A

PROJECT REPORT
ON

“A STUDY OF PERSONAL BANKING OF HDFC BANK ”

SUBMITTED FOR

THE PARTIAL FULFILLMENT OF

MASTER OF BUSINESS ADMINISTRATION

SUBMITTED BY

SHRUTI SHUKLA
M.B.A. (IV Semester)

Under the Guidance Of:

PROF. P.K. PATAK

H.O.D.

FROM

MILLENNIUM INSTITUTE OF TECH. & SCIENCE

BARKATULLAH UNIVERSITY, BHOPAL

YEAR 2010

1
 PREFACE

The research provides an opportunity to a student to demonstrate application of

his/her knowledge. Skill and competencies required during the technical session.
Research also helps the student to devote his /her skill to analyze the problem to
suggest alternative solution, to evaluate them and to provide feasible
recommendations on the provided data.

Although I have tried my level best to prepare this report an error free report every
effort has been made to offer the most authenticate position with accuracy.

2
 DECLARATION

I, SHRUTI SHUKLA Student of M.B.A. IV Sem(Finance) from Millennium

Institute of Tech.& Science, Bhopal, declare that the project work entitled “ A
STUDY OF PERSONAL BANKING OF HDFC BANK ” Was carried by me in
the partial fulfillment of MBA program under theUniversity of Bhopal.

This project was undertaken as a part of academic curriculum according to the

University rules and norms and it has not commercial interest and motive. It is my
original work. It is not submitted to any other organization for any other purpose.

DATE :

PLACE: BHOPAL

SHRUTI SHUKLA
MBA (IV Semester)

3
 ACKNOWLEDGEMENT

It gives me immense pleasure to present this project report on A STUDY OF

PERSONAL BANKING OF HHDFC BANK carried out in partial fulfillment of
post-graduate course M.B.A.

I take this opportunity to place on record my grateful thanks and gratitude to all
those who gave me valuable advice and inputs for my study. My study could not
have been completed if I had not been able to get the reference materials from the
company.

I would be failing in my duty if I do not express my deep sense of gratitude to

Prof. P.K. PATAK (H.O.D.) without his guidance it wouldn’t have been possible
for me to complete this project work.

Lastly I would like to thank my parents, friends and well wishers who
encouraged me to do this research work and all those who contributed directly or
indirectly in completing this project to whom I am obligated to.

SHRUTI SHUKLA
MBA (IV Semester)

4
 CERTIFICATE

This is to certify that the SHRUTI SHUKLA has completed project ON “ A

STUDY OF PERSONAL BANKING OF HDFC BANK “ which is based on data
collected by researcher.

This report is completed under my supervision. It is only for academic purpose and
is a bonafide work done by research.

Prof. P.K. PATAK

H.O.D.

CONTENTS
5
S.NO. TITLE PAGE NO.

1. INTODUCTION

2. PROFIL OF ORGANISATION

3. OBECTIVE OF STUDY

4. RESEARCH METHODOLOG

5. DATA COLLECTION

6. DATA ANALYSIS & INTERPRETATION

7. OBESERVATION & FINDINGS

8. CONCLUSION

9. BIBLIOGRAPHY

10. ANNEXURE

6
INTRODUCTION

7
INTRODUCTION

Banking Industry
A banking company in India has been defined in the Banking companies Act, 1949 as one
“which transacts the business of banking which means the accepting, for the purpose of lending
or investment, of deposits of money from the public, repayable on demand or otherwise and
withdrawals by cheque, draft, order or otherwise”

Banking is an important element of economy’s Indian banking system overt past few decades, it
has played very effective role in mobilization of savings of the economy, spreading in banking
habit to the furthest corner of the country and large entrepreneurial base. Indian banks have
multiplied their activities in volume, variety and geographical base to meet the growing needs of
the society. The old methods and techniques replaced by new techniques of viability need based
formation of finance schemes and marketing. Instead of working for profits, they are required to
participate in nation building activities and help in bringing socio economic change.

Banks are new centre of trade, commerce and business in a country. Banking plays a very
important role in the economic development of all nation of the world. Industrial revolution that
took place in the economic development of all nations of the world. Industrial revolution that
took place in European countries in 18th and 19th centuries would not have taken place without
the evolution of good banking system. Banking is life blood of modern commerce.

It is very important to study the concept of services as banks are categorized into service sector:
service as deeds, processes and performances. The service sector of an economy is going through
a period of almost revolutionary proportion in which established ways of doing business
continue to be shunted aside.

The banking system in India constitutes the core of the financial sector. It plays a significant role
in the process of economic growth of the country. Its efficiency and development thus are vital
for the country’s economic progress. Commercial banks are the hub of the Indian financial

8
system. Indian commercial banks are organized as the joint stock banks, both in the public sector
and private sector.

Public sector banks

Banking is one of the most important elements of economy. Indian banking system over past few
decades has played a very effective role in mobilization of savings of the economy spreading in
banking habit to the furthest corner of the country and enlarged entrepreneurial base. Indian
banks have multiplied their activities in volume variety and geographical coverage to meet the
growing needs of society, the old methods and techniques of viability growth based formation of
finance schemes of marketing. Instead of working for profits, they are required to participate in
the nation building activities and help in bringing socio-economic change.

Banking transactions carried on by any individual or firm engaged in providing financial services
to consumers, businesses or government enterprises. In the broad sense, a bank is a financial
intermediary that performs one or more of the following functions: safeguards and transfer of
funds, guarantees credit worthiness and exchange money. Such institutions as commercial banks,
central banks, organizational banks, trust companies, finance companies, life insurers and
investment bankers provide these services. A normal end mean common definition of a bank is a
financial intermediary that accepts, transfer and most important creates deposits. This includes
such deposits institutes as central banks, commercial banks, savings and loan associates and
mutual savings bank.

Banks are most frequently organized in corporate form and owned by either private individual,
government interests. Although non corporate bank that single proprietorship and partnership are
find in other countries since 1863 all federally chartered bank in the US must be corporations.
Only a few states permit formation of non corporate bank. All countries subject their banks,
however owned to government regulations and supervision, normally implemented by central
banks authorities. Bank in India should develop appropriate strategy and ensure proper
marketing strategy and mistaking into account the economic, cultural, legal and political
environment. As toady in the changes word the needs are changed as regards to bank as foreign
players.

9
Marketing concept should be followed where we talk about 4 Ps marketing tools in regards to
banks; we should include to more 2 Ps more, People and Procedures as well. An introduction of
ATM 24 hours online banking transactions etc their goal should not be of profit it should be
“growth and development with profit”

The service sector of the economy is going through a period of almost revolutionary proportions
in which established ways of doing business continue to be shunted aside. It has been said that
the only person in the world who appreciates changes is wet baby.

The service sector can be best characterized by its diversity. Service organization range in size
from huge International Corporation in such fields as airlines, banking, insurance,
telecommunications, and hotel chain and freight transportation to a vast array of locally owned
and operated small business and numerous business to business services. As currently defined by
the government statistics, services account for the two third to three quarters of the gross national
product. Not only in US but also in many other highly develop industrial nations.

In the banking and financial services business: this area comprises many different types of
businesses, commercial and retail, with a common denomination, of being in business to help
customer to make or manage money. A high level of trust is implicit and is even more critical in
the wake of the savings and loan scandals of the 1980s. The retail banking industry has found its
historic image of aloofness, a management

The public sector banks largely dominate the Indian banking industry. These banks till early 90s
were involved in the traditional banking business of deposits and credit lending. They performed
a supporting role in the overall growth of economy. While most of these banks used to focus on
growth of balance-sheet profitability was not a significant competition. In most of the banks
government has holding of 100% whereas in the few banks the state has fallen because of public
issue in the post liberalization period. Some of other leading banks in the segment also proposed
to come out with an equity issue to raise further capital.

10
 The public sector banks have a strong distribution network all over the country. But the strength
of earlier periods has now coming out with VRS to bring down number of employees and
improve their efficiency ratio.
The public sector banks still control a major share in banking operation of the country.

Private sector Banks

The banking regulation act was amended in 1993 permitting the entry of new private sector
banks. The act also specified certain criteria for establishing new private sector banks. The
criteria are as follows-

1. the banks should have a minimum net worth of Rs. 1 billion

2. The promoters holding should be minimum 25% of paid up capital.

The last decade witnessed the maturity of India’s financial markets. Since 1991, every
governments of India took major steps in reforming the financial sector of the country. The
important achievements in the following fields are achieved in following heads:

Financial Markets
In the last decade, private sector banks / institutions played an important role. They grew rapidly
in commercial banking and asset management business. With the openings in the insurance
sector for these institutions, they started making debt in the market.

Regulators
The Finance Ministry continuously formulated major policies in the field of financial sector of
the country. The Government accepted the important role of regulators. The Reserve Bank of
India (RBI) has become more independent. Opinions are also that there should be a super-
regulator for the financial services sector instead of multiplicity of regulators.

The banking system

11
Almost 80% of the business is still controlled by the Public Sector Banks (PSBs). PSB are still
dominating the commercial banking system. Shares of the leading PSBs are already listed on the
stock exchanges.

The RBI has given licenses to new private sector banks as part of the liberalization process. The
RBI has also been granting licenses to industrial houses. Many banks are successfully running in
the consumer segments, industrial finance, retail trade, small business and agriculture finances.

Overall approach to reforms

The last ten years have seen major improvements in the working of various financial market
participants. The government and the regulatory authorities followed the step by step approach,
not a bang one. The entry of foreign banks has assisted in the introduction of international
practices and systems. On the whole, the cumulative effect of the developments since 1991 has
been quite encouraging.

Deregulation of Banking System

In order to reach the stipulated capital adequacy norms, substantial capital were provided by the
Government and RBI.

Government pre-emption of banks’ resources through statutory liquidity ratio (SLR) and cash
reserve ratio (CRR) brought down in steps. Interest rates on the deposits and lending sides almost
entirely were deregulated.

New private sector banks allowed promoting and encouraging competition. PSBs were
encouraged to approach the public for raising resources. Recovery of debts due to banks and the
Financial Institutions Act 1993 were passed, and special recovery tribunals set up to facilitate
quicker recovery of loan arrears.

Consolidation imperative
Another aspect of the financial sector reforms in India is the consolidation of existing institutions
which is especially applicable to the commercial banks. In India the banks are huge quantity.

12
First, there is no need for 27 PSBs with branches all over India. A number of them can be
merged. The merger of Punjab National Bank and New Bank of India was difficult one, but the
situation is different now. No one expected so many employees to take voluntary retirement from
PSBs, which at one time were much sought after jobs. Private sector banks will be self
consolidated while co-operative and rural banks will encouraged for consolidation, and anyway
play only a niche role

Global Competencies
The progress and growth of Indian banking sector is in the line with the twin objective of
financial stability and growth. Banking in India has increased its size by capitalizing on all the
business opportunity available. The capital adequacy ratio of Indian banks has increased and is
now in a much better position in relation to the other emerging market economies. The ratio is
well in line with the proposed new Basel norms. Several banks raised capital and some more
banks are on the way.

