A Study On Different Banking Services TJSB Bank

PROJECT REPORT SUBMITTED IN PARTIAL FULFILLMENT OF THE BACHELOR OF MANAGEMENT STUDIES MUMBAI UNIVERSITY

2010-2011

Submitted by:
TY BMS SEMESTER V

PROJECT GUIDE:

INSTITUTE OF MANAGEMENT & COMPUTER STUDIES

THANE (MULUND CHECK NAKA)

DECLARATION

I miss ___________________ of Institute of Management and Computer Studies, Thane of Bachelor of Management Studies (IMCOST) ,BMS- Finance hereby declare that, the project work entitled A Study On Banking Services TJSB Bank is my work carried out under the guidance of my faculty guide Mrs. I assure you that the information submitted by me is true and proved to the best of my knowledge.

Date: Place:

Signature of Student

ACKNOWLEDGEMENT

At the outset, I would like to thank Thane Janata Sahakari Bank for giving me approval to do this project by giving the necessary information. I thank my faculty guide, Mrs. Ambujam for coordinating the project work and giving me the guidance. This project would not have been possible without his help. Finally yet, I am also indebted to all who have directly contributed in making this project a reality.

PREFACE A bank is an institution that deals with money and credit. Different people understand the meaning of a bank in a different ways. For a common man bank means a storehouse where money is stored. For a businessman it is a financial institution and for day to day customer. The objective of the study is to highlight the services provided to the customer in a bank. For this purpose The Thane Janata Sahakari Bank is taken as a base. The methodology used was introduction with TJSB. She was able to provide first hand data on the services. This project starts with a brief idea about what banking is and what are its activities. A major focus is on banking services.

TABLE OF CONTENT

CH. No I Particulars Introduction Introduction to banking Industry profile II Importance of study Scope of the study Objectives of the study Limitation of the study III Banking services of TJSB Bank Introduction to initial banking services Other different banking services Introduction to TJSB Bank Banking services of TJSB Bank

Page no.

01 02 07 10 11 12 12 13 14 15 23 26

IV

Methodology Research design Research instrument Sources of data Sample size Sampling unit Sampling methods

31 32 32 33 34 34 35

Data analysis and Interpretation Tables and chart

37 38

VI

Findings and analysis Findings Suggestions Conclusion

42 43 49 50

VII

Annexure Questionnaire Bibliography

51 52 55

SUMMARY For centuries, banks have played an important role in the financial system of any economy. Banking operations have witness tremendous change over a period of time due to the advancement in technology or globalization. One of the key challenges that banks face today is their ability to offer fee based services that can reach out directly to where their customers are and be profitable at the same time.

OBJECTIVE

economy.

To know the importance or status of banking sectors in Indian

To know the banking structure in India. bank. To study the various scheme related to bank products offer by the

To know the satisfaction level of the customers. To know the new innovations in todays modern banking services. To know the various services offered by the bank to their customer.

LIMITATION The customers are reluctant to express their opinions. The information given by the respondent may be by blasted. Sample size is limited because of time constrain. To observe the week point of service sector in the economy compare to other

developed country. All banking procedure should be under rules, regulation and restriction of necessary Acts and law.

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METHODOLOGY 1. Research design A simple definition of research design is specification of methods and procedures for acquiring the information needed. A research design is the arrangement of condition for collection and analysis of data in manner that aims to combine relevance to the research purpose with economy in produced. In short it provides the necessary framework for understanding the study and collection of data. 2. Research instrument Research Instrument is generally used to collect primary data. It is used to collect information through using the instruments. Instrument should be suitable as per the study. Questionnaire Questionnaire is the formal set of question prepared to collect the required information. This is one of the most effective and popular technique used in surveyed. Before deciding the questions it is important to understand the exact nature of the information required. Use in the project work The questionnaire is designed in such a manner that it covers open ended which was necessary to fetch the information in the pure form.

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3. Sources of data

Sources of data Primary data Primary data The data which are originally collected by investors or agency for the first time for any statistical investigation and used by them in the statistical analysis are term as primary data. Use in the project work This data is collected by using questionnaire method on the sample size. The questionnaire is designed in such a manner that it covers open ended which was necessary to fetch the information in the pure form. Secondary data The data which have already been collected and proceed by some agency or person and take over from there and used by any other agency for their statistical are term as secondary data. Use in the project work Secondary data are data complied originally by somebody and available in publication, records, books, etc. which may be used by me for my project work. This was collected from various sources such as books, websites, newspapers, etc. 4. Sample A finite subset of a unit selected from it with the objective of investigating its properties is called as sample. Use in the project work The questionnaire is use as a sample in the project work. secondary data

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5. Sample size The number of units in sample is known as a sample size. These refer to the number of item to be selected form the universe to constitute a sample. The sample should neither be large nor too small. The survey was done by forwarding the questionnaire to more than 50 customers. The responses came from 50 customers within a specific time period. Use in the project work The sample size used in the project work is 50. 6. Sampling unit A decision has to be taken into concerning a sampling unit before selecting sample. Sampling unit may be a geographical one such as a state, district, village etc. or a construction unit such as house or it may be an individual. The researcher will have to decide one or more of such unit that he has to select for his study. The questionnaire was given & the data was collected from direct final customers directly, thus the sample unit was direct customers. Use in the project work Sampling unit is final customer.

