You are on page 1of 18

About usThe Bank has a very humble but a very inspiring beginning.

On 14th September 1918 , "The Saraswat Co-operative Banking Society" was founded. Mr. J.K. Parulkar became its first Chairman, Mr. N.B. Thakur, the first Vice-Chairman, Mr. P.N. Warde, the first Secretary and Mr. Shivram Gopal Rajadhyaksha, the first Treasurer. These were the people with deep and abiding ideals, faith, vision, optimism and entrepreneurial skills. These dedicated men in charge of the Society had a commendable sense of service and duty imbibed in them. Even today, our honorable founders inspire a sense of awe and respect in the Bank and amongst the shareholders.

The Society was initially set up to help families in distress. Its objective was to provide temporary accommodation to its members in eventualities such as weddings of dependent members of the family, repayment of debt and expenses of medical treatment etc. The Society was converted into a full-fledged Urban Co-operative Bank in the year 1933.

The Bank has the unique distinction of being a witness to History. The Bank, which was originally founded in 1918, i.e. close on the heels of the Russian Revolution, also witnessed as a Society and as Bank-the First World War, the Second World War, India's freedom Movement and the glorious chapter of post-independence India. During this cataclysmic cavalcade of history, the Bank as a financial institution and its members could not of course remain unaffected by the economic consequences of the major events. The two wars in particular brought in their wake, paucities of all kinds and realities and stand by its members in distress as a solid bulwark of strength. The Founder Members and the later-day management's of the Bank continued to demonstrate their unwavering faith in the destiny of the common man and the co-operative movement and they encouraged the shareholders to save despite all odds.

MISSION STATEMENT "To emerge as one of the premier and most preferred banks in the country by adopting highest standards of professionalism and excellence in all the areas of working !!!"

MILESTONES Thanks to these sustained and assiduous efforts over 25 years after its inception, the Bank had gained Strong foundation in terms of its membership, resources, assets and profits. By 1942, the Bank was fulfilling all the banking needs of its customers. During the late fifties, the Bank grew from strength to strength. The Bank had established five branches within the city of Mumbai and one each at Pune and Belgaum. In its 50th year, the Bank chose a bee motif to symbolise the Bank's emblem - a fitting and appropriate characteristics of a Bank that believed in hard work, a search for all that is good, a team spirit to achieve its objectives

and a selfless service to its members and customers. The Bank has grown in stature, progressed in its social and economic objectives and produced an image of what an ideal bank should be. Resultantly, in the year 1977-78, the Bank's gross income crossed the Rs.3.00 crore mark for the first time. Last two decades the Bank has witnessed a steady growth in the business. The bank has a network of 205 fully computerised branches covering six states viz. Maharashtra, Gujrat, Madhya Pradesh, Karnataka, Goa and Delhi. The Bank is providing 24- hour service through ATM at 101 locations. In 1988 the bank was conferred with "Scheduled" status by Reserve Bank of India.The Bank is the first co-operative bank to provide Merchant Banking services.The Bank got a permanent license to deal in foreign exchange in 1978. Presently the Bank is having correspondent relationship in 45 countries covering 9 currencies with over 125 banks. In 1992 Bank completed 75 years. Platinum Jubilee Celeberations were inaugurated on 14th September,1992. Bank also crossed the business level of Rs 700 Crores The Beginning of the 21st Century has been a giant leap forward for the Bank. Bank chose a path of organic/inorganic growth and our pace of growth accelerated .Bank's total business which was around Rs 4000 Crore in 2000 almost tripled to Rs 15295 Crore in 2007. The Business of the Bank as on 31st March 2009 had crossed Rs 21000 Crores. Bank in the year 2008 launched the Branding Initiative .The purpose of such an exercise was to reconfirm the thrust of Bank on its core values ,which can be summed up as "Sense of Belonging ".The name of the Bank should always inspire the Sense of Belonging in all its stakeholders and that Bank continues to fulfill the changing needs and expectations of the customer with unflinching gusto and aplomb . As on 31 st March,2010 Bank had surpassed the business level of Rs 23000 crore business. Bank by 1st November,2010 has already surpassed the business level of Rs 25000 crore . It is a matter of immense pride for the Bank that Bank's new Corporate Office at Prabhadevi Mumbai has recently become operational.The office reverberates our strong presence in the financial capital of the country. The massive edifice in crystal glass in heart of Mumbai gently reminds everyone of the numero -uno position which the Bank holds in the Cooperative Sector. The usage of state of art technology coupled with personal ambience's to make everybody comfortable once again reiterates Bank's adherence to "Think Global, Act Local".The address of our new corporate office is as under: The Saraswat Coop Bank Ltd, Corporate Center Saraswat Bank Bhawan Plot no 953, Appasaheb Marathe Marg Prabhadevi,Mumbai -400 025 Telephone :022-6600555