Guidelines and Governance

Meeting capital adequacy norms in the recent times gained importance with the deadline for the
implementation of Basel II Accord approaching closer. The average Capital Adequacy Ratio
(CAR) of Indian banks stood at 12.8% at March 31, 2005, much above the prescribed norms. In
order to enhance capital adequacy ratio, seven banks including ICICI bank and Punjab National
bank, have raised capital in primary markets to the tune of Rs.12, 000 crores during the year
2005. it has been decided that banks which have maintained capital at least 9% of the risk
weighted assets for both credit risk and market risks of both ‘Held For Trade’(HFT) and
‘Available For Sale’(AFT) categories as on March 31, 2006, would be permitted to treat the
entire balance in the Investment Fluctuation Reserve as tier-I capital. This will help banks to
enhance their CAR. Reserve bank Of India (RBI) has given guidelines to have minimum net
worth of Rs. 300 crores for private banks.

New guidelines have been introduced in the Indian banking system to measure up to the
international banking practices. The Indian Bankers Association (IBA) has come up with ‘Fair
Practices Code’ to improve corporate governance. Banks in India should now explicitly state

13
their governance philosophy in their Annual Reports as part of ‘Notes on Accounts’ to their
balance sheets. Risk based supervision was introduced in some selected banks. Guidelines have
been issued to banks not to outsource core-banking functions.

Emphasis has been placed on the role of bank boards. In a move to give freedom in the
functioning of private banks, RBI has withdrawn its nominee directors from almost all the
private sector banks. Amendments have also been proposed to remove the provisions of having
nominated officers of RBI in public sector banks in order to bring their functioning at par with
private banks.

Government’s shareholding in several Public Sector Banks (PSBs) reached close to 51%. To
continue government’s stipulated minimum shareholding in PSBs, the finance ministry asked the
RBI to come up with the guidelines on ‘hybrid’ instruments, which can be treated as capital.

Performance
The year 2005 has been good for the Indian banking. There was robust growth in credit flow
during the year. Credit deposit ratio increased by more than 10% and substantial part of the
bank’s commercial credit went to large borrowers at sub-PLR rates. Government wants to further
push up the loan to GDP ratio from 43% to 50%. The most significant jump in credit was to real
estate sector. Credit to agriculture has been in line with the government’s objective of doubling
its credit in the coming five years.
The banking industry has managed to improve its operating profit ratio by reducing its operating
costs/staff expenses. The asset quality in Indian banking sector has shown considerable
improvement. The gross Non Performing Assets (NPAs) to advances ratio for the sector declined
to 5% in FY05 from 16% in FY97

The Indian banking has improved efficiency in its operations. Cost to income has come down.
Interest income of the entire banking sector has increased. The return on assets of the foreign
banks have been highest, followed by the private sector banks. Revenue sources of banks been
diversified. They have entered into the business of selling third-party products to increase their
income. Banks are trying to increase fee-based income as interest income continues to be under

14
pressure and profits from tradi8ng keep declining. Investments in Statutory Liquidity Ratio
(SLR) securities of banks have declined; however, the ratio is in excess of the statutory limit.
RBI reduced the reverse repo rate during the year to direct the funds to the needed areas. Most of
the investments held by private sector banks were in the maturity bucket of a less than a year
while the public sector banks’ investments were ranging from one-year to five-year maturity
buckets.

At the same time, technological development in the sector helped the banks in diversifying their
business activities to offer different services to customers. Introduction of core banking solutions
has enabled the banks to segregate the credit sourcing (front office) and appraisal (back office)
functions. Many banks will aggressively position themselves on an end-to-end solution. The total
Real Time Gross Settlement (RTGS) transactions increased from 1,91,792 in March 2005 to
3,84,176 in September 2005.

Merger and Acquisitions

The banking industry saw some consolidation during the year. There was the reverse merger of
IDBI with IDBI Bank, and Centurion Bank of Punjab was created through the merger of Bank of
Punjab with centurion Bank and again Centurion bank of Punjab merger with HDFC Bank.

SBI has a network of 60 overseas offices spread over 29 countries. The bank has acquired 76%
stake worth $6 million in closely held PT Bank IndoMonex, securing a foothold in Indonesia,
and a similar stake in Kenya’s Giro Commercial Bank ltd. In February 2005, it acquired a 51%
of the Mauritius based Indian Ocean International Bank Ltd. And it also gained permission to set
up branches in Saudi Arabia. It has also merged its subsidiary- IndoNigerian Bank-with a local
bank, Nal Bank. The SBI has also stated to start its retail business in Shanghai later this year.

ICICI Bank in a span of just four years has emerged as retail banking behemoth. The bank in
order to increase its presence overseas has acquired a Russian bank, InvestitsionnoKredimy
Bank, also aims to take advantage of increased presence of the Indian corporates in Russia and
South Africa. The bank is also planning to make Bahrain its hub especially for trading in

15
commodities. It has emerged as the largest seller of bad loans to the Asset Reconstruction
Company of India.

Punjab National Bank will shortly be converting its representative offices in London into a
subsidiary unit. PNB is in the process of initiating internal discussions to plan and identify
acquisition of banks overseas. PNB has targeted to disburse loans to the tune of Rs. 8,000 crores
in retail segment by the end of this fiscal as against the total retail loan disbursement of Rs. 6,500
crores during the last fiscal.

Way forward
The future of banking sector looks bright. A few more Indian banks are interested in starting
overseas operations, either by starting by starting their representative offices of by the opening
branches abroad. Till October 2005, 14 Indian banks had overseas operations spread across 42
countries. Apart from global expansion, banks will also augment their domestic lending to
agriculture as per the government directions. Banks started designing new programs such as ‘No
frills’ accounts to reach a large number of customers in rural areas where they can maintain zero
balance. Several banks have already started this ‘no frills’ accounts.

As more and more infrastructure projects are expected to come up, banks will find themselves
increasingly invested in that sector. The share of equity as funding route for companies is bound
to grow as capital market looks growing and number of new public offerings are rising. Banking
sector is expected to raise the funds to the tune of Rs. 600 billion over the next five years to push
up the loans to GDP ratio. Several banks including Central Bank, Union Bank, Bank of India and
South Indian Bank plan to hit the primary market to comply with capital requirement norms.
Dena Bank that raised the capital last year is expected to hit the capital market again this year.

The increase in ratios such as Credit Deposit Ratio and Capital Adequacy Ratio and decrease in
Gross NPAs to deposits indicate that banks would improve their financial position in future. As
economy is set to grow at a healthy rate, more and more infrastructure development is set to take
place, and Indian banking sector is expected to play an important role in the same.

16
History
The origin of modern banking in India dates back to 1770 when the first joint-stock bank, named
Hindustan Bank, was started by the English Agency House of Alexander & Co. Calcutta. The
bank was, however wound up in 1832.

The real growth of modern commercial banking began in the country when the government was
awakened to the need for banks in 1806 with establishment of the first Presidency bank, called
the Bank of Bengal, in Calcutta in that year. Then followed the establishment of two other
Presidency Banks, namely the Bank of Bombay in 1840 and the Bank of Madras in 1843. to each
of these banks, the government had subscribed Rs. 3 lakhs to their share capital.

These three Presidency Banks continued till 1920. In 1921 they were amalgamated into the
Imperial Bank of India.

In 1935, the British Government in India had started a central bank called the Reserve Bank of
India as a private sector bank. After independence, eventually by passing reserve Bank of India
Act, 1949, the Reserve Bank of India was taken over by the government of India as a state
owned central bank.

After independence, the Government of India launched economic planning in the country since
1951. On July 1, 1955 the Government of India nationalized the Imperial Bank of India and
converted it into the State Bank of India. The establishment of the State Bank of India was a
pioneering attempt in introducing public sector banking in the country. Later on in 1959-60
seven subsidiary State banks were also nationalized to form the SBI group.

The SBI group has the laudable objective of bringing rural orientation in Indian banking, which
it achieved with remarkable success.

Eventually, on July 19, 1969 fourteen major Indian scheduled banks (with deposits of over Rs.50
crores) were nationalized by the government with a view to serve better the needs of

17
development of the economy in conformity with national priorities and objectives. As a result, 85
percent of the baking business in terms of deposits was brought under public control.

On April 15, 1980, six more Indian scheduled banks (with deposits of over Rs.200 crores) were
nationalized. As such, over 90 percent of the banking activity in the country is brought into the
public sector.

In short, nationalization of banks implied a bold and major economic step in the process of
banking reforms in the country. It has resulted in the evolution of public sector banking.

18
Company
Profile

19
PROFILE OF BANK

About - HDFC Bank Limited, India

The Housing Development Finance Corporation Limited (HDFC) was amongst the first to
receive an 'in-principle' approval from the Reserve Bank of India (RBI) to set up a bank in the
private sector, as part of the RBI's liberalization of the Indian Banking Industry in 1994. The
bank was incorporated in August 1994 in the name of 'HDFC Bank Limited', with its registered
office in Mumbai, India. HDFC Bank commenced operations as a Scheduled Commercial Bank
in January 1995.

Promoter
HDFC is India's premier housing finance company and enjoys an impeccable track record in
India as well as in international markets. Since its inception in 1977, the Corporation has
maintained a consistent and healthy growth in its operations to remain a market leader in
mortgages. Its outstanding loan portfolio covers well over a million dwelling units. HDFC has
developed significant expertise in retail mortgage loans to different market segments and also
has a large corporate client base for its housing related credit facilities. With its experience in the
financial markets, a strong market reputation, large shareholder base and unique consumer
franchise, HDFC was ideally positioned to promote a bank in the Indian environment.

Capital Structure
The authorized capital of HDFC Bank is Rs.450 crore (Rs.45 billion). The paid-up capital is
Rs.282 crore (Rs.28.2 billion). The HDFC Group holds 24.2% of the bank's equity while about
13.1% of the equity is held by the depository in respect of the bank's issue of American
Depository Shares (ADS/ADR Issue). The Indian Private Equity Fund, Mauritius (IPEF) and
Indocean Financial Holdings Ltd., Mauritius (IFHL) (both funds advised by J P Morgan Partners,
formerly Chase Capital Partners) together hold about 5.5% of the bank's equity. Roughly 27.5%

20
of the equity is held by FIIs, NRIs/OCBs while the balance is widely held by about 214,000
shareholders. The shares are listed on The Stock Exchange, Mumbai and the National Stock
Exchange. The bank's American Depository Shares are listed on the New York Stock Exchange
(NYSE) under the symbol "HDB".

Times Bank Amalgamation

In a milestone transaction in the Indian banking industry, TimesBank Limited (another new
private sector bank promoted by Bennett, Coleman & Co. /Times Group) was merged with
HDFC Bank Ltd., effective February 26, 2000. As per the scheme of amalgamation approved by
the shareholders of both banks and the Reserve Bank of India, shareholders of TimesBank
received 1 share of HDFC Bank for every 5.75 shares of TimesBank. The amalgamation added
significant value to HDFC Bank in terms of increased branch network, expanded geographic
reach, enhanced customer base, skilled manpower and the opportunity to cross-sell and leverage
alternative delivery channels.

