Google Pay, the digital payments wallet app, will soon allow customers in India to open fixed deposits (FDs). This is part of Google’s newly announced collaboration with the Indian financial firm Setu. Setu is an API infrastructure startup that provides APIs for bill payments, savings, credit, and payments.
According to sources, the San Francisco-based firm has collaborated with Equitas Small Finance Bank mostly on the deposits. Other banks are likely to follow suit, with Ujjivan Small Finance Bank and AU Small Finance Bank being the most potential contenders.
Users would be asked to complete an Aadhaar-based KYC (know your customer) process using a one-time password (OTP). Setu has already developed a prototype version of the platform that offers numerous tenors for FDs such as 7-29 days, 30-45 days, 46-90 days, 91-180 days, 181-364 days, or even 365 days, with interest rates starting from 3.5 percent for the shorter FD and 6.35 percent for the one-year Fixed deposits.
An individual familiar with the matter said Mint, the technology is so convenient that anyone can book an Equitas FD on the Google Pay app even if they don’t have a savings account with Equitas Small Finance Bank. The funds will be transferred from their existing account to the existing savings account. Google India has yet to confirm the report, and an official rollout timeline for the new Google Pay’s FD feature has also been hidden from the public. But one can try the beta version to open their FDs following these steps:
How to Open a Fixed Deposit using Google Pay App
Step 1: Launch the Google Pay app on your phone.
Step 2: Tap Explore next to “Businesses and bills” at the bottom of the screen.
Step 3: Search for “Equitas Small Finance Bank” in the search box located on the top.
Step 4: Simply hit on Equitas Small Finance Bank and tap Open Equitas FD.
Step 5: In the next window, you’ll see a quick summary of fixed deposits, as well as the option to calculate the interest rate.
Step 6: Hit the Invest Now button.
Step 7: Choose whether or not you are a senior citizen. Then, specify the desired amount and time frame for your FD (min 10 days- max 1 year).
Step 8: Tap on the Proceed to KYC button.
Step 9: Proceed by entering your Aadhaar card’s pin code.
Step 10: After that, validate your Google account and mobile number, as well as your PAN and Aadhaar.
Step 11: At last, Complete the payment by using the Google Pay UPI payment method.
