A first in 12 years: Banks to overhaul terms of engagement with BCs

Viability package for agents in NE states on cards

Banks are set to take a fresh look at the remuneration paid to, and the penalties imposed on, business correspondents (BCs) in the first such move in 12 years. This follows a meeting held on Tuesday at the behest of the Department of Financial Services (DFS) and the monitoring committee on the functioning of business correspondents (BCs).

 

In a first, “the engagement of women BCs and an incentive package for the viability of BCs in the Northeastern states and difficult centres also figured in the discussions”, said a source.

 

The issue of utilising the channel to sell other financial products,