A PROJECT REPORT ON RETAIL BANKING AND PERSONAL INVESTMENT PRODUCTS

By: ARUP MOHANTY KIIT UNIVERSITY

PROJECT TITLE
A PROJECT REPORT ON RETAIL BANKING AND PERSONAL INVESTMENT PRODUCT.

COMPANY GUIDE:
Mr. Satej Mohanty Mr. Debashis Sahani Mr. Soumyabrata Das

FACULTY GUIDE:
Prof. Ashutosh Kar

Acknowledgement
If words are considered to be signs of gratitude then let these words Convey the very same My sincere gratitude to
AXIS BANK

for

providing me with a coveted opportunity to work with their Bank and giving me necessary directions on doing this project to the best of my abilities. I am highly indebted to Mr. N. Mishra, Branch head and Company Project Guide Mr. Satej Mohanty(Manager-Priority Banking), Mr. Soumyabrata Das (Manager-Priority Banking) & Debashis Sahani (Deputy Manager-Priority Banking) who has provided me with the necessary information and also for the support extended out to me in the completion of this report and his valuable suggestion and comments on bringing out this report in the best way possible. I also thank Prof. Ashutosh Kar, KiiT School of Management, who has sincerely supported me with the valuable insights into the completion of this project. Finally, I take this opportunity to thank the entire senior executives team and every associate of
Axis Bank Ltd.,

who has helped me directly

and indirectly in the successful completion of this Project.

Declaration
I do here by declare that this project is submitted as a part of my On the Job Training (OJT) Program for the MBA program from KiiT School of Management, Bhubaneswar. This project has been done under the able guidance of Mr. Soumyabrata Das & Mr. Satej Mohanty (Priority Manager, AXIS Bank Ltd., Cuttack, Orissa) and Prof. Mr. Ashutosh Kar, faculty member of KiiT School Of Management, Bhubaneswar. This project has not been submitted elsewhere for any award or any degree.

I have taken utmost care to present the ideas and information correctly and these are true to the best of my knowledge.

Date:

___________________

Signature of the Student

4

Abstract of the Project

It was really a fantabulous experience on my side working as a Management Trainee with AXIS Bank which claims to be a world class Indian Bank. The best learning experience was that I started from the very basics of getting to that position and not from the position itself. It will be appropriate to apprise to the reader that the cardinal objective of my project was to carry out an extensive survey which will not only reinforce and magnify the awareness level of the customers but also help the Bank improve its overall efficacy of business. From the day on which the Bank witnessed my presence, till this day I ceaselessly yet relentlessly kept on imbibing and garnering the basics of banking like the knowledge about products, bank structure, banking functions & also risk profile of investor. Owing to the fact that before one sets out for the open market survey or sale he/she should have a thorough knowledge of the topic he is assigned with, I as a survey person spent my considerable time in knowing about the diverse products and services offered by the Axis Bank in addition to the rudimentary information about the Banks attributes and policies. The main purpose of this activity was to make customer aware of different products and services and side by side I made a risk profile of the investor, for the company which would enhance their sales. After being reasonably conversant with the products and services I slowly started the task of setting the ball of customer interaction rolling. Customers interaction used to be in the shape of Questionnaire administration, E-Mail Stmt. & ISA forms fill up as well as Grievances
5

handling. At the end of each day I used to discuss all the cogent complaints of the customers with my project guide and my progress & achievement on a daily basis. Apart from this I also kept a vigilant eye on the seemingly Petty aspects of the Bank like the Walk-ins opinion on the banks services, the proper stock of forms, adequate leaf lets consisting product information etc. While administering the questionnaire to the customers on field I always kept on imparting the knowledge about those products which the customer didnt possess any knowledge of; like Life Gain Plus, College Plan, MAX New York Life Insurance, gold debit card etc. Expectations were high in terms of Quantity as well as Quality contribution & Value addition to the system of my branch, so as far as my contribution to the bank is concerned I assisted my Branch Manager as well as other employees, on several occasions, by helping them in their work, generating leads and providing insights on the day to day problems.

******************************
6

TABLE OF CONTENTS
1. MEANING OF BANKING 8 2. BANKING STRUCTURE IN INDIA10 3. AXIS BANK A DETAILD ACCOUNT 14 4. ORGANIZATION STRUCTURE OF AXIS BANK18 5. RETAIL BANKING- ANOVERVIEW 22 6. RETAIL BANKING IN INDIA 24 7. PRODUCT AT GLANCE 26 8. Catalogue Of Products & Services Types Of Deposit Products 28 Details on Savings Account 30 Details on Current Account 37 Demat Account 46 Types of Loan Products 47 Investment Product 52 About Life Insurance54

9. Research Objectives/Scopes/Limitations 57 10.SWOT Analysis of Axis Bank71 11.Recommendations & Suggestions 72 18. Conclusion 73 19. Bibliography 75

Banking has come to occupy a pivotal position in a nations economy. According to the modern concept, banking is a business which not only deals with borrowings, lending and remittance of funds, but also an important instrument for fostering economic growth. The Banking Regulation Act 1949, defines the term banking as the accepting for the purpose of lending or investment of deposits of money from the public or otherwise and withdraw able by cheque, draft, order or otherwise. Thus, the essentials of banking are: There should be acceptance of deposits. Deposits should be from the public. Deposits should be repayable on demand or expiry of a term or after a specified period. The purpose of deposits should be lending or investment. A Bank is an institution which deals in money and credit. It buys money from depositors and sells to the borrowers. It is body of persons whether incorporated or not who carry on the business of banking. A bank may be defined as a corporation or person which collects deposits from the public, repayable on demand and which supplies and facilitates all kinds of exchanges.

MEANING OF BANKING

THE HISTORY OF BANKING IN INDIA

Banking in India started in the first decade of 18th century with The General Bank of India coming into existence in 1786. This was followed by Bank of Hindustan. Both these banks are now defunct. The oldest bank in existence in India is the State Bank of India being established as "The Bank of Bengal" in Calcutta in June 1806. A couple of decades later, foreign banks like Credit Lyonnais started their Calcutta operations in the 1850s. At that point of time, Calcutta was the most active trading port, mainly due to the trade of the British Empire, and due to which banking activity took roots there and prospered. The first fully Indian owned bank was the Allahabad Bank, which was established in 1865. By the 1900s, the market expanded with the establishment of banks such as Punjab National Bank, in 1895 in Lahore and Bank of India, in 1906, in Mumbai - both of which were founded under private ownership. The Reserve Bank of India formally took on the responsibility of regulating the Indian banking sector from 1935. After India's independence in 1947, the Reserve Bank was nationalized and given broader powers. In 1969, 14 largest commercial and privately owned Banks were nationalized. Then again in 1980, six more banks were nationalized on the pretext of controlling the credit delivery in India. A decade later the new generation IT Banks came into being. These were UTI Bank (now Axis Bank), ICICI Bank and HDFC Bank. Currently (2007), banking in India is generally fairly mature in terms of supply, product range and reach-even though reach in rural India still remains a challenge for the private sector and foreign banks. In terms of quality of assets and capital adequacy, Indian banks are considered to have clean, strong and transparent balance sheets relative to other banks in comparable economies in its region. The Reserve Bank of India is an autonomous body, with minimal pressure from the government. Currently, India has 88 scheduled commercial banks (SCBs) 28 public sector banks (that is with the Government of India holding a stake), 29 private banks (these do not have government stake; they may be publicly listed and traded on stock exchanges) and 31 foreign banks. They have a combined network of over 53,000 branches and 17,000 ATMs. According to a report by ICRA Limited, a rating agency, the public sector banks hold over 75
9

percent of total assets of the banking industry, with the private and foreign banks holding 18.2% and 6.5% respectively.

BANKING STRUCTURE IN INDIA

In India the banks are being segregated in different groups. Each group has their own benefits and limitations in operating in India. Each has their own dedicated target market. Few of them only work in rural sector while others in both rural as well as urban. Many even are only catering in cities. Some are of Indian origin and some are foreign players. All these details and many more are discussed over here. Without a sound and effective banking system in India it cannot have a healthy economy. Thus based on their activities and areas of functions the banks in India are divided into few categories. They are discussed below.
10

There are basically two categories of Scheduled Banks in India:

Scheduled Commercial Banks & Scheduled Cooperative Banks

The Scheduled Commercial Banks includes Public Sector Banks, Private Sector Banks, Foreign Banks in India and Regional Rural Banks. The Commercial Banks are joint stock companies dealing in money and credit. In India, however there is a mixed banking system, prior to July 1969, all the commercial banks-73 scheduled and 26 non-scheduled banks, except the state bank of India and its subsidiaries-were under the control of private sector. On July 19, 1969, however, 14 major commercial banks with deposits of over 50 Corers were nationalized. In April 1980, another six commercial banks of high standing were taken over by the government. At present, there are more than 25 nationalized banks plus the state bank of India and its 7 subsidiaries constituting public sector banking which controls over 90 percent of the banking business in the country. Here we more concerned about private sector banks and competition among them. Today, there are 27 private sector banks in the banking sector: 22 old private sector banks and 8 new private sector banks. These new banks have brought in state-of-the-art technology and aggressively marketed their products. The Public sector banks are facing a stiff competition from the new private sector banks. The banks which have been setup in the 1990s under the guidelines of the Narasimham Committee are referred to as NEW PRIVATE SECTOR BANKS.

