RESEARCH REPORT

ON

FINANCIAL SERVICES PROVIDED BY AXIS BANK AND ICICI

BANK

SUBMITTED TO:

KURUKSHETRA UNIVERSITY

KURUKSHETRA

In partial fulfillment for the degree of

M.B.A

Session 2009-2011

UNDER THE GUIDANCE OF: - SUBMITTED BY:-

Mrs. ANIKA GUPTA AMIT GULERIA

Faculty MBA Final Year

M.B.A (Dept.) Univ. Roll no.

Swami Devi Dayal Institute of Engineering & Technology

Barwala, Panchkula (Haryana)

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 CERTIFICATE

This is to certify that Mr. Amit Guleria , M.B.A IVth Semester, Swami Devi Dayal Institute
of Engineering & Technology Barwala, Panchkula (Haryana) has done successfully
completed his project on “Financial services provided by AXIS BANK and ICICI BANK”.

This report is completed under my supervision. It is only for academic purpose and is a
bonafide work done by researcher.

(Principal)

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 ACKNOWLEDGEMENT

The preparation of this project report would not have been possible without the support of
invaluable inputs from key individuals. This research report required hard work, sincerity and
devotion which I tried my best to put in this project and in turn gained a lot of knowledge and
confidence from this project.

I am sincerely thankful to my project guide Mrs. ANIKA GUPTA, for her valuable support
and exceptional guidance throughout my project. I express my gratitude for her valuable
insights and suggestions and continuous support without which this project could not have
reached successful completion.

I am also thankful to all the respondents who spared their valuable time for filling up the
questionnaire and helped me out with this project. Finally, I would like to thank my parents
and all my friends, who provided me with their constant support and took the pain to help me
in completing the project.

Amit Guleria

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 PREFACE

The research studies are of a great help in enhancing the knowledge of a person. Practical
knowledge is a suffix to theoretical knowledge. Classroom lecturers clarify the fundamental
concepts of management. But classroom lectures must be correlated with the practical
research situation. It is in this sense that the research project is made compulsory for the
curriculum and has a significant role to play in the field of business management. Through
this type of project one can understand the application of theory into practical. But it is only
difficulties, which makes the success dears. In this project I have put a lot of effort to make it
a success.

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 DECLARATION

I, Amit Guleria student of M.B.A-II Year, roll no __________ at Swami Devi Dayal Institute
of Engineering & Technology. I do here by declare that the final project report entitled
“Financial Services Provided by AXIS BANK and ICICI BANK” is my original work and the
same has not been submitted to any other institute for the award of similar/any other degree.
The suggestions have been approved by the faculity.

Amit Guleria

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LIST OF TABLE AND GRAPH :-

SR. NO. TITLE Page. No.

1. Table of Promoters of AXIS Bank 16
2. Table of Promoter Shareholding of AXIS Bank 18
3. Table of Position of AXIS Bank on 31 March 2010 19
4. Table of Board of Director of AXIS Bank 21
5. Table of Analysis of Home Loan 37
6. Table of minimum &maximum target of home loan 42
7. Table of minimum & maximum home loan 43
8. Table of Marginal status of AXIS & ICICI banks 44
9. Table of Analysis of personal loan 45
10. Table of Target of both bank regarding personal loan 49
11. Table of minimum & maximum Year of taking loan 50
12. Table of Analysis of Auto loan 51
13. Table of Mode of content regarding Auto loan 54
14. Table of Knowing pattern of AXIS & ICICI Banks 55
15. Table of First contact in the AXIS & ICICI Bank 56
16. Table of Product you are use the most 58
17. Graph of minimum & maximum target of home loan 42
18. Graph of minimum & maximum home loan 43
19. Graph of Marginal status of AXIS & ICICI Banks 44
20. Graph of target of both bank regarding personal loan 49
21. Graph of minimum & maximum Year of taking loan 50
22. Graph of Mode of content regarding Auto loan 54
23. Graph of Knowing pattern of AXIS & ICICI Banks 55
24. Graph of First contact in the AXIS & ICICI Banks 56
25. Graph of Product you are use the most 58

CONTENTS

TOPIC Page No.

ACKNOWLEGEMENT 3

PREFACE 4

DECLARATION 5

LIST OF TABLE AND GRAPH 6

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1. Introduction 8-24
A. Statement of problem

B. Introduction to company

C. Introduction to industry

2. Review of literature 25-28

3. Research Methodology 29-34

a. Research Design
b. Data collection techniques
c. Objective of the study
d. Scope of the study
e. Statistical tool used for analysis and interpretation
f. limitation of the study

4. Analysis & Interpretation 35-61

5. Finding & Suggestions 62-66

6. Conclusion 67-69

Bibliography 70-71

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 CHAPTER-1

INTRODUCTION

A. STATEMENT OF PROBLEM

There are many banks providing various financial services to the customers, these services
are in the form of ATM, Credit Card , Home loan , Auto loan , Personal loan. I have to know
about the people perception about these various services , the services can be provided to
make their customer more reliable towards the banks . the main point to make the research
is :-

1. To know the customer preference towards the financial services .

2. To see the banks service provided by the bank.

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 3. To get the information about the financial services this is suitable for everyone.

4. To see the growth of the banks by providing financial services to the people.

5. To compare the services of bank.

6. To see the major banks providing services to the market.

Meaning of Financial Services

Financial services refer to the services provided by the finance industry. The finance industry
encompasses a broad range of organization that deal with management of money. Among
these organization are banks , credit card companies , insurance companies ,consumer finance
companies ,stock brokerages ,investment funds and some govt. sponsored enterprises. As of
2004, the financial services represented 20% of the market capitalization of and S&P 500 in
united states .

History of Financial Services

In The United States

The term “financial services” become more prevalent in the united state partially as a result of
the Gramm –Leach –Bliley Act of the late 1990s,which enabled different type of companies
operating in U.S .Financial service industry at the time to merge company usually has two
distinct approaches to this new type of business . one approach would be a bank which simply
buys an insurance company or an investment bank keep the original brands of acquired firm,
and add the acquisition to its holding company simply to diversify its earning .Outside the
U.S(e.g. in Japan ), non financial services companies are permitted with in the holding
company . In this scenario , each company still looks independent, and has its on customers ,
etc . in the other style a bank create on its own brokerage division or insurance division and
attempt to sell those products to its own existing customers with incentives for combining all
things with one company .

Banks

Main Article:-Bank

A “commercial Bank” is what is commonly referred to as simply a bank. The term

commercial is used to distinguish it from an investment bank , a type of financial services

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entity which , instead of lending money directly to a business, helps businesses raise money
from other firms in the form of bonds (debt.)or stock (equity) .

Banking Services

The primary operation of banks include -:

• Keeping money safe while also allowing withdrawal when needed.

• Insurance of checkbooks so that bills can be paid and other kind of payments can be
delivered by post .

• Provides personal loan ,commercial loan ,and mortgage loan (typically loans to
purchase a home, property or business ).

• Insurance of credit card and processing of credit card transaction and billings .

• Insurance of debit cards for use as a substitute for checks .

• Allow financial transaction at branches or by using Automatic Teller

Machines(ATM)

• Provide wire transfer of funds and Electronic Fund Transfers between banks.

• Facilitation of standing other and direct debits , so payment for bills can be made
automatically .

• Provide over draft agreements for the temporary advancements of banks own money
to meet monthly spending commitments of a customer in their current account .

• Provide Charge card advances of the bank’s own money for customers wishing to
settle credit advances monthly.

• Provide a check guaranteed by the bank itself and prepaid by the customer , such as
a cashier ‘s check or certified check .

Foreign Exchange Services

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Foreign Exchange services are provided by many banks around the world .Foreign Exchange
services include ;

• Currency Exchange-where clients purchase and sell foreign currency bank notes

• Wire Transfer-where clients send funds to international banks abroad .

• Foreign Currency Banking- Banking transactions are done in foreign currency.

Investment Services

• Asset Management- the term usually given to describe companies which run
collective investment funds .

• Hedge Fund Management- Hedge funds often employ the services of “prime
brokerage” division at major investment banks to execute their trades .

• Custody Services- the safe keeping and processing of world’s securities trades and
services the associated portfolios .Assets under custody in the world are approximatel
y $ 100 trillion.

