PROJECT REPORT ON

FINANCIAL SERVICES OF PRIVATE BANKS

Submitted in partial fulfillment of requirement of Bachelor of

Business Administration (B.B.A.) General

BBA VIth SEMESTER(MORNING)(A)

BATCH 2010-2013

Submitted To:Submitted By:

STUDENT DECLARATION
Ms. Rama Mittal Anjali Gupta
Assistant Professor 01714101710
This is to certify that the project report entitled Financial Services Of Private Banks
submitted for the degree of BBA for Jagannath International Management School,
Affiliated to GGSIPU. Its a bonafied research work carried by me, Anjali Gupta, a
student of Jagannath International Management School.
JAGANNATH INTERNATIONAL MANAGEMENT SCHOOL
KALKAJI
1
 STUDENT DECLARATION

This is to certify that the project report entitled Financial Services of Private Banks
submitted for the degree of BBA for Jagannath International Management School,
Affiliated to GGSIPU. Its a bonafied research work carried by me, Anjali Gupta, a
student of Jagannath International Management School.

The assistance and help received during the course of investigation have been fully
acknowledged.

Anjali Gupta

2
 ACKNOWLEDGEMENT

I take this opportunity to thank all those who have been of help to me in the
completion of this project.

I would like to appreciate the guidance and co-operation provided to me by our

project guide Ms Rama Mittal in the completion of this project.

I am also grateful to Dr. Satish Seth (Director of BBA programme) and all the faculty
members who have directly or indirectly helped me in preparing this project report.

Name Of The Student:

Anjali Gupta

3
 CERTIFICATE OF COMPLETION

This is to certify that ANJALI GUPTA student of JAGANNATH INTERNATIONAL

MANAGEMENT SCHOOL, KALKAJI OF BBA OF SIXTH SEMESTER has completed
this Project and prepared this report on FINANCIAL SERVICES OF PRIVATE
BANKS under my guidance. The matter embodied in this project work has not been
submitted earlier for the award of any degree or diploma to the best of my knowledge
and belief.

Ms. Rama Mittal

Assistant Professor

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 TABLE OF CONTENTS

Description Page No.

Objective& Significance of the study 6
Company Profile of Yes Bank 7-12
Financial Services Offered By Yes Bank 13-16
Company Profile of HDFC Bank 17-28
Financial Services Offered By HDFC Bank 29-37
Research Methodology& Data Collection 38-40
Comparison Between HDFC and Yes Bank 41-42
Analysis & Findings 43-50
Limitations 51
Conclusion 52
Bibliography 53

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INTRODUCTION

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 FINANCIAL SERVICES
Financial services are the economic services provided by the finance industry, which
encompasses a broad range of organizations that manage money, including credit
unions, banks, credit card companies, insurance companies, consumer finance
companies, stock brokerages, investment funds and some government sponsored
enterprises. As of 2004, the financial services industry represented 20% of the
market capitalization of the S&P 500 in the United States.

The term "financial services" became more prevalent in the United States partly as a
result of the Gramm-Leach-Bliley Act of the late 1990s, which enabled different types
of companies operating in the U.S. financial services industry at that time to merge.

Companies usually have two distinct approaches to this new type of business. One
approach would be a bank which simply buys an insurance company or an
investment bank, keeps the original brands of the acquired firm, and adds the
acquisition to its holding company simply to diversify its earnings. Outside the U.S.
(e.g., in Japan), non-financial services companies are permitted within the holding
company. In this scenario, each company still looks independent, and has its own
customers, etc. In the other style, a bank would simply create its own brokerage
division or insurance division and attempt to sell those products to its own existing
customers, with incentives for combining all things with one company.

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Our range of products and services fall under the following three broad categories:

Infrastructure Banking Unit (IBU):

This unit provides a full range of advisory and credit linked products to clients with a
special focus on the infrastructure sector. We meet the financial needs of clients
operating in the Power, Telecom, Mining, Oil and Gas, Transportation and Wind
Energy segments. We assist our clients to obtain funding for projects and also offer
end- to-end advisory services from the planning stage to financial closure.

Structured and Project Finance Unit (SP & F):

The SP & F unit offers structured and project finance expertise to non-infrastructure
clients. The areas of specialization include:

a. Securitization- We provide solutions that offer companies access to strategic

sources of fundingby converting assets with probable and predictable cash
flows into a source of capital. This alters the risk profile of the corporate,
provides the necessary liquidity and offers investors an opportunity to gain
higher yields while taking acceptable risks.
b. Structured Liability Products- The SP and F group, in conjunction with the
Debt Capital Markets Group, offers liability products to a range of financial
and retail clients in packaging, structuring and placing ABS, MBS, CLOs and
CDOs to generate cost efficient liabilities for our clients.
c. Debt- Syndication- We provide debt solutions from local and international
markets to both private and public sector institutions. Our strong relations with
Borrowers, other banks and Institutional investors help our clients to fulfil their
desired financing requirements.
d. Leverage Finance- This encompasses the origination, structuring,
underwriting and participation through Funding in Leveraged Finance
transactions, including leveraged Buy-Outs, Take-overs and General
Acquisition Finance.
e. Asset and Tax based structures- Comprehensive solutions to provide tax
benefits, finance for physical assets and advisory services for leases.