New Private Sector Banks came up with:

Superior Financial Services Designed Innovative Products
11

Tapped new markets Accessed Low cost NRI funds Greater efficiency and customer service

(A) Scheduled Commercial Banks:

Public sector Banks Private sector Banks Foreign Banks in India (29) Regional Rural Bank

(28) Nationalized Bank Other Public Sector Banks (IDBI) SBI and its Associates

(27) Old Private Banks New Private Banks

(102)

The Scheduled Co-operative Banks are a group of financial institutions organized under the provisions of the Co-operative societies Act of the states. The main objective of co-operative banks is to provide cheap credits to their members. They are based on the principle of self-reliance and mutual cooperation. The Scheduled Cooperative Banks includes Scheduled Urban Cooperative Banks and Scheduled State Cooperative Banks.

12

(B) Scheduled Cooperative Banks:

Scheduled Urban Cooperative Banks (55) Scheduled State Cooperative Banks (31)

Co-operative banking system in India has the shape of a pyramid, a three tier Structure, constituted by: Financial requirements in a modern economy are of a diverse nature, distinctive variety and large magnitude. Hence, different types of banks have been instituted to cater to the varying needs of the community. So besides the Scheduled commercial and cooperative banks the other banks in India are:

Specialized Banks & Central Bank

(C) Specialized Banks:
There are specialized forms of banks catering to some special needs with this Unique nature of activities. There are thus, 1. Foreign exchange banks, 2. Industrial banks, 3. Development banks, 4. Land development banks, 5. Exim bank.

(D) Central Bank:

A central bank is the apex financial institution in the banking and financial system of a country. It is regarded as the highest monetary authority in the country. It acts as the leader of the money market. It supervises, control and regulates the activities of the commercial banks. It is a service oriented financial institution.
13

Indias Central Bank is the Reserve Bank of India (RBI) established in 1935. A central bank is usually state owned but it may also be a private organization. For instance, the Reserve Bank of India (RBI), was started as a shareholders organization in 1935, however, it was nationalized after independence, in 1949.it is free from parliamentary control.

AXIS BANK A DETAILED ACCOUNT

INTRODUCTION:
Axis Bank was the first & new private banks to have begun operations in 1994, after the Government of India allowed new private banks to be established. The Bank was promoted jointly by the Administrator of the specified undertaking of the Unit Trust of India (UTI - I), Life Insurance Corporation of India (LIC) and General Insurance Corporation of India (GIC) and other four PSU insurance companies, i.e. National Insurance Company Ltd., The New India Assurance Company Ltd., The Oriental Insurance Company Ltd. and United India Insurance Company Ltd. The Bank as on 31st March, 2011 is capitalized to the extent of Rs. 410.54 core with the public holding (other than promoters and GDRs) at 53.60%.

The Bank's Registered Office is at Ahmadabad and its Central Office is located at Mumbai. The Bank has a very wide network of more than 1281 branches (including 169 Service Branches as on 31st March, 2011).The Bank has a network of over 6270 ATMs (as on 31st March, 2011) providing 24 hrs a day banking service to its customers. This is one of the largest ATM networks in the country.

The Bank has strengths in both retail and corporate banking and is committed to adopting the best industry practices internationally in order to achieve excellence.
14

COMPANY PROFILE:
AXIS Bank Limited is an India-based bank. The Bank operates in four segments: treasury, retail banking, corporate/wholesale banking and other banking business. The treasury operations include investments in sovereign and corporate debt, equity and mutual funds, trading operations, derivative trading and foreign exchange operations on the account, and for customers and central funding. Retail banking includes lending to individuals/small businesses subject to the orientation, product and granularity criterion. It also includes liability products, card services, Internet banking, automated teller machines (ATM) services, depository, financial advisory services, and nonresident Indian (NRI) services. The corporate/wholesale banking segment includes corporate relationships not included under retail banking, corporate advisory services, placements and syndication, management of publics issue, project appraisals, capital market related services, and cash management services.

BUSINESS FOCUS:
The Bank's principal activities are to provide commercial banking services which include merchant banking, direct finance, infrastructure finance, venture capital fund, advisory, trusteeship, forex, treasury and other related financial services. The objective is to build sound customer franchises across distinct businesses so as to be the preferred provider of banking services for target retail and wholesale customer segments, and to achieve healthy growth in profitability, consistent with the bank's risk appetite. The bank is committed to maintain the highest level of ethical standards, professional integrity, corporate governance and regulatory compliance. The Bank, one of the leading private banks in the country, will focus on improving the creditdeposit (CD) ratio in Orissa. The bank had a CD ratio of 33 percent by January 15 this year and aims to increase it to 40 percent by March 2009.

15

BOARD OF DIRECTORS:
The Board of Members of AXIS includes some elite and eminent persons who hold a load of experience in banking and administrations. They are the persons who give new dimensions to the company and behind the Success of AXIS. They are: 1. Dr. Adarsh Kishore (Chairman) 2. Smt. Shikha Sharma (Managing Director & CEO) 3. Shri S. K. Chakrabarti (Deputy Managing Director) 4. Shri J.R. Varma (Director) 5. Dr. R.H. Patil (Director) 6. Smt. Rama Bijapurkar (Director) 7. Shri R.B.L. Vaish (Director) 8. Shri M.V. Subbiah (Director) 9. Shri K. N. Prithviraj (Director) 10.Shri V. R. Kaundinya (Director) 11.Shri S. B. Mathur (Director) 12.Shri S. K. Roongta (Director) 13.Shri Prasad R. Menon (Director) 14.Shri R. N. Bhattacharyya (Director)

16

AWARDS AND ACHIEVEMENTS:

Following are the recognition received by the Bank during the Year 2009:

Business World ,Best Bank Awards- Fastest Growing Large Bank Business Today, Best Bank Awards - India's Best Bank, India's Fastest Growing Bank, India's Most Consistent Bank ET Intelligence Group-Best Bank 2009 NDTV Profit Business Leadership Awards 2009 -Best bank Private Sector Forbes Fab 50-The Best of Asia Pacific's Biggest Listed Company FE Best Banks Award-Best New Private Sector bank, Rank 1 Talisma - Customer Appreciation Award 2009 D & B Best Bank Awards - Best Private Bank Lafferty Award - Best Annual Report-India

17

ORGANIZATION STRUCTURE OF AXIS BANK:

HIERARCHY STRUCTURE: (Grade wise) MD & CEO (Smt.Shikha sharma) EXSICUTIVE DIRECTOR PRESIDENT SINIOR VIC-PRESIDENT VICE-PRESIDENT DEPUTI VICE-PRESIDENT ASS. VICE-PRESIDENT SENIOR MANAGER MANAGER DEPUTI MANAGER ASS. MANAGER EXECUTIVE/OFFICES

BANKING STRUCTURE: (Total 26 CIRCLE in INDIA) CENTRAL OFFICE CIRCLE CIRCLE CIRCLE CIRCLE

BRANCH

BRANCH

BRANCH
18

STRUCTURE WISE: (FUNCTION WISE) MD & CEO (Smt.Shikha sharma) DISTRIBUTION CIRCLE HEAD BRANCH HEAD
CIRCLE PRIME HEAD CIRCLE PRIORITY HEAD CIRCLE WEALTH HEAD CIRCLE B.B. HEAD OP HEAD BSM RM B.B. RM WEALTH RM PRIORITY RM FDO CHANAL TELLER CLEARING BACK OFFICE OTHER STAFF

BUSINESS COVERAGE:
Wholesale Banking Services
The Wholesale Banking contains products sold to large and middle market commercial companies, as well as to consumers on a wholesale basis. This includes lending, treasury management, mutual funds, asset-based lending, commercial real estate, corporate and institutional trust services, and investment banking through Wells Fargo Securities. The company also owns Baring ton Associates, a middle market investment bank. Wells Fargo historically has avoided large corporate loans as stand-alone products, instead requiring that borrowers purchase other products along with loanswhich
19

the bank sees as a loss leader. One area that is very profitable to Wells, however, is asset-based lending: lending to large companies using assets as collateral that are not normally used in other loans. This can be compared to subprime lending, but on a corporate level. The main brand name for this activity is "Wells Fargo Foothill," and is regularly marketed in tombstone ads in the Wall Street Journal. Wells Fargo also owns Eastdil Secured, which is described as a "real estate investment bank" but is essentially one of the largest commercial real estate brokers for very large transactions (such as the purchase and sale of large Class- A office buildings in central business districts throughout the United States).

Treasury
Axis Bank offers a wide range of treasury services including forex services; currency swaps options, interest rate swaps and other structured derivative products. The Bank offers both off the shelf and specifically structured products to its customers to meet their risk management requirements. The Hong Kong Branch treasury complements the product suite of the Indian operations. Axis Bank, one of India's leading Banks, is proud to be in Hong Kong - an Asia Pacific symbol of open markets. Apart from a wide network of branches in India, we have an Asian footprint, which encompasses offices in Hong Kong, Singapore, Dubai and Shanghai. Besides being large international financial and trading hubs, these cities also provide the Bank with opportunities to finance India's burgeoning trade within Asia. The Bank began its operations in Hong Kong in the year 2007. The Bank is committed to building a strong banking franchise in Hong Kong with a presence across businesses, clients, products and services. Axis Bank, Hong Kong has offerings for both the retail and corporate sectors. Under retail banking, we offer a range of deposit products to meet the evolving needs of our customers. Our corporate services include corporate lending, trade finance, treasury, commercial and correspondent banking services.

