India Post Payments Bank encourages more customers to sign up

The India Post Payments Bank (IPPB) has launched a campaign to encourage people to open a savings account with the bank at Chhatrapati Shivaji Maharaj Terminus (CSMT) and other areas of the country, reports Afternoon Voice.

(IPPB) is a 100%  government-owned Public Sector Bank operating with the Department of Posts under the Ministry of Communications which aims to utilise all of India’s 155,015 post offices as access points and postal postmen and Grameen Dak Sewaks to provide house to house banking services.

The first phase of the bank, with 650 branches and 3,250 post offices as access points, was inaugurated on 1 September 2018. Over ten thousand postmen are involved in the scheme.

Mr Lakshman Kokata post office staff member said: “A customer can pay electricity bill. A customer is entitled to an insurance of Rs 1 lakh deposited with India Post Payments Bank. Customers can transfer money to other accounts online. Postmen will deliver the money to customers who need the same.”

IPPB would be like any other bank, but it will operate at a smaller scale without involving any credit risks, but can’t issue advance loans or issue credit cards.

Political Analyst Bhushan Jadhav said: “Indian Post Payment Bank is a wholly-owned government bank. Bank services are not available in interior areas of the country. However post offices have their presence in every nook and corner of the country. 3 lakh postmen and 1.5 lakh post offices are operating in the country. Postmen will work as bankers. They will have handheld devices and will go to people’s houses to open accounts. A pilot project was started in Ranchi and Raipur which has become successful. The services will be expanded across the country. The money of government welfare schemes will be directly transferred to people’s account.”