In view of the varied benefits that DBT (Direct Benefit Transfer) is channelizing to the Indian economy, NPCI the promoters of ABP (Aadhaar Payment Bridge) has decided not to collect any service fees from the Banks.
Please refer to NPCI Circular, for more details.
As readers are aware that, APB system was implemented to promote financial inclusion and thereby ensuring that customers receive benefits & subsidies of various state/central government schemes directly into their bank accounts using the Aadhaar numbers under the Direct Benefit Transfer (DBT).
Another source of incentive for the Banks on the DBT transactions is the 1% commission being paid to encourage banks to tie-up with BC’s (Business Correspondents) for withdrawals by account holders. This incentive is also a tool to reduce the transactions costs of banks in maintaining accounts of DBT beneficiaries.