ew N Introduction to Bank PO Edition 2015 Information Booket For Introduction to Bank PO Regd Office :- A-202, Shanti Enclave, Opp.Railway Station, Mira Road(E), Mumbai www.bankpo.laqshya.in | bankpo@laqshya.in (Not For Sale) (For Private Circulation Only) www.bankpo.laqshya.in Banking Industry & Bank Jobs     INTRODUCTION - INDIAN BANKING INDUSTRY Banking Sector in India This article consists the major information about Indian Banking Industry – Jobs & Scope Banking Industry in India has always been one of the most preferred choice of employment In last 10-15 years, this industry has emerged as a sunrise sector in the Indian economy The Banking Industry is recruiting in a big way and with a new pattern In the next five years , banks will have to recruit almost 10 lakh people Now, banks have diversified their activities and getting into new products and services that include opportunities in credit cards, wealth management, consumer finance, investment banking, mutual funds, life and general insurance, pension fund regulation, custodian services ,stock broking services, and private equity etc Further, most of the leading Indian banks are going global, setting up offices in foreign countries themselves or through their subsidiaries Major Employers in Indian Banking Industry Public Sector Banks form the major recruiter group for candidates aspiring for bank jobs They are: State Bank of India Group (Total:6 Banks) namely State Bank of India, State Banks of Bikaner & Jaipur, Travancore, , Mysore, Patiala and Hyderabad Nationalised Banks (Total: 20 Banks) which include 10 11 12 13 14 15 16 17 18 19 20 Allahabad Bank, Andhra Bank, Bank of India, Bank of Maharashtra, Bank of Baroda, Canara Bank, Corporation Bank, Central Bank of India, Dena Bank, Indian Bank, Oriental Bank of Commerce, Indian Overseas Bank, Punjab & Sind Bank, Punjab National Bank, Uco Bank, United Bank of India, Syndicate Bank, Union Bank of India and Vijaya Bank Bharatiya Mahila Bank Other Public Sector Bank (Total: Bank) i.e IDBI Bank Limited Page | 1     www.bankpo.laqshya.in | Mumbai For Private Circulation Only | Not For Sale www.bankpo.laqshya.in Banking Industry & Bank Jobs     Private Sector Banks: These banks conduct their own exams The major recruiters in private sector include the ICICI Bank, HDFC Bank, Axis Bank, Federal Bank, Centurion Bank of Punjab, Indusind Bank, Kotak Mahindra Bank, Yes Bank, ING Vysya Bank, Bank of Rajasthan, Karur Vysya Bank, Karnataka Bank, Jammu & Kashmir Bank, South Indian Bank, Bharat Overseas Bank, etc Co-operative Banks: All major National and State Co-operative Banks and Scheduled Urban Cooperative Banks conduct their own exams to recruit Officers Career as a Bank Probationary Officer ( Bank-PO ) A Probationary Officer’s post is the entry to the managerial positions in the banking industry A Probationary Officer starts as a trainee officer in the Junior Management Grade Service (JMGS) of the bank and can rise to the highest grades of the bank in his career becoming a General Manager, a Director or even the Chairman of the Bank A Bank Probationary Officer’s position is seen with tremendous respect in the society as it secures a life long opportunity to grow, prosper and serve the society in a senior and responsible position in the Banking industry And, therefore, every Bank P.O Exam attracts lakhs of talented graduates, postgraduates and professionals to compete for a few hundred or thousand of vacancies notified by the banks Career as a Bank Clerk A young person joining a bank as a clerk-cum-cashier in the clerical cadre of the bank has the opportunity to start as early as at the age of 18 years and just after passing standard Xth A bank clerk has job security, faces challenging work environment, gets opportunity to strengthen customer relation skills, using best available technology and working to learn under worthy senior officers He is trained on the job He gets an opportunity through departmental exams of the bank or otherwise to rise to the higher levels of management in the bank He gets the opportunity of life-long learning in Banking, Finance, Management and other areas of his choice through various national level institutions set up for Bankers’ education One need not be surprised to find many senior staffs in most of the branches of various banks as well as at the Regional, Zonal and Head Offices of the banks who had joined the bank in the clerical level Types of Bank Exams : Exam conducted by SBI and SBI Associate Banks for recruitment to the posts of clerks and officers 2.Common Written Examination conducted by Institute of Banking Personnel