Banks working on customised portals for easy access on mobiles

Soon banks will start offering customised portals for customers which will make accessing the site through mobile phones easier. When a customer visits a bank's Web site using mobiles, it gets disproportionately aligned in the mobile screen. Icons that customers would normally like to see on the screen are often hidden and have to be searched for.To encourage more customers to use the mobile banking medium ,leading private and public sector banks are in talks with software providers to offer customised portals for mobile Web users.The mobile must have a GPRS connection for this.(BL19082010)

SBI LIFE tops global ranking for 2010

SBI LIFE INSURANCE has been ranked No. 1 life insurer across the globe for the year 2010,by the Million Dollar Round Table (MRDT) members.MRDT is an association of the world's best life insurance sales professionals.This is the second consecutive year in which the Bank has topped MRDT.In 2010 ,SBI Life has 2904 MRDT members ,up from 2677 in 2009.SBI Life is followed by the US New York Life and Korea's Samsung Life Insurance in the rankings.The Life Insurance Corporation of India is ranked 4th with 1218 members (BL19 08 2010)

SBI to launch floating rate term deposit product

SBI has decided to launch a floating rate term deposit product with returns linked to base rate.The floating rate term deposit is being launched to correct interest rate mismatches arising from floating rate assets being financed with fixed rate liabilities, said Mr.S.S.Ranjan,DMD,SBI.
The scheme will be introduced from September 6, a 1 year floating rate deposit will earn interest which is 50 basis points below the base rate(7.50%)ie, 7%.A 3 year deposit will fetch a return of 7.25% and a 5 year deposit will carry interest of 7.50% (BL17082010)

Banks meet on cards for base rate consensus

To put a lid on the guessing game by the banks on each other's base rate , the country's top bankers will meet soon -at the behest of SBI- to discuss the new loan pricing mechanism. The meeting would precede SBI's base rate announcement on June 15,a fortnight before its roll out ,the SBI Chairman said. Most banks are yet to decide about their base rate and the parameters to be taken into account for calculating the new benchmark. A key parameter is the cost of funds, which can cause a huge variance across banks. For example, if a bank takes overnight cost of funds ,which is very low,its base rate will also be significantly lower from a bank,which, for example, takes one-year average cost of funds into account.
Last year,a committee constituted by RBI, reviewed the present system of benchmark prime lending rate and decided to replace it with a base rate.The base rate will be computed after taking into account all costs,including the cost of deposits, the negative carry on CRR and SLR,overheads and employee expenses.Banks cannot lend to any category of borrowers below the base rate.(BS 27052010)

Edelweiss keen on banking foray,awaits RBI norms

Mumbai-based financial services firm Edelweiss is eyeing a banking foray,according to investment bankers. It will be joining the growing list of corporates,including Anil Ambani-promoted Reliance group, Aditya Birla group, Shriram Capital and Religare, which have already made known their intentions to seek a banking licence. Most of the players are waiting for the Reserve Bank of India (RBI) to come out with a fresh set of guidelines that would allow new private players in the banking sector after which they are expected to approach RBI for a banking licence.(ET 27052010)

PNB ties up with OICL

Punjab National Bank has tied up with Oriental Insurance Company Limited to offer a floater Health Insurance Policy covering the proposer and family under one sum insured.The product was launched by the Circle Head,PNB,Ernakulam at Kochi.The scheme is applicable to all PNB customers and employees.Under this,the beneficiary and family members(comprising the spouse and two children)will be covered in one policy and one sum assured.The sum insured floats for all the beneficiaries under the policy.The policy covers beneficiaries between the ages of 3 months and 80 years. (BL 26052010)

SBI to lend Rs20,000 Cr for 3G funding

State Bank of India (SBI) will be lending Rs 20,000 crore for telecom companies to pay for licences for the Third Generation(3G) mobile services. The rate of interest will be decided in one-to-one talks with the operators to whom SBI will be lending, said bank's chairman .The 3G funding would impact the liquidity of the bank in a big way. The SBI chairman said that as on March 31,2010,the bank had Rs40,000 crore liquidity,about 50% of which would go for 3G funding.On the business focus ,the chairman further said that the first focus of the bank would be in retail- home loans and auto loans in particular-followed by the corporate sector. The bank is expecting a 20% credit growth in 2010. (BL 23052010)