Saturday, July 24, 2010

State Bank of India – Green Channel.

State Bank of India – Green Channel.

State Bank of India has introduced one more in Indian Banking. It is a combination of Electronic Banking and Branch Banking.

Recent studies have indicated that more and more consumers prefer face-to-face banking rather than faceless banking.

Hence, Banks in India too have started to respond to this new customer’s need.
From 01/07/2010, State Bank of India, at Select Branches has launched the Green Channel Banking.
The details in brief are us under - GREEN CHANNEL COUNTER: -
1) The customer need not fill up any pay-in slips or draw cheques for depositing or withdrawing money from their accounts.

2) Processing time is reduced, as duplication in writing/feeding account details and transaction details by the customer as well as the person behind the counter is avoided by simply capturing these details by swiping the SBI Shopping cum ATM card (State Bank Shopping Card) on a device available at the Single Window Operator's (SWO) counter.

3) At the Green Channel Counter, there is a Point of Sale Machine (POS), on which the customer swipes his card. He is then asked by the machine to select the type of transaction, viz. (0) Cash Deposit, (1) Cash Withdrawal and (2) Funds Transfer.

4) Once the customer selects the type of transaction by entering the option, the message 'Enter the Amount' is displayed.

5) At present the maximum amount is Rs 40,000/-.

6) The customer is asked to confirm the input amount followed by a message "Please Enter the PIN".

7) When the PIN is entered by the customer, the transaction gets transferred to the terminal of SWO who after entering the denomination of the cash to be paid/received, pays/receives cash and the transaction gets completed.

8) The customer will be provided with a machine generated printed receipt with previous balance, amount of transaction and closing balance.

9) Odd amount (in round rupees) transaction is possible.

10) While withdrawing, the customer can have denomination of currency of his / her choice, subject to its availability at the Branch.

11) Fees/charges – FREE –There will be a nominal charge for remittances from Non-home branches as given below:
Up to Rs 20,000 – Free
Above Rs 20,000 up to Rs 40,000 - @ Rs 1.50 per every Rs 1000 and part thereof

Who will be the primary beneficiaries?

SBI is aiming to simplify transactions for the Senior Citizens. This is because the majority of the Pension accounts are with SBI.

Apart from pensioners, this new scheme will aid in attracting new customers too.

This will also encourage customers to draw more and more money through this mode, as they have the choice of denominations too.

The major drawback in ATM withdrawals is that the Denominations was controlled by the ATM, which was affecting the growth of ATM transactions.