Plays its own role in the process of economic development
FI protects their financiall wealth
FI mitigates exploitation of vulnerable sections by money lenders
In India as per 2011 census 58.7% of household avail banking service
Study by Sadan kumar 2011, on Index of FI based on 3 variables penetration(a/c holders ), availability of banking services(branch per 1000 population) and usage (outstanding credit and deposit) . Result indicates Kerala ,Maharashtra, Karnataka achieved high FI.
KYC –Know your Customer
Financial inclusion Plan -2010-for 3 year-by public and private bank, also financial literacy centers -2012-out door financial literacy camps at least once a month
KCC-Kissan credit card-farmers- meet credit requirement
GCC- general credit card- up to 25000 at rural and semi urban banks