Banking major, State Bank of India has introduced the ‘Defence Salary Package-Army' for the officials of Indian Army.
A unique product, the Defence Salary Package-Army offers an array of subsidised banking services like concessional loans, complementary chequebooks, issuance of free drafts, free fund transfer across the SBI network of 15,000 branches and free ATM cards. The Defence Salary Package accountholders will continue to draw benefit from the product even after their retirement from the service.
The card would enable the army personnel posted in far-off areas to use modern banking facilities. SBI plans to add 13,000 ATMs to expand its existing network of 11,865 ATMs. Besides this, the bank also plans to have a network of business correspondents in un-banked rural areas to serve the banking needs of troops in such far off areas. This would be technically enabled by the SBI Tiny, a biometric smart card.
O.P. Bhatt, SBI Chairman, said, "Defence salary package is a gift wrapped with love from SBI employees to the Army."
Bhatt also revealed that the bank is eyeing to offer auto loans, home loans and personal loans to Army personnel at 25 basis points lower than the actual floor rates. The bank is also planning to offer a customised credit card for the armed forces. It is considered that once the product is rolled out for the entire army network, SBI will have nearly 12 lakh customers in its fold.