20

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 onestop 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 Indian retail banking and financial services market is growing due to higher household incomes and increasing consumer credit demand. In order to take advantage of increasing demand, the Bank has developed a wide network of fully inter-connected retail branches, extension counters, ATMs, retail asset centers, an internet banking channel, a call centre and mobile banking. The Banks retail strategy is based on network expansion, building product differentiators, customer segmentation, and sales effectiveness and providing quality customer service. Branches distribute liability accounts, debit cards, travel cards and remittance cards; have point-of-sale terminal machines and depository services and sell third party products such as mutual funds and savings bonds issued by the Government. Retail asset centers distribute retail credit products such as home loans, personal loans, vehicle loans and educational loans. The Bank is focused on shifting customer transactions to low cost alternative channels and cross selling between liability, asset, cards and third party products to maximize income. AXIS Bank was the first & new private banks to have begun operations in 1994, after the Government of India allowed new private banks to be established. Axis Bank has strengths in both retail and corporate banking and is committed to adopting the best industry practices internationally in order to achieve excellence. The Bank as on 31st March, 2011 is capitalized to the extent of Rs. 410.54 core with the public holding (other than promoters and GDRs) at 53.60%. In my project I have focused on the RETAIL BANKING AND PRODUCT part of AXIS BANK keeping in view its importance and increasing customer demand. Nowadays Retail Banking claims to be the one-stop shop for as many financial services as possible on behalf of retail clients. Some retail banks have even made a push into investment services such as wealth management,
21

brokerage accounts, private banking and retirement planning. While some of these ancillary services are outsourced to third parties (often for regulatory reasons), they often intertwine with core retail banking accounts like checking and savings to allow for easier transfers and maintenance.

RETAIL BANKING-An Overview:

Meaning Of Retail
Retail means sale of goods in small quantities, it is concerned with buying of goods in small quantities from the wholesaler and selling them in small quantities to the ultimate consumers as per their requirements. The person engaged in this trade is called the retailer. He acts as a link between the wholesaler and the customers. In retail trade goods are sold to the ultimate consumers for personal use and for the use of the business in small quantities only. The retailer does not specialize in a particular line or a particular product. Rather he maintains a large variety of goods. Generally, sales are limited to a local and on a small scale.

Meaning Of Banking
The word Bank has been derived from the Italian word Banca meaning a branch or a counter. Banks are the Financial Intermediaries between clients & financial markets, providing tailored products & services to meet the individual requirements. However modern day Banking can be defined as a business which not only deals with borrowings, lending and remittance of funds, but also an important instrument for fostering economic growth.

Meaning Of Retail Banking

Retail Banking means typical mass-market banking in which individual customers use local branches of larger commercial banks. Retail banking refers to banking in which banking institutions execute transactions directly with consumers, rather than corporations or other banks. The Services offered include savings and checking accounts, mortgages, personal loans, debit/credit cards, certificates of deposits and so forth.
22

Retail Banking is, however, quite broad in nature - it refers to the dealing of commercial banks with individual customers, both on liabilities and assets sides of the balance sheet. Fixed, current / savings accounts on the liabilities side; and mortgages, loans (e.g., personal, housing, auto, and educational) on the assets side, are the more important of the products offered by banks. Related ancillary services include credit cards, or depository services. Todays retail banking sector is characterized by three basic characteristics: Multiple Products-Deposits, credit cards, insurance, investments & securities; Multiple Channels Of Distribution-Call centre, branch, Internet and kiosk; and Multiple Customer Groups-Consumer, small business, and corporate. Retail banking means mobilizing deposits from individuals and providing loan facilities to them in the form of home loans, auto loans, credit cards, etc, is becoming popular. This used to be considered by the banks as a tough proposition because of the volume of operations involved. But during the last couple of years or so, banks seem to have realized that the only sustainable way to increase deposits is to look at small and middle class consumer retail deposit and not the price sensitive corporate depositors. With financial sector reforms gathering momentum, the banking system is facing increasing companies from non-banks and the capital market. More and more companies are tapping the capital market directly for finance. This is one of the main reasons for the banks to focus vigorously on the much ignored retail deposits. Another reason is the current liquidity the margins are 1 to 2 percent above the prime rate; in retail market they are 3to4 percent.

RETAIL BANKING-The Concept:

The retail banking encompasses deposit and assets linked products as well as Other financial services offered to individual for personal consumption. Generally, the pure retail banking is conceived to be the provision of mass
23

banking products and services to private individuals as opposed to wholesale banking which focuses on corporate clients. Over the years, the concept of retail banking has been expanded to include in many cases the services provided to small and medium sized businesses. Some banks in Europe even include their private banking business i.e. services to high net worth net worth individuals in their retail Banking portfolio. The concept of Retail banking is not new to banks. It is only now that it is being viewed as an attractive market segment, which offers opportunities for growth with profits. The diversified portfolio characteristic of retail banking gives better comfort and spreads the essence of retail banking lies in individual customers. Though the term Retail Banking and retail lending are often used synonymously, yet the later is lust one side of Retail Banking. In retail banking, all the banking needs of individual customers are taken care of in an integrated manner.

RETAIL BANKING IN INDIA

Retail banking in India is not a new phenomenon. It has always been prevalent in India in various forms. For the last few years it has become synonymous with mainstream banking for many banks. The typical products offered in the Indian retail banking segment are housing loans, consumption loans for purchase of durables, auto loans, credit cards and educational loans. The loans are marketed under attractive brand names to differentiate the products offered by different banks. As the Report on Trend and Progress of India, 2003-04 has shown that the loan values of these retail lending typically range between Rs.20, 000 to Rs.100 lakh. The loans are generally for duration of five to seven years with housing loans granted for a longer duration of 15 years. Credit card is another rapidly growing subsegment of this product group.

24

In recent past retail lending has turned out to be a key profit driver for banks with retail portfolio constituting 21.5 per cent of total outstanding advances as on March 2004. The overall impairment of the retail loan portfolio worked out much less then the Gross NPA ratio for the entire loan portfolio. Within the retail segment, the housing loans had the least gross asset impairment. In fact, retailing make ample business sense in the banking sector. While new generation private sector banks have been able to create a niche in this regard, the public sector banks have not lagged behind. Leveraging their vast branch network and outreach, public sector banks have aggressively forayed to garner a larger slice of the retail pie. By international standards, however, there is still much scope for retail banking in India. After all, retail loans constitute less than seven per cent of GDP in India vis--vis about 35 per cent for other Asian economies South Korea (55 per cent), Taiwan (52 per cent), Malaysia (33 per cent) and Thailand (18 per cent). As retail banking in India is still growing from modest base, there is a likelihood that the growth numbers seem to get somewhat exaggerated. One, thus, has to exercise caution is interpreting the growth of retail banking in India.

Other Retail Banking Services:

Offer of several frills and goodies is not the end of the game. Banks also offer following Retail Banking services free of charges to customers: Payment of Utility Bills like water, electricity, telephone and mobile phone Bills Payment of Insurance Premiums on due dates Payment of monthly/quarterly education fee of children to their respective schools/Colleges Remittance of funds from one account to another Demating of Shares, Bonds, Debentures, and Mutual Funds Payment of Credit Card Bills on due dates Last but not the least, the filing of Income Tax returns and payment of Income Tax

25

PRODUCTS AT A GLANCE:
RETAIL BANKING
Loan Products Personal Loans Home Loans Car Loan Loan Against Shares Loan Against Property Loan Against Security Study Loan Consumer Loan Fixed Deposits Recurring Deposits Encash 24 Tax Saver Fixed Deposit Mohur Gold Online Trading Mutual Funds Demat Account A Smile Solution Kal Bhi, Aaj Bhi Life Insurance Life Insurance Products 5 For Life Health Insurance Family Health Silver Health Motor Insurance Jewellery Insurance Personal Accident Safe Guard Home Safe Home Safe Home Plus Travel Companion Critical Illness Business advantage Deposit Products Investment & Insurance

26

Payment Services
Bill Pay Electronic Clearing Service Tax Payments Tax e-Payments Direct Tax Payments Pension Disbursement

Forex Services
Travel Currency Cards India Travel Card Outward Remittances Foreign Currency Travellers Cheques Foreign Currency Cash

Access To Bank
Net Banking One View InstaAlert Mobile Banking ATM Phone Banking Email Statements Branch Network

CARDS Credit Cards

Infinite Credit Card Titanium Smart Traveler Credit Card Signature Credit Card Platinum Advantage Credit Card Platinum Credit Card Easy Credit Card Gold Credit Card Silver Credit Card eShop Card Corporate Credit Card Trust Chemists Credit Card Shriram Credit Card

Debit Cards
Business Debit Card Priority Platinum Debit Card MyDesign - Image Debit Card Titanium Rewards Debit Card Classic Debit Card Gold Debit Card Gold Plus Debit Card Business Gold Debit Card

Prepaid Cards
My Money Card Travel Currency Card Payroll Card Corporate Gift Card Gift Card Rewards Card Remittance Card Meal Card Annuity Card

27

TYPES OF DEPOSIT PRODUCTS

While there are various deposit products offered by the Bank and each one of them are assigned different names, the deposit products can be categorized broadly into the following types. The definitions of major schemes are as under: 1. Fixed Deposits- With FDs we deposit a lump sum of money for a fixed period and earn a pre-determined rate of interest. FDs are offered by both banks and companies though putting our money for long term period generally to considered risk. Axis Bank also offers Fixed Deposits (at very competitive interest rates), which can be opened with a minimum investment of Rs 10,000. We can make additions to your deposit in multiples of Rs 1,000 each. The duration of our deposit must be a minimum of 6 months. 2. Recurring Deposits- It is an account in the bank (or a Post office in some countries) where an investor deposits a fixed amount of money every month for a fixed period (mostly one year to five years). This scheme is meant for investors who want to deposit a fixed amount every month, in order to get a lump sum after some years. The small monthly savings in the Recurring Deposit scheme enable the depositor to accumulate a handsome amount on maturity. Interest at term deposit rates is computable on quarterly compounded basis. Axis Bank's Recurring Deposit scheme also provides this facility. Features of Recurring Deposits in AXIS BANK are Equal monthly installments of minimum Rs 1,000 and above in multiples of Rs 500 thereafter. Minimum period for open this account, 12 months and in multiples of 12 months thereafter, upto a maximum of 120 months. The amount of installment once fixed, cannot be changed. Installment for any calendar month is to be paid on or before the last working day of the month. If someone is delay in payment of installment, for regularize the account somebody must pay extra 4 % for the period of delay.
28

3. Encash 24 The Encash 24 (Flexi Deposit) gives you the liquidity of a Savings Account coupled with high earnings of a Fixed Deposit. This is achieved by creating a Fixed Deposit linked to your Savings Account providing you the following unique facilities:

Maximum Returns: Your money is no longer idle. As soon as the balance in your Savings Account crosses over Rs 25,000, the excess, in multiples of Rs 10,000 will be transferred automatically to a higher interest earning Fixed Deposit Account. The maturity of fixed or term deposits formed as a result of transfer of money from the Savings Bank account will be for a maximum period of 181 days and the interest will be calculated on simple interest rate basis. Maximum Liquidity: The money parked in Fixed Deposits as a result of the above mentioned sweep out from your Savings account can be easily accessed by issuing a cheque, withdrawing through ATM etc. This amount is automatically reverse swept from the most recently formed Fixed Deposit in units of Rs 5,000 to the Savings account whenever the balance in your Savings account falls below Rs 25,000. The amount broken form your Fixed Deposit will earn interest rates at the applicable rate for the period that the deposit was held with the Bank. The remaining amount of Fixed Deposit will continue to earn the contracted rate of interest. Auto Renewal: On maturity of your linked Fixed Deposit, the Bank will automatically renew it for a maximum period of 181 days.

