Google Pay Fixed Deposits: Earn Annual Return Up to 6.35%, Know How To Book FD Via GPay

The bank has started this initiative by connecting APIs built by fintech infrastructure provider Setu for Equitas Bank.

(Representative Image/ Getty)

New Delhi: Google Pay users can now enjoy the benefits of fixed deposit rates offered by Equitas Small Finance Bank by booking FD on the payments platform without opening a bank account.

The bank has started this initiative by connecting APIs built by fintech infrastructure provider Setu for Equitas Bank.

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Equitas SFB in a release said the consumers can through the Google Pay app book high-interest rate FDs fully digitally, without needing to open a savings account with Equitas Bank on its spot integrated with the Google Pay platform.

The customers can earn returns of up to 6.35 percent for an FD of one year, the lender said, adding this is substantially higher than many other savings options.

The lender said the deposits in Equitas, as a Reserve Bank of India (RBI) scheduled commercial bank, are covered by a deposit guarantee of up to Rs 5 lakh per depositor.

The users will have to search for the Equitas Bank spot under the 'Business and bills' segment to book an FD on Google Pay.

The users will have to select an amount and tenure for the fixed deposit, provide their personal and KYC (know your customer) details, and complete the payment using Google Pay UPI.

“On maturity, the proceeds will automatically go to the Google Pay user's existing Google Pay linked bank account,” the lender said.

The users can track their deposits, add new ones and place an order for premature withdrawals. If a user wants to prematurely withdraw the deposit, the proceeds will reach their bank account as quickly as the same day.

The fixed deposit facility will be available for the Google Pay users on the Android app.

The lender said this collaboration is a dedication to the digital world as the bank is all set to celebrate its fifth anniversary on September 5.

“We hope to increase the financial inclusion by encouraging a savings culture, at the same time making the FD booking process simple and easy,” PTI quoted Murali Vaidyanathan, Senior President and Country Head, Equitas SFB, as saying.

Setu CEO and Co-founder Sahil Kini said bank FDs are India’s favourite savings instrument and added booking an FD should be as simple as making a UPI payment.

“But, most banks require customers to open a savings account and then book an FD. By partnering with Setu, Equitas SFB has been able to make standalone FDs available on Google Pay,” he said.