Revision of Service Tax on PLI w.e.f 01.06.2015 - PLI Directorate order

PLI Directorate decided to increase the service tax on PLI with effect from 01.06.2015. The rates of Service Tax got upward revision as under vide Government of India, Ministry of Finance, Department of Revenue Notification No 5/2015-Service tax dt. 01-03-2015.

•     Revised ST For First year Premium is 3.50% (revised from 3.09%)
•     Revised ST for Renewal Premium is 1.75% (revised from 1.545%)

There will be no Cess on Service Tax

The revised rates of ST shall be applicable w.e.f 01.06.2015 as per Government of India, Ministry of Finance , Department of Revenue Notification No 15/2015- Service tax dt. 19.05.2015

The order issued by PLI Directorate regarding this subject is given below for reference.

The postal department is readying its game plan to roll out payment banking services - Hoping to get a licence in a couple of months

NEW DELHI: The postal department is readying its game plan to roll out payment banking services — hoping to get a licence in a couple of months — and is closely looking at global models and preparing to hire top executives, people familiar with the matter said.

"Based on our discussions and interactions with the RBI ( Reserve Bank of India), we hope to get a nod by July," a senior official of the Ministry of Communications & Information Technology told ET. The central bank hopes to issue payment bank licences by the end of 2015, RBI Deputy Governor SS Mundra said recently.

The postal department expects to make the payment bank viable within three years of operations. Payment banks can accept deposits and can't offer credit. "Our calculations show that we will be able to generate profits of close to .`91 crore by the end of five years," the official said.

In February, Finance Minister Arun Jaitley had thrown his weight behind India Post's application, saying the government hoped to utilise its vast network of about 1.55 lakh points of presence across the country to help promote schemes such as the Pradhan Mantri Jan Dhan Yojana, aimed at promoting access to financial services.

India Post has studied models of various postal bank models of China, Japan, Vietnam and France to chart out its growth plan. "We have set a target of opening around 650 branches by the fifth year of operations. Additionally, we hope to have around 25,000 spokes and 1.3 lakh access points across India," the official said.

According to guidelines issued by the RBI in November, payment banks can accept demand deposits, subject to a cap of .`1 lakh per customer, and provide payment and remittance services through the Internet, branches, business correspondents and mobile banking.

Payment banks cannot offer credit facilities directly, although they can act as agents of commercial banks for credit and other services.

Source: Economic Times

Speed Post Tariff increases w.e.f. 01.06.2015

Budget 2015 has increased the service tax from 12.36 to 14% . So the SPEED POST  tariff  increases from 01.06.2015  for   (LOCAL up to 50 gr) Rs. 17 to Rs.17(Rs15+Rs.2 ST) ,  (Other Place up to 200 gr ) from Rs 39 to Rs.40/-(Rs.35+ Rs.4 ST)  Other rates will change on adding service tax rate.

29 cities upgraded for higher HRA & Transport Allowance

The Union Cabinet today approved upgradation of 29 cities and towns on the basis of 2011 population census for providing higher house and transportation allowance to central government employees.

The revised classification of cities would be effective from April 1, 2014 and cost the exchequer approximately Rs 128 crore for 2014-15.

"The Cabinet has approved reclassification / upgradation of certain cities/towns on the basis of Census 2011 for the purpose of granting House Rent Allowance (HRA) and Transport Allowance to central government employees," Communications and IT Minister Ravi Shankar Prasad told reporters here.

One the basis of the census, 2 cities - Pune and Ahmedabad - have been upgraded to 'X' class from 'Y' and 21 cities to 'Y' from 'Z' for the purpose of HRA, an official statement read.

These 21 cities are Nellore, Gurgaon, Bokaro Steel City, Gulbarga, Thrissur, Malappuram, Kannur, Kollam, Ujjain, Vasai-Virar City, Malegaon, Nanded-Waghala, Sangli, Rourkela, Ajmer, Erode, Noida, Firozabad, Jhansi, Siliguri and Durgapur.

That apart, six - Patna, Kochi, Indore, Coimbatore and Ghaziabad - have been advanced to 'Specified Higher Class' from 'Other Places' for the purpose of transport allowance, the statement said.

So far, the Census 2001 has been used for deciding the HRA and transport allowance of central government officials posted in these towns and cities.

