Emergence of Doorstep Banking - Merits and Demerits

Doorstep banking allows customers to have basic banking transactions conducted at their home or office by an agent rather than visiting a branch. It offers convenience but banks must implement robust security and tracking systems to safely manage these services across multiple locations. While beneficial for customers, doorstep banking also presents challenges for banks in ensuring timely and accurate service over a wide geographical area.

Uploaded by

mani

We take content rights seriously. If you suspect this is your content, claim it here.

Available Formats

Download as PPTX, PDF, TXT or read online on Scribd

100% found this document useful (1 vote)

370 views11 pages

Emergence of Doorstep Banking - Merits and Demerits

Uploaded by

mani

We take content rights seriously. If you suspect this is your content, claim it here.

Available Formats

Download as PPTX, PDF, TXT or read online on Scribd

You are on page 1/ 11

Emergence of Doorstep

Banking - merits and demerits

Anuja Thilagaraj
HPGD/OCT18/1656
SPECIALIZATION- FINANC E
Introduction:
 There is an increasing expectation from customers for better service from their banks. The
availability of ATMs for 24 hour banking is also not seen as sufficient. More and more customers look
for getting banking transactions done sitting in their homes or offices. This has led to the concept of
Doorstep Banking getting more and more volumes.
 While, the services to be offered are simple; the timeliness and urgency towards the customer poses
a big challenge specifically because the geographical reach are very important.
 These services are already being handled well through phone calls and third party service providers.
However, to handle higher volumes with reduced errors we have evolved the Doorstep Banking
solution.
 As also defined in Regulatory guidelines, Banks now offer the following banking services to all of
their customers at their doorstep:
• Cash pick up and delivery
• Instruments/Cheque pick up
• Instruments (DD/PO) delivery
 In order to manage / track/ evaluate these services centrally, there is need of robust system
integrating central unit, hub branches, spoke branches & service provider agency. This system should
enable the faster mode of communication between central unit, hub branches, service provider &
customer thus reducing the turnaround time so that each customer is serviced effectively.
What is doorstep Banking?
 Doorstep banking is a facility provided to you so that you
don't have to visit your bank branch for your routine
banking activities like cash deposit, cash withdrawal,
cheque deposit or making a demand draft. The bank
extends these facilities at your work place by appointing a
service provider on your behalf. Doorstep banking software
has been built with an objective to provide support to any
doorstep services providers. A dynamic structure of each
pick-up agencies their reporting branches and each
Customer is maintained. Through system generated alerts
each CIT is coordinated thus reducing manual effort, cost
and confusion.
How do you use doorstep banking?

 9) The service request shall be initiated in the Doorstep Banking web portal
in the mobile carried by the DSB Agent. Customer shall input Case ID and
Verification Code in the web portal to initiate the transaction. The customer
will receive SMS for the completion of transaction.
Benefits

 Cost effective Model.

 Improved Business Acquisition.
 Secure authentication modes.
 Increasing the security by reducing cash transactions.
 Offer convenient and real time transactions.
 Flexible, expandable access points by agent network.
 Real-time Accounting status using 2G / 3G / 4G network connectivity.
Design Architecture / Framework
 The Doorstep banking Application is developed using Web based 3-Tier
architecture. The components of 3-Tier architecture are User Interface (UI)
layer, Business layer and Data Access (DA) layer etc.
 The Overview of entire solution is shown as follows:
 Target (Production) Hardware & Hardware Interfaces.
 Web Server: Server class machine with at least 250 MB of disk space and
minimum 512 MB RAM
 Application User :Any desktop/laptop machine with appropriate disk space.
 Technical Architecture: Enabling Software & Interfaces ON SERVER
 Server Operating System: Windows® / Linux 
 Database Server: MySQL Version 4.1.x through 5.1.x
 Web Server: Apache 
 SMS Gateway: SMP
 Mobile App: Android 7
LIMITATIONS

 Small sample size

 Possibility of biased responses.
 Possibility of errors in questionnaire.
 Some bank may charge extra charges.
 Banks may apply more rules and regulations of which
customer not aware.
CONCLUSION
 Bank is offering the DSBS to its customers (Individual /Non
Individual/Corporate) who are interested to avail the said services, for pick
up of cash and delivery of cash from the door step of customer: The services
are to be offered only to those customers in whose case proper KYC
procedures have been followed. The service should be offered either at the
residence or at the office of the customer. Customers will be pre-registered
for this scheme. An agreement will be entered into with customer.  The
DSBS include:
 i. Pick up of Cash - Maximum Limit up to Rs. 2.00 crores
 ii. Delivery of cash against cheques received at the counter or through Fax –
Maximum Limit Rs. 50 lacs.
 iii. Pickup instruments (like cheques, drafts/Pay orders, dividend warrants
etc. for clearing) This shall be offered as a complimentary facility to
customers simultaneously along with cash pick up for which no charges to be
paid.
• It’s convenient Transact from your premise.