CUSTOMER PREFERENCE & ATTRIBUTES TOWARDS SAVING ACCOUNT OF HDFC

SUMMER TRAINING PROJECT REPORT

Submitted in partial fulfillment of

MASTER of BUSINESS ADMINISTRATION In the

University School of Business CHANDIGARH UNIVERSITY, GHARUAN2013-2015

Supervised by Submitted byAsst. Prof. Mrs. PoojaHarpreet Singh

ACKNOWLEDGEMENT

I take this opportunity to express my deep sense of gratitude, thanks and rewards towards all of those who have directly or indirectly helped me in the successful completion of this project. I present my sincere thanks to Mr. GAUTAM SINGH (Branch Manager, who allowed me to take training at HDFC BANK. I would also like to thank HDFC bank Staff for their wonderful support & inspirable guiding. I also thank Mr.HARSH SHARMA (Authorised Personal Banker), who has sincerely supported me with the valuable insights into the completion of this project.

I am also grateful to my friends who have helped me in the successful completion of this project. Last but not the least I am indebted to my Parents who provided me their time, support and inspiration needed to prepare this report.

Place: KHARAR, MOHALISignature

DECLARATION

I undersigned HARPREET SINGH student of MBA declare that I have done the project on CUSTOMERS PREFERENCES & ATTRIBUTES TOWORDS SAVING ACCOUNT IN HDFC BANK LTD. has been personally done by me under the guidance of Mr. GAUTAM SINGH in partial fulfillment of MBA Program during academic year-2013-15. All the data represented in this project is true & correct to the best of my knowledge & belief.

I also declare that this project report is my own preparation and not copied from anywhere else.

Signature

HARPREET SINGH

PREFACE

In todays corporate and competitive world, I find that HDFC Bank LTD. has the good growth and potential as compared to the other bank. HDFC Bank LTD. Has given me the opportunity to work and get experience in a highly competitive and enhancing sector. The success story of good market share of different banks depends upon the availability of the product and services near to the customer.

If HDFC Bank Ltd is able to provide third party payment and ATM facilities more they can capture big market as compared to the other banks.

C0NTENTSChapterTitlePage No

1INTRODUCTION7-24

2REVIEW OF LITERATURE25-35

3DATABASE & METHODOLOGY36-38

4 ANALYSIS & INTERPRETATION39-47

5CONCLUSIONS48-52

6BIBLOGRAPHY AND WIBLOGRAPHY QUESTIONNARIES53-55

CHAPTER-IINTRODUCTION

1. Summary ExecutiveThe project was carried out for understanding the customer preference & attributes towards saving Account of HDFC Bank and its market potential. HDFC Bank was established in the year 1994, they are old player in banking sector, The bank has two principle client segments customer and asset management. The bank follows values such as Integrity, teamwork, respect, professionalism, & Mission. The segment of bank we are considering here is- Corporate banking. The product out of which have chosen for research is Saving Accounts. This research helps us in finding out the customers view regarding the product and Services offered by the HDFC bank and awareness by promotion and also identifying the market potential of the product offered by the HDFC bank.

The entire report is an unforgettable journey of support, knowledge, experience, dedication , perfection, and patience. For me it is all about to understand a customer and market of banking of HDFC Bank regarding different accounts. The report is specially oriented to particular area, though it is representing the strong base customers attributes and preferences towards saving accounts in HDFC Bank. It covers different investment avenues, their handling contribution, strategy, portfolios, and related risk factors. how they are formed, scenario, types, trends, myths, distribution, advantages, and even disadvantages of them. Tips to effectively sell the current and saving accounts, to be effective agent, some dos and donts about these accounts while investing. Company details and its progress and its interpretation base for analysis, conclusion, findings, and questionnaire, which helped a lot in consumer, survey analysis. Asset allocation, accounting, taxation, valuation and necessary information for from city and their interpretation. Generating base for conclusion. And at last but not the least the collected dataIn short all efforts which was made to make this report explains WORK IS WORSHIP 1.2 Origin of the Organization:-

Housing Development Finance Corporation Limited, more popularly known as HDFC Bank Ltd, was established in the year 1994, as a part of the liberalization of the Indian Banking Industry by Reserve Bank of India (RBI). It was one of the first banks to receive an 'in principle' approval from RBI, for setting up a bank in the private sector. The bank was incorporated with the name 'HDFC Bank Limited', with its registered office in Mumbai. The following year, it started its operations as a Scheduled Commercial Bank. HDFC Bank Limited. The Group's principal activities are to provide banking and other financial BANK. The Group operates through four segments: Treasury, Retail Banking, Wholesale Banking and Other Banking Business. The Treasury BANK segment consists of net interest earnings on investments portfolio of the bank and gains or losses on investment operations. The Retail Banking segment serves retail customers through a branch network and other delivery channels. This segment raises deposits from customers and makes loans and provides advisory BANK to customers. The Wholesale Banking segment provides loans and transaction BANK to corporate and institutional customers. The Other Banking Operations segment provides BANK relating to credit cards, debit cards, third party product distribution and primary dealership business and other associated costs. The Bank was Incorporated on 30th August 1994. A new private sector Bank promoted by housing Development Corporation Ltd. (HDFC), a premier housing finance company. The bank is the first of its kind to receive an in-principle approval from the RBI for establishment of a bank in the private sector. Certificate of Commencement of Business was received on 10th October 1994 from RBI. The Bank transacts both traditional commercial banking as well as investment banking. HDFC, the promoter of the bank has entered into an agreement with National West minister Bank Pc. and its subsidiaries (Nat west Group) for subscribing 20% of the banks issued capital and providing technical assistance in relation to the banks proposed banking business.

1.3 Growth and Development of the Organization: -

YEAR , 1994.

On 16.1.1995, 90,79,930 No. of equity shares were allotted to Jarrington Pte. Ltd. Another 400,00,000 equity shares were allotted on private placement basis to Natwest Group on 9.5.1995. 500,00,000 shares were allotted to the public on 9.5.95 The Bank opened its first branch in Ramon House at Churchgate, Mumbai on January 16th.The Bank has created an efficient operating system using well tested state-of the- art software.

YEAR,1995

70 No. of equity shares issued to subscribers to the Memorandum &Articles of Association on 30th August 1994. On the same date 500,00,000 equity shares were allotted to HDFC promoters. 509,20,000 shares were allotted to HDFC Employees Welfare Trust and HDFC Bank Employees Welfare Trust on 22nd December,

YEAR,1996

HDFC Bank has entered the banking consortia of over 50 corporate, including some leading multinational companies, flagship companies of local business houses and strong public sector companies. HDFC Bank has set up a state-of-the-art dealing room to handle all transactions possible in Indian financial markets. The Certificates of Deposits were awarded a PP1+ rating which is the highest rating for short term instruments indicating superior capacity for repayment.

