RURAL BANKING SERVICES

OVERVIEW

AGRI AND RURAL SERVICES

FINANCIAL INCLUSION SERVICES

APPLICATIONS FOR RURAL BANKING SERVICES

CASE STUDIES

AGRI AND RURAL

Agri Banking: The bank gives loans to other agricultural activities or allied activities like Poultry, Dairy, and Fisheries etc.

Rural banking: It is simply a banking service that serves smaller, rural communities. They tend to be deeply embedded in the communities they serve.

According to RBI regulations, banks are expected to extend their banking services to the unbanked/rural population. However, this noble aim throws up many questions.

To help banks tide over these challenges, RBI, as part of its financial inclusion policy, has allowed banks to deploy Business Correspondents and Business Facilitators to expand their footprint and reach to the unbanked/rural sections of the country.

Centillion offers Business Correspondent services in the areas of assets and liability sourcing, service points set-up and operations (fixed and mobile), product and process training services, thereby helping banks to reach its customers in unbanked areas in villages of rural India. The services offered by Centillion can be classified under the following categories:

  • Asset products sourcing – Agri loans, TW/Tractor Loans, Cattle Loans, Consumable Durables, Credit Card, etc.
  • Liability products sourcing – RD, FD, Enrolment etc.
  • Business Correspondent Service Points set-up and operations – Premise set-up, manpower deployment, and cash and transactions management.
  • Training delivery in key intervention areas like assets products and services.
RURAL BANKING SERVICES

OVERVIEW

AGRI AND RURAL SERVICES

FINANCIAL INCLUSION SERVICES

APPLICATIONS FOR RURAL BANKING SERVICES

CASE STUDIES

AGRI AND RURAL

Agri Banking: The bank gives loans to other agricultural activities or allied activities like Poultry, Dairy, and Fisheries etc.

Rural banking: It is simply a banking service that serves smaller, rural communities. They tend to be deeply embedded in the communities they serve.

According to RBI regulations, banks are expected to extend their banking services to the unbanked/rural population. However, this noble aim throws up many questions.

To help banks tide over these challenges, RBI, as part of its financial inclusion policy, has allowed banks to deploy Business Correspondents and Business Facilitators to expand their footprint and reach to the unbanked/rural sections of the country.

Centillion offers Business Correspondent services in the areas of assets and liability sourcing, service points set-up and operations (fixed and mobile), product and process training services, thereby helping banks to reach its customers in unbanked areas in villages of rural India. The services offered by Centillion can be classified under the following categories:

  • Asset products sourcing – Agri loans, TW/Tractor Loans, Cattle Loans, Consumable Durables, Credit Card, etc.
  • Liability products sourcing – RD, FD, Enrolment etc.
  • Business Correspondent Service Points set-up and operations – Premise set-up, manpower deployment, and cash and transactions management.
  • Training delivery in key intervention areas like assets products and services.
Dairy-Channel

Dairy Channel

India ranks first among the world’s milk producing nations since 1998 and has increased milk production from 17 million tonnes to 176.4 million tonnes during the period 1950-51 to 2017-18. The livestock sector has emerged as a vital sector and Dairying is an important source of income for millions of rural families. It has assumed an important role in providing employment and income generating opportunities particularly for women & marginal farmers and landless labours. About 16.6 million farmers have been brought under the ambit of about 1,85,903 village level Dairy Corporative Societies up to March 2018. The dairy cooperatives have procured daily average of milk about 475.6 Lakh Kg per day and the sale of liquid milk reached to 349.6 Lakh Litre per day during 2017-18.

Centillion’s Dairy Channel is an exclusive BC channel to serve the dairy value chain in India. Centillion identifies the milk societies and links them to the medium and large dairies in the private sector as well as Government sector and aides in opening the account of the milk society and all the farmers associated with that milk society with the Bank.

