811: The zerobalance savings account on offer
MUMBAI: Kotak Mahindra Bank Ltd has launched 811, which its vice-chairman and managing director Uday Kotak hopes will help the bank double its customer base— currently at 8 million.
WHAT IS 811?
811 is a zero-balance savings account which you can open with an app on your Android phone. The bank plans to launch the iOS version in a couple of days. The company has launched two versions — 811 and 811 Edge. According to the bank’s website, 811 is in fact a rebadging of the erstwhile Jifi Neo and Jifi Saver. “Those accounts were only online. Now you can do it on your mobile phone on an app. It also has additional features such as fund transfer, money managements, UPI (unified payments interface) and you can also shop,” said Deepak Sharma, chief digital officer, Kotak Mahindra Bank.
WHAT IS IT ABOUT?
You will earn 5% interest on a savings account balance up to ₹1 lakh, 6% on account balance over ₹1 lakh and up to ₹5 crore and 5.5% interest on account balance above ₹5 crore. You can open the account using Aadhaar and PAN. It is UPIenabled. You can transfer funds, shop online, book travel tickets and movie tickets, among other things. You get a Visa virtual card.
ACCOUNT OPENING
Currently it works only on Android phones. When you install the app it will access your identity, contacts, location, SMS, phone calls, camera, photos and device ID. You need to provide details such as name and mobile number. Next, you have to enter your Aadhaar number and a onetime password (OTP) that will either be sent to your email ID or mobile number. You will also need to enter your PAN details. You also need to mention your annual income, occupation and marital status.
WHAT YOU MUST KNOW
The account that you open with Aadhaar and OTP on the app is a limited KYC (know your customer) bank account. To convert it to a full KYC account, you still need to go through in-person verification. Hence, you need to book an appointment or visit the branch within one year of opening the account, else the account will be invalid.
You can transfer money to the 811 account only from an existing bank account. The fund transfer will happen within two working days. The maximum amount you can keep in this account at any given point of time is ₹1 lakh if you have limited KYC. If you need a physical debit card, you will have to pay ₹299. Also, if you are an existing Kotak Mahindra Bank customer, you cannot open an 811 account as of now.