• 25
  • NOV


What Is CSP For Banking In India And Paythrough’s Role In Making Digital Payments

Due to its vast size, India presents a major economic challenge to banks to be physically present in every nook and cranny of the country. But at the same time, these banks can’t leave a major chunk of the rural population unbanked, so digital banking has come as the natural solution to this problem.

RBI bank’s CSP program is one such endeavor. It encourages individuals and companies to open banking kiosks in far off places where regular banks are not available. Let’s see how this is impacting and shaping up the lives of people living in remote places.

What Is CSP?

CSP stands for customer service points. It is also known as Bank Mitra or Business Correspondent (BC). The idea was floated under the public-private partnership (PPP) model. Under this scheme, the CSP provider words as a representative or agent of a particular bank. It provides you with banking services like depositing and withdrawing money, applying for debit/credit cards, payment of utility bills, etc. It is essentially a mini-bank where you avail all the banking services without actually going to a bank. There are certain criteria for CSP registration and after you met that, you get authorized to conduct those transactions. CSP providers are mostly geared towards far-flung areas of the country where they provide financial services keeping in mind the particular needs of their community.

Who Can Become a Bank CSP Agent?

  • Any person, firm, or individual can become a CSP agent. 
  • NGOs under societies act can also become CSP agents.
  • Ex-servicemen
  • Ex-government officials
  • Former registered bank employees
  • Post offices
  • Kirana, pharmacy or fair price shops
  • Agents of small savings schemes and insurance companies
  • Microfinance institutes
  • Village knowledge centers
  • Panchayats
  • Self-help groups related to NBFCs

Individuals who are serving common service centers as BCs are not allowed by banks to become CSP agents.

Criteria for CSP Agent Registration

As we mentioned above there are certain conditions that you must meet to be a CSP service provider company in India. Let’s take a look at them below;

  • You must be at least 16 years of age and a permanent resident of the area where you intend to open your CSP.
  • You must have basic knowledge about computers.
  • You must have a laptop/computer and an internet connection.
  • The minimum qualification is 10th grade to open a CSP provider company.
  • Office space of 100 square feet with basic office accessories like printer, scanner, etc.
  • The applicant needs to have a valid ID, like Aadhar card, Election card, Driving license, Passport, etc.
  • The applicant can be asked to deposit some security deposit.
  • Two passport-size photographs, police verification records, and business addresses are also required.

How Much Do CSP Agents Earn?

As a CSP agent, you will be entitled to a fixed salary anywhere between INR2000-5000. Besides, you can earn a handsome CSP commission on all other services that you offer to your customers. Under the government’s scheme of Pradhan Mantri Jan Dhan Yojana, a bank CSP can get a loan of INR1.25 lakhs, including INR50,000 for automobiles, and INR 50,000 for tools and INR25,000 for working.

Role of Paythrough in making digital payments in rural areas as a CSP provider company in India:

Paythrough is a Fin-Tech company that provides banking services to the underbanked masses at their doorsteps. We are an approved and authorized agent under the Bharat Bill Payment System. We make use of the latest technology and promote the use of electronic payments.

With over 250 million households scatters across large swathes of land, India presents a unique opportunity and challenge to provide banking services to all its citizens. That is why the use of technology to provide branchless banking services is so beneficial for a country like India.


Paythrough is uniquely placed to exploit this opportunity and connect the unbanked masses of India with the mainstream banking sector of the country. We are already an established and trusted brand in the realm of digital payment solutions. We encourage everyone to apply for CSP agent registration and start earning handsomely as well as spreading the reach of banking services.

Paythrough has advanced technology at its disposal and it can reach masses in far-off rural areas to provide them with banking facilities. Our knowledge, experience, and expertise give us a competitive edge over our rivals, and while we continue to reach an untapped customers base.


You only need to have internet connectivity and a point of sale (POS) device to reach the masses in rural areas and start giving them mainstream financial services. You can verify the credentials of the customers digitally like biometric verification and other such methods. It requires minimal documentation to make the process easy and convenient for the masses.


Services Offered by A CSP Bank Agent:

As a CSP provider company, you offer a host of services to your customers. Some of the important services, especially for people hailing from rural areas can be;

  • Cash withdrawal and the deposit facility
  • Opening savings account under different schemes and policies of the government.
  • To process Kissan Credit Cards.
  • To process subsidy, transfer, and directs benefits transfer schemes to the farmers.
  • Offering general-purpose credit card and debit cards
  • To offer the facility of APES (Aadhar Enabled Payment System)
  • Payment of utility bills and other government dues
  • Mobile recharge, travel bookings, etc.
  • Balance inquiry
  • Micro insurance
  • Loan application and loan deposit
  • E-KYC registration
  • Encourage economic opportunity using self-help groups (SHGs). 

Besides these, you can provide to the rural customers the advantages of social security schemes, like PMSBY, PMJJY, and APY.

By becoming a CSP provider you provide many benefits to your rural customers. You bring a bank to your customers’ doorsteps and provide them with basic banking services in a hassle-free manner. It is also a safe, efficient, and convenient banking experience. You also earn handsomely and, in the process, develop close and friendly relations with the bank you are representing. It is the way forward for banking and that’s how banking will be conducted in new-age digital India. 

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