Centillion works closely with dairy co-operatives societies in several states in India and provides the following services:

  • Open a Business Correspondence (BC) point within the society premise and appoint a local sub-BC agent.
  • The sub-BC agent are trained to provide account servicing to the farmers and help farmers to deposit/withdrawal cash, organize camp for sourcing farmers accounts from nearby villages, do assets cross sale and collect all types of EMI.
  • The sub-BC agent also does Cross-selling of various products like cattle loans, Kisan credit cards, loans for milk chilling units, milk vans, small Agri Business Loan and all other asset products of the bank.
  • Centillion’s provides payment solutions and support services in remote villages through fixed and mobile Dairy points which has ensured timely, near doorstep delivery of services to the farmers.

Value Chain Banking – Dairy Chanel

Dairy Channel Workflow-new

BC Loan Service

Loan Service

Centillion BC Loan is an Agri Loan sourcing service. Within its role of Business Correspondent, Centillion sets up and manages BC operations for mobilizing agricultural loans and other asset products on behalf of the banks by taking these service offerings to the farmers in rural India.

With its experience and pan-India presence, Centillion can deploy resources across multiple states without any delay, thereby providing scalability and reach to its principal banking clients. In addition, supervisory and MIS support provides banks’ staff the flexibility and freedom to focus on functional teams and to expand the business as per bank’s expansion and growth plans.

Some of the principal loans that Centillion sources are:

  • KGC (Kisan Gold Card)
  • Gold Loans
  • Personal /Home Loans
  • Crop/Harvesting Loans
  • Cattle Loans
  • Farm Equipment/Drip Irrigation
  • Two/Four-Wheeler Loans
  • Tractor/Commercial Vehicle Loans
  • Consumer Durable
  • Credit Card

 Key Advantages:

  • Expertise in setting up BC operations across all parts of India.
  • Experienced CREs who act as an intermediary between the bank and the villagers and educate and help farmers with bank products and loan procurement.
  • Pan-India partner network for quick deployment and effective operations management.
  • Partnerships and franchisees spread across India with experience in setting-up service points in several states which can be utilized for:
    • Liability account sourcing along with Agri Loan sourcing.
    • Account servicing, cash withdrawal/remittances and allied services.

BC Loan Service Workflow

BC KGC Workflow

BC Enrolment Service

Enrolment Service and Collection of Deposits (FD, RD)

India has the highest number of households (145 million households, with 800 million people) that are outside the ambit of conventional banking. RBI has mandated that in the next five years villages with a population of less than 2000 should also have basic banking facility by way of brick and mortar branches or through business correspondents.

If the potential is so large why are banks not opening more branches in rural areas? Rural banking requires more manpower for distribution of banking services. For example, to run a small branch a bank needs to deploy 8-12 employees, and if this needs to be replicated in other areas the number of employees, and the cost and time involved in setting up operations, become prohibitive. In comparison, a similar-sized BC operation would require only one or two employees.

That’s where we come in. Centillion has the expertise and trained manpower to set up such BC operations pan-India, and get them operational within a matter of months.

For a farmer to enroll for banking services a correctly filled account opening form supported by KYC forms needs to get approved by the bank and this approval can take up to two months. But Centillion’s Enrollment services can get this done in a matter of days. Centillion’s offerings include document verification units, which are manned by KYC-trained executives, and can greatly reduce the time taken to set up a farmer account.

Centillion also provides the technology and tools to track the entire enrolment process. The anytime, anywhere MIS, dashboards and reports offer trend analysis and several cross-selling opportunities for the banks.

 Key Advantages:

  • Expertise in setting up BC operations across all parts of India.
  • Experienced CREs who act as an intermediary between the bank and the villagers and educate and help farmers with bank products and loan procurement.
  • Pan-India partner network for quick deployment and effective operations management.
  • Partnerships and franchisees spread across India with experience in setting-up service points in several states which can be utilized for Liability products sourcing – RD, FD, Enrolment etc.

