What is/are the facility/facilities the beneficiaries can get from the services of Business Correspondent (Bank Saathi) in branchless areas?
- It enables the beneficiaries to draw their subsidies and social security benefits in their villages.
- It enables the beneficiaries in the rural areas to make deposits and withdrawals.
Select the correct answer using the code given below.
[UPSC Civil Services Exam – 2014 Prelims]
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
- The Business Correspondent (BC) Model was initiated by the Reserve Bank of India (RBI) in 2006 to upgrade financial inclusion in India.
- Business Correspondents are agents who represent banks and are responsible for delivering banking services at locations other than a bank branch/ATM.
- It enables government subsidies and social security benefits to be directly credited to the accounts of the beneficiaries, enabling them to draw the money from the bank saathi or business correspondents in their village itself.