Introducer a Must for New Bank Account?

magnet

Active member
#1
Well today I made a visit to Karur Vysya bank in my area.

I had a look at its site and I find its demat account option cheaper than my present bank HDFC. Plus I have opened an online trading account with a broker which I want to close now as I don't find it appealing.

So I made a visit an asked for account opening form. Person was like which account do you want to open (savings/current). Documents needed. I said straight I have all you give me the form of savings. I'll go through it.

Later he says who is the introducer to your account. Who have made you to come here. I said i had a look on net and found your bank appealing (Now will he believe that Rakesh Jhunjhunwala investment in the bank made me think so to open an account).

Than they says sorry it's our strict policy we compulsorily need an introducer who have an account here.

Now I want to know are they providing any torrent invitation. Or are such facility already exists. Never in my life nor even in HDFC I faced such problems.

I feel the chap over the counter wasn't serious with me.

Have forwarded my message and number on their site for look back.

But still do such policy exists?
 

Alchemist

Administrator
Staff member
#2
I think introducer is necessary, but many banks do open accounts even if there is no introducer.

Earlier, introduction was a necessary and sufficient condition for opening an account. But following this judgment introduction will only be a necessary condition but not sufficient to open an account.
Introducer not responsible for frauds by account holder: SC verdict

There was no introducer when I had opened an account with Kotak Mahindra Bank.

Many banks ask for an introducer only when the client doesn't have all the documents that needed for opening an account.
 
#3
I think introducer is necessary, but many banks do open accounts even if there is no introducer.


There was no introducer when I had opened an account with Kotak Mahindra Bank.

Many banks ask for an introducer only when the client doesn't have all the documents needed for opening an account.
I got an fixed deposit done at a Karur Vysya Bank branch in Mumbai just last week without any introduction.

Most private banks do not insist on an introduction. Usually, the junior guys sitting at the desks don't know about this - if you are facing a problem, it's best if you ask those guys to talk to the Branch Manager or ask if you yourself could talk to the manager.
 

magnet

Active member
#4
I got an fixed deposit done at a Karur Vysya Bank branch in Mumbai just last week without any introduction.

Most private banks do not insist on an introduction. Usually, the junior guys sitting at the desks don't know about this - if you are facing a problem, it's best if you ask those guys to talk to the Branch Manager or ask if you yourself could talk to the manager.
Do you have an account with the branch?

I don't think without an account banks allow to make fixed deposit in their banks.
 
#5
Do you have an account with the branch?

I don't think without an account banks allow to make fixed deposit in their banks.
It is not necessary to have an account for making a fixed deposit.

You can open an FD a/c in any bank without having any pre-relationship with that bank.

Well today I made a visit to Karur Vysya bank in my area.

I had a look at its site and I find its demat account option cheaper than my present bank HDFC. Plus I have opened an online trading account with a broker which I want to close now as I don't find it appealing.

So I made a visit an asked for account opening form. Person was like which account do you want to open (savings/current). Documents needed. I said straight I have all you give me the form of savings. I'll go through it.

Later he says who is the introducer to your account. Who have made you to come here. I said i had a look on net and found your bank appealing (Now will he believe that Rakesh Jhunjhunwala investment in the bank made me think so to open an account).

Than they says sorry it's our strict policy we compulsorily need an introducer who have an account here.

Now I want to know are they providing any torrent invitation. Or are such facility already exists. Never in my life nor even in HDFC I faced such problems.

I feel the chap over the counter wasn't serious with me.

Have forwarded my message and number on their site for look back.

But still do such policy exists?
Private banks don't even ask for introduction, and the executive himself or his colleagues give introduction, because they need to open more and more a/cs for incentives or even they have pressure to open more and more a/cs.

But many nationalized banks asks for compulsory introduction, like Bank of Baroda, they are strict for introduction from existing a/c holder.
 
