Chit­toor DCCB launches mo­bile bank­ing

Banking Frontiers - - Cooperativ­e -

In­ter­net bank­ing com­ing soon:

Th e Chi t t o o r Di s t r i c t Cent r a l Co­op­er­a­tive Bank has com­pleted 100 years of growth and is now cel­e­brat­ing its cen­te­nary ju­bilee dur­ing Fe­bru­ary 2019. The bank op­er­ates in the en­tire Chit­toor dis­trict of Andhra Pradesh with 34 branches. As many as 76 PACS and sev­eral other co­op­er­a­tive in­sti­tu­tions are af­fil­i­ated to the bank. All the branches are un­der CBS in associatio­n with AP State Co­op­er­a­tive Bank.

The bank is now plan­ning to add 6 branches in 2018-19, and ac­cord­ing to Amasa Raja Sekhara Reddy, pres­i­dent, the bank had in­tro­duced ATMs in July 2016 first at its head of­fice and sub­se­quently there are 47 ATMs now - at all the branches and some off-site lo­ca­tions. “This is spe­cially to serve the ru­ral farmer clien­tele,” adds Reddy.

The bank has a staff strength of 205. Dur­ing the cur­rent fi­nan­cial year, it re­cruited 24 as­sis­tant man­agers and 70 staff assistants.

BUSI­NESS DI­VER­SI­FI­CA­TION

The bank es­sen­tially pro­vides loans to the farm­ing com­mu­nity in the dis­trict – those grow­ing sug­ar­cane, ground­nut and paddy crops. It also of­fers devel­op­ment credit. Fund­ing is also ex­tended to weavers through hand­loom and silk weavers credit so­ci­eties, and to oth­ers through em­ploy­ees’ so­ci­eties, sugar fac­to­ries, dairies, etc.

Says Reddy: “Our to­tal de­posits are `4.3 bil­lion, out­stand­ing credit is `6.65 bil­lion and to­tal cu­mu­la­tive bor­row­ing `2.61 bil­lion. Dur­ing 2018-19, we col­lected around `200 mil­lion of de­posits from new de­pos­i­tors and dis­bursed `1.12 bil­lion of new loans.”

The bank has a to­tal cus­tomer base of 207,000 across the en­tire dis­trict. Apart from ru­ral devel­op­ment, the bank pro­vides as­sis­tance to SHGs, SGSYs, RMGs, JLGs and also weavers groups and un­der gov­ern­ment spon­sored schemes. It pro­vides safe de­posit lock­ers, cash cred­its, in­sur­ance fa­cil­i­ties etc.

CON­TAIN­ING NPA

Reddy feels re­cov­ery of out­stand­ing from the farm­ing com­mu­nity is a tough task, especially in the pre­vail­ing drought con­di­tions. Debt waivers/debt re­demp­tions were show­ing neg­a­tive ef­fect on re­cov­ery ethics. “Our NPA was 7.94% in 2016-17 and has grad­u­ally re­duced to 4.73% as on 31 De­cem­ber 2018. This has been pos­si­ble be­cause of the ef­forts of the em­ploy­ees and through a proper re­cov­ery ac­tion plan ini­ti­ated by the board of man­age­ment,” he adds.

CBS WITH AP SCB

Hav­ing im­ple­mented CBS, the bank has been to pro­vide var­i­ous ser­vices in­clud­ing NEFT/RTGS to the cus­tomers. It has also fa­cil­i­tated a trou­ble-free, er­ror-free pro­cess­ing and pro­vides ac­cess to the right per­son at the right time, of the re­quired data and for con­tin­u­ous availabili­ty and un­in­ter­rupted ser­vice to its users.

Says Reddy: “Our CBS project was car­ried out is in associatio­n with AP State Co­op­er­a­tive Bank and ser­vice provider, In­tel­lect De­sign Arena (ear­lier Po­laris). We could con­nect all our then ex­ist­ing 26 branches. We sub­se­quently opened 8 new branches with CBS fa­cil­ity. We have permission to open an­other 6 branches by 31 March 2019. The branches cover all 66 man­dals of Chit­toor dis­trict ge­o­graph­i­cally.”

The AP State Co­op­er­a­tive Bank has taken the ini­tia­tive to bring all the DCCBs in the state un­der CBS in or­der to en­sure an en­vi­ron­ment of live process run­ning 24x7x365 and for pro­vid­ing un-in­ter­rupted ser­vices to the clien­tele, through the con­ven­tional and non-con­ven­tional chan­nels.

“The in­vest­ment in this field is likely to go up and this needs to be con­sciously spent, based on the real ar­eas of concern. Pro­tect­ing in­for­ma­tion and sys­tems from unau­tho­rized ac­cess, use, dis­clo­sure, d i s r u p t i o n , mod­ifi c a t i o n , p e r u s a l , in­spec­tion, record­ing or de­struc­tion is very im­por­tant. With the chang­ing prac­tices of pro­vid­ing more and more al­ter­nate chan­nels like ATMs, PoS ma­chines, mi­cro ATMs, mo­bile bank­ing ap­pli­ca­tion, eCom trans­ac­tions, se­cu­rity is to be given the ut­most im­por­tance,” says Reddy

The bank has opted for HP servers, which are main­tained at the AP State Co­op­er­a­tive Bank level. The bank uses leased lines from BSNL, routers from Cisco and modems from Cygnus.

AN­A­LYZ­ING TRAIN­ING NEEDS

The bank uses the fa­cil­ity pro­vided at the Hy­der­abad Co­op­er­a­tive Train­ing In­sti­tute. “Based on the feed­back re­ceived from the branch heads about the work­ing ca­pac­ity and abil­ity of the staff mem­bers, their strengths are an­a­lyzed at the head of­fice. Then the re­quire­ments of train­ing to the con­cerned em­ploy­ees are de­cided and they are pro­vided the train­ing ac­cord­ingly., says Reddy.

MARCH­ING TO­WARDS TAR­GETS

Reddy says: “We now have set a de­posit target of `5.05 bil­lion, while our loans and ad­vances target is `7 bil­lion dur­ing 201819.” Re­cently the bank has in­tro­duced SMS alerts to all its cus­tomers. Soon, it in­tends to in­tro­duce in­ter­net bank­ing fa­cil­i­ties as well.

Amasa Raja Sekhara Reddy claims the NPAs of the bank have grad­u­ally re­duced to the cur­rent level of 4.73% from 7.94% in 2016-17

Newspapers in English

Newspapers from India

© PressReader. All rights reserved.