Insurance

• Insurance Brokerage – the insurance broker shop for insurance(generally corporate

property and casualty insurance) on behalf of customers. Recently a number of
websites have been created to give customers basic price comparisons for services
such as insurance, causing controversy with in the industry .

• Insurance Underwriting-Personal lines insurance underwriters actually underwrite

insurance for individuals , a service still offered primarily through agent , insurance
broker and stock broker . Underwriters may also offered similar commercial line of
coverage for businesses .activities include and insurance and annuities , life insurance,
Retirement insurance, health insurance ,and property & casualty insurance .

• Re Insurance- Reinsurance is insurance sold to the insurer themselves , to protect

them catastrophic losses.

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Other Financial Services

• Intermediation or advisory services –these services involve stock broker (private

clients services)and discount broker .Stock broker assist in investors in selling or
buying shares primarily internet based companies are often referred to as discount
brokerage , although many now have branch offices to assist clients .These brokerage
primarily target individual investors . Full service and private client firms primarily
assist and executes trades for clients with large amount of capital to invest ,such as
large companies ,wealthy individual, and investment management funds .

• Private Equity-Private equity funds are typically closed end funds which usually take
controlling equity stakes in business that are either private ,or taken private once
acquired . Private equity funds use leveraged buy outs (LBOs) to acquire the firms in
which they invest . The most successful private equity funds can generate returns
significantly higher than provide by the equity markets.

• Venture Capital- Venture capital is a type of private equity capital typically provided
by professional, outside investors to new, high potential growth companies in the
interest of taking the company an IPO or trade sale of the business.

• Angel Investment- An angel investor or angel (known as a business angel or informal

investor in Europe), is an affluent individual who provide capital for a business start
up, usually in exchange for convertible debt or ownership equity. A small but
increasing number of angel investor organize themselves into angel group or angel
network to share research and pool their investment capital.

• Conglomerates- A financial services conglomerates is a financial services firm that is

active in more than one sector of the financial services market e.g. life insurance,
general insurance, health insurance, asset management, retail banking, whole sales
banking, investment banking, etc. A key rationale for the existing of such businesses
is the existence of diversification benefit that is presented when different types of
businesses are aggregated i.e. bad thing don’t always happen at the same time. As a
consequence, economic capital for a conglomerate is usually substantially less than
economic capital is for the sum of its parts.

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E-Banking Services

ATM (AUTOMATED TELLER MACHINE)

Though ATM banking services are available 24 hours a day and 365 days a years. Banking
being a services industry is primarily driven by customer needs. Generally customers are
willing to pay a price for the services provided and made available to them whenever and
wherever they want. The banking hours has been changed from the fixed hour to 24 hour,
which is possible through use of ATM’s.

• MEANING OF ATM:

ATM is a machine in the nature of a computer in general sense, but is dedicated to do only
certain types of specific jobs. It is a user friendly system and the customer does not require
any training to use it.

INTERNATIONAL DEBIT CARD

Combining the actually of a credit card and the prudence of an ATM Card, the Bank Debit
Card is a most convenient accessory for you. With the Bank Debit Card, you can shop using
VISA Electron’s on-line debit program and debit your Bank Account directly when
purchasing goods or services at any shop displaying the VISA Electron logo of any bank.

The cards gives the customers the flexibility to pay for products and services from there own
savings account wherever Visa is accepted, including on-line, overseas and over the
telephone.

MEANING OF DEBIT CARD

Visa debit cards function exactly like any visa card but they provide direct access to funds in
card holders deposit account rather than a line of credit . With visa debit , cash holders
exercise the choice to “Pay now”, compared with visa credit products , which allow cash

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holder to “Pay Later”. This means that for a debit card to work , the card holder must already
have the money in his account to cover the transaction.

Financial Institution have become more interested in debit card because they generate new
sources of fee income ;provide World Wide Checking Access and the use of same
infrastructure as credit cards . Fee income is generated because merchants pays interchange
fees , just as they do for credit card transactions .

Consumers have begin to embrace debit cards as a safe alternative to using cash and a
convenient alternative to using checks at the point of sale. For most consumers , debit cards
are not however, an alternative to credit card .consumers clearly like to make some of their
purchases on credit .With the debit card , the purchases and charged directly to the consumers
account.

CREDIT CARD

A credit card is an instrument that replaces the harsh cash . A credit card allows you to make
purchases with no interest with in a free credit period .Interest is levied only when you fail to
make payment on the due date and want to take credit beyond the free period. I t offer the
convenience of not carry the cash filled wallet around. If you spent responsibility on your
card, Credit Card seem like the biggest boon to the consumerist society today. The Credit
Term and conditions affect your over all cost. So, its wise to be aware of them and the fees
imposed before you go in for it.

TYPES OF CREDIT CARDS

• Platinum, Gold, Silver and Blue Cards: Ranging from the highest credit limit and fees
to the lowest credit limit and fees.

• Co-Branded Cards: Co Branded Cards, reward point on which can be redeemed at

petrol and fuel purchases. Do not attract an addition tax on fuel.

• Insurance Cards: The payment on insurance premium is possible through the credit
card.

• Travel Card: Medical, legal, personal and travel payment are also possible across the
globe.

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MOBILE BANKING

The last time that technology had a major impact in helping banks services their customer
was with the introduction of the internet banking. Internet banking helped give the customer’s
anytime access to there banks. Customer’s could check out their account details’ get their
bank statement, perform transaction like transferring money to other account and pay their
bills sitting in the comfort of their home and offices.

COMPANY DESCRIPTION

ABOUT AXIS BANK

Axis Bank was the first of the new private banks to have begun operation in 1994, after the
government of India allowed new private banks to be establish. The Banks was promoted
jointly by the administrated of specifies undertaking of Unit Trust of India (UTI-I), Life
Insurance 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 today capitalized to the extent of Rs.359.76 crores with the public holding (other
then promoters) at 57.79%.

The Banks Registered Office is at Ahmedabad and its Central office is located at Mumbai
.The bank has a very wide network of more then 853 branches and extension counters (as on
30 June 2009).The bank has a network of over 3723 ATM’s (as on 30 June 2009)providing
24 hour a day banking conveninced to its customers . This is one of the largest ATM
networks in the country .

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

PROMOTORS

AXIS Bank LTD. Has been promoted by the largest and the best financial institution of the
country ,UTI .The bank was set up with a capital of RS. 115 crore , with UTI contributing

15
RS100 crore, LIC RS 7.5 crore and GIC and its four subsidiary contributing RS 1.5 crore
each .

TABLE- 1

Milestones

Mar-07 Axis Bank ties up with IIFCL to provide finance for infrastructural projects in
the country .
Mar-07 Axis Bank launches car Loans in association with Mar Axis Udyog Ltd.
Mar-07 Axis Bank open a Full Licence Bank branch in Hong Kong.
Feb-07 Finance Minister Shri P. Chindbram launches Shriram –Axis bank Co –
Branded Credit Card exclusively for Small Road Transport Operators
(SRTOS).
Feb-07 Axis Bank announces the launch of its Meal Card.
Feb-07 Axis bank announces the launch of its Gift Card.
Feb-07 LIC Premium payment now through Axis Bank branches.
Jan-07 Axis bank open priority banking branch in Mumbai and Kolkatta.
Nov-06 Axis bank opens priority Banking Lounge in Pune.
Sep-06 Axis bank launches operation of UBL sales , its sales Subsidiary inaugurates
its first office in Banglore.
Aug-06 Axis Bank announces the launch of its Credit Card business .
Aug-06 Axis Bank becomes the first Indian Bank to successfully Foreign Currency
Hybrid Capital in the International Market.
Aug-06 Axis Bank Business Gold Credit card, Master Card launched –designed for
business related spending by SMEs and self employed professionals .
Aug-06 Axis bank announces the scheme of issuance of “Senior Citizen ID Card”in
association with Dignity Foundation/
Aug-06 Axis Bank rolls out its 2000th ATM.
Jul-06 Axis Bank opens representative Office in Shanghai.
May-06 Axis bank and LIC join hands to launch an annuity card for group pensioners
of LIC.
May-06 Axis bank tied up with Geojit Financial Services to offer Online Trading
services to its customers.
Apr-06 Axis bank opens its first international branch in Singapore
Jan-06 Axis bank and Axis Mutual fund to launch a new service for sale and
redemption of mutual funds schemes through the banks ATM’s across the
country.

