business correspondents, etc. but would be restricted to activities permitted to banks under the Banking Regulation Act, 1949. Minimum paid up capital of payments bank shall be 100 crores.

Acts governed under payments banks

  • Companies Act, 2013.
  • Banking Regulation Act, 1949.
  • Reserve Bank of India Act, 1934.
  • Foreign Exchange Management Act, 1999.
  • Payment and settlement systems Act, 2007.
  • Deposit Insurance and credit Guarantee corporation Act, 1961.
  • Other applicable rules and regulations that may come from time to time.

The primary objective of Payments banks are to provide:

Small savings accounts

Payments/remittance services to labour workforce, low income households, unorganized sectors, small businesses, high volume low value transactions etc.

Eligible players

  • Existing non-bank prepaid payment instrument under the Payment and settlement systems Act, 2007.(They can opt for conversion to payments bank).
  • Individuals/professionals.
  • NBFC's (non-banking finance companies).
  • Business correspondents.
  • Mobile telephone companies.
  • Supermarket chains.
  • Companies (public companies).
  • Real sector cooperatives.
  • Public sector entities.

The highlighting of Payments Banks as follows

  • Current deposits, saving bank deposits from individuals, small businesses are permitted up to a certain limit as prescribed.
  • NRI deposits are not allowed/accepted.
  • Issuance of ATM/Debit cards (although no credit cards).
  • Internet banking services are open under payments bank. These banks are expected to offer low cost banking solutions. (compliance of RBI instructions on internet banking, information security, electronic banking, technology risk management, cyber laws is necessary).
  • Payments bank can accept remittances as a channel (just like RTGS/NEFT/IMPS).
  • Payments banks cannot take lending activities.
Procedure for Payments Banks License
1. Step

Incorporation of a public Limited Company, in accordance with the Companies Act, 2013, RBI regulations, with the main objectives of acting as a payment bank.

2. Step

Filing of application to Chief General Manager of The Reserve Bank of India.

3. Step

The EAC (External Advisory Committee) shall evaluate the application, and call for information's and discussions with the applicant.

6. Step

In principle approval to operate as a bank, shall be taken up by The Reserve Bank of India. The bank needs to be set up within the time period of 18 months.

5. Step

Name of applicants for bank license shall be shown in the official RBI site.

4. Step

RBI license shall be granted who fulfils all the eligibility criteria's.

Why Enterslice?
Asia Winner
Top 100 Most Innovative Companies in Asia - Red Herring
Top 25 Consultants
Top 25 Consulting Firm in India - Consultants Review
100%
Success Rate. Your Order Comes with Money Back Guarantee
70+
Services delievered by 70+ Qualified CA and CS
Trusted by
Universal
Fashiontv
Bioworld
Acme Solar
LG
Rhenus Logistics
Barco
Testimonials
5.0

" Thanks for your services. The team is really professional. They make sure that things are delivered in time. The best part about Enterslice is the consultative approach and guiding us on all our business matters. "

Akash Deep
Haiden Group - UAE
Akash Deep
5.0

" Very professional services. I am highly impressed by their courteous and client oriented attitude. "

Col. Gautam Singh
F Salon Paris
Col. Gautam Singh
5.0

" Enterslice and Its team made starting my company and running very easy. Their contribution in raising funds was immense. I highly recommend Enterslice to any one who wants to start a business in India. Thank you guys keep up the good work. "

Pradeep Khanna
CEO - Solarix
Pradeep Khanna
As seen in
CNBC
Huffpost
Your Story
IAmWare
Inc42
NextBigWhat
Goalcast