Posts Tagged ‘Cosmetics’

Bank Sector- were the Money of the Country is organized

September 23rd, 2022

In India the contemporary banking system commenced since late 18th century. The General Bank of India and Bank of Hindustan (1770-1829) were among the cardinal banks established in India. In the allotment criteria of British East India Company,Guest Posting Bank of Bombay, Bank of Madras and State bank of India (SBI) were the three presidency banks established among which SBI is the oldest and the largest bank still in the perseverance. In 1921, Imperial Bank of India was formed uniting these three banks. Thereafter, India’s independence provoked it as State Bank of India in 1955.

After the nationalization in Indian government, all the banks have dwelled under government domination which is run by a commercial profit-making Public Sector undertaking (psu). The Indian bank sectors include PSUs, state banks, new private commercial banks (in 1990s) and some prime foreign banks. National Bank of Agriculture and Rural Development has being popularized with micro finance any many other facilities for the distant Indian regions like in rural India. The government controls 84% of the total branches.

In the Public Sector Banks, a majority stake is held by the Central government and after the normalization these banks were established to distribute the economic and wealth endowment.

There are 26 Public Sector Banks (PSBs) in India which includes Allahabad Bank Andhra Bank, Bank of Baroda, Bank of India, Bank of Maharashtra, Canara Bank, Central Bank of India, Corporation Bank, Dena Bank, IDBI Bank, Indian Bank, Indian Overseas Bank, Oriental Bank of Commerce, Punjab and Sind Bank, Punjab National Bank, Syndicate Bank, UCO Bank, Union Bank of India, United Bank of India, Vijaya Bank, State Bank of India and some banks affiliated to SBI-

*State Bank of Bikaner and Jaipur,
*State Bank of Hyderabad,
*State Bank of Mysore,
*State Bank of Patiala,
*State Bank of Travancore,
*State Bank of Saurashtra.

In Private Sector Banks, majority of the stake and handling of the business activities of these banks is held by private shareholders but not by the government. Due to professional management and organized structure these sector banks have become durable. This type of banking was the ancient way of banking in the banking sector.

Private Banks include Bank of Bengal, Bank of Bombay and Bank of Madras which were later acknowledged as Imperial Bank of India. In 1935, all the functionalities any responsibilities were possessed by Reserve Bank of India (RBI). RBI’s liberalization caused the formation of some new licensed private banks among which Housing Development Finance Corporation Limited was the first who got acquired its license from the RBI.

The new private sector banks were Catholic Syrian Bank, City Union Bank, Dhanlaxmi Bank, Federal Bank, ING Vysya Bank, Jammu and Kashmir Bank, Karnataka Bank, Karur Vysya Bank, Lakshmi Vilas Bank, Nainital Bank, Ratnakar Bank, SBI Commercial and international Bank, South Indian Bank, Tamilnad Mercantile Bank Limited and United Western Bank.

ID Authentication in Banking Applications

March 21st, 2022

Global financial institutions are faced with a growing need to “know” – identify and authenticate – their customers, to prevent fraud losses, the funding of terrorism, money laundering, and tax evasion. Failure to comply with proper identification of the institutions customers can result in monetary losses, fines, and bad publicity.

Current ID Verification Practices at Financial Institutions

Financial institutions typically verify ID for the following types of transactions:

Account Opening: The Patriot act initially required institutions to retain a copy of the ID presented during the account opening. This was subsequently reduced to requiring only the recording of key information proving that ID was verified (e.g. driver’s license number). While it may suffice to note the ID number, a simple clerical error, such as transposing numbers may invalidate the proof of the ID verification. Capturing the ID card during the account opening process confirms that the ID was verified, and opens the door for better subsequent interactions with the customer. Possibilities include: a) Adding the photo ID to a bank-issued debit or credit card, without the need for photo capture equipment. Small photo IDs are used by warehouse clubs in combined member/credit card applications. b) Showing the ID/photo, personal characteristics, and signature to the teller during a transaction to reduce ID fraud.
Routine Transactions: Machine-readable identification cards (ID cards, credit/debit/ATM cards) can be used to identify a customer. The teller application can pre-populate information about the customer to speed up the transaction, and to create a more pleasant customer experience.
Cash Withdrawals: ID cards are typically required for any cash withdrawal by a customer at a branch unless the withdrawal is at the customer’s home bank and the customer is personally known to the bank employee.
Large Transactions: Financial institutions typically require multiple pieces of ID for transactions over a certain amount threshold, including transfers and deposits. This is necessary because losses can occur with large deposits (such as cashier’s checks) where the deposit is a forgery, but only detected after the amount was withdrawn.
Check cashing: A recent FDIC survey (1) showed that 7.7% US households are unbanked, and over a quarter – 25.6 percent – of all households either don’t have a checking or savings account at all, or have a bank account but still choose to rely regularly on “alternative financial services” like payday lenders and pawn shops. Serving these customers can be profitable, especially in a tough economy, but require solutions to positively identify a person who is not a customer of the financial institution. This business is today largely handled by check cashing stores, pawn brokers, but increasingly viewed as an opportunity to bring customer into stores (such as convenience stores and gas stations) by offering check cashing services. In check cashing applications, the ID card is required for initial account registration and for subsequent check cashing transactions.
Government Regulations: ID verification is required for any financial transaction that may require government reporting, such as in the US cash transactions over $10,000. In countries with foreign exchange regulations, transactions need to be reported by government ID number. Most foreign exchange windows require a valid ID.

Developments in Identification Documents

Post 9/11, it has become evident that government-issued identification (passports, national ID cards, driver’s licenses) were not sufficiently protected against forgery. The 9/11 Commission recommended that the U.S. improve its system for issuing identification documents, urging the federal government to set standards for the issuance of sources of identification.

For international travel, the International Civil Aviation Organization (ICAO) issues a standard for biometric passports, or e-passports. E-passports include biometric information on the passport holder on a secure chip. Public key infrastructure is used to authenticate the data stored on the passport chip. The United States (2) and most of the EU nations have adopted e-passports for all new passports issued.

Passports are only required for international travel, and are not typically used as ID in domestic commercial transactions where state-issued driver’s licenses are the primary identification documents.