Selection (IBPS) as a prerequisite for selection of personnel for Probationary Officer / Management Trainee / Clerical Level posts in 19 Public Sector Banks Exams conducted by private sector banks for recruitment to the posts of clerks and officers Exams conducted by Co-operative banks for recruitment to the posts of clerks and officers Exams conducted by Reserve Bank of India (RBI) for various “Grade A”, “Grade B”, & Assistants posts Page | 2     www.bankpo.laqshya.in | Mumbai For Private Circulation Only | Not For Sale www.bankpo.laqshya.in Banking Industry & Bank Jobs     About Indian Banking Personnel Selection ( IBPS ) – Common Written Examination There is more good news for lakhs of aspirants seeking a career in banking sector – the time taken by a bank to complete the recruitment process, which was generally somewhere around 6-8 months , had come down to 2-3 months with the introduction of the first of its kind "Common Written Examination (CWE)" The Institute of Banking Personnel Selection (IBPS) conducts the CWE This examination is the pre-requisite for selection of personnel for the posts of Probationary Officer/Management Trainee/Clerks in the Public Sector Banks The first ever Common Written Examination for the posts of Probationary Officer / Management Trainee in 19 public sector banks was conducted on 18th September 2011 and the first such examination for recruitment of clerks in 19 public sector banks was held on 27th November 2011 Participating Banks: Except for SBI, almost all the major Public Sector Banks are participating in the CWE The Common Written Examination will be conducted approximately times in a year, once for Probationary Officer/ Management Trainee and once for Clerical Cadre posts Validity of the Score card: Score Card issued by IBPS will be valid for one year from the date of issue of the score card Candidates can appear in subsequent examination/s to enhance their scores Eligibility Criteria Bank PO Exams: IBPS PO CWE: Age: 20 to 30 years; Education Qualification: A degree in any discipline from a recognized University or any equivalent qualification recognized as such by the Central Government SBI and SBI Associate Banks: Age: 21 to 30 years; Education Qualification: A degree in any discipline from a recognized college/ University Bank Clerical Exams: IBPS Clerks CWE: Age: 20 to 28 years; Education Qualification: A degree in any discipline from a recognized University or any equivalent qualification recognized as such by the Central Government SBI and SBI Associate Banks: Age: 21 to 28 years; Education Qualification: A degree in any discipline from a recognized University or any equivalent qualification recognized as such by the Central Government Page | 3     www.bankpo.laqshya.in | Mumbai For Private Circulation Only | Not For Sale www.bankpo.laqshya.in Banking Industry & Bank Jobs   Pattern For The Banking Entrance Exam :   Both P.O and clerical recruitments comprise at least two stages of exams, viz a Online Test, and an interview The Online Test normally comprises an objective type test and a descriptive test (only for SBI-PO) The interview is normally a personal interview or sometimes, a combination of group discussion and personal interview Bank PO Exams: The test areas in the objective type test of P.O exam include tests from amongst Reasoning, Quantitative Aptitude, General Awareness, English language, Marketing Aptitude and Computer Knowledge The Descriptive Writing Test is to check the proficiency of the student in English Language It would consist of a test on English Composition comprising letter writing, essay writing, précis writing etc Pattern of the IBPS Bank PO CWE : The Online Test consists of Objective Paper Objective Paper: 200 Questions to be answered in 120 Minutes; Maximum Marks: 200 Negative Marking: There will be penalty for wrong answers marked in the Objective Test The following table gives the test area break up of the Objective paper Descriptive Paper – For SBI PO (Essay, Precis, Letter Writing etc) Duration - 60 Minutes; Maximum Marks: 50 Bank Clerical Exams: The test areas in the objective type test of the clerical exam include tests from amongst Reasoning, Quantitative Aptitude, General Awareness, English language, Marketing Aptitude and Computer Knowledge There is no descriptive test in clerical exam Pattern of the IBPS Bank Clerical CWE : The written test consists of Objective Paper only Objective Paper: 200 Questions to be answered in 120 Minutes; Negative Marking: There will be penalty for wrong answers marked in the Objective Test SNO Name Of the Test No Of Questions For No Of Questions