How you can get loans from Bandhan Bank at 3% lower rate: Pay EMI at bank branches
, ET Bureau|
Nov 16, 2017, 11.10 PM IST
MUMBAI: Bandhan Bank is offering lower interest rate to customers who are willing to pay monthly instalments at bank branches while customers who want to avail doorstep services for collecting monthly instalments have to pay more.
Speaking to ET, Chandra Sekhar Ghosh, MD and CEO of Bandhan Bank said that the bank is charging 3% less to those customers who are willing to come to their branches to pay loans. This offer is only for the micro loans which have a cap of Rs 1.5 lakhs.
"We are charging lower rates because it saves us the time to visit customers and thus we have differentiated pricing," he said. The bank has over 800 branches across India.
"However the response is lukewarm because people who are running their business do not want to leave it unattended and come to the branch to repay the loan. So they prefer doorstep service," he added. Speaking at an event organised by State Bank of India, he said that there two main challenges for achieving financial inclusion – customer education and connectivity.
He said that educating customers about financial product is an ongoing exercise because as soon as they are educated to open a bank account, they will have to be taught on how to operate them and later on issues like how to maintain secrecy about password. He also pointed that internet connectivity is another the biggest challenge in retaining customers in banking system. At times customers are standing in long queues because the connectivity issue and they may affect confidence in the bank, he said.
Speaking to ET, Chandra Sekhar Ghosh, MD and CEO of Bandhan Bank said that the bank is charging 3% less to those customers who are willing to come to their branches to pay loans. This offer is only for the micro loans which have a cap of Rs 1.5 lakhs.
"We are charging lower rates because it saves us the time to visit customers and thus we have differentiated pricing," he said. The bank has over 800 branches across India.
"However the response is lukewarm because people who are running their business do not want to leave it unattended and come to the branch to repay the loan. So they prefer doorstep service," he added. Speaking at an event organised by State Bank of India, he said that there two main challenges for achieving financial inclusion – customer education and connectivity.
He said that educating customers about financial product is an ongoing exercise because as soon as they are educated to open a bank account, they will have to be taught on how to operate them and later on issues like how to maintain secrecy about password. He also pointed that internet connectivity is another the biggest challenge in retaining customers in banking system. At times customers are standing in long queues because the connectivity issue and they may affect confidence in the bank, he said.
