PhonePe broadens its financial offerings by launching a digital fixed deposit distribution service and a new Daily RD micro-savings product, aiming to deepen customer engagement in savings and credit.
PhonePe has broadened its financial-services offering with the launch of fixed deposit distribution on its app and a new Daily RD product designed to encourage small, regular savings. The company said the fixed deposit service is being rolled out with partner banks and non-banking financial companies, allowing users to discover, compare, book and manage deposits digitally in one place.
The new deposit feature is intended to make a traditionally paperwork-heavy product easier to access on a smartphone. According to PhonePe’s terms for the service, customers can open, oversee and withdraw fixed deposits through the app, while deposits placed with partner banks are insured up to ₹5 lakh by the Deposit Insurance and Credit Guarantee Corporation, in line with Reserve Bank of India rules.
Alongside that, PhonePe has teamed up with Shivalik Small Finance Bank to launch Daily RD, which it describes as a digital micro-savings product. The plan starts at ₹100 a day and can rise to ₹1,000 a day, using UPI Autopay to automate contributions. PhonePe says users can withdraw funds after 7 days and can stop the mandate at any time, with no penalties during a 15-day grace period for missed payments.
The move fits a wider push by PhonePe into more of the consumer finance stack. The company has recently unveiled other products and partnerships, including a secured lending platform and a fixed deposit-backed credit card, while rivals such as JioFinance are also building digital fixed deposit marketplaces. That suggests India’s large payments platforms are increasingly trying to turn transaction users into long-term savings and credit customers.
Disclaimer: This article is intended to inform and educate, not to recommend or endorse any financial product, investment or strategy. Please consider your own financial circumstances and seek professional advice where appropriate before making financial decisions.
