Fino Payments Bank (FPB) has announced the launch of a sweep account facility in association with Suryoday Small Finance Bank (SSFB) today.
This partnership will help FPB address the issue of deposit limits that all the payment banks face at the moment. As per the Reserve Bank of India (RBI), payment banks can only take deposits upto ₹ 1 lakh per account. However the partnership would allow customers to seamlessly transfer the excess amount from their account in FPB to SSFB (partner bank) account.
While this facility ensures RBI guidelines on ₹1 lakh deposit limit for payments banks is adhered to, it also gives customers the safety of a bank account to park excess funds, which can be utilised whenever they need, FPB said in a statement.
Rishi Gupta, MD & CEO, Fino Payments Bank said, “CASA plus or the sweep account, is an important offering as customers stand to benefit. The introduction of this facility is in line with our vision of being the one stop banking point for our customers and we are pleased to have Suryoday Small Finance Bank as our sweep account partner.” “Going forward, we will explore opportunities to tap MSME customers and other segments that can benefit from Fino’s sweep account facility,” he added.
R Baskar Babu, CEO & MD, Suryoday Small Finance Bank, said “Our common focus on providing the best customer experience and solutions has resulted in this partnership. Through this association, we aim to enable hassle-free and seamless services to all customers of Fino Payments Bank who will automatically become Suryoday Bank customers too.”
How to enable the facility
To enable the sweep account facility in their Fino bank account, customers can either visit any of the FPB’s branches and merchant points for assisted service or use mobile banking app BPay to enable it on their own. In either case, sweep account facility will be enabled only after receiving specific consent from the customer.
In case a customer does not enable sweep account facility, the ₹ 1 lakh regulatory restriction on account balance remains.
The sweep account facility will be available across all the geographies where FPB has operations. Currently, the bank has presence across 25 states, with a network of 425 banking outlets and over 75,000 merchant points servicing close to a million customers.