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Scope of the project Scope of Banking Services Bank plays an important role in the economy of any country as they hold the saving of the public. In the past the banks did not find any attraction in the Indian economy because of low level of economic activities. Today we find positive changes in this. This resulted in the nationalization of 14 commercial bank in 1969. In the modern economy, banking plays an indispensable role. Bank today offer a wide range of product and services than ever before and deliver them faster and more efficiently. Bank provides a package of information and risk sharing the services to their customers. Today, bank provides the services to customer by using the modern techniques. By this way they were reduces the proper work by using electronic system in the bank. The competition in the Indian banking industry have intensified with the entry of more and more foreign banks and now private sector banks, with better technology, market orientation and cost effective measures. Gone are the days when customer had to accept what was available. In the modern competitive World Bank have to identified the needs of customer and make them available at competitive prices without delay. They continue with the old strategy of one capital for all. The needs of different segmentation are to be addressed separately and appropriate scheme introduced. Banks have been rapidly expanding the menu of financial services they offer to their customers. This proliferation of services has accelerated over the years under the pressure of increasing competition from other financial firms or bank. The levels and intensity of competition has increase in financial services industry as banks and their competitors have expanded their service offering. This all will lead to increasing the scope of banking services day by day.

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CHAPTER 1 INTRODUCTION TO BANKING

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BANKS
Introduction The word bank is originated from the German word Banck which means heap or mouth or joint stock fund. From this, the Italian word Banco meaning heap of money was coined. The English word of bank is prevalent today that is as an institution accepting money as deposits for lending. A Bank is a financial institution that receives, collects, transfers, pays, exchanges, lends, invests, or safeguards money for its customers. Bank is an institution that deals in money and significantly makes some or all of its profits by making loans that do not have to be repaid until some future date. A bank is an institution which deals in money and credit. This bank is an intermediary which handles other people money both for their advantage and to its own profit. But bank is merely a trader in money but also an important manufacturer of money. For a common person it may be just a storehouse where he may store his money; for a businessman it may be a financial institution and a day to day customer it may be an institution where he can deposit his savings. Bank plays an important role in the economy of any country as they hold the saving of public. Provides a means of payment for the goods and services and provide necessary finance for the development of business and trade. Thus, bank may also be defined as a financial institution that links the flow of funds from savers to the users. There are many other financial institutions that are not usually thought of as banks but which nevertheless provide one or more of these broadly defined banking services. These institutions include finance companies, investment companies, investment banks, insurance companies, pension funds, security brokers and dealers, mortgage companies, and real estate investment trusts. 16

DEFINITION OF BANK Bank is also defied as one who is ordinary course of business honors the cheque drawn upon him by person from and for whom he receives money on current accounts. BANKING Banking is an ancient business with its history dating back to the 13th century when the first bill of exchange was used as money in medieval trade in Italy. In the late 1200s bards ad peruzzi families of Florence first formed bank. For centuries bank have borrowed and lend money to businesses, trade and to people, charging interest on deposits. There are many other financial institutions that are not usually thought of as banks but which nevertheless provide one or more of these broadly defined banking services. These institutions include finance companies, investment companies, investment banks, insurance companies, pension funds, security brokers and dealers, mortgage companies, and real estate investment trusts. Banking is the business of providing financial services to consumers and businesses. The basic services a bank provides are Opening Accounts, which can be used to deposit money as it is not safe to keep huge amount of money in office or house. It also provides cheque facility which acts as a cash which had made easier to make payments and purchase goods and services and therefore help both consumers and businesses, who would find it inconvenient to carry or send through mail huge amounts of cash. In this way banks plays a very important role .There are various types of bank which offers such services. Banking means accepting for the purpose of lending or investment of deposit of money from the public, repayable on demand or otherwise and withdrawals by

