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Business Correspondent (BC): How to Earn Steady Income From Your Village or Small Town

By YoursPay Editorial · Updated 2026-07-15 · 7 min read
Business Correspondent at work offering banking services in a village

A Business Correspondent (BC) is a person or entity authorised by a bank or NBFC to offer basic banking services on their behalf. It's one of the most rewarding self-employment options in semi-urban and rural Tamil Nadu — a small setup can support a family entirely from commission income.

The BC Model Explained

The Reserve Bank of India introduced the BC framework in 2006 to extend banking to under-served areas. A BC acts as the last-mile touchpoint: cash withdrawal, deposit, small savings, remittance, insurance sales and government scheme disbursals.

What Services You Offer

Full list on the YoursPay BC Program page.

How Much Can You Earn?

In a village with ~500 households and no bank branch within 5km, a well-run BC point comfortably earns ₹18,000 – ₹40,000/month. Semi-urban Tamil Nadu locations often exceed ₹50,000/month.

Who Should Apply

Setup Cost

One-time: biometric device + laptop or smartphone + branding = ₹8,000 – ₹15,000. Monthly recurring: internet + electricity + rent (if separate premises).

Application Process at YoursPay

Enquire via the BC Program page. YoursPay verifies your KYC, area viability and provides training + onboarding within 5-7 working days.

Frequently Asked Questions

Do I need a shop or can I operate from home?

Home operation is allowed for BC points, especially in rural areas. A visible signage and fixed hours help build customer trust.

Is the BC role only for rural areas?

No. BCs operate everywhere including semi-urban and urban low-income areas.

How is BC different from a Retailer ID?

A Retailer ID typically focuses on smaller transactions (recharge, bill pay). A BC has a broader mandate including account opening and insurance. YoursPay lets partners upgrade from Retailer to BC as volumes grow.

Talk to a YoursPay advisor — visit our Hasthampatti head office in Salem or call +91 98945 76238. First consultation is always free.

Ready to Take the Next Step?

Whether it's a loan, a savings plan or a partnership — our Salem team is a call away.