Is It Really Necessary to Share Bank Details Before Getting an Offer Letter?

I got selected by a company that handles all its hiring and HR-related tasks through another company. I was considering creating a separate salary account after receiving the offer letter, but the hiring company says they need bank details such as IFSC, account number, and bank name to process the offer letter. Without that information, they can't proceed with the offer!

My Question: Is it necessary to provide bank details for processing an offer letter?

Sharing of bank details depends on the company. Every company asks for bank details, but it is usually collected only after a candidate's onboarding process in the company. It seems unusual that your company requests this information solely for processing your offer letter.

Hi, Bank details are normally collected from new employees on their first day of joining. However, there is no issue with providing the bank details before joining.

Interview Precautions with Outsourced Recruiters

1. Today, many outsourced individuals are conducting interviews for companies at undisclosed locations.

2. If you have received a letter to attend the interview, please bring copies with you. Provide a copy only to the company and do not part with the original letter. Many individuals take the original and inadvertently forget to make a copy.

3. They do not disclose which company has engaged them for recruitment.

4. After the interview and upon receiving an appointment with the company, you must first obtain a letter of appointment from the company.

5. Only after joining the company and commencing your duties should you officially submit your bank details.

6. Do not provide any bank details to outsourced individuals unless there is a written request from them accompanied by an official letter of appointment from the company.

7. Only disclose information after you have physically entered a company's premises and completed the necessary procedures.

8. If you intend to open a new account, inform them that you will do so only after being appointed and after a week of starting your duties at the company.

Exercise Caution Against Deceptive Practices

9. Nowadays, many fictitious activities occur. Some businesses operate from residential premises, while others conduct their operations in corporate buildings where the security is instructed not to allow anyone inside. In such situations, you may fall victim to deception, as the building's security may collude with the establishment within. Therefore, exercise caution.

Be vigilant.

A bank account is not a part of processing the appointment letter. So, don't provide any details beforehand without having a written agreement of employment or a Letter of Employment, and only after joining the company. In simple terms, don't marry by photograph. Marry a physical human to be a spouse, not a proxy.

As others have said, don't be too quick to hand over bank details to unknown companies. Fraud is rampant all over the world. If you must hand over details, then follow your gut instinct and open a new bank account with a minimal deposit. That way, if anything does go wrong, you will not lose more than a few rupees. Once you start work and establish yourself in the new company, then you can redirect your salary back to your normal bank account.

The bottom line
Never ever hand over your bank details without a thorough investigation of the situation first. Once you make a mistake, it is almost impossible to recover from it.

You may provide the details requested, excluding the bank details, and mention that these will be furnished at the time of onboarding.