HDFC Bank and Vodafone India Launch m-Banking
In an effort to take banking to millions of unbanked Indians by leveraging the extensive use of mobile phones, HDFC Bank and Vodafone India have launched HDFC Bank MobileBank Account with Vodafone m-paisa nationally. Through this arrangement, customers can now perform basic banking transactions on the mobile phone and even deposit and withdraw cash, at appointed Vodafone m-paisa outlets, without having to go to bank branches.
HDFC Bank has appointed a Vodafone India subsidiary company as a corporate business correspondent, thereby allowing the telco’s select retailers to represent the bank as sub-agents. By providing banking transactions at such sub-agents, this HDFC Bank-Vodafone India partnership effectively delivers last mile access to remote areas.
Rahul Bhagat, country head – retail liabilities, marketing and direct banking channels, HDFC Bank, said: “There are 600,000 habitations but only about 89,000 bank branches in the country, making access to banking services difficult in remote areas. With this in mind, the partnership between HDFC Bank and Vodafone India is path-breaking as it leverages the telco’s significant distribution reach and provides customers the security of financial transactions offered by a bank. Importantly, all segments of society have demonstrated they are comfortable with using mobile phones.
“So, with HDFC Bank MobileBank Account and Vodafone m-paisa, anyone can open a savings account and transact at a bank-appointed outlet convenient to them, with the same sense of trust and security as if they were in a bank branch. HDFC Bank has a board-approved plan to bring 10 million families under financial inclusion over a five-year period and we see this initiative, helping us achieve that objective.”