According to various surveys including OECD Surveys, only 27 per cent of India’s population is financially literate. Additionally, only 16.7 per cent of Indian students have a basic understanding of finance and money management. The level of financial literacy varies by state, with Arunachal Pradesh having the highest rate at 57.1% and Puducherry having the…
The RBI while considering applications for opening branches gives weightage to the nature and scope of banking facilities provided by banks to common persons, particularly in underbanked areas (districts), actual credit flow to the priority sector, pricing of products, and overall efforts for promoting financial inclusion, including the introduction of appropriate new products and the…
RSETIs stand for Rural Self Employment Training Institutes. RSETIs are promoted and managed by banks with active cooperation from state governments. RSETI concept is based on RUDSETI (Rural Development and Self Employment Training Institute), a society established in the year 1982 jointly by three agencies i.e. Syndicate Bank (now merged with Canara Bank), Canara Bank…
The term ‘remittance’ is derived from ‘remit’, meaning ‘to send back’. While both bank transfer and remittance methods involve the transfer of money, remittance focuses on cross-border transactions dedicated to familial support. For instance, if a migrant or foreign worker sends money back home, the fund transfer is a remittance. So, “remittance” refers more broadly…
Amid the growing demand for the rollback of the Old Pension Scheme, the Union Cabinet, on Saturday approved the Unified Pension Scheme (UPS) for central government employees which is expected to impact 23 lakh employees, aimed at providing financial security and stability for government workers post-retirement. The scheme will come into effect on April 1,…
Service charges are intended to cover the cost of services provided by the bank. As per RBI guidelines, for basic charges rendered to individuals, banks will levy charges ad valorem subject to a cap. RBI working group recommended service charges shall be fixed on a principle that fixing lower rates for individuals as compared to…
Many commercial Banks more particularly all public sector banks deal with various Government business products and services. They cater the services for departmentalized Ministerial Accounts of Central Government, and State Governments including Online Tax collection, State government tax collection, Sub-Treasury Transactions of the State Governments, E-Stamping of State Government Stamp Duty collections, National Pension Scheme,…
The Mahila Samman Savings Certificate Scheme was launched by the Department of Economic Affairs, Ministry of Finance to provide financial security to every girl and woman in India. The Department of Economic Affairs, Ministry of Finance, through an e-gazette notification issued on June 27, 2023, permitted all Public Sector Banks and eligible Private Sector Banks…
Electronic Benefits Transfer (EBT) is a system that allows eligible citizens to receive benefits from programs like the Supplemental Nutrition Assistance Program (SNAP) and Cash Assistance. EBT cards function similarly to debit cards, with recipients receiving an allotted amount each month based on their household size and income. The beneficiary recipients can make purchases from…
Mail transfer and telegraphic transfer (TT) are used to send money to accounts of the customers of the same bank from one place to another. Though increasingly convenient earlier; mail transfers and Telegraphic transfers are slowly getting outdated because of their slow processing periods. Now, customers have instant banking solutions like anywhere banking (AWB) of…
