New Delhi, August 31: Prime Minister Narendra Modi is set to inaugurate the India Post Payments Bank (IPPB) on Saturday, September 1.  The launch event will take place at the Talkatora Stadium in New Delhi and the branches will be inaugurated at the respective places simultaneously. It was earlier scheduled to be inaugurated on August 21 but was rescheduled after the demise of former prime minister Atal Bihari Vajpayee.

On the day of the launch, the IPPB will have 650 Branches and 3250 Access Points spread across the country. It will leverage the reach of 1.55 lakh post office branches to provide banking and financial service to people in rural areas. All the 1.55 lakh post offices in the country will be linked to the IPPB system by December 31, 2018.

The IPPB will offer products such as savings and current accounts, money transfer, direct benefit transfers, bill and utility payments, and enterprise and merchant payments. These products, and related services, will be offered across multiple channels (counter services, micro-ATM, mobile banking app, SMS and IVR).

IPPB has permission to link around 17-crore postal savings bank (PSB) accounts with its account. With IPPB in place, people in the rural area will be able to avail digital banking and financial services, including money transfer, to any bank account either with help of the mobile app or by visiting a post office.

IPPB was the third entity to receive payments bank permit after Airtel and Paytm. Payments banks can accept deposits of up to Rs 1 lakh per account from individuals and small businesses.

The postal payment bank has the permit to carry RTGS, NEFT, IMPS transaction that will enable IPPB customers to transfer and receive money from any bank account.

With the third party tie-ups, account holders in IPPB will be able to avail financial services as in the case of a regular banking customer. The payment bank will be used by the government to distribute NREGA wages, subsidies, pension etc.

The IPPB app which is expected to be launched on the same day will enable customers to pay for services of around 100 firms including phone recharges and bill, electricity bill, DTH service, college fees etc that are present on Bharat Bill payments system of National Payments Corporation of India.

With inputs from PTI

(The above story first appeared on LatestLY on Aug 31, 2018 02:16 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).