Start a mini bank point in your area

People search for a "CSP provider" when they want one thing: a counter in their own area where neighbours can take cash out of their bank account, check a balance and pay bills, without travelling to a branch. There are two ways to run such a counter. You can be appointed as a Customer Service Point (CSP) by one bank, or you can take a retailer ID on a platform such as Payonclick and serve customers of any bank from day one. This guide explains the Payonclick route in full.

What "CSP provider" usually means

A bank CSP, also called a Business Correspondent (BC) agent point, works on behalf of one bank. The bank, or a BC company it has appointed, signs the agreement with you, and the bank stays responsible for its customers' KYC. Some bank CSPs can open basic accounts and accept cash deposits for that bank. The routes to become one are the bank's own branch, the BC company the bank works with, or the Common Service Centre (CSC) scheme through csc.gov.in. Our Hindi guide on bank CSP versus a fintech retailer ID covers that route and the fee scams around it.

A Payonclick banking point works across banks. Instead of tying your counter to one bank, it gives your shop services that work for everyone who walks in: cash withdrawal for customers of any bank by Aadhaar, debit card or UPI, cash deposit into accounts at State Bank of India, IDFC FIRST Bank, Bank of Baroda and Union Bank of India through our free money transfer, Bharat Connect bill payments and recharges. For the person at your counter, the result is the one they came for: cash in hand, money in their account, a paid bill, a working phone.

What your shop can offer customers of any bank

Having three ways to withdraw cash matters in a real area. An older customer with no debit card uses AEPS. A customer whose fingerprint does not read well can use a debit card at the Micro ATM. A young customer with a smartphone uses UPI. Our comparison of AEPS, Micro ATM and UPI cash withdrawal shows which one to start with.

Good to know before you serve customers

A few practical points help you set the right expectations at the counter:

• Cash deposit is a money transfer. The deposit reaches the customer's account at SBI, IDFC FIRST Bank, Bank of Baroda or Union Bank of India within that bank's service hours, so tell the customer it is not instant. The app shows the current bank list and timings, and the customer's mobile number is verified by OTP the first time.
• New accounts are opened by the bank. A customer who needs a brand-new account can open it at the bank's branch, then use your counter for everything after that.
• Show your own brand. Put up a board for your Payonclick banking point and the services you offer, rather than a bank's name or logo.
• Banks set their own limits. Each customer's bank can apply its own limits on withdrawals.

Bank CSP or Payonclick banking point: side by side

Who can start and what you need

Any shop owner or individual in India with a fixed counter can apply, directly or through a Payonclick distributor. Approval depends on your KYC. You will need:

• Your own Aadhaar and PAN, with the same spelling of your name on both and on your bank account
• Your bank account number, IFSC and account holder name, for settlement
• An Android phone with the Payonclick app and location switched on
• For AEPS, a certified L1 fingerprint or iris RD device from the models the app supports, listed in our AEPS retailer ID guide
• For card withdrawals, a Bluetooth Micro ATM device from PAX, MoreFun or NewLand
• Enough cash in your drawer for the withdrawals you expect in a day

GST registration is not needed for AEPS merchant onboarding.

How to start your banking point

Choosing the right spot in your area

A banking point does best where people need cash and have few ways to get it. Before you start, look around your area:

• Distance to the nearest branch or ATM. The further away it is, the more your counter saves your customers in travel and time.
• Who lives nearby. Pension and scheme beneficiaries often use AEPS; daily workers and traders use UPI; salaried people carry debit cards.
• Market days and paydays. Withdrawals rise on these days, so plan your cash and settlement ahead.
• A fixed, visible counter. Banks monitor where AEPS transactions happen, so work from the shop address you registered.
• Clear signage. Show which services you offer and your hours, and that the customer's own bank approves each withdrawal.

Once your counter is running, you can bring other shops in your area onto Payonclick as a distributor. See how to become a distributor.

Stay safe from "CSP allotment" offers

Agents who ask for a large "CSP allotment fee", show a bank letter you cannot verify, or claim a CSP is "approved by RBI" are a common fraud. RBI does not appoint individual CSPs; banks do. Check any such offer at the bank's own branch before you pay anything. On your Payonclick counter, never let anyone else transact on your ID or use your fingerprint, and never share your OTP, TPIN or password. Our fraud safety guide for retailers lists the tricks to watch for.