PhonePe to allow users in investing in ‘liquid funds’

In a partnership with Aditya Birla Sun Life Mutual Funds, Phonepay has announced that it will let users in investing in ‘liquid funds’ so that the customers will be enabled to earn yields on savings lying idle in their wallet accounts. The all-digital product will help users grow their savings by earning higher short-term FD-like returns with the ease and liquidity of a Savings Account, the company said in a press note.

“There are a lot of customers across the country who have idle money in the tune of Rs.5000 to Rs.15000 lying in their accounts. We want these customers an option to invest digitally in a risk-free mutual fund offering.” said Hemant Gala, Head Payments, Banking & Financial Services at PhonePe.

The product which will be integrated into PhonePe’s mobile application will need customers to authenticate themselves through a KYC process before they can start investing. The minimum limit has been set at Rs.500. This will allow customers to track their savings grow in real-time.