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cheque, drafts other or otherwise. A banking company may be defined as any company which transacts the business of banking. Classification of Banks in India 1. Public Sector Banks These are the banks which are controlled by Governments. a) State Bank of India and its associate banks called the State Bank Group b) 20 Nationalized Banks. c) Regional Rural Banks mainly sponsored by Public Sector Banks. 2. Private Sector Banks These are the banks which are not owned by the governments .These banks are privately owned. a) Old generation private banks b) New generation private banks. c) Foreign banks in India. d) Scheduled co-operative banks. e) Non-scheduled banks. 3. Co-operative Banks The Co-operative banking sector has been developed in the country to the supplement village money lender. a) State Co-operative Banks. b) Central Co-operative Banks. c) Primary Agriculture Credit Societies. d) Land Development Banks. e) Urban Co-operative Banks. f) Primary Agricultural Development Banks. g) Primary Land Development Banks h) State Land Development Banks 4. Development Banks These banks help in the Infrastructure development of the economy. 18

a) Industrial finance corporation of India (IFCI) b) Industrial Development bank of India (IDBI) c) Industrial Credit and Investment Corporation of India. (ICICI) d) Small Industrial Development Bank of India. (SIDBI) e) National Bank for Agriculture and Rural Development. (NABARD) f) Export Import Bank of India. g) National Housing Banks.

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SOME OF THE IMPORTANT FEATURES OF BANKING ARE AS FOLLOWS Dealing of Money The bank accepts money from the public and advances them as loans to the needy people. The deposits of different type current account, fixed account, saving account. The deposits accepted on various terms and conditions. Deposits Must Be Withdrawals The deposits (other than the saving deposits) made by the public can be withdraw able by cheques, drafts, or otherwise that is bank issue and pay cheques. Dealing with Credit The banks are the institution that can create credit that is creation of additional money for lending. Thus creation of credit is unique feature of banking. Commercial in Nature Since all banking functions are carried on with the aim of making profit, it is regarded as commercial institute. Nature of Agent Bank possesses the character of an agent because of various agency services it provides.

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INDUSTRY PROFILE SERVICE SECTOR Service sector in Indian economy have been rising. It accounted for 28% GDP in 1960-61 at constant prices. Its share has increase up to 40% in 1980s. it is natural that the acceleration of growth of service sector result in a declaration in the growth of primary and secondary sectors. In todays present world the service is growing at a phenomenal rate. In almost all countries of the world look interested in utilizing this sector of economy. The service sector plays a very important role in shaping the future of an economy The economy of the world is dominated by services, which accounts for nearly twothird of the GDP and employment. Throughout the developed world service sector is becoming the primary source of wealth, trade, and growth. Application of new technology and deregulation of services are posing new challenges to service companies. Airlines, insurance companies, banks, tourism, telecommunication as well as professional services need a new approach to address the challenge

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IMPORTANT CHARACERISTICS OF BANKING INDUSTRY OR SECTOR Banking industry is going through a rapid transition phase all over the world. Small banks are facing a cruel competition from the big players. Virtual banks in Internet are challenging the traditional banking system and global boundaries are being smashed day-after-day that gives birth to a small global village. Plato said once "The unexamined life is not worth living". So let us understand what will be the future of retail banking after 25-30 years? What are the services you can expect from them? The scale of the global opportunities, the complexity of the competitive field, and the harsh performance discipline imposed by the capital markets will force all the banks either to specialize and become world class in their chosen field, or exit. There will be no small banks in national or regional level as they would either be taken over by the multi-national banks or they would exit from the business, forced by the global competition. Banks will be the one-stop shop for all your personal finance needs. Nevertheless, banks will adopt the loyalty-based competitiveness to make you bank with them assuring highest level of customer satisfaction. Banking Network: The number of ATMs will be very high and all the banks will be sharing the each others ATM network due to space problem and to reduce the cost of operation. Presently, traditional banking costs the banks more than a Dollar per person, ATM banking costs 27 Cents and Internet banking costs below 4 Cents approximately. Banks will try reducing the banking costs more but there will always be a high demand for face-to-face interaction from customer side - indicates Mckinsey Quarterly Research. Service Offerings: Banks will be a one-stop shop for all your personal finance needs. You will get all insurance products and broking services to trade in the share market apart from all the possible banking services. Balancing customer needs in retail banking distribution will be a crucial factor for the success of the banks. Regulatory hassles will be too less

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and there is a high possibility that Investment banks, Insurance companies and Retail Banks will integrate their operation in parts to serve the customers better. Wireless financial services, an important part of m-commerce will offer consumers a new level of convenience in an increasingly busy world with high-speed technology. BCG estimates that within few years, hundreds of millions of people worldwide will use mcommerce applications, generating business-to-consumer revenues of up to $100 billion. Social Responsibility: Banks will take the role of social institutions and will act as social advisors. Personal finance advisory services will be available in your mobile devise from time to time, indicates Boston Consulting Groups research. Banks will be the most powerful social institutions, as they will hold the individuals money. The level of personalization will be too high and you will be offered services like day-to-day spending management. You can actually pre-program your yearly budget at a particular time and thus your mobile device will alert you if you exceed your days spending. Loyalty Based Competition: The concept of Boston Consultancy Groups Time based competitiveness may face a challenge from the concept of Loyalty based competitiveness. In other words, when all the banks start offering the highest level of customer satisfaction, customers will be confused and then banks will try to create the ultimate loyalty program to make sure, you will stick to the bank for quite a long time. The quest for loyalty will re-shape the customer satisfaction and you will experience far better privilege than now-a-days with bundle of benefits at less cost. All the banks in future will fight with uncertainty and complexity due to the rapid global changes. The uncertainty creates fear and complexity creates confusion. Therefore, they will try to be the excellent customer oriented banks to serve you better to ensure their survival.