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Dec-05 Axis bank win international Financing Review (IFR) ASIA “INDIAN BOND
HOUSE”award for the year 2005
Oct-05 Axis bank extends banking services to the rural milk producers in Anand and
Kheda districts in Gujrat
Jul-05 Axis bank and Visa International launch mobile fill facility –anytime
anywhere prepaid mobile refill for all visa Cardholders in India.
May-05 Axis bank and Bajaj Allianz join hands to distribute general insurance
products.

Jun-96 Crosses Rs. 1000 crore deposit mark.

Mar-95 Completes first profitable year in operation.
Apr-94 First branch of Axis bank inaugurated at Ahmedabad by Dr. Manmohan Singh ,
Hon’ble Finance Minister , Government of India.
Dec-93 Axis Bank comes into being .
Dec-93 Registerd office at Ahemdabad ; head Office at Mumbai

SHAREHOLDING

Erstwhile UNIT TRUST OF INDIA of India was set up as a body corporate under the UTI
act 1963 with a view to encourage savings and investments . In Dec.2002, the UTI act 1963
was replead with the passage of Unit Trust Of India (Transfer Of Undertaking and Repeal)
Act 2002 by the Parliament paving the way for the bifurcation of UTI into 2 entities , UTI –I,
UTI-II with effect from 1 Feb 2003 . in accordance with the act the undertaking specified as
UTI I has been transferred and vested in the administrator of the specified undertaking of the
Unit Trust Of India (SUUTI) who manages assured return schemes along with 6.75% US -64
Bonds, 6.60% ARS Bonds with a Unit Capital of over Rs. 14167.59 crores.

The Govt. Of India has currently appointed Shri K.N Prithviraj as the administrator of the
specified undertaking of UTI , to look after and the administrator the schemes under the UTI
–I, where Govt. has continuning obligations and commitments to the investors.

TABLE- 2

A. Promoting Shareholding

1. Administrator of the specified undertaking of the 27.18

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 Unit Trust of India – UTI-1(SUUTI)
2. Life Insurance Corporation of India 10.40

3. General Insurance Corporation of India 2.28

4. The New India Assurance Company Limited 1.06

5. National Insurance Company limited 0.73

6. United India Insurance Company Limited 0.44

7. The oriental Insurance Company Limited 0.42

Total Promoter Shareholding - A 42.51

B. Non-Promoter Holding

8. Indian Financial Institutions (IFIs) 0.65

9. Mutual Funds 7.62

10. Others (Individuals / Corporate Bodies / HUF / 10.12

Trusts / Banks)
Total Non-Promoter Indian Shareholding - B 18.39

C. Foreign Shareholding

11. FDI Route – GDRs Issue (2005 & 2007) 10.60

12. Foreign Financial Institutions (FIIs) 12.55

13. NRIs/OCBs/FBD 15.95

Total Non-Promoter Foreign Shareholding - C 39.10

Total A+B+C 100.00

PROFILE

Axis bank is one of the fastest growing bank of the country and has an extremely competitive
and profitable banking franchise evidenced by comprehensive portfolio of banking service
including Corporate Credit, Retail Banking, Business Banking,capital Marketing,Treasury
and international Banking.

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The position as on 31st March 2010 was as under:-

TABLE- 3

Balance Sheet Size Rs 1,095,778,487

Total Deposits Rs 876,262,206

Net Advances Rs 596,611,446

Investments Rs 337,051,008

Network of branches and extension counters 701

Number of ATM’s 2854

Net NPA 0.42%

Capital adequacy Ratio 13.73%

Axis bank has in played a sound technological platform. Sound technological platform with
centralized database and operations enabling 24 x 7 x 365 “Anywhere Banking” , in order to
render the best customer service to its 5.5 million customer base.

MISSION AND VALUES

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MISSION:

• CUSTOMER SERVICE AND PRODUCT INNOVATION TUNED TO DIVERSE

NEEDS OF INDIVIDUAL AND CORPORATE CLIENTTELE .

• CONTINUOUS TECHNOLOGY UPGRADATION WHILE MAINTAINING

HUMAN VALUES .

• PROGRESSIVE GLOBALISATION AND ACHIEVING INTERNATIONAL

STANDARDS.

• EFFICIENCY AND EFFECTIVENESS BUILT ON ETHICAL PRACTICES.

CORE VALUES

• CUSTOMER SATISFACTION THROUGH PROVIDING QUALITY SERVICE

EFFECTIVELY AND EFFICIENT.

• SMILE ,IT ENHANCES YOUR FACE VALUE “IS A SERVICE QUALITY

STRESSED ONPERIODIC CUSTOMER SERVICE AUDITS .

• MAXIMISATION OF STOCK HOLDER VALUES.

• SUCCESS THROUGH INTEGRITY , TEAM WORK AND PEOPLE.

Smt. Shikha Sharma Managing Director & CEO

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BOARD OF DIRECTORS

Shri N.C Singhal Director

THE MEMBERS OF THE BOARD ARE:

Shri J.R Verma Director

Dr. R.H . Patil Director

Smt. Rama Bijapurkar Director

Shri R.B.L.Vaish Director

Shri M.V . Subbiah Director

Shri K.N Prithviraj Director

TABLE- 4

SOURCE : Compile from Axis Bank report

INTRODUCTION OF ICICI BANK

The ICICI Bank was founded and started its functioning in the year 1955 . it is now the
second largest bank with in an asset of Rs. 2,513.89 billion . the bank has a network of 614
branches spread all over the country and having a network of 2200 ATM’s . It has its
subsidies in UK ,Russia , and Canada. It has been regarded as the most valuable bank in
Market Capitalisation . It has a market capitalization of 480 billion of rupees .

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Besides this also provide various types of loans and other facilities . It provides facilities to
Govt. and Pvt. Sector employees and also to self employed persons in personal loans . They
gave the loan at the reducing value to Govt. employees at 23% interest . For Pvt. Limited
company employees at 22% interest .For self employed persons like tradors and businessman
at 40% if the loss is less than 1 lakh and 20% if the loan is more than 1 lakh . For this take no
security as it unsecured . The customer can make the repayment of the loan like the Pvt. Ltd.
Can pay the loan with interest to a maximum of 3 years . The Government employees can
make the repayment upto max. of 4 years. The self emoloyeed person can make the payment
upto a max. of 3 years. They provide a loan amount from Rs. 20,ooo upto
Rs.15,oo,ooo.Beside this they also provide the facility of credit card to their customer.Their
cards are the silver card and the gold card.The customer can use it for the purpose of

Purchasing or for using it internationally.The period for the repayment of the money with the
interest of 2.95% for silver and 2.75% for gold is 50 days for silver and 52 days for gold.

ICICI bank is India’s second largest bank with total asset of about Rs.2,513.89 bn (US $56.3
bn) at march 31,2006 and profit after tax of Rs.25.40 bn(US $ 569 mn) for the year ended
march 31,2006 of Rs20.05 bn (US $ 449 mn ) for the year ended march 341,2005.ICICI bank
has a network of about 614 breanches and extension counter and over 2.200 ATMs.ICICI
bank offer a wide range of banking product and financial services to corporate and rertail
customers through a variety of delievery channels and through its specialized subsidiaries
and affilitates in the area of investment banking,Life and non-life insurance,venture capital
and asset management.ICICI bank set up its international banking group in fiscal 2002 to
cater to the cross border needs of clients and leverage on its domestic banking strength to
offer products internationally.ICICI bank currently has subsidiaries in the United Kingdom
,Russia and Canada,branches in Singapore, Bahrain,Hongkong,Srilanka and Dubai
International Finance Cemter and representative offices in the United State, United Arab
Emirates,China,South Africa and Bangladesh. Our U.K subsidiary has established a branch in
Balgiam. ICICI Bank is the more valuable bank in India in terms of capitalization.

ICICI Bank’s equity share are listed in India on the Bombay Stock Exchange and the
National Stock Exchange of India Ltd and American Depositary Recipts (ADRs) are listed on
the New York Stock Exchange (NYSE). ICICI Bank has formulated a Code of Business
Conduct and Ethics for its director and employee and directors.