Distribution Network
HDFC Bank is headquartered in Mumbai. The Bank at present has an enviable network of over
468 branches spread over 212 cities across the country. All branches are linked on an online real-
time basis. Customers in 90 locations are also serviced through Phone Banking. The Bank's
expansion plans take into account the need to have a presence in all major industrial and
commercial centres where its corporate customers are located as well as the need to build a
strong retail customer base for both deposits and loan products. Being a clearing/settlement bank
to various leading stock exchanges, the Bank has branches in the centres where the NSE/BSE has
a strong and active member base. The Bank also has a network of over 1054 networked ATMs
across these cities. Moreover, HDFC Bank's ATM network can be accessed by all domestic and
international Visa/MasterCard, Visa Electron/Maestro, Plus/Cirrus and American Express
Credit/Charge cardholders.

Management
Mr. Jagdish Capoor took over as the bank's Chairman in July 2001. Prior to this, Mr. Capoor was
a Deputy Governor of the Reserve Bank of India.

21
The Managing Director, Mr. Aditya Puri, has been a professional banker for over 25 years and
before joining HDFC Bank in 1994 was heading Citibank's operations in Malaysia.

The Bank's Board of Directors is composed of eminent individuals with a wealth of experience
in public policy, administration, industry and commercial banking. Senior executives
representing HDFC are also on the Board.

Senior banking professionals with substantial experience in India and abroad head various
businesses and functions and report to the Managing Director. Given the professional expertise
of the management team and the overall focus on recruiting and retaining the best talent in the
industry, the bank believes that its people are a significant competitive strength.

Technology
HDFC Bank operates in a highly automated environment in terms of information technology and
communication systems. The entire bank's branches have connectivity which enables the bank to
offer speedy funds transfer facilities to its customers. Multi-branch access is also provided to
retail customers through the branch network and Automated Teller Machines (ATMs).

The Bank has made substantial efforts and investments in acquiring the best technology available
internationally to build the infrastructure for a world-class bank. In terms of software, the
Corporate Banking business is supported by Flex cube, while the Retail Banking business by Fin
ware, both from i-flex Solutions Ltd. The systems are open, scaleable and web-enabled.

The Bank has prioritized its engagement in technology and the internet as one of its key goals
and has already made significant progress in web-enabling its core businesses. In each of its
businesses, the Bank has succeeded in leveraging its market position, expertise and technology to
create a competitive advantage and build market share.

Rating
HDFC Bank has its deposit programmes rated by two rating agencies - Credit Analysis &
Research Limited (CARE) and Fitch Ratings India Pvt. Ltd. The Bank's Fixed Deposit

22
 programme has been rated 'CARE AAA (FD)' [Triple A] by CARE, which represents
instruments considered to be "of the best quality, carrying negligible investment risk". CARE has
also rated the Bank's Certificate of Deposit (CD) programme "PR 1+" which represents "superior
capacity for repayment of short term promissory obligations". Fitch Ratings India Pvt. Ltd.
(100% subsidiary of Fitch Inc.) has assigned the "tAAA (ind)" rating to the Bank's deposit
programme, with the outlook on the rating as "stable". This rating indicates "highest credit
quality" where "protection factors are very high". HDFC Bank also has its long-term unsecured,
subordinated (Tier-II) Bonds rated by CARE and Fitch Ratings India Pvt. Ltd. CARE has
assigned the rating of "CARE AAA" for the Tier-II Bonds while Fitch Ratings India Pvt. Ltd.
has assigned the rating "AAA (ind)" with the outlook on the rating as "stable". In each case
referred to above, the ratings awarded were the highest assigned by the rating agency for those
instruments?

Product scope:
HDFC Bank offers a bunch of products and services to meet the every need of the people. The
company cares for both, individuals as well as corporate and small and medium enterprises. For
individuals, the company has a range accounts, investment, and pension scheme, different types
of loans and cards that assist the customers. The customers can choose the suitable one from a
range of products which will suit their life-stage and needs. For organizations the company has a
host of customized solutions that range from Funded services, Non-funded services, Value
addition services, Mutual fund etc. These affordable plans apart from providing long term value
to the employees help in enhancing goodwill of the company. The products of the company are
categorized into various sections which are as follows:
 Accounts and deposits.
 Loans.
 Investments and Insurance.
 Forex and payment services.
 Cards.
 Customer center.

23
 ACCOUNTS & DEPOSITS

Banking should be effortless. With HDFC Bank, the efforts are rewarding. No matter what a
customer's need and occupational status, we have a range of solutions that are second to none.

Whether you're employed in a company and need a simple Savings account or run your own
business and require a robust banking partner, HDFC Bank not only has the perfect solution for
you, but also can recommend products that can augment your planning for the future.

Saving Account:
These Accounts are primarily meant to inculcate a sense of saving for the future, accumulating
funds over a period of time. Whatever your occupation, we are confident that you will find the
perfect banking solution. Open an account in your name or register for one jointly with a family
member today.

Regular Salary

No Frills Classic

24
 REGULAR SAVINGS ACCOUNT

An easy-to-operate savings account that allows you to issue cheques, draw Demand Drafts and
withdraw cash. Check up on your balances from the comfort of your home or office through Net
Banking, Phone Banking and Mobile Banking.

Need money urgently? Withdraw cash from any of the 1200 ATM centers spread across the
country.

Features & Benefits

 Wide network of branches and over thousand ATMs to meet all your banking needs no
matter where you are located.

 Bank conveniently with facilities like Net Banking and Mobile Banking- check your
account balance, pay utility bills or stop cheque payment, through SMS.

 Never overspend- Shop using your International Debit Card that reflects the actual
balance in your savings account.

 Personalized cheques with your name printed on each cheque leaf for enhanced security.

 Take advantage of Bill Pay, an instant solution to all your frequent utility bill payments.
Instruct for payment over the phone or through the Internet.

 Avail of facilities like Safe Deposit Locker, Sweep-In and Super Saver facility on your
account.

Eligibility & Account Operation

25
The following are eligible to open a Regular Savings Account:

 Resident Individuals (sole or joint account).

 Minor below 18 yrs. (account only with guardian).

 Hindu Undivided Families.

 Trusts.

 Associations.

 Clubs or Societies.

 Foreign Nationals residing in India. If you are a Foreign National residing in India,
you may open a Savings Account by temporarily attaching an undertaking stating
sources of credit and a copy of your Residence Permit.

Account Operation

A minimum deposit of Rs. 5,000/- is required to open an account and thereafter an

Average Quarterly Amount of the same amount has to be maintained. It is mandatory to
maintain a minimum Average Quarterly Balance (AQB) of Rs. 5,000/-. If the balance
falls below Rs. 5,000/- a service charge of Rs. 750/- will be levied per quarter. If you
open a Fixed Deposit Account of Rs. 50,000/-, then you no longer have to maintain a
minimum balance of Rs. 5,000 on your Savings Account. In effect your account becomes
a Zero Balance Account.

26
 “NO FRILLS” SAVINGS ACCOUNT

In an effort to make banking simpler and more accessible for our customers, we have introduced
the 'No Frills' Savings Account, which offers you all the basic banking facilities, while you
maintain a nominal average quarterly balance of only Rs. 250! You can even avail of services
like Net Banking, Mobile banking free of cost.

Features & Benefits

 Access a wide network of branches and over a thousand ATMs across the country
to meet all your banking needs.

 Bank conveniently with facilities like Free Net Banking and Mobile Banking.

 Use the Free Electronic Funds Transfer (EFT) facility to transfer funds from your
HDFC Bank account to an account in another Bank at the locations as specified by RBI.

 Enjoy Free IVR based Phone Banking.

 Get Free Quarterly Account Statements.

 Access your account through a Free ATM Card.

 Enjoy free Cash Deposits at Branch/ATM.

 9 Free Cash withdrawals per Quarter at Branch and HDFC Bank ATMs

27
 PLUS CURRENT ACCOUNT

The Current Account is most suitable for business class people. With HDFC Bank’s current
account, one can get personalized cheque book, inter branch banking and a monthly account
statement in addition to host of other features. The Bank provides two types of current account
facilities.

a) Current Account Regular

 With minimum average balance of Rs. 10,000

 In case of non-maintenance Rs. 300 per quarter
 50 Cheques leave free

b) Current Account-Premium

 Minimum average balance Rs.25000

 In case of Non maintenance Rs.600 per quarter
 Cheque books free

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 REGULAR FIXED DEPOSIT

The bank provides the facility of fixed deposit which can be opened with minimum deposit of
Rs. 10000. All fixed deposits are cluster deposits held in units of Rs.1. The interest rate of fixed
deposits are as under:

Period Amount Interest

Rate

15 days to 29 days Below Rs. 25 lacs 5%

30 days to 60 days Below Rs. 25 lacs 7.25%
91 days to 180 days Below Rs. 25 lacs 8.00%
6 months to 1 day 1 year Below Rs. 25 lacs 8.5%
1 year 1 day to 5 years Below Rs. 25 lacs 8.5%
Saving account Below Rs. 25 lacs 4% p.a

HDFC Bank Plus:

This is a CURRENT ACCOUNT that offers you much more than just quick and reliable service.
Now one can transfer up to Rs. 50 lakhs per month free between the four metros. One can also
get cheque clearing between four metros, courier facility, phone banking and personalized
cheque book among a whole range of services all free of cost. In addition one can get cash

29
delivery, home delivery of DDs, cheque protection facility, outstation cheques clearance facility
etc.

Sweep in Account:

Features

a) Easy to operate: Money gets automatically swept into your saving account, without any
bother.
b) Operate your account through cheque or by ATM: Gives you instant access to your
deposit, whenever you need it.
c) Minimum interest loss: Since your deposits are held in units of Re.1, you only encash the
exact amount withdrawn.
d) Access your money free of cost: There are no hidden charges in the day to day
operations of your sweep in account.

e) Link Several Deposits together: Open a new deposit for Rs.5000 and it will be linked to
your sweep in account.

How does sweep in account work?

Since deposit in account holds your money in a fixed deposit in units of Re.1, every time
money is transferred from your fixed deposit to your saving account, interest loss in
minimizes further you lose 1% of normal interest on the amount transferred from your fixed
deposit. The rest of your deposit continues to earn the original rate till maturity.

There are more benefits of course, You can if you like, always open as on deposit for just
Rs.5000. Further , you can link as many deposit, the Sweep in automatically choose the
oldest deposit first before sweeping money into your savings accounts.

30
 ATM

ATM means “Automated Teller Machine” but it is popularly known as “Any Time Money” and
365 days in a year from anywhere in India. ATM’s are actually banks in themselves. In other
words, one can perform the banking operations by pushing few buttons. To withdrawal cash,
make deposit or transfer funds between account you generally insert an ATM card and enter your
personal identification number (PIN). It provides 24 hours encashment facilities to the
customers. In India there are 600 ATMs.

