State Bank of India aims to eliminate debit cards; Yono cashpoints scaled up to facilitate cardless payments

SBI has set up 68,000 'Yono cashpoints' and is in the process of scaling it up massively to over 1 million in the next 18 months

Press Trust of India August 20, 2019 09:44:09 IST
State Bank of India aims to eliminate debit cards; Yono cashpoints scaled up to facilitate cardless payments
  • There are around 90 crore debit cards in the country as against 3 crore credit cards

  • SBI's Yono' platform as the key for achieving a debit card-less country, said chairman Rajnish Kumar

  • SBI has set up 68,000 'Yono cashpoints' and is in the process of scaling it up massively to over 1 million in the next 18 months

Mumbai: If the largest lender SBI has its way, it may herald the beginning of the end of the ubiquitous debit cards from the banking system as the bank plans to promote more digital payment solutions and eliminate the plastic cards. This is despite the huge reliance on debit cards by customers of SBI which services a fifth of the population.

"...it is our wish to eliminate the debit cards, and am sure we can eliminate them," chairman Rajnish Kumar said, speaking at the annual Fibac here Monday.

State Bank of India aims to eliminate debit cards Yono cashpoints scaled up to facilitate cardless payments

File photo of SBI chairman Rajnish Kumar. News18

He said there are around 90 crore debit cards in the country as against 3 crore credit cards, and pointed out to digital solutions like its own 'Yono' platform as the key for achieving a debit card-less country.

Kumar said through the Yono platform, one can withdraw cash at the automated teller machines or pay for purchases at a merchant establishment without having a card at all.

He said the bank has already set up 68,000 'Yono cashpoints' and is in the process of scaling it up massively to over 1 million in the next 18 months, which will make the necessity to have a card even less. Additionally, the Yono platform can also give credit for buying certain merchandise, making the credit card in the pocket also as a "stand-by", Kumar said.

In the next five years, there will be a limited need to have any plastic cards in your pocket, Kumar said, pointing out that virtual coupons is the future.

He said at present, the QR code is also a very inexpensive way of ensuring payments.

Updated Date:

also read

Why role of institutional backing and credit in empowering women-owned enterprises is important
India

Why role of institutional backing and credit in empowering women-owned enterprises is important

Women entrepreneurs belonging to low-income groups find it difficult to repay the loans even if they have low interest rates, due lack of awareness, guidance or gender-specific solutions

Sensex rallies over 500 points to reclaim 60,200 level after RBI policy outcome; Nifty up 149 points
Business

Sensex rallies over 500 points to reclaim 60,200 level after RBI policy outcome; Nifty up 149 points

Tata Steel was the top gainer in the Sensex pack, rising over 2 percent, followed by Infosys, TCS, Reliance Industries, HCL Tech and Bajaj Auto

Banks to remain closed for 9 days starting tomorrow; check full list of October bank holidays here
India

Banks to remain closed for 9 days starting tomorrow; check full list of October bank holidays here

As mentioned above, some of the holidays will be marked in specific areas or cities only. Hence, these leaves are not uniform. Customers are advised to plan their visits to the bank accordingly.