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LOANS PROVIDED BY ICICI BANK:-

Today, the banks of India are provided various type of loan whether it may be home loan, two
wheeler loan etc, different types of loan have different features and benefits. One of these
loan is the personal loan. Basically, the banks provides the loans between rs 25,000 to Rs.
10,00,000 depending upon the profile of the person. Some of the lending banks like ICICI
Bank, HSBC and HDFC Bank provide personal loan at different interest rates. Now with
ICICI Bank’s Personal Loan, you can buy whetever you have in mind. So whatever and
whether you want to buy a Home PC or music system, renovate your home or pay your
children’s college fees, expend your business or take a vacation abroad all your need to do is
to apply for ICICI personal loan.

Features of ICICI Personal Loan

• Personal loan available both for salaries and self employed individual.

• No security, collaterals or guarantors required.

• Loan ranging from Rs.20,000 to Rs. 15,00,000.

• Easy repayment through flexible EMI optional ranging from 12-60 months.

Home Loan by ICICI Bank

ICICI Bank offers a wide variety of Loan Products to suit your requirement. Coupled with
convenience of network branches/ ATMs and facility of E-channels like internet and Mobile
Banking. ICICI Bank bring banking at your doorstep. Select any of our loan product and
provide your detail online and our representative will contact you for getting loan. The no 1
home loan in the country is ICICI Bank home loans offer some unbeatable benefit to its
customer, simplified documentation.

HOUSING LOAN

Strengths:

 As in comparison with ICICI Bank interest rates of AXIS Bank is less then interest
rate of ICICI Bank.

 No repayment penalty is another strength of AXIS Bank in comparison to ICICI.

23
Weaknesses:

 More processing time as compared to ICICI.

 Less loan limit.

PERSONAL LOAN

Strength:

 No repayment penalty.

 Less processing time.

 Less processing fees.

 Less interest rates.

Weakness:

 One weakness in personal loan in comparison to ICICI Bank is loan limit.Loan limit
is less than loan limit of ICICI personal loan.

AUTO LOAN

Strength:

 Processing fees is NIL in AXIS Bank whereas ICICI has processing fees in auto loan.

 Competitive nature.

 Competitive processing time.

Weaknesses:

 Interest rates are more comparison to ICICI Bank.

 Loan limit is less than loan limit provided by ICICI Bank.

 Margin money is more than margin money provided by ICICI Bank.

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 CHAPTER-2

REVIEW

OF

LITERATURE

Many of the research work have been conducted, over the period by applying the Multiple
Discriminate Analysis to predict the corporate failure. W.H. Beaver (1996) was the first

25
researcher to study the prediction of bankruptcy using financial data. His analysis was based
on ratios. Altman I. Edward(1968) was the classical Multiple Discriminate Analysis
Technical with five financial ratio is used for predicating the risk of failure Jonah Aiyabei
(2002) discussed the theoretical aspect of a financially distressed firm based on a cyclical
concept and examined the financial performs of small business firms .

KAPLAN (1993) studied about the actual contract between the venture capitalize and
entrepreneur relating to the financial contracting theory meet the real world she found that if
the company performs poorly, the obtain full control. As performs improve the entrepreneurs
retained more control rights . by the cash flow right the venture of a company perform well .

BISWASWARUP MISRA (2003) that studies about the financial performs of regional rural
bank he was found that it does not perform good because of lack of single owner with clear
ownership and control different accountability.

Dr. HIMANSHU JOSHI (2003) studies about the financial performs of BHEL he was found
that financial position of BHEL is not good for the purpose of improvement the used
disinvestment program for the public sector company like BHEL which is operating in
competitive environment disinvestment is a good solution to improve profitability and
operational efficiency.

AJAY K. SINGH (2008) studied about the financial position of the new private bank with
regard to another banks banking industry play a vital role in rejuvenating and revamping the
economic growth of country that sector is major purveyor of money in an economy . Hence
the banker is the best “cash flow” manager of a country.

ANDREW C. WORTHINGTON (2003) during industrialization finance was consider as the

major input for industrial growth. Banking industry is playing a role of financial assistance to
various sectors of economy. Agriculture ,industrial and service .the recent phases witnessed
drastic chances in Indian economy.

A bank

• Accept deposited of money from public.

• Pays interest on money deposited with it.

• Lends or invest money .

26
 • Repays the amount on demand.

• Allow the money deposited to be with drawn by cheque or draft .

KEFFALA MOHAMED ROCHDI (1998)studied about the purpose of this study was to
identify the barrier to adoption and the uses of interest by Tunisian consumers. In this study
like in the other many studies in the literature an extension of the technology acceptance
modal(TAM)is used as the conceptual framework to measure factors of the adoptions and the
usage of internet by Tunisian consumers .in order to explain the weaknesses reason of
internet demand in Tunisia we have conducted qualitative and quantitative research . the
qualitative investigation leds to the identification of hypotheses and specify research model.
Using a sample of227 persons the quantitative analysis has revealed the determents of the
adoption and the usage of internet by Tunisian consumers. The comparison averages analysis
and perceptions test between users and non users of internet have identified the users profile
of internet in Tunisia. The result of the regression analysis have showed that, on one hand,
perceived ease of use, perceived costs and features of personal are inhibitors factors to the
adoptions and the usage of internet by Tunisian consumers. Finally, we have deduced that
internet cost and ATM usage are the main barrier to the adoption and the usage of internet by
Tunisian consumers .

N.KAMAKODI (1997) prefer to the almost 15 year since the Indian sector was liberalized
and paradigm shift happened in the Indian services . all banks have either totally implemented
‘core system’ or half way through. The result of a survey were obtained from292 respondents
about their views on electronics channels , indicate that the bank are exceeding the
expectation in technology based services ;and their perceived service level on branch network
is below the expected levels of the respondents. This result is in tune with the respondent
opinion on the perceived ‘gap’ with the bank because of the introduction of technology ,and
on the necessity of human contact with the clients by the banks. This throws up a challenge to
banks. Technology alone cannot give a sustainable competitive advantage far the banks.
When all banks introduce IT, it will lose its position as a differentiator. Beyond a point, IT
along with ‘touch ‘ will be necessary for the banks to retain existing client and to attract new
ones . banks have to incorporate this in their operational strategy .

27
LEO POINTON(2000)prefer to paper examine the legal issues specific to internet, focusing
on the incidence of fraud and its prosecution. The objective of research is to investigate three
questions in relation to Malaysia. Firstly , the incidence of fraud in internet ; secondly, the
adequacy of the relevant regulation and status ;and thirdly , whether the setting up of a cyber
court would better facilitate the prosecution of such financial crimes in Malaysia.
Technology and the borderless nature of internet present fraudsters with manifold
opportunities. ‘phishing’ leads to identity theft and ‘money laundering’ has been found to be
the main threat to internet, this selected fraud for study in this paper. The newness of the
subject and traditional.

HONG LIO(2001) studied about saving for retirement is a primary end purpose of many parts
of the financial sector , including pension plan, life insurance, and indeed much of retail and
brokerage. This paper and a companion paper develop a group of work horse model that can
be adapted to answer many question of finance. This paper focuses on retirement (modeled as
irreversible) and constrained borrowing. This paper has three simple model that can be solved
explicitly, at least parametrically up to the determination of a few parameter. All three model
have realistic features such as a hazard rate of mortality, preference for working or not , a
possible bequest motive, and wage income that can vary stochastically over time . A
companion piece has model with time- dependent features , permitting the hazard rate of
mortality , average wage level, and preference for working to be exogenous function of times.
Consumptions and portfolio choice can both jump at the endogenous retirement date.

28
 CHAPTER-3

RESEARCH

METHODOLOGY

Research is an art of scientific investigation. It is a careful investigation for search of new

facts in any branch of knowledge.

When we talk of research methodology , we not only talk of research method but also takes
into consideration the logic behind the methods which we use in the context of our research
study and explained why we use or why we are using a particular method or technique. The

29
information that is to be needed for fulfilling the objective of study was collected from
various primary and secondary sources .

