idbi bank, one of the country’s fastest growing banks, has introduced a revolutionary new product called “Card-to-Card Money Transfer”. idbi bank is the first bank in Asia to provide this unique facility to its customers. With this unique product, customers can transfer funds from their bank account to any Visa card anywhere in India. This can be done simply & conveniently through idbi bank’s netbanking, ATM or branches.
“With this first-of-its-kind feature, idbi bank has fundamentally changed the C2C payment system in India. Now, the geography of the payer or the payee is irrelevant. Cheques, Demand drafts & money orders will soon go out of style,” said Mr. G.V. Nageswara Rao , Managing Director and CEO, idbi bank.
The advantage of this new product is that there is no need to know the location of the beneficiary and there is no geographical limitation within India. Furthermore, the payer can make the payment from anywhere in the country, as long as he has access to the internet or an idbi bank branch/ATM.
Added Mr. Rajan Ghotgalkar, Country Head - Retail Banking, idbi bank “idbi bank has always endeavored to use its high-technology platform to provide cutting-edge services to its customers. This is yet another example of our customer-focussed innovations.”
This payment system will leverage on the existing VISA inter-bank settlement process. Therefore, the card-to-card payment transfer process will work on an existing robust & tested system.
James Murray, Visa’s Executive Vice President Southeast Asia, said, " We are extremely happy to partner with idbi bank in the launch of the first Visa domestic money transfer facility in India and Asia Pacific. With the increasing volume of domestic fund transfer,this facility will contribute to increased efficiency as well as provide a cost effective option in the transfer of funds especially from the urban to rural segment.”
Card-to-Card Money Transfer allows customers to send money from their bank account or Visa card to over 23 million Visa cardholders across India in more than 150 cities. This transfer facility is supported by the wide acceptance infrastructure of the Visa network, which includes close to 13,000 Visa ATMs and 117,000 merchant accepting locations. With the constantly expanding debit card base in the country and its widespread issuance across all sections of the population, the Card-to-Card Money Transfer facility offers unmatched convenience and safety along with significant reduction in transaction costs as opposed to traditional money transfer services.
“While currently this new service is aimed at the C2C segment, going forward we see great potential to extend this seamlessly to C2B, B2C or B2B payments. As more banks catch up to increase usage, this has the potential to evolve into a new comprehensive payment system” said Mr. Shameek Bhargava , Head - Liabilities , Alternate Channels and Cards
About idbi bank
idbi bank, which has over 120 banking offices and over 315 ATMs spread across 85 cities, has planned its new branch network in urban as well as semi –urban areas across India. idbi bank’s performance during the first half-year was excellent; having recorded a net profit of Rs. 74.4 crores for the half-year ended September 2004. The net income during the period rose by 43.0% to Rs. 306.5 crores from a level of Rs. 250.8 crores year ago.
The Bank was able to register 54.6% growth in overall deposits with customer centric product designs and deepening of customer relationships. With its focus on low cost deposits, the bank was able to reduce its average cost of deposits to an all-time low of 3.7% in H1FY05 from 4.5% in H1FY04. On a 90-day overdue basis, idbi bank now has Net NPA/Customer Assets of 0.1% (Net NPA/Net advances of near Zero), which is amongst the best in the banking industry.
While strengthening its position in its traditional areas of business like retail and corporate banking, idbi bank has made successful forays into the Government Business as well securing CBDT and CBEC mandates to collect income tax and excise and service charges respectively. This initiative gives the Bank access to large businesses, further catalysing its growth plans. For more information, visit www.idbibank.com
Visa is the world's leading payment brand generating more than US$2.9 trillion in annual card sales volume. Visa has unsurpassed acceptance in more than 150 countries. The Visa organization plays a pivotal role in developing innovative payment products and technologies to benefit its 21,000 member financial institutions and their cardholders. Visa is a leader in Internet based payments and is pioneering the creation of u-commerce, or universal commerce, the ability to conduct commerce anywhere, anytime and any way. For more information, visit www.corporate.visa.com.
Visa in Asia Pacific
In Asia Pacific, Visa has a greater market share
than all other payment card brands combined with
62 percent of all card purchases at the point
of sale being made using Visa cards. There are
currently 229 million Visa-branded cards in the
region. During the 12 months ended 30 September
2004, US$455 billion was spent at point of sale
or withdrawn from ATMs in Asia Pacific using Visa
cards. Visa Asia Pacific’s Internet .