GI Technology to seek payment bank license

GI Technology is planning to expand its range of payment offerings to customers by applying for a payment bank license.

GI Technology to seek payment bank license

Indian money transfer company GI Technology is planning to expand its range of payment offerings to customers by applying for a payment bank license, reported the Economic Times.

Reserve Bank of India deadline for applications for payment and small bank licenses is slated on February 2, 2015.

The RBI norms for payment banks allows telecom companies, retail chains and corporate houses with minimum capital INR 1bn will to apply and issue debit cards and offer internet banking, but not credit cards when licensed.

Payment banks will require tying up with business correspondents and universal banks to be commercially viable.

The license will help the firm to spread out its remittances services and extend other financial services to unbanked customers.

GI Technology managing director Ramu Ramsamy said: “We offer remittances services to migrant workers. The license will help us extend other financial services to these unbanked customers.”