Gayatri UCB plans for eKYC, AePS, biometric authentication
Mobile banking transactions of the multi-state cooperative bank of Telangana grew 31% yoy:
The Gayatri Cooperative Bank has taken all the preventive measures and put in place business continuity plans to respond to covid. The bank’s CEO Vanamala Srinivas says the bank conducted a detailed study of the possible impact of covid on the overall performance of the bank and attempted to take all the the plausible and pragmatic remedial measures. “We have undertaken planning and executed these plans to face the pandemic. We expect to have only minimum impact on the continuity of our business growth and development,” says he.
CLIENTELE BASE UP
At present, the bank has a customer base of 678,300 and business of `13.59 billion. Srinivas says the bank has a good clientele compared to the size of the business (`24,762 average business per customer). Even during this pandemic year, the bank acquired 74,278 new customers and kept on expanding the clientele base, he adds.
The bank provides toll free banking services like, FD booking, balance enquiry, mini statement, stop cheque payment, cheque book request, etc. Some 58,766 customers are registered for the service.
MOBILE BANKING APP
The bank has recently launched ‘Gayatri Mobile Banking Application to offer digital service to the customers. The app has advanced features like login with multilevel authentication (MPIN and fingerprint authentication), QR code scanner for adding intra bank beneficiary account summary, mini statement, FD booking, transaction on/off, ATM transaction on/off facility, check favorite transactions, e-mail statement and more. The app was developed in-house with the help of CBS vendor BSG ITSoft. It is available on Android and iOS versions.
Srinivas says in view of the pandemic, most of the educated customers have started using mobile banking. During FY 2020-21, there are 46,259 newly registered customers for mobile banking and 21% of the bank’s total customers are using the mobile banking services. Mobile banking transactions have increased to 828,941 with 31% yoy growth and the total amount transacted was `18 billion (up 54%).
UPI: WELL ACCEPTED
The bank concentrated on providing hassle free digital payment channels 24x7 thereby minimizing the need for customers to visit the branches. The bank launched UPI services during 2020-21 and Srinivas says here has been considerable growth in all digital payment products. “We have started UPI services by end of October 2020 and there is good response from customers. Within 5 months, we touch 1.7 million transactions amounting to `4.54 billion,” says he.
CARD ACTIVATION, VOLUME UP
When an account holder registers for card security service, his debit card will be always in disabled / inactive mode. When he wants to do card transactions like ATM withdrawal, he has to dial the toll-free number of the bank, which will enable / activate the card for 10 minutes only. “We have received lot of appreciation for this service,” says Srinivas.
There has been a 42% yoy increase in debit card transactions to 360,6347 with the total amount transacted being `28.5 billion, up by 19.6%.
The Gayatri UCB has an IT team comprising 28 staff members, which has grown by 11 members last year.
CAPEX, OPEX UP
The bank’s capex and opex for FY 202122 for the purpose of digital initiatives are `22.63 million and `8.3 million, as against `18.57 million and `6.5 million in the previous year. The bank’s data center is at NetMagic Services.
CASH MANAGEMENT AT ATM
The bank’s non-interest i ncome like commission on ATM acquirer transactions decreased due to covid. Srinivas says the bank has taken a conscious step to keep its ATMs always filled with sufficient money, replenishing each ATM twice in a day. This has increased customer confidence, contributed to increased use of ATMs and ultimately resulted in income on acquirer transactions, says he.
The bank is also planning to provide video KYC services. “This is under testing stage now,” says Srinivas, adding “We shall launch this shortly. We will provide eKYC account opening, biometric authentication, IRIS authentication and micro-ATMs for all types of transactions, automatic reconciliation system, etc.”
The bank is also in the process of introducing AePS services and is proposing to launch banking correspondent services. “We plan to appoint 400 BCs to get 100,000 new customers and 20% of business from BCs in 2021-22. We plan to mobilize more CASA to reduce cost of funds,” says Srinivas.