RETAIL BANKING Contents

1.certificate 2.declaration 3.acknowledgement 4.contents 5.executive summary

OVER VIEW OF RETAIL BANKING Definition Origin Benefits Scope Advantages Opportunities Challenges 2.strategies for increase in retail banking. 3.retail banking indian scenario 4.Emerging issues in retail banking 5.trends in retail banking 6.Future of retail banking 7.biblography

definition Retail banking is typical market banking where individual customers local branches of larger commercial banks. services offered includes savings,checking a/c mortagages,debit/credit cards.etc Retail banking refers to the mobilization of deposit from individual and lending to small business & In retail loan market.retail banking aims to be the one-stop shop for many financial services as possible on behalf of retail clients. Characteristics of retail banking Multiple products Multiple channels Multiple customer group

ORIGIN OF RETAIL BANKING Banks are among the main participants the financial system in India .banking is now a days several facilities & opportunities. Banks in India were started on the british pattern of in the beginning of the 19th century,the east India company established 3 banks namely Bank of Bengal, banks of Bombay, bank of madras . these 3 banks were known as residency banks. In 1920, these 3 banks e were amalgamated and the imperial bank of India was formed. In those days , all the banks were joint stock banks & large number of them were small & weak. Today banks are divided into 2 part Scheduled banks

Non scheduled banks. Benefits of retail banking 1.time saving 2.easy 3.Online services 4.quick response 5.useful efor rural areas 6.increase subsidiary banks business 7.low cost funds for the banks 8.established customer relationship management

SCOPE OF RETAIL BANKING

All round increase in economic activity o Increase in the purchasing power. The rural areas have the large purchasing power at their disposal and this is an opportunity to market Retail Banking. o India has 200 million households and 400 million middleclass population more than 90% of the savings come from the house hold sector. Falling interest rates have resulted in a shift. Now People Want To Save Less And Spend More. o Nuclear family concept is gaining much importance which may lead to large savings, large number of banking services to be provided are day-by-day increasing.

o Tax benefits are available for example in case of housing loans the borrower can avail tax benefits for the loan repayment and the interest charged for the loan.

OPPORTUNITIES OF RETAIL BANKING

services

Faciliting services

Supporting services

clients

Cash F.E d.d t.t Atm Inter branch Safety vault

at door internet telephone Credit cards Debit cards Internet Telephone Flexi A/c

Bank A/c