Who doesn’t want to be treated special? We just love to get things which others don’t. Here is a similar concept in the banking industry which has entered India from the West. It is known as Priority banking or Privilege banking. Whatever be the name, the purpose is to provide special benefits to few customers of the bank. Please notice the word ‘Few’ in the above sentence. So, how do banks decide who would be the beneficiaries of these priority banking services? Let’s see.
Banks could decide upon the beneficiaries based on few of the following reasons:
- Relationship with the bank
- Minimum average monthly/quarterly balance with the bank
- Past history of the account
These are only some of the reasons. Banks are free to have their own criteria to decide upon this.
Are the services free?
Most of the times, banks offer these services for free to their customers. However, at times they might charge for some of the services being offered. Once again, it is not standard and varies from bank to bank. It is better to read the terms and conditions before opting for priority banking services.
- What are the benefits offered under priority banking?
- Some of the priority services include the following:
- Premium credit/debit cards
- Dedicated relationship manager
- Offers on services/products such as loans, lockers, etc
As discussed before, services differ from bank to bank. These services may be provided by one bank and not by the other. Let’s now see the priority banking services of 5 Indian banks.
ICICI Priority banking service
Also known as privilege banking advantage, ICICI provides the following services to its priority customers:
- Dedicated service area which includes preferred recognition at enquiry desks for faster access to services.
- OTC (over the counter) solutions to a range of service requests.
- Priority updates through sms.
- Pre-qualification for loans.
- Special interest rates and/or processing fees.
- Discounts on locker fees and preferential allotment of lockers.
- Special pricing on purchase of gold, forex.
HDFC Priority banking service
HDFC calls the priority banking service as ‘Preferred banking’. It provides the following benefits under this service:
- Dedicated relationship manager who assists you in all banking and financial service needs.
- Business banking solutions by helping you in your business needs such as overdrafts, working capital requirement, loans, etc.
- Preferential pricing on various services such as loans, forex rates, lockers and so on.
- Exclusive lifestyle privileges in the form of premium credit and debit cards. Its EasyShop platinum debit card gives a withdrawal limit of Rs. 1 lakh at ATM’s and Rs. 1.25 lakh at shopping centers, per day.
- Comprehensive investment solutions including mutual funds, taxation, stocks and other investments under one roof.
- Free alerts on mobile.
- Nil charges on any number of transactions in non-HDFC ATM’s.
Standard Chartered bank priority banking
Standard chartered bank offers the following privileged services to its priority banking customers:
- Dedicated team of experts to assist in various banking and financial needs.
- Exclusive priority banking lounges.
- Separate teller counters.
- Pre-arrival account opening service when relocating to another state/country.
- Dedicated international banking helpline.
- Visa Infinite credit card with premium features.
- Access to more than 200 priority banking centers across Asia, Africa and Middle East.
- Special travel and lifestyle privileges.
HSBC priority banking
HSBC names the priority banking service as ‘HSBC Premier’. It offers the following benefits on this service:
- Wealth management to provide comprehensive services on various products and investment advice.
- Dedicated relationship manager for regular banking needs.
- Premium credit card with shopping and entertainment rewards all over the world.
- Exclusive rates and benefits including worldwide Airport Lounge Access.
- Emergency assistance for protecting you and your family during unexpected events anywhere in the world.
- Global view online banking to access and manage all HSBC accounts through a single logon.
Kotak Mahindra priority banking
Kotak Mahindra bank’s priority banking service, also known as ‘Privy League’, offers the following benefits:
- Customized financial plan with wide range of investment options under one roof.
- ActivMoney feature offering a 2-way sweep into term deposits.
- Free Demand Drafts and banker’s cheques.
- Discounts on lockers.
- Gold at preferential rates.
- Key benefits of Kotak Mahindra bank account free of charge.
These are the benefits offered by some of the banks for their priority banking customers. Though these are very tempting, before opting for one make sure you need these services. If you are a customer with simple banking needs such as withdrawals and few deposits, you might not need such high end services.