Profile"Service to the Common Man" has been the motto of Saraswat Bank for the last 91 years. Bank inspite of its growth in size has been able to offer to the customers the dual advantage of "Ability of Big Banks and Agility of Small Banks" The Bank still continues to function with the glorious tradition in public services Besides being the largest Urban Co-operative Bank in India, Saraswat Bank has now become the largest in Asia. Saraswat Bank has now 205 fully computerised branches, 12 Zonal Offices and 23 departments located across 6 States viz. Maharashtra, Goa, Gujarat, Madhya Pradesh, Karnataka and Delhi. Saraswat Bank attributes this success to its undying spirit to serve the common man and to the sharpening of its competitive edge by constantly upgrading technology to match international standards. The Bank is fully computerised and offers convenient working hours. Saraswat Bank has introduced a wide range of credit schemes at attractive interest rates, which has become very popular, especially among the middle-class in view of the easy repayment plans. Bank offers attractive interest rates on deposits and also various add on features at very market competitive rates .

Board of DirectorsChairmanShri. E.K.Thakur, B.A. (Hons.), C.A.I.I.B Vice-ChairmanShri.K.V.Rangnekar M.A. (Sociology) AdvisorShri. N. R. Warerkar, B.Com., C.A.I.I.B. DirectorsShri. M.K..Mantri,M.A. Shri. A. V. Dubhashi, B.Com, A.C.A Shri. S. V. Deshpande, B.Com, L.L.B. Shri. S. S. Sanzgiri, B.A.(Economics) Shri. S. S. Shirodkar, Diploma (Industrial Electronics), Post Diploma in Management Shri A. A. Pandit, B.Com, F.C.A, DBF Shri H.M. Rathi,B.Com,C.S. (Inter),ICWA(Inter) Shri S.V. Saudagar,B.Com (Hons) ,F.C.A.,D.I.S.A. Shri S.D. Panse,B.Com,F.C.A. Dr. (Mrs.) A. P. Samant, M.B.B.S Shri.M.V. Desai, B.Com Dr.S.V. Bhende,M.A., Ph.D.(Economics) Managing Director Shri. S.K.Banerji, B.Sc. (Hons.), D.B.M., L.L.M.

Customer Centric Banking(Bank s Customer Related Policies) Bank has traditionally shown immense concern for the customers and its purpose of inception was to fulfill the needs of Small Man. Bank has progressed with the old values . We are today more conscious of customer needs and are continuously aspiring to add value to the customer by offering excellent customer service and a wide range of products. Bank has also designed Customer Centric Policies for various services in the Bank with the purpose of introducing more transperancy in providing effective customer service. Bank has heavily leveraged on technology to offer many technology enabled products like SMS Banking , Debit card in tie up with VISA and Net Banking. All Branches of the Bank are linked through Core Banking. The customer centric approach has made Bank very conscious of its social responsibilities. Bank has taken various measures to provide employment to Kith and kin of individuals who have suffered or gave up their lives for saving the honour and integrity of the country.

