Q. Who is eligible to open an SHG account?
A. Any registered Self-Help Group with a minimum of 2 and a maximum of 5 authorised signatories, possessing valid SHG registration documents and a group resolution, is eligible. If not registered, valid constitution document must be present
Q. What is Valid Constitution document for SHG Account Opening?
A.
• Letter of Confirmation from NABARD or Block Development Office or any class 1 Gazetted Officer competent to certify to that effect.
• If the SHG already has any bank account with other banks, a statement of account not older than 6 months or Passbook with latest entry not older than 6 months
• SHG registration certificate. (Generally issued by Rural Development Dept of the state through State Rural Livelihood Mission (SRLM) or sometimes by Registrar of Society if registered specifically as a society
• Self-Help Promoter Institutes/Non-Government Organization endorsement letter – A self-help promoting institution or an NGO that generally works with a SHG may endorse them through such document
• Bylaws/rules of the SHG may be present in form of a separate booklet or a well maintained SHG Register containing name and address of SHG, core objectives of the group, membership rules, role and duties of the Key officials like President, Treasurers etc, bank account operation rules and dispute handling mechanism within SHG
Q. How many authorised signatories can an IPPB SHG Savings account have?
A. Minimum 2 and maximum 5 authorised signatories.
Q. What is the mode of operation for IPPB SHG Savings account?
A. Currently, Mode of operation is 'Jointly by All authorised signatories' for all SHG accounts. No other mode of operation is permitted.
Q. What documents are required to open an IPPB SHG Savings account?
A. (a) SHG Resolution to open a bank account,
(b) SHG Registration Certificate or constitution document, and
(c) PAN of the SHG or Form 97 if PAN is not available.
(d) List of SHG members
Q. How will the authorised signatories be onboarded?
A. All authorised signatories will be onboarded using eKYC mode
Q. What if an authorised signatory already has an existing IPPB Customer ID?
A. Their existing CIF can be linked to IPPB SHG Savings account during the onboarding process
Q. What happens if the SHG does not have a PAN?
A. Form 97 shall be obtained and submitted as a substitute declaration in lieu of PAN. The Form 97 declaration must be dully filled up and required documents for proof of Identity, Proof of Address and Proof of incorporation has to be provided.
Q. Can an SHG account be operated immediately after opening?
A. No. The account is placed under Total Freeze (Debit & Credit Transactions) while account opening. It remains under total freeze until IPPB verifies and approves the submitted SHG documents post successful verification transactions will be permitted for IPPB SHG Savings Account
Q. What is 'Total Freeze' and what does it mean?
A. Total Freeze means no debit or credit transactions can be performed until the back office unfreezes the account following successful document verification.
Q. Can the mode of operation be changed after account opening?
A. No. The mode of operation cannot be changed currently. This facility will be implemented shortly
Q. Is Authorised Signatory Change request allowed for IPPB SHG Savings Account
A. No, currently update of authorised signatory for IPPB Savings Account is not allowed. This facility will be implemented shortly