Airtel Payments Bank, the profitable banking subsidiary of Bharti Airtel has announced a partnership with Axis Bank, a leading private banking institution in India. Under this partnership, the companies aim to speed up the cash collection process from the customers and build operational efficiency. Airtel Payments Bank will help Axis Bank with the digitisation of last-mile cash collections.
There’s an extensive number of Airtel Payments Bank outlets spread across the nation. Axis Bank agents will utilise these outlets for collecting and depositing cash. This would help with speeding up the payment cycle and as per Airtel “help in releasing the bandwidth of field agents who operate across the country.”
The Axis Bank agents who have collected the money from the customers will no longer need to go back to the branch for depositing the collected EMI amount. They can just deposit it at the nearest Airtel Payments Bank outlet. The money will be immediately transferred to the Axis Bank.
Airtel Payments Bank Solving a Huge Problem for Axis Bank
This will enable Axis Bank in the faster collection of money without having the need to expand the retail infrastructure. Airtel Payments Bank already has invested in reaching multiple rural and semi-urban points in India and thus now Axis Bank can leverage that reach to process cash collections faster.
There are over 5,00,000 banking points of Airtel Payments Bank and Axis Bank customers will be able to make direct EMI deposits for loan payments at these points. So the customers will also end up saving a lot of time and effort which will lead to a satisfactory experience.
This is an exponential and scalable model of partnership that can reach the entire country in no time. It will be worth looking at whether Airtel Payments Bank is able to partner with other banks for a similar model or if this is an exclusive partnership with Axis Bank.