Banking Operations in Axis Banks
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Transcript of Banking Operations in Axis Banks
A
Project Study REPORT
ON
Training Undertaken at
AXIS BANK
“BANKING OPERATIONS IN AXIS BANK”
Submitted in partial fulfillment for the
Award of
Mba
2
Submitted By: - Submitted To: -
xxxxxxxxxxxx Dr.
mba Part II (Sem III) H.O.D.
Deepshikha College of Technical Education, Jaipur2009-2011
CERTIFICATE
3
DECLARATION
xxxxxxxx S/O Mr xxxxxx declares that the project
report Titled ” Banking Operations In Axis Bank “
is based on my project study. This project report is my original work and
this has not been used for any purpose anywhere.
4
xxxxxx
Mba IIIRD SEM
Preface/Prelude
The PGDM Curriculum has been designed to provide to the future Manager’s
ample practical exposure to the business world. The training is necessary part for the
fulfillment of the PGDM degree course helps the students to gain knowledge about
various aspects to the industry, emphasizing on the development of skills in analyzing
and interpreting practical problem through application of concept & theory.
My training in Axis Bank, Jaipur was an attempt in this regard. The project work
provided to me was “Banking Operations In Axis Bank”. It has helped me to enhance my
knowledge about the functions of the industry.
Axis Bank is today one of the most competitive & profitable banking franchise in
India as can be clearly depicted by the analysis of its portfolio of banking services. The
bank has launched several for various categories of consumers to enhance its deposit
mix. This project deals with this aspect especially with the saving account features.
The report has been prepaid and is presented under various heading as introduction,
organization profile, research objective & scope of research project etc.
I tried my best to explore the truth in our project for understanding practical way of
working.
5
6
Acknowledgement
I express my sincere thanks to my project guide, Mr. Deepak Jain , of Axis bank., for
guiding me right from the inception till the successful completion of the project. I sincerely
acknowledge him/her/them for extending their valuable guidance, support for literature,
critical reviews of project and the report and above all the moral support he/she/they had
provided to me with all stages of this project.
I would also like to thank the supporting staff of all the company Department,
especially for the Mr. Jitendra virahyas for their help and cooperation throughout our
project.
(xxxxxx)
7
Executive Summary
The banking sector in India has become very much competitive in last few years with
the increasing growth of private and public sector banks. Day by day the competition is
most stringent and crucial.
I undertook training in AXIS bank limited Kota for profiling to understanding the
banking operation and marketing its product.
AXIS bank was established in and is working with larger assets side in private sector
banks. The quality of service is best among competitor.
I concluded the survey to get the information regarding the new potential salary
accounts and saving accounts relations and satisfactions level of existing salary accounts
and saving accounts for cross sale of other products. The satisfaction amount the existing
salary accounts holders and the saving account holders of AXIS bank was revealed most of
the aspects were at the satisfactory level. A majority was satisfied with the facility provided,
services, products, working hours, communication process and technology. Regarding
some factor, customer wants some modification in the provided facilities so they can give
suggestions to make them according to their expectations.
As a conscious strategy of building an organic growth engine during the year, the
bank continued to expand its distribution network, in both domestic and overseas
geographies, to enlarge its reach and accelerate its business momentum. The Bank has
developed a branch network, which is built on customer-convenience and service, helping it
particularly in the acquisition of low cost retail deposits, retail assets, lending to agriculture,
SME and mid- corporate and facilitating the cross-selling of third-party products. Various
products and services offered by a bank need continuous up gradation through customer
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TABLE OF CONTENTS
1) INTRODUCTION TO THE INDUSTRY……………… …..………………
2) INTRODUCTION TO THE ORGANIZATION……………….……………
3) RESEARCH METHODOLOGY……………………………….…………....
3.1) TITLE OF THE STUDY……………………………………………..
3.2) DURATION OF THE PROJECT…………………………………...
3.3) OBJECTIVE OF STUDY…………………………………………...
3.4) TYPE OF RESEARCH ……………………………………………..
3.5) SAMPLE SIZE AND METHOD OF SELECTING SAMPLE…….,
3.6) SCOPE OF STUDY…………………………………………………
3.7) LIMITATION OF THE STUDY……………………………………..
4) FACTS AND FINDINGS……………………………………………………….
