What is the full form of IDFC bank?

The IDFC bank's full form is the Infrastructure Development finance company. IDFC bank Indian financial institution offers financial and advisory services for organizations in investment banking, infrastructure, and wealth management.

IDFC Bank Overview

In 1997, The IDFC Bank stands for Infrastructure Development finance company. IDFC Limited was established to finance infrastructure comes in India. in the year 2005, the corporate listed its shares on the National stock exchange (NSE) and Bombay stock exchange (BSE).

In 2014, IDFC received the approval to line up a non-public sector bank from the banking company of t India. IDFC Bank is thought for its treasury management system and professional management of consumer operations. At present, there area unit 599 branches 727 ATM  Centers, and 25000 workers.

The Reserve bank of India (RBI) approved in April 2014 two 2 entities among twenty-five banking aspirants. The non-banking financial institution, IDFC was one among the businesses to urge the approval. On 23 July 2015, the firm received a banking license from the RBI.

The chief members of IDFC Bank are

  • Managing Director and CEO: Mr. V. Vaidyanathan
  • Managing Director: Vishal Mahadevia
  • Independent Directors: Dr. (Mrs.) Brinda Jagirdar, Mr Hemang Raja, Mr Pravir Vohra, Mr Sanjeev Chaudhuri, and Mr S Ganesh Kumar.

Setup

  • The bank commenced its operations on 1 October 2015 turning into the 91st scheduled depository financial institution in India. it's conjointly the second entrant within the banking sector once a decade. IDFC began its operations with twenty-three branches to be discovered in Delhi, Madhya Pradesh, and Mumbai; with fifteen branches in 3 districts of Madhya Pradesh.

Characteristics of IDFC

  • The bank aims to stretch the business of Bharat Banking, a rural unit to Rs. 15,000 crores in 5 years.
  • The private and business banking that focuses on retail, small and medium enterprises (SMEs), and self-employed professionals can begin its operations in January 2016.
  • The bank aims to extend the client base from the present 400 company customers to 15 million in the next 5 years.
  •  The bank conjointly aims to induce 10-15% earnings growth and can be hoping on technology for client acquisition rather than opening branches in India

IDFC Banking Services

  • Personal Banking: The bank provides a fast and consistent service to meet the individual desires of the purchasers at the correct time and also the right place. Services offered beneath personal banking embody savings accounts, Visa platinum debit card, debit card Offers, Home loans, personal loans, bulletin boards, etc.

  • Business Banking: It takes care of the business desires of the customers. It offers services like business loans, money management services, business debit cards, fixed deposits for the banks, and trade and forex services.
  • Wholesale Banking: It includes Investment Banking, Corporates, MNCs, SMEs, financial institutions,
  • Wealth Management: Mutual Funds, Gold Bonds, Personal Insurance Solutions, and Business Insurance Solutions come under Wealth Management.
  • Latest/Trending Services: It includes Track Loan standing, Branch surveyor, NRI Banking, Mobile Banking Services, net Banking Services, Bill Payments, and Recharges.
  • Individual desires: The Services offered to customers embody Personal Loans, Home loans, Savings accounts, Visa platinum debit cards, Debit Card, Notice boards, etc.
  • Business needs: The services offers to customers as per their business would like, which have, fixed deposits for the banks, business debit cards, business loans, cash management services, Trade and forex services, etc.
  • Trending and Latest Services: It includes, Mobile banking, Internet banking, Recharge, and Bill Payments.

A brief history of IDFC bank

  • In 2014, IDFC limited was granted in-principle approval by the Reserve Bank of India to ascertain a brand new non-public trade bank.
  • Concerning, this, IDFC Banking limited recused its assets and debts in infrastructure finance to a brand new startup-IDFC Bank.
  • The Bank was introduced in Nov 2015 through this IDFC limited demerger.
  • On 19 Oct 2015, IDFC Bank commenced operations. Its twenty-three branches are based mostly in MP, Mumbai, Delhi, Bangalore, Hyderabad, Pune, Ahmedabad, Chennai & Calcutta.
  • Fifteen branches are located in communities with a population of below 10,000.
  • IDFC opened its hundredth branch in Oct 2017, in Honnali, Karnataka.
  • In January 2018, IDFC Bank and previous Capital first declared a partnership. the combination of IDFC Bank and former Capital first formed IDFC's first Banking as a brand new entity on 18th December 2018.