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PROFILE OF TJSB BANK Professional Board and Pragmatic decision making Consistent profit and growth for last 34 Years Equilibrium in Growth and profits Strong Internal Reserves and CRAR at 20% Balanced Credit Portfolio & focus on Retail /SME Segment Strong Focus on Recovery and NPA Management First Co-op Bank to offer Banc assurance Product in association with Max New York Anywhere Any Branch Banking facility in all Branches 28 ATMs installed in Branches at Thane, Mumbai, Pune and Nasik 24x 7 Cheque Issuance Machine at e-Lobby at Naupada Branch 24x 7 Cheque Depository machine at 16 branches Value Added services for Customers

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TJSB BANK

Bank Name: Facility: Address: Working Hrs: Phone: Fax: E-mail: Website:

Thane Janata Sahakari Bank Ltd. Branch Maruti Ashish, off. J N Road, Opp. Apna Bazar, Mulund (West), Mumbai - 400 080. 6 to 8 hrs 02225692554 02225690019 tjsb@bom5.vsnl.net.in http://www.thanejanata.co.in

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HISTORY With the modest beginning in 1972 in the co-operative field, the dynamism infused by the Board of Directors, unflinching loyalties of clientele and devotion of staff has propelled the sound foundation of The Thane Janata Sahakari Bank Ltd (TJSB) and has emerged as one of the leading scheduled co-operative Bank in the country. TJSB presently is catering to the needs of society through a close network of 37 Branches and 5 Extension Counters spread all over the city of Thane, Mumbai, Navi Mumbai, Nasik & Pune. All these Branches have made remarkable progress on all Fronts in all these years. TJSB believes that "customer delight" is the ultimate goal and has a strong belief that Customers & all Stakeholders wholehearted support, absolute faith and their patronage has largely been responsible for its enviable growth. TJSB is committed to provide banking with speed, comfort and convenience. TJSB feels proud to acknowledge the growth of large number of successful industrialists, traders and professionals who have grown leaps & bound due to timely Assistance and support of the bank. TJSB has set before a Visionary Growth Plan focusing all business strategies solely on creation of Stakeholders value.

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TJSB Banking Services

INITIAL BANKING SERVICES Banking services are extremely important in a free market economy such as that found in Canada and the United States. Banking services serve two primary purposes. First, by supplying customers with the basic mediums-of-exchange (cash, cheque facility, and credit cards), banks play a key role in the way goods and services are purchased. Without these familiar methods of payment, goods could only be exchanged by barter (trading one good for another), which is extremely timeconsuming and inefficient. Second, by accepting money deposits from savers and then lending the money to borrowers, banks encourage the flow of money to productive use and investments. This in turn allows the economy to grow. Without this flow, savings would sit idle in someone's safe or pocket, money would not be available to borrow, people would not be able to purchase cars or houses, and businesses would not be able to build the new factories the economy needs to produce more goods and grow. Enabling the flow of money from savers to investors is called financial intermediation, and it is extremely important to a free market economy. Commercial banks and thrifts offer various services to their customers. These services fall into three major categories: Opening Accounts, Loans, and Cash Management Services. Opening Accounts Banks facilitated the opening of three major types of accounts: Saving Accounts Current Account Fixed Deposits Accounts

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Saving Account is an account in which people can save the money fort short period of time. The customer can deposit or withdraw the money at any time and there are no restrictions on the times of removal of money. The customer can remove the money from the saving account by cheques or withdrawal form, but in case for issuing cheques book he needs to have a minimum balance in his saving account and in case of withdrawal form the customer should have a minimum balance of generally Rs.100 in case of Co-OP banks and 500 in case of nationalized banks.

Current Account: A current account is mostly used by the business people because they can safely deposit their money as keeping huge amount in the office is not safe. There are no restrictions on the number of time the deposits and withdrawal of money. The bank also provides overdraft facility on this kind of account. As a businessman may be in a need of money at any time. The rate of interest is very low as compared to other types of accounts.