Bank s Policy for Grievance Redressal ObjectiveThe bank's policy on grievance redressal follows the under noted principles. treated fairly at all times. Complaints raised by customers are dealt with courtesy and on time Customers are fully informed of avenues to escalate their complaints/grievances within the organization and their rights to alternative remedy, if they are not fully satisfied with the response of the bank to their complaints. Bank will treat all complaints efficiently and fairly as they can damage the bank's reputation and business if handled otherwise. The bank employees will work in good faith and without prejudice to the interests of the customer. Customers be

Introduction In the present scenario of competitive banking, excellence in customer service is the most important tool for sustained business growth. Customer complaints are part of the business life of any corporate entity. This is more so for banks because banks are service organizations. As a service organization, customer service and customer satisfaction should be the prime concern of any bank.

We believe that providing prompt and efficient service is essential not only to attract new customers, but also to retain existing ones. The policy document aims at minimizing instances of customer complaints and grievances through proper service delivery and review mechanism and to ensure prompt redressal of customer complaints and grievances. In order to make bank's redressal mechanism more meaningful and effective, a structured system has been built. This would thus ensure that the redressal sought is just and fair and is permissible within the given framework of rules and regulation. The customer has full right to register his complaint if he is not satisfied with the services provided by the bank. He can give his complaint in writing, orally or over telephone. If customer's complaint is not resolved within given time or if he is not satisfied with the solution provided by the bank, he can approach Banking Ombudsman with his complaint or other legal avenues available for grievance redressal.

Internal Machinery to handle Customer complaints/ grievances Nodal Officer (NO) to handle complaints and grievances The Nodal Officer will evaluate feedback on quality of customer service received from various quarters. The NO will also review comments/feed-back on customer service and implementation of commitments to . The Nodal Officer is responsible for the implementation of customer service and complaint handling for the entire bank. The NO will be responsible to ensure that all regulatory instructions regarding customer service are followed by the bank. Towards this, the NO will obtain necessary feedback from zonal/regional. The NO will also consider unresolved complaints/grievances referred to it by functional heads responsible for redressal and offer his advice. The NO will submit report on its performance to the CENMAC at quarterly intervals.

Display requirements The Bank has provided; Appropriate arrangement for receiving complaints and suggestions. The name, address and contact number of Nodal Officer

Contact details of Banking Ombudsman of the area The complaint form is made available on the Website. Code of bank's commitments to customers/Fair Practice code is also made available on Banks website. Resolution of Grievances Branch Manager is responsible for the resolution of complaints/grievances in respect of customer's service at the branch. He would be responsible for ensuring closure of all complaints received at the branches. It will be his foremost duty to see that the complaint should be resolved completely to the customer's satisfaction and if the customer is not satisfied, then the customer would be provided with alternate avenues to escalate the issue. If the branch manager feels that it is not possible at his level to solve the problem he will refer the case to Zonal Incharge for guidance. If Zonal Incharge finds that they are not able to solve the problem such cases may be refereed to the Nodal Officer. Time frame Complaint is seen in the right perspective by the Bank as they indirectly reveal a weak spot in the working of the bank. Complaint received will be analyzed from all possible angles. Specific time schedule is set up for handling complaints and disposing them at all levels including branches, zonal and head office. Branch manager will try to resolve the complaint within specified time frames. The complaints received at the Branch level will be resolved within 7 days. Communication of bank's stand on any issue to the customer is a vital requirement, as such, Complaints received which would require some time for examination of issues involved will invariably be acknowledged promptly. In case if the customers are not satisfied with the response at the Branch level they will be fully informed of avenues to escalate their complaints/grievances within the organization and their rights to alternative remedy. If customer's complaint is not resolved within 45 days or if he is not satisfied with the solution provided by the bank, he can approach Banking Ombudsman with his complaint or other legal avenues available for grievance redressal.

Interaction with customers

The bank recognizes that customer's expectation/requirement/grievances can be better appreciated through personal interaction with customers by bank's staff. Structured customer meets, will be held once in a quarter by the Zonal in charge at the Zonal Office, so as to pass on the message to the customers that the bank cares for them and values their feed back/suggestions for improvement in customer service. As many of the complaints arise on account of lack of awareness among customers about bank services, such interactions will help the customers appreciate banking services better. As for the bank the feed back from customers would be valuable input for revising its product and services to meet customer requirements.