Demerger

  • On 1st October IDFC Ltd, its bank ventures demerged  IDFC Bank However, the record date for the demerger was taking place on 5th  October 2015. the corporate-issued one shares every in the bank for one equivalent share controlled by its shareholders. once the demerger, IDFC currently holds fifty-three stakes within the banking venture through IDFC Financial Holding Co. Ltd., a fully-owned subsidiary company. The remaining stake is with the investors of IDFC.
  • Prime Minister Narendra Modi and government minister Arun Jaitley launched IDFC Bank on nineteen October 2015 in Delhi. throughout the inauguration, the PM aforesaid that the most objective of the bank is to venture resolute the villages. He is supplementary that the villages in India are good centres for growth. He conjointly aforesaid that the banking sector is seeing changes of late as mobile banking is being used for many of the transactions. He also aforesaid he has set to bring improvement within the appointment of high officers in banks as this improves potency.

Products of IDFC bank

Now, the Mumbai-based IDFC's first Bank ( What is a  bank ) may be an international bank that gives monetary solutions through its regional branches, internet, and phones and strives to line a brand new commonplace in user expertise. It uses advanced technology and promotes a service-oriented approach to the development of convenient and open banking at all times and from every place. In India, it provides banking products and services like

  • Home loans
  • personal loans
  • vehicle loans
  • loans against property
  • gold loans
  • consumer durable loans
  • Consumer banking product
  • Business loans, small enterprises loans
  • Credit cards
  • Debit Cards
  • Savings Accounts
  • Fixed Deposit
  • NRI banking
  • Private banking
  • Wealth management
  • Investment banking
  • Corporate banking
  • Wholesale banking
  • Sovereign gold bond investment.

IDFC Merger with Capital first

  • To increase its operations, IDFC bank was searching for opportunities for a merger with a specialized partner.
  • Around the same time, Capital first Ltd., a number one non-banking financial company (NBFC) Leveraged India’s largest management acquisition and got recent equity of Rs 100 crores. using this capital, they came up with a little commercial bank named Capital First Bank.
  • To accelerate the expansion of each of the banks, a merger of IDFC Bank Ltd and Capital initial Ltd happened in 2018. it was named IDFC's First Bank.
  • Post-merger the bank has disbursed quite Rs 1,10,400 crores of loans. Of that, 37% of the loan is provided to the retail phase. Its internet Interest Margin expands from 1.9% to 3.0%. And includes a client base of 7.3 million.
  • IDFC First Bank is born to be completely different from what it had been earlier. it's a revived specialization in the retail business with an intent to fast-forward its growth trajectory, and to serve many more client segments that area unit growth drivers of the Indian economy.
  • The new Idfc bank combines progressive technology and superior liability platform of former IDFC Bank with analytics-led disposal capabilities, the retail DNA, and strong profitability track record of erstwhile Capital first.
  • It permits each institution to expand capabilities and reach and to higher serve customers.
  • Thus, the Merger & Acquisition ( M&A ) sets the stage for the creation of a financially and strategically stronger entity. IDFC First Bank currently incorporates a robust funded asset base of more than over,10,400 with 37th in the retail segment. Its quarterly annualized internet Interest Margin has swollen from one.9% to 3.0% post-merger.

IDFC bank FD rates

  • Opening a fixed deposit is one of the numerous ways to line aside finances for a period or for achieving your goals. IDFC First Bank’s FD has many features and benefits to assist you to grow your earnings. Once you open an account with us, you instantly gain access to edges like high returns, up to 6.25% interest rate, and much more.
  • Enjoy earning more on your finances with an IDFC initial Bank fixed deposit account.

Also read:https://www.unodigitech.in/blogs/interest-rates-provided-by-idfc-first-bank

Corporate Social Responsibility (CSR) by IDFC First Bank:

  • The bank conjointly encourages philanthropic activities to support social causes.
  • Karma's first Donation program permits customers to gift a little amount towards a social cause. The bank, in partnership with numerous NGOs, supports education for individuals.
  • Apart from this, the bank is additionally extending its support to the ones who are serving the country throughout the Covid-19 pandemic. they have started an ask for Mask program. This initiative provides free masks to 1.5 hundred thousand essential workers.
  • Under the Shramik Sahayata Program, they're providing help to 625 daily wage staff by transferring Rs 3,000 into their bank accounts.
  • They even have started a share a meal program through that they distribute 1 hundred thousand meal packets to slum dwellers and youngsters.

Also read: Idfc first bank key factors regulating loan interest rates

Conclusion

  • The Bank currently enjoys a leading position in a number of the retail asset segments. The Bank’s tech-driven liabilities platform is ready to grow exponentially with a brand new specialization in increasing its footprint across the nation.
  • The combined client base is currently 7.3 million and growing, with a major share of it in India’s booming remote areas.

FAQs

What is IDFC Bank's minimum balance?

The minimum account balance is required to be maintained monthly within the IDFC initial Bank Savings Accountthe common monthly balance needed is ₹25,000 or ₹10,000. please visit the bank's website for further details.

What percentage of interests are giving IDFC Bank?

For Fixed deposits, it is giving 6% for more products go through here.

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