A Case Study
Submitted by
S.Aravind (403/17)
Giridharan Raghunathan (413/17)
Pappu is a migrant labourer from Bihar who lives at Uttam Nagar west. He like thousands of others does not have access to formal banking and is often at the mercy of the informal ways of savings and remittances. One day he learns about a mini savings bank account, a joint initiative by Eko India Financial Services and SBI. So he approaches the customer service point, who also happens to be his next door chemist. All he needs is a mobile phone and an identity proof. The chemist helps him fill the account information form and explains to him that all transactions are conducted by simply dialing, without hassles of composing an sms. Pappu is now a proud bank account holder. He proceeds to make a deposit. To his surprise he finds that making a deposit is as simple as making a talk time recharge. The customer service point transfers account to Pappu’s account by simply dialing. Pappu has made his first deposit. Sometime later in Bihar, Pappu’s brother remembers that he needs to buy fertilizers for the crops. So he promptly rings up Pappu who promises to send him the money immediately. Pappu transfers the amount again by simply dialing. His brother is a happy man indeed to receive the money so easily and so quickly.
The above story is one of the many happy customers of the Simplibank service offered by Eko India Financial Services. Eko India Financial Services Pvt. Ltd (Eko), a Delhi based financial services company was founded to serve the section of the population which was financially excluded. The company believed that a basic saving account is important for financial inclusion. Eko realized that people from financially excluded communities owned mobile phones and the mobile penetration in India was rising rapidly. The company decided to develop its product based on mobile phone. It chose to use mobile phones as the mode of