document.writeln("

SBI to offer loans to brokers
Mumbai: The country's largest commercial bank, the State Bank of India (SBI), is planning to launch a capital market product for the benefit of the broking community. For the first time the bank will provide guarantees to stock and commodity brokers, who need to place margins with exchanges for trades undertaken.

In the past, though SBI has extended guarantees on a highly selective basis to its clients, this is the first time the country's largest commercial bank is going to extend the same facility to brokers.

With the stock market sniffing new highs every week bank officials said that they see good demand at this juncture from brokers and see it as an opportunity to increase their fee-based income.

Banks charge a commission in the range of 0.75% to 1.25% of the guarantee amount plus processing charges. Brokers need to deposit 50% of the guarantee amount with the bank in the form of either cash in a term deposit or shares.

As on March 31 '05, SBI had advances of around Rs2,10,000 crore. As per RBI norms, banks can take an exposure to the capital market up to 5 per cent of net advances as at the end of the previous financial year.
Back to News Review index page  

Yes Bank introduces single PIN for multiple operations
Mumbai: The Yes Bank has introduced single PIN and two-factor authentication facilities, as part of its retail and corporate Net banking initiatives. According to the bank, customers can use the single personal identification number to operate ATMs, phone banking, as well as for Net banking.

The bank said that this facility would eliminate the multiplicity of several personal identification numbers.

Once a customer opens an account, he or she gets a debit card and one PIN number for the ATM, Internet and phone account. As per regulatory requirements, these numbers should be changed later, which also takes care of security issues.

The two-factor authentication, for all Internet banking transactions, is so far mandatory only in Hong Kong, though in some countries it is a standard one. Yes Bank is introducing this for the first time in India.

Currently, all Internet transactions require user-id and a corresponding password. Under the two-factor authentication, once the customer asks for a transaction, and gives his or her user-id and password, the system generates a password and sends it to the customer's mobile or e-mail id. Unless this one-time password is keyed in the transaction will not be complete.

Yes Bank has also introduced Real Time Gross Settlement for retail customers. There is no limit on the minimum amount that can be transferred and the bank will charge a flat rate of Rs100 per transaction.
Back to News Review index page  

SBI Cards regains domain name
Geneva: The World Intellectual Property Organisation has evicted the Australian entity that hijacked the domain name of SBI Cards hoping to later sell it for a hefty sum to the State Bank of India subsidiary.

Geneva-based Wipo has ruled in a recent decision in favour of SBI Cards & Payments Services Private Ltd by evicting the squatters from the site www.sbicards.com stating that it had constructed the website in 'bad faith' and has ordered transfer of the domain name to the State Bank of India.
Back to News Review index page