DNS Bank ( Saurabh)

7/29/2019 DNS Bank ( Saurabh)

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Financial services

The term Financial Service in a broad sense means mobilising andallocating savings. Thus, it includes all activities involved in the

transformation of saving into investment. The financial service can also be

called financial intermediation. Financial intermediation is a process by which

funds are mobilised from a large number of savers and make them available to

all those who are in need of it and particularly to corporate customers. Thus,

financial services sector is a key area and it is very vital for industrial

developments.

A service is an equivalent of an economic good that is intangible. The

person or firm offering the service boosts the ability, resources skills and or

experience to offer a balanced satisfaction of client need while at the same time

remaining relevant and functional in an economy. Financial services therefore

are those services that are offered by the institutions, which deal with themanagement of money and other factors that relate to the flow of money in an

economy. To clarify on this, a service and the financial service provider possess

various characteristics that make the service distinct. For instance, the concept

of intangibility also referred to as insubstantiality, perishability as regards to

time and reversal of a service, inseparability, simultaneity and variability which

refers to the distinctiveness or uniqueness of a given financial service.

The basic objectives of management in financial services are cost

effectiveness, efficiency in service quality and profitability. In this service

sector quality counts more than the quantity. Management of financial services

requires a combination of talents in marketing area, finance area and in HRD

capital market deals with raising of finance, arranging for loans, dealing in


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capital and securities etc. But being a service sector market management a

human component is vital for its operation.

It can be correctly put that a financial service refers to those facilities

such as savings accounts, leasing, money transfers, checking accounts,

confirming among others that are offered by players or organizations in the

finance industry. These players include banks, credit unions, stock brokerage

firms, insurance firms, and foreign exchange among others. Financial services

are many, wide and varied hence many institutions or organizations are

involved in offering them. Other well known financial services include debt

resolution, private equity, intermediation venture capital conglomerates as well

as both private and public equity. The above directly implies that financial

services in general relate to all those issues which affect the circulation of

money and how they interrelate.

Definition

(a) A financial service is any service of a financial nature offered by a

financial service supplier of a Party. Financial services include all

insurance and insurance-related services, and all banking and other

financial services (excluding insurance). Financial services include the

following activities:

Insurance and insurance-related services

(i) Direct insurance (including co-insurance):

(A) life

(B) non-life

(ii) Reinsurance and retrocession;

(iii) Insurance intermediation, such as brokerage and agency;

(iv) Services auxiliary to insurance, such as consultancy, actuarial,

risk assessment and claim settlement services.


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Banking and other financial services (excluding insurance)

(v) Acceptance of deposits and other repayable funds from the

Public

(vi) Lending of all types, including consumer credit, mortgage credit,

factoring and financing of commercial transaction;

(vii) Financial leasing;

(viii) All payment and money transmission services, including credit,

charge and debit cards, travellers cheques and bankers drafts;

(ix) Guarantees and commitments;

(x) Trading for own account or for account of customers, whether on

an exchange, in an over-the-counter market or otherwise, the

following:

(A) money market instruments (including cheques, bills,

certificates of deposits);

(B) foreign exchange;

(C) derivative products including, but not limited to, futures

and options;

(D) exchange rate and interest rate instruments, including

products such as swaps, forward rate agreements;

(E) transferable securities;

(F) other negotiable instruments and financial assets,

including bullion.

(xi) Participation in issues of all kinds of securities, includingunderwriting and placement as agent (whether publicly or

privately) and provision of services related to such issues;

(xii) Money broking;

(xiii) Asset management, such as cash or portfolio management, all

forms of collective investment management, pension fund

management, custodial, depository and trust services;

(xiv) Settlement and clearing services for financial assets, including


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securities, derivative products, and other negotiable instruments;

(xv) Provision and transfer of financial information, and financial data

processing and related software by suppliers of other financial

services;

(xvi) Advisory, intermediation and other auxiliary financial services on

all the activities listed in subparagraphs (v) through (xv),

including credit reference and analysis, investment and portfolio

research and advice, advice on acquisitions and on corporate

restructuring and strategy

Financial services can be defined as the products and services offered by institutions likebanks of various kinds for the facilitation of various financial transactions and other relatedactivities in the world of finance like loans, insurance, credit cards, investment opportunitiesand money management as well as providing information on the stock market and otherissues like market trends

Financial services refer to services provided by the finance industry. The finance industryencompasses a broad range of organizations that deal with the management of money.Among these organizations are banks, credit card companies, insurance companies, consumerfinance companies, stock brokerages, investment funds and some government sponsoredenterprises.

