Banks open on Saturday, Sunday for accepting advance tax

Corporates can pay their first quarter advance tax today, tomorrow and on Monday at the designated bank branches, an official statement said.“All designated branches of authorised banks have been asked to function on September 14 and 15, 2013 (Saturday and Sunday) to accept advance tax payments,” the Finance Ministry said.If any tax payer is unable to pay the advance tax on these two days, then the person can make the payment on September 16, it added.Payment of quarterly advance tax on or before September 15, 2013, by tax payers is a statutory...

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SKS Micro gets nod to shift registered office to Maharashtra

The Ministry of Corporate Affairs has approved shifting of the registered office of SKS Microfinance Ltd from Andhra Pradesh to Maharashtra.The move by SKS to shift the reistered office is probably a fallout of the AP Government’s stringent regulations for the microfinance sector.The State Government tightened regulation about three years back to rein in microfinance institutions, which were charging very high interest rates from borrowers and resorting to strong arm tactics for recoveries.The Regional Director, Ministry of Corporate Affairs,...

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CCI gives green signal to Ratnakar Bank-RBS deal

Fair trade regulator Competition Commission of India (CCI) has approved private sector lender Ratnakar Bank’ proposal to buy Royal Bank of Scotland’s credit card business, mortgage portfolio and banking operation in the country, saying the deal will not have an adverse impact on competition.Royal Bank of Scotland (RBS) mortgage portfolio includes housing loans, while banking business includes providing small and medium sized enterprises with high end products and services.In its order dated September 10, the CCI said the proposal “is not likely...

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ICICI Bank hopes to add half a million credit card customers by end-March

ICICI Bank Ltd, India’s largest private sector bank, expects its credit card customer base to grow by half a million by March-end, according to a senior bank official.“Online shopping has been the fastest growing segment in the credit card space with a growth of 35 per cent as compared to overall spends growing at 20 per cent. We will add close to half a million cards by the year-end,” Rajiv Sabharwal, Executive Director, ICICI Bank, said in a conference call to announce the launch of its credit card — ICICI Bank Carbon, in partnership with...

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Allahabad Bank keen to restructure MFI accounts

Allahabad Bank is keen on restructuring accounts of micro finance institutions (MFIs) for a second time and it is for promoters to come up with a solution, an official of the bank said.“The bank will not write off the MFI accounts. But we are keen to do a second round of restructuring,” the official said.The official said that for the first year, the assets would be treated as non-performing, and would be upgraded to standard asset after accounts start performing.“Lending to MFIs is not the bank’s core business. It is up to the promoters...

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IRDA permits AIC to use services of non-life insurance agents

Agriculture Insurance Company of India (AIC) can now use the agent network of other non-life insurers for distribution of its products.In a circular issued on Thursday, the Insurance Regulatory and Development Authority (IRDA) agents and corporate agents wanting to offer services to AIC would have to submit a 'No Objection Certificate' from their parent general insurer and enrol themselves with AIC.However, no certificate is required for utilisation of existing agency network of public general insurance companies by AIC to distribute government...

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Reserve Bank to create central repository on large credits

The Reserve Bank has decided to create a central repository on large borrowers — both individuals and entities — with exposure of more than Rs 10 crore to help banks deal with credit risks.The RBI, in a notification, said it is necessary to build a repository of large credits and share with the banks for enabling them to be aware of building leverage and common exposures.“Accordingly, it has been decided to use the information supplied by the banks through the Return on Large Borrowers (Form A)...which captures the system-wide exposure of individuals...

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Union Bank of India plans to raise $500 m abroad

With the Reserve Bank of India doubling the overseas borrowing limit of banks, Union Bank of India is planning to raise about $500 million, according to a top bank official.The overseas borrowing will be in the form of bilateral loans of one to two year duration. The public sector bank will raise the resources from one of the two international locations — Hong Kong or Dubai, where it has branches.The bank expects to tie up the funds at a mark-up of less than 2 percentage points over the benchmark Libor (London Interbank Offered Rate).“But then...

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KVB wins best banker award

Karur Vysya Bank has won Best Banker Growth-Mid Sized award in the second edition of The Sunday Standard Best Bankers’ Awards 2013.K. Venkataraman, Chief Executive, KVB, received the award on behalf of the bank from Minister for Urban Development Mr Kamal Nath in New Delhi on Friday. Source: thehindubusinesslin...