According to Advanced Learner’s Dictionary of Current English:

“Research is defined as a careful investigation or inquiry especially through search for new
facts in any branch of knowledge”.

RESEARCH DESIGN:-

Research design specifies the methods and procedures for conducting a particular study. A
research design is the arrangement of conditions for collecting and analysis of the data in a
manner that aims to combine relevance to the research purpose with economy in procedure.
Research design is broadly classified into three types as:

• Exploratory Research Design

• Descriptive Research Design

I have chosen the descriptive research design.

DESCRIPTIVE RESEARCH DESIGN

Descriptive research studies are those studies which are concerned with described the
characteristics of particular individual. In descriptive as well as in diagnostic studies, the
researcher must be able to define clearly, what he wants to measure and must find adequate
methods for measuring it along with a clear cut definition of population he wants to study.
Since the aim is to obtain complete and accurate information in the studies, the procedure to
be used must be carefully planned. The research design must make enough provision for
protection against bias and must maximize reliability, with due concern for the economical
completion of the research study.

DATA COLLECTION TECHNIQUES

30
The project include both primary and secondary sources of data. The data collected through
these sources has been organized, analysis and interpreted so as to draw conclusion and arrive
at appropriate recommendations.

1. PRIMARY DATA

2. SECONDARY DATA

DATA SOURCES

The research involved gathering Secondary data as well as Primary data. For the purpose two
types of survey was conducted by me to collect the data -

• Customer survey and

• Consumer survey

SCOPE OF THE STUDY

Everybody is well aware that the economics environment has changed is likely to
change in future. My project is mainly deals with the analysis of the Financial services
provided by banks.

The project of short term financial performance has done to see and analyze the short
term profitability, Liquidity and soundness of business as well as working capital is required
for the efficient and effective use of fixed assets and overall performance of the financial
sources.

OBJECTIVE OF THE STUDY

 To do comparative study of role of services provided by banks.

 To study strengths and weakness schemes. So that strength can be increased and
weakness can be abolished.

 To study about the liquidity of the business firm.

31
  To analysis the financial soundness of the firm.

 To study the short-term sources of the firm.

 To study about the financial strategies of the business firm.

 To study about the short-term financial instruments.

 To suggest a few pragmatic measures and techniques for possible improvement in the
management.

 To analysis and evaluate the efficiency of management technique adopted by the

banks.

 To study about the size and composition of the company.

ORGANISATION OF THE STUDY

The whole study was organized in five chapters. The description regarding these Chapters is
given below.

CHAPTER 1 - Chapter 1 is introduction Chapter.

This chapter future two parts. First parts deal with the Statement of the problem which deal
with the main problem of study and introduction of the problem. Second chapter deals with
the introduction of the company. In this section the whole introduction the company in which
the study takes place is given.

CHAPTER 2 – Chapter 2 is Review of literature. In this chapter the articles about the
problem or the topic of the study are given. In this report about 12 article of different persons
are mentioned.

CHAPTER 3 – Chapter 3 is research methodology. This chapter further section as Objective

of study, Organization of study, Scope of study, Data collection technique, Data analysis
technique and Limitation of study.

32
CHAPTER 4 – Chapter 4 is analysis of data. This chapter contains all the analysis part of the
study. The data collected is analyzed in this chapter. The data is arranged in table form and
then interpreted with the help of graphs. Interpretation is given with the graphs.

CHAPTER 5 – Chapter 5 is finding and suggestions. This chapter has further two sections.
First finding, second suggestion.

CHAPTER 6 – Chapter 6 is related with conclusion of all the study made by me.

STATISTICAL TOOLS AND TECHNIQUES

CHARTS:

A Chart is graphical representation of data. Data showing in a chart can make the
data clearer, more interesting and easier to read. Charts help to analysis data and make
comparison between different data.

TABLES:

A Table is a grid, an arrangement of rectangles, or cell, in rows and columns. A table

can be useful for enhancing the presentation of data.

LIMITATIONS OF STUDY

 TIME CONSTRAINT

The first and foremost limitation of the project was the shorter time span which was
provided for undertaking this project. The study of two assess the risk profile of
investor to increase the market potential of “personal banking” is a wider term which
not only include the study of various investment option like stock market, banks,
mutual funds or other saving or investment schemes, but it also relates to all technical
details as well as financial details about various investment options.

 UNAVAILABILITY OF ANY OTHER KIND OF DATA

33
 The data collected is the only sources for identifying the negative aspects of an
organization to improve the condition of that organization to improve the condition of
that organization to increase their customer by an effective way of processing order in
shortest possible time It is only supported by secondary data which is collected
through questionnaires and interviews of senior executives of different organization.

 PERSONAL INTERACTION NOT POSSIBLE SOME CASES

Project has been accomplished with the help of personal interviews and
questionnaires. In some cases personal interaction with the concerned person was not
possible. This hampered the proper flow of information in which one could get
through interviewing the person. In such cases questionnaires were used together for
the relevant information.

 RESPONSES WERE NOT 100% HONEST

Of the major limitation of the project was that the response of some of the question
were not 100% honestly given by the employees which hampered the flow of
information.

34
CHAPTER-4

ANALYSIS

AND
35
 INTERPRETATION

MEANING OF DATA ANALYSIS

Data analysis is a process of gathering, modeling and transforming data with the goal of
highlighting useful information, suggesting conclusions, and supporting decision making.
Data analysis has multiple facts and approaches, encompassing diverse techniques under a
variety of names, in different business, science, and social science domains.

Data mining is a particular data analysis technique that focus on modeling and knowledge
discovery for predicting rather than purely descriptive purposes. Business intelligence covers
data analysis that relies heavily on aggregation, focusing on business information. In
statistical applications, some people divide data analysis into descriptive statistics,
exploratory data analysis and confirmatory data analysis.

Data integration is precursor to data analysis, and data analysis is closely linked to data
visualization and data dissemination. The term data analysis is some time used as a synonym
for data modeling, which is unrelated.

The initial data analysis uses descriptive statistics to answer the following four question

1. What is the quality of data?

2. What is the quality of measurements ?

3. Did the implementation of the study full fill the intention of the research design ?

36
ANALYSIS OF HOUSING LOAN

HOME LOAN COMPARISON OF AXIS BANK WITH ICICI BANK

CONTENTS AXIS BANK ICICI BANK

1. Purpose  Construction  Construction
 Land purchase  Land purchase
 Purchase of house  Purchase of house
 Land purchase and  Home improvement
construction  Home extension
 Take over from other banks  Balance transfer of
 HUDA or from other boards loan from other
 Home from cooperative institutions
societies
 Housing loan for forces
 Repair/extension
2. Documents a) For salaried class a) For salaried class
 Latest salary slip  Verification of
 Verification of employment form
Employment with only part 1

 Disclosure of details of filled in

employment for last five  Latest salary

years slip/salary certificate

 Form 16 from employer latest showing deduction

37
 income tax return for 2 years  Permanent address
 Letter from
employer agreeing to
deduct
 Equated monthly
installment (EMI)
towards repayment
of the loan.
b)For self employed b) For self employed
Professionals Professionals
 Note of business profile.  Balance sheet &
 Income tax return for latest P&L account of
years business profession
 Profit & loss account and  Copy of income tax
balance sheet certified by CA return or last 3 years
 Computation of income certified by CA
 Information of your
business /profession
form of
organizations ,clients
,suppliers etc.
Title Documents Title Documents

 Construction / repair/  For all applications

extension  Allotment Letter
 Detailed cost estimate of  Copy of approved
work to be done drawing of
 Approved map for competent proposed ,
authority. construction
 For purchase ,purchase extension.
 Copy of allotment letter  Agreement of sales
 Receipt of payment already or sales deed.
made .  Detailed cost
 Registration card. estimate from

38
 For allotment by co – operative architect /engineer
Housing society Association of for the property to be
apartment corners. purchased
 Allotment Letter /construction/extend
 Membership share certificate /renovated .