BC Enrolment Service Workflow

BC Enrolment Workflow

CFSS

Consumer Finance Fulfillment Service

Centillion has developed a strong process-driven Consumer Finance Fulfillment System to help financial institutions go to market faster with a comprehensive loan plan for consumer durables, two and four wheelers, cars, commercial vehicles and other such products. Centillion’s Consumer Finance Fulfillment Services workflow has been designed to improve the quality and Turn-Around-Time of sourcing and disbursement of Consumer Finance loans. This image-based workflow is suited for all banks and NBFCs, can enhance customer delight in terms of quicker disbursement and product delivery, and ensure a high level of confidence for First Time Right (FTR) delivery.

CFFS Workflow

CFFS - Workflow

Consumer Finance Fulfillment Service - CFFS

Two Wheeler, Auto and Consumer Durables

The two-wheeler, auto and consumer durable workflow captures origination, processing, and credit decision of all loans. The service offering includes scanning customer documents at dealer offices and integrating them with a document management system. This facilitates faster transmission of document images to a centralized hub to process the customer applications and subsequently arrive at smarter credit decisions and significantly reduce the Turn-Around-Time (TAT). The field teams can directly upload the document images to the CPC and are equipped to prepare a complete loan file (that is in conformance with the credit norms of the dealers, the KYC policies, and credit guidelines) and monitor the real-time status of the file.

Dairy Channel
Dairy-Channel

Dairy Channel

India ranks first among the world’s milk producing nations since 1998 and has increased milk production from 17 million tonnes to 176.4 million tonnes during the period 1950-51 to 2017-18. The livestock sector has emerged as a vital sector and Dairying is an important source of income for millions of rural families. It has assumed an important role in providing employment and income generating opportunities particularly for women & marginal farmers and landless labours. About 16.6 million farmers have been brought under the ambit of about 1,85,903 village level Dairy Corporative Societies up to March 2018. The dairy cooperatives have procured daily average of milk about 475.6 Lakh Kg per day and the sale of liquid milk reached to 349.6 Lakh Litre per day during 2017-18.

Centillion’s Dairy Channel is an exclusive BC channel to serve the dairy value chain in India. Centillion identifies the milk societies and links them to the medium and large dairies in the private sector as well as Government sector and aides in opening the account of the milk society and all the farmers associated with that milk society with the Bank.

Centillion works closely with dairy co-operatives societies in several states in India and provides the following services:

  • Open a Business Correspondence (BC) point within the society premise and appoint a local sub-BC agent.
  • The sub-BC agent are trained to provide account servicing to the farmers and help farmers to deposit/withdrawal cash, organize camp for sourcing farmers accounts from nearby villages, do assets cross sale and collect all types of EMI.
  • The sub-BC agent also does Cross-selling of various products like cattle loans, Kisan credit cards, loans for milk chilling units, milk vans, small Agri Business Loan and all other asset products of the bank.
  • Centillion’s provides payment solutions and support services in remote villages through fixed and mobile Dairy points which has ensured timely, near doorstep delivery of services to the farmers.

Value Chain Banking – Dairy Chanel

Dairy Channel Workflow-new

Loan Service
BC Loan Service

Loan Service

Centillion BC Loan is an Agri Loan sourcing service. Within its role of Business Correspondent, Centillion sets up and manages BC operations for mobilizing agricultural loans and other asset products on behalf of the banks by taking these service offerings to the farmers in rural India.

With its experience and pan-India presence, Centillion can deploy resources across multiple states without any delay, thereby providing scalability and reach to its principal banking clients. In addition, supervisory and MIS support provides banks’ staff the flexibility and freedom to focus on functional teams and to expand the business as per bank’s expansion and growth plans.