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Allahabad Bank to focus on retail segment

In a bid to focus on its retail credit business, Kolkata-headquartered Allahabad Bank has set up 40 centralised retail banking boutiques. These come in addition to the 59 retail banking boutiques that allow faster processing, appraisal and sanction of retail loans.According to a press release issued by the bank, it has taken steps to speed up sanction of housing loans within six working days and car (vehicle) loans within 48 hours.Financing of commercial vehicles (to transport operators) will be through its All Bank Fleet Finance Scheme;...

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Central Bank not to raise lending rates now

State-run Central Bank of India (CBI) is not planning to increase its lending rate even though it has been witnessing an uptick in cost of funds following RBI’s liquidity tightening moves, a top official said today.“Last two months, we have seen an escalation in cost of funds. But whether this is going to result in a change of base rate, I don’t think so as of now,” its new chairman and managing director Rajeev Rishi told reporters.He said the bank may think of raising the base rate or the minimum rate of lending as and when a need arises.“Our...

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Federal Bank board approves stock split

The board of directors of Kerala-based Federal Bank Ltd has approved the sub-division of equity shares of Rs 10 each into five shares of Rs 2 each.The Investment and Capital Raising Committee of the board will meet on September 14 to consider the record date for the stock split, the bank has said in a statement to the stock exchanges.The shares closed lower on the BSE at Rs 297 today. The stock, which crashed to a 52-week low of Rs 221.25 on September 4 on the exchange, has seen a sharp bounce back since then. But it is way off its 52 week...

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Interview for SBI Chairman post next week

A Government appointed search panel will conduct interviews for selecting the Chairman of the country’s largest bank SBI on September 21.All the four Managing Directors of State Bank of India have been called for the interview, a senior Finance Ministry official said.The Appointments Committee of the Cabinet (ACC), headed by the Prime Minister, had recently suggested that all the four SBI MDs should be called for the interview.The incumbent Chairman Pratip Chaudhuri is set to retire at the end of this month.The Finance Ministry had sought exemption...

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Central Bank, Suvidhaa launch a channel card for retailers

Central Bank of India and Suvidhaa today launched a prepaid card for retailers that will enable people to pay their utility bills, taxes and book tickets by going to the nearest Suvidhaa outlets.The Suvidhaa retailer will charge a small service fee over and above the bill amount.The card can be used by any customer, including those who do not have a bank account or an email id.There are over 65,000 Suvidhaa retailers across 2,800 towns in India. Source: thehindubusinesslin...

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ICICI Bank launches chip-based credit card

ICICI Bank Ltd, India’s largest private sector bank, has launched ICICI Bank Carbon in partnership with Visa.“The ICICI Bank Carbon will be offered to select ICICI Bank credit card members only. It is available at an inaugural one-time fee of Rs 1,000 plus applicable service tax,” the bank said in a statement.The member initially needs to generate a CodeSure PIN on the ICICI Bank Web site before using the card. This is a one-time activity.The PIN can instantly help generate a one-time-passcode (OTP) on the card plastic itself. The display panel...

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Don’t misuse bank notes: RBI

The Reserve Bank of India has appealed to members of public not to use banknotes for making garlands, decorating pandals and places of worship or for showering on personalities in social events, and so on.Such actions deface the banknotes and shorten their life. “Banknotes should be respected as they are a symbol of the sovereign and public should not misuse them,” the RBI said in a statement.It sought the help of public in increasing the life of banknotes.The Reserve Bank said it has been taking all measures to supply clean banknotes across...

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SKS Microfinance postpones AGM

SKS Microfinance Ltd has postponed its annual general meeting scheduled to be held on September 30, 2013.The postponement assumes significance as the company has rejected a nomination of its founder and ex-chairman Vikram Akula as the representative of the SKS Trusts, the largest shareholder in the company with a stake of 12.6 per cent.SKS Microfinance on Tuesday said no shareholder had any right to nominate a director.The reason cited for postponement of the board meeting, however, was different. The request was made on the basis of procedural...