Functions of financial services

1. Facilitating transactions (exchange of goods and services) in the economy.

2. Mobilizing savings (for which the outlets would otherwise be much more limited).

3. Allocating capital funds (notably to finance productive investment).

4. Monitoring managers (so that the funds allocated will be spent as envisaged).

5. Transforming risk (reducing it through aggregation and enabling it to be carried bythose more willing to bear it).

Characterstics and Features of Financial Services

i) Customer-Specific: Financial services are usually customer focused. The firms providingthese services, study the needs of their customers in detail before deciding their financialstrategy, giving due regard to costs, liquidity and maturity considerations. Financial servicesfirms continuously remain in touch with their customers, so that they can design productswhich can cater to the specific needs of their customers. The providers of financial services

constantly carry out market surveys, so they can offer new products much ahead of need andimpending legislation. Newer technologies are being used to introduce innovative, customer


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friendly products and services which clearly indicate that the concentration of the providersof financial services is on generating firm/customer specific services.

ii) Intangibility: In a highly competitive global environment brand image is very crucial.Unless the financial institutions providing financial products and services have good image,

enjoying the confidence of their clients, they may not be successful. Thus institutions have tofocus on the quality and innovativeness of their services to build up their credibility.

iii) Concomitant: Production of financial services and supply of these services have to beconcomitant. Both these functions i.e. production of new and innovative financial servicesand supplying of these services are to be performed simultaneously.

iv) Tendency to Perish: Unlike any other service, financial services do tend to perish andhence cannot be stored. They have to be supplied as required by the customers. Hencefinancial institutions have to ensure a proper synchronization of demand and supply.

v) People based services: Marketing of financial services has to be people intensive andhence its subjected to variability of performance or quality of service. The personnel infinancial services organisation need to be selected on the basis of their suitability and trained

properly, so that they can perform their activities efficiently and effectively.

vi) Market Dynamics: The market dynamics depends to a great extent, on socioeconomicchanges such as disposable income, standard of living and educational changes related to thevarious classes of customers. Therefore financial services have to be constantly redefined andrefined taking into consideration the market dynamics. The institutions providing financialservices, while evolving new services could be proactive in visualising in advance what themarket wants, or being reactive to the needs and wants of their customers.

Scope of Financial Services

Financial services cover a wide range of activities. They can be broadly classified into two,namely:

i. Traditional. Activities

ii. Modern activities.

i. Traditional Activities

Traditionally, the financial intermediaries have been rendering a wide range of servicesencompassing both capital and money market activities. They can be grouped under twoheads, viz.

1. Fund based activities and

2. Non-fund based activities.

Fund based activities: The traditional services which come under fund based activities are

the following:


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Underwriting or investment in shares, debentures, bonds, etc. of new issues (primarymarket activities).

Dealing in secondary market activities. Participating in money market instruments like commercial Papers, certificate of deposits, treasury bills, discounting of bills etc.

Involving in equipment leasing, hire purchase, venture capital, seed capital, Dealing in foreign exchange market activities. Non fund based activities

Non fund based activities

Financial intermediaries provide services on the basis of non-fund activities also. This can becalled fee based activity. Today customers, whether individual or corporate, are not

satisfied with mere provisions of finance. They expect more from financial servicescompanies. Hence a wide variety of services, are being provided under this head. Theyinclude:

Managing the capital issue i.e. management of pre-issue and post-issue activitiesrelating to the capital issue in accordance with the SEBI guidelines and thus enablingthe promoters to market their issue.

Making arrangements for the placement of capital and debt instruments withinvestment institutions.

Arrangement of funds from financial institutions for the clients project cost or hisworking capital requirements.

Assisting in the process of getting all Government and other clearances.

ii. Modern Activities

Beside the above traditional services, the financial intermediaries render innumerableservices in recent times. Most of them are in the nature of non-fund based activity. In view ofthe importance, these activities have been in brief under the head New financial products and

services. However, some of the modern services provided by them are given in brief

hereunder.

Rendering project advisory services right from the preparation of the project report tillthe raising of funds for starting the project with necessary Government approvals.

Planning for M&A and assisting for their smooth carry out. Guiding corporate customers in capital restructuring.

Acting as trustees to the debenture holders. Recommending suitable changes in the management structure and management style

with a view to achieving better results. Structuring the financial collaborations / joint ventures by identifying suitable joint

venture partners and preparing joint venture agreements. Rehabilitating and restructuring sick companies through appropriate scheme of

reconstruction and facilitating the implementation of the scheme. Hedging of risks due to exchange rate risk, interest rate risk, economic risk, and

political risk by using swaps and other derivative products. Managing In- portfolio of large Public Sector Corporations. Undertaking risk management services like insurance services, buy-hack options etc.

Advising the clients on the questions of selecting the best source of funds taking intoconsideration the quantum of funds required, their cost, lending period etc.


