In an attempt to make the most basic of banking transactions accessible to millions across India, popular mobile service provider in India, Vodafone joined hands with private lender, HDFC Bank and launched m-paisa in Rajasthan, reports IBN Live. 'm-paisa', a mobile banking service will allow unbanked users in India to avail financial services without having to walk it out to a bank, which in this case isn't a common sight. It isn't unknown for a fact that mobile penetration in the villages in India is quite good, and m-Paisa will benefit from this very aspect.
Doing more with a mobile (Image credit: Getty Images)
m-paisa has been kicked off at Rajasthan and it is here that over 2,200 retailers across 320 villages and 54 towns are operational in opening HDFC Bank mobile bank accounts with Vodafone m-paisa, which makes for an impressive number. According to a statement provided by Rahul Bhagat, country head, retail liabilities, marketing and direct banking channels, HDFC Bank, “There are 6,00,000 habitations but only about 89,000 bank branches in the country, making access to banking services difficult in remote areas. We feel that Vodafone's significant distribution reach will provide customers the security of financial transaction offered by bank.“
In order to avail the services of m-paisa, customers will have to complete a KYC (know your customer) form and submit it to a Vodafone authorized retail outlet and then start availing service on fulfilment of the bank's formalities by dialing *135#. The mobile banking service, which is currently in only in English will soon be released in all Indian languages, over the course of its adoption. The service, itself will slowly reach other villages, across the country, by March or April, next year.