State Bank of India (SBI) will be installing 6 lakh point of sale (PoS) terminals, across the country where shoppers can make payments by swiping their credit, debit or pre-paid cards.
At present there are 4.5 lakh PoS terminals in the country, out of which few belong to SBI.
Brajesh Varma, deputy general manager - new business, SBI said, “We have select PoS terminals installed in Manipal University and Indian Institute of Management - Ahmedabad, where the installations were done on request to benefit students. But right now most are at colleges and universities.”
The bank also have plans to start a separate company to take care of the card payment network, for this bank has short-listed 3-4 joint venture partners, including global players.
Varma informed, putting to rest speculation about SBI having shelved the plan, “The timeframe is yet to be finalized, but in two years we should have around 6 lakh merchant terminals”.
Sachin Khandelwal, senior general manager, ICICI Bank has been recently nominated the chairman of the Prepaid International Forum, said, it’s a huge target.
SBI will be installing large number of PoS terminals in smaller cities.
Verma stated, “Tier-I cities have already been covered by the private sector banks. We will build this network in Tier-II and Tier-III cities”.
According to plan, the joint venture partner name will be finalized in a couple of months and the company will start operations in 6-8 months.
The bank will not wait for the new company to be formed it will start installing terminals.
SBI’s plan is close to private sector ICICI Bank who is selling its network to First Data Corporation. It is expected the Reserve Bank of India will allow to cardholders to withdraw cash from PoS terminals installed with shopkeepers, mall stores, etc.
It is believed that SBI has changed the name it had initially decided on for the venture.
Tuesday, January 19, 2010
Wednesday, January 6, 2010
SBI opened `SBI Sona Ghar' first exclusive gold banking outlet
The State Bank of India (SBI) first exclusive gold banking outlet `SBI Sona Ghar' in the country was inaugurated by the Minister of State for Human Resource Development D Purandeswari. Bank’s main branch is in Koti.
SBI Chief General Manager Shiva Kumar told the reporter banks’ launch of its new initiative is very timely as more and more people prefer to invest in gold. At new center gold deposit scheme will also be available.
He told through new centre pure gold coins and bars of 999.9 purity of 2 gm to 50 gm in a tamper-proof packaging will be sold. At new center gold deposit scheme will also be available.
The gold coins will be assay certified and are ideal for investment and individual and corporate gifting. At this outlet on bulk purchase of 500 grams and above special discounts will be given.
On deposit scheme 1 to 1.5 per cent interest in gold will be given for a period ranging from three to five years.
For instance on a 500 gram gold deposit for a period of three years, a customer will get 515 gram at the end of the term, he pointed out that the interest earned on the gold deposit is exempted from income tax and the value of gold has been exempted from wealth tax.
Even the appreciation on value of gold has been exempted from the capital gains tax.
Customers can take loan from any SBI branch by pledging gold deposit certificates. There is a provision for premature with drawl of the gold deposit, after an initial lock-in period of one year individual can with draw it.
He said, “We are targeting gold deposits of 500 kg in one year,'' and added that they will contact various temples and trusts to persuade them to deposit the gold which has been lying idle with them.
He informed bank aims to sell 100 kg gold every month. Purandeswari said as the price of gold is very high therefore it is the best investment option.
SBI Chief General Manager Shiva Kumar told the reporter banks’ launch of its new initiative is very timely as more and more people prefer to invest in gold. At new center gold deposit scheme will also be available.
He told through new centre pure gold coins and bars of 999.9 purity of 2 gm to 50 gm in a tamper-proof packaging will be sold. At new center gold deposit scheme will also be available.
The gold coins will be assay certified and are ideal for investment and individual and corporate gifting. At this outlet on bulk purchase of 500 grams and above special discounts will be given.
On deposit scheme 1 to 1.5 per cent interest in gold will be given for a period ranging from three to five years.
For instance on a 500 gram gold deposit for a period of three years, a customer will get 515 gram at the end of the term, he pointed out that the interest earned on the gold deposit is exempted from income tax and the value of gold has been exempted from wealth tax.
Even the appreciation on value of gold has been exempted from the capital gains tax.
Customers can take loan from any SBI branch by pledging gold deposit certificates. There is a provision for premature with drawl of the gold deposit, after an initial lock-in period of one year individual can with draw it.
He said, “We are targeting gold deposits of 500 kg in one year,'' and added that they will contact various temples and trusts to persuade them to deposit the gold which has been lying idle with them.
He informed bank aims to sell 100 kg gold every month. Purandeswari said as the price of gold is very high therefore it is the best investment option.
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