The existing qualifying threshold of population for HRA classification is 50 lakh and above for X, 5-50 lakh for Y and below 5 lakh for Z class cities.The employees are entitled for HRA of 30%, 20% and 10% respectively for X, Y and Z class cities

Transportation allowance is payable at 'higher rates' in 13 specified cities classified earlier as 'A-1' and 'A' (those with a population of 20 lakh and above) and 'lower rates' for the rest.

The cities and towns are classified as X, Y and Z for the purpose of HRA and 13 specified cities classified as A-1, A and Other Places for transportation allowance.

ONE YEAR OF MODI GOVERNMENT DISAPPOINTING TO WORKING CLASS

            Modi Government has completed ONE YEAR. Within this one year. No remarkable change or development is being seen. So many populous slogans and promises during election campaign and thereafter coming in power were made and people of India were hypnotized and got their Votes and formed the government with full majority and this happened after 30 years when a single party came in power with full fledged majority. Working class in general and salaried class in particular was very hopeful for “ACHCHHE DIN” (Good Days) and they were expecting D.A.  merger, Interim Relief and raising in income tax exemption limit. But Government denied everything instead of giving any relief to the working class, all round  attacks were started in several  forms in the shape of Labour  Laws amendments, attack on wages and lively hood of working class who create wealth for the nation and ban on recruitment in Central Government Services for one year, attack on social security  rights doing away with the employees provident fund scheme and diverting a part of fund for speculation in share market doing away with ESI converting the same in to an insurance scheme under IRDA Drastic cut on  social sector expenditure and allocation on welfare schemes like ICDS, Mid Day Meal, NHRM, MNREGA with the Motive of finally doing away with such pro-people schemes  and programmes altogether.

            A vigorous campaign has been launched to  change the  labour laws like Industrial Dispute Act 1947, Factories Act, Contract Labour (Regulation and Abolition Act) and all wages related legislations etc, in favour of employers with the object to throw away the   Working Class of country out of purview of protection under the labour laws and Completely dismantling  entire labour law enforcement machinery,

            Never before the Working Class has faced such a situation. This is the working class who create GDP to Nation and profits to employers.

            In Central Government Sector also these attacks are being intensified. 100% FDI has been declared in Railway and 49% in Defence Production paving way for capitalists/corporates to enter in to these sectors. Disinvestment has been started in profit making public sectors like NTPC, NHPC, Coal India etc. and planning to disinvest all profit making sectors.

            In Postal Department also there is danger of corporatization and privatization if the recommendations of Task Force Committee headed by Shri T.S.R. Subramanian are implemented. Though at present on account of stiff resistance by PJCA (NFPE/FNPO) the recommendations have not been implemented but these have also not been rejected by the Department of Posts and may be introduced at any time after changing the forms so we have to keep a vigilant watch over this.

            Contrary to this all schemes and planning’s are being made to give  benefits to Corporates /Capitalists by way of promulgating ordinances for decentralization of Coal mining  sector, de-regularization of other Mineral resources  through auction route totally being unconcerned about the lively hood of  local and tribal peoples and forest dwellers.

            The peasantry and agriculture workers are also worst suffers due to the policies of Modi Government. The prices of seeds, fertilizers, power, diesel, Water for irrigation have been increased many folds but the MSP of Wheat and rice has been increased by Rs.50/- per quintal only. The land of farmers will be snatched away without their consent in favour of capitalists and if the present amended land acquisition act is implemented

            So based on the above  facts, it is crystal clear  that the policies of present Modi Government  are totally in  favour of Capitalists/Corporates and against the interests of Working Class . The hope of “ACHCHHE DIN” (Good Days) is now diminished and working class and common man of this country is disappointed.

= R.N. Parashar, Secretary General, NFPE

DoPT ready to hold meeting of NC JCM meeting on 29.05.2015 on merger of DA, 7th CPC report on time, Scrap PFRDA Act. March to Parliament was held on 28.04.2015 and call of strike has been given by JCA on 23.11.2015 on the demands of central government employees. On the backdrop of the pressure mounted by JCA, DOPT has called a meeting of NC JCM on 29.05.2015 to discuss and consider the issues of central government employees.

No.3/1/2015-JCA

Government of India

Ministry of Personnel, Public Grievances & Pension

Department of Personnel & Training

New Delhi,dated the 21st May, 2015

To
Shri Shiva Gopal Mishra,
Secretary, Staff Side,
National Council (JCM)
13, C Ferozshah Road
New Delhi
Sir,

Please refer to your online grievance No.PM0PG/2015/83480 dated 28th April, 2015 regarding proposed call for Strike on 23.11.2015.