YEAR, 2001

The Bank has opened its first branch in Aurangabad. HDFC Standard Life Insurance has entered into a memorandum of understanding with the Chennai-based Indian Bank. The Bank has launched the international Maestro debit card inassociation with Master Card. HDFC Bank will launch its credit card in June through link-ups with MasterCard and Visa.LTtrade.com has entered into a strategic tie-up with HDFC Bank to provide Net banking BANK to online investors. Standard Chartered Bank, HDFC Bank and Bharat Petroleum Corporation have joined the eCash Forum which has been set up by the Smart Card Forum of India. HDFC Bank has launched a new campaign for its eage savings account. HDFC Bank entered into a strategic tie-up with Tally Solutions Pvt. Ltd. to offer online real time accounting BANK to small and Medium enterprises . The Bank has opened four ATMs outlets in Bangalore at Coles Road, RT Nagar, Rajaji Nagar and Jaya Nagar on March 26. HDFC Standard Life Insurance has launched a `Development Insurance Plan' a low cost life insurance product developed specifically to meet the needs of economically weaker sections. Two Directors, Mr. S.S. Thakur and Mr. Amit Judge, have resigned from the board of the bank effective from March 30. HDFC Bank files with US regulators to list more than 11 million American Depositary Shares on the New York Stock Exchange. Today HDFC Bank has 1,412 branches and over 3,295 ATMs, in 528 cities in India, and all branches of the bank are linked on an online real-time basis. [2] As of September 30, 2008 the bank had total assets of INR 1006.82 billion.[3] For the fiscal year 2008-09, the bank has reported net profit of Rs.2,244.9 crore, up 41% from the previous fiscal. Total annual earnings of the bank increased by 58% reaching at Rs.19,622.8 crore in 2008-09.

1.4 Present Status of the Organization:-

March 2010March 2011March 2012

Cities5659961399

Branchs147619862544

ATM s 328154718913

Housing Development Finance Corporation Limited, more popularly known as HDFC Bank Ltd, was established in the year 1994, as a part of the liberalization of the Indian Banking Industry by Reserve Bank of India (RBI). It was one of the first banks to receive an 'in principle' approval from RBI, for setting up a bank in the private sector. The bank was incorporated with the name 'HDFC Bank Limited', with its registered office in Mumbai. The following year, it started its operations as a Scheduled Commercial Bank. Today, the bank boasts of as many as 2544 branches and over 8913 ATMs across India. Amalgamation In 2002, HDFC Bank witnessed its merger with Times Bank Limited (a private sector bank promoted by Bennett, Coleman & Co. / Times Group). With this, HDFC and Times became the first two private banks in the New Generation Private Sector Banks to have gone through a merger. In 2008, RBI approved the amalgamation of Centurion Bank of Punjab with HDFC Bank. With this, the Deposits of the merged entity became Rs. 1,22,000 crore, while the Advances were Rs. 89,000 crore and Balance Sheet size was Rs. 1,63,000 crore.

Head Office HDFC BankRamon House, 169, Backbay Reclamation,H T Parekh Marg, ChurchgateMumbai - 400020Phone: +91 (22) 66316000, 66636000, 66316060Fax: +91 (22) 22048834Website: www.hdfc.comTech-SavvyHDFC Bank has always prided itself on a highly automated environment, be it in terms of information technology or communication systems. All the branches of the bank boast of online connectivity with the other, ensuring speedy funds transfer for the clients. At the same time, the bank's branch network and Automated Teller Machines (ATMs) allow multi-branch access to retail clients. The bank makes use of its up-to-date technology, along with market position and expertise, to create a competitive advantage and build market share.

Capital StructureAt present, HDFC Bank boasts of an authorized capital of Rs 550 crore (Rs5.5 billion), of this the paid-up amount is Rs 424.6 crore (Rs.4.2 billion). In terms of equity share, the HDFC Group holds 19.4%. Foreign Institutional Investors (FIIs) have around 28% of the equity and about 17.6% is held by the ADS Depository (in respect of the bank's American Depository Shares (ADS) Issue). The bank has about 570,000 shareholders. Its shares find a listing on the Stock Exchange, Mumbai and National Stock Exchange, while its American Depository Shares are listed on the New York Stock Exchange(NYSE), under the symbol 'HDB'

RETAIL ASSETS BALANCE SHEET GROWTH OF HDFC BANK:-

Balance sheet

ParticularsMar ' 10Mar ' 09Mar ' 08Mar ' 07Mar ' 06

Sources of funds

Owner's fund

Equity share capital457.74425.38354.43319.39313.14

Share application money-400.92--0.07

Preference share capital-----

Reserves & surplus21,064.7514,226.4311,142.806,113.764,986.39

Loan funds

Secured loans-----

Unsecured loans1,67,404.441,42,811.581,00,768.6068,297.9455,796.82

Total1,88,926.931,57,864.311,12,265.8374,731.0961,096.42

Uses of funds

Fixed assets

Gross block4,707.973,956.632,386.991,917.561,589.47

Less : revaluation reserve-----

Less : accumulated depreciation2,585.162,249.901,211.86950.89734.39

Net block2,122.811,706.731,175.13966.67855.08

Capital work-in-progress-----

Investments58,607.6258,817.5549,393.5430,564.8028,393.96

Net current assets

Current assets, loans & advances5,955.156,356.834,402.693,605.482,277.09

Less : current liabilities & provisions20,615.9422,720.6216,431.9113,689.137,849.49

Total net current assets-14,660.79-16,363.79-12,029.22-10,083.65-5,572.40

Miscellaneous expenses not written-----

Total 46,069.6344,160.4938,539.4521,447.8223,676.64

Notes:

Book value of unquoted investments-----

Market value of quoted investments-----

Contingent liabilities4,87,176.374,14,533.935,99,928.792,09,338.611,44,137.86

Number of equity shareso4577.434253.843544.333193.903131.42

Profit loss accountparticularsMar ' 10Mar ' 09Mar ' 08Mar ' 07Mar ' 06

Income

Operating income19,958.7619,770.7212,354.418,303.345,567.67

Expenses

Material consumed-----

Manufacturing expenses-----

Personnel expenses2,289.182,238.201,301.35776.86486.82

Selling expenses83.12108.68114.7374.8880.85

Administrative expenses4,936.734,583.862,247.481,519.321,424.59

Expenses capitalized-----

Cost of sales7,309.026,930.743,663.562,371.061,992.26

Operating profit4,863.443,928.873,803.732,752.831,645.91

Other recurring income17.72-43.04102.9631.38

Adjusted PBDIT4,881.17-3,846.772,855.791,677.29

Financial expenses7,786.308,911.104,887.123,179.451,929.50

Depreciation394.39359.91271.72219.60178.59

Other write offs---241.09245.16

Adjusted PBT4,486.773,568.973,575.052,395.101,253.54

Tax charges1,340.991,054.92690.90497.70383.03

Adjusted PAT2,944.682,240.751,589.481,142.50870.51

Non recurring items4.024.190.70-1.050.27

Other non cash adjustments-0.93-0.59-0.06-0.35-

Reported net profit2,947.772,244.351,590.121,141.10870.78

Earnigs before appropriation6,403.334,818.983,522.152,596.121,473.12

Equity dividend549.29425.38301.27223.57172.23

Preference dividend-----

Dividend tax91.2372.2951.2038.0024.16

Retained earnings5,762.814,321.313,169.682,334.551,276.73

Cash flow

Particulars Mar ' 10Mar ' 09Mar ' 08Mar ' 07Mar ' 06

Profit before tax4,289.143,299.252,280.631,638.751,253.51

Net cash flow-operating activity9,389.89-1,736.143,583.43666.631,724.76

Net cash used in investing activity-551.51-663.78-619.82-311.40-381.97

Net cash used in fin. activity3,598.912,964.663,628.341,637.881,104.87

Net inc/dec in cash and equivalent12,435.78564.746,591.951,993.112,447.66

Cash and equivalent begin of year17,506.6214,778.348,074.546,188.663,741.00

Cash and equivalent end of year29,942.4015,343.0814,666.498,181.776,188.66

1.5 BUSINESS SEGMENT

HDFC Bank offers a wide range of commercial and transactional banking services and treasury products to wholesale and retail customers. The bank has three key business segments:

Wholesale Banking Services:

The Bank's target market ranges from large, blue-chip manufacturing companies +in the Indian corporate to small & mid-sized corporate and agri-based businesses. For these customers, the Bank provides a wide range of commercial and transactional banking services, including working capital finance, trade services, transactional services, cash management, etc. The bank is also a leading provider of structured solutions, which combine cash management services with vendor and distributor finance for facilitating superior supply chain management for its corporate customers. Based on its superior product delivery / service levels and strong customer orientation, the Bank has made significan inroads into the banking consortia of a number of leading Indian corporate including multinationals, companies from the domestic business houses and prime public sector companies. It is recognized as a leading provider of cash management and transactional banking solutions to corporate customers, mutual funds, stock exchang members and banks.

