HDFC Bank has tied up with India Post Payments Bank (IPPB) to offer its banking services to the unbanked and underserved segments in semi-urban and rural areas. A memorandum of understanding was signed between HDFC Bank and IPPB to cater to the majority of over 4.7 crore customer base of IPPB.
About 90 percent of IPPB customers reside in rural areas, which may benefit from this tie-up. HDFC Bank said the strategic alliance will enable IPPB to provide affordable and diversified offerings, including access to finance, to its customers through its innovative Doorstep Banking Service. With nearly 2,00,000 postal service providers (Postmen and Gramin Dak Sevaks) equipped with micro ATMs and biometric devices, IPPB caters to the needs and requirements of various customer segments.
With this partnership, HDFC Bank aims to further strengthen its financial inclusion drive by leveraging the robust and extensive distribution network of IPPB’s 650 branches and over 136,000 banking access points across India, the bank said on Monday. “at the doorsteps of customers, IPPB is steadily transforming and reshaping the financial inclusion landscape across the country. Our endeavour is to build a unified platform offering various citizen-centric services, including credit, at the doorstep by leveraging digital technologies and alternate data sources in collaboration with lending partners,” J Venkatramu, Managing Director and CEO, India Post Payments Bank, said.
Smita Bhagat, Country Head GIB, CSC, e-Commerce, Start-ups and Inclusive Banking Initiatives Group, HDFC Bank, said the bank has been championing the cause of financial inclusion through several initiatives and this partnership is one more step in that direction. “This alliance will allow us to take our best-in-class products and services to millions of IPPB customers in the remotest corners of India,” Bhagat said. The private sector lender said it is a significant tie-up for HDFC Bank as it will help expand its customer outreach to the last mile.
IPPB offers services such as savings and current account, 24×7 instant money transfer, Aadhaar enabled Payment System, DBT, including Mahatma Gandhi National Rural Employment Guarantee Scheme and payment of scholarships, bill and utility payments, digital life certificate, third party products among others.