Training to operating staff on handling complaints Staff is properly trained for handling complaints. As Banks deal with people and hence difference of opinion and areas of friction do arise. Nodal Officer ensures that internal machinery for handling complaints/grievances operates smoothly and efficiently at all levels. The training needs of staff at various levels are informed to HR Dept from time to time. The policy document is made available at all branches. The concerned employees are made aware about the Complaint handling process.

Deposit Policy
Banks Deposit Policy
1. PREAMBLE One of the important functions of the Bank is to accept deposits from the public for the purpose of lending. In fact, depositors are the major stakeholders of the Banking System. The depositors and their interests form the key area of the regulatory framework for banking in India and this has been enshrined in the Banking Regulation Act, 1949. The Reserve Bank of India is empowered to issue directives / advices on interest rates on deposits and other aspects regarding conduct of deposit accounts from time to time. With liberalization in the financial system and deregulation of interest rates, banks are now free to formulate deposit products within the broad guidelines issued by RBI. This policy document on deposits outlines the guiding principles in respect of formulation of various deposit products offered by the Bank and terms and conditions governing the conduct of the account. The document recognizes the rights of depositors and aims at dissemination of information with regard to various aspects of acceptance of deposits from the members of the public, conduct and operations of various deposits accounts, payment of interest on various deposit accounts, closure of deposit accounts, method of disposal of deposits of deceased depositors, etc., for the benefit of customers. It is expected that this document will impart greater transparency in dealing with the individual customers and create awareness among customers of their rights. The ultimate objective is that the customer will get services they are rightfully entitled to receive without demand. While adopting this policy, the bank reiterates its commitments to individual customers outlined in Bankers' Fair Practice Code of Indian Banks' Association. This document is a broad framework under which the rights of common depositors are recognized. Detailed operational instructions on various deposit schemes and related services will be issued from time to time. 2. TYPES OF DEPOSIT ACCOUNTS While various deposit products offered by the Bank are assigned different names. The deposit products can be categorized broadly into the following types. Definition of major deposits schemes are as under:i) "Demand deposits" means a deposit received by the Bank which is withdrawable on demand; ii) a] "Savings deposits" means a form of demand deposit which is subject to restrictions as to the number of withdrawals as also the amounts of withdrawals permitted by the Bank during any specified period; b] Janheet Savings Deposit- [No frill A/cs]- This is a novel Scheme for the benefit of unbanked segment of the Society. Any individual falling under Below Poverty Line can open this a/c singly or jointly with another individual falling under below Poverty Line with initial deposit of Re.250/- This Scheme will have all other features of Savings Deposit Scheme except1] No Debit Card/ATM facility.

2] Any Branch banking will not be allowed 3] Standing instruction facility is allowed only for credit transactions. 4] Relaxed KYC norms are applicable to this Scheme. The conditions [ Subject to changes from time to time] areSelf declaration from the Customer is obtained to the effect that excluding the amount of Government Grants or Subsidy, balance in all the accounts taken together will not exceed Rs. 50000/- and total credits in all the accounts will not exceed Rs. 1 lakh in a year. If the account holder is not in a position to submit the KYC documents then, Introduction will be obtained from any of the account holder who is maintaining satisfactory a/c for at least six months and who has been subjected to full KYC procedure. He will certify the Photo and address of the opener of a/c. In the absence of an introduction as mentioned above, any other evidence as to the identity and address to the satisfaction of Bank will do. iii) "Term deposit" means a deposit received by the Bank for a fixed period withdrawable only after the expiry of the fixed period and include deposits such as Recurring Deposit Scheme and Fixed Deposit Scheme with monthly and quarterly interest payments or Fixed Deposit with cumulative interest scheme. The salient features of the Schemes are given more precisely on the website. iv) Notice Deposit means term deposit for specific period but withdrawable on giving at least one complete banking day's notice; v) "Current Account" means a form of demand deposit wherefrom withdrawals are allowed any number of times depending upon the balance in the account or up to a particular agreed amount and will also include other deposit accounts which are neither Savings Deposit nor Term Deposit; 2.1 Account Opening and Operation of Deposit Accounts

A) The Bank before opening any deposit account will carry out due diligence as required under "Know Your Customer" (KYC) and Anti-money Laundering guidelines issued by RBI, Government of India and or such other policy norms or procedures adopted by the Bank. If the decision to open an account of a prospective depositor requires clearance at a higher level, reasons for any delay in opening of the account will be informed to him and the final decision of the Bank will be conveyed at the earliest to him. B) The account opening forms and other material would be provided to the prospective depositor by the Bank. The same will contain details of information to be furnished and documents to be produced for verification and or for record, it is expected of the Bank official opening the account, to explain the procedural formalities and provide necessary clarifications sought by the prospective depositor when he approaches for opening a deposit account.

