The State Bank of Pakistan (SBP) has rolled out a facilitation framework for BISP Beneficiaries for crediting financial assistance directly into their bank accounts.
Under the framework, about 9.3 million BISP beneficiaries will be able to open a ‘BISP Sahulat Account’ in a single visit to the designated bank branch within their vicinity across the country.
The BISP has mapped its beneficiaries with a bank branch in the vicinity of the beneficiaries. However, given the large number of beneficiaries, the framework will be implemented in phases. Initially, a pilot phase will be run in Karachi and Lahore for onboarding about three hundred thousand (300,000) BISP beneficiaries. Post-successful implementation of the pilot phase, the framework coverage will be extended to other cities in consultation with BISP.
The framework is expected to facilitate the disbursement of social welfare payments to BISP beneficiaries efficiently and transparently, enhance women’s financial inclusion, and promote digitization of f
inancial services.
The facilitation framework has been developed in consultation with the BISP and banks aimed at providing ease to beneficiaries for receiving the social welfare payment into their accounts to be opened in all banks and MFBs across the country.
SBP rolled out the facilitation framework for BISP Beneficiaries. Below are further details.
A. Onboarding of BISP Beneficiaries
The banks shall use a secure arrangement to receive account opening information from BISP which at the minimum shall include the beneficiary’s full name (as per CNIC), father’s/ spouse’s name, CNIC number, date of birth, mobile number, and residential address. Further, BISP, before sending information to the banks, shall ensure that the CNICs of the beneficiaries are valid.
After receiving the information from BISP, banks shall carry out screening of beneficiary’s particulars against the lists of persons designated by the United Nations Security Council (UNSC) and proscribed under The Anti-Terrorism Act, 1997 as well as
other relevant lists.
Post-screening, the banks shall create accounts of beneficiaries in the branches identified by BISP. Thereafter, banks shall generate IBANs of such accounts and share them with BISP, under a mutually agreed and secure arrangement. The BISP will disburse the funds into these accounts through RAAST/IBFT.
The accounts, so created, shall remain inactive and debit blocked until the activation process is completed.
B. Accounts/ATM Activation and Disbursement
The banks shall activate beneficiaries’ bank accounts, upon their visit to the relevant branch, through Biometric Verification (BV) with liveness checks. If BV could not be performed due to genuine reasons, banks shall document the reasons and conduct NADRA Verisys of BISP beneficiary for account activation purposes and inform BISP, accordingly. Further, banks shall also obtain information regarding the date of issuance AND expiry of CNIC, place of birth, and mother’s maiden name from the BISP beneficiary.
The banks shall also take or
al consent from the BISP beneficiaries and record the same by marking relevant check boxes in their systems, for the following: Foreign Account Tax Compliance Act (FATCA)/ Common Reporting Standard (CRS), wherever required. Acceptance of Terms and Conditions (TANDCs) of these accounts. Account opening and use of information/ documents provided through the above process for due diligence and supervisory functions.
After account activation, banks shall provide pre-activated PayPak cards (functional as debit and ATM cards) in sealed envelopes to BISP beneficiaries. The banks shall also ensure and facilitate the generation of PINs on these cards during the account activation visit by the BISP beneficiaries. For the said purpose, banks may use any or all of the following options: Call centers ATMs SMS Mobile Apps Web Portals Others
The banks shall not issue checkbooks to the BISP account holder and shall not activate internet/ mobile banking facilities on such accounts.
The banks, in coordination with BISP, may
stagger the dates of beneficiaries’ visits for the account activation process, to avoid unnecessary congestion. However, the whole process shall be completed in one visit by the beneficiary.
C. Accounts Operations
During the pilot phase, BISP beneficiary accounts shall be limited mandate accounts primarily meant for receiving disbursements from the BISP. Based on the results of the pilot phase, SBP may consider allowing normal operations in these accounts as permissible under branchless banking level 1 accounts.
The banks shall recover all upfront and ongoing costs associated with account opening, issuance and maintenance of ATM cards, from the BISP and no such charges shall be levied on the BISP beneficiaries. However, the fee for issuance of replacement/duplicate debit/ATM Card, before its expiry, shall be recovered from the BISP beneficiary.
D. Facilitation and Support
The banks shall establish a dedicated function for information sharing and ongoing coordination with BISP including resolution of issu
es facing the BSIP and its beneficiaries.
The banks shall arrange training programs for their employees to ensure facilitation to the BISP beneficiaries during the account/ ATM PIN activation and subsequent disbursement process.
The banks shall put in place mechanisms for timely resolution of complaints of BISP beneficiaries and ensure 24/7 availability of customer support services.
Source: Pro Pakistani