Retail Banking Services:

The objective of the Retail Bank is to provide its target market customers a full range of financial products and banking services, giving the customer a one-stop window for all his/her banking requirements. The products are backed by world class service and delivered to the customers through the growing branch network, as well as through alternative delivery channels like ATMs, Phone Banking, Net Banking and Mobile Banking.The HDFC Bank Preferred program for high net worth individuals, the HDFC Bank Plus and the Investment Advisory Services programs have been designed keeping in mind needs of customers who seek distinct financial solutions, information and advice on various investment avenues. The Bank also has a wide array of retail loan products including Auto Loans, Loans against marketable securities, Personal Loans and Loans for Two-wheelers. It is also a leading provider of Depository Participant (DP) services for retail customers, providing customers the facility to hold their investments in electronic form.HDFC Bank was the first bank in India to launch an International Debit Card inassociation with VISA (VISA Electron) and issues the Master card Maestro debit card as well. The Bank launched its credit card business in late 2001. By September 30, 2005, the bank had a total card base (debit and credit cards) of 5.2 million cards. The Bank is also one of the leading players in the "merchant acquiring" business with over 50,000 Point-of-sale (POS) terminals for debit / credit cards acceptance at merchant establishments.

Treasury:Within this business, the bank has three main product areas - Foreign Exchange and Derivatives, Local Currency Money Market & Debt Securities, and Equities. With the liberalization of the financial markets in India, corporate need more sophisticated risk management information, advice and product structures. These and fine pricing on various treasury products are provided through the bank's Treasury team. To comply with statutory reserve requirements, the bank is required to hold 25% of its deposits in government securities. The Treasury business is responsible for managing the returns and market risk on this investment portfolio1.6 Organization Structure and Organization Chart:-

The organization structure of the company HDFC is such that it comprises of the departments and the employees in the hierarchical order so that they are able to perform their functions and duties smoothly and effectively doing their job in a manner in which it should be done. The organization is headed by the administrative department which coordinates and controls the executive department. The executive department is a link from the top and the bottom comprising of the lower level employees such that they work together to fulfill the common objective of getting business from the persons who get in touch with them and see to it that they are provided with the best of the BANK which constitute giving financial advise to providing Account to the customers. The lower level employees and the corporate financial consultants work together to see to it that the database for providing financial BANK to sufficient number of people is made .They work together to see to it that this database is followed and worked upon such that more and more number of people get themselves avail the financial BANK of the organization. Team leaders who form the part of the administrative department of the Organization make sure that the clients that turn up for the financial BANK are dealt with most efficiently and effectively.The organizational structure is well planned out and it follows a simple format which is follows:Organization Chart:-

Each team lead has a team comprising only of both senior as well as junior market research analyst who aid the team lead in the entire market research process as it has been discussed previously. This is the basic organizational structure followed by HDFC BANK.

BOARD OF DIRECTORSPERSONDESIGNATION

Mr. Jagdish kapoorVice President

Mr. Aditya PuriManaging Director

Mr. Paresh SukthankarExecutive Director

Mr. Harish EngineerExecutive Director

Mr. Keki M. MistryDirector

Mr. Ashim Samanta Director

Mr. Arvind Pande Director

Mrs. Renu Karnad Director

Mr. C M Vasudev Director

Mr. Gautam Divan Director

Dr. Pandit Palande Director

1.7 MISSION AND VISION OF HDFC BANK

MISSION OF HDFC BANKI. World Class Indian BankII. Benchmarking against international standards.III To build sound customer franchises across distinct businessesIV. Best practices in terms of product offerings, technology, service levels, risk management and audit & compliance

VISION STATEMENT OF HDFC BANKThe HDFC Bank is committed to maintain the highest level of ethical standards, professional integrity and regulatory compliance. HDFC Banks business philosophy is based on four core values such as:-

Operational excellence. Customer Focus Product leadership. People.

The objective of the HDFC Bank is to provide its target market customers a full range of financial products and banking services, giving the customer a one-step window for all his/her requirements. The HDFC Bank plus and the investment advisory services programs have been designed keeping in mind needs of customers who seeks distinct financial solutions, information and advice on various investment avenues.

1.8 BUSINESS STRATEGYI. Increasing market share in Indias expanding bankingII. Delivering high quality customer service.III. Maintaining current high standards for asset quality through disciplined credit risk management.IV. Develop innovative products and services that attract targeted customers and address inefficiencies in the Indian financial sector.

1.9 Product and service profile of the organization:-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:

Personal Banking Savings Accounts

Salary Accounts Saving Accounts

Fixed Deposits Demat Account

Safe Deposit Lockers Loans

Credit Cards Debit Cards

Prepaid Cards Investments & Insurance

Forex Services Payment Services

Net Banking Insta Alerts

Mobile Banking Insta Query

ATM Phone Banking

NRI Banking Award and achievements

Leading Indian business magazine Business India named us "India's Best Bank" in 2000. The Economic Times Awards for Corporate Excellence as the Emerging Company of the Year 2000-01 "Computerworld Honors Laureate" and awarded the 21st Century Achievement Award in 2002 for Finance, Insurance & Real Estate category by Computerworld, Inc., USA. Asia money magazine has named us "Best Commercial Bank in India 2002". London-based Euro money magazine gave us the award for "Best Bank -India" in 1999, "Best Domestic Bank" in India in 2000, and "Best Bank in India" in 2001 and 2002 In 2007 Business Today awards as Indias Most Innovation Companies

We are aware that all these awards are mere milestones in the continuing, never- ending journey of providing excellent service to our customers. We are confident, however, that with your feedback and support, we will be able to maintain and improve our services.

1.11 CUSTOMER PREFERENCE & ATTRIBUTES:-

PREFERENCE:- May be to prefer to open an saving account in HDFC May not be prefer to open an saving account in HDFC

ATTRIBUTES:- PERCEPTION OF CUSTOMER ATTITUDE OF CUSTOMER BLIEFS OF CUSTOMER

Customer preference towards opening of new saving account in HDFC, as we know every person have different perception regarding any object or subject.Same case is here customers preference and attributes of opening an saving account in HDFC is different. As I asked a question to many customers why you need to open a new account in HDFC? Many of them according to their preference and attributes say its good to open an account in HDFC as it gives a good interest rate on saving and some of them say its nationalized bank etc. so it depends upon the preference and attributes.

