BFSI - NewNerve

Impact of various Financial Frauds on the Indian economy

22May

By AnkitNo Comments

Blog, BFSI

Impact of various Financial Frauds on the Indian economy

The impact of financial frauds on the Indian economy is significant and multifaceted, affecting both individuals and the overall financial landscape. Here's a breakdown of the key areas impacted: 1. Financial Losses: Direct Losses: Fraudulent activities result in direct financial losses for individuals, businesses, and financial institutions. This includes stolen money, unauthorized transactions, and unpaid loans. Indirect Losses: Fraud can also lead to indirect losses, such as the cost of fraud prevention measures, damage to reputation, and loss of customer trust. 2. Impact on Banking and Fintech Sector: Erosion of Trust: Fraudulent activities can erode public trust in the banking and fintech sector, leading to reduced customer confidence and participation. Increased...

Common Financial Frauds in Indian Banking and Fintech, 2024

21May

By AnkitNo Comments

Fintech, Banking, Blog

Common Financial Frauds in Indian Banking and Fintech, 2024

The Indian banking and fintech system, while offering incredible convenience, is unfortunately susceptible to various types of financial fraud. Here are some of the most common ones: 1. Online Financial Fraud: Phishing: This involves criminals sending fake emails or messages that appear to be from legitimate institutions, tricking users into revealing their login credentials or personal information. Malware Attacks: Malicious software can be installed on your device to steal your banking credentials or track your online activity. Skimming: This involves using devices to steal credit card information from ATMs or point-of-sale terminals. Card Cloning: Stolen credit card information can be used to create counterfeit cards for fraudulent transactions. 2. Mobile Banking Fraud...

Financial Viability of UPI Services: Seeking Regulatory Solutions

21May

By AnkitNo Comments

Blog, Payments, Review

Financial Viability of UPI Services: Seeking Regulatory Solutions

The impact of charging for UPI transactions in India is a topic of significant interest. Let’s explore this based on recent articles and reports: Unified Payment Interface (UPI) Revolution: The Unified Payment Interface (UPI), launched by the National Payments Corporation of India (NPCI) in 2016, has revolutionized digital payments in India. UPI enables citizens to transfer money from one bank account to another instantly. India leads globally in terms of real-time payment transactions, with 48.6 billion transactions processed in 2021. Since its inception in April 2016, UPI has saved the Indian economy approximately $67 billion. Notably, UPI transactions have seen tremendous growth, with 9.41 billion transactions, worth INR 14.89 lakh crore ($181 billion), processed in May 2023 alon...

20May

By AnkitNo Comments

BFSI, Insurtech

Policybazaar’s ‘Claim Assurance Program’ Promises Faster, Smoother Motor Insurance Claim Settlements

Online insurance marketplace Policybazaar has introduced a new initiative called the 'Claim Assurance Program' to accelerate the motor insurance claims process across India. The program aims to provide swift and efficient claims support across over 1000 PIN codes, targeting both metropolitan areas as well as tier 2 and 3 regions. The Claim Assurance Program is part of Policybazaar's broader strategy to enhance its claims assistance capabilities across all insurance verticals. The company has also launched a new advertising campaign to increase awareness about its efforts to streamline insurance claims processing. "Our commitment to providing seamless support extends beyond promises; it's about tangible actions. While no one anticipates an accident, we understand that it's our duty to...

How India is Becoming a Global Fintech Hub, 2024

19May

By AnkitNo Comments

Blog, Fintech

How India is Becoming a Global Fintech Hub, 2024

The Indian fintech market is experiencing explosive growth, attracting significant global attention and investment, and becoming a Global Fintech Hub. This burgeoning landscape is fueled by several key factors: 1. A Vast and Underserved Population: India boasts a massive population, with a large segment still lacking access to traditional financial services. This creates a huge potential market for fintech solutions that can offer affordable and accessible financial products. The rise of mobile phones and internet penetration has further fueled this trend, allowing global fintech companies to reach even the most remote areas. 2. Government Support and Favorable Regulatory Environment: The Indian government has actively promoted the growth of fintech...

