RURAL BANKING SERVICES

OVERVIEW

AGRI AND RURAL SERVICES

FINANCIAL INCLUSION SERVICES

APPLICATIONS FOR RURAL BANKING SERVICES

CASE STUDIES

FINANCIAL INCLUSION SERVICES

The objective of Financial Inclusion is to extend financial services to the large hitherto unserved population of India to unlock its growth potential. In addition, it strives towards more inclusive growth by making finance available to the poor.

Some of the major initiatives aimed at financial inclusion are:

  • Introduction of basic savings account scheme with nil or very low minimum balance.
  • A simplified general-purpose credit card (GCC) without insisting on collateral or purpose.
  • Launching self-help scheme.
  • Simplified Know your Customer scheme (KYC).
  • Relaxation in branch licensing policy.
  • Introduction of Pradhan Mantri Jan Dhan Yojana (PMJDY), Pradhan Mantri Suraksha Bhima Yojana (PMSBY), Pradhan Mantri Jeevan Jyothi Bhima Yojana (PMJJBY).

Consumer Finance Fulfillment Service

Centillion has developed a strong process-driven Consumer Finance Fulfillment System to help financial institutions go to market faster with a comprehensive loan plan for consumer durables, two and four wheelers, cars, commercial vehicles and other such products. Centillion’s Consumer Finance Fulfillment Services workflow has been designed to improve the quality and Turn-Around-Time of sourcing and disbursement of Consumer Finance loans. This image-based workflow is suited for all banks and NBFCs, can enhance customer delight in terms of quicker disbursement and product delivery, and ensure a high level of confidence for First Time Right (FTR) delivery.

RURAL BANKING SERVICES

OVERVIEW

AGRI AND RURAL SERVICES

FINANCIAL INCLUSION SERVICES

APPLICATIONS FOR RURAL BANKING SERVICES

CASE STUDIES

FINANCIAL INCLUSION SERVICES

The objective of Financial Inclusion is to extend financial services to the large hitherto unserved population of India to unlock its growth potential. In addition, it strives towards more inclusive growth by making finance available to the poor.

Some of the major initiatives aimed at financial inclusion are:

  • Introduction of basic savings account scheme with nil or very low minimum balance.
  • A simplified general-purpose credit card (GCC) without insisting on collateral or purpose.
  • Launching self-help scheme.
  • Simplified Know your Customer scheme (KYC).
  • Relaxation in branch licensing policy.
  • Introduction of Pradhan Mantri Jan Dhan Yojana (PMJDY), Pradhan Mantri Suraksha Bhima Yojana (PMSBY), Pradhan Mantri Jeevan Jyothi Bhima Yojana (PMJJBY).

Consumer Finance Fulfillment Service

Centillion has developed a strong process-driven Consumer Finance Fulfillment System to help financial institutions go to market faster with a comprehensive loan plan for consumer durables, two and four wheelers, cars, commercial vehicles and other such products. Centillion’s Consumer Finance Fulfillment Services workflow has been designed to improve the quality and Turn-Around-Time of sourcing and disbursement of Consumer Finance loans. This image-based workflow is suited for all banks and NBFCs, can enhance customer delight in terms of quicker disbursement and product delivery, and ensure a high level of confidence for First Time Right (FTR) delivery.

SLI

SLI Sustainable Livelihood Initiative (for JLG-SHG loans)

Centillion as a Business Correspondent in the SLI related activities establishes a small office at all locations across India for disbursement of Loans and collection of EMIs to/from the customer groups at the SLI Branches. Staff recruited to manage these branches are trained to operate the MATM, disburse and collect cash, maintain all necessary registers and prepare the MIS.

The Services involve the following activities:

  • Disbursement of Cash representing the Loan proceeds to various customer groups such as SHGs and JLGs.
  • Acceptance of deposits by way of EMIs from various customer groups (SHGs and JLGs).
  • Sourcing, cross-selling of Asset, Liability and Third-party products.
BC Managed Banking Outlet

BC Managed Banking Outlet

Centillion as a Business Correspondent can set-up BC service points and manage the BC operations across all states in India. This involves the setting up of the BC service point and deploying trained manpower to manage these points.

The activities in the BC points involve:

  • The sourcing of all Asset products.
  • Sourcing and fulfillment of housing loans, gold loans, tractor and two-wheeler loans and various agri and allied product loans.
  • Cash transactions, Cash Management and Daily Reconciliation of the cash at each point.
  • BO will report into the nearest bank branch for all the activity.
PMJDY

BC Service Point

As per the 2011 Census, even though nearly 70% of Indians live in rural areas, only 37% of total banking branches are located in rural areas. Only about 300 million of the potential 858 million adult individuals in India have been included in the financial ecosystem, which means for over 550 million ‘Financial Inclusion’ is still waiting to happen. This, and the sheer size of the rural business opportunity that lies untapped today (rural savings in India is 44% of overall savings) are the key drivers for banks to setup banking services in rural areas. However, a major barrier for financial institutions to establish their branch network for banking is the cost of providing banking services, which includes infrastructure setup cost, manpower, and communication costs, among others. The gestation period is quite prolonged, which delays the profitability of rural branches when compared to urban branches. To help banks overcome such challenges, RBI’s policy of allowing banks to utilize business correspondents to offer the bank’s services in unbanked areas is a considerably attractive option.

