Payment banks to not access customer’s funds in other bank accounts: RBI

Reserve Bank of India, on Thursday, said that payment banks cannot have access to customer funds in accounts at any other banks.

Payment banks, as per current norms can only accept a maximum of Rs 1,00,000 as deposits per customer. The interesting aspect here is that the payment banks can make arrangements with other banks for amounts in excess of Rs 1,00,000.

RBI mentioned that payment banks being the business correspondents of a bank can facilitate withdrawals and transfers by a customer from their account with the bank of which it is a business correspondent.

Further, RBI stated that payment banks will be required to closely monitor customer accounts to identify and report suspicious transactions.