Tuesday, June 15, 2021

Jana Small Finance Bank Ltd Offers Interest Rate Of 0.25% P.A. Over The FD Interest Rate

To offer financial support to many affected by COVID-19, Jana Small Finance Bank Ltd has extended its Overdraft (OD) facility Against Fixed Deposit (FD) at a nominal interest rate to all its customers across India. The interest rate on this facility is 0.25 percentage points over and above the FD rate with a utilisation of 50% or more. Under this facility, up to 90 per cent of the FD value can be availed as OD. The special pricing will be available to its existing customers till 31st December 2021 and the customers are requested to apply before 30th June 2021 for the same.

Customers can avail this facility instead of liquidating the FD to meet their liquidity requirements. The Bank emphasized that customers will continue to earn applicable rates of interest on their FDs. Customers can make the payment for the OD facility according to their choice, i.e., either in lump sum or in instalments. Jana Small Finance Bank will not be charging any processing fee for the same. This facility can be availed by providing simple documentation and quickly done.

Commenting on the development, Mr. Ajay Kanwal, MD and CEO, Jana Small Finance Bank Ltd said, “As the lockdown opens it will help our customers to have a credit line available for their business or personal need without liquidating their deposit. Therefore, we have taken a conscious call to offer the lowest rate of 0.25 percentage over the FD rate as we think this is the need of the hour.”

To avail this facility, the minimum OD FD facility amount with the bank should be INR 10,000 and FD tenure of 180 days or more. The customer can withdraw the money through any available channel of Jana Small Finance Bank Ltd i.e., online, cheque, etc.

About Jana Small Finance Bank

Jana Small Finance Bank Limited (Jana Small Finance Bank) is one the leading Small Finance Banks of India in terms of assets under management and deposit size as at March 31, 2020. Jana Small Finance Bank has the second most geographically diversified portfolio with a pan-India presence among all Small Finance Banks in India as at March 31, 2020. As at February 28, 2021, Jana Small Finance Bank had 611 Branches, including 166 Branches in Unbanked Rural Centres, and 134 ATMs located in 229 districts in 20 states and three union territories. Jana Small Finance Bank has served over 8.00 million customers since 2008, including approximately 3.05 million active customers.

Jana Small Finance Bank Limited (the “Bank”) is proposing, subject to receipt of requisite approvals, market conditions and other considerations, to make an initial public offer of its equity shares and has filed a draft red herring prospectus (“DRHP”) with the Securities and Exchange Board of India. The DRHP shall be available on the website of SEBI at www.sebi.gov.in, websites of the Stock Exchanges i.e. BSE and NSE at www.bseindia.com and www.nseindia.com, respectively, and is available on the websites of the BRLMs i.e. Axis Capital Limited, ICICI Securities Limited and SBI Capital Markets Limited at www.axiscapital.co.in, www.icicisecurities.com and www.sbicaps.com, respectively. Any potential investor should note that investment in equity shares involves a high degree of risk and for details relating to such risk, see "Risk Factors" of the RHP, when available. Potential investors should not rely on the DRHP for any investment decision.

This announcement has been prepared for publication in India and may not be released in the United States. This announcement does not constitute an offer of securities for sale in any jurisdiction, including the United States, and any securities described in this announcement may not be offered or sold in the United States absent registration under the US Securities Act of 1933, as amended, or an exemption from registration. Any public offering of securities to be made in the United States will be made by means of a prospectus that may be obtained from the Bank and that will contain detailed information about the Bank and management, as well as financial statements. However, no public offering of securities is being made in the United States.

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