Ujjivan Small Finance Bank

Ujjivan is essentially a customer centric organization and is always working to provide a wide range of products and services which are customer-friendly. Customer insights are taken into account while designing products and inputs from market research and feedback from project pilots are also taken into consideration. Regular feedback from customers is also taken when the product is launched and the products are re-designed accordingly to ensure the customers only get the best services.

Accounts

The current and savings accounts created by Ujjivan are suitable to the banking needs of the clients and are designed to secure the future and maximize the money value.

Savings Account

The main feature of this account is that no minimum deposit is needed to open the account and there is no requirement to maintain a minimum balance. The account comes with an ATM and debit card which can be used at an Ujjivan ATM any number of times. Apart from this, it can also be used 6 times every month without any charges at ATMs of any other bank. The interest offered on this account is 4% and it is calculated on daily balance at the end of the day and is credited to the beneficiary account at the end of every quarter. All facilities like free SMS, RTGS and NEFT etc. are also offered on this account.

Minor Account

Minor account is in the name of a minor but can only be opened jointly with a guardian. There is no criterion for average monthly balance and there is no minimum amount that has to be deposited to open the account. Till the minor becomes a major, the account can be operated by the guardian and post that it can be converted into a regular saving accounts. There is no cap on ATMs of Ujjivan Bank and 6 free transactions can be done in the ATMs of the other banks. The interest offered on this account is 4% per annum and it is calculated on daily balance at the end of the day. The interest is credited to the beneficiary account at the end of every quarter. All facilities like free SMS, RTGS, NEFT etc. are offered on this account.

Basic Savings Bank Deposit Accounts

This account can be opened in a single or joint name; neither there is any requirement of a minimum amount to open the account nor to maintain a minimum balance. The customer gets four free transactions at all channels which includes the branches also. NEFT and IMPS is allowed in this account and the interest offered on this account is 4% per annum calculated on daily balance at the end of the day. The interest is credited to the beneficiary account at the end of every quarter.

Basic Savings Bank Deposit Small Account

To open this account there is no KYC requirement and there is no minimum balance required nor is a minimum amount needed to open the account. The account is valid for a period of 12 months. The interest offered on this account is 4% per annum and it is calculated on daily balance at the end of the day. The interest is credited to the beneficiary account at the end of every quarter. The balance in this account cannot be more than Rs.50,000 and any cash withdrawal or transfer cannot be more than Rs.10,000. In a year, the deposits cannot be more than Rs.1,00,000.

Current Accounts

Ujjivan offers different current accounts which suit the requirements of small-scale businesses and helps them expand and grow.

• Regular Current Account Rs. 1,000 is needed to open this current account and a monthly average balance of Rs. 5,000 has to be maintained. Every month, 50 free cash withdrawals are allowed and there is free cash deposit facility for an amount up to Rs. 75,000. 50 cheque leaves are given free every quarter. The account comes with a Rupay Classic Debit Card and monthly statements are given to clients. Besides this the other facilities are bill payment, transaction alerts, electronic fund transfer and customer care.
• Premium Current Account​Rs. 1,000 is needed to open this premium current account and a monthly average balance of Rs. 10,000 has to be maintained. Every month, 100 free cash withdrawals are allowed and free cash deposit facility for an amount up to ten times the average monthly balance of the previous month is also provided. 100 cheque leaves are given free every quarter. The account comes with a Rupay Classic Debit Card and monthly statements are given to clients. Besides this, other facilities like bill payment, transaction alerts, electronic fund transfer, overdraft facility and a customer care are also offered.  The advantages of Ujjivan Current Account are:

1. When compared to other banks, the average balance is at par or lower
2. No limit on ATM transactions at Ujjivan ATMs
3. Standard rates
4. More transactions in ATMs of other banks
5. More number of cheque leaves in every quarter
6. Transactions through ATM, branch, mobile banking and net banking
7. RTGS/NEFT/DDPO/IMPS

Institutional Segment

Savings Account

This account has no criteria for average balance and no deposit is needed at the time of opening the account. On request the client is provided with passbook and monthly statements. A cheque book with 25 leaves is given free and unlimited number of withdrawals are allowed without any limit on the amount as well. Interest on daily balance at the end of the day is given at 4% per annum and is credited quarterly. Various facilities like bill payment, SMS alert etc. are also available to the account holders.