2. You will be aware that the meeting of the National Anomaly Committee (NAC) is scheduled to be held on 29.05.2015 and also meeting of the National Council (JCM) is likely to be held shortly. Some of the issues will be discussed and considered during the meetings.

Yours faithfully

(A.Asholi Chalai)

Director (JCA)

CHARTER OF DEMANDS:

1.    Effect wage revision of the Central Government Employees from 01.01.2014, accepting the memorandum of the Staff Side JCM; ensure 5-year wage revision in future; grant Interim Relief and Merger of 100% of DA. Ensure submission of the 7th CPC report within the stipulated time frame of 18 months; include the Grameen Dak Sewaks within the ambit of the 7th CPC.  Settle all anomalies of the 6th CPC.

2.    No privatisation, PPP or FDI in Railways and Defence Establishments and no corporatisation of postal services.

3.    No Ban on recruitment/creation of post.

4.    Scrap PFRDA Act and re-introduce the defined benefit statutory pension scheme.

5.    No outsourcing; contractorisation, privatisation of governmental  functions; withdraw the proposed move to close down the Printing Presses; the publication, form store and stationery departments and Medical Stores Depots; regularise the existing daily rated/casual and contract workers and absorption of trained apprentices.

6.  Revive the JCM functioning at all levels as an effective negotiating forum for settlement of the demands of the CGEs.

7.    Remove the arbitrary ceiling on compassionate appointments.

8.    No labour reforms which are inimical to the interest of the workers.

9.    Remove the ceiling on payment of Bonus.

10. Ensure five promotions in the service career.

Source: http://ncjcmstaffside.com/2015/dopt-to-hold-a-meeting-of-nc-jcm-meeting-on-29-05-2015/

List of Banks using Finacle worldwide

List of Banks using Finacle worldwide

Finacle is the universal banking solution of choice of all leading banks and large regional banks across the world. Leading universal, retail and corporate banks worldwide leverage the power of Finacle to transform their business.

 

Banks using Finacle Platform  are spread across 78 countries globally from Far East Asia to Middle East and Western Europe as the following stats depicts.

Following Banks are using Finacle , The list is large but we brought you some of leading Banks using this Platform.

India Post

ALEXBANK,

ANZ BANK,

ARAB NATIONAL BANK,

BANK DHOFAR,

CO-OPERATIVE FINANCIAL SERVICES,

CREDIT SUISSE,

DBS BANK,

EMIRATES BANK,

FIRST BANK OF NIGERIA,

HATTON NATIONAL BANK,

ICICI BANK,

NATIONAL AUSTRALIA GROUP EUROPE,

NYKREDIT,

POSTBANK UGANDA LTD,

RAIFFEISSENBANK,

SOCIÉTÉ GÉNÉRALE

ZURICH FINANCIAL SERVICES.

ABN AMRO

NATIONAL COMMERCIAL BANK OF SAUDI ARABIA

MIZUHO CORPORATE BANK

FEDERAL BANK

BANK OF INDIA

BANK OF BARODA

ANDHRA BANK

PUNJAB NATIONAL BANK

UNION BANK OF INDIA

IDBI BANK

INDUSIND BANK

SBI INTERNATIONAL OPERATION

VIJAYA BANK

UCO BANK

ING Vysya Bank Ltd.

Oriental Bank Of Commerce

Courtesy : http://finaclesolution.blogspot.in/

Revision of PLI Service Tax from 1.6.2015

Pay fixation of Direct recruits appointed after 1.1.2006

Headquarters / Place of Posting and Home Town LTC: Central Government Employees’ Confusions Continue on this matter

“The number of Central Government employees utilizing the LTC facilities has increased substantially thanks to the initiative of the tourism department to encourage the development of economically-backward states”
Not many would have know this message that there are a number of retired Central Government employees who had completed 40 years of their service without utilizing even a single LTC facility.

“Once upon a time, LTC was considered as a wasteful expense…things have changed, and now people treat it as an indulgence…!”

In the past, not many were interested in LTC because the families were big and only the lowest class journey fare was reimbursed by the Central Government. But, now, LTC includes travel in air-conditioned class and air-fare. Not surprisingly, employees are now very much interested and are utilizing the facility without fail.
Practical difficulties began when a number of employees began to travel. One of them was the situation where the office location and the employee’s hometown are the same. Usually, Central Government employees are posted in towns and cities that are away from their hometown, or their native place. At the time of joining, the employees are required to denote a village or town as their home Town. This cannot be changed.