Advantages of ATM:

i. 24 – Hours access to cash:-You can withdraw up to Rs. 10,000/- per day on your
ATM Cards. The fast cash option saves your time by providing the cash in
denominations of Rs. 500/-
ii. Balance inquiry: - Your updated balance will appear on the screen and will also be
printed on the transaction slip.
iii. Mini- statement request:-Get details of the last 9 transactions on your account with
the mini- statement, along with your balances.
iv. Cheque book request: - Send a request for a cheque book or account statement and
it will arrive at your doorstep.
v. Funds transfer: - Transfer money from one of your accounts to another. It’s easy.
Select the account from which you want it transferred. Both accounts must be linked
to your ATM Cards and Customers ID.

31
 vi. Pin change: - You can conveniently change your PIN (given at the time of opening
your account) whenever you wish. Stay totally in control and ensure complete
security for your ATM Card.
vii. Refill your Prepaid card - If you are an HDFC Bank Account holder and a prepaid
customer, you can now refill your prepaid card with our Prepaid Refill service. Know
more. - Your cash or cheques can be deposited into your account and the ATM will
immediately print a receipt for the same.
viii. Learn about all our other products: - Simply select a product and all the
information you require will be displayed on the screen.
ix. Pay your utility bills - Pay your cellular, telephone and electricity bills through the
ATM using Bill Pay, a comprehensive bill payments solution. Know more about Bill
Pay.
x. Deposit cash or cheques - You can deposit cash or cheques into your account and
the ATM will immediately print a receipt for the same.

Global Network HDFC Bank ATMs are a part of the VISA International Plus ATM Network and
the MasterCard International Cirrus ATM Network, and can be accessed by all domestic and
international MasterCard, Cirrus or Maestro and VISA Electron cardholders for cash
withdrawals and balance inquiries. HDFC Bank have also partnered with American Express to
offer their domestic and international cardholders the benefits of cash advances from any of our
ATMs.

32
 CARDS

CREDIT CARDS:

Our range of Cards help you meet your financial objectives. So whether you are looking to add
to your buying power, conducting cashless shopping, or budgeting your expenditure, you will
find a card that suits you.

Besides arming you with unmatched spending power, our Credit Cards are designed to meet your
unique needs. Choose one that's tailored for you.

HDFC Bank has recently launched the Credit Card. Using Credit Cards you can do shopping
and need not carry large amount of money along with you. There are five types of Credit Cards
given by HDFC bank i.e. Silver, Gold, Value Plus, Health Plus and Titanium Card. But here in
Amritsar Titanium card has not yet launched. Here there are only four types of credit cards. All
these cards are lifetime cards. These credit cards are International Credit Cards.

33
 SILVER CREDIT CARD

Here the minimum limit is Rs. 10,000 and maximum is 1 lakh. Here your amount will be
withdrawn after 50days. This card also provide with 6.5 lakh accidental insurance absolutely
free. But this you will have to claim within 24 hours. The documentation required for this is id
proof, pan card etc. If the customer already has an account then the bank will fulfill all the
formalities But if the account is new then
Features & Benefits:-
 Earn while you spend
With us, money spent is money earned. For every Rs. 100 you spend, you earn 2
reward points. You can redeem these accumulated points for exciting gifts and offers
from our exclusive rewards program.
 Add on cards
Get up to 3 supplementary cards for your spouse, parents, siblings (own
brother/sister), son and/or daughter (over 18 years) and allow them to enjoy the many
benefits of a HDFC Bank International Silver Credit Card.
 Zero liability on lost card
Report your credit card loss immediately to our executives at our 24-hour call
centers. After reporting to us, you carry zero liability on any fraudulent
transactions on your card.
 Widely accepted
Accepted at over 110,000 merchant establishments across India and Nepal and
close to 18 million VISA establishments around the world.

34
 VALUE PLUS CREDIT CARD

Like the name suggests, the Value Plus Credit Card brings you added value unlike any other
card. It is a Guaranteed Cash Back card which enables you to earn up to 5% Cash Back on your
spends.
Here the minimum limit is Rs. 10,000 and maximum is 1 lakh. Here your amount will be
withdrawn after 50days. This card also provide with 6.5 lakh accidental insurance absolutely
free. But this you will have to claim within 24 hours. The documentation required for this is id
proof, pan card etc. If the customer already has an account then the bank will fulfill all the
formalities But if the account is new then

Features & Benefits:

 Cash Back Of Up to 5%
Get up to 5% of your spends as cash back on your Credit Card Statement.

Spend Categories Cash Back %

 Hospitals, Medical Stores and Railways 5%
 Groceries, Supermarket, Apparels and 2.50%
Utility Payments
 All other Category Spends 1.25%

35
 Children Future Secured
The happiness and the Well-being of your children is your most important responsibility.
HDFC Bank values your commitment and has designed a comprehensive insurance package
of Rs1 Lakh enabling your children to continue their education in the unfortunate event of
loss of your life due to accident.

 House hold Insurance

HDFC Bank Value Plus Credit Card also comes with a comprehensive House Hold Insurance
Policy that covers damage caused to household contents by fire and burglary up to a value of
Rs 1 Lakh.

 Worldwide acceptance
The HDFC Bank International Value Plus Credit Card is accepted at over 23 million
Merchant Establishments around the world, including 110,000 Merchant Establishments in
India.

 Cash Advance
Just step into any one of our ATMs or VISA Member ATMs and withdraw cash up to 30% of
your credit limit at a very nominal charge (Please refer to the Schedule of charges).

 Revolving credit facility

This feature allows you to pay a minimum amount, which is 5% (subject to a minimum
amount of Rs.200) of your total bill amount or any higher amount whichever is convenient
for you. You can then carry forward the balance to a better financial month, for which you
pay a charge of 2.95% (2.85% per month for HDFC Bank Account Holders), per month.

 Interest Free Credit Period

Your Card now gets an Interest Free Credit Period of up to 50 days from the date of purchase
(subject to the submission of the charge by the Merchant). Subsequently, if you carry forward

36
your outstanding balance you just pay a nominal interest of 2.95% (2.85% per month for
HDFC Bank Account Holders) per month.

 Balance Transfer Option

If you have any other credit card and wish to transfer their balances to your HDFC Bank
International Value Plus Card, those balances will attract a nominal charge for a period of six
months from the transfer date. The outstanding amount transferred can be up to 50% of your
HDFC Bank International Value Plus Card Credit Limit.

 Comprehensive Insurance
With the HDFC Bank Value Plus Credit Card comes an unmatched feeling of security, its
carefully crafted insurance package offers comprehensive coverage against the various risks
like accidental death and hospitalization expenses due to an accidents.

 Accidental Death
In case of death in an air accident your nominated next of kin will receive a compensation of
Rs.2,00,000. And in case of death in a rail or road accident, your nominated next of kin will
receive a compensation of Rs.1,00,000.

 Lost Card Liability

If you happen to lose your Card, don't panic. The first thing to do is Call us at any of our 24-
Hour Customer Call Centers and report the loss. Please make sure that you file a Lost report
for the Lost/ Stolen Card at the nearest police station and send us the acknowledgement copy.

37
 HEALTH PLUS CREDIT CARD

Imagine a Credit Card that takes care of your financial health as well as your family's health and
fitness. This is not just a card but a guarantee of a healthy and secure future.

Introducing the HDFC Bank Health Plus International Credit Card - India's first Credit Card with
a free inbuilt Cashless Med claim. This card comes to you from HDFC Bank in association with
the United India Insurance Company (UIIC), one of the leading insurance service providers. This
card is designed keeping your good health in mind. It brings you unique features like the
Cashless Med claim facility and discounts at leading hospitals which make it an unmatched
product.

Now you can stop worrying about rising cost of quality health care for you and your kin.

Features & Benefits

 Cashless Med claim
This card comes with a free cashless med claim cover of Rs.50,000 plus a critical illness
cover of Rs.1.5 lakhs. The critical illness cover includes open heart surgery, cancer,
kidney failure and vascular stroke. You can avail cashless med claim facility at any of
more than 3000 networked hospitals of the Third Party Administrator (TPA) across the
country.
 Discounts at participating hospitals
The best of medical care will now cost you less with fabulous discounts on annual health
check-ups, outpatient and inpatient investigations in the participating hospitals.

38
 Extra protection for your family - Add-on Float Cover
You have the option of extending the Rs.50,000 mediclaim plus the critical illness
cover of Rs.1.5 lakhs cover to the add-on cardholders, be it your spouse, children,
brothers or sisters. What's more, the add-on cardholders can also avail the
discounts at participating hospitals.
 Protection through insurance
The HDFC Bank Health Plus International Credit Card offers you a
comprehensive insurance package at no additional cost. In case of death in an air
accident, the nominated kin will receive a compensation of Rs.10 lakhs.
In the case of a rail or road accident the nominated kin will receive a
compensation of Rs.2 lakhs.
 Hassle Free Travel
You can now book your train and air tickets from the comfort of your home or office.
Thanks to our tie-up with SITA Travels, you can now get train tickets delivered to
you at your home. You can also avail a discount on domestic and international travel
as a valued HDFC Bank credit card holder.
 Cash Advance
Just step into any one of our ATMs or any ATM displaying MasterCard logo or
Maestro Cirrus logo and withdraw cash up to 30% of your credit limit at a very
nominal charge (Please refer to the Schedule of charges).
 Revolving credit facility
This feature allows you to pay a minimum amount, which is 5% (subject to a
minimum amount of Rs.200) of your total bill amount or any higher amount
whichever is convenient for you. You can then carry forward the balance to a better
financial month, for which you pay a charge of 2.95% (2.85% per month for HDFC
Bank Account Holders), per month.
 Interest Free Credit Period
You get an Interest Free Credit Period of up to 50 days from the date of purchase
(subject to the submission of the charge by the Merchant). Subsequently, if you carry
forward your outstanding balance you just pay a nominal interest of 2.95% (2.85%
per month for HDFC Bank Account Holders) per month.

39
 Add-on Cards
Get up to 2 supplementary cards for your spouse, parents, siblings (own
brother/sister), son and/or daughter (over 18 years) and allow them to enjoy the many
benefits of a HDFC Bank Health Plus International Credit Card.
 Zero liability on lost card
If you lose your Health Plus credit card, report the loss immediately to our 24-hour
call centers. Any fraudulent transactions on your credit card after reporting the loss
will not be your liability and will be borne by us.
 Third Party Administrator (TPA)
The TPA is an intermediately between the hospital, the Insurer and the card member.
Under the TPA system, the med claim policyholders need not pay the medical bills
upfront. Instead the settlement is to be done between the hospital and the TPA. For
the customer, medical expenditure becomes a cashless transaction. For the HDFC
Bank Health Plus International Credit Card, the insurer United India Insurance
company (UIIC) has appointed Family Health Plan Limited (FHPL) as the TPA.

40
 GOLD CREDIT CARD

If you have a taste for the good things in life.

