The Reserve Bank of India recently lifted the ban it had imposed on Fino Payments Bank to onboard new customers. The ban was put in force in May this year, with the lifting of the ban allowing Fino Payments Bank to open new accounts.
The RBI enforced the ban for non-compliance of operational guidelines by the payments bank. Following the changes made by the payments bank, the RBI withdrew the ban.
In addition to Fino Payments Bank, the RBI had also barred Airtel Payments Bank and Paytm Payments Bank from onboarding new customers, according to a report by Business Standard. While the ban on Airtel Payments Bank was withdrawn in July, Paytm Payments Bank is yet to receive the nod from the RBI to open new accounts (as per the same report by Business Standard).
Fino Payments Bank currently has 400+ banking outlets in the country, with over 50,000 access points. It commenced operations in September last year, having received the RBI’s approval to function as a bank in March 2017.
There are currently five payments banks, namely Paytm Payments Bank, Fino Payments Bank, India Post Payments Bank, Airtel Payments Bank, and Aditya Birla Idea Payments Bank which are operating in the country, with NSDL Payments Bank likely to commence operations soon.
Sources: Business-Standard, Livemint