PM Narendra Modi launches India Post Payments Bank scheme

PM Narendra Modi. Pic/PTI

Prime Minister Narendra Modi yesterday launched a payments bank of the Department of Posts that will take banking to the doorstep of every citizen through an unmatched network of post offices and almost 3 lakh postmen and 'Grameen Dak Sewaks'.

The India Post Payments Bank (IPPB) will be like any other banks, but its operations will be on a smaller scale without involving any credit risk. It will carry out most banking operations like accepting deposits but won't advance loans or issue credit cards.

The payments bank will accept deposits of up to R1 lakh, offer remittance services, mobile transactions and other banking services like ATM/debit cards, net banking and third-party fund transfers.

Communications Minister Manoj Sinha said the IPPB would be available through 650 branches and 3,250 access points. Deposits in any account that exceed R1 lakh would be automatically converted into post office savings account.

UPA govt responsible for bad loan mess
PM Modi blamed 'phone-a-loan' scam of the UPA government for the bad loans in the banking sector and said every penny given at the behest of 'naamdars' (dynasts) will be recovered. He said a majority of bank funds were reserved only for rich who were close to a particular family.

Also Read: Narendra Modi's No-Holds-Barred Attack On Rahul Gandhi, Throws 'Phone Banking' Jibe

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