1.12 SWOT ANALYSIS - HDFC BANK:-Strengths HDFC bank is the second largest private banking sector in India having 2,201 branches and 7,110 ATMs. HDFC bank is located in 1,174 cities in India and has more than 800 locations to serve customers through Telephone banking. The banks ATM card is compatible with all domestic and international Visa/Master card, Visa Electron/ Maestro, Plus/cirrus and American Express. This is one reason for HDFC cards to be the most preferred card for shopping and online transactions. HDFC bank has the high degree of customer satisfaction when compared to other private banks. The attrition rate in HDFC is low and it is one of the best places to work in private banking sector. HDFC has lots of awards and recognition, it has received Best Bank award from various financial rating institutions like Dun and Bradstreet, Financial express, Euromoney awards for excellence, Finance Asia country awards etc. HDFC has good financial advisors in terms of guiding customers towards right investments.Weakness HDFC bank doesnt have strong presence in Rural areas, where as ICICI bank its direct competitor is expanding in rural market. HDFC cannot enjoy first mover advantage in rural areas. Rural people are hard core loyal in terms of banking services. HDFC lacks in aggressive marketing strategies like ICICI. The bank focuses mostly on high end clients. Some of the banks product categories lack in performance and doesnt have reach in the market. The share prices of HDFC are often fluctuating causing uncertainty for the investors.Opportunities HDFC bank has better asset quality parameters over government banks; hence the profit growth is likely to increase. The companies in large and SME are growing at very fast pace. HDFC has good reputation in terms of maintaining corporate salary accounts. HDFC bank has improved its bad debts portfolio and the recoveries of bad debts are high when compared to government banks. HDFC has very good opportunities in abroad. Greater scope for acquisitions and strategic alliances due to strong financial position.

Threats HDFCs nonperforming assets (NPA) increased from 0.18 % to 0.20%. Though it is a slight variation its not a good sign for the financial health of the bank. The non banking financial companies and new age banks are increasing in India. The HDFC is not able to expand its market share as ICICI imposes major threat. The government banks are trying to modernize to compete with private banks. RBI has opened up to 74% forforeign banks to invest in Indian market.

1.13 OBJECTIVES OF RESEARCH PROJECT:-

RESEARCH OBJECTIVES: To find out the customer preferences while opening Savings A/c. To study brand image of the bank. To know about products and services offered by HDFC Bank

CHAPTER-IIREVIEW OF LITERATURE

Review of Literature

VINAY (1984) conducted A Research Article entitled Housing Credit Situation in Eighties

He has focused attention upon formal factor (Permanent Construction) which served mainly to the HIG and MIG, the loan meets only 47% of the price of the house, forcing the borrowers to make very large down payments. Also the price of a typical house was above 3 times the annual families income of the borrowers. In spite of, the entire system of housing allocation and credit the supply of affordable funds was much smaller than demand. Thus, large growth in urban population and the historically low priority given to housing, supply falls very short of demand and need. Therefore, not only that the volume of saving and investments should increase but also larger volumes of capital should flow into housing. Also, accessibility and terms and condition of housing credit will determine the long term redistribution performance in housing.

Rosner (2001) conducted a Research Study entitled Housing in the New Millennium: A Home Without Equity is Just a Rental with Debt

He studied the prospects of the U.S. housing / mortgage sector over the next several years. Based on his analysis, he believes that, there are elements in place for the housing sector to continue to experience growth well above GDP. However, he believes that there are risks that can materially distort the growth prospects of the sector. Specifically, it appears that a large portion of the housing sectors growth in the 1990s came from the easing of the credit underwriting process. Such easing includes: The drastic reduction of minimum down payment levels from 20% to 0%. A focused effort to target the low income borrower. The reduction in private mortgage insurance requirements on high loan to value mortgages. The increasing use of software to streamline the origination process and modify / recast delinquent loans in order to keep them classified as current. Changes in the appraisal process which has led to widespread overappraisal /overvaluation problems.

If these trends remain in place, it is likely that the home purchase boom of the past decade will continue unabated. Despite the increasingly more difficult economic environment, it may be possible for lenders to further ease credit standards and more fully exploit less penetrated markets. Recently, targeted populations that have historically been denied homeownership opportunities have offered the mortgage industry novel hurdles to overcome. Industry participants in combination with eased regulatory standards and the support of the GSEs (Government Sponsored Enterprises) have overcome many of them. If there is an economic disruption that causes a marked rise in unemployment, the negative impact on the housing market could be quite large. These impacts come in several forms. They include a reduction in the demand for homeownership, a decline in real estate prices and increased foreclosure expenses. These impacts would be exacerbated by the increasing debt burden of the U.S. consumer and the reduction of home equity available in the home. Although we have yet to see any materially negative consequences of the relaxation of credit standards, we believe the risk of credit relaxation and leverage cant be ignored. Importantly, a relatively new method of loan forgiveness can temporarily alter the perception of credit health in the housing sector. In an effort to keep homeowners in the home and reduce foreclosure expenses, holders of mortgage assets are currently recasting or modifying troubled loans. Such policy initiatives may for a time distort the relevancy of delinquency and foreclosure statistics. However, a protracted housing slowdown could eventually cause modifications to become uneconomic and, thus, credit quality statistics would likely become relevant once again. The virtuous circle of increasing homeownership due to greater leverage has the potential to become a vicious cycle of lower home prices due to an accelerating rateof foreclosures.

Jaco Melissa B conducted A research article entitled Home Ownership Risk Beyond a Subprime Crisis: TheRole of Delinquency Management

She concluded that public investment in and promotion of homeownership and the home mortgage market often relies on three justifications to supplement shelter goals, to build household wealth and economic self-sufficiency, to generate positive social psychological states, and to develop stable neighborhoods and communities. Home ownership and mortgage obligations do not inherently further these objectives, however and sometimes undermine them. The most visible triggers of the recent surge in subprime delinquency have produced calls for emergency foreclosure avoidance interventions (as well as front-end regulatory fixes). Whatever their merit, she contend that a system of mortgage delinquency management should be an enduring component of housing policy. Furtherance of housing and household policy objectives hinges in part. On the conditions under which homeownership is obtained, maintained, leveraged, and in some situations exited. Given that high leverage or trigger events such as job loss and medical problems play significant roles in mortgage delinquency independent of loan terms, better origination practices cannot eliminate the need for delinquency management. In terms of analyzing this framework, it is tempting to focus on its impact on mortgage credit cost and access or on the absolute number of homes temporarily saved, but her proposed analysis is based on whether the system honors and furthers the goals of wealth building, positive social psychological states, and community development. Because those ends are not inexorably linked to ownership generally or owning a particular home, a system of delinquency management that honors these objectives should strive to provide fair, transparent, humane, and predictable strategies for home exit as well as for home retention.M. Mahadeva conducted A research article entitled Housing Problem and Public Action: Continued Incompatibility Experience from a South Indian State In this article, the author has analyzed the nature and distribution of the housingProblem in Karnataka and examined how the state has addressed this issue. In particular, it considers the strategies adopted during the 90s and identifies a number of failures including the task force on housing. Some of the major weaknesses, pertaining to incidence by type and by rural-urban areas, on approaches, on financial requirements and issue of development and redevelopment are examined to propose alternative policy strategies to effectively address the housing problem in the state. From the analysis it is found that Karnataka is not an exception to the general rule that housing strategies, which were evolved over decades, have not taken the direction expected. By and large, the sectoral policies pursued were only ad hoc without a clear focus. Lack of comprehensive policy to guide housing development on equity principle together with ad hoc approaches, have failed to deliver housing benefits and develop critical housing inputs on a sound footing with equal opportunities for all need based policy interventions hassle free input delivery mechanism existing housing shortage and rural-urban disparities substantially. Unfortunately, this did not happen. Thus, policy issues like what policies are needed for the state of Karnataka to guide housing development, increasing the housing supply to the poorer and marginalized sections, mobilizing the needed financial resources and a host of other issues in addressing the housing problem emerge.