4. Tax saver fixed deposit In the Finance Bill of 2006, the government had announced Tax benefits to Bank Term Deposits which are of over 5 year tenure u/s 80C of IT Act, 1961 vide Notification Number 203/2006 and SO1220 (E) dated 28/07/2006. The salient points of the scheme notification are; (a) Fixed tenure without premature withdrawal. (b) Year is defined as a financial year. (c) Amount limited to Rs. 100 minimum and Rs. 100,000 maximum. (d) Bank will issue a Fixed Deposit Receipt that shall be the basis of claiming tax benefit. (e) Term deposit under this scheme cannot be pledged to secure a loan.
29

SAVINGS ACCOUNT:
Savings Accounts are primarily meant to inculcate a sense of saving for the future, accumulating funds over a period of time. Whatever may be the occupation of the customer, the bankers are confident that these accounts will help them in their future needs thus proving a perfect banking solution. AXIS Bank provides a wide range of Savings Accounts depending upon the needs and types of customers. The followings are the different types of savings account: 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. EasyAccess Savings Account Krishi Savings Account Salary Account Prime Savings Account Women's Savings Account Priority Account Senior Citizen's Account Azaadi - No Frills RFC(D) Account Trust/NGO Savings Account Pension Savings Account Wealth Account Privee Account 1. Easy Access Savings Account This Account gives us instant access to your money anywhere, anytime. Possessing a range of unmatched features. We can avail of all these services with a minimum quarterly average balance of Rs. 5,000 in metro or urban centers, Rs. 2,500 in semi urban centers and Rs. 1,000 in rural centers. 2. Krishi Savings Account Axis Bank offers a unique savings account which is easy to operate and allows you to transact immediately. This product has been specially designed keeping in mind the unique requirements of a farmer and others employed in the allied agricultural activities sector, so it also called Allied Agricultural
30

Activities. Thus this product has been called the Krishi Savings Account. Average Balance Requirement half-yearly average balance of Rs 1000 only. The account holder, are entitled to access our wide network of more than 1000 branches and 4055 ATMs across 440 cities. This account also provides an International Master Debit Card in free of cost. Withdrawal limit of Rs 25,000 per day & Free Accident Insurance cover of Rs 2 lacs This account also comes with the At-Par Cheque facility. This facility enables you to encash the cheques as local instruments at any of the 440 centre are where the Bank has its presence, at no extra cost. 3. Salary Account Salary Account is the account only open by any salary holder providing total financial solutions to the employer as well as the employee, through the salary relationship. So AXIS bank understands that each employee in an organization is at a different station of life having different financial and banking needs. So it provides different types of salary account. These ares

Prive Salary - For employees with net monthly salary of Rs.5,00,000/or more Wealth Salary - For employees with net monthly salary of Rs.2,00,000/or more Priority Salary - For employees with net monthly salary of Rs.75,000/or more Prime Salary - For employees with net monthly salary of Rs.25,000/- or more Easy Access Salary - For employees with net monthly salary of Rs.9,000/- or more Smart Pay Card - For employees with net monthly salary less than Rs.9,000/-

Benefits for the employees in Axis Bank

Anywhere Banking at any Axis bank over 1200 branches and a network of over 5500 ATMs spread across more than 796 centers Multi-city at par chequebooks
31

Electronic Fund Transfer facility across all banks in India Internet Banking with Fund transfer facility to self and third party accounts 24x7 convenience at no charges with Axis Mobile Free SMS Banking with features such as alerts on debits / credits over Rs.5,000/- balance enquiry, enquiry on last 3 transactions and status of cheque clearance etc Debit and Pre-paid Cards.

Benefits for the employer in Axis Bank

Efficient disbursal of salary Web Upload facility enabling your payroll department to upload salaries at its own convenience An Axis Bank official can be designated at your major locations for addressing all queries and issues from HR department. 4. Prime Savings Account

Axis Bank always strived to pace its products with the growing needs of the customers. So the Prime Savings account has been created with specific financial requirements in mind. As a Prime Savings account holder, enjoy access to a wide network of over 1000 branches and one of the largest ATM networks (4055 ATMs as on 31st March 2009) in India giving you easy access to your account from almost any corner of the country. The Prime Savings account has to offer

At Par Cheque Facility without any limit. Free cash withdrawal up to 5 transactions at other bank ATM's. Free quarterly statement of account. Free SMS Banking Facility Two Demand Drafts/Pay Orders free per month (drawn on Axis Bank centres) and a charge of Rs 100 thereafter. International Debit card with an Accidental Insurance cover upto Rs. 2 lakhs. Access through more than 1095 offices & 4846 ATMs 24*7 Phone Banking, Internet Banking and Mobile Banking Facility Free monthly e-statement / free passbook facility.

32

You can avail of all these services with a minimum quarterly average balance of Rs. 5,000 in metro or urban centers, Rs. 2,500 in semi urban centers and Rs. 1,000 in rural centers. Preferred recognition across branches Complimentary three Zero Balance Priority accounts in family relationship Personalized cheque book with unlimited at-par facilities. Priority Platinum Debit Card Exclusive benefits on Dining, Health, Personal Care ,Apparels, Jewellery, Services & Travel Complimentary access to Airport Lounges at select Domestic & International Airports in India Complimentary Anywhere Banking. Priority Processing of all requests Monthly Mutual Fund Navigator and Market Reports Consolidated physical quarterly statements Preferred recognition across all Axis Bank branches Separate queue at CPU for account opening 5. Women's Savings Account

Axis Bank's Women's Savings Account is an for woman by the Bank to gives us instant access to our money anywhere, anytime. Banking provides facility for this account holder:

At-Par Cheque book ATM Network Anywhere Banking Telebanking Internet banking SMS Banking Quarterly account statement Quarterly interest @ 4% per annum Free monthly e-statement

33

6. Priority Account In Priority Savings account, banking transactions of the Priority Clients are privileged to be coordinated with the help of priority relationship team. The followings are the feature for this account. A Minimum Average Quarterly balance should maintain 2lakhs. The client will term deposit relationship with Rs 10lakhs in fixed deposit, Average Quarterly balance should maintain should for them zero. And they enjoy three zero balance Priority Account. The client with weighted deposit (S.A, C.A, F.D, L.I) of Rs 5lakhs the minimum Average Quarterly Balance should be Rs 50,000. The Bank will provide the following service to this account holder.

Cheque book with unlimited at-par facilities. Invitation to events & annual gifts. Platinum Debit Card having the following facility ATM withdrawal limit of Rs 1 lakhs. Higher Transaction Limit of Rs 1.5 lakhs. Personal accident Insurance covers of Rs 5 lakhs. Zero fuel surcharge.

Anywhere banking. Free mobile & Internet Banking. Complimentary Demat Account. Discount of Travel Cards. Preferential rate on forex service. 7. Senior Citizen's Account

The Senior citizen Savings account is an account for Senior citizen (above 60 year) by the Bank to comfortable banking. Senior citizen Savings Account gives you instant access to your money anywhere, anytime. Axis Bank's Senior Citizen Savings Account has been designed keeping in mind the fact that a Senior citizen's banking requirements are wholly different and require special consideration.Banking Privileges for this account holder:

At-Par Cheque book

34

ATM Network Anywhere Banking Telebanking Internet Banking SMS Banking Quarterly account statement Quarterly interest @ 4% per annum Free monthly e-statement Free Senior Citizen ID card

8. Azaadi - No Frills A savings account that doesn't require a minimum balance. The following things are required for this account

The sum total of all credits to your account does not exceed Rs 1 lac during the financial year. You do not intend to maintain an account balance higher than Rs 50,000 at any given instant.

Features of this account

Zero Balance Savings Account. Instant Welcome Kit. International Debit Card. Phone Banking and Internet Banking. Free monthly e-statement .

9. Trust/NGO Savings Account Axis Bank's Trust Account is an effort to offer thoughtful banking for people who spend their lives thinking of others. It is a complete banking solution for Trusts, Associations, Societies, Government Bodies, Section 25 companies and NGOs, so that the organisations can devote all of their time to their noble motivations.

