Mumbai: Non-banking finance company Muthoot Finance Monday said it has entered into an agreement with Yes Bank to act as its business correspondent.
Muthoot Finance would now offer services of Yes bank to the public through the bank's 4,256 branches spread across the country.
"Through this arrangement we have leaped another step forward towards achieving our goal of taking financial services to the door steps of every citizen," George Alexander Muthoot, managing director, Muthoot Finance said in a statement.
Muthoot Finance would be the first NBFC to enter into the business correspondent segment after the Reserve Bank revised its regulations.
Earlier, banks were not allowed to appoint NBFCs to act as their business correspondents.
In June last year the RBI permitted banks to appoint non deposit taking NBFCs as their business correspondents.