BRAR (2005) conducted A study entitled Performance of Housing Finance Companies

The objectives of this study were: to study the operational performance, and the financial performance of the selected institutions. The study covers three institutions viz. HDFC, LIC & PNB. The study is based on secondary data that have been collected from the annual reports and web sites of the institutions selected under study. It covers the period from 1990-91 to 2002-03. The performance of the selected institutions has been studied by using percentages, compound growths rates and various ratios. Findings of the study are:-

HDFC comes at the top among all the institutions as far as loan sanctioned, disbursements and the loan outstanding are concerned, PNB has the last rank for both loans sanctioned and disbursed. However, the compound growth rate for the loan sanctioned, disbursement and outstanding has been highest in the case of LICHF. It stood at 26.49%, 30.89%, 36.16%. Against PNB showed the lowest compound growth rates of 18.62% and 19.90%, for the loan sanctioned and disbursement over the same period. However, the compound growth rate of the loan outstanding in the case of PNBHF was higher than the growth rate of HDFC. The ratio of loan disbursed to loan sanctioned shows that the ratio of PNBHF showed the highest variations from 53.37% to 96.52 % over the given period, followed by LICHF for which the ratio varied from 56.88% to 95.65%. On the other hand, the ratio for HDFC showed the lowest range of variation from 81.07% to 88.19 in the same period. Number of housing units assisted by the selected institutions and its percentage to the total units financed during the year showed that HDFC and PNBHF financed more than 64% and less than 3% of the total units financed during the entire period of the study, respectively. HDFC has provided the highest proportion of loans to individuals. The highest variation in the composition of loan outstanding has been in the PNBHF. The loan outstanding to individuals in the case of HDFC ranged from 66.89% to 81.99% whereas it ranged from 89.58% to 100% for LICHF for the same period. HDFC has been a major market share holder among the HFIs selected under study. PNBHF has disbursed less than 4% of the total loan disbursed by HFIs. It is found that during almost all the years under study, all the HFCs earned more than 80% of their interest income from the interest on housing loans. LICHF earned the maximum proportion of total income from the interest on housing loans. It was followed by PNBHF and HDFC. As far as ratio of interest expense to total expenses is concerned, it ranged from89.15% to 93.13% for HDFC over the period 1990-91 to 2002-03. It ranged from 65.74% to 92.45% for PNBHF and from 83.39% to 94.31% in case of LICHF over the same period. PNBHF spent in the range of 0.63% to 4.57% of the total expense on establishment over the period of the study which was the highest among all theinstitutions. LICHF spent the lowest proportion ranging from 0.42% to 0.89% onestablishment expenses during the same period and the ratio showed a declining trend in the case of HDFC cover the same period.

The interest paid to loans funds showed much variation in the case of PNBHF.The ratio for HDFC increased in the initial period but decreased later on. Amongall the institutions under study PNBHF paid the highest cost for raising loan funds. The assets of LICHF constituted the highest proportion of outstanding housingloans followed by PNBHF and HDFC. During the period, investments comprised less than 25% of the total assets for all the institutions. LICHF has a comparatively low ratio of investments to the total assets the ratio of HDFC has been the highest over the same period. PNBHF showed a considerably increasing trend in the earlier years but it declined in the later years. The net profit margin of PNB was higher than that of LICHF in the initial years,but the ratio of LICHF shows improvement over PNBHF in the later period. In the case of HDFC the net profit margin was in the range of 11.32% to 23.20% over the period of study. Return on net worth: - The ratio had considerable variation in the case of PNBHF from 49.23% to 40.26%. The ratio also showed a comparatively little variation and was at a reasonable level for both HDFC and LICHF during the period of the study

RAO (2005) conducted A Paper entitled Retail Banking Emerging Issue in Home Loan

In this paper the authors revealed that during 2002-03 housing loans by banks grew at a hefty growth rate of more than 100%. The factors that contributed to this aggressive growth in the portfolio of housing loans of banks and HFC are: Tax intensives on repayment of principal and interest, rising income level of middle class, falling interest rate, stable real estate prices, easy availability of housing loans, low returns on the investment opportunities available in the market. They also concluded that although there is strong growth in housing loans by financial situations in India, we are still behind the developed countries in terms of housing loans to GDP ratio. In India it is around 2.5% compared to 57% in the UK and 54% in the US. It shows that there is a vast scope for housing loans in India. One economist has argued that every rupee spent on the housing sector will increase the GDP by more than 75 paise. It also creates a labour intensive. Despite the immense growth in housing loans there are certain challenges that the banks might face in the time to come, e.g. falling rate of interest, rising mismatch in the assets and liabilities of the bank, rising NPA in the housing loan portfolio, etc.

Phogat (2006) conducted A Research Article entitled Housing Loan Frauds in Banks: Some Precautionary Measures

This article gives the measures for the housing loan frauds in banks. The author concluded that housing for all envisaged 2 million houses every year out of which 0.7million are in the urban sector. Government provided certain relief under Income TaxAct. It motivated many people to avail housing loan. The author thinks that differentfrauds committed on various banks can be divided into the following two categories. i.e. Pre sanction and Post Sanction. KYC related due weakness in pre inspection, Benami A/c, forged title deeds, by selling same flat to different people, inflated salary certificate, filing of IT return for the last three years in one lot and particularly by paying a nominal amount of tax, valuation of the property is manipulated to manage margin money are post sanction fraud. The precautions may be taken at the bank level to avoid the assurance of fraud i.e. KYC norms be followed, main salary A/c should be verified, loan should be granted against the flat / houses built by reputed builders only. An undertaking from the builders for not been sold to any other person, search report of property to be conducted by the advocate, original title deeds, property tax, electricity bill, kept on records. Disbursement of loan should be made after spot verification, title deed should be scanned through ultra violet ray machines before mortgage and bank should independently verify the report and no middle man should be involved in the process and entire KYC. So the author points out that above mentioned precautions will enable the bankers to curb frauds and publicmoney can be saved.

Srinivas (2006) conducted A Paper entitled Is Housing Finance Safe as House? Or Delinquency in Housing Finance

The study revealed that disbursement of home loan increased at increasing growthrate during the growth rate of disbursement in 2000-01 compared to the earlier year was 13.7% which increased up to 76% in 2002-03. The reasons behind the growth in housing loans are,

(i) Easy availability of housing loans(ii) Growing population(iii) Nuclear family system(iv) Newer segments for finance(v) Urbanization of Indian economy(vi) Shortage of dwelling units(vii) Declining of cost of house to income ratio etc and,(viii) Tax benefits.

The study revealed that banks have also concentrated on housing loans becausethe housing loans are totally secured as the mortgage on the property securities the loan. Also the capital adequacy requirement for general lending is at 100% for housing loans. The processing and documentation of housing loan is very easy due to extensive utilization of technology. But there are also some common frauds occurring in housing finance like an individuals inflate their income statement, manipulate the income tax returns, inflate the value property, lack of appraisal & follow up etc. The researcher has also explained the new concept of NPL (Non-performing loan). The housing finance has been associated very low risk. But empirical evidence suggest that non-performing loan in the Indian housing finance sector are much higher than in a developed market. NPL rise in India because of willing defaulters and an emerging population of fraudsters. This is also a reflection of industrys aggressive marketing and some inadequacies in appraisal standards and system. Such high NPL have two-fold impact i.e. they depress yield andentail a credit cost in the form of provisioning and write-off. The researcher also found that the NPL of housing finance companies are higher than the banks. The suggestion given by researcher is that if the banks have not taken the prudential norms for housing loans they have to conduct recovery mela instead of present loan mela.