Fixed Deposits Accounts: In this account the funds are deposited for a particular fixed period of time (5years, 10 years). This period is known as Maturity Period prior to which the money cannot be withdrawn. If the person wants to withdraw the money before the maturity period he will loose his interest for that particular year. The interest earned on such accounts is maximum as compared to other accounts.

B) Loans Banks provide Short Term, Medium Term and Long Term Loans which can take any of the below form: Commercial / Industrial Loans Consumer loans, Mortgage loans. Commercial and Industrial loans are loans to businesses or industrial firms. These are primarily short-term working capital loans (loans to finance

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the purchase of material or labor) or transaction or longer-term loans (loans to purchase machines and equipment). Most commercial banks offer a variable rate on these loans, which means that the interest rate can change over the course of the loan. Whether a bank will make a loan or not depends on the credit and loan history of the borrower, the borrower's ability to make scheduled loan payments, the amount of capital the borrower has invested in the business, the condition of the economy, and the value of the collateral the borrower pledges to give the bank if the loan payments are not made. Consumer loans are loans for consumers to purchase goods or services. There are two types of consumer loans: closed-end credit and open-end credit. o Closed-end credit loans are loans for a fixed amount of money, for a fixed period of time (usually not more than five years), and for a fixed purpose (for example, to buy a car). Most closed-end loans are called installment loans because they must be repaid in equal monthly installments. The item purchased by the consumer serves as collateral for the loan. For example, if the consumer fails to make payments on an automobile, the bank can recoup the cost of its loan by taking ownership of the car. o Open-end credit loans are loans for variable amounts of money up to a set limit. Unlike closed-end loans, open-end credit does not require a borrower to specify the purpose of the loan and the lender cannot foreclose on the loan. Credit cards are an example of open-end credit. Most open-end loans carry fixed interest rates-that is, the rate does not vary over the term of the loan. Open-end loans require no collateral, but interest rates or other penalties or fees may be chargedfor example, if credit card charges are not paid in full, interest is charged, or if payment is late, a fee is charged to the borrower. Openend credit interest rates usually exceed closed-end rates because open-end loans are not backed by collateral.

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Mortgage loans or real estate loans are loans used to purchase land or buildings such as houses or factories. These are typically long-term loans and the interest rate charged can be either a variable or a fixed rate for the term of the loan, which often ranges from 15 to 30 years. The land and buildings purchased serve as the collateral for the loan.

C). Cash Management and Other Services Although deposits and loans are the basic banking services provided by banks, these institutions provide a wide variety of other services to customers. For consumers, these include cheques cashing, foreign currency exchange, safety deposit boxes in which consumers can store valuables, electronic wire transfer through which consumers can transfer money and securities from one financial institution to another, and credit life insurance which automatically pays off loans in the event of the borrower's death or disability. For businesses, commercial banks also provide specialized cash management and credit enhancement services. Cash management services are designed to allow businesses to make efficient use of their cash. For example, under normal circumstances a business would sell its product to a customer and send the customer a bill. The customer would then send a cheques to the business, and the business would then deposit the cheques in the bank. The time between the date the business receives the cheques and deposits the cheques in the bank could be several days or a week. To eliminate this delay and allow the business to earn interest on its money sooner, commercial banks offer services to businesses whereby customers send cheques directly to the bank, not the business. This practice is referred to as "lock box" services because the payments are mailed to a secure post office box where they are picked up by bank couriers for immediate deposit. Another important business service performed by banks is a credit enhancement. Commercial banks back up the performance of businesses by promising to pay the debts of the business if the business itself cannot pay. This service substitutes the credit of the bank for the credit of the business. This is valuable, for

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example, in international trade where the exporting firm is unfamiliar with the importing firm in another country and is, therefore, reluctant to ship goods without knowing for certain that the importer will pay for them. By substituting the credit of a foreign bank known to the exporter's bank, the exporter knows payment will be made and will ship the goods. Credit enhancements are frequently called standby letters of credit or commercial letters of credit.

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Financial Services On the Technology front, Bank has implemented successfully the "Core Banking Solution" (CBS) developed by M/s Infrasoft Technologies Ltd. Bank has state of art Data Center This has helped us to migrate the Branches from being the processing centers to marketing customer's centric outfits. It will also extend the Bank's reach to its customers by multiple delivery channels such as ATM, Internet, and Mobile etc. This has brought the Bank on par with the leading Banks. TJSB is the first Bank in Co-Operative sector to install Cheque Depository Machines at 15 branches, which are operational 24 x 7. TJSB is the first Bank to install Cheque Book Making and Issuance Machine at Naupada - E-Lobby by which customers can avail the facility of issuance of Personalized Cheque Book 1. Cheque Depository Machine Branches of the Bank are fully equipped with Cheques depository machines giving the convenience to the customers to deposit the cheques 24x7x365. The printed acknowledgement is given to the Customers by the Cheques depository machine for Cheques being deposited in the machine. 2. Automated Cheque Issuance Machine Bank has always put the thrust on providing value added services to the customers which will be operational on 24x7x365. As part of this process Bank has installed the Automated Cheques Issuance Machine at its e-lobby at Naupada Branch. Under single customer Id all the accounts maintained in the bank will be displayed for selection. Customer has to just enter the Customer Id and secret pin issued to him and customers personalized Cheque book will be issued without any manual intervention. All the Customers of the bank irrespective of the Branch where the account is maintained will able to take the benefit of the facility.