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Guiding the clients in the minimization of the cost of debt and in the determination ofthe optimum debt-equity mix.

Promoting credit rating agencies for the purpose of rating companies which want togo public by the issue of debt instrument.

Undertaking services relating to the capital market, such as 1)Clearing services,

2)Registration and transfers, 3)Safe custody of securities, 4)Collection of income onsecurities.

What do they do?

These are some of the foremost among the myriad financial services. I nsurance and related services Direct insurers pool payments (premiums) from those seeking to cover

risk and make payments to those who experience a covered personal orbusiness-related event, such as an automobile accident or the sinking of a

ship. Reinsurers, which can be companies or wealthy individuals, agree, for

a price, to cover some of the risks assumed by a direct insurer. Insurance intermediaries, such as agencies and brokers, match up those

seeking to pay to cover risk with those willing to assume it for a price. Banks and other fi nancial service providers Accept deposits and repayable funds and make loans: Providers pay

those who give them money, which they in turn lend or invest with thegoal of making a profit on the difference between what they pay

depositors and the amount they receive from borrowers. Administer payment systems: Providers make it possible to transfer

funds from payers to recipients and facilitate transactions and settlementof accounts through credit and debit cards, bank drafts such as checks,and electronic funds transfer.

Trade: Providers help companies buy and sell securities, foreignexchange, and derivatives.

Issue securities: Providers help borrowers raise funds by selling sharesin businesses or issuing bonds.

Manage assets: Providers offer advice or invest funds on behalf ofclients, who pay for their expertise.

Banking and Other Financial Services means

(a) the following services provided by a banking company or a financialinstitution including a non-banking financial company or any other bodycorporate or [commercial concern]

*, namely :

(i) financial leasing services including equipment leasing and hire-purchase;

Explanation.

Forthe purposes of this item, financial leasing means a leasetransaction where


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(i) contract for lease is entered into between parties for leasing of a specificasset;

(ii) such contract is for use and occupation of the asset by the lessee; (iii) the lease payment is calculated so as to cover the full cost of the asset

together with the interest charges; and (iv) the lessee is entitled to own, or has the option to own, the asset at the

end of the lease period after making the lease payment; (ii) Omitted (iii) merchant banking services; (iv) securities and foreign exchange (forex) broking, and purchase or sale

of foreign currency, including money changing; (v) asset management including portfolio management, all forms of fund

management, pension fund management, custodial, depository and trustservices ,

(vi) advisory and other auxiliary financial services including investmentand portfolio research and advice, advice on mergers and acquisitions andadvice on corporate restructuring and strategy;

(vii) provision and transfer of information and data processing; and

(viii) banker to an issue services; and (ix) other financial services, namely, lending, issue of pay order, demanddraft, cheque, letter of credit and bill of exchange, transfer of money includingtelegraphic transfer, mail transfer and electronic transfer, providing bankguarantee, overdraft facility, bill discounting facility, safe deposit locker, safevaults, operation of bank accounts;;

(b) foreign exchange broking and purchase or sale of foreign currencyincluding money changing provided by a foreign exchange broker or andauthorised dealer in foreign exchange or an authorised money changer, otherthan those covered under sub-clause (a);

[Explanation. For the purposes of this clause, it is hereby declared thatpurchase or sale of foreign currency, including money changing includes

purchase or sale of foreign currency, whether or not the consideration forsuch purchase or sale, as the case may be, is specified separately;]

Intermediation

At its heart, the financial sector intermediates. It channels money from savers to borrowers,and it matches people who want to lower risk with those willing to take on that risk. Peoplesaving for retirement, for example, might benefit from intermediation. The higher the returnfuture retirees earn on their money, the less they need to save to achieve their targetretirement income and account forinflation. To earn that return requires lending to someonewho will pay for the use of the money (interest). Lending and collecting payments are

complicated and risky, and savers often dont have the expertise or time to do so. Finding anintermediary can be a better route.

Some savers deposit their savings in a commercial bank, one of the oldest types of financialservice providers. A commercial bank takes in deposits from a variety of sources and paysinterest to the depositors. The bank earns the money to pay that interest by lending toindividuals or businesses. The loans could be to a person trying to buy a house, to a businessmaking an investment or needing cash to meet a payroll, or to a government.

The bank provides a variety of services as part of its daily business. The service to depositorsis the care the bank takes in gauging the appropriate interest rate to charge on loans and the

assurance that deposits can be withdrawn at any time. The service to the mortgage borroweris the ability to buy a house and pay for it over time. The same goes for businesses and
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governments, which can go to the bank to meet any numberof financial needs. The bankspayment for providing these services is the difference between the interest rates it charges forthe loans and the amount it must pay depositors.

