- Google Pay users can take FD benefits of Equitas SFB without a bank account.
- The maximum interest rate is reportedly set at 6.35 percent.
- Other banks like Ujjivan Small Finance Bank and AU Small Finance Bank are also expected to join the list soon.
Google Pay is a popular platform for digital payments in the country. The app has over 10 crore downloads on the Google Play Store in India. With this new feature, users will be able to open FDs through Google Pay, even if they do not have an account in the bank offering a fixed deposit.
Google Pay Fixed Deposits: KYC formalities
The Reserve Bank of India knows your client’s (KYC) guidelines are strictly followed. You have to provide your KYC details (PAN number & Aadhaar number) digitally to Equitas Bank. This functionality will be available for Google Pay users who are accessing the app from Android.
On maturity, principal and interest of fixed deposit will go directly to Google Pay users’ existing bank account. People also get an option of premature withdrawal just in case the depositor needs money before maturity.
Opening a Fixed Deposit (FD) with GPay:
- Open the Google Pay app on your phone.
- Click on Explore next to “Businesses and bills” at the bottom.
- Search for “Equitas Small Finance Bank.”
- Click on Equitas Small Finance Bank and then Open Equitas FD
- On the next screen, you’ll get a brief overview of fixed deposits with the option to calculate the interest rate.
- Click on Invest Now.
- Select whether you’re a senior citizen. Then, enter the desired amount and duration (min 10 days- max 1 year).
- Click on Proceed to KYC.
- Enter your pin code as per your Aadhaar card and proceed.
- Further, verify your Google account and mobile number, followed by PAN and Aadhaar verification.
- Complete the payment using Google Pay UPI.
The interest rates offered by small finance banks and some new generation private banks are generally higher than the well-established banks. It is always advisable to park your deposits with well-established banks as new banks are in the process of building a sustainable business model.
Thanks for Reading!!