Overview: Shadow Savings Bank

Shadow Savings Bank is a digital platform that acts as a bridge between farmers and employers. The bank’s mission is to provide employment opportunities to farmers based on their skills and to connect employers with suitable farmers according to their needs.

Through Shadow Savings Bank:

  • Farmers will have regular work and income opportunities.
  • Employers will be able to easily find qualified and hardworking farmers for their tasks.

In Shadow Savings Bank, farmers can directly request payment from the "Manager" after completing their work. In this process, the Manager will pay the farmer for their earnings, and then later collect that amount from the employer.

This system aims to ensure that farmers receive timely payment so they can fulfill their needs without delay. The Manager will contact the employer later to collect the payment, making the bank’s services simple and reliable.

In Shadow Savings Bank, the Manager charges farmers based on their earnings as follows:

  • For earnings of ₹300:

    • ₹20 will be taken as a service fee, out of which:
      • ₹5 will go to the Manager.
      • ₹14 will be secured for company investment.
      • ₹1 will be set aside for future use.

  • For earnings of ₹600:

    • ₹40 will be taken as a service fee, out of which:
      • ₹10 will go to the Manager.
      • ₹28 will be secured for company investment.
      • ₹2 will be set aside for future use.

In Shadow Savings Bank, the amount set aside for future use will only be given as a reward to those farmers who receive the highest ratings.

Process:

Each ₹1 set aside for future use will be distributed among the top-rated farmers.
Three farmers with the highest ratings will be considered "winners," and only these three farmers will receive this additional incentive.

This incentivizes farmers to improve their work quality and promotes excellence within the bank.

Rating System:

Shadow Savings Bank follows a specific procedure to make the rating system attractive:

Rating Process:

  1. Each farmer can request a rating from their employer.
  2. If the employer is satisfied with the work, they can provide a rating.
  3. The employer must have a registered account with Shadow Savings Bank to give a rating.
  4. The rating option is only available if both the employer and the farmer have linked accounts with the bank.

Winner Selection and Reward:

  • Every month, winners will be selected based on ratings.
  • The highest-rated farmers will be declared winners by Shadow Savings Bank each month.
  • Winners will receive a reward of ₹1,000 or more based on their rating performance as an incentive from Shadow Savings Bank.

Manager's Commission:

After receiving the reward, each winning farmer will give 1% of the prize amount to the Manager as a commission for their services. This commission is a token of appreciation for the Manager’s efforts and support.

This encourages farmers to improve their ratings, enhances employers’ experience, and rewards Managers for their contribution.

Investment System

Shadow Savings Bank’s investment system is open to everyone, including non-farmers. Anyone can invest any amount, ranging from ₹2,000 to ₹3,00,000 or more.

Investment Process:

  1. Investors can deposit their amount directly into their Shadow Savings Bank account.
  2. Once the investment amount is deposited, it will become active after one month. After this period, the interest rate will begin to accrue on the investment, yielding higher returns.

Withdrawal:

  • After investment, investors can withdraw their interest amount as they wish.
  • The withdrawal amount will be processed within 24 hours.
  • All withdrawals will be managed by the Manager, and investors can receive their withdrawal amount directly from the Manager.

This process provides investors a safe and straightforward way to receive returns on their investments, assisting in their financial growth.

All investment and withdrawal amounts handled by the Manager will be recorded in the Manager’s account book, detailing each client’s (farmer or other investor) account information for record-keeping.

Process:

  1. The Manager must maintain detailed records of each investor, withdrawal amount, and transaction in their account book.
  2. This book will be regularly updated and submitted to the company for inspection whenever required.

This ensures that the company has a transparent record of all transactions and investments.

Distribution of Investment Profits

In Shadow Savings Bank, profits from investments are distributed as follows:

  • 7% of the total profit goes to the Manager as compensation for investment management and operations.
  • 25% of the total profit goes to the farmers, helping them gain income from the returns on investment.

This distribution benefits both Managers and farmers, encouraging investment while providing growth opportunities to investors.

According to Shadow Savings Bank’s investment rules, the initial investment amount must remain in the account for the first month. During this period, no transaction or withdrawal will be allowed, ensuring stability of the investment before profit accrual.

Early Withdrawal Option:

Investment amounts can be withdrawn within the first month if the investor needs their funds. However, in this case, no profit will be accrued, as profits begin only after one month.

This flexibility allows investors to manage their funds as needed.

AePS (Aadhaar Enabled Payment System) Services

The Manager at Shadow Savings Bank also has the facility of AePS services.

Benefits of AePS:

  1. Aadhaar-Based Transactions: Customers can use their Aadhaar card to access banking services such as cash withdrawal, balance check, and mini statements.
  2. Accessibility: This service is especially beneficial for customers in rural and remote areas who may not have access to a bank branch. They can easily access these services through the Manager.
  3. Security and Trust: Aadhaar-based transactions provide customers with security and ease, making banking processes simple and transparent.

With AePS, Shadow Savings Bank provides customers additional services through the Manager, simplifying their banking needs.

Fraud Prevention

It is impossible for the Manager to commit any fraud at Shadow Savings Bank. The bank’s operating process ensures the highest levels of transparency and security so that all transactions and investments remain safe.

Fraud Prevention Measures:

  1. Strict Monitoring and Audits: The bank’s audit system regularly monitors all transactions conducted by the Manager. Every transaction is recorded in the bank’s central database, making it easy to detect any irregularities immediately.

  2. AePS-Based Authentication: Transactions are only possible with valid biometric or OTP authentication, eliminating the risk of unauthorized access or fraud.

  3. Transaction Registration: The Manager is required to keep an accurate record of all transactions and investments in a register book, which is periodically reported to the bank. This ensures complete transparency.

  4. Robust Monitoring System: The bank has a specialized monitoring system that oversees all Manager activities. This system promptly alerts any suspicious transactions or unusual activities.

With all these precautions in place, it is impossible for the Manager to commit any type of fraud. The bank's policies and security system prioritize the safety and reliability of customers' investments.