Book a bank FD by using Google Pay in just 2 minutes

Chennai-based Equitas Small Finance Bank has come out with a two-minute fixed deposit booking via Google Pay after HDFC Bank has got huge success in its 10-second personal loan programme to its existing customers. The Equitas Small Finance Bank has already made booking FD as simple as making a UPI payment for daily needs without having to open a bank account with the bank. We will tell you more about how you can access the two-minute process to book a fixed deposit.

First, you need to open the Google Pay app on your mobile phone and go to the ‘Businesses and bills’ option to search for Equitas Bank to open a fixed deposit. This bank is a new category of a bank licenced by the Reserve Bank of India for achieving financial inclusion objectives. This is not like any full-scale bank such as SBI or HDFC Bank. This bank is a small bank that has permission to accept deposits.

At present, there is only one option of Equitas Small Finance under Google Pay to book a fixed deposit. You have to select an amount and tenure for the fixed deposit on the app. You can use your UPI-connected bank account to transfer the money. Now, Equitas is offering a fixed interest rate of 3.50 per cent for 14 days and 6.35 per cent for a year to 18 months.

As you may know that the interest rates of small finance banks and some new generation private banks are generally higher than the well-established banks. So, we advise you to take your deposits from well-established banks as new banks are in the process of building a sustainable business model. If you are taking a large loan then, small finance banks can be unsecured as compared to the well-diversified deposit process of well-established banks like SBI, HDFC, and ICICI Bank.