Friday, November 30, 2012

Oriental Bank launches 2 RuPay card variants

Oriental Bank of Commerce (OBC) on Saturday became the first bank to offer ‘RuPay Kisan Card’ with ‘Aadhaar’ authentication.
The Aadhaar number (unique identification number of the farmer) is stamped on to the card and on the magnetic strip behind it, making its use easier on micro-ATMs.
This is expected to provide a further thrust to the financial inclusion initiatives of the bank.
This will help a customer (farmer) with the Kisan card to not only withdraw funds from any ATM, but also use micro-ATMs through biometric authentication.
RuPay Kisan card will be issued by OBC to a select group of customers who now avail of the Kisan credit card facility from the bank.
In all, OBC has 4.41 lakh Kisan credit card accounts. So, potentially, this Kisan card could be handed out to at least 4 lakh existing customers.
OBC became the 25{+t}{+h} bank to use RuPay, a domestic card network set up by the National Payment Corporation of India. The NPCI’s debit card platform was launched in March last year. S. L. Bansal, Chairman and Managing Director, OBC launched two variants of the RuPay cards — RuPay ATM card and RuPay Kisan card.

Lower costs

These cards will significantly reduce transaction costs for the bank as the costs involved in RuPay debit card system are lower than the existing international card schemes. “The cost saving for OBC will be as high as 75 per cent”, said Bansal.
He also urged OBC’s 18,000-strong workforce to go in for RuPay ATM card. “Although we are a late entrant into the RuPay debit card payment platform, we should look at beating the big peer banks in terms of usage”.
Bansal said the RuPay cards would be given free to the bank’s customers.
A. P. Hota, Managing Director and CEO, NPCI, said currently around 1.2 million debit cards (issued by 25 banks) were under the RuPay platform. The RuPay system has been activated in 54,000 of the 6.5 lakh point of sale (POS) terminals in the country. By January next year, all the 6.5 lakh POS will be covered, Hota said.

Tuesday, November 20, 2012

RuPay cards to be acceptable at all PoS terminals by Jan

According to National Payment Corporation of India, at present it is accepted in 48,000 merchant terminals 

RuPay, the domestic debit card payment platform, launched by the National Payment Corporation of India, is likely to be acceptable at all PoS (point of sales) terminals in the country from January, a top NPCI official said here today.

"The RuPay will be acceptable at all PoS terminals from January. At present, it is accepted in 48,000 merchant terminals," NPCI Managing Director and Chief Executive A P Hota told reporters here on the sidelines of a banking summit organised by FICCI and IBA.

According to the RBI data, there are around 91,000 ATMs and 6.5 lakh PoS terminals in the country now. While the RuPay cards, launched in April last year, is acceptable at all ATMs, most of PoS terminals are yet to accept it.

PoS terminals are devices where debit and credit cards are swiped to carry out electronic transactions.

At present, around 22 banks use the RuPay card-based payment system in the country. While commercial banks like Union Bank of India, Bank of India, State Bank of India and Axis Bank have joined the RuPay network, the rest 18 banks comprise of regional rural banks (RRBs) and co-operative banks.

"We hope that many more banks will join the new payment system in the near future," Hota said, adding it will come up with an international debit card next June.

Hota also said given the cost advantage, which is around 40% lower than the international payment systems like Visa or MasterCard, banks would adopt RuPay to save cost.

Talking about the launch of credit cards, he said they are concentrating on debit card segment for three years, after which, they would look into credit card space.

Thursday, November 8, 2012

NPCI Selects Thinksoft To Validate Its Payments Systems

Thinksoft Global Services Limited (Thinksoft), the Financial Software Testing Company, has announced that the National Payments Corporation of India (NPCI) has signed up to utilise and leverage Thinksoft’s expertise and support services to enhance the quality of NPCI’s compliance and certification programmes related to its products and services.

Thinksoft will design and develop the compliance program set-up, study the certification program practices, review and suggest improvements in the process, define the certification program and the certification authority. The project duration is for 3 years.

NPCI, on behalf of banks in India, is setting up RuPay, the Indian domestic card payment network, which has the approval of the Reserve Bank of India. RuPay intends to bring down the overall transaction cost for the banks in India, provide card payment options to banks, develop products for financial inclusion of the common man and thereby build an environment to shift cash payments to electronic payments.

A P Hota, MD and CEO, NPCI said, “It was through a tender process where two service providers were selected, one of which is Thinksoft,   to develop and implement Compliance Programme and support NPCI in certifying member banks and institutions of their compliance to NPCI’s standards in respect of its various business products and services. NPCI proposes to leverage Thinksoft’s expertise to effectively undertake the project.”

Asvini Kumar, Managing Director, Thinksoft said, “The NPCI project is very close to Thinksoft’s mission of leveraging our expertise to support organisations enhance their customer experience by optimising their systems, offerings and products. It is an acknowledgement of Thinksoft’s core expertise in focused testing methodology, testing process, and the years of sustained and exemplary performance in the BFSI, that NPCI has decided to entrust Thinksoft with the critical assignment.”

Thinksoft will be setting up an exclusive test bench, and will have experienced project managers working on defining the compliance program, test requirements definition and certification program execution.

Syndicate Bank launches RuPay Kisan Card

Syndicate Bank has set an ambitious target to achieve Rs 3.5 lakh crore total business by March 2013.
Speaking at the bank’s 87th Founders Day celebration, M.G. Sanghvi, Chairman and Managing Director, Syndicate Bank, said so far the bank has achieved Rs 2.85 lakh crore of business. 

“This target is achievable for us. We are in the process of rolling out 200 more branches and this will help us achieve it,” he added. 

To mark the Founders Day, the bank introduced new products - Syndicate Bank International VISA Gold Debit Card, Syndicate Bank RuPay Kisan Card, SyndNavarathna - a savings account for salaried class and Online Donations Payment Towards the Prime Minister’s National Relief Fund. 

M. Anjaneya Prasad, Executive Director of Syndicate Bank, said “The bank in association with National Payment Corporation of India (NPCI) will be issuing Syndicate Bank RuPay Kisan Card to farmers, who have availed Kisan credit card facility from the bank.” 

“The card is enabled for ATM Cash withdrawal. The RuPay Kisan card will give further thrust to the financial inclusion initiatives by offering low-cost payment system,” he added. 

The bank’s SyndNavaratna is a savings bank account targeted towards the salaried employees.
The product has nine features such as Zero Balance, Sweep-in–Sweep out facility, overdraft facility etc.
Uttam Nayak, Group Country Manager – India & South Asia, VISA, explained that the SynidcateBank VISA Gold Debit Card is bearing the name and photo of the cardholder.