Introduction
Ujjivan Small Finance Bank Ltd (USFB) is one of India’s leading companies in the financial sector. It was launched to address the challenges of customer issues of Credit Sais’s portfolio and deliver banking services to the unconnected and unhinged individuals/groups of society. Approved by the RBI in 2017, it began as the microfinance non-banking finance company, Ujjivan Financial Services, which started operations in 2005.
Ujjivan Small Finance Bank majorly targets financial inclusion while providing versatile banking and financial services to the country’s socially and economically deprived people. Now, it is high time for us to turn to the initial essential components of this outstanding organization and its function as the pioneer that alters the financial structure of banking.
Ujjivan Small Finance Bank – The Journey and Its Prospect
Ujjivan Small Finance Bank came into existence from the microfinance sector specialist Ujjivan Financial Services. As a small finance bank, it continued the vision and principle of the institution with added products of deposits, loans, and investment opportunities. Its vision is to help reduce financial disenfranchisement among the excluded populations and provide them with fair financial services.
Services and Products of Ujjivan Small Finance Bank
- Savings and Deposit Products
To minimize the risks among its customers, Ujjivan offers effectual savings accounts, fixed deposit accounts, and recurring deposit accounts with worthy interest rates through which people can save safely and invest and earn more. Another advantage is they provide convenient and easy-to-use digital bank services that can even benefit people who never used online banking before.
- Customized Loan Products Apart from micro-loans looking for women entrepreneurs, Ujjivan offers home loans and business loans for small businesses. It always meets a customer’s needs and, therefore, comes up with techniques that make credit easily accessible to those who need it.
- Digital Banking and Technological Integration Ujjivan Small Finance Bank primarily focuses on user experience by integrating technology. This is through services such as Internet banking, mobile banking, banking apps, and banking through the doorsteps, which makes the transactions easier even though some clients may have adverse attitudes towards technology.
- Inclusive Insurance Solutions The bank works with some of the best insurance companies to provide life, health, and general insurance, thus ensuring maximum financial security for their clients.
Why Ujjivan Fits in Modern Banking System
Ujjivan Small Finance Bank is a bank established to provide banking facilities to everyone and a revolution in the country. By linking social relevance, social responsibility, and company value creation, Ujjivan proves that the business case for the pyramid’s base is social and financial.
Given that most players within the Indian microfinance sector are established public and private banks, the community-centric approach of Ujjivan helps it play a significant role in the country’s market liberalization towards financial inclusion. Its active focus on individuals, small businesses, and communities is the best example of what banking does in its social context.
How does Ujjivan fare from the conventional banks?
Ujjivan has built a foundation on microfinance and integrated modern bank products, focusing on the low-income, micro-business, and rural market segments.
As a start-up SFB, what values does Ujjivan Small Finance Bank uphold?
As a microfinance institution, Ujjivan strongly supports the principles reflected in the company’s slogan – Financial Express for Emerging India: customer ownership and sustainable banking for the unserved and underserved.
What does Ujjivan do to support rural development?
Cultivating branches in rural areas and providing credit, especially for agriculture & SMEs, has significantly contributed to the rural economy.
Ujjain small bank share price
Last 6 Months, fluctuations 534 to 813
Can customers access Ujjivan’s services online?
Ujjivan has efficient social and mobile banking facilities that enable customers to operate their accounts, make money transfers, and use other banking services.
The following are the benefits you will likely accrue whenever you decide to bank with Ujjivan Small Finance Bank.
Customers and clients enjoy easy access to high-interest savings accounts, online/mobile banking, flexible loan offerings, and many other features available to meet their individual needs, with a focus on inclusion.
Ujjivan’s Mission and Vision
The vision of the company is to advance the financial inclusion of society and become a specialised Banking facilities provider for the un-served and under-banked segments in India. More specifically, the bank has the mission of enhancing its customers’ capabilities to save, invest, and borrow sustainably.
The vision of Ujjivan is that the bank should be a premier ‘financial enterprise serving the financially excluded with ‘services as a filter to sustainably empowering customers; core values of the company include professionalism, innovation, passion for delivery, financial integrity, and customers’ focus.