#6
Even if you do not have a account with bank, you can open FD. I myself have FDs with COSMOS, Ahmednagar Shahar Sahakari Bank and in past with IDBI bank and no other account with them. The only thing is if the maturity amount is more than 20K then they will not give you the cash instead a cross cheque which will be on the name of the FD holder.
 

San Yad

Active member
#7
I don't see any logic to have introducer for opening a/c in PSU banks.

PSU banks are beating the bushes.

They should wake up and look ahead instead of chasing customers.

Lets say one is existing customer of a PSU bank and he signed for another person who needs a new a/c in the same bank.

If the new person do fraud after opening a/c. I don't think bank will chase the person who signed for new a/c holder.

I think person itself is responsible what he is doing and he will be punished.

It's not that existing person will also be punished with new a/c holder.

Unacceptable is becoming acceptable in India.

No wonder my country is still great. :D.

Jai Ho


Happy Investing!
 
#8
If they don't open the account it's their loss, you take your business elsewhere where they treat you with respect and don't give flimsy excuses.
 

Alchemist

Administrator
Staff member
#9
I found this on RBI's site:

2.1 KYC Policy

(i) "Know Your Customer" (KYC) procedure should be the key principle for identification of an individual/corporate opening an account. The customer identification should entail verification through an introductory reference from an existing account holder/a person known to the bank or on the basis of documents provided by the customer.
Reserve Bank of India

From the above, it seems having an introducer is not mandatory if proper documents are submitted.
 

Alchemist

Administrator
Staff member
#12
Imagine introducer knows new a/c holders and still he does fraud?

In that case?
See post #2.

That's about a 2004 judgement by the Supreme Court.

Allowing the appeal filed by Das, the Supreme Court said both the trial court and the High Court committed serious error as Das had introduced Acharya to the bank only for opening an account and "that by itself does not spell out any fraud or cheating."
 

San Yad

Active member
#13
In this statement first Das was convicted.
Das was convicted by trial court for cheating and awarded a punishment of three years imprisonment. The High Court upheld the conviction but reduced the sentence to six months
Are our lower court and High Court not that intelligent to make the case as Supreme Court did?

Allowing the appeal filed by Das, the Supreme Court said both the trial court and the High Court committed serious error as Das had introduced Acharya to the bank only for opening an account and “that by itself does not spell out any fraud or cheating.”
See we have loop holes everywhere. Even in justice.

Doesn't High Court read the same law books as our hon'ble Supreme Court does?

Why justice differs from one channel to another channel?

Politics or money influence here? or from one justice to another justice ? Or one law book differs from another author's law book?

I really did not find the answer but this is happening.

And we see such things on daily basis.
 
#14
In this statement First Das was convicted.


Are our lower court and high court not that intelligent to make the case as supreme court did?



See we have loop holes everywhere. Even in justice.


Doesn't high court read the same law books as our hon'ble supreme court does?

Why justice differs from one channel to another channel?

Politics or money influence here ? or from one Justice to another justice ? Or one law book differs from another author's law book?

I really did not find the answer but this is happening.

And we see such things on daily basis.
Not like that. The same law can convey different meaning.

There will be disclosure in introduction sign document that you know this person etc. So the lower courts saw law books and understood some different meaning.

But Supreme Court created an exception in that case by saying that the introducer is not liable. From then on, all lower courts will follow the same since I am sure the defense lawyer will point out this decision by Supreme Court if similar case arise and the court will favor the introducer.
 

Alchemist

Administrator
Staff member
#15
Why justice differs from one channel to another channel?
Laws are subject to interpretation.

The same law may be interpreted in different ways by different judges.

That is why we have different levels of in the judicial system.

If all judges thought similarly, there wouldn't be any need for High Courts and Supreme Court.

It is not just in India.

Most countries around the world hierarchical judicial systems and judges regularly overturn judgments given lower courts.
 
#16
Only document for this should be passport

I think if you give your copy of passport as a proof they shouldn't insist on an introducer I'm 100% sure. The address can be of any place. They can't reject it at all.
 
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