C) For deposit products like Savings Bank Account and Current Deposit Account, the Bank will normally stipulate certain minimum balances to be maintained as part of terms and conditions governing operation of such accounts. Failure to maintain minimum balance in the account will attract levy of charges as specified by the Bank from time to time. For Saving Bank Account the Bank may also place restrictions on number of transactions, cash withdrawals, etc., for given period. Similarly, the Bank may specify charges for issue of cheque books, additional statement of accounts, duplicate pass book, folio charges, etc. All such details, regarding terms and conditions for operation of the accounts and schedule of charges for various services provided will be communicated to the prospective depositor while opening the account. D) Savings Bank Accounts can be opened for eligible person / persons and certain organizations / agencies (as advised by Reserve Bank of India (RBI) from time to time) Current Accounts can be opened by individuals / partnership firms / Private and Public Limited Companies / HUFs / Specified Associates / Societies / Trusts, etc. Term Deposits Accounts can be opened by individuals / partnership firms / Private and Public Limited Companies / HUFs/ Specified Associates / Societies / Trusts, etc. E) The due diligence process, while opening a deposit account will involve satisfying about the identity of the person, verification of address, satisfying about his occupation and source of income. Obtaining introduction of the prospective depositor from a person acceptable to the Bank and obtaining recent photograph of the person/s opening / operating the account are part of due diligence process. F) In addition to the due diligence requirements, under KYC norms the Bank is required by law to obtain Permanent Account Number (PAN) or General Index Register (GIR) Number or alternatively declaration in Form No. 60 or 61 as specified under the Income Tax Act / Rules. G) Deposit accounts can be opened by an individual in his own name (status : known as account in single name) or by more than one individual in their own names (status : known as Joint Account) . Savings Bank Account can also be opened by a minor jointly with natural guardian or with mother as the guardian (Status : known as Minor's Account). H) Operation of Joint Account - The Joint Account opened by more than one individual can be operated by anyone single individual or by more than one individual jointly. The mandate for operating the account can be modified with the consent of all account holders. The Savings Bank Account opened by minor jointly with natural guardian / guardian can be operated by natural guardian only. I) The joint account holders can give any of the following mandates for the disposal of balance in the above accounts : Either or Survivor : If the account is held by two individuals say, A & B, the final balance along with interest, if applicable, will be paid to survivor on death of anyone of the account holders.

Anyone or Survivor/s : If the account is held by more than two individuals say, A, B and C, the final balance along with interest, if applicable, will be paid to the survivor on death of any two account holders. The above mandates will be applicable to or become operational only on or after the date of maturity of term deposits. This mandate can be modified by the consent of all the account holders. In case of Term deposits In the event of death of any of the joint depositors prior to maturity of the deposit, the Bank will be, at the request of all surviving depositors at liberty though not bound and at its absolute discretion to add / delete any name, or to repay the deposit before maturity or grant an advance against the security thereof, on such terms and conditions as the Bank may decide and such payment before maturity shall constitute a valid discharge to the bank. J) At the request of the depositor, the Bank will register mandate / power of attorney given by him authorizing another person to operate the account on his behalf for a reasonable period acceptable to the Bank. K) The term deposit account holders at the time of placing their deposits can give instructions with regard to closure of deposit account or renewal of deposit for further period on the date of maturity. In absence of such mandate, the Bank will seek instructions from the depositor/s as to the disposal of the deposit by sending an intimation before 15 days of the maturity date of term deposit.

In absence of any maturity instructions or renewal instructions from the customer the matured deposit are automatically renewed in the same scheme for a period equal to that of the original deposit at the rates prevailing at the time of renewal.

