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Wednesday, September 9, 2020

Public sector banks' doorstep banking services launched: 5 points

Finance Minister Nirmala Sitharaman on Wednesday launched doorstep banking services for public sector banks in order to facilitate hassle-free and convenient banking.

"At this stage, the catalysts for economic revival, the catalysts who have the pulse of every one of their customers, are banks," the finance minister said.

She was speaking after launching PSB Alliance-Doorstep Banking Services. "Banks need to introspect on their core businesses," she added.

Sitharaman said,"The rapid pace with which India has adopted Jan Dhan, Aadhar and mobile can be a lesson to other countries."

Here are the highlights of doorstep banking:

  • Sitharaman also added that banks must reach out to those areas where banking has not reached yet.
  • She said all bank staffers should know the details of government schemes which are to be implemented through the lenders.
  • While doorstep banking was prescribed by Reserve Bank of India a few years ago, the public sector lenders had earlier come together to appoint a common service provider to handle this for all their customers.
  • Initially, the doorstep banking facility were decided to be available to senior citizens and the disabled, who found it difficult to visit branches.
  • Now, amid the pandemic, senior citizens aged 70 or more and differently-abled can avail doorstep banking all over India despite the lockdown, RBI notified earlier. According to guidelines from the central bank, banks should offer picking of cash and instruments and dropping of demand drafts.

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