35

Features

Average Quarterly Balance (AQB) of Rs. 25,000 A multi-city at-par cheque facility with no limit on clearing payments at centers across the country wherever we are present. Free Anywhere Banking across all our Branches and Extension Counters and over all our ATMs. Free Demand Drafts or Pay Orders as and when required by you to remit funds. Free collection of cheques at outstation locations. Free monthly e-statement Monthly Statement of Account delivered at your doorstep. Facility for collecting donations in our account through our network of Branches and Extension Counters across the country, as well as through Internet Banking facility. 10. Pension Savings Account

Axis Bank is design this account only for pension holder. Benefits of this account are as follows

Timely communication to the customer on receipt of the PPO No delays in commencement of pension disbursals - The Bank is handling the disbursement of Pension under a Centralized Pension Disbursement Module wherein the Pensioner records are credited centrally through its Centralized Pension Payment Hub (CCPH) at Mumbai. Timely issue of Form- 16A for tax deducted at source in the immediately previous financial year Timely revisions based on changes in rates of Pension or Dearness Allowance, done centrally from the CCPH.

36

CURRENTACCOUNT:
A Current Account is a Bank Account opened in the name of a business establishment for day-to-day business transaction. Banks giving overdraft facilities, by checking the old transactions, if it is necessary for the establishment. The various Current Accounts of AXIS bank are: 1. Normal Current Account 2. Business Advantage Account 3. Business Select Account 4. Business Classic Account 5. Business Privilege Account 6. Channel One Account 7. Current Account for Govt Organisations 8. Current Account for Banks 9. Capital Market Current Account 10. Krishi Current Account 11. Business Global Current Account 12. Club 50 Current Account 13. Local Current Account 14. Current Account for Pharma

1. Normal Current Account This Normal Current Account gives us service at Monthly Average Balance (MAB) of Rs. 10,000; the following features are available for this account holder.

Cash deposit free upto Rs. 1.2 Lacs per month in home branch. Inter Branch Cash Deposit Facility 2 Lacs per day
37

Free Anywhere Banking, DD & PO transactions up to Rs. 12 Lacs per month. Intercity Cash Withdrawal Facility upto Rs. 5 Lacs per day Completely free Funds Transfer & local cheque collection and payments across Axis Bank locations all over the country. Free upto 25 transactions (Cash / Clearing / Transfer) per month. Mobile Alerts ATM cum International Business Debit Card Phone Banking Corporate iConnect Daily free account statements through e-mail

2. Business Advantage Account According to our business growth we need more banking requirements. For full fill banking needs, the bank provides Business Advantage Account for which one should maintain Rs. 25,000 as Monthly Average Balance. The following features are available for this account holder.

Cash deposit free upto Rs. 3 Lacs per month in home branch. Inter Branch Cash Deposit Facility to Rs. 2 Lacs per day Free Anywhere Banking, DD & PO transactions up to Rs. 30 Lacs per month. Free upto 50 cheque leaves per month. Intercity Cash Withdrawal Facility upto Rs. 5 Lacs per day. Completely free Funds Transfer & local cheque collection and payments across Axis Bank locations all over the country. Free upto 50 transactions (Cash / Clearing / Transfer) per month. Mobile Alerts. ATM cum International Business Debit Card. Phone Banking. Corporate iConnect. Daily free account statements through e-mail.

38

3. Business Select Account The Monthly Average Balance requirement shall be Rs 50,000. Feature for this account holder.

Free cash deposit upto 12 times the monthly average balance maintained in the same cycle with minimum free limit of Rs. 6 Lacs per month. Free limits between Home branch and Non Home branch cash deposit. Free Anywhere Banking, DD & PO transactions up to Rs. 60 Lacs per month. Free upto 100 cheque leaves per month Avail services like cheque and DD pick up, PO delivery and cash pick up or delivery at nominal cost. Completely free Funds Transfer & local cheque collection and payments across Axis Bank locations all over the country. Mobile Alerts ATM cum International Business Debit Card Phone Banking Corporate iConnect Daily free account statements through e-mail

4. Business Classic Account The Monthly Average Balance for this account holder should be Rs 1 lac. Features for this account holder.

Cash deposit free upto Rs. 12 Lacs per month in home branch. Inter Branch Cash Deposit Facility upto Rs. 2 Lacs per day. Free Anywhere Banking, DD & PO transactions up to Rs. 1.20 Crores per month. Free upto 200 cheque leaves per month. Cash withdrawal upto Rs. 5 Lacs per day at a remote branch. Completely free Funds Transfer & local cheque collection and payments across Axis Bank locations all over the country. Mobile Alerts. ATM cum International Business Debit Card.
39

5. Business Privilege Account If we can maintain Rs 5 lacs monthly average balance, then the great facilities of this account will provide by the Bank. Feature for this account holder are

Cash Deposit free upto Rs. 60 Lacs per month in home branch. Inter Branch Cash Deposit Facility upto Rs. 12.50 Lacs per month. Free Anywhere Banking, DD & PO transactions up to Rs. 6 Crores per month. Intercity cash withdrawal Upto Rs. 5 Lacs per day at remote branch with upto Rs. 1 Lac free per day Free upto 500 cheque leaves per month Free fund Transfer Mobile Alerts ATM cum International Business Debit Card Phone Banking Corporate iConnect Daily free account statements through e-mail

6. Channel One Account Channel One is Axis Bank's high end Current Account with Minimum Monthly Average Balance requirement of Rs. 10 lacs (Rs. 5 lacs at Semi - Urban / Rural branches). Features for this account holder.

Doorstep Banking and designated relationship manager are the salient features which include services like free cheque and DD pick up, PO delivery and cash pick up or delivery at nominal cost. A Relationship Manager will be available to attend our day-to-day banking requirements at the branch. Free Non - Home Branch Cash Deposit Facility upto Rs. 25 lacs per month. Free Home Branch Cash Deposit Upto Rs. 1.2 cr. per month Enjoy local clearing transactions and free fund transfers without any limit between Axis Bank accounts. Free DDs and POs payable at Axis Bank locations Free RTGS / NEFT facility all through.
40

As high as 1000 transactions and 1000 cheque leaves can be availed absolutely free every month. Cheque protection upto Rs. 50,000/- per day.

7. Current Account for Govt Organisations The Government Organisations/Bodies (Central Govt. /State Govt. /Local Govt. /Autonomous) are offered Current Accounts with no Minimum Balance Stipulation and having the following features.

Current Account with No Minimum Balance Stipulation. Free Anywhere Banking Facility at all Axis Bank Locations. Free Cash Deposit Facility. No Chequebook Issue Charges. Free at Par Payable Cheque Facility with no limit at all Axis Bank across the country. Free Instant Online Funds Transfer Facility to Axis Bank Beneficiary Accounts. Free Demand Drafts/ Pay Orders on all Axis Bank Locations. Free Demand Drafts on Non-Axis Bank Centres, on a case to case basis. Free Local Cheque Collection Facility. Free Outstation Cheque Collection Facility Monthly Account Statement delivered through e-mails. Internet Banking Facility. Delivery & Pick-up of Cheques and Cash from Office premises.

8. Current Account for Banks One of the fastest growing New Generation Private Sector Banks presently having more than 850 branches / outlets and 3,700 plus ATM's which are interconnected to each other on a Real Time Online mode giving you the convenience of having a bank account in any of the more than 500 locations where we have our presence.

41

The bank has a special relationship with over 1000 Co-operative Banks/Private Sector Banks/MNC Banks/Public Sector Banks across the country. Now the private sector Banks are growing faster having more than 850 branches / outlets and 3,700 plus ATM's. So the Bank provides current account for bank having the following service.

Payable at Par-Cheque Drawing Arrangement. Up Country Cheque Collection (UCC) at all Axis Bank locations. Constituent's Subsidiary General Ledger Account. Corporate Demat Account. Foreign cheque collection. Collateralized Borrowing & Lending Operations (CBLO). Trading in Government & Corporate securities.

9. Capital Market Current Account The Bank also provides current account for brokers having the following feature.

CAP Normal: MAB - Rs. 10,000 CAP Advantage: MAB - Rs. 25,000 CAP Business Classic: MAB - Rs. 1,00,000 CAP Business Privilege: MAB - Rs. 5,00,000 CAP Channel One: MAB - Rs. 10,00,000 Free Anywhere Banking Instant Funds Transfer across all locations absolutely free. Fund based and Non-fund based credit facilities available. Mobile Alerts ATM cum International Debit Card Phone Banking Corporate iConnect Daily free account statements through e-mail

42

10. Krishi Current Account This is one of the best Current account provides by the bank to the agriculture based businesses. The half yearly average balance maintain for different category of locations should be Urban - Rs. 10,000, Semi Urban - Rs. 5,000, Rural - Rs. 2,500. Following are the Features of this account.

Enjoy Anywhere Banking with Axis Bank from more than 800 branches. Issue multi-city cheques payable "At-Par" at any Axis Bank branch. Deposit cheques drawn on any location in the country for local clearing. Upto 50% rebate on charges for maintaining higher balances Mobile Alerts ATM cum International Debit Card Phone Banking Corporate iConnect Daily free account statements through e-mail

11. Business Global Current Account A current account for Exporters / Importers that satisfies their banking needs for both domestic & foreign transactions.Features

To facilitate your domestic transactions, Business Global brings you a zero balance current account. Rebates upto 60% on current account charges. 10 free DDs per day and 5 free POs per day of unlimited amount. Avail the facility of higher free limits for funds transfer and Anywhere Banking. Mobile Alerts ATM cum International Debit Card Phone Banking Corporate iConnect Daily free account statements through e-mail

43

12. Club 50 Current Account Half yearly average balance of Rs. 50 lacs (Rs. 25 lacs at Semi - Urban / Rural branches) should be maintained for this current account of smoothly fulfills the daily banking requirement. The following are the feature of this account.