Current Account

This account has no criteria for average balance and there is no deposit needed on the opening of the account. On request the client is provided with passbook and monthly statements. A cheque book with 50 leaves is given free. There is free cash deposit facility given at the branch which can be up to 15 times the average balance of the previous month. Various facilities like bill payment, SMS alert etc. are also offered to the account holders.

Deposits

There are two kinds of deposits offered by the Ujjivan Bank and with the flexibility available; customers are able to take decisions about long term investment of their money.

Fixed Deposits

The minimum amount that can be deposited in a fixed deposit is Rs. 1,000 and above that money can be invested in multiples of Rs.100. These deposits can be opened for a time period of 7 days to 10 years and interest can be earned either monthly, quarterly, half early or annually and also at maturity. Ujjivan gives its clients the facility to partially withdraw the amount or close the deposit before maturity. The interest is dependent on the amount of deposit and tenure of the investment. Senior citizens get an additional rate of 0.5%.

Recurring Deposits

Recurring deposits are the other kind of deposits offered by Ujjivan Bank and the minimum amount that has to be deposited is Rs. 100 and it can be increased in multiples of 100. The deposits can be opened for any time between 6 months to 10 years though interest is given on a quarterly basis. The bank gives facility for premature closure and senior citizens get an additional rate of 0.5%. The bank gives the flexibility to its clients to be able to deposit the money in any branch of Ujjivan Bank irrespective of the fact that they have an account in that branch or not.

Micro Loans

The bank aims to service the economically active people and thus, has designed its micro loans to cater to their needs and requirements specifically. With individual and group micro loans, the bank helps its customers to fulfil their dreams.

Group Loan

The loans under this scheme are given under the joint liability group model and are purpose based loans. The following products are included in this:

• Family loan
• Business loan
• Business top up loan
• Agriculture and allied loan
• Education loan
• Emergency loan
• Loyalty loan

The loan amount given under this scheme varies between Rs. 2,000 to Rs. 50,000 and the interest charged is 21.25% per annum on reducing balance. The loan is given for 1 or 2 year and the processing fee of 1% on the loan amount is charged excluding taxes.

Individual Loan

These loans are also purpose based loans but are given to the clients without any group guarantee. The following products are given under the individual micro loan:

• Individual Livestock Loan
• Individual Business Loan
• Home Improvement Loan
• Individual Agriculture Loan
• Higher Education Loan

The loan amount given for the above purposes varies between Rs. 51,000 to Rs. 1,50,000 and is given for a period of 6 months to 36 months. The interest rate charged on these loans is 23.25% per annum on reducing balance and a processing fee of 1-2% of loan amount is charged excluding taxes.

Home Loans and Loans Against Property

Ujjivan Bank provides customized solutions to its clients who are looking to construct, renovate or purchase a house or get a loan against property.

Read More About Ujjivan Home Loan

Construction and Purchase Loan

This loan is given for purchasing a house or to construct it. The loan ranges from Rs. 2,00,000 to Rs. 15,00,000 for a period of 24 to 180 months. The interest rate charged on these loans varies from 12.75% to 15.75% per annum, charged on reducing balance. The bank also charges a processing fee of 1.5-2% of the loan amount excluding taxes.

Home Improvement Loan

The loans under this scheme are given for renovation, improvement and extension of the house. The loan amount ranges from Rs. 2,00,000 to Rs. 7,00,000 and is given for a period of 24 to 120 months. Interest rate charged by the bank on these loans is 17.75% per annum on reducing balance and a processing fee of 2% is charged excluding taxes.

Small Business Loans

Unsecured Business Loans

The unsecured business loan is given to micro and small enterprises that have their sales turnover in the following ranges:

• Trading: Rs. 20,00,000 and above
• Manufacturing: Rs. 18,00,000 and above
• Services: Rs. 15,00,000 and above

The loan amount given under this category is Rs. 1,50,000 to Rs. 3,00,000 and the rate of interest charged is 24% per annum on reducing balance. The loan tenure ranges from 1 to 3 years.
The bank gives different kinds of loan for the following purpose:
Working Capital Loan is given for:

• Paying creditors
• Purchasing stock which can be either finished goods or raw materials
• For maintaining cash balance to meet daily requirements
• Short term repayment

Capital expenditure loan is given for:

• Purchasing equipment either new or old
• Investing in renovation or purchase of office/godown/factory or other business premises

Debt Consolidation Loan is given to help the client consolidate various short-term loans which are taken for different business purposes.

