State Bank – Business Debit Card

State bank of India, on its foundation day, launched a premium ePayments product i.e. State Bank Business Debit Card.

The highlights of the Card are:

  1. Target clientele are the Commercial Segment customers

  2. Cash Deposit facility on Cash Deposit Machines

  3. Higher purchase limits via POS Terminals

  4. Higher cash withdrawal limits at ATM’s

  5. Added convenience of making purchases without writing cheques

  6. Choice to set-up Point of Sales Terminals to encourage Safe ePayments

  7. With minimal conditions up to 5 Freedomrewardz can be earned for every Rs100/- spent.

The roll-out is supported by a high decibel print campaign, with advertisements in all leading newspapers across the country.

The back-end operations of this card, are taken care by SBI Cards & Payments Services Ltd. (SBICPSL), a credit card and payment service joint venture between SBI and GE Capital.

The entry into corporate card segment is a a natural expansion of the card portfolio. The servicing cost of corporate customers is less as compared to retail segment. The corporate customers tend to be in constant touch with the Bank, thereby enabling the Card servicing staff to interact with them quickly and resolve any queries.

The Business Debit Cards, are essentially Purchase Cards for small and medium enterprises.

The card could be used to make :

  • purchases for raw materials,

  • meet part of working capital requirements,

  • payment of bills,

  • entertainment payouts of senior executives.

This card would be like a charge card (I.e Debit card up-to the SME’s OD limits with the Bank )and the outstanding would only be allowed within the credit period.

Such a facility from a credit risk angle is also welcomed, as the Credit Manager can monitor the credit utilization of the SME in a better way.

In the long run, the scope of ePayments will be enhanced as suppliers too will know the convenience of Safe ePayments. 

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