Higher free home branch cash deposit limit upto Rs. 2 cr. per month Maintain the required half yearly average balance and enjoy free non home branch cash deposit upto Rs. 50 lacs per month As high as 2000 free transactions per month Absolutely free non cash transactions every month which includes local clearing, clearing at non - home branch location, DDs and POs payable at Axis Bank locations and funds transfers between Axis Bank accounts. To make your day to day banking hassle free, a Relationship Manager will be available to attend your banking requirements at the branch. Enjoy lifestyle benefits / privileges like free subscription to magazines and books, access to Business center at all our Premium branches at select locations, Priority Savings Bank accounts for all authorised signatories. Deposit cash/cheques, withdraw cash or have demand drafts/pay orders delivered at your office free of cost. Maintain your required half yearly average balance and enjoy the benefits of free RTGS / NEFT facility all through. Avail the facility of free cheque books every month. Avail the facility of free demand drafts on Non Axis Bank locations upto a certain limit. Get free International Business Gold Debit Card to enjoy a host of benefits. Cheque protection upto Rs. 1 lac per day.

13. Local Current Account The Bank provides the Local Current Account for Small businesses for their growing banking. The following are the feature for this account.

Banking with maintenance zero balance. 75 free transactions every month Get a rebate of 15% every quarter on your annual charges if average balances maintained in a quarter exceed Rs. 50,000.
44

A nominal annual charge of just Rs. 1,999 + Service Tax allows you all the above benefits. Mobile Banking Phone Banking Corporate iConnect Daily account statements through e-mail

14. Current Account for Pharma The Bank introduces this current account to provide service to the Indian pharmaceutical industry. This kind of banking product for the following entities in Indian Pharmaceutical Industry:

Retail Chemists C & F agent, Wholesalers, Stockiest / Retailers in the Pharma segment Pharmacists

The following features with Current Account for Pharma:

Enjoy banking with Zero Balance facility 60 free transactions per month . The Bank offer EDC machines with free installation for our Pharma current account customers. Enjoy Anywhere Banking with Axis Bank from more than 800 branches / service outlets where you can :

Issue multi-city cheques payable "At-Par" at any Axis Bank branch Deposit cheques drawn on any location in the country and much more for local clearing.

A nominal annual charge of just Rs. 1,500 + Service Tax allows you a host of benefits Mobile Alerts Daily free account statements through e-mail ATM cum International Debit Card

45

DEMAT ACCOUNT:
Axis Bank is a registered member (Depository Participant) of NSDL (National Securities Depository ltd.). In this system, physical security holdings are converted into electronic (or in other words, dematerialized) holdings. Axis Bank has been enrolled as a Depository Participant by the NSDL - India's first depository. You can avail of all the depository-related services by just opening an account with NSDL through Axis Bank. Facility provide to this account holder

Transfer of shares and settlements. Receipt of Corporate Benefits Even securities entitlements like bonus and rights can be credited to your demat account electronically. Dematerialisation of shares at your request we arrange to convert your physical holdings into electronic form. Rematerilialisation You has the option to convert your electronic shares back to physical shares.

SAFE DEPOSIT LOCKERS:

A Safe Deposit Locker with Axis Bank is the solution to your concern. Located at select branches in cities all over the country, our lockers ensure the safe keeping of your valuables assets. Advantages

Wide Availability: As on November 30, 2010 lockers are available at 944 branches and extension counters. Lockers available in various sizes. Direct debits for locker rentals from your account rid you of the hassles in writing out cheques. Extended banking hours to operate lockers. Competitive rentals.

46

TYPES OF LOAN PRODUCTS:

A loan is a specified amount sanctioned for a period of times. Loans are granted generally against the security of assets or on the personal security of the borrower. The borrowers may withdraw the amount of the loan in lump sum or in installment. Similarly it may be repayable in lump sum or in installment. If you have occasionally dreamt of buying a PC, a car of your choice or even traveling abroad, your dreams are now within your reach. Whatever may be your need, AXIS Bank offers an entire range of loan products, Loans to suit every need.

Personal Loans
A personal loan is an unsecured loan, meaning the borrower does not put up any security to guarantee the repayment of the loan. For this reason, personal loans tend to carry high interest rates. Our personal loans will meet all your personal requirements. The following are the facility provided by AXIS Bank

Loans for salaried individuals of select companies Special loans for doctors, chartered accountants, engineers, architects, CS and ICWA Loans are available from Rs 1 lac to Rs 20 lacs Repayment tenures from 12 to 60 months Attractive interest rates A balance transfer facility available for those who want to retire any higher cost debt Zero balance SB account facility for personal loan customers Simple procedure, minimal documentation and quick approval.

47

Home Loans
A home loan, or mortgage, is a secured loan that borrowers obtain in order to purchase a home. Axis Bank's Power Home puts an end to your Real Estate troubles. Features of Home Loan in AXIS bank

Attractive interest rates Balance Transfer facility Doorstep service Nil Prepayment charges

Car Loans
A short-term loan in which the borrower's car is used as collateral. The borrower must be the lien holder (i.e. own the car). Loans are usually for less than 30 days. If the loan is not repaid, the lender can take ownership of the car and sell it to recoup the loan amount. AXIS Bank also provides this loan with the following facility.

Loan value calculated as per the ex-showroom price of the vehicle Attractive interest rates LTV of upto 90% of the ex-showroom price on selected models Loans available for salaried and self employed individuals, proprietorships and partnership firms and Companies. Special schemes for Axis Bank Salary accountholders Loans offered from Rs. 1 lac onwards Loans tenure from 1 year to 5 years

Loan against Shares

Preferred stock shares that are used as collateral to secure a loan from another party. The loan will earn a fixed interest rate, much like a standard loan, and can be secured or unsecured.
48

Feature:

Facility only to individuals Overdraft facility against single and combination of scrips in dematerialized form from the list of approved scrips Facility will be renewed / reviewed after 12 months from the date of sanction Interest charged on actual amount utilized - no EMI or post dated cheques required Shares can be pledged from any Depository Participant across the country Cheque book facility

Asset Power (Loan against Property)

The loan which will provided by bank against our property is called loan against property. Property may commercial or residential one can apply for this loan. A take-over of your existing loan with refinancing is also possible with Asset Power. Features

Attractive interest rates Balance Transfer facility available with additional finance Doorstep service

You can avail the following four products under Asset Power

Loan against property - Residential Loan against property - Commercial Loan for purchase of commercial property Take-over of existing loan with additional refinance (Balance Transfer) Lease Rental Discounting (LRD)

49

Loan against Security

This loan provide by the bank against security. The followings are the facility under this loan.

Facility only to individuals Facility in the form of overdraft against list of approved securities Facility upto 75% of security value Interest charged on actual amount utilized No EMI or post dated cheques required No pre payment charges Cheque book facility Term Loan facility available against select securities

Overdraft facility can be availed against pledge of:

Mutual Fund units - Facility limit up to 50% of NAV (Net Asset Value). Life Insurance Policies issued by LIC National Savings Certificate (NSC) Kisan Vikas Patra(KVP)

Education Loan
A loan offered to students which are used to finance education-related expenses, such as college tuition, room and board at the university, or textbooks. Many of these loans are offered to students at a lower interest rate. In general, students are not required to pay back these loans until the end of a grace period, which usually begins after they have completed their education. Axis Bank's Study Power aims to provide financial support to deserving students for pursuing higher professional or technical education in India and abroad. Feature of this Loan The Loan finance Rs 10.00 lacs for studies in India and Rs 20.00 lacs for
50

studies abroad, which would cover tuition fees, hostel charges (if any), cost of books, etc. The minimum amount of loan would be Rs 50,000. No margin for loans upto Rs 4 lacs. For loans above Rs 4 lacs, 5% margin for studies within India and 15% for higher studies overseas. The parent or guardian of the student would be treated as a co-applicant of the loan. His or her role would be, necessarily, like the primary debtor. Third party guarantee and/or collateral security may be asked for in appropriate cases. Assignment of LIC policy in favor of the Bank for the sum assured being at least 100% of the loan amount. The policy is kept alive during the currency of the loan. To ensure this, the annual premium may be included in the computation of the loan requirement, along with the tuition fees and other recurring charges. Further, the future income of the student needs to be assigned in favor of the Bank for meeting the installment obligations. The loan will be disbursed in full or in suitable installments taking into account the requirement of funds and/or fee schedule as assessed by the Bank directly to the educational institution or vendor of books or equipment or instruments.

Consumer Power loan

Axis Bank's Consumer Power scheme will help you acquire the consumer durables you need. Because we know it takes a lot more than four walls to make a home. A new TV, a washing machine, a refrigerator or an AC... The possibilities are endless. Terms & condition: You can apply for as little as Rs 25,000, or as much as Rs 2 lacs. The maximum loan amount cannot exceed 85% of the cost of the durable, or 12 times your net monthly salary (or equivalent of net annual income for self-employed
51

persons), whichever is lower. You are charged a competitive interest rate, and you can choose to repay your loan in 12, 24 or 36 Equated Monthly Installments. If you are a salaried employee, your Equated Monthly Installments will be collected directly from your employer under the check-off facility. For others, post-dated cheques will be collected.

INVESTMENT PRODUCTS
The Investment products that Axis Bank deals with include Fixed deposits, Gold Coins, Mutual Funds, Life Insurance products and General Insurance products. Since the mutual fund products, life insurance products and general insurance products belong to different companies for which the banks act as corporate agents, they are called as Third Party Products for the banks.

Mutual Funds:A Mutual Fund is the most suitable investment for the
common man as it offers an opportunity to invest in a diversified, professionally managed basket of securities at a relatively low cost. Viewed in this sense globally India is one of the best markets for Mutual Fund Business, so also for Insurance business. This is the reason that foreign companies compete with one another in setting up insurance and mutual fund business units in India. The sheer magnitude of the population of educated white collar employees provides unlimited scope for development of Mutual Fund Business in India. Invest through the Mutual Fund route at AXIS Bank to meet your varied investment objectives.