This is where Centillion can offer its expertise and experience. As Business Correspondent, Centillion can partner with leading financial organizations to offer their expertise in setting-up basic banking infrastructure through its Business Correspondent Service Points (BCSPs) in several states of the country in a short span.

Key Advantages:

  • Basic Infrastructure set-up for cash transactions.
  • Manpower deployment and training.
  • Cash management for daily transactions.
  • Selling and marketing of the bank’s assets and liabilities products.
  • Regular MIS and reporting.

BC Service Workflow

BCSP Workflow

Service Point

PMJDY Point

Pradhan Mantri Jan-Dhan Yojana (PMJDY), the National Mission for Financial Inclusion ensures access to financial services, namely, Banking/ Savings & Deposit Accounts, Remittance, Credit, Insurance and Pension in an affordable manner. PMJDY focuses on coverage of households of rural as well as urban areas. Centillion sets up PMJDY BC points that

  • Source for accounts enrolment and all types for Asset and Liability products.
  • Collecting applications and necessary documents for products across the segments.
  • Customer servicing of accounts by way of cash disbursements and collections.

Mobile Point

The Mobile points help the farmers who live in remote villages and do not have access to a bank or even a BC point. The Mobile points are mapped under a Business correspondence (BC) point and each mobile point will have at least 5 to 6 villages to be covered under them. Mobile points are wireless devices that performs the functions of a cash register (Withdrawal and disbursement). Centillion Executives travel to these remote villages to service the customers of the Bank (disburse or collect cash to and from the farmers).

Sustainable Livelihood Initiative
SLI

SLI Sustainable Livelihood Initiative (for JLG-SHG loans)

Centillion as a Business Correspondent in the SLI related activities establishes a small office at all locations across India for disbursement of Loans and collection of EMIs to/from the customer groups at the SLI Branches. Staff recruited to manage these branches are trained to operate the MATM, disburse and collect cash, maintain all necessary registers and prepare the MIS.

The Services involve the following activities:

  • Disbursement of Cash representing the Loan proceeds to various customer groups such as SHGs and JLGs.
  • Acceptance of deposits by way of EMIs from various customer groups (SHGs and JLGs).
  • Sourcing, cross-selling of Asset, Liability and Third-party products.
BC Managed Banking Outlet
BC Managed Banking Outlet

BC Managed Banking Outlet

Centillion as a Business Correspondent can set-up BC service points and manage the BC operations across all states in India. This involves the setting up of the BC service point and deploying trained manpower to manage these points.

The activities in the BC points involve:

  • The sourcing of all Asset products.
  • Sourcing and fulfillment of housing loans, gold loans, tractor and two-wheeler loans and various agri and allied product loans.
  • Cash transactions, Cash Management and Daily Reconciliation of the cash at each point.
  • BO will report into the nearest bank branch for all the activity.
BC Service Point
PMJDY

BC Service Point

As per the 2011 Census, even though nearly 70% of Indians live in rural areas, only 37% of total banking branches are located in rural areas. Only about 300 million of the potential 858 million adult individuals in India have been included in the financial ecosystem, which means for over 550 million ‘Financial Inclusion’ is still waiting to happen. This, and the sheer size of the rural business opportunity that lies untapped today (rural savings in India is 44% of overall savings) are the key drivers for banks to setup banking services in rural areas. However, a major barrier for financial institutions to establish their branch network for banking is the cost of providing banking services, which includes infrastructure setup cost, manpower, and communication costs, among others. The gestation period is quite prolonged, which delays the profitability of rural branches when compared to urban branches. To help banks overcome such challenges, RBI’s policy of allowing banks to utilize business correspondents to offer the bank’s services in unbanked areas is a considerably attractive option.

This is where Centillion can offer its expertise and experience. As Business Correspondent, Centillion can partner with leading financial organizations to offer their expertise in setting-up basic banking infrastructure through its Business Correspondent Service Points (BCSPs) in several states of the country in a short span.

Key Advantages:

  • Basic Infrastructure set-up for cash transactions.
  • Manpower deployment and training.
  • Cash management for daily transactions.
  • Selling and marketing of the bank’s assets and liabilities products.
  • Regular MIS and reporting.

BC Service Workflow

BCSP Workflow

PMJDY & Mobile Point
Service Point

PMJDY Point

Pradhan Mantri Jan-Dhan Yojana (PMJDY), the National Mission for Financial Inclusion ensures access to financial services, namely, Banking/ Savings & Deposit Accounts, Remittance, Credit, Insurance and Pension in an affordable manner. PMJDY focuses on coverage of households of rural as well as urban areas. Centillion sets up PMJDY BC points that

  • Source for accounts enrolment and all types for Asset and Liability products.
  • Collecting applications and necessary documents for products across the segments.
  • Customer servicing of accounts by way of cash disbursements and collections.

Mobile Point

The Mobile points help the farmers who live in remote villages and do not have access to a bank or even a BC point. The Mobile points are mapped under a Business correspondence (BC) point and each mobile point will have at least 5 to 6 villages to be covered under them. Mobile points are wireless devices that performs the functions of a cash register (Withdrawal and disbursement). Centillion Executives travel to these remote villages to service the customers of the Bank (disburse or collect cash to and from the farmers).