For IBPS PO Exam IBPS Clerk Exam Reasoning 50 40 English Language 40 40 Quantitative Aptitude 50 40 General Awareness 40 40 Computer Knowledge 20 40 Total 200 200 Page | 4     www.bankpo.laqshya.in | Mumbai For Private Circulation Only | Not For Sale www.bankpo.laqshya.in Banking Industry & Bank Jobs     JOB DETAILS OF PROBATIONARY OFFICER What is a Bank PO ( Bank Probationary Officer ) Let me start with the details about this golden career opportunity for all the young and dynamic graduates in India to work as a Bank Probationary Officer ( Bank PO) for various Public Sector Banks, State Bank Of India OR “IBPS” Group Banks ( For More Info please visit the bank websites : For eg http://www.ibps.in and http://www.sbi.co.in For Young graduates, an attractive job offer after college is banking profession in banking industry, especially for various Public Sector Banks State Bank Of India OR “IBPS” Group Banks It remains the most wanted job position for years and it is because of much respect and prestige in the society After the extinction of BSRB the only window to enter into this well sought career is Probationary Officers (PO) Exams conducted by IBPS & SBI ( See this : http://www.ibps.in and http://www.sbi.co.in for detailed procedure about bank jobs and bank probationary officer / clerical / specialist officer selections ) These Banks inducts eligible graduates by this exam for training for a probation period of years The selected applicants performance during the probation period will decide their position after training for various Public Sector Banks State Bank Of India OR “IBPS” Group Banks Here in this article we will read & understand :What is a “Bank PO” ? Career as a “Bank PO” ? Jobs & Responsibilities of a “Bank PO” ? Salary Structure of a “Bank PO” ? What is a “Bank PO” ? A Bank Probationary Officer (PO) in a Public Sector Banks, State Bank Of India OR “IBPS” Group Banks is the starting level appointment for bank officers to work for the respective bank The POs have two years probation period during which they conduct major work profiles such as Credit Rating ,Loans & Advances, Foreign exchange , Management, Treasury, Risk, Marketing, IT, etc Some times the vacancies in officers level in various Public Sector Banks, State Bank Of India OR “IBPS” Group Banks are filled from within the organization after internal exams and promotion of clerks and mostly by direct recruitment Since, there are a huge number of vacancies available with each of the public sector banks at all the branches all over the country, the banks conduct a centralized examination to select and appoint various applicants for various branches across the country to work as a probationary officer for banks The position of a bank PO for which recruitments are made are in junior management Graduate Scale, which is the entry level position for joining a Public Sector Bank, State Bank Of India OR “IBPS” Group Banks as an officer This entry level position is known as that of probationary officer or management trainee Bank probationary officers can come from any discipline or field of study However there is a misconception that only people from commerce or finance background are eligible This is not true for selections as an Bank Probationary Officer for various Public Sector Banks, State Bank Of India OR “IBPS” Group Banks Graduates from any discipline are eligible to appear for the common written test and after successfully passing the common written test / examination and Group Discussion and Personal Interview rounds, one can be selected and appointed as a Bank Probationary Officer Page | 5     www.bankpo.laqshya.in | Mumbai For Private Circulation Only | Not For Sale www.bankpo.laqshya.in Banking Industry & Bank Jobs     Career as A Bank Probationary Officer ( Bank PO ) There is a well defined career progress OR career path in each public sector bank Performance during the working hours and caliber of the candidate are key elements which determine this career progress There are numerous example of the senior officers who are currently working at officer level in todays time for various public sector banks, State Bank of India or “IBPS” Group Banks, once started their career as clerk or scale I officer only During last few years these banks have reviewed their promotion policy and now for bright, hardworking and knowledgeable employees it takes less time to move to higher scales In many public sector banks, State Bank of India or “IBPS” Group Banks a person who joined as an officer may reach to the position of General Manager in just 14 years After that one can aspire for the