Financial Inclusion aims to extend hassle free savings and loan facilities and other banking services at an affordable cost to the underprivileged and unbanked population of the country. Financial Inclusion is delivery of banking services at an affordable cost to a vast section of the disadvantage and low income groups. As the banking services are in nature of Public good, it is essential that availability of banking and payment services to the entire population without discrimination becomes one of the foremost developmental objectives of our country.

The Foundation of an empowered nation.

AISECT in Financial Inclusion

The Vision Of Innovation and Inclusivity

Keeping in mind the urgent need for Financial Inclusion in the country and the fact that AISECT works with a model providing more and more synergistic services through the AISECT Multi purpose ICT enable centers in rural areas , Financial Inclusion services were added to the bouquet of offerings provided by AISECT in the year 2009 in association with SBI, with the following objectives:

• To provide comprehensive financial services to the underprivileged encompassing savings, credit and other financial services in a cost effective manner particularly in untapped /unbanked areas.
• Ensuring greater Financial Inclusion and increasing the outreach of the bank combined with the need to substantially increase the market share in the rural and semi urban areas.
• Ensuring greater Financial Inclusion and increasing the outreach of the bank combined with the need to substantially increase the market share in the rural and semi urban areas.

In the year 2009, AISECT Joined hands with State Bank of India(SBI) to provide banking services in the under banked and unbanked areas of Madhya Pradesh, Chhattisgarh, Punjab and other states. The performance of AISECT in the field of Financial Inclusion was widely acknowledged and appreciated and AISECT soon became National Business Correspondent of Madhyanchal Gramin Bank for the state of Madhya Pradesh & Punjab Gramin Bank for the state of Punjab. Recently, AISECT has been appointed National Business Correspondent for Bank of Baroda and has commenced its Financial Inclusion operations all over India.

A BUSINESS CORRESPONDENT/CUSTOMER SERVICE POINT IS EMPOWERED TO PROVIDE THE FOLLOWING SERVICES :

• Customer enrollment, including collection of biometric and other details.
• Provide card(ID card, Debit Card, Credit Card), PIN to customers.
• Deposit of money in an account/Withdrawal of money from an account.
• Remittances from an account with a bank to an account with the same or any other bank.
• Balance Enquiry and issuing of Receipts/Statement of Accounts.
• Disbursal of credit facilities to borrowers involving small amounts, strictly as per the instructions of the bank.
• Collection and Prima facie scrutiny of loan applications including verification of primary data.
• Facilitating the repayment of dues owed to the bank by its customers/guarantors

KIOSK Banking Enablers:

Technology plays a critical role in enabling a business correspondent to perform its tasks efficiently. Some of the popular technology models being deployed for banking include:

• Internet based kiosk banking solutions.
• GPRS/Web enabled micro-ATM devices.

Equipment Requirement

• Computer
• Printer
• Web Camera
• Biometric Fingerprint Scanner(as approved by Bank)
• Biometric Fingerprint Scanner(as approved by Bank)
• Pin Pad Device
• Commission Paid by Bank
• GPRS/Web enabled micro-ATM devices.

• OPENING OF NEW ACCOUNT:ONETIME FEE WHICH GENERALLY RANGES BETWEEN RS 20-RS 25 PER ACCOUNT.
• TRANSACTION COMMISSION: % PER TRANSACTION FOR DEPOSITS AND WITHDRAWALS, WHICH IS GENERALLY ABOUT 0.25-0.5%.
• Additional Commissions: Additional commissions are paid for business facilitator activities such as loan and kisan credit card processing.
• Monthly incentive: Monthly incentive of about Rs.2,000 per month for CSCs in Financial Inclusion Plan Villages. However, this is payable based on minimum targets of account opened during the month.

The Above Services Are Offered in Respect of the Following Products

• No Frills Savings Bank accounts
• Recurring Deposit Accounts
• Remittance
• IMPS
• AEPS
• Fixed Deposit
• Overdraft/Retail loans
• Loans against TDR/NSC/ KVP etc.
• Gold Loans
• General purpose Credit card (GCC)
• Kisan Credit Card (KCC)
• Savings Bank account
• Term Deposits

Technology

Technology plays a critical role in enabling a CSP to perform its tasks efficiently. Some of the popular technology models being deployed for banking include:

• Internet based kiosk banking solutions.
• GPRS enabled micro-ATM devices
• Customer authentication using smart cards and/or biometric fingerprints and/or by UIDAI

A Business Correspondent / Customer Service Point is Primarily Responsible For

• Customer acquisition and service delivery
• Customer authentication
• Cash handling by the BC / CSP

Benefits Of KIOSK Banking

• Kiosk banking solution enables real time banking through a Bank’s CBS through an Online Portal
• Customers are authenticated through their biometric (fingerprint).
• The solution is completely online and eliminates the need for smart cards and POS.

Benefits Of KIOSK Banking

Expected Revenue :

If the BCs follow the targets prescribed by AISECT and work diligently , an average monthly income of Rs 10,000-Rs 15,000 can be expected in the beginning. Entrepreneurs who perform well can even earn upto Rs 50,000-Rs 60,000 per month.

Monitoring and Handholding :

AISECT regularly monitors all of its kiosks and provides regular handholding to all the entrepreneurs . The focus of AISECT is always to make the kiosks more and more sustainable and resolve all the functional and operational queries as soon as possible. AISECT provides a lot of handholding support to its BC kiosks for smooth implementation of Financial Inclusion initiatives, as shown beside.