1 min read.Updated: 01 Sep 2021, 02:55 PM ISTMeghna Sen
To start with, this functionality will be available for Google Pay users who are accessing the app from Android, Equitas Small Finance Bank said in a regulatory filing
Equitas Small Finance Bank (SFB) on Wednesday announced that it will now enable users to open fixed deposits (FDs) on Google Pay. Initially, this functionality will be available for Google Pay users who are accessing the app from Android.
“Equitas SFB has launched a new initiative, enabling Google Pay users to book fixed deposits (FDs) on Google Pay in under 2 minutes without having to open a bank account," the bank said in a regulatory filing.
The bank said the deposits in Equitas are covered by a deposit guarantee upto ₹5 lakh per depositor. Customers can enjoy returns of up to 6.35% for an FD of one year - substantially higher than many other savings options.
“In an industry-first, consumers can through the Google Pay app book high-interest rate FDs fully digitally - without needing to open a savings account with Equitas Bank on its own Spot integrated with the Google Pay platform. So, Google Pay users can book FDs from the comfort of their homes ensuring an easy, safe and hassle-free experience," the statement read.
“On maturity, principal and interest of the FD go directly to the Google Pay user’s existing bank account - which could be in any bank in India," it further added.
How to book a high-interest safe FD with Equitas Bank:
1. Open your Google Pay app and scroll down to ‘Businesses and bills’
2. Click on the ‘Equitas SFB’ logo / Search for Equitas to enter the Equitas Bank Spot on Google Pay
3. Select an amount and tenure for the FD via the Equitas Bank Spot
4. Provide your personal and KYC details (PAN number & Aadhaar number) to Equitas Bank
5. Complete the payment using Google Pay UPI
After booking an FD
On maturity, the proceeds will automatically go to the Google Pay user’s existing Google Pay linked bank account. From the Equitas Bank Spot on the Google Pay platform, Google Pay users can track their deposit, add new ones as well as place order for premature withdrawal.
If a Google Pay user chooses to prematurely withdraw the deposit, the proceeds will reach their bank account as quickly as the same day.
Recently, American tech giant Google has recently partnered with fintech startup Setu to let users open FDs through the digital wallet platform Google Pay.
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