If you like been waited upon.
If you never settle for anything but the best.
You don't have to look any further than the HDFC Bank Gold International Card.
Join the most exclusive club in town. Get yourself an HDFC Bank International Gold
Card and get introduced to a whole new life of privileges.
Features & Benefits:
 Special offer on air tickets
Attractive discounts on domestic and international air tickets.
 Discounts on hotel tariff
A whopping 50% discount on hotel stays across 30 cities in India through complimentary
membership to the International Business Traveller's Club. This also entitles you to discounts
up to 50% at over 10,000 hotels worldwide.
 Extensive travel-related insurance
Covers loss of baggage, loss of air ticket, delayed flight, late baggage arrival, loss of passport
and hijacking.
 Comprehensive Insurance coverage
This coverage will cover accidental Death, hospitalization expenses due to an accident,
purchase protection and household insurance.
 Greater reward points
You stand to earn 2 reward points for every Rs 100 spent by you - a clear 200% advantage
over any other credit cards. This would be in addition to special promo programs where you
would earn bonus points.

41
 Reward points redemption
After earning all those reward points, have fun redeeming them for exciting gifts and
facilities, or just convert them directly into spends!! We present to you the My Rewards
programme and the Air Miles redemption programmed.
 My Rewards programmed
This programmed offers to you a vast array of products, gifts, holiday packages and more.
You can even have the facility of acquiring what you need by paying partly through the
accumulated points and paying the balance through your HDFC Bank Gold card. This is
possible through our unique Classic, Premium and Fas Track programmers.
 Air Miles redemption
Redeem your accumulated reward points for air miles on leading airlines like Indian Airlines
and Jet Airways.
 Worldwide acceptance
Accepted at over 23 million Merchant Establishments around the world, including 110,000
Merchant Establishments in India.
 Revolving credit facility
Pay a minimum amount, which is 5% (subject to a minimum amount of Rs.200) of your total
bill amount or any higher amount whichever is convenient and carry forward the balance to a
better financial month, for which you pay a charge of 2.95% (2.85% per month for HDFC
Bank Account Holders) per month.
 Free Add-on card
You can share these wonderful features with your loved ones too - we offer the facility of an
add-on card for your spouse, children or parents. Allow us to offer the first such add-on card
to you FREE OF COST with our compliments.
 Interest free credit period
Your Card now gets you the highest Free Credit Period of up to 50 days from the date of
purchase (subject to the submission of the charge by the Merchant). Subsequently, if you
carry forward your outstanding balance you just pay a nominal interest of 2.95% (2.85% per
month for HDFC Bank account Holders) per month.

42
 INTERNATIONAL DEBIT CARD:

HDFC Bank has recently launched the International Debit Card in Mumbai and Delhi in
association with Visa. The Debit Card is just like ATM, with the advantage that it can
also be used to shop or pay to just about anything. All over the India as well as abroad, it
is applicable. A Debit Card is basically a better way of carrying cash or a cheque book. It
is an electronic card that one can use as a convenient payment mechanism. The card is
generally issued by your bank and is connected through the ATM. Debit Card allow you
to spend only what is in your account and purchase should be kept track of just as if
you’re writing a cheque.

For transaction at VISA/PLUS ATMs following charges apply.

Domestic Visa/Plus Atm Location

Cash withdrawal per transaction Rs. 55
Balance enquiry per transaction Rs. 10

International Visa/Plus Atm Location

Cash withdrawal per transaction Rs. 110
Balance enquiry per transaction Rs. 10

Eligibility:
A. Resident Indian holding any of the following Accounts with HDFC Bank:-

1. Saving Account
2. Current Account ( Sole Proprietorship)
3. Super Saving Account
4. Loan Against Shares Account (LAS)

43
 5. Salary Account

B. Non- Resident Indian holding any of the following NRI Accounts with HDFC Bank:-
1. NRI Saving Account
2. NRE Saving Depository Account
3. NRE Current Depository Account

Advantages of International Debit Card

I. International Debit Card: Its like an ATM card you shop with:
a. Use your HDFC Bank International Debit Card to access your account from a
widespread network of ATM’s within India and abroad. Withdraw cash at over 7,
00,000 Visa/Maestro/Plus/Cirrus ATM’s in 140 countries.
b. Shop at over 30,000 establishments in India and over 10 million worldwide with
your International Debit Card.
c. At selected Branches of Canara Bank and Bank of India you can withdraw cash
against your HDFC Bank International Debit Card (available only with the Visa
Electron programme).

II. Cash withdrawal at select Canara Bank and Bank of India branches (for Visa
Electron Programme only): Walk into 450 selected branches of Canara Bank of India
across the country and withdraw cash against your HDFC Bank International Debit Card
(available only with the Visa Electron programme).

III. Daily withdrawal limits: you can withdraw up to Rs. 15,000/- at ATMs and make
purchases up to Rs. 25,000/- at merchant locations (Point of sale) per day. For cash
withdrawal Canara Bank and Bank of India locations (VISA Electron Card holder only) the
point of sale limit applies.

44
 NET BANKING

Net Banking is HDFC Bank's Internet Banking service. Providing up-to-the-second account
information, Net Banking lets you manage your account from the comfort of your mouse -
anytime, anywhere. Net Banking is Real Time, giving you up-to-the-second details on your
account. It can be accessed anytime, from anywhere, giving you complete control over your
finances. There are no queues to stand in, or turns to wait for. With Net Banking you are in
control. HDFC Bank's Net Banking service is secure. Using industry-standard technologies
and infrastructures, our service gives you peace of mind. So next time you think of visiting
your branch, switch on your PC instead.

It is most sophisticated way to bank. This is another convent way to access the bank account
from any part of word, through internet, when one registers for net banking. He/She will get
a password which can be used with the customer ID number to conduct transactions and get
up to date the products and services round the clock.

Features
 View Account Balances & Statements
 Transfer Funds between accounts
 Create Fixed Deposits Online
 Request a Demand Draft
 Pay Bills
 Order a Cheque Book
 Request Stop Payment on a Cheque

Eligibility:-

45
All you need to access Net Banking if you have a saving or current or fixed deposit account.
Financial transactions can be made by saving account holder (with either or survivor
mandate), individual current account holder and sole proprietorship account holder.
Now you can also download the form from the website or contact your nearest branch.
ADVANTAGES OF NET BANKING:
i. Real-time, online banking: Net Banking is anytime, anywhere, real time, on line
banking. Real time means instant up to the second account transactions displayed on
the Internet. HDFC Bank is among the first in INDIA to enable such high tech
connectivity.
ii. Security: Net Banking uses 128-bit encryption Secure Socket Layer (SSL)
technology, one of the most secure forms of transaction and the highest level of
security commercially available on the internet.
iii. Up-to-the-second account balance/ statement inquiry:
iv. Request for a new fixed deposit: Make a Fixed Deposit inquiry or even make a
TDS inquiry on your Fixed Deposits.
v. Request for a cheque book: Enquire about the status of a cheque issued or stop
cheque payment request in an emergency.
vi. Request for Demand Draft/banker’s Cheque: They will be delivered to your
mailing address.
vii. Free Online Third Party Transfer Facility: Instantly transfer funds between your
accounts and to a third party that have an account with the bank.
viii. Demat on NET: It help you view your Demand Account, account holdings,
transactions in the account company-wise, and get details regarding pay-in, pay-out
dates, etc.
ix. Funds Transfer: Net Banking makes it easy to transfer funds between any of your
accounts, even if they are in different branches/cities.
MOBILE BANKING

46
Your Mobile is now your bank! Now access your bank account and conduct a host of banking
transactions and inquiries through your mobile, with our unique Mobile Banking service. Mobile
banking is a service by which an account holder can do banking any time from anywhere in the
world through Mobile phone. Now one can carry out banking transaction on the screen of the
mobile phone. Your mobile phone screen serves as a window to your bank account through SMS
facility. The service is available to all customers who maintain saving accounts, current accounts,
and overdraft account.

Eligibility:

If you are an account holder of HDFC BANK as well as subscriber of any of the mobile phone
service provider tied up with HDFC BANK, you can take advantage of this facility. Check
whether operator is part of our network. One document is all it takes to apply. If you are opening
an account with the bank, you can apply for MOBILE BANKING through the Account Opening
Document. If you already have account with the bank, you can apply for Mobile banking through
the Combined Direct Banking Channels Application From.

Advantages of Mobile Banking:

i. Get your balance details.

ii. Obtain your last 3 transaction details.
iii. Request a cheque book.
iv. Stop a cheque payment.
v. Enquire cheque status.
vi. Request an account statement.

47
 vii. Get fixed deposit details.
viii. Pay your bills

Mobile Banking works through a set of text messages (SMS). With SMS you can perform a wide
range of query-based transactions from your mobile phone, without even making a call. All you
need to do is to type in the specified code for the transaction as a text message and send it to
676712.

48
 PHONE BANKING

When you dial in to Phone Banking, a voice prompt will guide you through the various
transactions. You may also talk to a Phone Banker, who will provide you with the required
assistance.

With HDFC Bank’s Phone Banking, your bank account is now just a phone call away. Now one
can bank from home or anywhere through a phone using 24 hrs automated service by HDFC
bank. The interactive voice response (IVR) facility will enable the customer to get a variety of
services, round the clock through a telephone call from home, office, telephone booth etc. using
phone banking you can get up-to-date details of your saving or current account or fixed deposits.
You can have the details of the first five transactions. You can carry out all your transactions,
from checking your account balance to ordering a new cheque book to stopping a cheque
payment. You can request for demand drafts/funds transfer, open a fixed deposit account, and
even pay your electricity, telephone and cell phone bills using the Bill Pay facility. So now,
whenever you need to conduct any of your transactions, just give us a call. Phone banking is
available round the clock, everyday, in Mumbai, Delhi, Chennai, Kolkatta, Bangalore,
Hyderabad, Ahemdabad, Chandigarh and Ludhiana .

Eligibility:-

1. All saving account holder other than minors.

2. All individuals & corporate current account holders.
3. Sole proprietors.

49
Advantage of Phone Banking:

i. Check your account balance - Get up-to-the-second details of your Savings or

Current Accounts and your Fixed Deposits. You can also get the details of the last 9
transactions on your account, or have a mini statement faxed across to you.
ii. Security: When you use the Phone Banking facilities, your transactions are
completely secure. When you open an account with us, you are given a unique
Telephone Identification Number (TIN), which is completely confidential.
iii. Chose your language: You can choose between English and Hindi for guidance
through the Interactive Voice Response (IVR) menu of services, at the time of calling
the bank.
iv. Account details/balance enquiry: - Get up-to-the-second details of your saving or
current accounts and your Fixed Deposits. Get details of the last five transactions (on
the IVR), which would be read out to you at the touch of a button. What’s more, you
can even have a mini account statement of the last 10 transactions faxed to you.
v. Cheque status inquiries: You can use Phone Banking to check on the status of
cheques issued or deposited.
vi. Cheque book/account statement requests: Register a request for a new cheque
book using Phone Banking. It will be couriered within 3 working days. You can
request for statement of accounts for the current period through the IVR and the same
will be mailed to you on the next working day.
vii. Stop Payment - Stop payment of a single cheque or a series of cheques, 24 hours a
day.
viii. Loan Related queries - Get details of the outstanding loan amount, enquire about
your loan account, request for an interest certificate and repayment schedule, etc. Just
call Phone Banking in your city and dial 4 to speak to our Phone Banker.
ix. Open a Fixed deposit or Enquire on your Fixed deposits / TDS*# - Talk to our
Phone Banker to easily open a Fixed Deposit over the phone, by simply authorizing a
transfer of funds from your Savings Account.