L) Nomination facility is available on all deposit accounts opened by the individuals. Nomination is also available to a sole proprietary concern account. Nomination can be made in favour of one individual only. Nomination so made can be cancelled or changed by the account holder/s any time. While making nomination, cancellation or change thereof, it is required to be witnessed by a third party. Nomination can be modified by the consent of account holder/s. Nomination can be made in favour of a minor also. Bank recommends that all depositors avail nomination facility. The nominee, in the event of death of the depositor/s, would receive the balance outstanding in the account as a trustee of legal heirs. The depositor will be informed of the advantages of the nomination facility while opening a deposit account.

M) A statement of account will be provided by the Bank to Savings Bank as well as Current Deposit Account Holders periodically as per terms and conditions of opening of the account.. Alternatively, the Bank may issue a Pass Book to these account holders who opt / request for the same. N) The deposit accounts may be transferred to any other branch of the Bank at the request of the depositor

2.2 Interest Payments i) Interest shall be paid at quarterly rest on saving account at the rate specified by Reserve Bank of India directive from time to time. However, term deposit interest rates are decided by the Bank within the general guidelines issued by the Reserve Bank of India from time to time. The extant rates of interest are given on the Bank s Website. In case of Savings Deposits, interest shall be calculated on minimum balance to the credit of the deposit account during the period from the 10th to the last day of each calendar month and credited to the account only when it is Re.1/- or more, Interest shall be credited on quarterly basis 30th June, 30th September, 31st December and 31st March. ii) In terms of Reserve Bank of India directives, interest shall be calculated at quarterly intervals ( 30TH June, 30th September, 31st December and 31st March), on term deposits and paid at the rate decided by the Bank depending upon the period of deposits. In case of Monthly Deposit Scheme, the interest shall be calculated for the quarter and paid monthly at discounted value. The interest on term deposits is calculated by the Bank in accordance with the formulae and conventions advised by Indian Banks Association, as under: Member Banks may not accept any deposits for a period longer then 10 years, excepting in terms of order of the Competent Courts or in the case of Minors where interests of minors are involved, provided banks are convinced that it is necessary to do so and Individual Banks may decide in this matter based on Asset Liability Management policies being followed. Interest on deposits for fixed term may be paid, credited transferred or reinvested with frequency not less than the Quarterly rests. However, payment of monthly interest may be allowed, if required, by discounting the quarterly interest accrued. Interest on deposits where the terminal period (monthly/quarterly/half year etc. as the case may be) is incomplete shall be paid on maturity. On deposits repayable in less than three months or where the terminal quarter is incomplete, interest would be paid for the actual number of days on the basis of 365 days in a year. In case of overdue term deposits eligible for auto renewal as per law and under the present terms and conditions saving bank rate of interest will be payable from maturity date or August 22,2008 i.e.

the date of RBI directive stipulating such payment of interest whichever is later, up to the date of auto renewal. Rounding off of Transactions- All transactions including Payment of Interest on Deposits/Charging of Interest on Advances shall be rounded off to the nearest Rupee; i.e., fraction of 50 paise and above shall be rounded off to the next higher rupee and fraction of less than 50 paise shall be ignored. Payment of interest on Term Deposit maturing on Sunday/Holiday/Non- Business Working Day- In respect of a Term Deposit maturing for payment on a Sunday or a Holiday or a Non-Business Working Day interest shall be paid at the originally contracted rate on the deposit amount for the Sunday/Holiday/Non-Business Working Day, intervening between the date of the expiry of the specified term of the Deposit and the Date of Payment of the proceeds of the Deposit on the succeeding working day. iii] The rate of interest on deposits will be prominently displayed in the branch premises and on banks web site www.saraswatbank.com. Changes, if any, with regard to the deposit schemes and other related services shall be also be prominently displayed. iv] The Bank has statutory obligation to deduct tax at source if the total interest paid/ payable on all term deposits held by a person exceeds the amount specified under the Income Tax Act. The Bank will issue a tax deduction certificate (TDS Certificate) for the amount of tax deducted. The depositor, if entitled to exemption from TDS can submit declaration in the prescribed format at the beginning of every financial year. Besides, the Bank has statutory obligation to Charge / Deduct Service Tax as well as Transaction Tax as specified / notified by the Govt. of India, from time to time.