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Exim Bank opens office in Myanmar

Export-Import Bank of India (Exim Bank) has opened a representative office in Myanmar's capital of Yangon, a move that is likely to boost bilateral trade.This is the eighth overseas regional office of the government-run premier export finance institution, Exim Bank Chairman and Managing Director T C A Ranganathan said in a statement here today.Speaking at the inauguration, Indian Ambassador to Myanmar Gautam Mukhopadhaya expressed the hope that Exim Bank's presence in the neighbouring country would further boost and facilitate bilateral trade...

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Federal Bank hikes NRE deposit rates

Private sector lender Federal Bank has hiked the deposit rates for its non-resident customers.The Kerala-based bank has invited deposits for a special term of 1,111 days from its non-resident customers from September 9, 2013.The deposit titled NRE (Non-Resident - External) Fortune Deposit is offered at an interest rate of 10 per cent. For all other maturities (longer or shorter), the interest rate will be 9.5 per cent or less, the bank said in a statement.The interest accrued can be withdrawn and repatriated or re-invested as per customer’s...

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Canara Bank to charge Rs 60 a year for SMS alerts

State-owned Canara Bank today said it will charge Rs 60 per year for SMS alerts beginning October 2013.“We wish to inform that in line with the industry trend, our bank is compelled to charge Rs 15 per quarter per customer with effect from October 1, 2013, for SMS services and those who have opted for SMS alerts,” Canara Bank said in a notification.However, the bank said senior citizens, small savings account holders, basic bank accounts holders, and financial inclusion savings account holders will not be charged any such fee.Among other state-owned...

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No shareholder has right to nominate a director on its board: SKS Micro

In response to SKS Trust Advisors Pvt Ltd and five mutual benefit trusts’ bid to seek a board seat, SKS Microfinance Ltd on Tuesday said that no shareholder has any right to nominate a director.Hyderabad-based SKS Microfinance, in a notice to the BSE, said it has received a request for a seat on the board of directors from SKS Trust Advisors and five mutual benefit trusts.The five mutual benefit trusts are: SKS Mutual Benefit Trust – Medak, SKS Mutual Benefit Trust – Sadasivapet, SKS Mutual Benefit Trust – Sangareddy, SKS Mutual Benefit Trust...

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Kotak Mahindra Bank's 'Onam' sop for NRIs

Seeking to strengthen its NRI business, Kotak Mahindra Bank has come out with an offer of discount vouchers worth Rs 30,000 for those opening NRE and NRO accounts with its branches in Kerala in September and October this year.Termed as 'Onam bonanza" as it coincides with Keralites' most important festival, the discount vouchers could be used for making purchases with some of state's leading jewellers and shops or enjoying the hospitality of major restaurants, a senior executive of KMB told a press meet here today.Those opening Non-Resident...

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United Bank to increase branches, ATMs to 2,000 this fiscal: CMD

United Bank of India (UBI) will increase the total number of branches and ATMs to 2,000 each across India this fiscal, Archana Bhargava, Chairman and Managing Director, said on Saturday.Inaugurating the Bank’s 35th Regional Office, at Ahmedabad, she said the bank will take special care to provide financial services and credit facilities in financially excluded sectors at affordable cost. It is committed for the growth of MSMEs, agriculture and other service sectors in the state.She also expressed concern over high rise in NPAs and emphasised...

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SBI report welcomes RBI Governor Raghuram Rajan's focus on mobile banking

Terming it as a "game changer", a State Bank of India report has welcomed Reserve Bank Governor Raghuram Rajan's stated focus on deepening the penetration of mobile banking."Mobile payments could be a game changer, both in the financial sector as well for mobile phone companies," an SBI research report said after Rajan announced a slew of measures in his maiden address as the head of the central bank.In this address, Rajan had announced the constitution of a technical group to study the feasibility of using an encrypted, SMS-based application...

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Corp Bank SME meet in Goa

Corporation Bank organised an SME (small and medium enterprises) expo at Margao in Goa recently. A bank release said here that 25 SMEs showcased their products at the expo. Around 150 entrepreneurs attended the SME meet organised as part of the expo. Presiding over the meeting, Amar Lal Daultani, Executive Director of the bank, emphasised the need for building a strong capital base for SMEs for generating higher volumes. He handed over credit sanction letters to 11 SME beneficiaries on the occasion. Source: thehindubusinesslin...

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