Another type of intermediation is insurance. People could save to cover unexpected expenses

just as they save for retirement. But retirement is a more likely possibility than events such assickness and auto accidents. People who want to cover such risks are generally better off

buying an insurance policy that pays out in the event of a covered event. The insuranceintermediary pools the payments (called premiums) of policy buyers and assumes the risk of

paying those who get sick or have an accident from the premiums plus whatever money thecompany can earn by investing them.

Providers of financial services, then, help channel cash from savers to borrowers andredistribute risk. They can add value for the investor by aggregating savers money,

monitoring investments, and pooling risk to keep it manageable for individual members. Inmany cases the intermediation includes both risk and money. Banks, after all, take on the risk

that borrowers wont repay, allowing depositors to shed that risk. By having lots ofborrowers, they are not crippled if one or two dont pay. And insurance companies pool cashthat is then used to pay policy holders whose risk is realized. People could handle manyfinancial services themselves, but it can be more cost effective to pay someone else to do it.

Cost of services

How people pay for financial services can vary widely, and the costs are not alwaystransparent. For relatively simple transactions, compensation can be on a flat-rate basis (say,$100 in return for filing an application). Charges can also be fixed ($20 an hour to processloan payments), based on a commission (say, 1 percent of the value of the mortgage sold), or

based on profits (the difference between loan and deposit rates, for example). The incentivesare different for each type of compensation, and whether they are appropriate depends on thesituation.

Regulation

Financial services are crucial to the functioning of an economy. Without them, individualswith money to save might have trouble finding those who need to borrow, and vice versa.And without financial services, people would be so intent on saving to cover risk that theymight not buy very many goods and services.

Moreover, even relatively simple financial goods can be complex, and there are often longlags between the purchase of a service and the date the provider has to deliver the service.The market for services depends a great deal on trust. Customers (both savers and borrowers)must have confidence in the advice and information they are receiving. For example,

purchasers of life insurance count on the insurance company being around when they die.They expect there will be enough money to pay the designated beneficiaries and that theinsurance company wont cheat the heirs.

The importance of financial services to the economy and the need to foster trust amongproviders and consumers are among the reasons governments oversee the provision of many

financial services. This oversight involves licensing, regulation, and supervision, which varyby country. In the United States, there are a number of agenciessome state, some federal


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that supervise and regulate different parts of the market. In the United Kingdom, theFinancial Services Authority oversees the entire financial sector, from banks to insurancecompanies.

Financial sector supervisors enforce rules and license financial service providers. Supervision

can include regular reporting and examination of accounts and providers, inspections, andinvestigation of complaints. It can also include enforcement of consumer protection laws,such as limits on credit card interest rates and checking account overdraft charges. However,the recent sudden growth in the financial sector, especially as a result of new financialinstruments, can tax the ability of regulators and supervisors to rein in risk. Regulations andenforcement efforts cannot always prevent failuresregulations may not cover newactivities, and wrongdoing sometimes escapes enforcement. Because of these failures,supervisors often have the authority to take over a financial institution when necessary.

The role of mortgage-backed securities in the recent crisis is an example of new financialinstruments leading to unexpected consequences. In this case, financial firms looking for

steady income streams bought mortgages from the originating banks and then allocatedpayments to variousbonds, which paid according to the mortgages underlying performance.Banks benefited by selling the mortgages in return for more cash to make additional loans,

but because the loan makers did not keep the loans, their incentive to check borrowers

creditworthiness eroded. The mortgages were riskier than the financial firms that boughtthem anticipated, and the bonds did not pay as much as expected. Borrowers were morelikely to default because of their lower income, which reduced the amount bondholders tookinboth of which hurt gross domestic product growth. Mortgage-backed securities wereinitially intended to help mitigate risk (and could have done so under the rightcircumstances), but they ended up increasing it.

Productive uses

Financial services help put money to productive use. Instead of stashing money under theirmattresses, consumers can give their savings to intermediaries who might invest them in thenext great technology or allow someone to buy a house. The mechanisms that intermediatethese flows can be complicated, and most countries rely on regulation to protect borrowersand lenders and help preserve the trust that underpins all financial services.

Financial services provided by banks. Consumers use banks to keep financial resourcessafe and readily available for use. Deposits made by customers of the bank are insured by the

Federal Deposit Insurance Corporation (FDIC). Customers of the bank rely upon itsability to liquidate financial resources held on account when they request the bank to do so.Banks provide customers with specially printed checkbooks. Customers pay creditors andother financial obligations by writing a check on the bank account. The bank pays the checkwritten by its customer. Overdrafts and other fees are charged in accordance with the bankscustomer policy. If a customer withdraws more money than he has in account with the bank,the bank charges the customer a fee. Customers may arrange foroverdraft protection withthe bank. Overdraft protection is a loan that is accessed when the customers available fund

balance is negative.