Singh (2006) conducted A Research Article entitled Housing Finance in India A Case Study of LIC Housing Finance Limited

In this paper, the authors have studied the housing finance in India. Housing, asone of the three basic needs of life, always remains on the top priority of any person,economy, government and society at large. In India, majority of the population lives in slums and shabby shelters in rural areas. From the last decade, the Government of India has been continuously trying to strengthen the housing sector by introducing various housing loan schemes for rural and urban population. The first attempt in this regard was the National Housing Policy (NHP), which was introduced in 1988. The National Housing Bank (NHB) was set up in 1988 as an apex institution for housing finance and a wholly-owned subsidiary of Reserve Bank of India (RBI). The main objective of the bank is to promote and establish the housing financial institutions in the country as well as to provide refinance facilities to housing finance corporations and scheduled commercial banks. Moreover, for the salaried section, the tax rebates on housing loans have been introduced. The paper is based on the case study of LIC Housing Finance Ltd., which analyzes region-wise disbursements of individual house loans their portfolio amounts and the defaults for the last ten years, i.e., from 1995-96 to 2004-05 by working out relevant ratios in terms of percentage and the compound annual growth rates.

Vimala (2007) conducted A Research Study entitled Housing Advances and Commercial Banks: A Review

The objectives of the study were:1) To review the housing advances of commercial banks in Kerala.2) To compare the performance of different bank groups in respect ofhousing advances.The study covered a period of seven years from March 2000 to March 2006 and the secondary data are used in the study. For the purpose of the study, commercial banks are grouped into four categories. The study revealed that there is no significant difference in the growth rate of housing advances by different bank groups in state. Kruskal Wallis(H-Test) was applied to arrive at this conclusion. The amount of housing loan disbursed by RRB which was ` 6.09 crore in 1999-2000 rose to 236.35 crore in 2005-06 showing a CGR of 85% which was the highest amount of all categories.Sreelaxmi (2007) conducted A Paper entitled Housing Finance Sector in India An Overview

The author stated that housing has always been an important agenda for theGovernment of India. It generates national income by creating employment and helps the individuals in their socio economic development. It gives impetus to the economy by enhancing capacity utilization of related industries such as steel, cement, transportation, etc. The home loan sector in India is on a boom. The new class of young buyers, whose affordability is high, is spending a little more on paying EMI rather than spending huge amounts on the rents, thereby owning a house. The government is also encouraging this sector by allowing tax benefits. The housing finance sector shows an exponential growth as compared to the other areas of credit. The annual growth rates (in %) of direct housing finance disbursals by the Primary Lending Institution during 2001-02, 2002-03, 2003-04 and 2004-05 were 25,76,29 and 32 respectively. While housing finance is experiencing exponential growths, the menace of bad loans cannot be ignored. These loans required better monitoring, fair assessment of property and compliance with end use principles and because of the Securitizations Act, banks are now able to overcome the problem of non- performing Assets e.g. In 2004-05, percentage of NPA in housing finance was only 1.4 compared to 2.80% in case of banks total retail credit. Once the loan is sanctioned the job of the lender is not over. He has to exercise vigilance and monitor the payments of installments by the borrowers. It is advisable to make periodical review of the borrowers financial position to ensure his capabilities of prompt payments of installments. The researchers suggest that the industry has been constructing stories on a safe foundation. It will continue to thrive so long as it plays safe averting NPAs. Necessary measures like takeover of bad loans, fair assessment of property and employee morale may be taken by the financial institution by improving their performance and avoiding NPAs.

Bagchi (2008) conducted A Research Paper entitled Risk in Real Estate Financing

The author has analyzed the factors affecting risk and suggests that real estate financing will be the order of the day in a new age bank / Institution lending in theinterest of the development of the country. Real estate financing is no longer untouchable as it used to be before 1990s. It is also a fact that this sector contains a higher order risk of default and lower order scope of eventual recovery since the fate of real estate is interwoven with macro-economic fundamentals and volatility of asset prices. The researcher has given the following suggestions to avoid risk factors in real estate financing. Land records at the land registration offices have to be streamlined and brought under the contemporary technology support system. Bank/Financial institutions should create a special cadre of credit investigationoffices who need to perform like private detectives to ascertain the track record of the borrowers. No loan/advance should be granted by way of equitable mortgage but a simplified registered mortgage system can be devised with provision for low registration fee for loans against any real estate. Title Insurance system should be devised to enable lenders to obtain insurance cover from any approved insurance company. At the Corporate head quarters of each banks/financial institution there shouldbe a cell known as Real Estate Financing Cell which should be involved in theentire cycle starting with sanction and disbursement of such loan to periodicalmonitoring and recovery thereof.

Kumar (2009) conducted A Paper entitled Whether Todays Customers are satisfied? A Study with Banks

The objective was to rank the banks on the basis of customers satisfaction and to find out the problems faced by the present day customers with the banker and to make suggestions for better working of the banking services. The study is restricted to Coimbatore headquarters only. Only 105 customers were considered as sample for the study which was conducted during the months of May and June, 2008. SBI and its associate bank were taken for the study. The findings of the study are: 42.86% of the respondents are in the age group of 31-40 years. 68-57% aremarried, 42.86% have post-graduate education, 36.19% are businessman, and35.24% are employed. 37.14% respondents income range between `1,000 to`15,000. With infrastructure 51% of the respondents were found to be satisfied. Withregard to location of the bank, 25% of their customers are highly satisfied. Regarding attitude of the bankers toward its customers, only 59% are found to be satisfied and only 6.7% were found to be highly satisfied. Regarding investment opportunities, 35% of the respondents are satisfied 16.19% of the respondents were dissatisfied regarding advice towards investment. 51% of the customers are satisfied with the banks the behavior towardscustomers by the bank employees. Regarding Evening Banking services, phone banking services & Sunday banking services there were 33%, 18% and 11% dissatisfied customers respectively. With regards to the core banking service only 28.9% of the respondents wereaware of the functioning of CBS, with regards to online banking services 70% and the functions of smart card, digital cash and e-purse 69% respondents aresatisfied. 80% of the customers are satisfied with the proximity of the ATM. 41% are satisfied regarding the approach of banks towards redressal. Overall rate compared to age and income was found to be significant whereas rest of the factors considered do not have significant influence on the other. Theresearcher suggested that:-- The facilities of the bank should be made more convenient for customercomforts.- The ATM services should be extended with few more cabins.- Customer meets should be organized at reasonable intervals so that theycan establish better rapport with the customers and educate them about thelatest advancement made in the bank.- Additional branches can be opened to reduce the burden of work on theexisting branch.- The banks should improve the working performance of operations.

