Srinagar, Oct 23: Jammu and Kashmir Bank has signed a Memorandum of Understanding (MoU) with the Government of Jammu and Kashmir to provide customised banking services and preferential financial benefits to permanent government employees.
The agreement reinforces the bank’s preferred banker status and introduces enhanced insurance protection, concessional lending facilities and a range of banking benefits for employees and their families.
The MoU was signed in the presence of Financial Commissioner (Additional Chief Secretary), Finance Department, Shailendra Kumar (IAS), and J&K Bank MD and CEO Amitava Chatterjee.
Chief General Manager (Credit) Ashutosh Sareen signed the agreement on behalf of J&K Bank, while Director General (Resources), Finance Department, Mohd Youqub Ittoo, signed on behalf of the government. J&K Bank Chief General Manager Imtiyaz Ahmad Bhat, Finance Department Director (Resources) Mazhar Hussain Khan and other senior officials were also present.
Speaking on the occasion, Kumar said the welfare of government employees and the financial security of their families remained a priority for the government.
“The agreement brings meaningful benefits through enhanced insurance protection, preferential credit facilities and convenient banking services,” he said, adding that the increase in accident insurance cover would provide stronger financial protection to families in difficult circumstances.
Chatterjee said the agreement reflected the longstanding relationship between J&K Bank and the government, built on mutual trust and a shared commitment to serving the people.
“The enhanced insurance protection, together with customised banking and credit facilities, reflects our commitment to delivering greater value to this important relationship,” he said.
A key feature of the five-year agreement is the enhancement of group personal accident insurance cover from Rs 25 lakh to Rs 1 crore. The package also includes air accident insurance cover of Rs 1.35 crore, permanent total disability cover of Rs 75 lakh and permanent partial disability cover of Rs 55 lakh.
Additional benefits include higher education assistance of Rs 8 lakh for a male child and Rs 10 lakh for a girl child in the event of the insured employee’s death. The package also provides girl child marriage assistance of up to Rs 10 lakh and air ambulance cover of Rs 10 lakh, subject to applicable terms and conditions.
Under the banking package, eligible employees will receive zero-balance accounts, free international debit cards with spouse add-on cards, lifetime-free RuPay credit cards and a 25-basis-point concession on applicable personal loan interest rates, subject to the prescribed benchmark floor.
Processing fees on personal, automobile, housing and education loans for permanent government employees will also be waived.
Other facilities include overdrafts of up to Rs 6 lakh, capped at a maximum of six months’ salary, and collateral-free education loans of up to Rs 10 lakh for employees’ children. Eligible employees can also avail themselves of 100 per cent financing for new cars and two-wheelers, along with housing repair and renovation loans of up to Rs 10 lakh without a property mortgage, against a negative lien.
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