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The eligible promoters of Payment Banks are the existing non-bank Pre-paid Payment Instrument (PPI) issuers; and other entities such as individuals/professionals; Non-Banking Finance Companies (NBFCs), corporate Business Correspondents (BCs), mobile telephone companies, supermarket chains, companies, real sector cooperatives; that are owned and controlled by residents; and public sector entities may apply to set up payments banks. Some prominent examples of Payment Banks include Airtel Payments Bank, Paytm Payments Bank etc. Payment Banks can only issue ATM/ debit cards and they are not allowed to issue credit cards. Payment Banks can not undertake lending activities. This means they cannot deploy their funds in loans.
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