 Copy of agreement to sell.  Details of

 Receipt of payment to made. occupation for

previous 5 years.
 Copy of brochure of housing
scheme.
 Copy of approved plan
 Copy of title documents in
favor of cooperative society
/association /builder.
3. Processing Min. :12 days Min. : 4 days
Time Max. :15 days Max. : 7 days
4. Processing 1% of loan amount 1% of loan amount
Fees
5. Interest Rates On daily reducing balance On monthly reducing
balance
Years Rate Years Rate
1-10 7.25 5 7.52
11-20 7.75 10 8.5
(on Daily reducing balance) 15 9
20 9
b. On Annual Reducing
Balance
5 8.25
10 8.25
15 8.75
20 8.75
6. Tenure Min : 1 year Min : 1 year
Max : 20 years Max : 20 years
7. Loan Amount Min : 1 lacs Min : 1 lacs
Max : 50 lacs Max : 1 crore
8. Eligibility a) Government/Public/Private All individuals, salaries
sector confirmed employees class and self employed and
and able to provide pay professional income of Rs.
slip/form 16 with having 72000 p.a.

39
 minimum salary of Rs 7200
p.a.
b) Self employed with minimum
3 years.
c) Individuals between the age
of 18-65 years.
9. Negative  Stock broker  Business those who
Profile  Real estate agents don’t file there

 Builders income tax return.

 Landlords
 Direct marketing associates
 Placement agencies
 Employees of holiday resorts
and dot. com companies
10. Security  Equitable mortgage of  Mortgage of
property property and/or
collateral security as
may be necessary.
 Interim security may
be required if
property is under
construction.
 Interim/Collateral
security, could be
LIC policies, the
Surrender value, of
which is at least
equal to the loan
amount, guarantees
from sound and
solvent guarantees
pledge of share etc.
11. Margin money 15% of cost of property 15% of cost of property
12. Penal Interest No No

40
 13. Repayment No No
Penalty
14. Loan is given With municipal limits Both with in and out of the
with in municipal limits
municipal
limits or not
15. Insurance Yes Yes
Facility
16. Tax Benefits Yes Yes
17. Sanctioning No No
Power

TABLE-5

SOURCE : COMPILE FROM AXIS BANK AND ICICI BANK REPORT

INTERPRETATION:- Table no. 1 the document and purpose of the both bank AXIS and
ICICI bank are in the same manner and regarding to processing time AXIS bank much more
time in comparison to ICICI bank and all other facility are same in manner.

41
WHAT IS THE MINIMUM AND MAXIMUM TARGET OF BANK REGARDING HOME
LOAN?

TABLE

Contents AXIS (lac.) ICICI (lac.)

Min. 12 4
Max. 15 7

GRAPH

INTERPRETATION :- the reasons in preferring the bank, the AXIS bank target is high
in comparison of ICICI bank. However, ICICI bank is a significant target regarding this. On
the basis of feedback of the respondent in the survey come to know about the achieving target
of AXIS bank and ICICI bank.

42
WHAT IS THE MINIMUM AND MAXIMUM GROWTH OF HOME LOAN?

TABLE

Contents AXIS (lac.) ICICI (lac.)

Min. 1 1
Max. 50 100

GRAPH

INTERPRETATION the growth factor of AXIS Bank is less than in comparison to

ICICI Bank in regarding to home loan. The reason is the interest rate are different of both
bank. They consider them a certain limit but ultimately, it is their own decision. Bank now
believe to give loan for long period to get higher return.

43
WHAT IS THE MARGINAL STATUS OF AXIS BANK AND ICICI BANK?

TABLE

Contents AXIS (lac.) ICICI (lac.)

Margin Money 15 15

GRAPH

INTERPRETATION:- the marginal money status of AXIS BANK and ICICI BANK rates
are same but some other factor influence each other. Some people take decision on the advice
of consultant firms and some by other brokers. In this risk and return go hand in hand and that
show the banking stability.

44
ANALYSIS OF PERSONAL LOAN

PERSONAL LOAN COMPARISON OF AXIS BANK WITH ICICI BANK

Content AXIS BANK ICICI BANK

1. Purpose  Furnishing of home  Wedding in the family
 Buying an PC  Paying college fees
 An exotic holiday  Purchase of consumer
 For education of children durable like :

 For wedding in the Refrigerator, color

family T.V., A.C., Washing

Machine, Cooking
Range, Music System,
P.C., Furniture and
Household equipments
 Renovation of house
2. Documents Salaried Class Self Employed Salaried Professional
Class
a) Identity Proof Yes Yes Yes Yes
b) Bank Statement Yes Yes Yes Yes
c) Address Proof Yes Yes Yes Yes
d) Income Proof Yes Yes Yes No
(Latest Salary
Slip)
e) Qualification No Yes No Yes
Proof
f) Undertaking Yes No _ _
from employer
g) Proof of No Yes _ _
practice
h) Income No Yes No Yes
Statement
certified by C.A.
i) Post dated Yes Yes Yes Yes
cheques
3. Processing Time Min.: 4 days Min.:7 days
Max.:7 days Max.:10 days

45
4. Processing Fees 1% of loan amount 2% of loan amount
5. Interest Rates Salaried Class Salaried Class / Self Employed
Professional
Content With Without  If borrower have salary
Collateral Collateral account or any other
Security Security account in the bank
Up to 15 16
then 1% discount.
50000
 If saving account with
Above 16 17
the bank then 1.5%.
50000
(On daily reducing balanced)
 If previous relations
or relative of
employees then 1%
discount in interest
rate.
 If check off facility
then 1.5% discount
for salaried class
only.
6. Tenure Min.:1year Min.:1year
Max.:4year Max.:4years
7. Loan Amount Formula to calculate Formula to calculate
Maximum Amount Maximum Amount
a) For salaries class
Time period in month x 3 For salaries class and
adjusted salary Professional 96000 annual pay
b) For self employed
2 times of gross income
tax return after deducing
any loan obligation.
8. Eligibility  Individual having age
between 25-58 years.
 Govt. employees public
ltd. Company ,

46
 employees, teachers,
reputed private Nil
organizations ,
employees having
minimum salary Rs.
84000/-p.a.
 Self
employed/professional
having minimum income
of Rs. 1lacs p.a.
9. Negative Profile  Employees of Private  Policeman
Ltd. Companies  Advocates
 Proprietorship  Businessman
 Partnership concerns
 Policeman
 Advocates
10. Security Security equivalent to 100% of
the loan amount in the form of
UTI, NSE, Bank Deposits
,Surrenders Value of LIC Policy.
Security required where : Nil
 No check off facilities
 Individual having less
than required income
Relatives of employees
11. Margin Money Nil Nil
12. Penal Interest Nil Nil
13. Prepayment Nil Nil
Penalty
14. Sanctioning No No

Regarding table no. the documents of both banks AXIS and ICICI bank are in the same
manner and regarding to processing fees in AXIS Bank in different in comparison to ICICI
Bank , processing time to leading loan is also different and formula for the calculation of loan

47
amount is also different between AXIS Bank and ICICI Bank and all other facility are same
in manner

48
WHAT IS THE TARGET OF AXIS BANK AND ICICI BANK REGARDING PERSONAL
LOAN?

TABLE

Contents AXIS (lac.) ICICI (lac.)

Min. 4 7
Max. 7 10

GRAPH

INTERPRETATION :- this personal loan the target of ICICI Bank is high due to some
factor and AXIS Bank target is low regarding personal loan. People now believe to take loan
for a long period and for a tax benefit capital appreciation.

49
WHAT ARE THE MINIMUM AND MAXIMUM YEAR OF TAKING LOAN?

TABLE

Contents AXIS (YEAR) ICICI (YEAR)

Min. 1 1
Max. 4 4

GRAPH

INTERPRETATION :- the time period of giving loan to any one is same both AXIS
Bank and ICICI Bank in private sector most of the bank provide same year but in public
sector that year are different according to Reserve bank of India norms.