50
 x. Transfer Funds between accounts*# - You can also transfer money from one of
your accounts to another. Both accounts must be linked to your Customer ID. You
can transfer amounts up to Rs 1 Lac in a single day.
xi. Pay your bills - Pay your cellular, telephone, electricity and HDFC Bank Credit Card
bills through Phone Banking using Bill Pay, a comprehensive bill payments solution.
Know more about Bill Pay.
xii. Report loss of your ATM / Debit Card / Forex Plus Card - If your ATM / Debit /
Forex Plus Card is lost, call any Phone Banking number to deactivate your card.
xiii. Learn about all our other products - Get details on HDFC Bank products &
services by talking to our Phone Banker.
xiv. Enquire about latest Interest / Exchange rates - Get latest Interest rates on
Deposits and Foreign Exchange rates by talking to our Phone Banker.
xv. Request a Demand Draft / Manager's Cheque - Call Phone Banking and get a
Demand Draft / Manager's Cheque delivered to your doorstep.

51
 INSTA ALERTS

You can get regular updates of your bank account on your mobile phone or email ID.
Just register for our Insta Alert service and receive updates on your account as and when the
select transaction happens - all this without visiting the branch or ATM!
You can register for any or all of the following alerts:
 Debit transactions greater than Rs. 5,000/ Rs.10, 000/ Rs. 20,000/Rs. 50,000
 Credit in account greater than Rs. 5,000/ Rs.10, 000/ Rs. 20,000/Rs. 50,000
 Account Balance below Rs. 5,000/ Rs.10, 000/ Rs. 20,000/Rs. 50,000-
 Weekly account balance
 Salary Credits
 Utility bill payment due Alert.

Bill Pay

In Mumbai this facility enables you to pay all your BPL Mobile, Max Touch BSES and MSEB
bills, over the phone as well as through ATMs. In Delhi, you can pay your Airtel Bills and in
Chennai you can pay your PRG and Airtel bills through this facility, shortly you will also be able
to pay your BEST bills in Mumbai and Delhi. So you won’t have to spend time is long queues or
writing cheques.

52
 PREFEERED BANKING

How you would like a banker dedicated to take care of all your banking requirements and
suggesting ways to invest your money with good returns from time to time? If you're a seasoned
professional or have been running a successful business over the years, the HDFC Bank
Preferred Programme is meant for you.

As a valued customer you benefit from our Relationship Pricing Programme with exclusive
offers such as a free Gold International Debit card, a free International Titanium card or a free
International Gold Credit Card, loans at preferential rates, etc.

Features & Benefits:

 Dedicated Relationship Manager

 Customized Investment Solutions
 Investment Options
 Wealth Management Program
 E-Broking
 Expedite Tax Payments
 Relationship Pricing
 Business Solutions
 On-demand exclusive privileges
 Annual Service Charge Waiver

53
 LOANS

A dream vacation?

Son's admission to a medical college?

Daughter's wedding?

Whatever the occasion, our range of Personal Loans can help. The procedure is simple,
documentation is minimal and approval is quick.

Features & Benefits

 Borrow up to Rs 10,00,000 for any purpose depending on your requirements.

 Flexible Repayment options, ranging from 12 to 48 months.
 Repay with easy EMIs.
 One of the lowest interest rates.
 Hassle free loans - No guarantor/security/collateral required.
 Speedy loan approval.
 Convenience of service at your doorstep.
 Customer privileges
o If you are an HDFC Bank account holder, we have special rates for you.
o If you are an existing Auto Loan customer with a clear repayment of 12 months or more from
any of our approved financiers or us, you can get a hassle free personal loan (without income
documentation).
o If you are an existing HDFC Bank Personal Loan customer with a clear repayment of 12
months or more, we can Top-Up your personal loan.

54
 HOME LOANS

A two-bed apartment?
The sea-facing penthouse?
Or just the right piece of land to build your dream house?

HDFC Bank brings HDFC home loans to your doorstep. With over 25 years of experience, a
dedicated team of experts and a complete package to meet all your housing finance needs,
HDFC Home Loans, helps you realize your dream.

Features & Benefits:

Home Loan - We offer home loans for individuals to purchase (fresh / resale) or
construct houses. Home loans can be applied for individually or jointly. HDFC finances
up to 85% maximum of the cost of the property (Agreement value + Stamp duty +
Registration charges).
Home Improvement Loan - HIL facilitates internal and external repairs and other
structural improvements like painting, waterproofing, plumbing and electric works, tiling
and flooring, grills and aluminum windows. HDFC finances up to 85% of the cost of
renovation (100% for existing customers).
Home Extension Loan - HEL facilitates the extension of an existing dwelling unit. All
the terms are the same as applicable to Home Loan.

Land Purchase Loan - Be it land for a dream house, or just an investment for the future,
HDFC Land Purchase Loan is a convenient loan facility to purchase land. HDFC finances

55
up to 70% of the cost of the land (Conditions Apply). Repayment of the loan can be done
over a maximum period of 10 years.
Choose from Fixed Rate or Floating Rate with options to structure your loan as Partly
Fixed or Partly Floating.
Flexible repayment options to suit your individual needs.
Loan cover Term Assurance Plan - HDFC Standard Life Insurance Company Ltd.
offers an insurance plan*, which is designed to ensure that life's uncertainties do not
affect your family's interests and your precious home. LCTAP provides a lump-sum
payment on the unfortunate demise of the life assured.
Automated Repayment of Home loan EMI - You can give us standing instructions to
repay your Home Loan EMIs directly from your HDFC Bank Savings Account, thus,
saving you the trouble of procuring, signing and tracking post-dated cheques.
We also offer In-house scrutiny of Property documents for your complete peace of
mind.
Customer privileges - If you are an existing HDFC Bank Home Loan customer, you
can avail of other loans (such as Personal Loans, Car Loans, Two-wheeler Loans and
Loan against securities) at lower interest rates.

56
 TWO WHEELER LOANS

180 CC? Or maybe a 500 CC?

Whichever the bike, our Two Wheeler loan is the answer. With quick approvals, flexible
payment options and easy repayment - we'll help you buy the bike you desire.
Features & Benefits:

o Flexible repayment options, ranging from 12 to 48 months available even at the

point of purchase.
o Repay through post-dated cheques with easy EMIs. Calculate your EMI.

o Hassle free loans - No guarantor required.

o Speedy loan approval.

o Available for almost all models at attractive interest rates.

o Free gifts from time to time on approval of your Two Wheeler Loan. (Watch this
space for more details on the free gift promotion).
o Special Schemes to suit your needs

Fast Track - If a spot approval is what you need, this highly flexible scheme gets you a loan of
up to 70% with minimum interest rates.
Easy Loan - This great scheme gets you a loan of up to 85% with minimal
documentation. All you need as a Surrogate Income proof is:

-A copy of credit card and credit card billing statement for the last 2 months
OR
- A repayment track record

57
 OR
- Last 3 months bank statements.

NEW CAR LOANS

Small car?
Family car?
or sheer luxury on wheels?
Just decide on the make & model, and our New Car Loan will bring it to your driveway in no time.
Features & Benefits:
 Covers the widest range of cars and multi-utility vehicles in India.
 Avail 100% finance on your favourite car
 Flexible repayment options, ranging from 12 to 84 months.
 Borrow up to 3 times your annual salary (for salaried professionals) and 6 times your annual
income (for self employed professionals)
 Speedy processing - within 48 hours.
 Repay with easy EMIs.
 Attractive car loan plans - To Fastrack your loan, just choose the plan that is right for you.
 Attractive Interest rates
 Hassle-free documentation.
 Customer Privileges
 If you are an HDFC Bank account holder, we have special rates for you.
 If you have had a Preferred Account or a Corporate Salary Account with HDFC Bank for
more than six months, you can get fast approvals on your loans with minimal documentation.
 If you are an existing HDFC Bank Car Loan customer with a clear repayment of 12 months or
more we can Top-Up your car loan to the extent of the original loan value.

LOAN AGAINST SECURITIES

58
  Get liquidity from your investments, without you having to sell them.
With HDFC Bank's Loan against Securities, you can get an overdraft against your
securities like Equity Shares, Mutual Fund Units, GOI Relief Bonds, LIC Policies, NSC,
KVP, UTI Bonds (6.60% ARS & US64 Bonds) and Gold Deposit Certificates, while still
retaining ownership. And the best part is that you can continue to enjoy all your
shareholder benefits such as rights, dividends and bonuses.
Loan available to NRI's against Shares, Mutual Funds, US64 Bonds, UTI 6.60% ARS
Bonds.

Features & Benefits:

 Overdraft facility can be availed against pledge of:

 Equity Shares* - Demat Shares up to 50% of the value.

 Mutual Fund units* - Mutual Funds up to 50% of NAV (Net Asset Value). See approved
Mutual Fund Schemes.

 GOI Relief Bonds

 LIC Policies
 National Savings Certificate(NSC),
 Kisan Vikas Patra(KVP)

59
 UTI Bonds(6.60% ARS Bonds & US64 Bonds)
The contribution of single scrip should not exceed 65% of the total portfolio value at any
point of time during the tenure of the account.
 Single Scrip Lending - Lending up to 50% of the value with any Depository Participant.
(please contact us to know the drawing power of the scrips)
 Minimum loan amount: Rs. 50,000/-, Maximum loan amount: Rs. 10 Lakhs
 e-Instant Loans: Online eligibility approval in 60 seconds and loan disbursement in 72
hours. Preferential rate of interest for online applications.
 Pay interest only on the amount outstanding and only for the time you use it.
 Interest is calculated on the daily outstanding balance and debited to your account every
month end.
 Shares can be pledged from any Depository (NSDL or CDSL) and any Depository
Participant across the country.
 For availing the overdraft facility, the securities need not necessarily be in your name.
 To receive the overdraft amount, a Current Account with an overdraft limit is created in
your name. This entitles you to all the Current Account benefits like FREE International
Debit Card, FREE Phone Banking, FREE Net Banking.
 Special Benefits : If you have a Loan against securities from any other bank,
simply transfer the loan to us at preferential interest rate.

60
 LOAN AGAINST PROPERTY

Need large amounts of cash?

Have some property to your name?
Would like to leverage your property without giving it on rent or selling it?

HDFC Bank brings to you Loan Against Property (LAP). You can now take a loan against
your residential or commercial property, to expand your business, plan a dream wedding,
fund your child's education and much more.
You can depend on us to meet all your business requirements even to purchase a new shop or
office for your business. Loan to purchase Commercial Property (LCP) is a specially
designed product to help you expand your business without reducing the capital from your
business.
Features & Benefits:
 Loans from Rs. 2 Lacs onwards depending on your needs.
 Borrow up to 60% of market value of the property.
 Flexibility to choose between an EMI based loan or an Overdraft - We also offer
to you overdraft against your self-occupied residential or commercial property
and you save money by paying interest only on the amount utilized!
 High tenure loans for ease of repayment.
 Attractive interest rates.
 Simple and speedy processing.
 Specially designed products for Self Employed.