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3. SMS Banking SMS Banking services are available for the Customers of the bank to know the latest balances and last 3 transactions in their account using the SMS feature of the Mobile Phones. Apart from Customer pull operations Bank is also giving SMS alerts to the Customers for clearance of cheques, maturity of terms deposits, return of the cheques and host of other services. 4. E-Lobby At Naupada Branch Customer Delight being the motto the bank has implemented and focusing on creation of virtual service outlets operated through Customer Activated delivery channels. The e-Lobby of the Bank at Naupada is now equipped with 3 ATMs, Cheque Depository machines and 24x7 Automated Cheque Book Issuance machines.

5. RTGS The Real Time Gross Settlement (RTGS) System aims to do what e-mail did for the post card. Instead of sending instructions for payments through cheques, with Real Time Gross Settlement System banks can route payments through on-line messages to RBIs RTGS payment gateway. RTGS facilitate the funds transfer across the Banks and Branches. At present 95 Banks and 1435 Branches are under RTGS system. Under RTGS system Inter Bank transactions and Customer Transactions has been enabled by the RBI Customer Transaction can be outward or inward remittances i.e. Funds can be transferred by or received by the Customer under RTGS system. The unique feature of the system is unlike other clearing system in RTGS Funds can be transferred or received Just In Time i.e. within 2 hours of instructions so given that to at cost less than drafts charges.

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6. Automated Teller Machines ATM facility is provided at all branches including extension counter. Thane Janata is the First Co-operative bank to set up "OFF-SITE" ATM's. The bank has a network of 28 ATM Centers. Off-Site ATM launched at Khadke Building, Opp. Saraswati Secondary High School, Naupada, Thane West. 7. Safe Deposit Lockers Thane Janata offers to the customers Safe Deposit Lockers at all the branches except Airoli in Navi Mumbai and Rabodi K Villa. The facility is made available throughout business timings. 8. Savings Deposit Account Savings Account at The Thane Janata Sahakari Bank comes with banquette of facilities & services at no extra charge to the Customers. Eligible person/s and eligible organizations or agencies as approved can open Savings Account with the Bank. Savings Account can be opened with Rs.1000/- and minimum balance to be kept in the Account is Rs.1000/- only. Amount can be withdrawn from Savings Account by way of cheques or withdrawal slips. Interest is paid half yearly on Savings Account at 3.5 % p.a. As per the directives fixed by Reserve Bank of India. 9. Current Account Current Accounts can be opened by Businessmen / Proprietorship / Partnership Firms / Public or Private Companies requiring doing multiple or numerous business transactions. Customer can deposit or withdraw the amount as many times required. Minimum Balance to be maintained is Rs.2500/- in the account.

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OTHER FACILITIES PROVIDED BY TJSB BANK ATM Card Facility with withdrawal Limit of Rs.20, 000/ for Proprietary Any Branch Banking Facility through out all Branches of the Bank for SMS banking facility for Balance Inquiry, Statement Details,Transaction 24x7 Cheque Issuance Machine facility for getting personalized cheques at

Accounts operations in Current Accounts. Alerts any time Statement of Account at monthly intervals by e-mail 24x 7 Cheque Deposit Facility with acknowledgement for cheques deposited

Commercial & Other Loans Bank is actively lending to all sectors of the Industries \ Business and provide customized solutions for Small Business activities, Transporters, wholesalers, stockiest, Distributors, Retailers having exclusive showrooms dealing in FMCG products, readymade garments, consumer durables, pharmaceutical stores, etc. Bank also actively considers Working Capital Term Loans for execution of ad-hoc orders or Loans against mortgage of existing securities for specified purposes. Purpose For establishment \ modernization \ up-gradation of Fixed Assets Setting up Office, Renovation of the premises Purchase of vehicles, etc. Working Capital Limits Export Finance and Guarantee Limits. Eligibility Exiting running business activity and good track record

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Foreign exchange business To deal with import-export credit needs of the customers, the bank has made special arrangements with the nationalized / private and foreign banks.