Once in every four years, the Government would give the option to reimburse the to and fro travel tickets for the employee and his/her family to go to their hometown to meet their relatives and to look after the family’s immovable properties located there. This facility is called the Home Town LTC.

In the past, since only a few utilized this facility, there wasn’t any confusion in implementing them. When the Government announced that Home Town LTC could be converted as All India LTC, troubles began and clarifications were required.

LTC rules state that the headquarter/place of posting and the employee’s Home Town are the same, then he/she is not entitled to the conversion of Home Town LTC.

There are many questions in the minds of the employees about this clause.

• Will the facility of Home Town LTC be denied if the headquarters and home town share the same Postal Pin code?
• Does this apply if both come under the limits of the same municipality or Panchayat?
• Will the 8 KM rule of CGHS apply to this?
• Should the home town and headquarters not be located in the same district?
• What does the phrase “irrespective of distance,” which is underlined in a number of orders, mean?
• Will the interpretation differ from one office to the other?

A number of such doubts prevail among employees.
One thing is for certain – Central Government employees will now be very alert about definitions regarding hometowns.

Source: http://90paisa.org/

Network-connected handheld terminals for postal delivery

NEW DELHI: The Department of Posts (DoP) is likely to soon start a Rs 1,370-crore mega project that will allow India's 1.3 lakh postmen in rural regions to use network-connected handheld terminals for postal delivery.

The project, awarded last year to a consortium that includes state-run Telecom Consultants of India (TCIL), system integrator Ricoh India and Hyderabad-based VisionTek, which provides handheld devices, was delayed due to unavailability of components. 

Big IT companies such as HP and Wipro were also in the running for the contract rolled out by the ministry of communications & information technology. "Based on terminal devices on network, the DoP initiative is likely to happen later this month. The project was delayed as the private company took time to deliver the components," TCIL's chairman and managing director Vimal Wakhlu told ET.

The devices will have a biometric module to authenticate an individual's identity using the Aadhaar number, solar-powered panel for charging terminals and a thermal printer to instantly print receipts.

"This is completely an indigenous project, including devices and components, and strengthens the concept of 'Make in India'," said Wakhlu.

The initiative is aimed at preventing postal losses and minimising procedural delays. The service will require a digital signature of the addressee that can be automatically transferred to a central server and an acknowledgement sent to the person. 

TCIL is roping in state-owned telecom operator Bharat Sanchar Nigam Ltd for providing network connectivity. 

The movement of postmen can be tracked using GPS on this device. It will help monitor the entire system and ensure more efficiency as post offices play a vital role in India's rural economy, Wakhlu said. "This programme is a step towards financial inclusion of the people of rural India as it will facilitate financial transactions. Money can be delivered and accepted through this device, with proper bank account and receipts delivery," he said.

Ricoh will act as the systems integrator, managing installations, maintaining hardware and supplying peripheral devices for the project.

"We have won the Rs 1,370-crore contract from DoP for the supply of hardware solutions under the department's modernisation initiatives. Ricoh will be providing maintenance services for rural ICT devices for a period of five years," said Ricoh India's managing director Manoj Kumar. 

Courtesy :  EconomicTimes

Letter for Inclusion of the issues of GDS within the purview of 7th CPC

UPSC Civil Services Exam 2015 Notification – Apply Online

Union Public Service Commission (UPSC) has published the much awaited notification for the recruitment of 1129 posts in Various Group A & Group B Services through Civil Services Examination 2015 (IAS, IPS, IFS etc.). Eligible candidates may apply online from 23-05-2015 to 19-06-2015 till 11.59 PM. Details are as follows: 

Notification No. F. No. 1/1/2015-E.I(B)

Important Dates:

Starting Date for Submission of Online Application: 23.05.2015.

Last Date for Submission of Online Application: 19.06.2015 till 11.59 PM.

Last Date for Payment of Fee through ‘Pay by Cash’: 18.06.2015 at 23.59 hrs.

Last Date for Payment of Fee through Online mode: 19.06.2015 at 23.59 hrs.

Written Exam Date for Preliminary Exam 2015: 23.08.2015

Note: Candidates are required to apply only through online mode no other mode for submission of applications is allowed

Name of the Post:

(i) Indian Administrative Service.