Financial Restructuring Unit (FRU):

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This unit provides specialized advisory services on financial restructuring, with
expertise in the area of stressed assets. We offer our clients expert advice and
creative product solutions to overcome balance sheet and financing contraints. The
team also assists financially distressed companies in the creation and
implementation of comprehensive financial restructuring packages.

Infrastructure Banking and Project Finance:

Driven by strong credit appraisal skills, knowledge based approach and experienced
human capital, this team has created an identity in the infrastructure financing space.
The IBPF team has deep understanding of the international best practices in
infrastructure finance, due diligence and project structuring skills. The knowledge
banking managers have proven project financing capabilities in several infrastructure
sectors:

Power
Transportation
Telecom
Urban Infrastructure

The team had several marquee transactions to its credit, with some of the best
names in the industry.

Structured Finance

The team leverages its strong regulatory and legal understanding to structure
complex transactions, thus assisting clients in obtaining superior financial returns in
a risk mitigated manner due to substantial knowledge arbitrage over the market.
Landmark transactions in current financial year Providing Microfinance Institutions
(MFIs) access to the debit capital market.

Discounting of rental receivables

Securitization transaction
Agriculture loan pool buyouts
Microfinance loan pool buyouts

Realty Banking

9
The team provides advisory and funding services like project conceptualization and
structuring, JV partner identification, and raising/arranging financing in the
commercial and residential real estate sectors across diverse geographies and
Special Economic Zones. The team has successfully completed several transactions
involving some of the best names in the industry since inception.

Advisory and Syndications

The team provides comprehensive syndication services to clients of Yes Bank. With
its proven domestic and international banking credentials, the team caters to all the
financing requirements of corporate as well as specialized financing for acquisitions,
asset purchases, sell downs and leveraged buyouts.

Yes Bank was ranked No. 21 in the Syndicated Loan Ranking (India) and No. 7 in
the Syndicated Loan Ranking Indian Rupee Loans by Thomson Reuters.

Project Equity

The Private Equity team is furthering Yes Banks focus by developing specialist funds
that will leverage the domain expertise that Yes Bank has built over the years.

Currently, it is co-sponsoring the South Asia Clean Energy Fund (SACEF) in

collaboration with Global Environment Fund, USA (GEF). SACEF is a USD 200
million fund targeting investments in clean energy, clean technology and energy
efficiency across India, Sri Lanka, Nepal, Bangladesh.

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 OBJECTIVE OF THE STUDY

To know the various financial services of private banks.

To know the method of banking.
To know the banking and financial terms used in day-to-day life and which
plays an important role in our life.

SIGNIFICANCE OF THE STUDY

The study is useful for the student as he/ she gained knowledge about various
financial services of bank, the working of the bank and also about the competitors of
the bank that plays an important role in the making and implementation of the
strategy.

11
COMPANY PROFILE OF
YES BANK

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 YES BANK

Yes Bank is a private bank in India. It was founded by Ashok Kapur and Rana
Kapoor, with the duo holding a collective financial stake of 27.16%.

YES BANK has received significant national and international recognitions which
include Dr. Rana Kapoor, Founder, MD & CEO being recognized as the
Entrepreneurial Banker of the Decade (2001-2010) by Bombay Management
Association; Business Standard Banker of the Year - 2011; India's No. 1 New Private
Sector Bank in the Financial Express-E&Y Best Banks Survey 2010, India's Fastest
Growing Bank of the Year at the Bloomberg UTV Financial Leadership Awards 2011.
India's No. 1 New Private Sector Bank in the Financial Express-E&Y Best Banks
Survey 2010, India's Fastest Growing Bank of the Year at the Bloomberg UTV
Financial Leadership Awards 2011. YES BANK received certification for its
'Complaints Management System (ISO 10002:2004)' by the British Standard's
Institution (BSI) as on August 25, 2010. The Bank was also awarded the ISO
27001:2005 Certification for its 'Information Security Management System' by BSI.

In 2010, the bank announced the roll-out of a strategic blueprint, named Version 2.0
of the bank, to further accelerate its business growth in the retail banking space, with
the objective to achieve by 2015, a balance sheet size of Rs.1,50,000 crore, deposits
of 125,000 crore, advances of 100,000 crore, a pan India network of 900 branches
and a human capital base 12750 by 2015.

YES BANK deals in the following 5 business lines-

Corporate and Institutional Banking

Commercial Banking
Branch Banking
Business Banking
Retail Banking

CORPORATE AND INSTITUTIONAL BANKING

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The Corporate & Institutional Banking (C&IB) business at YES BANK provides
financial and risk management solutions to clients.