FINANCIAL PERFORMANCE OF TJSB BANK

Gross profit of TJSB Net profit of TJSB Deposit growth Share of low cost deposits Cost of deposits

Rs 25.63 crore Rs 23.99 crore 14.30 percent over the previous year Grew to 37.48 percent from 34.28 percent last year Reduced from 5.87 percent to 5.81 percent

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CHAPTER 5 DATA ANALYSIS & INTERPRETATION

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PROFILE OF SAMPLES Total 100 people were contacted and 50 were respondent.

Awareness of Banking Services

Yes 82 No 18

18%
Yes No

82%

It shows that people are aware about the benefits of banking and how it is useful. From chart 6 it is seen that 82% of the people are aware of the concept of banking & 18% of the people do not know about banking.

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Respondents Age Group

20-30 42

31-40 28

41-50 23

51 & above 7

Agewise Sample Design

23% 7%

20-30 31-40 41-50

28% 42%

51 & above

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Educational Qualification

Illiterate -

Up to 12th std 12

Under Graduate 11

Graduate 60

Post Graduate 17

Education wise Sample Design

17% 0% 12% 11%

Illiterate Upto 12th std Under Graduate Graduate Post Graduate

60%

From the above graph it is clear that the people contacted were literate

enough to know and answer the questions properly.

Occupation Wise 40

Business 21

Service 62

Professional 15

Others 2

Occupation wise Sample Design

15%

2%

21%

Business Service Professional Others

62%

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Involvement of Customers

Which type of account you have in a bank?

25 25 20 15 10 5 0 Customers 13

Saving account

12

Current account

Fixed account

Interpretation: During the survey it was found out that the 50% of the customers are interested in saving a/c as it has a lucrative activity these days and 26% of the customers are interested in current a/c. Only few of the customers were interested in fixed deposit a/c i.e. 24%.

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Which type of services preferred by you the most?

30 30 25 20 15 10 5 0 Customers 4 4 5 2 5

ATM SERVICE INTERNET BANKING Phone BANKING SMS BANKING SAFE DEPOSIT LOCKERS CORE BANKING

Interpretation: According to survey, 60% customers prefer ATM service and 8 % of customer can prefer internet banking service. 8 % customers prefer phone banking and 10% customers prefer SMS banking, 4% customers prefer Safe deposit lockers & 10% customers prefer core banking service.

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Which retail banking product have you availed?

Home Loans
13 9 7 6

16 14 12 10 8 6 4 2 0

15

Car Loans Education Loans Personal Loans others

Customers

Interpretation:
In the above graph, it is indicated that 30% of customers prefer Home Loans and 18% of customer can availed car loan & 14% for educational loan, this because of this three are major chunk of retail product. So, rest 26% can availed personal & 12% for other product availed by customer.

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How you were aware about TJSB product of them?

20 20 15 15 10 5 5 0 Customers 5 5

Television Newspaper and magazines Radio word of mouth billboards / hoardings

Interpretation: 10% of customer can awareness the product through television & 40% can aware through newspaper and magazines & 10%can aware through radio. So this both can give more information about product to customer. Also 30% can aware through word of mouth & rest 10% through billboards / hoardings.

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Are you satisfied with TJSB services?

25 25 20 15 10 5 0 Customers 10 15

Yes

No

Cant say

Interpretation: In this survey 50% of customer can satisfied with TJSB services because it provides core services. Also 20% of customer not satisfied with services & rest 30% cannot decide anything.

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Rating to the Factors

Factors rated by the customers Better Service People want agents Better Claim Satisfaction Flexibility

20 20 18 16 14 12 10 8 6 4 2 0 15 10
Excellent very good good average poor

Customers

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Can TJSB provide better facility than other bank?

30 30 25 20 15 10 5 0 Customers 10 10

Yes

No

Cant say

Interpretation: In this survey 20% of customers are satisfied with TJSBs services as compared to other banks services and 60% of customers are not satisfied with services of TJSB as compared to other banks services & rest 20% cannot decide anything.

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CHAPTER 6 FINDINGS & ANALYSIS

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FINDINGS AND ANALYSIS Findings in the project are based on the questionnaire analysis. The questionnaire was filled by 50 respondents. The information given by the respondents is right as per the knowledge. OTHER IMPORTANT FINDINGS It was found that maximum number of customers is involved in services such as savings, fixed deposits, of TJSB bank. It was found that interest rates provided by the bank on various schemes should be increased. Better Service is one of the factors which were highly rated by everyone. Maximum people rated it 4 or 5 which shows how important this factor is.

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Peoples Rating to the Factors

From the survey done the following can be observed that; Better Service is one of the factors which were highly rated by everyone. Maximum people rated it 4 or 5 which shows how important this factor is. It was found from the survey that people want agents which should give them full information about the bank and the services. Many people rated it 3 or 4. It also got rating of 5 from some people. Better Claim Satisfaction was the factors which were highly rated by maximum number of people. Flexibility is factor which got average rating from the people. This shows that people want flexibility in the services to some extent.