Unsecured and Secured Enterprise Loan

These loans are given to registered micro and small enterprises which have the following sales turnover

• Trading: Rs. 40,00,000 and above
• Manufacturing: Rs. 35,00,000 and above
• Services: Rs. 20,00,000 and above

The following loans are given under this category and for the following purpose:
Working Capital Loan is given for:

• Payment to creditors
• Purchasing stock which can be either finished goods or raw materials
• For maintaining cash balance to meet daily requirements
• Financing of debtors

Capital expenditure loan is given for:

• Purchasing equipment either new or old
• Investing in renovation or purchase of office/godown/factory or other business premises

Debt consolidation Loan is given to help the client consolidate various short-term loans which are taken for different business purposes.

The loan amount given under unsecured loan is between Rs. 1,50,000 and Rs. 3,00,000 for a period of 12-36 months at an interest rate of 24% per annum on reducing balance.

The loan amount given under secured loan is between Rs. 3,00,000 and Rs. 10,00,00 for a period of 3 years to 7 years at an interest rate of 19.75% per annum on reducing balance.

Ujjivan as on 30^th September, 2015 had a customer retention ratio of 89.18% which proves that the organization focusses on its customer and strives to meet their needs and requirements. All the feedback and grievances of the customers are addressed by the dedicated service quality department. The organization has received several awards and accolades for serving the customers right. In the last five years, the bank comes in the list of top 25 companies to work for in the country by the Great Places to Work Institute in collaboration with the Economic Times. The retention rate is due to innovative credit, field and back-end processes supported by high service quality. The following systems have helped Ujjivan to maintain a high customer retention ratio:

• Independent and Strong credit approval systems
• Document Management System resulting in low turnaround time for loans
• Strong grievance redressal and customer feedback mechanism to help clients solve issues easily and get better services
• Transparency of terms and conditions and services
• Retention interviews to retain dropout and dormant customers by customer care representatives at all branches
• Customer retention campaigns

Parinaam

Ujjivan Financial Services and Parinaam have a strategic partnership to address poverty in a holistic way. Both the organizations have realized that in order to help the disadvantaged women and their families to manage their poverty and rise above it, a complete package and support needs to be given. Both these organizations together support and provide help to urban and semi-urban families who are poor. Services are extended in the field of education, healthcare and livelihood.

Fair Practices Code

Ujjivan Financial Services provides a full range of financial services to the economically active poor to promote financial inclusion and provide them with a better life. Ujjivan follows the principle of transparency, responsible lending and ethical values. The organization follows the following Fair Practices Code which helps them to serve their customers in a better manner and ensure uniform services across all branches.

Integrity: Ujjivan strives to be able to provide the poor and their families with high quality financial services which focus on them and are made to increase their welfare. The services have to be delivered in a manner which is dignified, ethical, equitable, transparent and cost effective.

Quality of Service: The company focuses on giving quality services to their customers keeping in mind their needs and ensures that they are delivered in a timely and convenient manner. The company also focuses on maintaining high standards of professionalism which is based on non-discrimination, honesty and customer centricity.

Transparency: The organization works to provide accurate and complete information to their customers about all the products and services offered by them. They also work to create awareness and to assist the stakeholders and the clients about all the information that is given for the financial services and products availed and offered.

Fair Practices and Ethical Behavior: The aim of Ujjivan is to ensure that all their clients are protected against misrepresentation and fraud, unethical practices and deception. They also ensure that all the practices with respect to recovery and lending of loans are fair and the dignity of the client is respected and maintained keeping in mind their vulnerable situation. Ujjivan ensures that each and every staff member is trained and oriented to follow the code into practice.

Privacy of Client Information: Ujjivan is very strict about maintaining the privacy of their clients, allowing exchange and disclosure of information with the relevant members of the staff only, and that also with consent and knowledge of the client.

Feedback and Grievance Redressal Mechanism: Ujjivan provides the clients with both informal and formal channels to give their suggestions and feedback. To enhance the competency of the services by periodically assessing the impact of services, to be able to serve the clients in a better way. The organization also provides its clients with a formal grievance redressal mechanism. There are three levels for grievance redressal.

Level 1: Customer Relationship Manager at the branch
Level 2: Customer Service Helpdesk at the toll-free number 180030102121
Level 3: Grievance Redressal Officer