Airtel Payments Bank on Wednesday said it has partnered with Axis Bank to digitise the cash collection system in small cities and semi-urban regions.
Airtel Payments Bank would leverage the wide reach of its digital-led neighbourhood banking model to support Axis Bank with the digitisation of last-mile cash collections, according to a statement.
"Airtel Payments Bank partners with Axis Bank to digitise last mile cash collection," the statement said.
Axis Bank and its customers would benefit through operational efficiencies in the cash management process. This would also accelerate the payment cycle and help in free up the bandwidth of field agents who operate across the country.
These agents will no longer have to travel back to the branch to deposit the collected EMI amount. They can easily deposit the amount at any Airtel Payments Bank outlet in the neighbourhood, and it will be immediately transferred to the Axis Bank accounts.
The process would mitigate the risk of carrying cash collections by agents during long-distance travel. The process will help avoid any delay, as Airtel Payments Bank outlets operate much beyond the traditional banking hours and over the weekends as well.
"Soon, Axis Bank customers will be able to make direct EMI deposits for loan payments at the 5,00,000 banking points of Airtel Payments Bank," the statement said.
This means, customers would save on time and travel by accessing the option to pay their EMI at the nearest Airtel Payments Bank outlet.
Gaurav Seth, Chief Finance Officer and Head Institutional Business, Airtel Payments Bank said, "Our collection management services reduce the challenges of managing physical cash and also mitigates the risk of cash in transit by digitising the entire chain. This brings in huge operational efficiencies for our partner as well as their customers.”