Suggestions given by the people

All the people contacted were not satisfied with their some services. They wanted a banker which can satisfy them by providing better service by better after sales-service and better claim satisfaction. People want a new range of services with a wide coverage of risk. This shows that till now no bank is able to satisfy their customers in every way. This is the fact that every bank should try to understand and try to provide better and satisfactory service.

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SUGGETIONS Change is a continuous process and banking industry is no exception to this law which is natural. Due to the implementation of the financial sector reforms and policies for the country change in the banking industry is inevitable. This changes and challenges are taking place in the present globalization scenario. This can be done through the customers satisfaction, suggestions through the customers. To bring change in product development strategy this means changes in the structure of bank product. As per the changing trends, compel certain modification to be made in the existing product line. The banker must offer a multimentional product. They need to add more innovation services to their product. Incorporating technological development as per the scenario, with introduction of new schemes. Banking services need proper segmentation to deal with the different type of customers. Bank should adopt the internal marketing in order to make the customeroriented. The focus is on creating product and services that meet the needs of the target customer and are profitable for the bank as well. As per todays scenario, skill for operating in electronic environment and new internal audit skill in a business environment. The banker should establish the committee of customer service in each and every bank.

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CONCLUSION The study has been conducted on study on banking services of various services offered by Thane Janata Sahakari Bank at Thane. The study focused on the involvement of the customers in various services offered by Thane Janata Sahakari Bank at Thane. The study has been concluded that the bank should announce more innovation services to their product. The interest rate on fixed deposit should be increased to attract the customers. Their should be attractive interest rates for both short term & long term fixed deposits

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CHAPTER 7 ANNEXURE

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QUESTIONNAIRE Note :- ( plz tick only one from multiple answers)

Personal Information Name : Age :

Sex :

Male [ ]

female [ ]

Education : Occupation : Business [ ] Professional [ ] Other (specify) Average Income -service [ ] student [ ]

Which type of account you have in a bank? Saving account a) Fixed deposit account
b) Current account c)

2.Which type of services preferred by you the most? a) ATM service b) Internet banking c) Phone banking d) SMS banking e) Safe deposit lockers
f) Core banking

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Which retail banking product you have availed? a) Housing loan b) Car loan c) Education loan d) Personal loan e) If other, plz specify................................................ f) 1. How you were aware about TJSB product of them?
a)

Television Radio Billboards/hoardings

b) Newspapers & magazines c)

d) Word of mouth e)

Last .Are you satisfied with TJSB services? a) Yes b) No c) Cant say Reason why................................ 5.Rate your bank with respect to services they provide Excellent [ ] Very good [ ] Good [ ] Average [ ] Poor [ ] Can TJSB provide better facility than other bank?
a) Yes b) No c) Can`t Say

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Can you give any opinion to us? ............................................................................................................................... ............................................................................................................................... ............................................................................................................................... Would you suggest any improvement? .............................................................................................................................. .............................................................................................................................. ..............................................................................................................................

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BIBLIOGRAPHY

Books
Service Sector Management Vipuls Service Sector Management Bhattacharya Marketing Management - Philip Kotler Research Methodology J. K. Kothari

WEBLIOGRAPHY www.google.com :: Progress at a Glance ::: 31st 31st 31st 31st March March March March 2004 2005 2006 2007 9.16 124.59 133.75 1093.92 872.13 542.20 1414.33 8.13% 0.46% 20.22 133.76 24.00 15.88 15% A 21409 10.72 141.28 152.00 1177.79 938.82 582.47 1521.29 8.17% 0.80% 20.29 152.00 22.02 15.94 15% A 22965 12.32 157.18 169.50 1343.12 1073.06 680.43 1753.49 7.06% 0% 20.01 169.50 25.63 23.99 15% A 24569 14.48 178.92 220.40 1599.73 1328.50 902.92 2231.42 4.52% 0% 17.63 220.40 41.96 27.00 15% A 26424 31st March 2008 18.27 250.60 268.87 2596.01 2039.17 1285.46 3324.65 6.67% 0% 14.63 268.87 52.08 24.30 15% A 28975 31st March 2009 27.57 281.13 308.7 2951.68 2347.05 1506.61 3853.67 6.36% 0% 14.74 308.7 65.47 24.35 15% A 33328 31st March 2010 Rs. in Crores 40.09 290.93 331.02 3528.69 2799.73 1679.08 4478.81 4.64% 0% 15.47 331.02 71.94 44.19 15% A 28204 www.thanejanata.co.in

Financial Highlights Share Capital Reserves Own Funds Working Capital Deposits Advances Business Mix Gross NPA Net NPA CRAR (%) Capital Funds Gross Profit Net Profit Dividend (Percent) Audit Class Membership No.

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