India Post Payments Bank has tied up with Financial Software and Systems (FSS), a leading payments technology and transaction processing systems, to offer a wide range of banking solutions to financially underserved customer segments—especially rural households, small and medium enterprises and women.
FSS’ Payments-in-a-Box solution will help India Post provide affordable, quality banking and payment services to its customers. It comprises of a comprehensive set of solutions to bring customers and merchants into the digital payments mainstream, generating critical network effects for furthering adoption and usage.
The payments bank, latest to enter the market, can leverage its extensive postal delivery network comprising 1,50,000 access points to tap this massive potential and grow its market share.
Suresh Sethi, MD & CEO, India Post Payments Bank stated, “The aim of India Post Payments Bank is to build the most accessible, affordable and trusted bank for the common man and to spearheadfinancial inclusion by removing the barriers for the unbanked and underbanked population. FSS’ technology solutions are powering us towards achieving our objective to build a less cash ecosystem by enabling last mile digital payment services.”
India represents one of the largest market opportunities for payments, totalling $1 trillion by 2023. The ongoing technology revolution combined with enabling regulatory policy framework and the Indian government’s strong push to digitalise the economy, is fast transforming the country’s payments landscape.
Currently, 800 million Indians have bank accounts, creating a ready market of consumers eager to partake new products and services.
Payments-in-a-Box includes omni-channel payment acceptance, transaction processing and smart reconciliation capabilities to manage the customer and merchant relationships across all transacting channels and through the payment lifecycle, according to a release. Additionally, FSS assumes a single mantle of responsibility for complete back-office operations, enabling the bank to maintain operational efficiencies and optimise costs.
Nagaraj Mylandla, Chairman and Managing Director, FSS stated, “As a technology company, FSS has a 27-year demonstrable track record of innovation and successful delivery of large-scale payment projects for central regulators and leading banks globally. We are extremely committed to this prestigious nation building exercise with IPPB that will connect Bharat through digital payments.”
The India Post Payments Bank is enrolling billers and merchant’s country-wide to create a wide acceptance network where consumers can make payments.
Using FSS Omni-channel acquiring solutions, the bank is enabling micro-merchants to accept payments over any channel—online, UPI, QR Codes, Aadhaar and IPPB accounts.
At the backend, FSS Merchant Management and Merchant Settlement Solutions streamline all aspects of merchant management including on-boarding fee calculation, reconciliation and settlement.
Other solutions include FSS ACS, FSS Payment Processing and Switching and FSS Smart Recon. FSS ACS (3D Secure) fosters trust in online transactions by authenticating customer identity and delivering a smooth transaction experience. FSS Payment Processing and Switching (FSS IMPS Gateway and Financial Switch) provide routing, authentication and authorisation services for all payment transactions. FSS Smart Reconciliation Solutions (FSS Smart Recon) supports reconciliation-related activities for various interbank transaction channels, i.e., Micro-ATM, POS, IMPS, APBS, NACH, UPI and mobile banking.