Union Bank to open 50 retail loan boutiques

Union Bank of India is planning to open about 50 retail boutiques (kiosks) in the current financial year in metros and urban centres to push retail loans.

The boutiques, which will be located offsite, are being established with a view to grow the retail credit portfolio by 30 per cent in fiscal year 2004-05.

The kiosks will have automated teller machines to withdraw as well as deposit cash; accept cheques for clearance; market retail products "" housing/consumer/vehicle/personal loans; open current and savings accounts; make investment in mutual funds; buy insurance policy; and balance enquiry.

"The kiosks are aimed at giving the bank a wider coverage and visibility," said V Leeladhar, chairman and managing director of the bank.

Union Bank's retail portfolio had increased by 23 per cent from Rs 5,085 crore in fiscal year 2002-03 to Rs 6,244 crore in fiscal year 2003-04, Leeladhar added.

"The kiosks will be located at commercial complexes, shopping malls, areas where big-time construction is taking place and other business centres. Each kiosk will have a lounge where three marketing officers will be making their sales pitch," said VSR Murthy, general manager (retail banking).

Meanwhile, Union Bank of India today launched its web-based remittance service. By logging on to the bank's website, non-resident Indians (NRIs) in the US can send money directly out of their bank account to any beneficiary in India.