Chaubey (2009) conducted a Study entitled Housing Finance in India Problems and Prospects

The objectives of the study were:(i) To Study the customers views on housing finance offered by HDFC inVaranasi, and(ii) To know about the relative performance of HDFC in providing housingloans in city. The sample of the study was selected on the basis of random sampling techniques. For analyzing the perception of the borrowers, Likert scaling test was used. The study reveals that, 42%, 32%, 22% and 4%, opted for loans because of low interest rate, easyinstallment scheme, simple procedure and other reasons respectively. 26%, 34%, 38%, and 2% respondents have borrowed loans for purchase of flats, purchase of house, construction of house and other reasons respectively. 100% respondents made the repayment in equated monthly installments. 43% respondents knew about the interest rate. 92% respondents preferred floating interest rates and 8% respondent preferred fixed interest rates. 72%, 18% and 10% respondents came to know about bank through print andelectronic media, friends and relatives and Builders/Developers respectively. 50%, 24%, 20% and 86% respondents have reported of mortgage of financethrough property, gold and others insurance policy equal to the loan sanctioned,deposit for the title deed and additional collateral security respectively. 58%, 28% and 14% respondents opted for more than 15 years, 5 years and 10 year as the term of loan, respectively. 40%, 38% and 18% respondents repaid their loan amount through postdatedcheques, through ECS and through salary deduction and 4% were paying directly to the bank. 70% respondents agreed that there is a delay of loan approval that there is a delay of loan approval and disbursement.The researcher suggested that, Option of repayment of EMI in monthly, quarterly or half yearly basis should begiven. To win the confidence of customers and bring transparency in all the transactions, it is necessary that the details of their loans accounts should be available online. Most of the customers suggested that the loan processing / sanctioning timeshould be reduced. Customers suggested that the bank should provide online approval of application. As far as the opinion of respondents about various facilities and policies of thebank is concerned, it is found that:-- 72% of the respondents opined that the government is encouraging thehousing sector- Only 50% said that the officials of the institutions were helpful.- Only 28% of them reported that they were getting entire cost of flat as aloan.- Only 40% of the respondents felt that rate of interest changed by theinstitutions is reasonable.- Only 42% of them were satisfied with the existing facilities for obtaining loan.- Above half of them (52%) stated that the loan also covered life or fireinsurance benefit.- Only 42% reported that repayment period is adequate.- 48% respondents stated that they were regular in making promptpayments.Thus, by and large, opinion of the respondent is not very much in favor of theinstitutions, because except in two cases in all the remaining cases a favorable opinion was expressed by less than 50%. Similarly, regarding various problems faced by the customers, it was found that more than half of the respondents either strongly agreed or agreed with the statements about delay in approval and disbursement, inadequate guidelines, tedious procedure lack of interest on part of officials, difficulty in getting security, inconvenience in paying EMI, irrelevant securitization, illogical approach a insufficient amount sanctioned. Thus, majority of the respondents face most of theproblems listed above.

Vetrivel (2010) conducted A Research Study entitled A Study on Customers Preference and Satisfaction of Four Basic Banking Services in Coimbatore and Erode

The objectives of the study were: To know the overall satisfaction and dissatisfaction levels of bank customerswith respect to four-dimensional banking services Loan services, deposit scheme services, Insurance services and value added services. To know the customers opinion and preferences about various supportingfactors of four dimensional banking services. For this purpose, 300 customers of two major cities of Coimbatore and Erode were selected at random and the study period was for nine months. (August 2009 to April 2010). Chi-square test was used to analyze the data. The important findings of the studies were:- As far as overall satisfaction is concerned out of the 172 bank loan customersi.e. 50% of customers were satisfied and the remaining 50% dissatisfied due topoor services, penalties for late payment, fear of threats, interest rate confusion,hidden cost, unknown deduction etc.- Overall satisfaction on bank deposit schemes resulted positively.- Banking insurance services still need to be given attention by focusing oncustomer issues.The study reveals that new innovative schemes, strategies to cater to non-users of insurance services have to be adopted, in value-added services. Customers preference for net banking was least ranked and if the bankers wish to increase net banking traffic, bankers should take maximum efforts to educate the consumers by offering online training instead of handing out instruction manuals. The researchers suggest that if the banks want to sustain customers on a long-term basis, bankers should work towards 100% customers satisfaction.

CHAPTER-IIIRESEARCH METHODOLOGY

4.1 Statement of research problem:-

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.

4-2 OBJECTIVES OF RESEARCH PROJECT:

RESEARCH OBJECTIVES:To find out the customer preferences while opening Savings A/c.To study brand image of the bank.To know about products and services offered by HDFC bank

4.3 Research Design and Methodology

Primary data source: 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.

Secondary Data Source: 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 companys database and website of the company.

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: CustomersSample Technique: The sampling techniques used are convenience technique and simple random sampling technique.Research Instrument: Structured Questionnaire.Contact Method: Personal Interview.Tools of Analysis Tables: This is a tool to present the data in tabular form. Percentage, Bar Graphs and Pie Charts: These tools were used for analysis of data.SAMPLE SIZE:My sample size for this project was 100 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 100 respondents.

RESEARCH LIMITATIONS:It was not possible to understand thoroughly about the different marketing aspects of the Financial Consultant within 60 days. As stipend, money was not given it was difficult to continue the project work. All the work was limited in some limited areas of SAHARANPUR so the findings should not be generalized. The area of research was SAHARANPUR and it was too vast an area to coverWithin 60 days.

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 SAHARANPUR.

CHAPTER IVDATA ANALYSIS& INTERPERTATION

Data Analysis

Question 1What is your Monthly Transaction in your account?Table 5.1Monthly Transaction

Monthly transactionsNo. of respondents% (Percentage)

5-20 lakhs2828%

20-40 lakhs5959%

40 lakhs and above 1313%

Total100100%

Source: Primary Data

Interpretation:Majority of respondents i.e. 59 percent said that their transactions are 20-40 lakhs. On the other hand 13 percent respondents said that their transactions are 40 lakhs and above.

Question 2Do you have a Saving Account? Table 5.2 Saving account

ResponseNo. of respondents%

Yes9797%

No33%

Interpretation: 97% respondents have the saving accounts and only 3% do nothave saving account.

Question 3In Which Bank? Table 5.3 BankBankNo. of respondent%

PNB Bank5555%

State bank 2020%

Co operative 55%

HDFC22%

Others2323%

Interpretation:50% have saving account PNB Bank 20% in ,2% in HDFC, 5% in Cooperative, and 23% in Other Nationalized bank.

Question 4Which Factors do you consider for opening a Savings Account? Table 5.4 FactorsNo. of respondents%

Accessibility1010

Minimum balance2020

DD/pay order1313

Free Cheque1010

Debit card88

Cash deposit77

Cheque pick up22

Net banking1616

Mobile banking77

As per Cheque33

NEFT22

RTGS22

Total100100

Interpretation:Respondents gave their answer10% respondents gave their answer in accessibility, 20% Minimum balance,13 % DD/pay order,10% Free cheque, 8% Debit card, 7% Cash deposit, 2%Cheque pick up, 16% Net banking, 7% Mobile banking, 3% At per cheque, 2%NEFT, 2% RTGS.Question 5Which mode of transaction do you avail of frequently? Table 5.5 Mode of TransactionResponseNo. of response%

Pay order1212

DD2222

Cheque7676

Total100100

Interpretation:12% Response in pay order, 32% like DD, and 76 % costumer want fromcheque mode.

Question 6 Which types of transaction do you make ? Table 5.6 Type Of TransactionResponseNo. of respondents%

Intercity3333%

Outside city1515%

Both5252%

Total100100%

Interpretation:33% account holder transaction intercity, 52 % both, and 15% outside city.