Banks lend money to private and business customers. These loans take the form of personal

loans, commercial/business loans, and home/property loans (mortgages).


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Banks also issue credit cards to customers. A credit card is a form of demand loan availableto the customer. The bank also supports its credit card business by processing payments tosettle customer credit card bills. To support merchants accepting customers credit cards,

banks may offer a merchant network service. Merchant network services include cardterminals or credit card machines.

Banks provide debit cards to their customers. Sometimes called check cards, debit cardsprovide ready access for customer use without the need to make a physical check or cashwithdrawal. Customers may use debit or credit cards in the banks automatic teller machine

(ATM).

Banks facilitate fund transfers for customers via wire transfer and electronic transfer offunds. Banks utilize an interbanknetwork to transfer funds for clients. Banks also providecertified or cashiers checks for customers. The bank guarantees the check so that thecustomer may offer it as certified available funds to a payee. In order to create a certifiedcheck, the bank usually withdraws client funds.

Banks offer the services of a notary publicto validate clients important documents.

Private banks. The financial needs ofhigh net worth individuals, families, and theirbusinesses differ from those of most consumers. Private bank clients must usually present acertain minimum net worth to obtain private banking services. Private bank services includetax and estate planning, tax planning, and philanthropic gift planning.


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History of financial services

The term "financial services" became more prevalent in theUnited Statespartly as a result oftheGramm-Leach-Bliley Actof the late 1990s, which enabled different types of companiesoperating in the U.S. financial services industry at that time to merge.[2]

Companies usually have two distinct approaches to this new type of business. One approachwould be a bank which simply buys an insurance company or aninvestment bank, keeps theoriginalbrandsof the acquired firm, and adds theacquisitionto its holding company simplyto diversify itsearnings. Outside the U.S. (e.g., inJapan), non-financial services companiesare permitted within theholding company. In this scenario, each company still looksindependent, and has its own customers, etc. In the other style, a bank would simply create itsown brokerage division or insurance division and attempt to sell those products to its ownexisting customers, with incentives for combining all things with one company.

History

Way back in 60s Few enthusiastic persons gathered together with

a common goal to make available the banking facility to thecommonest of the common man. They had an aim that any personin genuine financial difficulty or in need of finance to fulfill hisdreams whether personal or professional should have an

institutional support and he should not be a prey of traditionalmoneylenders. The dream of these persons came into existence by

bearing a name i.e. Dombivli Nagari Sahakari Bank Ltd. on 6thSeptember, 1970.

Since then the bank has grown by leaps and bound. With a modestbeginning in a small 500 sq.ft. of main branch cum central office,having deposit base of and total advances of in June 1971, it hasnow reached abusiness mix of Rs. 3035 crores contributed

by deposit of Rs. 1828 crores and Rs. 1207 crores ofadvances with 37 branches spread across 11 districts ofMaharashtra.
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Milestones

Scheduled status in 1996.Rs. 100 crores deposit in financial year 1994 to 1995.Rs. 500 crores deposit in financial year 2002 to 2003.Crossed Thane Dist. Border by opening Fort and Pune Branches in2002-03.Core Banking Services From Year 2006.Merging of Shivneri Sahakari Bank With DNS Banks On 13

October 2007 and Suvarana Mangal Mahila Sahakari Bank on 3rd

January 2010.Crossed the milestones Rs. 3000 crores Busines Mix in March2011.

Key Financial Indicators

Since inception Audit class A.Maximum permissible dividend paid every year.

Net NPA 0%CRAR at 15%USP.

Business philosophy.

We aim at: Evolving ourselves into a strong and sound competitivefinancial system, providing integrated services to customers fromall segments, leverage on technology and human resources, adopt

best accounting and ethical practices and fulfill corporate and

social responsibilities towards all stakeholders, visualize aspiringbenchmarks / goals and attain them efficiently and effectively.


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Technology

Consumer banking brings a welcome change in a common person's

life. It is not only the name for giving services to elite andprivileged class of the society but is also to facilitate the commonpeople, which normally represent a big proportion of the society. Itis not possible for Banks to offer better services to this big

proportion of the society without the help of Technology.

Mobile & SMS Banking

DNS Bank Ltd. in an attempt to fulfill the ever rising needs ofbanks customers has launched SMS banking facility.SMS Bankingbrings Banking to your fingertips. With SMS, you can perform awide range of query based transactions from your mobile phone.Also get alerts for transaction in account, Deposit Maturity andEMI Due's.DNS is 1st Co-op. Bank to launch Mobile Banking Services inIndia. The Bank's customers can send and receive funds on any dayand any time as per their convenience by using their mobile

phones.