52

AXIS Bank deals with all Mutual Fund products, but the few of the suggested funds by the Fund manager on which the bank majorly focuses and suggest their customers are as below: Axis Equity Fund ICICI Prudential Focused Bluechip Fund Birla Sun Life Fund Axis Income Saver Axis Tax Saver Axis Triple Advantage Fund Birla Sun Life 95 Fund Reliance Regular Savings-Balanced Fund Birla Sun Life MIP II-Saving 5 Plan

53

Life Insurance:
Life insurance is designed to offer financial protection for you and your family during the times of uncertainties. Banks are now in the trend of being one stop shop for all Financial products. Life Insurance products being another category of third party products, banks act as Corporate agents for the Insurance companies. This channel for the Insurance companies is known as Bancassurance channel. The tie ups of banks with Insurance companies has a both way benefit, the Insurance companies get to sell their products to the existing base of the Banks and the Banks earn a revenue income out of the deal. Axis Bank has tie up with Max New York Life Insurance Company Ltd. The Life Insurance products that Axis Bank deals with are as follows. Max New York Life Life Gain Plus Max New York Life Whole Life Participating Max New York Life's Life Partner Plus Max New York Life Platinum Protect Max New York Life Shiksha Plus II Max New York Life Flexi Fortune Max New York Life College Plan

General (Non-Life) Insurance: Axis Bank has tie up with Bajaj Allianz for General Insurance products. The general insurance include all Non life insurance products such as Health
54

Insurance, Mediclaim, Home Insurance, Jewellery Insurance, Commodity Insurance and Motor Insurance. The Health Insurance products are as follows. Motor Insurance Jewellery Insurance Personal Accident The Home Insurance products are as follows. Safe Home Safe Home Plus The Travel Insurance products are as follows. Critical Illness Business Advantage

Direct Banking Channels

These are some of the features of DBC Offered by Axis Bank: Balance Enquiry Free Fund Transfer Bill Pay Facility Statement Request New Cheque Book Request Preferred Rates For Demand Draft Buy And Sell Mutual Funds Fund Transfer To 3rd Party Various direct banking channels offered by AXIS Bank are:

55

Net Banking: Net banking is the Internet banking service which provides up-to second account information. Customers can view account balances and statements, transfer funds between accounts, create fixed deposit online through net banking which should be inform to them. Phone Banking: Phone banking will help customer to talk to the phone banker at any time whenever they fill the requirement to check the transactions. There is a toll free number where the customer can call without bearing any charges. Email Account Statement: AXIS Bank account holders can get their statement online on their email id monthly as per the instruction given by the holder. Customers can get instant email while they are depositing or withdrawing from their account. These email statements are completely free & there are no charges. Mobile Banking: Mobile Banking works through a set of text messages (SMS). With SMS you can perform a wide range of query-based transactions from your mobile phone, without even making a call. ATMs are also important contributors towards DBC. Most of the customers
nowadays depend largely on ATM Counters for their cash transactions.

56

RESEARCH OBJECTIVES-SCOPES-LIMITATIONS
PURPOSE:
There must be some pinpointed objectives for any research proposal. Objectives particularly specify scope area, problem and its solution of a research project. Every research starts with a specific problem. Objectives should be designed in such a way so that the problem can be solving through the fulfillment of the objectives as stated. Needless to say, that the sole objective of my project is to understand the Risk Profile of the investor through analyses the response of the customer and to be able to be advice/suggest them an invest plan suitable to them.

SCOPE:
When people talk about scope, they immediately think time and cost. Time and cost are the outputs of scope. Determining scope is a different exercise. In the context of my project when we talk about defining the scope, we are talking about developing a common understanding as to what is included in, or excluded from, what would be our learning? How much we are gaining knowledge on banking sector and so on. Embarking upon the scope of the project assigned to me, I was first briefed by the Branch Manager on day one and during that session a well planned agenda was formulated. 1. It suggested that first I ought to observe every minute activity going on inside the bank. 2. Following the above was the task to be aware about the structure, functioning and all the products of the Bank. 3. After that I undertook the job of customer interaction the most important part of my project. 4. Lead generation was the ultimate ramification of the Questionnaire administration in the open market survey. The above mentioned agenda aptly conveys the scope of my project which included gathering Banking Experience & Product Knowledge, Interactions with customers as well as Corporate
57

Personnel, & ultimately enhancing the awareness level of the Banks Customers.

LIMITATIONS:
As far as the limitation of the Project is concerned, I faced many a problems and adversities in course of my project duration like: 1. Time was a major factor. Just 50 days is too small a time for understanding and grasping the knowledge of Banking industry and operation, where the subject itself is so vast. 2. The distance factor was also a bottle neck while surveying the customer because it not only took much time but was also disappointing at times when the target customer wouldnt be available at the place of meeting

SOURCES & METHODOLOGY:

My respected project guides Mr. Satej Mohanty, Mr. Debashis Sahani & Mr. Soumyabrata Das was the sole source of everything which was important for my easier-said-than-done project to materialize. They guided my footsteps whenever and wherever I stumbled on the way to my objective, and not only this but he was also my torchbearer and gave me all the moral and material support. I received a score card from my corporate guide, which is shown below. This score card helps in determining the risk profile of an investor. Then the questionnaire was prepared to get the details about investors and their perception and interest area of overall investment.

QUESTIONNAIRE TO JUDGE RISK PROFILER OF THE INVESTORS:

Name: Mobile No: 1. Age Group 45 & Above 35-45 25-34 Upto-25
58

2. Qualification of Respondents. Matriculate Under Graduate Graduate Post Graduate 3. My current and future income sources (example: salary, business income, etc.) are: Very unstable unstable somewhat stable Stable Very stable

4. How well do you understand investing in the markets? I am a novice. I dont understand the markets at all. I have basic understanding of investing. I understand the risks and basic investment concept like diversification. I have an amateur interest in investing. I have invested earlier on my own. I understand how markets fluctuate and the pros and cons of different investment classes. I am an experienced investor. I have invested in different markets and understand different investment strategies. I have my own investment philosophy. 5. What is your Investment Horizon? How long can you keep your money invested in the market before needing access to it? Up to two years Two and three years Three and five years Five year and ten years Ten years and more

6.

If your investment outlook is long-term (more than five years), how long will you hold on to a poorly performing portfolio before cashing in? Not hold & cash in immediately if there is an erosion of my capital. Id hold for 3 months Id hold for 6 months Id hold for one year Id hold for up to 2 years Id hold for more than two years 7. If a few months after investing, the value of your investments declines by 20%, what would you do?

59

 Cut losses immediately and liquidate all investments, Capital preservation is paramount. Cut your losses and transfer investments to safer asset classes. You would be worried, but would give your investments a little more time. You are ok with volatility and accept decline in portfolio value as a part of investing. You would keep your investments as they are. You would add to your investments to bring the average buying price lower. You are confident about your investments and are not perturbed by notional losses. 8. Volatile investments usually provide higher returns and tax efficiency. What is your desired balance? Preferably guaranteed returns, before tax efficiency Stable, reliable returns, minimal tax efficiency Some variability in returns, some tax efficiency Moderate variability in returns, reasonable tax efficiency Unstable, but potentially higher returns, maximizing tax efficiency 9. From the following five possible investment scenarios, please state the option which defines your investment objective? I cannot consider any loss I can consider loss of 4% if the possible gains are of 10% I can consider loss of 8% if the possible gains are of 22% I can consider loss of 14% if the possible gains are of 30% I can consider loss of 25% if the possible gains are of 50% 10. Which of these scenarios best describes your Risk Range? What level of losses and profits would you be comfortable with?
Select Choice Worst year Best year

A B C D E F

Investment A Investment B Investment C Investment D Investment E Investment F

1% -5% -10% -14% -18% -21%

15% 20% 25% 30% 35% 40%

60

SCORE - CARD
QUESTION NO. 1 2 3 4 5 6 7 8 9 10 TOTAL A 1 1 1 1 1 1 1 1 1 1 B 2 2 2 2 2 2 2 2 2 2 C 3 3 3 3 3 3 3 3 3 3 D 4 4 4 4 4 4 4 4 4 4 E 5 5 5 5 5 5 F 6 6 SCORE

RESEARCH PLAN:
Preliminary Investigation: In which data on the situation surrounding the problems shall be gathered to arrive at: The correct definition of the problem. An understanding of its environment. Exploratory Study: To determine the approximate area where the problem lies.

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

DEVELOPING THE RESEARCH PLAN:

The data for this research project has been collected through self Administration. Due to time limitation and other constraints direct personal
61

interview method is used. A structured Questionnaire was framed as it is less time consuming, generates specific and to the point information, easier to tabulate and interpret. Moreover respondents prefer to give direct answers. In questionnaires open ended and closed ended, both the types of questions has been used.

COLLECTION OF DATA:
Secondary Data: It was collected from internal sources. The secondary data was collected on the basis of organizational file, official records, news papers, magazines, management books, preserved information in the companys database and website of the company. Primary Data: All the people from different profession were personally visited and interviewed. They were the main source of Primary data. The method of collection of primary data was direct personal interview through a structured questionnaire.

SAMPLING PLAN:
Since it is not possible to study the whole universe in a less span of time it becomes necessary to take limited sample size to know about its characteristics. My Sampling Plan included: Sampling Units: My Sampling units comprised of different professionals like Business Men, Govt. Officials, Private Employees, Lawyers & other Professionals of Cuttack. Sample Size: The Sample Size taken for my Survey-50 Respondents. Sampling Technique: Random Sampling. Research Instrument: Structured Questionnaire. Contact Method: Personal Visits & Interviews.