COMERCIAL BANKING

With its sector-specific products and services under commercial banking YES BANK
supports Emerging Corporates.

BRANCH BANKING

Business and Retail Banking

BUSINESS BANKING

YES Bank caters to all the service requirements of these SME's across various
product segments like Cash Management, Payment Solutions, Direct Banking,
Liabilities and Investment Management, Trade services and advisory.

RETAIL BANKING

Retail Banking caters to the banking & wealth management needs of individuals and
small businesses. Customers are currently being served through a branch network,
of over 360 branches across the country with 650+ ATMs, and Internet Banking
facilities.

BUSINESS STRATEGY:

Knowledge Banking:One of the strengths and differentiating features of Yes Bank

is its knowledge banking approach that is the essence of all offerings to its
customers. Knowledge has been institutionalized as a key ingredient in all internal
and external processes and utilized to create customized solutions for the clients
specific requirements.

Technology and Operations:As a new generation Bank, Yes Bank has the
advantage of accessing the latest available technology. The Bank has taken a
calibrated decision to invest in the best IT system and practices in order to make its
technology platform a strategic business tool for building a competitive advantage.

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Responsible Banking: Yes Bank has a vision to champion Responsible Banking
in India, where the concepts of Corporate Social Responsibility (CSR) and
sustainability are integrated in its Business focus.

Human Capital: At YES BANK, they look to offer comprehensive banking and
financial solutions. Which is why, they have inducted top quality Human Capital
across all our banking functions, including Corporate & Institutional Banking,
Financial Markets, Investment Banking, Business & Transactional Banking and
Retail Banking & Wealth Management.

INDIAN FINANCIAL INSTITUTIONS

IFI helps various relationship and product managers to offer a wide variety of
products including Debt, Trade Finance, Guarantees, Treasury Services, Working
Capital Finance, Cash Management & Transactional Services, Liabilities and
Investment Management, and Liquidity Management Solutions to its customers.

SWOT ANALYSIS

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Strength:-

High Quality, Customer Centric, Service Driven, Private Indian Bank, Catering
to the Future Industries Of India.
The Bank has adopted International Best Practices, the highest standards of
service quality and operational excellence.
World-Class Team, based on Professional Recruitment Methodologies, and
attract the best talent in the industry.
Building learning and development solutions that continuously enhance
employee value, high performance culture.
Credible and transparent performance management process.
Robust rewards and recognition strategy.
Strong technology, well capitalized.
Total Deposits Rs1,61,694 million.
Net Advances Rs124,031 million.
Net NPA 0.33%.
Capital Adequacy Ratio 16.6%.

Weakness:-

Less wide network.

Not in every state.
Less promotional activity.
Unknown brand.

Opportunity:-

Very wide market.

Other activity (insurance, stock broking, mutual fund).
Wide scope in rural area.

Threat:-

Very high competition private bank market (ICICI bank, HDFC bank), in public
sector (BOB, PNB).
Government policy.
Other better saving, investment opinion available (like insurance, mutual
fund, real-estate, gold).

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 Capital market slow down.
Rising rates.

17
COMPANY PROFILE OF
HDFC BANK

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 HDFC BANK

HDFC Bank Limited (BSE: 500180, NSE: HDFCBANK, NYSE: HDB) is an Indian
financial services company based in Mumbai, Maharashtra that was incorporated in
August 1994. HDFC Bank is the fifth or sixth largest bank in India by assets and the
first largest bank by market capitalization as of November 1, 2012. The bank was
promoted by the Housing Development Finance Corporation, a premier housing
finance company (set up in 1977) of India. As on December 2012, HDFC Bank has
2,776 branches and 10,490 ATMs, in 1,399 cities in India, and all branches of the
bank are linked on an online real-time basis. As of December 2012 the bank had
balance sheet size of Rs. 3837 billion. For the fiscal year 2011-12, the bank has
reported net profit of 5,167.07 crore (US$940.41 million), up 31.6% from the previous
fiscal.

On March 14, 2013 an online magazine named Cobrapost.com released video

footage from Operation Red Spider showing high ranking officials and some
employees of HDFC bank willing to turn black money into white which is violation of
Money Laundering Control Act. After this The government of India and Reserve Bank
of India have ordered an inquiry.

HISTORY

HDFC Bank was incorporated in 1994 by Housing Development Finance Corporation

Limited (HDFC), India's largest housing finance company. It was among the first
companies to receive an 'in principle' approval from the Reserve Bank of India (RBI)
to set up a bank in the private sector. The Bank started operations as a scheduled
commercial bank in January 1995 under the RBI's liberalisation policies.

Times Bank Limited (owned by Bennett, Coleman & Co./The Times Group) was
merged with HDFC Bank Ltd., in 2000. This was the first merger of two private banks
in India. Shareholders of Times Bank received 1 share of HDFC Bank for every 5.75
shares of Times Bank.