ATM Shared Network

DNS Bank is amongst the 1st five Co-op. Banks to join NFS ATMShared Network. The customers now have access to 80,000 +ATMs across most of the bank's operating in India.

NEFT

National Electronic Funds Transfer (NEFT) is a nation-widepayment system facilitating one-to-one funds transfer. Under thisScheme, individuals, firms and corporate can electronically transferfunds from any bank branch to any individual, firm or corporatehaving an account with any other bank branch in the country

participating in the Scheme.

There is no limit for amount to be transferred. The funds are

transferred in ten batches during the day


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Since 2004, when RBI introduced RTGS, DNS is providing thiselectronic funds transfer facility. Using which customer cantransfer funds to any other person's bank account within few hoursin India. The NEFT facility which is similar to RTGS is also

provided by the bank from the year 2007.

E-Lobby

The bank has setup 1st E-Lobby at Main Branch, Dombivli. TheLobby has facilities for customers to deposit cheques, cash, print

passbook, withdraw cash, 24 hours and 365 days. Any branch'scustomer can access the E-Lobby for their requirements.

Social Commitment

While carrying out conventional banking bank has not lost sight ofits Social responsibilities. An amount of over Rs 28 Lacs has beengranted as subsidy to 101 Social, and Educational institutesworking in rural areas. Bank also helps students in remote areas ofTalasari, Shahapur, Nashik, Karjat and Khopoli Blocks by

providing collection of 'expected questions' and 'ideal answersheets' on all subjects.The Bank has continued its efforts in micro financing through selfhelp groups. In Shahapur alone bank had disbursed a loan of overRs 1.5 crores to such SHGs. The purpose includes Poultry, Dairy,goat rearing, purchase of Fertilizers etc. I am happy to report thatthe repayment has been satisfactory. Bank receives help in this

behalf from Utkarsh Navinyapurna Shakari Sanstha promoted bySahakar Bharati.

Sahakar Bharati : is working in Co-operative sector on national

level. Shri. Vasantrao Deodhar of this organization wasawarded 'SAHAKAR MITRA'. Mr. Sanjeev Vibhute activelyworking in field of child education, eradication of superstition fromsociety, helping people to overcome vices, was awarded'SAMAJMITRA'.

In addition to above bank also helps Sports and cultural activities.Accordingly the eight sport persons who achieved medals inCommonwealth Games were honored by the bank. Ms. Suma

Shirur (Panvel), Madhurika Patkar and Mamata Prabhu (Thane),Anisa Saiyad (Pune), Rachi Sarnobat and Tejasvini Sawant


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(Kolhapur). Kavita Raut (Nasik) and Narsing Yadav (Mumbai)were honored by the bank duly visiting their homes. The sport

persons appreciated the initiatives taken the bank.

Green Project

Our Bank is thinking positively to participate in social aforestationproject. This project will be implemented in the area of Mamnoli,Murbad which is about 100 kms from Mumbai with the co-operation of Paryavaran Dakshata Manch.

Financial Inclusion

The Bank has continued its efforts in micro financing through selfhelp groups. In Shahapur alone bank had disbursed a loan of overRs 1.5 crores to such SHGs. The purpose includes Poultry, Dairy,goat rearing, purchase of Fertilizers etc.

Services Provided by DNS bank

RTGS:Customers can transfer funds above Rs. 2,00,000 to any bankaccount in India on same day.The acronym 'RTGS' stands for Real Time Gross Settlement,which can be defined as the continuous (real-time) settlement offunds transfers individually on an order by order basis (withoutnetting). 'Real Time' means the processing of instructions at thetime they are received rather than at some later time. 'GrossSettlement' means the settlement of funds transfer instructions

occurs individually (on an instruction by instruction basis).Considering that the funds settlement takes place in the books ofthe Reserve Bank of India, the payments are final and irrevocable.

Timings For Transaction

Monday to Friday: 9.00 am to 4.00 pmSaturday: 9.00 am to 1.00 pmWeekly off Sunday

NECS:


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Electronic Clearing Services allows customer to receive credit orsend money electronically instead of cheque. This System works

parallel to cheque clearing with local exchanges. RBI hasintroduced national ECS for banks that have implemented CBS.

Our Bank is offering thats facility to all customers.

Depository service:

We are offering Demat facility through Stock HoldingCorporation of India.The facility is available at following address:

Dombivli Nagari Sahakari Bank Ltd.

Guruprasad, Behind Shivaji StatueManpada Road, Dombivli - (East)Timing

Monday to Friday: 10.00 am to 5.00 pmSaturday: 10.00 am to 1.00 pm

Bancassurance:

Dombivli Nagari Sahakari Bank Ltd. is always ahead in deliveringthe value added services to customers of the bank.Bank is functioning as a Corporate Agent under IRDA guidelinesfor Life and General Insurance.