Debit Card Transactions Decline While Credit Cards Surge: A February 2024 Overview

18May

By AnkitNo Comments

Banking, BFSI

Debit Card Transactions Decline While Credit Cards Surge: A February 2024 Overview

In the dynamic landscape of financial transactions, February 2024 witnessed intriguing trends in card-based payments. Let’s delve into the data and explore what unfolded: Debit Card Transactions: A Downturn Year-on-Year Decline Volume: Debit card transactions experienced a substantial 13% decline compared to the previous year. Value: The total value of debit card transactions decreased by approximately 4%during the same period. Month-on-Month Insights Despite the yearly dip, the month of February saw a slight decline in debit card transactions: Volume: A 3.7% decrease from January 2024. Value: A 1.9% decrease during the same month. Breakdown of Debit Card Usage In February 2024, approximately 0.66 billion debit...

16May

By Ankit1 Comment

BFSI

Unveiling UPI Lite: Exploring the Differences and Similarities with UPI

The traditional UPI system has been a game-changer in facilitating seamless and instant digital transactions. It allows users to link multiple bank accounts to a single mobile application, streamlining the process of fund transfers, bill payments, and more. Enter UPI Lite:UPI Lite can be seen as a streamlined version of the original UPI. While the core functionality remains intact, UPI Lite focuses on providing a simplified user experience, especially for those with basic mobile phones and limited internet connectivity. Differences: Reduced Data Requirements: UPI Lite is designed to operate efficiently in low-bandwidth conditions. This makes it accessible to users who may not have high-speed internet access. Minimal App Interface: Unlike the feature-rich UPI apps, ...

The RBI’s Regulatory Sandbox: Fostering Innovation in India’s FinTech Landscape, 2024

15May

By AnkitNo Comments

BFSI, Fintech, Goverment Notice/Circulars, Regtech

The RBI’s Regulatory Sandbox: Fostering Innovation in India’s FinTech Landscape, 2024

The Reserve Bank of India (RBI) has established itself as a leader in fostering innovation in the country's rapidly evolving FinTech landscape. In August 2019, the RBI launched its Regulatory Sandbox (RS), becoming one of the few countries with such an ecosystem. This initiative provides a controlled environment for eligible entities to live test their innovative products and services, enabling regulated and orderly growth of the FinTech sector in India. The RS operates through thematic cohorts, focusing on specific areas of innovation. Past cohorts have addressed themes such as retail payments, cross-border payments, MSME lending, and prevention of financial fraud. To ensure continuous innovation, the RS also accepts "On Tap" applications for closed themes, currently open for the first...

SEBI Simplifies Risk Management Framework by Relaxing KYC Norms

15May

By AnkitNo Comments

Wealthtech, BFSI, Fintech

SEBI Simplifies Risk Management Framework by Relaxing KYC Norms

The Securities and Exchange Board of India (SEBI) has recently announced the relaxation of Know Your Customer (KYC) norms in order to simplify the risk management framework. This move by SEBI aims to streamline the KYC process and make it more convenient for market participants. In this article, we will delve into the details of SEBI's decision and its potential impact on the securities market. Simplifying the Risk Management Framework SEBI, the regulatory body overseeing the securities market in India, recognizes the significance of KYC norms in mitigating risks and ensuring the integrity of the market. However, it also acknowledges the need to strike a balance between risk management requirements and the ease of doing business for market participants. In its updated notification on ...

RBI’s New rule for Custodian Bank: T+1 Settlement Regime

14May

By AnkitNo Comments

Banking, BFSI, Goverment Notice/Circulars

RBI’s New rule for Custodian Bank: T+1 Settlement Regime

The Reserve Bank of India (RBI) has revised its guidelines for custodian banks in response to the implementation of the T+1 settlement regime for stocks. These revised guidelines aim to enhance risk management practices within the custodian banking sector amidst the transition to a faster settlement cycle. Key Highlights: Maximum Intraday Risk: Custodian banks issuing Irrevocable Payment Commitments (IPCs) will face a maximum intraday risk equivalent to 30% of the settlement amount, classified as capital market exposure (CME). Risk Mitigation Measures: Cash margins reduce exposure by the amount paid. Margins paid in permitted securities to mutual funds and foreign portfolio investors (FPIs) reduce exposure, subject to the Exchange's prescribed haircut on ac...