In 2008 HDFC Bank acquired Centurion Bank of Punjab taking its total branches to
more than 1,000. The amalgamated bank emerged with a base of about Rs.

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1,22,000 crore and net advances of about Rs.89,000 crore. The balance sheet size
of the combined entity is more than Rs. 1,63,000 crore.

BUSINESS FOCUS

HDFC Bank deals with three key business segments. - Wholesale Banking Services,
Retail Banking Services, Treasury. It has entered the banking consortia of over 50
corporates for providing working capital finance, trade services, corporate finance,
and merchant banking. It is also providing sophisticated product structures in areas
of foreign exchange and derivatives, money markets and debt trading And Equity
research.

WHOLESALE BANKING SERVICES

For customers from ongoleBlue-chip manufacturing companies in the Indian corp to

small & mid-sized corporates and agri-based businesses 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 the above services to its corporate customers, mutual
funds, stock exchange members and banks.

RETAIL BANKING SERVICES

HDFC Bank was the first bank in India to launch an International Debit Card in
association 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 March 2009, the
bank had a total card base (debit and credit cards) of over 13 million. The Bank is
also one of the leading players in the merchant acquiring business with over 70,000
Point-of-sale (POS) terminals for debit / credit cards acceptance at merchant
establishments. The Bank is positioned in various net based B2C opportunities
including a wide range of Internet banking services for Fixed Deposits, Loans, Bill
Payments, etc.With Finest of Technology and Best of Man power in Banking Industry
HDFC Bank's retail services have become by and large the best in India and since
the contribution to CASA i.e. total number of current and savings account of more
than 50%, HDFC BANK has full potential to become India's No.1 Private Sector
Bank.

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 TREASURY

Within this business, the bank has three main product areas - Foreign Exchange and
Derivatives, Local Currency Money Market & Debt Securities, and Equities. These
services 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 portfolio.

DISTRIBUTION NETWORK

HDFC Bank is headquartered in Mumbai and as of March 31, 2012, the Banks
distribution network was at 2,544 branches and 8,913 ATMs in 1,399 cities as
against 1,986 branches and 10000 ATMs in 996 cities as of October,2012.

CAPITAL STRUCTURE

The authorized capital of HDFC Bank is Rs550 crore (Rs5.5 billion). The paid-up
capital isRs424.6 crore (Rs.4.2 billion). The HDFC Group holds 19.4% of the bank's
equity and about17.6% of the equity is held by the ADS Depository (in respect of the
bank's AmericanDepository Shares (ADS) Issue). Roughly 28% of the equity is held
by Foreign InstitutionalInvestors (FIIs) and the bank has about 570,000
shareholders. The shares are listed on the Stock Exchange, Mumbai and the
National Stock Exchange. The bank's American Depository Sharesare listed on the
New York Stock Exchange (NYSE) under the symbol 'HDB'.

TIMES BANK AMALGAMATION

In a milestone transaction in the Indian banking industry, Times Bank Limited

(another new private sector bank promoted by Bennett, Coleman & Co./Times
Group) was merged withHDFC Bank Ltd., effective February 26, 2000. As per the
scheme of amalgamation approved bythe shareholders of both banks and the
Reserve Bank of India, shareholders of Times Bank received 1 share of HDFC Bank
for every 5.75 shares of Times Bank. The acquisitionaddedsignificant value to HDFC
Bank in terms of increased branch network, expanded geographicreach, enhanced

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customer base, skilled manpower and the opportunity to cross-sell and
leveragealternative delivery channels.

PROMOTER

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

RATING

Credit Rating

The Bank has its deposit programs rated by two rating agencies - Credit Analysis &
Research Limited (CARE) and Fitch Ratings India Private Limited. The Bank's Fixed
Deposit 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 "AAA ( 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" .The Bank also has its long term unsecured,
subordinated (Tier II) Bonds rated by CARE and Fitch Ratings India Private Limited
and its Tier I perpetual Bonds and Upper Tier II Bonds rated by CARE and CRISIL
Ltd. CARE has assigned the rating of "CARE AAA" for the subordinated Tier II Bonds
while Fitch Ratings India Pvt. Ltd. has assigned the rating "AAA (ind)" with the
outlook on the rating as "stable". CARE has also assigned "CARE AAA [Triple A]" for
the Banks Perpetual bond and Upper Tier II bond issues. CRISIL has assigned the

22
rating "AAA /Stable" for the Bank's Perpetual Debt programme and Upper Tier II
Bond issue. In each of the cases referred to above, the ratings awarded were the
highest assigned by the rating agency for those instruments.

