Those having post office savings account will soon have the option of availing digital banking services by May-end. When implemented it would mean post office account holders can make transfers to their respective bank accounts. They will be able to use NEFT, RTGS and other money transfer services .
Currently there are 34 crore savings account in post offices across the country. The government has approved linking of these accounts with India Post Payments Bank (IPPB). India Post has proposed 650 IPPB branches, which will be connected to smaller post offices in the districts.
Of the 34 crore accounts,17 crore are post office savings bank account and the remaining include subscribed monthly income scheme, recurring deposits etc. India Post plans to link all 1.55 lakh post office branches with the IPPB.
Though core banking services have been started by India Post, but money can be transferred only within the post office savings bank (POSB) accounts.
With 1.55 lakh branches, India Post will be able to create country’s largest banking network.
Post office account holders may also have the option of paying for post office products from their IPPB accounts including deposit money for Sukanya Samridhi Yojana, recurring deposits, speed post, etc, by the end of the year.