SRINAGAR: Jammu and Kashmir Bank on Friday signed a Memorandum of Understanding (MoU) with the Jammu and Kashmir Government to provide customised banking services and enhanced financial benefits to permanent government employees.
The agreement reinforces the bank’s preferred banker status and provides for an increase in Group Personal Accident Insurance cover from ₹25 lakh to ₹1 crore.
The MoU was signed in the presence of Financial Commissioner (Additional Chief Secretary), Finance Department, Shailendra Kumar, and J&K Bank Managing Director and CEO Amitava Chatterjee.
J&K Bank Chief General Manager (Credit) Ashutosh Sareen and Finance Department Director General (Resources) Mohd Youqub Ittoo signed the agreement on behalf of the bank and the government, respectively. Senior officers from both sides were also present.
Under the five-year agreement, employees will receive air accident insurance cover of ₹1.35 crore, permanent total disability cover of ₹75 lakh and permanent partial disability cover of ₹55 lakh.
Additional benefits include higher education assistance of ₹8 lakh for a male child and ₹10 lakh for a girl child in the event of the insured employee’s death, girl child marriage cover of up to ₹10 lakh and air ambulance cover of ₹10 lakh, subject to applicable terms and conditions.
The banking package includes zero-balance accounts, free international debit cards and spouse add-on cards, lifetime-free RuPay credit cards and a 25-basis-point concession on applicable personal loan rates, subject to the prescribed benchmark floor.
Processing fees on personal, auto, home and education loans for permanent government employees will also be waived.
Eligible employees can avail overdrafts of up to ₹6 lakh, within a limit of six months’ salary, collateral-free education loans of up to ₹10 lakh for their wards, and 100 per cent financing for new cars and two-wheelers.
The agreement also provides for housing repair and renovation loans of up to ₹10 lakh without a property mortgage, against a negative lien. The facilities will be subject to eligibility criteria and applicable terms.
Kumar said the welfare of government employees and the financial security of their families remained a priority, adding that the agreement would provide enhanced insurance protection, preferential credit facilities and convenient banking services.
Chatterjee said the partnership was aimed at strengthening the bank’s longstanding relationship with the government by offering benefits addressing employees’ financial needs and family security.
