Business Correspondents are retail agents who represent banks and are responsible for delivering banking services at locations other than a bank branch/ATM. BCs support banks in providing its limited range of banking services at affordable cost. Thus, they are pivotal in promoting financial inclusion. According to the RBI’s mandate, the products offered by BCs include Small Savings Accounts, Fixed Deposit and Recurring Deposit with low minimum deposits, Remittance to any BC customer, Micro Credit and General Insurance. The BC model helps banks in bringing door-step delivery of services especially ‘cash in - cash out’ transactions in areas which are to nearer to the rural population, thus resolving the issue of last-mile delivery.BnkPe as Business Correspondent
As a business correspondent for State Bank of India and Bank of Baroda, the company facilitates banking services to the citizens at any given location and time, as and when required by these banks. Being a service provider for both, BnkPe essentially helps with enrolling the customers and enabling their transactions at the Customer Service Points (CSPs) aside from sourcing various deposit and loan products of the bank as a business facilitator. This way it reaches some of the remote areas as the bank’s official agent, thus, promoting not just the bank’s business growth but financial inclusion in the country as well.Scope of Activities
Business Correspondent, who serves as a crucial link between end users of banking services and the banks which they represent, are responsible for undertaking a gamut of responsibilities. They are responsible for identification of potential customers and generating awareness about savings and other products offered by banks as well as offering debt counselling and advice on money management. One of the major tasks handled by Business Correspondents is the collection and preliminary processing of various forms for deposits including verification of primary information or data, filling of applications / account opening forms including nomination clause and submission to the bank.
Business Correspondents (BCs) also execute various tasks such as completing the KYC process for the customers, opening of no frill deposit accounts and other products offered by the bank, furnishing of account information like mini account statements as well as cross-selling of other financial products by the bank. They undertake activities that would be within the normal course of the banking business of the concerned bank, but organised through and by entities at places other than the bank's premises.