Some of the principal loans that Centillion sources are:

  • KGC (Kisan Gold Card)
  • Gold Loans
  • Personal /Home Loans
  • Crop/Harvesting Loans
  • Cattle Loans
  • Farm Equipment/Drip Irrigation
  • Two/Four-Wheeler Loans
  • Tractor/Commercial Vehicle Loans
  • Consumer Durable
  • Credit Card

 Key Advantages:

  • Expertise in setting up BC operations across all parts of India.
  • Experienced CREs who act as an intermediary between the bank and the villagers and educate and help farmers with bank products and loan procurement.
  • Pan-India partner network for quick deployment and effective operations management.
  • Partnerships and franchisees spread across India with experience in setting-up service points in several states which can be utilized for:
    • Liability account sourcing along with Agri Loan sourcing.
    • Account servicing, cash withdrawal/remittances and allied services.

BC Loan Service Workflow

BC KGC Workflow

Enrolment Service
BC Enrolment Service

Enrolment Service and Collection of Deposits (FD, RD)

India has the highest number of households (145 million households, with 800 million people) that are outside the ambit of conventional banking. RBI has mandated that in the next five years villages with a population of less than 2000 should also have basic banking facility by way of brick and mortar branches or through business correspondents.

If the potential is so large why are banks not opening more branches in rural areas? Rural banking requires more manpower for distribution of banking services. For example, to run a small branch a bank needs to deploy 8-12 employees, and if this needs to be replicated in other areas the number of employees, and the cost and time involved in setting up operations, become prohibitive. In comparison, a similar-sized BC operation would require only one or two employees.

That’s where we come in. Centillion has the expertise and trained manpower to set up such BC operations pan-India, and get them operational within a matter of months.

For a farmer to enroll for banking services a correctly filled account opening form supported by KYC forms needs to get approved by the bank and this approval can take up to two months. But Centillion’s Enrollment services can get this done in a matter of days. Centillion’s offerings include document verification units, which are manned by KYC-trained executives, and can greatly reduce the time taken to set up a farmer account.

Centillion also provides the technology and tools to track the entire enrolment process. The anytime, anywhere MIS, dashboards and reports offer trend analysis and several cross-selling opportunities for the banks.

 Key Advantages:

  • Expertise in setting up BC operations across all parts of India.
  • Experienced CREs who act as an intermediary between the bank and the villagers and educate and help farmers with bank products and loan procurement.
  • Pan-India partner network for quick deployment and effective operations management.
  • Partnerships and franchisees spread across India with experience in setting-up service points in several states which can be utilized for Liability products sourcing – RD, FD, Enrolment etc.

BC Enrolment Service Workflow

BC Enrolment Workflow

CFFS
CFSS

Consumer Finance Fulfillment Service

Centillion has developed a strong process-driven Consumer Finance Fulfillment System to help financial institutions go to market faster with a comprehensive loan plan for consumer durables, two and four wheelers, cars, commercial vehicles and other such products. Centillion’s Consumer Finance Fulfillment Services workflow has been designed to improve the quality and Turn-Around-Time of sourcing and disbursement of Consumer Finance loans. This image-based workflow is suited for all banks and NBFCs, can enhance customer delight in terms of quicker disbursement and product delivery, and ensure a high level of confidence for First Time Right (FTR) delivery.

CFFS Workflow

CFFS - Workflow

Two Wheeler, Auto and Consumer Durables
Consumer Finance Fulfillment Service - CFFS

Two Wheeler, Auto and Consumer Durables

The two-wheeler, auto and consumer durable workflow captures origination, processing, and credit decision of all loans. The service offering includes scanning customer documents at dealer offices and integrating them with a document management system. This facilitates faster transmission of document images to a centralized hub to process the customer applications and subsequently arrive at smarter credit decisions and significantly reduce the Turn-Around-Time (TAT). The field teams can directly upload the document images to the CPC and are equipped to prepare a complete loan file (that is in conformance with the credit norms of the dealers, the KYC policies, and credit guidelines) and monitor the real-time status of the file.