NEW DELHI: The Indian Army and HDFC Bank on Tuesday signed a Memorandum of Undertaking (MoU) on the Defence Salary Package. The current MoU is tailor-made to suit the requirements of serving soldiers, pensioners and families.
Under the current MoU apart from other benefits the Army personnel will get free personal accident death cover and free permanent disability cover of Rs 30 lakhs, free educational cover of upto Rs 1 Lakh per year for four years for education of dependent child in case of accidental death of defence personnel and 100 per cent processing fees waived for Car Loans and Personal Loans.
The signing in ceremony was chaired by the Director General (MP&PS), Lt Gen S K Saini and was attended by the top dignitaries of HDFC Bank headed by Ms Smita Bhagat, Head Government Business and Branch Banking.
Earlier in 2011, the first MoU between HDFC Bank and the Indian Army was signed which was renewed on March 13, 2015.
Currently, Indian Army has MoUs on Defence Salary Package with 11 public and private sector banks. MoUs are considered for inception and renewal with banks on analyzing their utility and suitability to the requirements of serving soldiers, pensioners and families.
The Army is hoping that this MoU will benefit a large number of serving and retired Army personnel who are having their accounts with HDFC bank. It will also provide them an opportunity to access modern banking facilities.