(ii) Indian Foreign Service.

(iii) Indian Police Service.

(iv) Indian P & T Accounts & Finance Service, Group ‘A’.

(v) Indian Audit and Accounts Service, Group ‘A’.

(vi) Indian Revenue Service (Customs and Central Excise), Group ‘A’.

(vii) Indian Defence Accounts Service, Group ‘A’.

(viii) Indian Revenue Service (I.T.), Group ‘A’.

(ix) Indian Ordnance Factories Service, Group ‘A’ (Assistant Works Manager, Administration).

(x) Indian Postal Service, Group ‘A’.

(xi) Indian Civil Accounts Service, Group ‘A’.

(xii) Indian Railway Traffic Service, Group ‘A’.

(xiii) Indian Railway Accounts Service, Group 'A'.

(xiv) Indian Railway Personnel Service, Group ‘A’.

(xv) Post of Assistant Security Commissioner in Railway Protection Force, Group ‘A’

(xvi) Indian Defence Estates Service, Group ‘A’.

(xvii) Indian Information Service (Junior Grade), Group ‘A’.

(xviii) Indian Trade Service, Group 'A' (Gr. III).

(xix) Indian Corporate Law Service, Group "A".

(xx) Armed Forces Headquarters Civil Service, Group ‘B’ (Section Officer’s Grade).

(xxi) Delhi, Andaman & Nicobar Islands, Lakshadweep, Daman & Diu and Dadra &Nagar Haveli Civil Service, Group 'B'.

(xxii) Delhi, Andaman & Nicobar Islands, Lakshadweep, Daman & Diu and Dadra &Nagar Haveli Police Service, Group 'B'.

(xxiii) Pondicherry Civil Service, Group 'B'.

(xxiv) Pondicherry Police Service, Group 'B'.

Age Limits: A candidate must have attained the age of 21 years and must not have attained the age of 32 years on the 1st of August, 2015 i.e., he/she must have been born not earlier than 2nd August, 1983 and not later than 1st August, 1994.

Minimum Educational Qualifications: The candidate must hold a degree of any of Universities incorporated by an Act of the Central or State Legislature in India or other educational institutions established by an Act of Parliament or declared to be deemed as a University Under Section-3 of the University Grants Commission Act, 1956, or possess an equivalent qualification.

Application Fee: Candidates have to Pay Rs.100/- either by online or offline mode. No Fee for Female/ SC/ ST/ PH candidates.

Selection Process: The Civil Services Examination will consist of two successive stages. Civil Services Preliminary Examination (Objective type) for the selection of candidates for the Main Examination and Civil Services Main Examination (Written and Interview).

For more details refer official notification from below link:

Civil Services (Preliminary) Exam 2015 Notification: Click Here

Apply Online: Click Here

No job cut in transformation of Postal Dept: Comm & IT Min

The DoP has plans to set up Post Bank of India under payments bank licence. The Reserve Bank of India has already issued licensing norms for niche banks - payments banks and small banks.

There will be no job losses during transformation of the Department of Posts, Communications and IT Minister Ravi Shankar Prasad assured Friday. "I assure all employees that no one will lose their job during the transformation of Department of Post.

There is a need for capacity building," Prasad tweeted while sharing highlights of his address to circle heads of Department of Posts.

The Minister has been asking postal employees to transform themselves and help in transformation of post offices. "Computerisation of all Post Offices must be completed soon.

This is my priority and I will personally monitor the progress of this work," he tweeted. The minister said that proposed Post Bank of India will be a game changer for the department as it will take financial inclusion to a new level. "Post offices must gear up for this," he said.

The DoP has plans to set up Post Bank of India under payments bank licence. The Reserve Bank of India has already issued licensing norms for niche banks - payments banks and small banks.

Prasad said that DoP officers should reach out to eCommerce companies and offer them logistics services. "eCommerce is a great opportunity. India Post must use this opportunity to take eCommerce to the every corner of India," Prasad said.

India Post has launched a mobile application and an e-commerce centre at Safdarjang, New Delhi, that will handle e-retailing exclusively. The centre is capable of handling 30,000 parcels per day. Online retail players such as Amazon, Paytm and Snapdeal are using the Postal Department's services for their parcels.

He said that post offices in rural India must also improve their facilities and improve their visibility by placing sign boards so that people can locate it easily.

"Department of Post has to play a bigger & more active role in transformation of India. No other govt agency has such deep understanding of India," Prasad tweeted.