Life Insurance

We are the corporate Agent forKOTAK MAHINDRA OLDMUTUAL LIFE INSURANCE CO. LTD. for Life InsuranceBusiness. Being a corporate agent we offer various life insurance

products which are nicely designed according to the individualneeds to protect the uncertainties in life.

Under Bancassurance we offer Group Credit Life Insurance forvarious loans like Housing, Personal and Educational loans. The

policy covers the risk under group policy issued in the name of theBank. The cover is on reducing balance method. The cover isavailable with single premium amount.

General InsuranceBank is a corporate agent forBAJAJ ALLIANZ GENERALINSURANCE CO. LTD. under this tie-up we are offering various

general insurance products like Fire Insurance, Motor Insurance,Home insurance, Health insurance, Event Insurance etc.


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Mutual FundA Mutual Fund is ideal portfolio for individual investor. Thevarious funds offer a diversified professionally managed portfolio.

Bank has a tie-up agreement withKotak Mahindra Mutual FundUTI Mutual FundReliance Mutual FundDSP Black Rock Mutual Fund

Stamp Franking Services:

To overcome the problems of shortage of stamp papers and evengenuinity of stamps, Dombivli Nagari Sahakari Bank Ltd.,

provides Stamp Franking at:Dombivli Nagari Sahakari Bank Ltd.Keshav Smruti, Manpada Road, Opp..K.D.M. Corporation,Dombivli (East), Maharashtra, India - 421 201.

Loan schemes( Housing loans)

Schemes Sukh Vastu Swapna Vastu Swapna Poorti

Purpose For purchase of

new Flat /Bungalow.

Construction ofown house.

For purchase of new

Flat / Bungalow.Construction of own

house.

For purchase ofnew Flat /Bungalow.Construction ofown house.

Eligibility Any individual,Businessman,professional, self

employed or

Salaried person.

Any individual,Businessman,professional, self

employed or

Salaried person.

Any individual,Businessman,professional, self

employer orSalaried person.Margin 20% for first

purchase of a Flat /House in new

building.

20% for firstpurchase of a Flat /House in new

building.

20% for newdwelling.

25% for purchase

of a Flat / Houseunder resale, in a

building not older

than 10 years.

25% for purchase of

a Flat / Houseunder resale, in a

building not older

than 10 years.

25% for resaledwelling.


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25% for purchase

of Flat / House,under resale in a

building older than10 years, but not

older than 30years.

25% for purchase of

Flat / House, underresale in a building

older than 10 years.

No advance to besanctioned for

purchase of Flat /House in a building

older than 30years.

No advance to besanctioned for

purchase of Flat /House in a building

older than 30 years.

No advance tobe sanctionedfor purchase offlat in a buildingolder than 30years.

Loan Limit Eligible loan

amount will becalculated basedon Agreement Costrelevant margin

will be deducted.Up to Rs. 20.00

Lacs perbeneficiery of a

dwelling unit.

Above Rs. 20.00 to

Rs. 30.00 Lacs perbeneficiary of adwelling unit.

Above Rs. 30.00

Lacs to Rs.50.00 Lacs.

Prime:

Dwelling unit to be

purchased /constructed out ofbank finance.

Prime:

Dwelling unit to be

purchased /constructed out ofbank finance.

Prime:Dwelling unit tobe purchased /constructed outof bank finance.

Collateral:Assignment ofSingle Premium

Term InsurancePolicy on the life of

the proponent/s -sum assured

should beequivalent to the

loan amountsanctioned with

term of policyshould at least the

minimum up to therepayment period.

Collateral:Assignment ofSingle Premium

Term InsurancePolicy on the life of

the proponent/s -sum assured should

be equivalent to theloan amount

sanctioned withterm should a least

minimum up to therepayment period.

If the loan amountis more than Rs.25.00 Lacs thenLiquid Security in

the form of Term

Deposit of our Bankequivalent to 10%

Collateral:Liquid Securityin the form ofTerm Deposit ofour Bankequivalent to10% of the loan

amountsanctioned.Assignment ofSingle PremiumTerm InsurancePolicy on the lifeof theproponent/s -sum assuredshould be

equivalent to theloan amount


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Education Loan

Education Loan SchemePurposeEducational Purpose - For Higher Education in India or aboardEligibility

Student + Parents / guardian as co-applicantsLoan Limit

Max Rs. 20.00 LacsStudies in India - Rs. 10.00 LacsStudies in Abroad - Rs. 20.00 Lacs

Margin10% for both studies in India and AbroadRepayment Schedule

Maximum 84 Months including - moratorium period

Moratorium PeriodDuration of course + 6 monthsOR3 Months after getting a job whichever is earlierGuarantors

of the loan amount

sanctioned.sanctioned withterm should aleast minimumup to therepayment

period.Guarantors Minimum two

acceptable toBank.