61
 FOREX AND TRADE SERVICES

Are you a frequent flyer for business or often holiday abroad?

Are you an importer/exporter of foreign and Indian goods?
If you need to deal in foreign currency and keep tabs on exchange rates every now and then,
transfer monies to India, make payments etc., HDFC Bank has a range of products and services
that you can choose from to transact smoothly, efficiently and in a timely manner.
We offer the following Foreign Exchange Products and Services.
Foreign Exchange and Trade Services
The following are different methods of transacting in Foreign Exchange and remitting money.

Travellers Cheques
Foreign Currency Cash
Foreign Currency Drafts
Cheque Deposits
Remittances
Cash to Master
Trade Services
Forex Services Branch Locator

62
Milestones In The History

HDFC Bank began its operations in 1995 with a simple mission: to be a "World-class Indian
Bank". They realized that only a single-minded focus on product quality and service excellence
would help us get there. Today, they are proud to say that they are well on our way towards that
goal. It is extremely gratifying that their efforts towards providing customer convenience have
been appreciated both nationally and internationally. • 2007 Business Today-Monitor Group
survey Financial Express-Ernst & Young Award One of India's "Most Innovative Companies".
Best Bank Award in the Private Sector category. ‘Employer Brand of the Year 20072008’-
Award- First Runner-up. ‘Best Bank Award’. ‘Corporate Best Bank’-Award.

Global HR Excellence Awards - Asia Pacific HRM Congress: Business Today Dun & Bradstreet
– American Express Corporate Best Bank Award 2007 The Bombay Stock Exchange and
Nasscom ‘Best Corporate Social Responsibility Foundation's Business for Social Practice’
Award. Responsibility Awards 2007 Outlook Money & NDTV Profit Best Bank Award in the
Private sector category. The Asian Banker Excellence in Retail Best Retail Bank in India.
Financial Services Awards Asian Banker Managing Director Aditya Puri won the Leadership
achievement Award for India. • 2006 Business Today Forbes Magazine Business world The
Asset Magazine's Triple A Country Awards Asiamoney Awards Euromoney Awards

Best Bank in India. One of Asia Pacific's Best 50 companies. Best listed Bank of India. Best
Domestic Bank. Best Local Cash Management Bank in Large and Medium segments. "Best
Bank" in India.

63
2005 Asiamoney Awards Asiamoney Awards The Asian Banker Excellence Hong Kong-based
Finance Asia magazine Economic Times Awards The Asset Triple A Country Awards The
Business Today-KPMG Survey The Business Today-KPMG Survey Economic Times - Avaya
Global Connect Customer Responsiveness Awards

Best Domestic Commercial Bank Best Cash Management Bank - India . Retail Banking Risk
Management Award in India. Best Bank in India "Company of the Year" Award for Corporate
Excellence. Best Domestic Bank in India Region 2005 Best Local Cash Management Bank in
India US$11-100m - 2005 "Best Bank in India" for the third consecutive year in 2005. "Most
Customer Responsive Company Banking and Financial Services - 2005

2004 Asiamoney Awards Asiamoney Awards Asiamoney Awards Asiamoney Awards

Asiamoney Awards Business World Forbes Global

Asian Banker Awards The Asset Triple A Country Awards

Best Local Cash Management Bank in India US$11-100m Best Local Cash Management Bank
in India >US$501m Best Local Cash Management Bank in India 1989-2004 (poll of polls) Best
Overall Domestic Trade Finance Services in India - 2004 Most Improved company for Best
Management Practices in India - 2004 One of India's Most Respected Companies - 2004 Best
Under a Billion, 100 Best Smaller Size Enterprises in Asia/Pacific and Europe - 2004
Operational Excellence in Retail Financial Services - 2004 Best Domestic Bank in India - 2004

2003 Forbes Global The Asset Triple A Country Awards BusinessWorld - The Business World
Most Respected Company Awards The Asset magazine The Asset magazine FE-Ernst & Young
Best Banks Survey Outlook Money Business Today NASSCOM & economictimes.com - IT
Users Awards

Best Under a Billion, 200 Best Small Companies - 2003 Best Domestic Bank in India -2003 One
of India's Most Respected Companies Best Cash Management Bank Best Trade Finance Bank

64
Best New Private Sector Bank - 2003 Best Bank in the Private Sector – 2003 Best Bank in India
-2003 Best IT User in Banking -2003

2002 Hong Kong-based Finance Asia magazine Hong Kong-based Finance Asia magazine
Euromoney magazine Asiamoney magazine 2001 Hong Kong-based Finance Asia magazine
Hong Kong-based Finance Asia magazine Euromoney magazine Forbes Global

Best Local Bank - India "Best Local Bank - India" "Best Bank in India Commercial Bank in
India 2002

Best Domestic Commercial Bank - India "Best Domestic Commercial Bank India "Best Bank in
India Named in The 300 Best Small Companies one of the "20 for 2001" best FE-E&Y Best
Banks small companies Awards for Corporate Excellence as the Emerging Company of the Year

2000 Hong Kong-based Finance Asia magazine

Best Domestic Commercial Bank - India

65
Hong Kong-based Finance Asia magazine Euromoney magazine Business India Forbes Global

"Best Domestic Commercial Bank India Best Domestic Bank " India 's Best Bank" Named in
The 300 Best Small Companies one of the "20 for 2001" best FE-E&Y Best Banks small
companies

Merger
HDFC Bank and Centurion Bank of Punjab merger at share swap ratio of 1:29 The Boards of
HDFC Bank and Centurion Bank of Punjab met on 25 February, 2008 and approved, subject to
due diligence, the share swap ratio for the proposed merger of Centurion Bank of Punjab with
HDFC Bank. The Scheme of Amalgamation envisages a share exchange ratio of one share of
HDFC Bank for twenty nine shares of Centurion Bank of Punjab. The combined entity would
have a nationwide network of 1,148 branches (the largest amongst private sector Banks) a strong
deposit base of around Rs. 1,200 billion and net advances of around Rs. 850billion. The balance
sheet size of the combined entity would be over Rs. 1,500 billion. Commenting on the proposed
merger, Mr. Deepak Parekh, Chairman, HDFC said, “We were amongst the first to get a banking
license, the first to do a merger in the private sector with Times Bank in 1999, and now if this
deal happens, it would be the largest merger in the private sector banking space in India. HDFC
Bank was looking for an appropriate merger opportunity that would add scale, geography and
experienced staff to its franchise. This opportunity arose and we thought it is an attractive route
to supplement HDFC Bank’s organic growth. We believe that Centurion Bank of Punjab would
be the right fit in terms of culture, strategic intent and approach to business.” Mr. Aditya Puri,
Managing Director, HDFC Bank said, “These are exciting times for the Indian banking industry.
The proposed merger will position the combined entity to significantly exploit opportunities in a
market globally recognized as one of the fastest growing. I’m particularly bullish about the
potential of business synergies and cultural fit between the two organizations. The combined
entity will be an even greater force in the market.” Mr. Rana Talwar, Chairman, Centurion Bank
of Punjab stated, “Over the last few years, Centurion Bank of Punjab has set benchmarks for
growth. The bank today has a large nationwide network, an extremely valuable franchise, 7,500
talented employees, and strong leadership positions in the market place. I believe that the merger

66
with HDFC Bank will create a world class bank in quality and scale and will set the stage to
compete with banks both locally as well on a global level.”

Mr. Shailendra Bhandari, Managing Director and CEO, Centurion Bank of Punjab said, “We are
extremely pleased to receive the go ahead from our board to pursue this opportunity. A merger
between the banks provides significant synergies to the combined entity. The proposed merger
would further improve the franchise and customer proposition offered by the individual banks.”

Quality Policy
SECURITY: The bank provides long term financial security to their policy. The bank does this
by offering life insurance and pension products. TRUST: The bank appreciates the trust placed
by their policy holders in the bank. Hence, it will aim to manage their investments very carefully
and live up to this trust. INNOVATION: Recognizing the different needs of our customers, the
bank offers a range of innovative products to meet these needs. INTEGRITY CUSTOMER
CENTRIC PEOPLE CARE “ONE FOR ALL AND ALL FOR ONE” TEAM WORK JOY AND
SIMPLICITY

67
OBJECTIVES
OF
THE STUDY

68
 OBJECTIVES & SCOPE OF THE STUDY

PROBLEM DEFINITION:
Sales Executives were with good background human being and through rigorous process of
recruitment but still not able to perform up to the expectation level of company, HR is not able to
sort out the problem why the performance is not coming even after giving the full marketing
support. The communication technique and dealing with the customers is also a problem to the
sales executives.

OBJECTIVES OF THE STUDY

Primary objectives:
 To open new savings accounts by convincing customers and to promote the benefits of those
which are provided by the bank.
 To find the different way of convincing customers.
 To study brand image of the bank.
 To increase the business of the bank.

Secondary objectives:
 To determine the need and purpose of a sales executive.
 To understand the deciding criteria for people to become sales executive.
 To offer suggestions based upon the findings.

69
Geographical scope:
The same problem was with the all other branches of HDFC Bank even out of the Ludhiana city.
The management is conducting the same research on a big ground while my contribution is tiny.
Though my sample size and geographical area was defined and confine to a particular territory
but the application of out put from the research are going to be wide.

Product Scope:
Studying the increasing business scope of the bank. Market segmentation to find the potential
customers for the bank. To study how the various products are positioned in the market.
Corporate marketing of products. Customers’ perception on the various products of the bank.

70
 RESEARCH
METHODOLOGY

71
 RESEARCH METHODOLOGY

All the findings and conclusions obtained are based on the survey done in the working area
within the time limit. I tried to select the sample representative of the whole group during my job
training. I have collected data from people linked with different profession at Ludhiana.

Research Plan:

1. Preliminary Investigation: In which data on the situation surrounding the problems shall be
gathered to arrive at the correct definition of the problem. An understanding of its environment.

2. Exploratory Study: To determine the approximate area where the problem lies.

Research Design:

Research was initiated by examining the secondary data to gain insight into the problem. By
analyzing the secondary data, the study aim is to explore the short comings of the present system
and primary data will help to validate the analysis of secondary data besides on unrevealing the
areas which calls for improvement.

Developing The Research Plan:

The data for this research project has been collected through self Administration. Due to time
limitation and other constraints direct personal interview method is used. A structured
questionnaire was framed as it is less time consuming, generates specific and to the point
information, easier to tabulate and interpret. Moreover respondents prefer to give direct answers.
In questionnaires open ended and closed ended, both the types of questions has been used.

72
Sampling Plan:
Since it is not possible to study whole universe, it becomes necessary to take sample from the
universe to know about its characteristics.

Sampling Units:
Different professionals Chartered Accountants, Tax Consultants, Lawyers, Business Man,
Professionals and House Wives of Ludhiana .

Sample Technique:
Random Sampling.

