PhonePe Launches Daily RDs & Multi-Bank FDs
By ThePip Desk
PhonePe enhances financial services with daily recurring deposits from Rs 100 and a new multi-bank fixed deposit option, boosting accessibility for all users.
PhonePe has launched new features, introducing daily recurring deposits (RDs) starting from Rs 100 and integrating fixed deposit (FD) investment options. This expansion aims to broaden financial access for a diverse user base, including Gen Z and underbanked populations.
The new daily RD service operates through UPI AutoPay in collaboration with Shivalik Small Finance Bank. Users can invest between Rs 100 and Rs 1,000 daily, making small-ticket savings more accessible.
Additionally, the PhonePe application now allows users to compare and instantly book FDs with multiple partner banks and NBFCs. All deposits are insured up to Rs 5 lakh under the DICGC scheme, offering investor security. The platform centralizes the management of these deposits.
Streamlined Investment Process
To invest, users navigate to the ‘Mutual Funds & Deposit’ section, select a partner, and specify the tenure, which ranges from 7 days to 10 years. The process includes instantaneous digital identity verification using PAN and Aadhaar, adding nominee details, and completing payment via PhonePe UPI or netbanking. Daily RDs require an authorized UPI Autopay mandate.
The platform offers flexibility, allowing funds to be withdrawn from both FDs and Daily RDs at any time. Shivalik Small Finance Bank provides an 8.00% interest rate for general citizens on RDs with a 24 to 27-month tenure, increasing to 8.50% for senior citizens. A recurring deposit is defined as a savings scheme where individuals make regular small contributions over time.
These integrations streamline investment management and broaden financial product access directly within the PhonePe ecosystem.