First of its kind in India - Make payments using your fixed deposits - Paytm Payments Bank Blog:- www.deekpay.com

Have you ever heard your father or grandfather advise, "Son, invest in fixed deposits." Since time immemorial, fixed deposits have been a reliable companion for our forefathers when it comes to stocking up on emergency funds. Even today, it is a popular choice among millennials. All banks offer fixed deposits with varying interest rates, which can be withdrawn in times of emergency. However, fixed deposits with Paytm Payments Bank (PPBL) (offered by co-operative banks) are much more than just an investment option.

Time deposits as a liquid instrument

We offer a very unique proposition in helping our clients to create fixed deposits with their co-operative banks. Apart from offering an interest rate of up to 5.51 TP3T, the fixed deposits also become a pay-as-you-go payment instrument for PPBL account holders. Account holders can immediately withdraw their fixed deposits to purchase goods or make payments on the Paytm app if the account balance is insufficient. This feature is now available for payments made through Paytm payment gateway.

Unlike other banks, withdrawing your fixed deposits on the Paytm app is free and takes just a few seconds. For example, if you are buying gold worth Rs 50,000 on the Paytm app and your savings account balance is Rs 35,000, you are obviously short by Rs 15,000. To make up for this difference, you can redeem your fixed deposit immediately by clicking on the extra button to complete the purchase!

Easy Checkout Page

The process is easy to understand, as you can see from the image of the "Checkout" page above.

Let's say you are purchasing a ticket and are on the payment page

As shown in the picture, your bank account balance is insufficient

Below the available balance, you have an option to redeem your time deposit, just click on the check box

You can use your time deposit balance to pay the remaining amount without any charges

Only the required balance will be deducted from your time deposit without full withdrawal. Therefore, you will continue to earn interest on the remaining amount.

Why should you consider time deposits as a payment option?

Earn while you save: you can earn interest as you save for your future goals. Normally, other banks offer fixed deposits at a maximum rate of TP3T 41, but at PPBL, the rate is as high as TP3T 5.51 (up to TP3T 61 for senior citizens).

Free Withdrawal: Most banks usually charge you between 0.5% and 1% for withdrawing your time deposit. But with us, you can withdraw immediately for free, regardless of account balance and tenor!

Multi-purpose: You can withdraw your fixed deposits to make multiple payments/purchases on the Paytm app, including recharges/bill payments, gold purchases, shopping, travel tickets, mutual fund investments, and more. Interesting fact is that the feature to redeem fixed deposits is available even on third-party merchant checkout pages like Zomato and Swiggy.

Smart withdrawals: We value your money more than you do. Therefore, when you choose to withdraw your fixed deposits, we follow a 'last in, first out' mechanism. That's why we withdraw the newest time deposits first, because you've earned more interest on the old ones. Imagine that you have opened time deposits in August 2020 and January 2021 respectively. In this case, we would withdraw the latter deposit first as you have earned less interest on this deposit compared to the one you started in August 2020. This allows you to retain the maximum return when withdrawing the fixed deposit for payment.

We offer this unique feature because we are committed to user-centric banking and want to benefit our customers by maximising returns. If you haven't opened a fixed deposit on the Paytm Payments Banking platform (offered by our partner IndusInd Bank), you can start with a small amount of Rs. 100 and build wealth through savings. Follow the simple path below to open a fixed deposit with our partner IndusInd Bank:

Paytm Apps > Paytm Bank > Open a Fixed Deposit

If you have already opened a fixed deposit through the banking section of the Paytm app, don't hesitate to open multiple fixed deposit accounts.T&Cs apply.

Live a financially secure life with our next generation features!

Disclaimer: Fixed Deposits offered on the Paytm Payments Banking Platform on the Paytm app are offered in conjunction with partner banks.