position of executive director or chairman of a public sector banks, State Bank of India or “IBPS” Group Banks These are very high positions, nomination to which is decided by the Government and not by the individual banks Many public sector banks, State Bank of India or “IBPS” Group Banks have a network of foreign branches Thus joining a public sector banks, State Bank of India or “IBPS” Group Banks gives you the opportunity of working abroad also Transferability in a bank job provides you the chance of seeking different parts of the country Jobs & Responsibilities of a Bank Probaitonary Officer( Bank PO ) Probationary Officers are directly recruited officers in the various Public Sector Banks, State Bank Of India OR “IBPS” Group Banks who are initially recruited on probation (which is normally in all types of jobs) for years period It is well known that bank officers usually enjoy good respect and prestige in Indian society Bank Clerical or Probationary officer is entry point for officers in the various Public Sector Banks, State Bank Of India OR “IBPS” Group Banks Usually Bank POs are initially given training, which can range from few weeks to one year After the training, Bank POs are placed either in a branch or administrative office ( This article is just informative and indicative For more details in exact manner kindly visit the bank official websites : http://www.ibps.in and http://www.sbi.co.in ) At the branch Bank POs are supposed to look after the branch working which can include passing of cheques, evaluating loan proposals; marketing of bank products etc Following a point to point listing of major Job Roles of a Bank Probationary Officer ( Bank PO) : The main areas of Bank PO are: deposits and advances A Bank PO starts the deposits and learn and manage how to create CIF Managing various types of accounts such as savings, current, recurring and various type of term deposits Learning and using the banking software BANK PO handles & manages the advances which are generally classified as P-segment P segment is what consists of retail loans to individuals for various purposes such as housing, education, car etc etc Managing and handling SME and C&I A Bank PO manages how to assess loan applications A Bank PO manages interviews of loan applicants and the sanction and disbursal procedures Page | 6     www.bankpo.laqshya.in | Mumbai For Private Circulation Only | Not For Sale www.bankpo.laqshya.in Banking Industry & Bank Jobs     10 A Bank PO manages Small and Medium Enterprises and Corporate & Institutional loans for purposes other than consumption 11 A Bank PO manages locker management 12 A Bank PO manages ATM management 13 A Bank PO manages cash drawer operations 14 A Bank PO manages cross selling Etc… Salary Structure of a Bank Probationary Officer (Bank-PO) Typical Salary Structure of a Bank PO - Entry Level ( Indicative/NOT Actual / Visit Bank official website for more info : http://www.ibps.in and http://www.sbi.co.in ) Particulars Basic DA HRA* CCA Medical Aid Entertainment House Maintenance Books/Newspapers Petrol Canteen Subsidy Pension Rent Deduction Taxable Salary Less Tax In Hand Salary House Lease# Bank's Pension share CTC Monthly 14500 8722 540 300 2000 250 -2322 -300 23690 771 22919 8000 2322 452107 Annually 174000 104661 6480 5100 4600 3600 2800 24000 3000 -27866 -3600 300375 9251 291124.02 96000 27866 4.5 Lac per Anum (*HRA is not taken into consideration because of lease accommodation; #House Lease ranges from to 12 percent of basic depending upon rural/semi urban/Area 1/Metros) The Bank PO's salary or Bank Probationary officer's starting salary in most of public sector banks and even in some private banks is same All newly recruited POs are placed in the following scale at the 1st stage of the same (However, banks like SBI, ICICI bank and other private sector banks have some different start for probationary officers ) :Scale I - Rs 14500 - (600x7) 18700 - (700x2) - 20100 (800x7) - 25700 [Revision has already become due wef 01/11/2012, but it is likely to take about years to finalize the same i.e by Dec 2014] In addition to Basic Pay Probationary officers / PO / Management Trainees are eligible for the following allowances :(a) Dearness Allowance (DA) : DA in banks is revised on quarterly basis (i.e in the months of February, May, August and November) based on the CPI as declared by Government of India Page | 7     www.bankpo.laqshya.in | Mumbai For Private Circulation Only | Not For Sale www.bankpo.laqshya.in Banking Industry & Bank Jobs     The current DA (for the month of February 2014, March 2014 and April 2014 is 99.90% of the Basic