Corporate Governance Rating

The bank was one of the first four companies, which subjected itself to a Corporate
Governanceand Value Creation (GVC) rating by the rating agency, The Credit Rating
Information Servicesof India Limited (CRISIL). The rating provides an independent
assessment of an entity's current performance and an expectation on its "balanced
value creation and corporate governance practices" in future. The bank has been
assigned a 'CRISIL GVC Level 1' rating which indicatesthat the bank's capability with
respect to wealth creation for all its stakeholders while adoptingsound corporate
governance practices is the highest.

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 PRODUCT SCOPE

HDFC Bank offers a bunch of products and services to meet the every need of the
people. Thecompany 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 thesuitable one from a range of products which will suit
their life-stage and needs.For organizationsthe company has a host of customized
solutions that range fromFunded services, Non-funded services, Value addition
services, Mutual fund etc. Theseaffordable plans apart from providing long term
value to the employees help in enhancinggoodwill 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.

PRODUCTS AND SERVICES AT GLANCE

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Personal Banking Services:

A. Accounts and Deposits

Savings Account
Regular Savings Account
Savings Plus Account
Savings Max Account
Senior Citizens Account
No Frills Account
Institutional Savings Account
Payroll Salary Account
Classic Salary Account
Regular Salary Account
Premium Salary Account
Defence Salary Account
Kid's Advantage Account
Pension Saving Bank Account
Family Savings Account
Kisan No Frills Savings Account
Kisan Club Savings Account

Current Account

Plus Current Account

Trade Current Account
Premium Current Account
Regular Current Account
Apex Current Account
Max Current Account
Reimbursement Current Account

Fixed Account

Regular Fixed Deposit

Super Saver Account
Sweep-in Account

Recurring Deposit

Demat Account

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Safe Deposit Locker

B. Loans
Personal Loans
Home Loans
Two Wheeler Loans
New Car Loans
Used Car Loans
Overdraft against cars
Express loans
Loan against Securities
Loan against Property
Commercial Vehicle Finance
Working Capital Finance
Construction Equipment Finance

C. Investments and Insurance

Mutual Funds
Insurance
Bonds
Financial Planning
Knowledge Centre
Equities & Derivatives
Mudra Gold Bar

D. Forex Services
Trade Finance
Travelers Cheques
Foreign Currency Cash
Foreign Currency Drafts
Foreign Currency Cheque Deposits
Foreign Currency Remittances
Forex Plus Card

E. Payment Services
Net Safe
Prepaid Refill
Bill Pay
Direct Pay

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 Visa Money Transfer
E-Monies Electronic Funds Transfer
Excise and Service Tax Payment

F. Access Your Bank- One View

Insta Alerts
Mobile Banking
ATM
Phone Banking
Branch Network

G. Cards
Silver Credit Card
Gold Credit Card
Womans Gold Credit Card
Platinum Plus Credit Card
Titanium Credit Card
Value plus Credit Card
Health plus Credit Card
HDFC Bank Idea Silver Card
HDFC Bank Idea Gold Card

Wholesale Banking Services:

Funded Services
Non Funded Services
Value Added Services
Internet Banking
Clearing Sub-Membership
RTGS- Sub Membership
Fund Transfer
ATM Tie-Ups
Corporate Salary A/c
Tax Collection
Financial Institutions
Mutual Funds
Stock Brokers
Insurance Companies

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 Commodities Business
Trusts

NRI Banking Services:

Rupee Saving A/c

Rupee Current A/c
Rupee Fixed Deposits
Foreign Currency Deposits
Accounts for Returning Indians
Payment Services
Net Safe
Bill Pay
Insta Pay
Direct Pay
Visa Money
Online Donation
Remittances

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 FINANCIAL SERVICES

Working Capital Finance:

Turnover Less Than Equal To Rs.5 Crores

HDFC Bank offers you a unique range of working capital facilities at your door-step.
We offer affordable, convenient financial solutions which are of paramount
importance in running an efficient enterprise.

You can choose from the range of customized working capital loans for smooth
business operations.

Types of Working Capital

Cash Credit / Overdraft

Term Loan (TL)
Letter of Credit (LC)
Bank Guarantee (BG)
Packing Credit (PC)
Post Shipment Finance
Bill Discounting

Customer Segment: SMEs including Traders,Manufacturers , Service Enterprises,

Retailers, Stockist, Distributors,Merchant Establishments,Departmental Stores,
Supermarkets, Restaurants, Multi Brand Outlets etc.

Products Offered

Quickdraw - Working Capital Facilities for Traders / Retailers ranging from

Rs.2 Lacs to Rs.10 lacs in the quickest possible time
Valuedraw - Working Capital Facilities from Rs.10 Lacs to Rs.25 lacs against
wide range of collaterals adding more value to Business
Elitedraw - Take your business to Elite heights with our Working Capital
Solutions for from Rs.25 lac onwards against wide range of collaterals.

Turnover Greater Than Rs.5 Crores

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Working Capital Finance is financial assistance given to entities to help them run
their business. There are many different types of Working Capital Finance .These
are offered at all our branch locations.

