The Indian Overseas Bank, a public sector bank is encouraging people for opening savings bank account and gain benefit from the Finance Inclusion Scheme.
The bank said the Reserve Bank of India has urged all banks must ensure that they provide banking facilities at the doorstep of people in all villages with a population of above 2,000 by March 2011. The aim behind all this process is to open saving account for all the households, micro-credit, micro-insurance and remittance facilities to all.
The banks have been asked to adopt measures such as opening new branches, extension counters, collection centers, or appointing business correspondents or business facilitators to achieve the objectives.
In an official circular issued by the bank it has stated that no-frills account will be opened without any pre-conditions and a minimum balance will be Rs5.
Recently the Assistant General Manager of IOB, D.P. Balasubramanian launched smart card banking facility at Arittapatti. The bank informed smart card banking facility will be provided to 27 villages in Madurai district and in 21 villages in Virudhunagar district by December-end.
Using smart card people can do minimum transaction of Rs50 and the maximum of Rs 2,000. Through, this project beneficiary of National Rural Employment Generation Program, pensioners, daily wage earners, recipients of government welfare schemes will be benefited.