2.3 Addition or Deletion of the Name/s of Joint Account Holders The bank may at the request of all the joint account holders allow addition or deletion of name/s of joint account holder/s if the circumstances so warrant or allow an individual depositor to add the name of another person as a joint account holder. 2.4 Customer Information The customer information collected from the customers shall not be used for cross selling of services or products by the Bank, their subsidiaries and affiliates. If the Bank proposes to use such information, it would be strictly with the consent of the accountholder. 2.5 Secrecy of Customer s Accounts The Bank shall not disclose details / particulars of the customer's account to a third person or party without the expressed or implied consent from the customer. However, there are some exceptions, viz. disclosure of information under compulsion of law, where there is a duty to public to disclose and where interest of the Bank requires disclosure. 2.6 Premature Withdrawal of Term Deposit

The Bank on request from the depositor, at its discretion may allow withdrawal of term deposit before completion of the period of the deposit agreed upon at the time of placing the deposit. The Bank shall declare their penal interest rates policy for premature withdrawal of term deposit.Presently the penal interest rate is 1%. The Bank shall make depositors aware of the applicable rate along with the deposit rate. 2.7 Premature Renewal of Term Deposit Incase the depositor desires to renew the deposit by seeking premature closure of an existing term deposit account, the bank will permit the renewal at the applicable rate on the date of renewal, provided the deposit is renewed for a period longer than the balance period of the original deposit. IN CASE THE DEPOSITOR SEEKS PREMATURE CLOSURE AND RENEWS THE DEPOSIT FOR A PERIOD SHORTER THAN THE BALANCE PERIOD OF ORIGINAL DEPOSIT ,THE DEPOSITOR WILL BE PAID THE INTEREST ON THE DEPOSIT FOR THE PERIOD IT HAS REMAINED WITH THE BANK LESS PENAL RATE AS DECIDED BY THE BANK FROM TIME TO TIME.PRESENTLY IT IS 1% . While prematurely closing a deposit for the purpose of renewal, interest on the deposit for the period it has remained with the bank will be paid at the rate applicable to the period for which the deposit remained with the bank and not at the contracted rate. 2.8 Renewal of Overdue Term Deposits When a term deposit is renewed on maturity, on renewed deposit interest rate for the period specified by the depositor as applicable on the date of maturity would be applied. If request for renewal is received after the date of maturity, such overdue deposits will be renewed with effect from the date of maturity at interest rate applicable as on the due date, provided such request is received within 14 days from the date of maturity. In respect of overdue deposits renewed after 14 days from the date of maturity, interest for the overdue period will be paid at the rates decided by the Bank from time to time. In absence of any maturity instructions or renewal instructions from the customer the matured deposit are automatically renewed in the same scheme for a period equal to that of the original deposit at the rates prevailing at the time of renewal. 2.9 Advances Against Deposits The Bank may consider request of the depositor/s for loan / overdraft facility against term deposits [unless prohibited under the respective deposit scheme] duly discharged by the depositor/s on execution of necessary security documents. The Bank may also consider loan against deposit standing in the name of minor, however, a suitable declaration stating that loan is for the benefit of the minor, is to be furnished by the guardian. Advance against term deposit is granted subject to margin and interest spread stipulated from time to time. At present advance against Term deposit amount upto Rs one crore would be sanctioned at margin of 10% and interest spread of 1% over and above the applicable Term Deposit rate. Advance against Term deposit amount above Rs one crore would be sanctioned at 5% margin and interest spread of 0.5% over and above the applicable Term Deposit rate.