Types of Working Capital

Cash Credit / Overdraft

Letter of Credit
Bank Guarantee
Buyers Credit
Short Term Finance
Packing Credit
Post Shipment Limits
Bill Discounting
Structured Cash Flow Financing

Working Capital For Contractors:

Features And Benefits

Uses commercial/construction equipment as security collateral

Quick processing of loan
Attractive rate of interest
Convenient facilities like Internet Banking and Phone Banking facilities
Multi-location banking

Products Offered:

Fund based

Cash Credit facility

Overdraft facility
Working Capital demand loan
Bill/Invoice discounting

Non Fund based

Bank Guarantee (BG)

Letter of Credit (LC)

Commercial/ Construction Equipment Finance:

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Features

Avail Commercial/ Construction Equipment Finance on an entire range of

equipment at attractive interest rates
Choose among various types of loans that suit your business requirements

There is no need to shop around anymore for loan options to purchase Commercial/
Construction equipment, Earth Moving, Material handling Equipment, Term loans,
Working Capital requirements, Bank Gurantee or LC, that your business may
require. Choose HDFC Bank's Commercial/Construction Equipment Loan and you
will get the best terms and interest rates.

You may avail of a finance facility for your required equipment from any of your
preferred manufacturers including JCB, Telcon, L&T Komatsu, Caterpillar, Volvo,
Escorts, Case, Schwing Stetter, Hyundai, Terex, Ace, Liugong, Greaves, Sany,
Putzmeister, Atlas Copco, Apollo and many more.

We offer:

New/Used Commercial/Construction Equipment Loans

Working Capital Finance CC & OD facilities
Bank Guarantees/LCs
Bill Discounting / LC discounting
Inventory Funding /Trade advance/ CC /OD for Dealers
Payment Solution, Cash Management Services & Forex Solutions, etc.

Benefits

Receive up to 100 % finance for your Commercial/ Construction Equipment*

Take advantage of some of the best interest rates along with Speedy
processing of loan.

You can avail of the following benefits on our Construction Equipment Finance:

Up to 100% financing of Construction Equipment*

Attractive interest rates*
Up to 60 month tenure for loan*
Simpler documentation and quick processing
Reduced down payments
Customized EMI structure to suit your business needs

31
Working Capital Finance To Transporters:

Features And Benefits

Loan amount from Rs.25 lacs onwards

Taking Commercial Vehicle as security collateral
Internet Banking & Phone Banking Facilities
Multi-Location Banking
Easy documentation through the different process
Fast processing that helps at every level
Benefits of at par cheque facility

Products Offered:

Fund based

Cash Credit facility

Overdraft facility
Working Capital demand loan
Bill/Invoice discounting

Non Fund based

Bank Guarantee
Letter of Credit

Term Loans:

Features

Customised products to meet your requirements

Products offered at all branch locations

Benefits

Low-cost credit
Cash-flow financing

Term Loans are offered to businesses up to a tenure of 5 years for their expansion,
capital expenditure and for fixed assets. HDFC Bank also offers Short Term Finance
options that are structured to meet your individual needs.

32
Business Loans:

These funds can be used for business expansion, working capital, your child's
education or home renovation
No collateral or guarantor surety required. A guarantor becomes a co-
endorser and assumes liability in event of default.

Features

Unsecured Loan to self employed businessmen involved in Manufacturing,

Trading and Service Industry.
Loan Amount up to Rs.15 Lakhs. (Up to Rs.30 Lakhs in selected locations).
Flexible repayment options ranging from 12 36 Months.
Hassle free processing.
Speedy loan approval.
Convenience of Service at your doorstep.

Benefits

The funds can be used for business expansion, working capital, child's
education or home renovation.
No collateral/ Guarantor/ Security required.

Business Loan- Drop Line Overdraft

Get unsecured DOD upto Rs.5 lac.

Pay interest only on utilised amount.

Features

Unsecured Drop-line Overdraft facility

Interest will be charged on utilisation
Convenience of service at your doorstep

Benefits

The funds can be used for business expansion, working capital, child's
education or home renovation
No collateral/ guarantor/ security required

Loans For Professionals

33
Features

Hassle free processing

Speedy loan approval
Convenience of service at your doorstep

Benefits

The funds can be used for business expansion, renovating your

hospital/clinic/office, buying new medical equipment, working capital, child's
education or home renovation
No collateral/ Guarantor/ Security required

Loans Against Assets:

Loan Against Securities

Get liquidity from your investments, without selling them

Get upto 80% loan against the value of your securities. Term loans on select
securities offered too.

Loan Against Property

Do you own a property? Why not avail a loan against it?

Lower EMI owing to long repayment tenure
Flexible product offering Term Loan & Overdraft facility available
Residential and commercial both types of properties accepted.

Loan Against Rental Receivables

Maximize the benefits of future rents on your commercial property today.

Get additional funds through expected rental cash flows for growing your
business, funding personal requirements or adding to an existing loan.