Pay) DA can go up with higher inflation and also come down if the inflation rate is in negative (b) HRA : This depends on the place of posting and it can be either 6.5% or 7.5% or 8.5% depending on the place of posting (c) CCA : This also depends on the place of posting and can be either 4% (maximum Rs.540/-) or 3%(Maximum Rs.375/-) or 0% The above indicates that the total salary of a probationary officer on joining at a metro station will be around Rs.30,759 However, the total salary of a probationary officer who has to join in rural area will be about Rs 29,929/- {This includes HRA} However, SBI gives four additional increments to Bank POs and thus gross salary will be higher by about Rs 4500/-.pm See details below :- ( Indicative Table – Not Actual ) NEWLY APPOINTED BANK PO - INITIAL SALARY / STARTING PAY ON JOINING [as on 1st April, 2014 ] - PRE REVISED Monthly Basis ( Indicative ) Major A-Class Cities Other Cities Rural Areas Basic Pay Rs.14,500.00/- Rs.14,500.oo/- Rs.14,500.00/- Dearness Allowance Rs.14486.00/- Rs.14486.00/- Rs.14486.00/- Rs.540.00/- Rs.375.00/- Rs.0.00/- Rs.29,526.00/- Rs.29,361.00/- Rs.28986.00/- Rs.1233.00/- Rs.1088.00/- Rs.943.00/- Rs.30,759.00/- Rs.30,449.00/- Rs.299,29.00/- @ 99.90% CCA (3% TO 4% Max Rs 540.00/Total Salary ( Excluding HRA ) HRA – 8.5%/7.5%/6.5% Total Salary ( Including HRA) Note : ( This information should not be taken as any official statement For official information about the exact salary and allowance structure kindly visit bank official websites : http://www.ibps.in and http://www.sbi.co.in ) (a) SBI POs are paid four increments extra at the initial stage and thus their Gross Salary will be about Rs 4,800 higher (b) In lieu of HRA, most of the banks allow you to take leased accommodation, the amount of which varies from bank to bank and also depends on place of posting (The entitlement of such accommodation ranges from Rs 8000 to Rs 29,000 p.m (approximate) Page | 8     www.bankpo.laqshya.in | Mumbai For Private Circulation Only | Not For Sale www.bankpo.laqshya.in Banking Industry & Bank Jobs     (c) Thus, we can say the salary cash component of Bank PO in Public Sector banks is around Rs 31,000 pm whereas in SBI, the initial cash component salary of SBI PO is around Rs35000/-pm Other Perks & Allowances : There are number of other perks available to Bank officers and these vary from bank to bank, and even the amount of such perks vary from bank to bank SBI gives more perks than all other nationalized banks Some of the perks available to Bank officers are :(a) Leased Accommodation : As mentioned above this facility is available to Bank officers in lieu of HRA At some stations, some banks may offer official bank accommodation in lieu of leased accommodation / bank quarters The lease amount vary from bank to bank and place of postings However, you should remember that this amount is not available as cash component and will directly go to the house owner - those house you have got leased (b)Travelling Allowance : Some banks allow fixed Travelling Allowance whereas others allow reimbursement of petrol bills i.e officer must own scooter / car at the place of posting (c) Newspaper Reimbursement : A fixed monthly amount is paid towards the cost of one newspaper (d) Medical Aid : A fixed annual amount is paid by most of the banks (e) Coverage under New Pension Scheme Salary of PO in State Bank of India / PO Salary in SBI : • • • • • In SBI, the starting basic pay is Rs 16,900/- (with increments) in the scale of Rs 14500600/7-18700-700/ 2-20100-800/7-25700 applicable to Junior Management Grade Scale I The official will also be eligible for D.A., H.R.A & C.C.A as per rules in force from time to time At present monthly compensation at Mumbai will be approximately Rs 69,000/- inclusive of lease rental The officers are required to make 10% of their basic pay as contribution to Provident Fund and the Bank also makes matching contribution to the Employees Provident Fund The new entrants will be governed by the Defined Contribution Pension Scheme/New Pension Scheme, where each employee is required to contribute 10% of Basic Pay and D.A towards pension scheme and Bank also makes matching contribution PERQUISITES for SBI PO : (1) Leased accommodation ranging from Rs 8,000/- in ‘C’ category Centres to Rs 29,500/- in Mumbai Centre (2) Medical Aid for self (100%) and for family (75%) (3) Home Travel Concession/ Leave Fare Concession (4) Concessional interest rates for Housing/Car/Personal Loans Page | 9     www.bankpo.laqshya.in | Mumbai For Private Circulation Only | Not For Sale www.bankpo.laqshya.in Banking Industry & Bank Jobs     NOTE : The applicants should not get confused by the amount of Salary shown by SBI as Rs 70, 000/- pm as it includes the prerequisite of Leased Accommodation to the extent of Rs 29000 in Mumbai This is not cash component but a facility to get a house in Mumbai if you are posted there Basically, the salary difference between SBI and other PS Banks is that of increments i.e Starting Basic Pay will be Rs 16900/- in SBI, whereas in other PS Banks it is Rs.145000/- (Rs.2400/- more as basic in SBI) The difference becomes bigger as DA is payable on this basic pay This also works out to be about Rs2400/- Thus, starting salary in SBI is about Rs 4800/- more than other PS Banks The above article is a simple informative to understand a banks salary structure for a probationary officer or clerk For exact details the candidate can contact directly to the bank through the official websites : http://www.ibps.in and http://www.sbi.co.in Thanks and all the best (Y) Page | 10     www.bankpo.laqshya.in | Mumbai For Private Circulation Only | Not For Sale [...]...www .bankpo. laqshya.in Banking Industry & Bank Jobs     (c) Thus, we can say the salary cash component of Bank PO in Public Sector banks is around Rs 31,000 pm whereas in SBI, the initial cash component salary of SBI PO is around Rs35000/-pm Other Perks & Allowances : There are number of other perks available to Bank officers and these vary from bank to bank, and even the amount... from bank to bank SBI gives more perks than all other nationalized banks Some of the perks available to Bank officers are :(a) Leased Accommodation : As mentioned above this facility is available to Bank officers in lieu of HRA At some stations, some banks may offer official bank accommodation in lieu of leased accommodation / bank quarters The lease amount vary from bank to bank and place of postings... from Rs 8,000/- in ‘C’ category Centres to Rs 29,500/- in Mumbai Centre (2) Medical Aid for self (100%) and for family (75%) (3) Home Travel Concession/ Leave Fare Concession (4) Concessional interest rates for Housing/Car/Personal Loans Page | 9     www .bankpo. laqshya.in | Mumbai For Private Circulation Only | Not For Sale www .bankpo. laqshya.in Banking Industry & Bank Jobs     NOTE : The applicants should... (Rs.2400/- more as basic in SBI) The difference becomes bigger as DA is payable on this basic pay This also works out to be about Rs2400/- Thus, starting salary in SBI is about Rs 4800/- more than other PS Banks The above article is a simple informative to understand a banks salary structure for a probationary officer or clerk For exact details the candidate can contact directly to the bank through the official... by most of the banks (e) Coverage under New Pension Scheme Salary of PO in State Bank of India / PO Salary in SBI : • • • • • In SBI, the starting basic pay is Rs 16,900/- (with 4 increments) in the scale of Rs 14500600/7-18700-700/ 2-20100-800/7-25700 applicable to Junior Management Grade Scale I The official will also be eligible for D.A., H.R.A & C.C.A as per rules in force from time to time At present... required to make 10% of their basic pay as contribution to Provident Fund and the Bank also makes matching contribution to the Employees Provident Fund The new entrants will be governed by the Defined Contribution Pension Scheme/New Pension Scheme, where each employee is required to contribute 10% of Basic Pay and D.A towards pension scheme and Bank also makes matching contribution PERQUISITES for SBI PO. .. of Salary shown by SBI as Rs 70, 000/- pm as it includes the prerequisite of Leased Accommodation to the extent of Rs 29000 in Mumbai This is not cash component but a facility to get a house in Mumbai if you are posted there Basically, the salary difference between SBI and other PS Banks is that of 4 increments i.e Starting Basic Pay will be Rs 16900/- in SBI, whereas in other PS Banks it is Rs.145000/-... probationary officer or clerk For exact details the candidate can contact directly to the bank through the official websites : http://www .ibps. in and http://www .sbi. co.in Thanks and all the best (Y) Page | 10     www .bankpo. laqshya.in | Mumbai For Private Circulation Only | Not For Sale ... this amount is not available as cash component and will directly go to the house owner - those house you have got leased (b)Travelling Allowance : Some banks allow fixed Travelling Allowance whereas others allow reimbursement of petrol bills i.e officer must own scooter / car at the place of posting (c) Newspaper Reimbursement : A fixed monthly amount is paid towards the cost of one newspaper (d) Medical