RBI is apex body of the banks in India and granted licenses to all types of banks to commence the operations. In 2015 RBI granted licenses to differentiated banks that consist of small finance banks and Payments banks. They are banking institutions that are providing specific services and products. These banks are special banks, or “banks of payments.” The aim of Payments Banks is to promote financial inclusion to serve small companies and low-income populations. So that every Indian citizen will have access to a global bank account to reach the nation’s unbanked populace, who reside in remote areas and villages. Objectives of this study is to study the conceptual frame work, product, services offering by Payments banks in India and financial performance of the banks.