Healthcare/ Medical Finance:

Features And Benefits

Customised and structured solutions

34
 Tenures that range between 12 to 84 months
Competitive Solutions at competitive prices

Types Of Loans

Asset / Medical Equipment Finance

Infrastructure Loan
Balance Transfers of existing Term Loans or Working Capital
ME-OD Facility
Working Capital Finance

Commercial Vehicle Finance:

Features

Commercial Vehicle finance on entire range of vehicles starting from small 1.5
ton truck to heavy one to 49 tones GVW (Gross Vehicle Weight).
Choose amongst 4 types of loans that suit your business requirements.

Benefits

Finance up to 100 % for your commercial vehicles.

Take advantage of some of the best interest rates along with a customized
EMI repayment structure.

Rural Loans:

Retail Agri Loans

Indian farmers can now swipe a Kisan Gold Card to use their loan for meeting
agricultural and production expenses.
Avail any time banking and hassle free credit options.
Get an Accident Insurance Cover of Rs.2 lakh absolutely FREE with this card.

Tractor Loans

Choose HDFC Bank's Tractor Loans to purchase your tractor for farming or
commercial purposes.
Get upto 90% finance on the tractor you want to buy.

35
Warehouse Receipts Loans

A Farmer can now avail loan against the commodities stored in the godown /
warehouse.
Loans from Rs.1 Lakh onwards upto Rs.25 Lakhs, depending on your needs.
Farmer can hold the stock and get benefit of better pricers.

Agri Business Credit

Choose from a gamut of products under HDFC Bank's Agri Business Credit -
for your Working Capital Finance for Agri Commodity Segment.
Tailor made product for Agri Input Dealers.

36
 RESEARCH
METHODOLOGY

37
& DATA COLLECTION

38
 RESEARCH METHODOLOGY

Research Methodology is the investigation of specific problem in detail. At first

problem is defined carefully for conducting research. There should be a good
research plan for conducting research. No research can be done without data
collection. After all this analysis is made for getting solution for problem.

Defining the problem

Defining the sampling plan
Collection of data
Analysis and interpretation

Defining the problem

Defining the research problem is first necessary step for any research. This work
should be done carefully.

Sampling plan

The sampling plan calls for three decisions.

A. Sampling unit: I have completed my survey in SOUTH DELHI.

B. Sample size: The selection of 20 respondents. The selection of the respondent

was done on the basis of simple random sampling.

C. Contact methods: I have conducted the respondent through personal interviews.

Research Instrument

A close ended questionnaire was constructed for my survey. Questionnaire

consisting of a set of questions made to be filled by various respondents.

Collecting the Information

After this, I have collected the information from the respondent with the help of
questionnaire.

Analyse the Information

39
The next step is to extract the pertinent finding from the collected data. I have
tabulated the collected data and developed frequency distributions.

Thus the whole data was grouped aspect wise and was presented in tabular form.
Thus, frequencies and percentages were to redder impact of the study.

Presentation of Findings

This was the last stop of the survey.

TYPES OF DATA COLLECTION

1) Primary data: - The primary data are those which are collected afresh and
for the first time, and thus happen to be original in character.

Methods of primary data:

Observation method.
Interview method.
Through questionnaires.
Through schedules.

2) Secondary data:-The secondary data are those data which have already
been collected by someone else and which have already been passed
through the statistical process.

Methods of secondary data:

Various publication of the central, state or local government.

Books, magazines and newspaper.
Reports and publications of various association.
Technical and trade journals.
Public records and historical documents etc.

I have chosen primary and secondary data to collect the information in my project
report.

COMPARISON BETWEEN HDFC BANK & YES BANK

ATTRIBUTES HDFC BANK YES BANK

40
Business Loans Business Loans, Loans against
Deposit, Professional Loan,
Project Finance, Term Finance,
Trade Finance
Cards Corporate Credit Card, Credit
Card, Debit Card, E Shop Card,
Loyalty Cards, Meal Card, Travel
Currency Card
Account Types Current Account, Demat Account,
Fixed Deposit Account, Recurring
Deposit Account, Saving Account
Bank Type Private
Personal Loans Commercial Vehicle Loan,
Consumer Goods Loan,
Educational Loan, Four Wheeler
Loan, Home Improvement Loan,
Housing Loan, Loan against
Deposit, Loan against Gold, Loan
against Property, Loan against
Share, Loan against Vehicle,
Personal Loan, Two Wheeler
Loan
Business Hours Monday to Friday 9:30 a.m. to
4:00 p.m., Saturday 9:30 a.m. to
12:30 p.m.
Investment Bonds, Equity, Fixed Deposit,
Products Flexible Deposit, Insurance,
Mutual Fund, Stock Invest
Services Card to Card Money Transfer,
Currency Exchange, Demat
Services, Direct Tax Payment,
Electronic Clearing Service,
Locker Facility, Mobile Phone
Banking, Multi City Cheque
41
Business Loans,Loans
against Deposit,
Professional Loan, Project
Finance, Term Finance,
Trade Finance
Debit Card
Current Account, Demat
Account, Fixed Deposit
Account, Recurring Deposit
Account, Saving Account
Private
_
Monday to Saturday 10:00
a.m. to 4:30 p.m.
Equity, Fixed Deposit,
Flexible Deposit, Stock
Invest
Demat Services, Mobile
Phone Banking, Multi City
Cheque Facility, Net
Banking, Personal Tax
Assistance and Investment,
Portfolio Management,
Facility, Net Banking, Personal Wealth Management
Tax Assistance and Investment, Service
Portfolio Management, Travellers
Cheque, Wealth Management
Service

