Paytm Payments Bank offers digital incentives to attract corporate entities

Paytm Payments Bank is offering digital incentives to corporate entities to achieve the target of expanding its customer base to 500 million over the next 2-3 years, according to a report in Mint.  

Paytm Bank's Managing Director and Chief Executive Renu Satti told the paper that the offerings will work as an incentive for companies that are already using Paytm e-wallet services to shift employees’ salary accounts to the bank.

“These corporate offerings will ensure better accountability and convenience for both the employers and employees,” Satti said.

Using Paytm Payments Bank, customers will be able to use their food and gift wallets issued by corporate entities through the app across the merchant base of Paytm. These food wallets will be automatically debited when a customer buys food, due to the tagging of merchants done at the back-end by Paytm.

“It doesn’t require any card, which also does away with issues such as loss of card and expiry of coupons, plus avail the benefits of cashback running on any Paytm merchant,” Satti added.

“We even offer customisation to the extent of restricting usage of food wallet to specific merchants like office cafeterias, basis requirement,” Satti said.

The move will help the bank to tap the ready customer base of salary accounts to increase their customers. As of now, around 500 corporate entities are using e-wallet services, said the report.

The bank currently has no minimum balance requirements and offers 4 percent interest on savings deposits. It claims to have 170 million customers, including those using the Paytm e-wallet.

Satti told the paper that the plan is to set up around 100,000 banking outlets across the country in the next one year to cater largely to under-banked rural areas.

Paytm Payments Bank was launched in November 2017 after it received a payments bank license from RBI in January last year.