Key Services Offered by Ujjivan Small Finance Bank
Major Services Provided by Ujjivan Small Finance Bank Consequently, Ujjivan Small Finance Bank provides a considerable span of services that could suit necessary client’s needs. These services include:
1. Savings and Current Accounts Ujjivan Small Finance Bank offers the saving bank account and current account services that hold the flexibility with the attractive interest rate. The savings accounts are special because they come with different customer segment features including free ATM, mobile and other banks’ ease of usage of the accounts. The bank also provides special accounts such as ‘no balance required savings account,’ so that the poor can also have an access to basic facilities of banking.
2. Loans and Credit Facilities For them, one of the main strongholds of the company is loan portfolio especially micro entrepreneurs and low income population of India. The bank provides:
Micro Loans: Micro loans are offered by Ujjivan which targets various groups such as business entities such as traders, small scale business people and farmers. It is often provided without any security and the borrower has to propose his business plan and financial standing.
Personal Loans: For anyone, who needs to borrow money in emergency for himself or to fulfill personal requirements like children education, medical bills, home reparations etc, Ujjivan provides unsecured personal loans with easy repay options.
Home Loans: The bank also has a line of cheap home loans for the low income bracket of the population, especially those in rural and semi urban areas for the purpose of house purchase or construction.
Vehicle Loans: Vehicle loan services target to enable people obtain two or four wheeler through financing from Ujjivan Small Finance Bank for mobility and business purposes.
- Savings Deposit, Term Deposit Scheme and Monthly Income Scheme. The bank provides reasonable rate of interest on fixed deposits (FDs) and recurring deposits (RDs) and, therefore, is suitable to the developing masses as well. Such deposits are short term to long term deposits with attractive interest on the deposit.
- Digital Banking The required efficiency in terms of customer satisfaction for their account access anywhere anytime along with strong focus on digital banking is missing in the formulation of Ujjivan Small Finance Bank Ltd. ”The mobile banking service provided to customers of the bank through the associated application enables making transfers, account and balance, payment of utility bills and other functions. Also, Ujjivan’s internet banking facilities enable customers to undertake their banking errands through the internet without necessarily coming to branches.
- Insurance and Investment Products Technology Consistent with its founding mission to be a one-stop financial service provider, insurance and investment products form part of the www.ujjivan.com products. These include:
Life Insurance: Customers have an opportunity to buy life insurance partnerships being involved in which Ujjivan cooperates with the most significant insurers. Health Insurance: The bank offers medical insurance to use in case there is a need to incur a certain amount in medical bills especially those with the lower income families. Mutual Funds: Customers of Ujjivan can through mutual funds to build up their wealth over a period with assistance given to them on choosing the right product that will meet their needs.
What is the primary focus of Ujjivan Small Finance Bank?
Ujjivan Small Finance Bank targets the first and second-degree excluded and marginalized consumers of the Indian population.
How does Ujjivan support women entrepreneurs?
Ujjivan Small Finance Bank provides micro credit, savings product and other economic services for women entrepreneurship for establishment or operate a business venture.
What types of loans does Ujjivan Small Finance Bank offer?
The target market products are micro credit, personal loans, home loans, car loans amongst others in a bid to address the financial demands of the lower income earners and the small businesspeople. It faces competition from the well-established microfinance institutions such as Ujjivan which provides micro credit, personal credit, home credit, credit for cars, and other credit facilities among the financially excluded base of the population group of the lower middle-income earners and small business people
How can I access Ujjivan Small Finance Bank’s services?
Currently customers can access the released products and services offered by Ujjivan Small Finance Bank through the physical branches, downloadable mobile application, and internet banking. They also provide services such as door-step banking in some areas as well.
Is Ujjivan Small Finance Bank available in rural areas?
Yes, Ujjivan currently operates in the rural and semi-urban regions thus its market niche is based on providing micro finance services to the unbanked / under banked segments.
What is Ujjivan’s strategy for promoting financial inclusion?
Regarding the strategies that has been implemented by Ujjivan, the company implements proper product portfolio approaches that targets the less privileged groups in the society and the company also embrace the use of technology in its operations.