50
ANALYSIS OF AUTO LOAN

AUTO LOAN COMPARISON OF AXIS BANK WITH ICICI BANK

Contents AXIS BANK ICICI BANK

1. Purpose  To buy new/old car, 2  To buy new/old car, 2
wheeler wheeler
2. Documents  Age proof  Identity proof
 Residence proof  Income proof
 Identity proof  Bank statement
 Income proof  Residence proof
 Bank statement  Post dated cheques
 Signature proof
 Post dated cheques
 Track record of
previous loans
3. Processing Time Car Loan Car Loan
Min. : 2 days Min. : 2 days
Max. : 5 days Max. : 5 days
2 Wheeler Loan 2 Wheeler Loan
Min. : same day Min. : same day
Max. : 3 days Max. : 3 days
4. Processing Fees Car Loan - NIL Car Loan - NIL
2 Wheeler Loan - NIL 2 Wheeler Loan – 2% of loan
amount or minimum Rs. 500
whichever is less
5. Interest Rates 4 Wheeler Loan 4 Wheeler Loan
Std. segment : 7.75% 6.5% to 7%
Mid segment : 8.25%
Prem. Segment : 8.5%
(on daily reducing balance)
2 Wheeler Loan 2 Wheeler Loan
1 year : 13.5% 10%
2 years : 13.32% (flat rate)

51
 3 years : 13%
(flat rate)
6. Tenure Car Loan Car loan
Min. : 1 year Min. : 1 year
Max. : Max. : 5 years
Govt. employees : 7 years
Businessman : 5 years
2 Wheeler Loan 2 Wheeler Loan
Min. : 1 year Min. : 3 years
Max. : 3 years Max. : 6 years
7. Loan Amount Car Loan Car Loan
Std. segment : 85% All segment : 85% of car
Mid segment : 80% value
Prem. Segment : 70%
Or 2.5% times of the annual
income
2 Wheeler Loan 2 Wheeler Loan
95% of cost or Min. Rs. Max. : 85% of auto loan
15000/- Min. : Rs. 7000/-
8. Eligibility Individual Between age of 18 Individual between age of 21
to 60 years and having to 58 years and having
minimum of gross income of minimum of gross income.
Rs. 4000 p.m. in case of 2
wheeler and Rs. 6500/- in
case of car loan.
9. Negative Profile  Advocate  Advocate
 Policemen  Policemen
 Property dealers  Contractors
 Agents  Labour workers
 Contractors
10. Security  Hypothecation of  Hypothecation of
vehicle purchase and vehicle purchase and
post dated cheques post dated cheques
11. Margin Money Car Loan Car Loan
Std. segment : 15% All segment : 10%

52
 Mid. Segment : 20%
Prem. Segment : 30%
2 Wheeler Loan 2 Wheeler Loan
15% 15%
12. Penal Interest No No
13. Repayment Penalty No No
14. Sanctioning Power No No

INTERPRETATION :- Regarding table no. the document and purpose of the both banks
AXIS and ICICI banks are in the same manner and regarding to tenure year of AXIS bank is
less than in comparison to ICICI bank and the margin money of both the year also the
different and some other condition.

53
WHAT IS THE MINIMUM AND MAXIMUM MODE OF CONTENT REGARDING
AUTO LOAN ?

TABLE

Contents AXIS ICICI

Car loan Min. 2 2
Max. 5 5
Two wheeler loan Min. 1 1
Max. 3 3

GRAPH

GRAPH

INTERPRETATION:- the car loan and the two wheeler loan of AXIS BANK and ICICI
BANK both mode of content are same and provide facility of two wheeler loan and car loan.

54
WHAT IS THE KNOWING PATTERN OF AXIS BANK AND ICICI BANK ?

TABLE

RESPONSE AXIS BANK (IN %) ICICI BANK (IN %)

FRIENDS 19 38
EXHIBITION 7 10
ADVERTISEMENT 52 23
OTHERS 22 29
TOTAL 100 100

GRAPH

INTERPRETATION :- Majority of the consumers of ICICI Bank said that they came to know
about the bank through friends. Whereas the consumers of AXIS Bank said that they came to
know about the bank through advertisements. This signifies that ICICI Bank customers relay
more on words of mouth and AXIS Bank gives exposure to customer through a greater
number of advertisements

55
WHAT IS THE FIRST CONTACT IN THE AXIS BANK AND ICICI BANK?

TABLE

RESPONSE AXIS BANK (IN %) ICICI BANK (IN %)

MARKETING EXECUTIVE 55 30
BRANCHES 38 85
OTHERS 7 15
TOTAL 100 100

GRAPH

INTERPRETATION:- The customers of ICICI bank said that they contacted the branch
directly ,whereas the customers of Axis Bank said that they contacted through the marketing
executive of the bank . This signifies that ICICI has a greater number of accessible branches
in the country and Axis bank’s marketing network is strong.

56
WHAT ARE THE FACTORS PLAY AN IMPORTANT ROLE WHILE OPEN AN
ACCOUNT?

TABLE

RESPONSE AXIS BANK (IN %) ICICI BANK (IN %)

SPECIAL OFFER 10 28
OPERATIONAL STAFF 12 31
ADVERTISEMENT 30 17
CONVENCING POWER 33 12
CREDITIBILITY 15 12
TOTAL 100 100

GRAPH

INTERPRETATION:- the customer of ICICI Bank said that special offer and
operational staff are the main factor in opening an account, whereas the customer of AXIS
bank said that advertisement and convincing power of executive were the main factor in
opening an account in the bank.

57
WHAT IS THE PRODUCT YOU USE THE MOST?

TABLE

RESPONSE AXIS BANK (IN %) ICICI BANK (IN %)

CURRENT 5 4
FIXED DEPOSIT 5 8
DEMAT 30 31
OTHERS 5 2
TOTAL 45 45

GRAPH

INTERPRETATION ;- the customers of both banks said that they use Saving and Demat
services the most. There is no significant difference in the opinions of the customers of two
bank, in the private sector most of facility are provided in comparison to the public sector in
day to day operations.

58
ARE YOU SATISFIED WITH DEMAT ACCOUNT OF THE BANK?

TABLE

RESPONSE AXIS BANK (IN %) ICICI BANK (IN %)

YES 98 95
NO 2 5
TOTAL 100 100

GRAPH

INTERPRETATION:- satisfied in using Demat account, the customer of both bank said
that they were satisfied by the service provided by two banks. Response of most of the people
was highly effected by the market volatility. People investing in mutual fund for long term
growth and benefit.

59
RESPONSE REGARDING AXIS BANK AND ICICI BANK SERVICES.

TABLE

RESPONSE AXIS BANK (IN %) ICICI BANK (IN %)

ATM 85 65
NET BANKING 10 20
PHONE BANKING 3 14
MOBILE BANKING 2 1
TOTAL 100 100

GRAPH

INTERPRETATION:- customer of ICICI Bank said that they use ATM and phone
banking the most, whereas the customer of AXIS Bank replied in favor of only ATM. This
signifies that ICICI Bank has a greater influences with regard to the phone banking services
provided by them. However, AXIS Bank seems to have a greater network of ATMs installed
all over the country.

60
WHAT ARE THE REASON PREFERING BY CUSTOMERS TO DEAL WITH THE
BANK?

TABLE

RESPONSE AXIS BANK (IN %) ICICI BANK (IN %)

BETTER SERVICES 37 35
BETTER RETURN 15 10
ATTRACTIVE PLANS 40 10
AGENT KNOWN 3 35
OTHERS 5 4
TOTAL 100 100

GRAPH

INTERPRETATION:- the reasons in preferring the bank, the customer of AXIS Bank
said that they preferred it because of its attractive plans and better services. However, the
customer of ICICI Bank replied in favor of better services and a significant percentage also
said that the agent of bank was known to them.

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CHAPTER-5

FINDINGS

AND

SUGGESTIONS

62
 FINDINGS

1. Majority of the customers of ICICI Bank said that they come to know about the bank
through friends .Whereas the customers of Axis Bank said that they come to know about the
bank Ads . This signifies that the ICICI bank customers relay more on words of mouth and
Axis bank gives exposure to customers through a greater numbers of Ads .

2. The customers of ICICI bank said that they contacted the branch directly whereas , the
customers of Axis bank said that they contacted through the Marketing Executive of the
bank . This signifies that ICICI has greater number of accessible branches in the country and
Axis bank’s marketing network is strong .

3. The customers of ICICI bank said that special offer and operational staff are the main
factor in opening an account whereas the customer of Axis bank said that Ads and convincing
power of executive were the main factor in opening an account in the bank .

4. The car loan and the two wheelers loan of Axis Bank and ICICI bank both made of
content are same and provide facility of two wheelers loan and the car loan .The margin
money of Axis bank is high in comparison of ICICI bank .

