Google Pay to Offer Time Deposits to Indian Users Via Lender

A general store advertises the use of the Google Pay digital payment system in Mumbai, India. (Photographer: Dhiraj Singh/Bloomberg)

Google Pay to Offer Time Deposits to Indian Users Via Lender

Alphabet Inc.’s Google has tied up with an Indian small lender to offer time deposits to users of its payments wallet, extending its presence in the nation’s lucrative digital banking space.

Users of Google Pay will now be able to open a time deposit with Equitas Small Finance Bank Ltd. in just two minutes, a first in the industry, the lender said in a statement on Wednesday. Rates will be as high as 6.35% for a one-year deposit, the bank said.

Google’s latest tie-up follows recent announcements in the financial services space by technology firms, including Facebook Inc., Amazon.com Inc. and Xiaomi Corp., that are eyeing the country’s thriving and crowded digital banking industry with more than 300 online lending startups.

This will improve “financial inclusion by encouraging a savings culture, at the same time making the fixed deposit booking process simple and easy,” said Murali Vaidyanathan, country head at Equitas SFB, in the statement.

©2021 Bloomberg L.P.

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