Bank CSP stands for "Bank Customer Service Point". It is a model adopted by banks in India to provide basic banking services to customers in remote and rural areas where conventional banking infrastructure is inadequate or non-existent.
Under the CSP model, banks appoint agents or business representatives (BCs) to act as their representatives and provide banking services on their behalf to customers. These agents are usually local individuals or bank-authorized companies who provide basic banking services such as account opening, deposits and withdrawals, balance enquiries, fund transfers and bill payments.
The CSP model is an important initiative in India's financial inclusion program, which aims to provide banking services to all citizens, especially those living in disadvantaged and remote areas. This model helped expand banking services to previously unbanked areas, helping people access proper financial services and improving financial literacy.