5. The time period of giving loan to any one is same both Axis Bank and ICICI bank in
private sector most of the bank provide same year but in public sector that years are different
according to the reserve bank of India norms .

6. This personal loan is target of ICICI bank is high due to some factor and Axis bank target
is low regarding personal loan in comparison to ICICI bank . People now believe to take loan
for a long period and for a tax benefit capital appreciation .

7. The marginal money status of Axis bank and ICICI bank rates are same but some other
factor influence each other . some people take decision on the advice of consultant firms and
some by other brokers .In this risk and return go hands in hand and that show the banking
stability .

8. The growth factor Axis bank growth is less than in comparison to ICICI bank in regarding
to home loan .The reason is the interest rate are different of both bank . they consider them a
certain limit but ultimately it is their own decision .Bank now believe to give loan for long
period to get high return .

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9. The reason in preferring the bank, the Axis bank target is high in comparison of ICICI
bank however, ICICI bank is a significant target regarding this on the basis of feedback of the
respondent in the survey come to know about the achieving target of Axis bank and ICICI
bank.

10. The reasons in preferring the bank, the customers of Axis bank said that they preferred it
because of its attractive plan and better services . however, the customers of ICICI bank
replied in favor of better services and a significant percentage also said that the agent of bank
was known to them.

11. Satisfaction in using deemed account, the customers of both banks said that they were
satisfied by the service provided by two banks. Reponses of most of the people was highly
effected by the market volatility people investing in mutual fund for long term growth and
benefit.

12. customers of ICICI bank said that they use ATM and phone banking the most,
whereas the customer of Axis bank replied in favor of only ATM. This signifies that ICICI
bank has a greater influence with regard to phone banking service provided by them.
However ,Axis banks seems to have a greater networks of ATM’s. Install all over the country
.

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 SUGGESTIONS

Gabriel de Trade in Les Lois de limitation (1890), and Gustav Le bon ,in La Psychologies des
fouled (1895) , used suggestion to describe the connection between two or more people that
serve as the basis or for a society or a crowd. For Bernheimer, however, hypnosis only
facilitated therapeutic suggestibility , and suggestive psychotherapies could be practiced in
waking state . this identification of hypnosis with suggestion resulted in criticism from
Liberal , and especially from Char cot and his followers.

1. Axis bank lays more focus on ATM services across the country . they need to lay
more emphasis on deemed services ;FD, Net banking and special offer also need to be
stressed upon . This will increase its credit ability and will help in increasing the
number of customers to a greater extent .

2. Interest Rates, processing fees, tenure, margin money –all these are important on loan
–housing , personal ,auto . So bank should revise all above , keeping in view the other
banks . Banks can appoint some marketing executive for this purpose those who can
give information of market or about other banks , revision of loan timely so that our
banks can revise it very soon .

3. One of the major weakness of Axis bank’s loan is processing time as today every
person is very busy. He cant wait for more days for talking loan . So processing time
can be reduced only when the sanctioning authority is provided to branch offices .

4. Axis bank should also provide its customers with phone banking and mobile banking
facilities .

5. There is a need of launching more new facility and appealing concept like real estate ,
rural India funds etc.

6. Introduction of financial planner who can provide need based advice in systematic
manner .

7. Monthly meeting of corporate ,faculty and client for knowing their view and try to
make modification as per the requirement in the changing scenario .

8. Emphasis should be given on better corporate governance .

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9. The bank should regularly collect feedback from the customers about the level of
satisfaction and should then upgrade the value of the product.

10. The bank should increase awareness about itself and products the bank should
increase their branches for trading and develop emotional bounding with its customers
and its employers.

11. The bank should go for aggressive and innovative advertisement and should focus on
the main benefit that one get by using it .The should increase the frequency of
advertisement in TV and should start advertisement in other ways .

12. Employees participation increase in the morale of employees they work more
efficiently and its proves more beneficial or the bank. Because the hardworking
employees in the strength of an organization .

66
CHAPTER NO - 6

CONCLUSION

67
The banking sector in India has become much competitive in last few years with the
increasing growth of private and publics sector bank. Day by day the competition is most
stringent and crucial.

I undertook training in AXIS bank limited quota for profiling to understanding the banking
operation and marketing its product.

I concluded the survey to get the information regarding the new potential salary accounts and
saving account relations and satisfactions level of existing salary account and saving accounts
for cross sales of other products.

The satisfaction amount the existing salary accounts holder are the saving account holder of
AXIS bank was revealed most of the aspects were at the satisfactory level. A majority was
satisfied with the facility provided, services, product, working hour, communication process
and technology. Regarding some factor, customer wants some modification in the provided
facility so they can give suggestions to make them according to their expectations.

I would help the banks to identify the satisfaction level of existing relations and try to cross
sale the other product and services because a safety 0 the Reserve banks of India, as the
central bank of the country, closely monitors developments in the whole financial sector. The
banking sector is dominated by scheduled commercial bank (SCBs), As at end march 2002
there were 296 commercial banks operating in India this included 27 Public sector banks
(PBS), 31 private sector, 42 foreign banks and 196 regional rural banks. Also there are 67
schedule cooperative banks consisting of 51 scheduled urban cooperative banks and 16
scheduled state cooperative banks. Scheduled commercial banks touched on the growth was
14.5% against 17.3% of the earlier years.

State bank of the India is still the largest bank in India with the market share with 20%. AXIS
bank having good position with the net profit 192.18 crore in the banking sector of the
country. Higher provisioning norms, tighter assets classification norms dispensing with the
concept of the ‘past due’ for recognition of NPAs lowering the ceiling on exposure to a single
borrower and group exposure etc, are among important measure in order to improve the
banking sector. A minimum stipulated capital adequacy ratio (CAR) was introduce to

68
strengthen the ability of banks to absorb laws and the ratio as subsequently been raised from
8%-9%. It is proposed to like CAR to 12% by 2004 based on the basic committee
recommendation.

Retail banking is the new mantra in the banking sector the home loan alone account for nearly
two- third of the total retail portfolio of the bank. According to the 1 estimate the retail
segment is expected to grow at 30% to 40% in coming year. Net banking, phone banking,
mobile banking, ATMs and bill are the new buzz words that banks are using to lure customer,
with a view to provide an insist on AXIS.

Mechanism for sharing of information on borrower/potential borrower by the banks and

financial insist AXIS on the credit information bureau India limited (cibil) was set up in
august 2000.The bureau provide the framework for collecting, processing and sharing credit
information on borrower of credit insist on AXIS, SBI and HBSE is the prometer of the
CIBIL.

The RBI is now planning to transfer of its strikes in the SBI, NBH and national bank for
agriculture, and rural development to the private players. Also, the govt. has thought to lower
its holding in PSBs to a minimum of 33% of total capital by following them to raise capital
from market.

With the emerge trend of globalization and privatization the look of Indian economy has
taken new dimensions. There are more possibilities of inward and outward souring at capital,
labor and technology. Indian export and job opportunity has tremendously increased. This
new look of economy has raised the demand for better banking facilities for corporate and
there staff member.

There is a great opportunity to established long-term relationship bulk of people. AXIS bank
is one of these financial institutes, which has given new vision to these offers. While going
through the project I have come across with this offer and made a study on the account
services offered in quota city by AXIS bank.

At last I concluded the study on the basis of finding and analysis of the survey. Most of
existing customers of account holder were satisfied with the facilities provided by the banks.
Besides it account holders are also interested to know more about the other product like
demat, credit card, home loan etc. But the lack of qualified marketing executives sales
persons, the proper presentation is not going to the potential customer, so the other banks,

69
who having qualified marketing executive grab the opportunity of market so some more
effort should be done to grab the opportunity.

BIBLOGRAPHY

70
BOOKS REFFERED:

Management of Indian Financial Institutions R.M Srivastava

Marketing Research Thomas Kinnear

(An applied approach) & James R.Taylor

Research Methodology C.R Kothari

Marketing Management Philip Kotlar

Marketing Research Harper W. Boyd, jr.

Ralph West Fall

Stanley F.Stasch

Service Marketing Ram Pal

Marketing of Services Love Look

WEB SITES REFERED

 WWW.ICICI.COM

 WWW.AXIS.COM

 WWW.GOOGLE.COM

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