DATA COLLECTION INSTRUMENT DEVELOPMENT: The

mode of collection of data will be based on Survey Method & Field Activity. Primary data collection will be based on Personal Interviews. I have prepared the Questionnaire according to the necessity of the data to be collected.

62

FINDINGS ON THE BASIS OF SURVEY

My findings is based on in the below mentioned investment attitudes. 1. Conservative 2. Moderate 3. Aggressive 4. Very Aggressive Conservative: (Score grid 8-18) Under this category of investor who is prepared to accept lower returns with lower level of risk in order to preserve their capital. As a conservative investor, I might expect their portfolio to be allocated approximately 30% in growth assets & 70% in fixed income assets.

CONSERVATIVE
EQUITY 30%

FIXED INCOME ASSETS 70%

I observed that the score of this investor group which talks about their risk profile is in between 8 18(score). Also this investor group contains various age groups and income stability as shown in the below diagram.

conservative

36-45 45-Above

.
63

Here we observe that majority of this investor group are from the age group above 45 years of age. Hence we recommend for them an investment plan in which 30% of the total investment will be in equity and 70% will be in fixed income asset class. The below diagrams shows various income stability groups within the conservative investor group.

conservative 36-45
Unstable 33%

Some what Stable 67%

Conservative 45-Above
Very Unstable 17% Some what Stable 17%

Unstable 33%

Stable 33%

Suggestion: This category of Investor should more invest in Fixed Income Assets Class and the best investment product for them is as follows. Axis Triple Advantage Fund Axis Tax Saver Fund Birls Sun Life 95 fund HDFC Top-200 fund Franklin Indian Taxshield

64

Under this category of investor who would like to invest in both income & growth assets. As a Moderate investor, I might expect their portfolio to be allocated approximately 45% in growth assets & 55% in fixed income assets.

Moderate: (Score grid 19-27)

MODERATE

FIXED INCOME ASSETS 45%

EQUITY 55%

. I observed that the score of this investor group which talks about their risk profile is in between 19 - 27. Also this investor group contains various age groups and income stability as shown in the below diagram.

Upto-25 5% 45-Above 21%

Moderate

25-35 32%

36-45 42%

. Here we observe that majority of this investor group are from the age group 36 - 45 years of age. Hence we recommend for them an investment plan in which 55% of the total investment will be in equity and 45% will be in fixed income asset class.

65

The below diagrams shows various income stability groups within the moderate investor group.

Moderate 25-35
Very Unstable 17% Unstable 17% Some what Stable 50%

Stable 16%

Moderate 45-Above
Some what Stable 25%

Stable 75%

Moderate Upto-25

Very Stable 100%

. Suggestion: These categories of Investors are more interested to invest in both equity and Fixed Income Assets Class.
66

And the best investment products for them are shown in next page. Equity (30%) HDFC Equity TCS Basically the IT Company are best for them Fixed Income Assets Class (70%) From the 70% of this class of assets they invest 10% in Insurance sector i.e. MAX NEW YORK LIFE INSURANCE. 20% in Fixed Deposit And the other investment of 40% will be Axis Equity Fund, ICICI Prudential Focused Bluechip Fund etc.

Under this category of investor who is comfortable with a high level of risk in order to achieve higher returns over long term. As an Aggressive investor, I might expect their portfolio to be allocated approximately 70% in growth assets & 30% in fixed income assets.

Aggressive: (Score grid 28-35)

AGGRESSIVE
FIXED INCOME ASSETS 30%

EQUITY 70%

.
I observed that the score of this investor group which talks about their risk profile is in between 28 - 35. Also this investor group contains various age groups and income stability as shown in the below diagram.

67

Aggressive
25-35 32% Upto25 59%

45-Above 9%

Here we observe that majority of this investor group are from the age group up to 25 years of age. Hence we recommend for them an investment plan in which 70% of the total investment will be in equity and 30% will be in fixed income asset class. The below diagrams shows various income stability groups within the moderate investor group.

Aggressive 25-35
Very Stable 29% Some what Stable 43%

Unstable 14%

Stable 14%

68

Aggressive 45-Above

Very Stable 50%

Some what Stable 50%

Aggressive Upto-25

Stable 54%

Some what Stable 46%

. Suggestion: These categories of Investors are more interested to invest in equity. They are risk taker so it is better for them to invest in equity more in IT Company. And also they think about Tax Saver Fund i.e. Axis Tax Saver Fund, Franklin India Taxshield, HDFC Tax Saver Fund.

69

 Very Aggressive: (Score grid Above 35)

Under this category of investor is comfortable with a higher level of risk in order to achieve potentially higher returns. As a Very Aggressive investor, I might expect their portfolio to be allocated approximately 80% in growth assets & 20% in fixed income assets.

FIXED INCOME ASSETS 20%

VERY AGGRESSIVE

EQUITY 80%

As because my sample size is limited and I couldnt find any investor agreeing to take very high risk, I dont have any data to show further details about this investor group.

Suggestion: These categories of Investors are more interested to invest in equity. They are risk taker so it is better for them to invest in equity more in IT Company.

70

SWOT ANALYSIS OF AXIS BANK

A. STRENGTH: Great Brand Image Right Strategy for the Right Products. Customer Orientation Approach Automation of each & every Branch (Core Banking) High Electronic functions. (Usage of best of the softwares like Finacle 9.1 for system facilities) A wide range of Product Diversification High degree of Customer Satisfaction B. WEAKNESSES: Service Charges are comparatively high (Though the service justifies the charge) Customers are not fully aware of the Product & Service schemes C. OPPORTUNITIES: Could seek better customer deals Could extend to overseas broadly & soar up profit margins Could aim at nationwide coverage specially small towns & villages Could bring more flexibility in minimum amount required to open an account Fast-track career development opportunities on an industry-wide basis Lack of Infrastructure in rural areas could constrain investment D. THREATS: Customer switch-over to other banks poses another major threat Threat of new entrants in Banking Industry. Public Sector Banks in the likes of SBI becoming more aggressive on acquisition and service grounds could pose a major threat taking into account their large presence and base. Threat of very high competition prevailing in the Industry due to intense segment and product rivalry

71

RECOMMENDATIONS & SUGGESTIONS

Many experts are working on make better the products and services of AXIS Bank worldwide and I dont think that my trivial recommendation will make any phenomenal value addition in this context, but having said that I will strongly advice few recommendations & suggestions to the Bank which I felt necessary during my Training Period.
1.

Improving couple of Administrative Parameters:

Administrative premises like parking facility, availability of stationary inside the branch should be improved. Basically the Cuttack Branch which is located in a crowded area in the heart of the city faces problems like parking which is a unique problem faced by the customers which leads to dissatisfaction. Axis Bank has come up with Priority Lounge for priority clients which provides the Bank an edge over other Indian private banks in terms of customer delight and feel.

2. Targeting the Young Generation:

AXIS bank should aim at targeting the younger generation especially the young employees because the Bank provides a wide range of products which can be easily communicated to them & moreover they wont generally have a problem in maintaining a high balance as this is the age in which they can spend more and save more.

72

CONCLUSION
Not so long ago, accessing money was about setting aside a couple of hours, getting to the bank before closing time, standing in one queue to get a token and then in another to collect the cash. Those were the pre-economic reforms day, when the banking sector primarily consisted of the Public Sector Banks. Now in the present day scenario the nature of banking has changed beyond recognition. With ATM Cards, simple banking transactions like withdrawing & depositing money are easier than ever before. For the tech-savvy, there is the option of Online Banking & the immediate next channel is through Mobile & Phone Banking. Even shopping has become convenient through Debit and Credit Cards. Even when it comes to products, the changes have been many. Graduating from simple Savings Accounts & Fixed Deposits, banks now offer a host of products like Special savings Account & No-Frills Accounts and many more innovative products. Private Sector Banks have taken the lead in providing impeccable service with their vast client base and unparalleled treasury of trust, thereby evolving their own brand of customer-friendliness. Among all the Private Sector Banks, AXIS Bank have set a benchmark of their success by providing complete dedication towards whatever step they take. This is one and only the Privet sector Bank which starts the high technology driven customer service. One of the key factors for its success is that it is a more consistent performer. That is, the 16-year-old bank manages all aspects of its business much better than other banks do. Its a difficult balancing act to do but it seems that AIXS Bank has figure out how to ensure both growth and quality of assets. As State Bank of India (SBI) is one of its biggest competitors with a huge customer base, AXIS Bank has to take such plans that it attracts more customers. One of the biggest advantages that SBI has over AXIS Bank is its Nationwide Coverage of Branches & ATMs , to cover a larger section of people a complete commitment is required.
73

Thus if AXIS realign its Business and operating model in terms of distribution reach, competitive and value added product offerings and differentiated customer service then it can successfully protect its stand in the market and in retaining and attracting profitable customers. Finally we can say that AXIS Bank is gaining market share in private banking, retail banking, credit cards and most of the other verticals its present in and it is doing this without really breaking into sweat. To gain a standing praise from all parts of the society AXIS Bank has to endorse itself in developing its own brand of trust so that it can not only exceed its customers expectation but also give them a world class bankingexperience which the bank has succeeded to a great extent. If proper strategies are adopted by AXIS Bank, it would shape the future and re-write the rules of Indian Banking Landscape. Further if the Bank is able to innovate to keep up with emerging market trends then there will be a day when AXIS bank will be the most successful bank thereby retaining long term leadership position in the Indian Banking market.

74

BIBLIOGRAPHY

WEBSITES:
1. 2. 3. 4. 5. 6. 7. www.axisbank.com www.retailbanking.com www.economics.about.com www.rediff.com www.wikinvest.com www.google.co.in www.rbi.com

BOOKS & MAGAZINES:

1. Business Research Methods William G. Zikmund

75

76

77

78