Question 7Does your bank assist you in case of any problem? Table 5.7 Bank ProblemResponseNo. of respondents%

Yes9090%

No 1010%

Total100100%

Interpretation:90% say yes bank will assist you in case of any problem, only 10% say no.

Question 8.. What are the additional Benefits do you expect from a Saving Account?TABLE 5.8Additional BenefitsNo. of respondent%

Net banking5555%

Mobile Banking2020%

At Par Cheque2323%

NEFT22%

RTGS55%

Interpretation:Respondents gave their answer55% respondents gave their answer in net banking, 20% mobile banking,23 % at par chaques,2% NEFT,5% RTGS

CHAPTER- V FINDINGS, LIMITATION,RECOMMNDATIONS & CONCLUSION

5.1Summary of Learning Experience (findings)Almost all the Banks offer similar features and facilities with their Savings accounts. There are certain reasons for existing customers of Saving Account of any Bank to shift to another Bank. The level of service in terms of delivering whatever is promised, fast response in case of problems, is the most important benefit that the customers seek, from the Bank they have a Saving Account with.The final draft of the questionnaire was prepared on the basis of the observations from the pilot study. These were then finally filled by 100 customer, for the conclusive study.Finally the data collected was fed into the data analysis to be analyzed using statistical techniques.

Types of Primary Data collected:

Socioeconomic Characteristics:characteristics are sometimes called states of being in that they represent the type of people. The factors on which we are working are occupation. Monthly transaction is also an important parameter but it is difficult to verify. Although the amount of money that business unit earns in a month is an absolute, not a relative quantity but it is a sensitive topic in our society and it is difficult to determine.

Attitudes/Opinions:Through the questionnaire we have tried to get hold of business preference, inclination and requirement. Attitude is an important notion in the marketing literature, since it is generally thought that the attitudes are related to the behavior of businessmen.

Motivation:Through the questionnaire we have tried to find the hidden need or want of businessmen and have tried to find if these people can be tapped as the potential customer for HDFC Bank.Behavior:Behavior concerns what subjects have done or are doing. Through the questionnaire we have tried to find out the behavior of the individuals regarding the product and their responses. If the responses are favorable then the person can be said to be our potential customer. The primary data serves as an important tool to measure the behavioral trend of the customer. It helps in answering some of the vital Questions.

Obtaining the Primary Data:The data collection was primarily done through communication. Communication involves questioning respondents to secure the desired information, using a data collection instrument called questionnaire. The questions were in writing and so were the responses.

Versatility:It is the ability of a technique to collect the information on the many types of primary data of interest to marketers. It has also been found that some of the people do not answer truthfully to all the questions especially in the case of the personal details. The level of service in terms of delivering whatever is promised, fast response in case of problems, is the most important benefit that the customers seek, from the Bank they have a Saving Account with

1. Network reach and visibility of a Bank is a very important criterion for the customer while opening a Saving Account. We can also conclude from our analysis that network reach in terms of Branches and ATMs is directly proportional to the market share in case of Private Players.

2. In case of a new customer, if a bank approaches it first for opening a Saving Account with them, then there is a good chance for the bank of getting many future businesses and cross sales from the deal.

3. Aggressive Marketing is the key to increasing the market share in this area, since the market has a lot of potential both in terms of untapped market .

LIMITATIONSSome of the limitations of the project are listed as below:

1. The time bound period is the major limitation in research projects.

2. Due to the financial and time constraints a cluster analysis of the population so as to get better results was not feasible.

3. The research conduct in SAHARANPUR only.

4. It was difficult to break the ice with the common people initially. It was a daunting task to convince them to fill in the personal details of the questionnaire where they have to mention the monthly income, occupation etc.

5. To convince the people for a proper interviewing process is also difficult.

6. Compilation of data on competitor analysis was difficult due to non availabilityof correct information.

7. The figures have been taken as approximations

Recommendations

1.Contract Sales Executive (CSE) should be trained to explain the product features and its value added services to make customers product selection convenient.

2. Contract Sales Executive (CSE) should recommend right product to the right customer so as to ensure a high degree of satisfaction among the customer.

3. The bank needs to make people aware about there products and the basic benefits they can derive out of it. And also the differential features of its savings account as compared to other banks.70% of the people did not even know about the concept, benefits and features of its saving accounts ,in SAHARANPUR it is about 90%.

4. The bank should also target small business unit for whom maintenance of the AQB is not a problem as this segment is not much penetrated.

5. Though the bank offers free doorstep banking once a day this fact is also not known to many customers or they still do not trust this service what ever the reason the bank can popularize this service to gain an edge over nationalized banks and Co-operative Banks.

6. Quality of service has been rated highly important by all demo figure factors as a reason for banking with a particular bank, Standard Chartered needs to improve the services provided to its existing customers before attracting more in the future and use word of mouth as a promotional tool to increase the sales potential of its savings account.

WIBLIOGRAPHY WEBSITES www.hdfcbank.comwww.google.com

BIBLIOGRAPHY

Kothari C.R (2004) Research methodology:Method and Tech, second edition, New Age International Publisher, New Delhi Lall Vinay in 1984 conducted A Research Article entitled Housing Credit Situation in Eighties Joshua Rosner in 2001 conducted a Research Study entitled Housing in the New Millennium: A Home Without Equity is Just a Rental with Debt Jaco Melissa B conducted A research article entitled Home Ownership Risk Beyond a Subprime Crisis: TheRole of Delinquency Management M. Mahadeva conducted A research article entitled Housing Problem and Public Action: Continued Incompatibility Experience from a South Indian State Brar Jasmindeep et.al. in 2005 conducted A study entitled Performance of Housing Finance Companies Rao K. N. et.al. in 2005 conducted A Paper entitled Retail Banking Emerging Issue in Home Loan Phogat M. in 2006 conducted A Research Article entitled Housing Loan Frauds in Banks: Some Precautionary Measures Srinivas S.P. in 2006 conducted A Paper entitled Is Housing Finance Safe as House? Or Delinquency in Housing Finance Singh Fulbag et.al. in 2006 conducted A Research Article entitled Housing Finance in India A Case Study of LIC Housing Finance Limited Vimala P. in 2007 conducted A Research Study entitled Housing Advances and Commercial Banks: A Review Sreelaxmi P. in 2007 conducted A Paper entitled Housing Finance Sector in India An Overview Bagchi S. in 2008 conducted A Research Paper entitled Risk in Real Estate Financing Ashok Kumar M. et.al. in 2009 conducted A Paper entitled Whether Todays Customers are satisfied? A Study with Banks

QUESTIONNAIRE

Name of Respondent_________________________________Contact No._______________________1. Monthly Transaction?________________________________________________2. Do you have saving Account?(a) Yes (b) No3. If Yes Which banksoICICIo HDFCo Kotak Mahindra Banko Nationalizedo Other Banks _________________o Co-Operative Banks___________________

4. Which Factors do you consider for opening a saving Accounto Accessibilityo Minimum Balanceo DD/ Pay Ordero Free Chequeo Debit Cardo Cash Deposit5. Which mode of transaction do you avail frequently?(a) Cheque ( b) DD (c) Pay Order6. Which type of transaction do you made(a) Inter city (b) Intra city (c) Both7. Does your bank assist you in case of any problem(a) Yes (b) No8.. What are the additional Benefits do you expect from a Saving Account?Pick upo Net Bankingo Mobile Bankingo At Par Chequeso NEFTo RTGS

_____________________________________________________________________________________________________________________________________________.

Date___________________Place__________________Signature

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