IIT report on financial inclusion: ‘Changes in banking, charges, KYC process’

A report from IIT Madras has proposed significant changes in banking transactions, charges and know-your-customer (KYC) process to take banking facilities to low-income group and remote areas of the country.

The report has proposed easier cash in cash out (CICO) access by allowing individuals like kirana store owners and tradesmen to function as business correspondents (BCs) to reach the end customer, particularly in the remote parts of the country. Banking charges for even purely digital transactions like exceeding free number of transaction limit, insufficient balance, ECS bounce, standing instructions, SMS updates should be re-evaluated, according to the report prepared by IIT Madras Research Park (IITMRP), India’s first University-based Research Park, and IITM Incubation Cell.