Country's largest lender, State Bank of India introduced a pre-paid card for blue collar employees and students coined as ‘State Bank of India smart payout card'.
"The new product will bring a large number of workers, contract labourers and dependent family members, who don't have access to the basic banking facilities within the ambit of financial inclusion," SBI Deputy MD (corporate strategy and new businesses) Mr. R K Saraf said.
The pre-paid card can be loaded with Rs 10,000 at a time with a monthly cap of Rs 25,000. This can also be used as add on card for the existing account holders.
SBI will charge Rs 102 as fees for issuing the card with a validity of 10 years.
"This card can be used by students, who normally carry the debit cards of their parents while studying outside of their native place. Also, employers can give such cards to their workers for salary payment," Mr. Saraf said.
According to the bank, relaxed KYC (know your customer) norm will be followed for getting these cards. Mr. Saraf also said that the card would also help the public sector lender to garner low cost deposits (CASA).
Referring to security features, he said that security features of this product are sound with less transaction risk.
He also said that the bank is in talks with corporates, SMEs, for use of these cards for their employees.