Minimum two

acceptable to Bank.Minimum twoacceptable toBank.

Repayment

Period

15 Years

maximum.

15 Years maximum. 15 Yearsmaximum.


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Minimum two guarantors of age not more than 50 years.All the deductions including prosed EMI should not exceed 65% ofGross total income.Security

Up to Rs. 2.00 Lacs - CleanAbove Rs. 2.00 Lacs - Tangible security or immovable property-value to cover 100% of loan amount + single premium Insurance

policy on the life of student of sum assured not less than loanamount for all students whether going abroad or not.(Single premium amount of the insurance policy single premiumamount of the insurance policy can be considered as part of cost ofeducation.)Subsidy

If Interest funded during the moratorium period then additional 1%to be charged.Subsidy as per the IBA guidelines available to students for studiesin India.

Vehicle loan:

Safar Vehicle Loan Scheme

Purpose

For purchase of New / Old (second hand 4 Wheelers Vehicle).

EligibilityAny Individual.Margin

New vehicle: 10% of invoice price(i.e. the cost of vehicle + RTO Registration + Tax + Insurance).2nd vehicle: 50% (If aggregate price is less than valuation then50% of the Agreement price).Repayment Schedule

Maximum 60 months (New Vehicle).

2nd Hand Vehicles - 36 months.Guarantors

Minimum one acceptable to the bank.Security

Hypothecation of new / Second hand vehicle(as the case may be).

Vehicle Loan for 2 WheelerPurpose

For purchase of New Vehicle.


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Loan Limit

Maximum up to Rs. 1.00 Lac.Margin

Nil - Up to Rs. 50,000/- and 10% p.a. above Rs. 50,000/-

Repayment ScheduleUp to 60 months.Guarantors

One guarantor of good means acceptable to the bank.SecurityHypothecation of the proposed vehicle to be acquired through bankfinance.

Gold loan:

Suvarna Sanchay for purchase of gold

PurposePersonal Loan to Purchase Gold Bars, Jwellery, Chips, Biscuits etc.

Eligibility

Any Indulges

Loan Limit

Maximum Rs. 5 lacs

Repayment ScheduleUp to Rs. 2.00 lacs36 monthsUp to Rs. 5.00 lacs60 months

Guarantors

One of good means acceptable to the Bank.

SecurityGold Jewelry / Bars / Chips to be purchased to be pledged.

Suvarna Taaran - Pledge of gold and gold ornaments

Eligibility

Any Individual

Loan Limit

Need BasedRs. 23000/- per 10 gms of pure goldOR

75 % of valuation whichever less.


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Repayment Schedule

12 monthsGuarantors

Nil

SecurityPledge of Gold Ornaments

Repayment

Repayment for loan upto Rs. 1.00 lacEMI for laon above Rs. 1.00 Lac

Personal loan:

Utsav Loan Scheme

Purpose

For purchase of T.V., Fridge, Two wheeler & all consumer durableitemsEligibility

Salaried person & Self-professionalsLoan Limit

Maximum Rs. 1 lacs

MarginUp to Rs 5000 NilAbove Rs 5000, 10%Repayment Schedule

Maximum 36 MonthsGuarantors

TwoSecurity

Hypothecation of Article purchased

Suvidha Loan Scheme

PurposeRepayment of old Debts, Ceremonial, Medical Expenses, TourismLoans. etc., any other purpose acceptable to BankEligibility

Any IndividualLoan Limit

Maximum Rs. 5 LacsRepayment Schedule

30 months / 60 months


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Guarantors

Minimum TwoSecurity

Group Insurance in the name of borrowing equivalent to loan

amount

Mortgage Loan Scheme

Purpose

Purchase of Consumer durables, Business Expenses, Education &medical expenses etc.,

Eligibility

Any IndividualLoan Limit

Need BasedMargin50% of valuation of commercial property40% of market value of residential flatRepayment Schedule

84 monthsGuarantors

Two :- Acceptable to the BankSecurityMortgage of property

Advances against Shares

Purpose

To meet any contingencies & personal needsEligibility

Individual, single or joint nameSecurity shares in Demat of approved companies will beconsidered.Loan LimitMaximum Rs. 5 Lacs

Repayment Schedule12 monthsMargin

50 % on Market Value(Average of 52 weeks High + Low )Guarantors

Not requiredSecurity

Shares

They also have Internet banking, mobile banking, sms banking.


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DNS Bank ( Saurabh)

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