2.10 Insurance Cover for Deposit All bank deposits are covered under the insurance scheme offered by Deposit Insurance and Credit Guarantee Corporation of India (DICGC) subject to certain limits and conditions. The details of the insurance cover in force will be made available to the depositor. 2.11 Stop Payment Facility The Bank will accept stop payment instruction from the depositors in respect of cheques issued by them. Charges, as specified, will be recovered. 2.12 Dormant Accounts Accounts which are not operated for a considerable period of time will be transferred to a separate dormant / inoperative account status in the interest of the Depositor as well as the Bank. The depositor will be informed of charges, if any, which the Bank will levy on dormant / inoperative accounts. The depositor can request the Bank to activate the account for operating it. 2.13 Tax deduction on Fixed Deposits: If customers do not want tax to be deducted at source ,they have to submit form 15G/H for the renewed FD. At present ,tax is deducted at source if the interest income exceeds Rs 10000 per annum.As per Finance Act 2009, w.e.f April1,2010 the benefit of Form 15G/H shall be granted only on mentioning valid PAN in the form . As per the Finance Act 2009, w.e.f. April 1,2010 , valid PAN is required to be submitted for all customers whosetax needs to be deducted. In the absence of a valid PAN ,tax will be deducted at the prevailing rate or 20% whichever is higher. A customer who has not submitted their PAN are required to contact their nearest branch and provide a valid PANto the bank. They are requested to submit Copy of the PAN Cardalong with the original PAN Card for verification. Hence customers who have not submitted their PAN earlier are requested to cooperate with Bank and submit their Pan to the Bank to enable us to serve you better.

3. MINORS' ACCOUNTS i) The minor can open Savings Bank Account and the same can be operated by the natural guardian. ii) On attaining majority, the erstwhile minor should confirm the balance in his/her account and if the account is operated by the natural guardian / guardian, fresh specimen signature of erstwhile minor duly verified by the natural guardian would be obtained and kept on record for all operational purposes.

4. ACCOUNT OF ILLITERATE / BLIND PERSON

The Bank may at its discretion open deposit accounts other than Current Accounts of illiterate person. The account of such person may be opened provided he/she calls on the Bank personally along with a witness who is known to both the depositor and the Bank. At the time of withdrawal / repayment of deposit amount and / or interest, the account holder should affix his / her thumb impression or mark in the presence of the authorized officer who should verify the identity of the person. The Bank will explain the need for proper care and safe keeping of the passbook etc. given to the account holder. The Bank official shall explain the terms and conditions governing the account to the illiterate / blind person. Subject to fulfillment of certain terms and conditions visually impaired customers can issue post dated cheques of predetermined amounts to financial institutions, can avail lockers and ATM card

5. SETTLEMENT OF DUES IN DECEASED DEPOSIT ACCOUNT i] If the depositor has registered nomination with the Bank; - the balance outstanding in the account of the deceased depositor will be transferred to the account of / paid to the nominee after the Bank satisfies about the identity of the nominee, etc. ii) The above procedure will be followed even in respect of a joint account where nomination is registered with the Bank. iii) In a joint deposit account, when one of the joint account holders dies, the Bank is required to make payment jointly to the legal heirs of the deceased person and the surviving depositor(s). However, if the joint account holders had given mandate for disposal of the balance in the account in the forms such as "either or survivor, former / latter or survivor, anyone of survivors or survivor; etc., the payment will be made as per the mandate to avoid delays in production of legal papers by the heirs of the deceased. iv) In the absence of nomination and when there are no disputes among the claimants, the Bank will pay the amount outstanding in the account of deceased person against joint application and indemnity by all legal heirs or the person mandated by the legal heirs to receive the payment on their behalf without insisting on legal documents up to the limit approved by the bank's board. This is to ensure that the common depositors are not put hardship on account of delays in completing legal formalities 5.1. Interest Payable on Term deposit in Deceased Account i) In the event of death of the depositor before the date of maturity of deposit and amount of the deposit is claimed after the date of maturity, the Bank shall pay interest at the contracted rate till the date of maturity. From the date of maturity to the date of payment, the Bank shall pay simple interest at the applicable rate on the date of maturity, for the period for which the deposit remained with the Bank beyond the date of maturity; as per the Bank's policy.

Bank s cheque collection policy Banks Compensation Policy Fair Practice code for Lenders Banking Ombudsman Scheme Notice to the Customer Collection Of dues and Repossession policy.