42
ANALYSIS AND
FINDINGS

43
 HDFC BANK

Q1. How do you rate HDFC Ltd. in the following services?

a) Interest Rates
b) Repayment Period
c) Customer Care
d) Transaction Period

70
60
50
40
30
20
10
Percentage(% ) 0
Excellent Very Good Good Poor Very Poor

Services Offered by HDFC

44
Q2.What is the reason of your loan transfer from HDFC Ltd.?

40
35
30
25
20
15
Percentage(%) 10
5
0

Reasons Of Loan Transfer

45
Q3. In what terms / services do you find the other institutions (in which your loan is
transferred) is better than us?

Better Services Customer Care 20%Full Loan Amount Sanctioned

44%

24%
Low Rate Of Interest
12%

46
 QUESTIONNAIRE

Q1. How do you rate HDFC Ltd. in the following services?

1) Interest Rates
2) Repayment Period
3) Customer Care
4) Transaction Period

A) Excellent B) Very Good C) Good D) Poor

Q2. What is the reason of your loan transfer from HDFC Ltd.?

A) Higher Rate of Interest

B) Less Loan Amount
C) Lack of Information
D) Longer Sanction Period
E) Annual Rest

Q3. In what terms / services do you find the other institutions (in which your loan is
(transferred) is better than us?

A) Better Services
B) Customer Care
C) Full Amount Sanctioned

47
 YES BANK

1. Are you aware of all products or schemes offered by the banks?

a) YES
b) NO

40%
yes no

60%

2. How do you find the service of the bank?

a Good
b Ok
c No comments

50%

good ok no comments

45%

5%

3. Do you know about these products of the banking industry?

a) Savings a/cyes/no
b) fixed deposits yes/no
c) current a/c yes/no
d) de-mat a/c yes/no

48
 e) credit cards yes/no
f) insurances yes/no
g) mutual funds yes/no
h) loans yes/no

5%
15%
saving a/c fixed deposit current a/c demat a/c credit cards insurances mutual funds

15%
40%

5%
loans 5%
5%
10%

4. Which of these products are you interested in?

a) Savings a/c yes/no

b) Fixed deposits yes/no
c) Current a/c yes/no
d) De-mat a/c yes/no
e) credit card yes/no
f) Insurances yes/no
g) mutual funds yes/no
h) Loans yes/no

5%
19%
saving a/c fixed deposit current a/c demat a/c credit cards insurances mutual funds
23%

24%
14%
loans
3% 2% 10%

49
5. Which of the following innovative services of the bank would you like to go in for?
a) Phone banking
b) A T M
c) Net banking
d) Mobile banking
e) Bill payment
f) None of these
g) All of these

5% 10%
5%
10% phone banking
ATM
net banking
10%
mobilebanking
none of these
all of these
60%

LIMITATIONS

1 General survey is more biased: General Survey is more biased because

few institutions were not ready to give the exact financial details.

2 Less responsive communication: General Survey was found to beless

responsive because of the reason that institutions &organizations did not want
to respond to the questionnaire due to lack of time & non willingness.

50
3 Time consuming: The General Survey was time consuming because it take
time to reach to different institutions & ask them certain related questions in
there different areas.

51
 CONCLUSION

There is a stiff and tough competition in the private sector banking and especially
cutthroat level at Retail Banking section. The services offered by various banking
sections such as Credit Card, Debit Card, ATMs, Savings Banks Account, Current
Account and so on enable me to find out what the customer of today thinks about the
services the banks are providing and made a significant distinguish between what
the performance of Yes Bank to that of the HDFC Bank and how prompt they are.
Also, I learn how to make out and induce customers about the prospects of an
organization upon which he is going to save his/ her deposits for a considerable
period of time.

52
 BIBLIOGRAPHY

o Jain Nabhi Kumar, Manuals of SEBI Guidelines, NabhiPublications,

New Delhi, August 1996
o Kothari C.R., Research Methodology, New Delhi, Wishwa
Prakashan,1990
o Kotler P., Marketing Management, Prentice Hall of India Private
Limited, New Delhi, 1999
o R.P. RUSTAGI - Financial Management, Galgotia Publishing Company,
2000

53