Source: PTI, Courtesy : http://www.moneycontrol.com/

SSA

India Post to shake Nationalised Banks and Indian Banking industry

The initiative of India Post to connect Post Offices through Core Banking Solution will shake the banking industry shortly.  Even though Post offices are doing Small saving activities as an agent of Ministry of Finance, they have the potential in terms of deposit backings, wide network across the country and strong employee support to shake the industry.

Post Office Savings Bank (POSB) which is called as Poor’s Bank has the major share of Deposits in India compared to any other banks.  Since India Post is a government Institution working without profit motive, getting the exact figures of deposits and number of account was difficult compared to full-fledged banks with corporate entity.  So till now the actual figure were unknown to everyone.

Now the scenario has been changed when Post Offices started getting migrated to Core Banking Solution.  When a Post Office gets migrated, the exact figures of number of accounts and total deposit amount will be generated.  Through this figures everyone can see the strength of Post Office Saving Bank in India.

India Post successfully migrated its first office to Core Banking in December 2013. Like any others big public sector and private sector banks, India Post is using Finacle, the leading Core Banking Solution from Infosys for their banking renovation.  Now India Post is near to reach its first milestone of 1000 CBS Post Offices in India and expecting this by December 2014. Till 27.11.2014 total of 961 Post offices have been migrated to CBS platform.

India Post is planning to include 25000 plus Post Offices in Core Banking network with in few years.  By this mission all the departmental Post Offices will come under this CBS category Post Offices.  Now itself all these offices are computerised and they are doing banking transactions using Sanchay Post software. Even if we take number as 25000, the figure is not at all a small one when compared to other big nationalised banks.

As per the Annual Report 2013-14 State Bank of India has only 16069 branches including 15869 domestic branches and 190 foreign branches. If we include the branches of Associate banks too, a count of about 5700 more branches will be added to this list.  Even after adding the associate banks to this list SBI have only 21769 branches across the world.  The second largest public sector bank is Punjab National Bank.  They are following far behind with only 6206 branches (6201 domestic branches and 5 foreign branches)

If we take the amount of deposit as criteria, India Post will again be the number one in the industry.  Only 961 Post Offices have been migrated to Core Banking till 27.11.2014, but the value of deposits in these migrated offices crossed Rs. 87204 Crores.  Total of 5.51 Crores account have been migrated to this new platform.   This is from only nearly 4% of total Post Offices to be migrated to Core Banking.  If we take the proportionate figure, deposits will surely cross 20 Lakh Cores rupees after migration of all computerised Post Offices.  State Bank of India have only deposit of rupees 13.94 Lakh Crores as per annual report 2013-14.  Number of branches and total deposit value of major nationalised banks are shown below for comparative analysis.

SL NO	Name of Banks	No. of CBS branches (as on 31.03.2014)	Total Deposit ( in Crores)
1	India Post (POSB)	*25000	*22,68,574
2	State Bank of India	16069	13,94,409
3	Punjab National Bank	6206	4,51,397
4	Bank of Baroda	5062	5,68,894
5	Canara Bank	4755	4,20,723
6	Bank of India	4671	4,78,695
7	Central Bank of India	4336	2,40,069
8	Syndicate Bank	3251	2,12,343

                       

                     * Expected numbers after migration

Commercial banks are attracting customers by giving value added services like ATM, Debit/Credit cards, Internet Banking, mobile banking, etc. Now most of the people are depending banks for such needs. In order to compete with commercial banks or for attracting new customers or giving more value to their account holders, India Post started various value added services like Internet Banking, ATM, etc. Now the ATM facility is introduced in limited areas but the Department of Post is planning to install 2800 ATMs by the end of 2015.

By the end of 2015 CBS network of India Post may be connected to other banking networks and thereby a Post Office customer can make use of all the facilities (except loans) now a commercial bank customer can enjoy.  If the value added services of India Post is a success, surely it will lose the customers of commercial banks. And in such circumstances people in the rural areas will not approach Banks, normally located in urban or semi-urban areas for transacting in SB accounts.  Now Savings Bank account in Post Office are not attractive only because of lack of availability of value added services like ATM, Debit cards, net banking,etc.  Now Department of Post is taking all efforts to fill this gap occurred in the past. 

Finally expecting that today’s technological renovation of India Post will surely shake Indian Banking industry in near future in various ways.  Let us wait and see.