HDFC Bank Joins Hands With CSC To Provide EMI Collection Services
By: Ashwathy Nair
- The new initiative of the bank is aimed at making payments convenient for customers.
- The customers can now visit their nearest CSC to deposit overdue.
- CSC and HDFC Bank together can transform the delivery of financial services to rural India.
In rural areas, taking financial services at doorsteps, HDFC Bank has partnered with CSC e-Governance Services India Ltd in order to provide EMI Collection Services for CSC-HDFC Bank’s Business Correspondents across the country. The Special Purpose Vehicle (CSC SPV) under the Ministry of Electronics & IT is CSC e-Governance Services India Ltd. (MeitY). The bank’s latest programme aims to make payments easier for customers to deposit overdue, who can now visit their nearest CSC.
The MD of CSC e-Governance Services India Ltd., Dinesh Tyagi stated that “We are happily announcing the extension of the partnership with HDFC Bank and it is believed that CSC and HDFC Bank will together be transforming the delivery of financial services to rural India. With launching the EMI Collection facility through CSC, the customers are not required to visit bank branches and instead they will be able to deposit the EMI through CSC, thus saving time. The extension of financial services to people in the country’s rural and far-flung areas will also be assured.”
In order to cross-check the amount payable on the scheme, the CSC-HDFC Bank Correspondent or Village Level Entrepreneur (VLE) will be matching the loan account with the registered phone number of the customers. For the amount received, the VLE will then be issuing a receipt and depositing the amount to the bank in the specified form.
The National Head of CSC Channel HDFC Bank, Dinesh Luthra, speaking on the partnership stated that “It is a proud moment to be partnered with CSC for this initiative. It is related to our ongoing social initiatives that include the bottom of the pyramid with the promotion of financial literacy, financial inclusion and income-generating skills. CSC and HDFC Bank will be working under the initiative to use the services offered by Business Correspondents to obtain periodic EMIs / overdue amounts on customer loans. The Business Correspondent will be serving as deposit points from segments such as auto loan, two-wheeler loan, personal loan, business loan and sustainable livelihood initiative for Bank customers.”
The partnership of HDFC Bank with CSC, through the bank’s network of over 1 lakh VLEs, will be taking banking and financial services to the doorsteps of people living in remote areas. HDFC Bank’s branch distribution network, which is present in more than 30 states, will be supporting the VLEs. The arrangement would provide lakhs of people in rural India with access to formal banking.