Account Holders in Union Bank of India, Corporation Bank and Andhra Bank will avail more facilities and services
New Delhi, Delta News : The upcoming amalgamation of Andhra Bank and Corporation Bank into Union Bank of India will create the 5th largest PSU bank in the country.The three banks have a combined legacy of more than 300 plus years in serving customers and the nation. Post the amalgamation, the combined entity will have the 4th largest banking network in the country with more than 75000 employees, 9500+ branches and over 13,500+ ATMs.
Established in 1919, 1923 and 1906 respectively, Union Bank, Andhra Bank and Corporation Bank, all have a rich legacy of serving the nation. All the banks individually have a proven history of reliability stemming from excellence in customer service and trust built over years. The amalgamation will help build on this strong starting point through greater economies of scale, improved capital efficiency and enhanced customer experience through a wider network and greater variety in products and services.
Government of India has planned the amalgamation of the three banks with a vision to leverage economies of scale and to provide customers with enhanced products and service offerings. At the core of this development, process has been our deep commitment to ensure minimal disturbance to our customers. Since Corporation Bank & Andhra Bank already use the same core banking system as Union Bank of India, the challenge of IT integration has also been mitigated.
One of the most promising aspects of the proposed amalgamation is the complementarity in the product offerings, services and geographical presence of the three banks. With 52% of its branches in the states of Andhra Pradesh and Telangana, Andhra Bank will strengthen the amalgamated bank in Southern India. Synergizing with Corporation Bank, which has 30% of its branches in the state of Karnataka, it will lead to a more formidable presence down south. On the other hand, Union Bank will bring a pan-India presence for the new amalgamation with its strong presence in the Northern and Western India, having 33% of branches in UP and Maharashtra alone.
Over the past few decades, Andhra Bank has a built a robustRural and Agribusiness portfolio, a strong reputation for best-in-class digital productsand has maintained a powerful asset quality. This is going to augment Corporation Bank’s unique strengths includinga strong POS presence, best-in-class channel finance products and a healthy retail liabilities business. To this, Union Bank will add its sturdy risk management practices, corporate/MSME lending, best-in-class digital infrastructure, and customer service setup.
With a view to support the government’s vision of making India a $5 trillion economy, the amalgamated bank will also launch a variety of new productsas well as leverage best in class technology, suited for the new Indian. For example, we will be launching a fresh suite of debit and credit card offerings, as well as a brand new pre-paid forex card to target the growing segment of young and aspirational Indians. Additionally, we would continue to maintain and strengthen our global presence, ensuring seamless banking facilities.
The Union Bank-Andhra Bank-Corporation Bank amalgamation is in full compliance with the objective of creating large and efficient banks in the country which is going to empower the banking sector with more nuanced risk management practices.
All in all, the customers will now benefit from a much bigger bank, with an access to a stronger capital base, greater number of bank branches,a wider ATM network with intra-bank transaction facilities with no additional charges.For the new age customers, the amalgamated entity would provide support to customers 24*7 via enhanced dedicated call centers in English, Hindi & 10 other regional languages; and digital banking facilities as well as a social media presence to keep the customers updated on latest products and rates. These changes will be carried out with little or no disruption to their existing banking relationship with either the anchor or amalgamating banks.
