India Post Payment Bank achieves 3.6 crore customers

The India Post Payment Bank, even amid COVID-19 pandemic, has attained 3.6 crores of customers. Till September 15, 2020, the bank had completed 38,500 crores of financial transactions.


In August 2019, it had crossed the milestone of one crore customers. This has been achieved by the bank in just two years of launch. The main reason behind the success of the bank is Aadhaar Enabled Payment System Service (AEPS). The AEPS helped to extend the banking and financial services to millions of unbanked and poor.


  • The top three circles that performed well in AEPS transactions were UP, Bihar and Gujarat. UP recorded 61.7 lakh transactions. Bihar and Gujarat recorded 20 lakh and 16.9 lakh transactions respectively.
  • The AEPS transactions helped to provide door step banking to old age pensioners, sick and elderly and Divyangs.
  • The IPPB platform through AEPS transferred the DBT benefits of Pradhan Mantri Garib Kalyan Yojana to local post offices.


The IPPB was launched by PM Modi on September 1, 2018. IT aimed to avail banking services at people’s door step. It is a payment bank that works through network of post offices. The banks are operated by the Indian Postal Department. It aims to build most affordable, accessible and trusted bank for common man. Also, it focuses to achieve financial inclusion for under banked populace. The bank is governed by Reserve Bank of India

Key Features of IPPB

  • The services of IPPB are available to all citizens. However, it mainly focuses on serving migrant labourers, serving social sector, unorganised sector, MSMEs, low-income households, panchayats and unbanked and underbanked segments in rural and urban areas.
  • The services are delivered through ATMs; door step, mobile and internet banking; counter operations; pre-paid instruments such as Point of Sale, mobile wallets and counter operations.
  • The maximum deposit limit of current and savings account of the bank is one lakh.
  • The bank offers 2.75% interest rate to savings accounts
  • It provides ATM and debit cards. No credit cards are issued.
  • The bank provides social security payments like MGNREGA wages.

Payment Bank

A Committee set up under Nachiket Mor recommended to launch Payment Banks in the country for small businesses and low-income groups. Payment banks cannot accept NRI deposits. They cannot hold balance greater than Rs 1,00,000.


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