State Bank of India (SBI) has launched e-Bank Guarantee (e-BG) facility in association with National e-Governance Services Limited (NeSL). India’s largest lender said this facility will bring about a revolutionary change in the banking ecosystem, where bank guarantee is frequently used in large volumes. By using the NeSL’s platform, the bank customers and other beneficiaries will instantly get an e-Bank Guarantee without additional verification.
Buy Prime Test Series for all Banking, SSC, Insurance & other exams
NeSL’s Digital Document Execution (DDE) platform, which provides e-Stamp and e-Sign functions, will facilitate the e-Bank Guarantee process. Beneficiaries will instantly receive an e-Bank Guarantee on NeSL’s platform without further verification. Currently, the bank issues these guarantees with physical stamping and wet signatures. The introduction of e-BG will replace this function with e-stamping and e-signature.
According to NeSL, an Electronic Bank Guarantee (e-BG) eliminates the physical documentation usually associated with issuance of BG. It reduces the turn-around time of the BG issuance and delivery to the beneficiary from an industry average of 3-4 working days to a few minutes. The digital steps in an e-BG include BG application, preview and confirm, paperless e-stamping, e-signing, hosting of the final electronic BG on the NeSL portal and intimation of final BG to the beneficiary. The beneficiary can view the final digital BG on the NeSL portal immediately on issuance. Such an e-BG eliminates the need for a separate authentication from the BG issuing Bank.
Important takeaways for all competitive exams:
The Government of India has initiated an Offer for Sale (OFS) for the Life Insurance…
The Pacific island nation which previously used the name Nauru has officially made a shift…
Staying updated with current affairs is one of the most important aspects of competitive exam…
Annapurni Subramaniam, an Indian astrophysicist, has received the COSPAR Vikram Sarabhai Medal for the year…
Nathan Thomas, an engineering teacher in the America, has achieved the record of being the…
The Union and Staff Service Secretariate were initiated with various reforms to bring speed, transparency,…