Bank of India plans to revamp its credit card business

Mumbai: Bank of India (BOI) is seeking to revamp its credit card business to enhance business from this segment and is reportedly considering the options of whether to have it in-house,  float a subsidiary or have the business in partnership with another bank.

BOI has about 7 lakh credit card holders at the moment and intends to focus on avoiding bad loans in the form of card debt. The bank has appointed consulting firm KPMG to make a recommendation.

To optimise its business mix, the bank is focusing on managing its non-performing assets (NPAs), while augmenting its fee-based income and resource position by concentrating on low cost current and savings accounts, and term deposits.

BOI is looking at tripling its fee-based income via sales of third-party products. Presently, the bank's fee-based income is about Rs 50 crore.