The company says Paytm Payments Bank customers can redeem their deposits instantly, anytime without paying any pre-closure or miscellaneous charges and can earn up to 6.85 percent annual interest, the company said in a statement.
Additionally, if a customer becomes a senior citizen before the maturity period, the account will be auto-renewed under the senior citizen scheme, thus earning higher interest, it added.
"Majority of Indians prefer safer investment options that offer them higher earning potential. Our offering will add the much-needed convenience of zero paperwork, instant redemption and no charges to one of India's most preferred investment methods," Paytm Payments Bank MD and CEO Renu Satti said.
The bank recently unveiled its 'Paytm Ka ATM' outlets, meant to allow customers to open savings accounts as well as deposit or withdraw money. The branded outlets will play a key role in bringing banking access to smaller cities and towns by ensuring customers find it easy to locate an access point near them. The ATM service will be enabled by a business correspondent network.
Speaking on the launch of the service last year, Paytm CEO Vijay Shekhar Sharma said, "Paytm ka ATM - is a human you can go to, take the money, deposit, with your thumb or card, and on day one of the launch, we will have 100,000 distribution points of Paytm ka ATM," says Sharma.
Written with inputs from PTI
Disclosure: Paytm's parent company One97 is an investor in Gadgets 360.