Banking is very important for employees in India as it helps more people have access to financial services, encourages them to save money, and helps the country’s economy grow. With more and more people using digital banking and new services, employees can use a variety of banking options to effectively handle their money.
Delivering the banking system to the working individual of the nation is crucial for the country’s development economically. The Indian banking system is highly inclusive of all types of customers; but for this article we will discuss bank for the employee and the employer.
First let us discuss the banking for employees of a company.
- The Employees’ Provident Fund Organization is a social security organization in India that takes care of retirement funds. It is managed by the Government’s Ministry of Labour and Employment. There is another organization called Employees’ State Insurance that looks after health insurance for employees. Employee Pension Scheme (EPS) is a part of EPF.The EPFO website allows people to conduct an epfo establishment search to find details about if certain establishments are registered with EPFO.
- In India, many employees get their pay through salary accounts provided by banks. These accounts have several advantages, such as not needing a minimum amount of money in them, having no or low fees for certain transactions, and being able to get special deals and discounts.
- Employees can choose to put their savings into different investment options offered by their banks, such as fixed deposits, mutual funds, and recurring deposits, to help their money grow.
- Banks offer insurance products like life insurance and health insurance to their staff for financial safeguarding.
Corporate banking is a type of banking that focuses on dealing with businesses and their customers. Commercial banks lend money to businesses so that they can grow and employ more people, which helps the economy to expand. Both types of banks have different things they offer to customers.
Corporate bankers help businesses and organizations with their finances and offer advice. They also promote financial services and products to help these clients with their day-to-day activities. Corporate banking is similar to retail banking, but instead of assisting everyday individuals, corporate bankers work with companies.
In addition to that, corporate banks also manage tasks such as trade finance, bill collection, workforce, and credit letters. They also provide options to open personal and current accounts for businesses, home loans, extra borrowing options, and other services.
So how does the bank help the employer or the business? Here are some ways banks are a business’s best friend.
- Banks have services called internet banking and mobile banking that let employers do banking stuff online. They can manage accounts, do transactions, and handle finances on the internet.
- Banks have options to make payments easier for businesses. They provide digital methods like electronic transfers, online payment gateways, and POS machines. These methods are safe and convenient for smooth transactions.
- Banks provide services to help businesses handle their money better, including managing the money they receive from customers and making payments in a smart way.
- Banks offer different types of loans to help businesses financially. These loans help employers with their financial needs and help them expand their businesses.
- Banks help businesses accept card payments and make it easy for their customers to pay.
How to choose a bank?
As in Indian citizen and individual there are a few things you would want to consider before opting for a bank to get your account.
- Interest Rates
Various banks have varying rates of interest that they offer on their savings accounts. Before you decide, make sure to carefully compare the rates.
- Minimum Balance
Each bank has a different minimum balance requirement. There are some accounts that you can have without needing to keep any money in them. Some banks make you keep a certain amount of money in your account every month. If you do not, they will charge you a small fee.
Nowadays, every bank has a website or app. Sometimes, you may still need help from someone to assist you personally. If you have a bank account at a bank that is nearby and easy to reach by phone, it can be useful in that situation. Or if it is a bank holiday today, they are at least active on customer care.
Banks charge a small fee for the services they provide to you. Some of these services are fees for using a debit card, fees for maintaining an account, and fees for withdrawing money from an ATM. The fees differ among different banks, so to avoid paying extra charges, it’s important to be aware of them in advance.
Banks give you benefits and special offers when you make transactions with different types of accounts. Some of them change based on the type of card you have, while others depend on the type of account you have. It is always good to know where you can save money ahead of time.
Having said that, the best 5 banks that offer exceptional cooperate banking services are as follow:
- HDFC Bank Ltd
- State Bank of India (SBI)
- ICICI Bank Ltd
- Kotak Mahindra Bank Ltd
- Axis Bank Ltd
Apart from SBI all other banks are private which indicate that private banks are preferred over government banks for corporate banking due to their customer centric approach and personalised care to every customer. But Public banks are not far behind and are adopting changes to match the competition.
So, the strong banking system in India meets the different financial needs of workers and companies, helping the country grow economically, ensuring stability, and bringing prosperity. In simple terms, the system helps people and businesses in India to grow and succeed by providing them with banking services that are easy to use and by making sure that everyone has access to financial services.
For businesses, banks provide special financial services like managing employees’ salaries, helping with international business transactions, and assisting with handling cash flow.
For workers, the banking system offers accounts to receive their salary, options to borrow money, a way to save for retirement through the Employee Provident Fund (EPF), and chances to invest their money.