Research Instrument:
Structured Questionnaire.

Contact Method:
Personal Interview.

Sample Size:
My sample size for this project was 60 respondents. Since it was not possible to cover the whole
universe in the available time period, it was necessary for me to take a sample size of 60
respondents.

Data Collection Instrument Development:

The mode of collection of data will be based on Survey Method and Field Activity. Primary data
collection will base on personal interview. I have prepared the questionnaire according to the
necessity of the data to be collected.

73
 DATA
COLLECTION

74
 Types of data collection

1. Primary data: All the people from different profession were personally visited and interviewed.
They were the main source of Primary data. The method of collection of primary data was direct
personal interview through a structured questionnaire.

2. Secondary Data:
It was collected from internal sources. The secondary data was collected on the basis of
organizational file, official records, news papers, magazines, management books, preserved
information in the company’s database and website of the company.

75
Data analysis
&
Interpretation

76
Data analysis & interpretation:

DATA ANALYSIS & INTERPRETATION

Q1. Your Age?

Options Respondents Percentage

18 to 23 years 12 20%
24 to 29 years 21 35%
30 to 35 years 18 30%
35 to above years 9 15%
Total 60 100%

35 to above
years
15% 18 to 23 years
20%

30 to 35 years
30% 27 to 29 years
35%

Interpretation
From the table and graph above it can be seen that
20% respondent’s age are 18 to 23 years.
35% respondent’s age are 27 to 29 years.
30% respondent’s age are 30 to 35 years.
15% respondent’s age are 35 to above years.

77
Q2. Marital Status ?

Options Respondents Percentage

Married 42 70%
Unmarried 18 30%
Total 60 100&

Unmarried
30%

Married
70%

Interpretation
From the table and graph above it can be seen that
70% respondents are married.
30% respondents are unmarried.

78
Q3. Educational Qualification?

Options Respondents Percentage

Under Graduate 15 25%
Graduate 24 40%
Post Graduate 21 35%
Total 60 100

Under
Post Graduate
Graduate 25%
35%

Graduate
40%

Interpretation
Interpretation From the table and graph above it can be seen that • •
25% respondents are Under graduate.
40% respondents are Graduate.
35% respondents are Post graduate.

79
Q4. Your Occupation?

Options Respondents Percentage

Business 12 20%
Professional 16 26.67%
Service 32 53.33%
Total 60 100%

Business
20%

Service
53% Professional
27%

Interpretation
From the table and graph above it can be seen that
20% respondents Occupation is Business.
27% respondents Occupation is Profession.
53% respondents Occupation is Service.

80
 Q5. Do you have Bank Account?

Options Respondents Percentage

Yes 46 76.67%
No 14 23.33%
Total 60 100

No
23%

Yes
77%

Interpretation
As the research is convenience sampling and related to respondents who are availing services of
banks so only those customers were targeted who were having bank accounts and using banking
services. 77% were having their bank accounts.

81
Q6. What is your perception about different products/services provided by HDFC bank?

Options Respondents Percentage

Lucratrive 15 25%
Not Lucratrive 36 60%
No Idea 9 15%
Total 60 100%

No Idea
15%
Lucrative
25%

Not
Lucrative
60%

Interpretation
From the table and graph above it can be seen that
25% respondent’s perception about different products is lucrative.
60% respondent’s perception about different products is not lucrative.
15% respondent’s have no idea.

82
Q7. Do you want to open an account with HDFC bank?
Options Respondents Percentage
Yes 21 35%
No 30 50%
Will tell you Later 9 15%
Total 60 100%

Will Tell you

later
15%
Yes
35%

No
50%

Interpretation
From the table and graph above it can be seen that
50% respondents are not interested to open an account with the bank. 35% respondents are
interested to open an account with the bank. 15% of the respondents say that they will tell later.

83
Q8. Do you have all the documents which are required to open an account?

Options Respondents Percentage

Yes 36 60%
No 24 40%
Total 60 100%

40%
Yes
No
60%

Interpretation
From the table and graph above it can be seen that
60% respondents have all the documents which are required to open an account with the bank.
40% respondents do not have all the documents which are required to open an account with the
bank

84
Q9. Are you aware that the bank provides you a free Demat account if you open a new
savings account with HDFC bank?

Options Respondents Percentage

Yes 12 20%
No 39 65%
Can’t Say 9 15%
Total 60 100%

15%
20%

Yes
No
Can't Say

65%

Interpretation
From the table and graph above it can be seen that
20% respondents are aware that the bank provides a free Demat account with new savings
account. 65% respondents are not aware of it. And 15% were not able to say anything.

85
 Q10.Are you aware of different terms and conditions which are very much essential to
maintain an account at HDFC Bank?

Options Respondents Percentage

Yes 18 30%
No 42 70%
Total 60 100%

Yes
30%

No
70%

Interpretation
From the table and graph above it can be seen that
30% respondents are familiar with different terms and conditions which are very much essential
to maintain account with the bank. 70% respondents have no idea about it.

Q11. Do you think HDFC Interest rates are higher than as compared to the other banks?

86
 Options Respondents Percentage
Yes 48 80%
No 9 15%
Can’t Say 3 5%
Total 60 100%

Can't Say
5%
No
15%

Yes
80%

Interpretation
From the table and graph above it can be seen that
80% respondents are thinking that HDFC Bank’s Interest rate is higher than as compared other
banks. 15% respondents say that HDFC Bank’s Interest rate is low. And 5% were not able to say
anything on this.

87
Q12. What was the source of Information about various Saving schemes?

Options Respondents Percentage

Television 8 13.3%
Radio 6 10%
Newspaper 7 11.7%
Word of mouth 31 51.7%
Other Sources 8 13.3%
Total 60 100%

13% 13%

Television
10%
Radio
Newspaper
Word of Mouth
12%
Other Source

52%

Interpretation
From the table and graph above it can be seen that
Most of the customers influenced by word of mouth which has a share of 52% & 13% are
influenced by other sources like pamphlets, Hording etc. And Newspaper is also one of the
source of influence, which influences 12%. Radio influences 10%.

88
 OBSERVATIONS
&
FINDINGS

OBSERVATIONS & FINDINGS

89
 As the research is convenience sampling and related to respondents who are availing
services of banks so only those customers were targeted who were having bank accounts
and using banking services. 77% were having their bank accounts.

 25% respondent’s perception about different products is lucrative. 60% respondent’s

perception about different products is not lucrative. 15% respondent’s have no idea.

 50% respondents are not interested to open an account with the bank. 35% respondents
are interested to open an account with the bank. 15% of the respondents say that they will
tell later.

 30% respondents are familiar with different terms and conditions which are very much
essential to maintain account with the bank. 70% respondents have no idea about it.

 80% respondents are thinking that HDFC Bank’s Interest rate is higher than as compared
other banks. 15% respondents say that HDFC Bank’s Interest rate is low. And 5% were
not able to say anything on this.

 Most of the customers influenced by word of mouth which has a share of 52% & 13% are
influenced by other sources like pamphlets, Hording etc. And Newspaper is also one of
the source of influence, which influences 12%. Radio influences 10%.

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CONCLUSION
&
SUGGESTION

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 SUGGESTIONS

Suggestions:

Finally some recommendations for the company are as fallows:-

• To make people aware about the benefit of becoming HDFC Bank’s Sales Executive, following
activities of advertisement should be done through
1. Print Media.
2. Hoarding & Banners.
3. Stalls in Trade Fares
4. Distribution of leaflets containing details information. .
5. The bank should provide life time valid ATM card to all its customers.

Minimum balance for savings account should be reduced from Rs 5000 to Rs 1000, so that
people who are not financially strong enough can maintain their account properly

 The company should provide a pass book to all its customers

 Make people understand about the various benefits of its products.
 Company should organize the program in the society, so that people will be aware about the
company and different products of the bank
 Company should open more branches in different cities.

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 CONCLUSION

Conclusion

HDFC Bank, the banking arm of HDFC is expected to go on stream. The bank already has
good number of employees on board and is recruiting Sales Executives heavily to take the
headcount to many more. It is on the brim of increasing its customers through its attractive
schemes and offer.

The project opportunities provided was market segmentation and identifying prospective
customers in potential geographical location and convincing them to open an account so that new
Business Opportunities of the bank can be explored. Through this project, it could be concluded
that people are not much aware about the various products of the bank and many of them not
interested to open an account at all.

services was considered as unsought good which require hard core selling, but in changing trend
in income and people becoming financially literate, the demand for banking sector is increasing
day by day.

According to my findings Company’s promotional activities for recruiting sales executives are
also very less.

So, at last the conclusion is that there is tough competition ahead for the company from its major
competitors in the banking sector. Last but not the least I would like to thank HDFC Bank for
giving me an opportunity to work in the field of Marketing. I hope the company finds my
analysis relevant.

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 CHAPTER- 7
LIMITATIONS OF THE STUDY

Limitations
Every work has its own limitation. Limitations are extent to which the process should not
exceed. Limitations of this project are:-

 The project was constrained by time limit of two months. Mindset of people may very depending
upon their age, gender, income etc.
 Getting appointment from the concern person was very difficult.
 People mind set about the survey was an obstacle in acquiring complete.
 Respondents were very busy in their schedule.
 So it was very time consuming for information & positive interaction. them to answer all the
questions properly.

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BIBLIOGRAPHY

95
 BIBLIOGRAPHY

Books
 Marketing Management (10 Edition), Philip Kotler
 Marketing Management (3rd Edition), V.S. Ramaswamy
 Research Methodology (2nd Edition), C.R. Kothari
 Research Methodology, By S.P. Kasande

Websites
 www.hdfcbank.com
 www.google.com

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ANNEXURE

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 ANNEXURE
QUESTIONNAIRE

Dear Sir/Madam,
Name:

I am a student of Guru Nanak Institute of Management and Technology, Ludhiana and presently
doing a project on “OPENING SAVINGS ACCOUNT BY MEETING CUSTOMERS”. I
request you to kindly fill the questionnaire below and I assure you that the data generated shall
be kept confidential. .

1. Your Age: ____________________

2. Education Qualification.
a). Undergraduate Graduate 

b). Graduate 
c). Post Graduate 

3. Marital Status. a) Married  b) Single 

4. Occupation
a). Business  b) Profession 
c). Service 

5. What is your perception about different products and services offered by HDFC Bank?
a). Lucrative  b). Not lucrative 
c). No idea 

6. Do you want to open an savings account with HDFC Bank?

a). Yes  b). No 
c). Will tell later 

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7. Do you have all the documents which are required to open an account?
a). Yes  b). No 

8. Are you aware of that HDFC Bank provide you a free Demat account if you open a new savings
account with the bank?
a). Yes  b). No 

9. Are you aware of different terms and conditions which are very much essential to maintain an
account at HDFC Bank?
a). Yes  b). No 

10. Do you think HDFC Interest rates are higher than as compared to the other banks?
a). Yes  b). No 

12. What was the source of Information about various Saving schemes?
a). Television  b). Radio 
c). Newspaper  d). Word of mouth 
e). Other sources 

Date: Place: Signature

Thank You

99