5) ANALYSIS………………………………………………………………………
6) SWOT……………………………………………………………………………
7) CONCLUSION……………………………………………………………………
8) RECOMMENDATION AND SUGGESTIONS………………………………..
9) APPENDIX………………………………………………………………………
10) BIBLIOGRAPHY………………………………………………………………
9
1. INTRODUCTION TO THE INDUSTRY
Banking in India originated in the first decade of 18th century. The first banks
were The General Bank of India, which started in 1786, and Bank of Hindustan, both
of which are now defunct. The oldest bank in existence in India is the State Bank of
India, which originated in the “The Bank of Bengal” in Calcutta in June 1806. This
was one of the three presidency banks, the other two being the Bank of Bombay and
the Bank of Madras. The presidency banks were established under charters from the
British East India Company. They merged in 1925 to form the Imperial Bank of India,
which, upon India’ independence, became the State Bank of India. For many year
the Presidency banks acted as quasi-central banks, as did their successors. The
Reserve Bank of India formally took on the responsibility of regulating the Indian
banking sector from 1935; After India’s independence in 1947, Reserve Bank was
nationalized and given broader powers.
The reserve bank 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 topic sector banks (PBS), 31
private sector, 42 foreign banks and 196 regional rural bank. Also there are 67
schedule cooperative banks consisting of 51 scheduled urban cooperative banks
and 16 schedule state cooperative banks. Schedule commercial banks touched on
the growth was 14.5 % against 17.3 % of the earlier year.
10
State bank of India is still the largest bank in India with the market share of 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 of
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
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 sectors 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 payments are the new buzz
words that banks are using to lure customers.
The RBI is now planning to transfer of its strkes in the SBI, NBH and national
bank for agriculture And rural development to the private players. Also, the
government has thought to lower its holding in PSBs to a minimum of 33% of total
capital by following them to raise capital from market Bank are free to acquire
shares, convertible debentures of corporate and unite of equity oriented mutual finds,
subject to a ceiling of 5% of the total outstanding advance (including commercial
papers) as on march 31st of the previous year.
The finance ministry split out structure of the government sponsored ARC
called the assets reconstruction company (India) LTD (ARCIL), this pilot project of
the ministry would have way for smoother functioning of the credit market in the
country. The government will hold 49% stake and player will hold the rest 51%. The
AXIS bank holds around 10%.
11
BANKING IN INDIA:
Without a sound and effective banking system in India it cannot have a
healthy economy. The banking system of India should not only be hassle free but it
should be able to meet new challenges posed by the technology and any other
external and internal factors. For the past three decades India's banking system has
several outstanding achievements to its credit.
The most striking is its extensive reach. It is no longer confined to only
metropolitans or cosmopolitans in India. In fact, Indian banking system has reached
even to the remote corners of the country. This is one of the main reasons of India's
growth process.
1.1 EARLY HISTORY
The first fully Indian owned bank was Allahabad Bank, established in 1865.
However, at eh end of late – 18th century, there were hardly any banks in India in the
modern sense of the term. The American Civil War stopped the supply the supply of
cotton to Lancashire from the Confederate States. Promoters opened banks to
finance trading in Indian cotton. With large exposure to speculative ventures, most of
the banks opened in India during that period failed.
The depositors lost money and lost interest in keeping deposits with banks.
Subsequently, banking in India remained the exclusive domain of Europeans for next
several decades until the beginning of the 20th century.
Foreign banks too stated to arrive, particularly, in Calcutta, in the 1860s. The
Composite d’Escompte de Paris opened a branch in Calcutta in 1860, and another in
Bombay in 1862; branches in madras and Pondichery, then a French colony,
followed, Calcutta was the most active trading port in India, mainly due to the trade of
the British Empire, and so became a banking center. The Bank of Bengal, which
later became the State Bank of India.
12
Around the turn of the 20th century, the Indian economy was passing through
a relative period of stability. Around five decades had elapsed since the Indian
Mutiny, and the social, industrial and other infrastructure had improved. Indians has
established small banks, most of which served particular ethnic and religious
communities.
The presidency banks dominated banking in India. There were also some
exchange banks and a number of Indian joint stock banks. All these banks operated
in different segments of the economy.
The exchange banks, mostly owned by Europeans, concentrated on financing
foreign trade. Indian joint stocks banks were generally undercapitalized and lacked
the experience and maturity to compete with the presidency and exchange banks.
This segmentation let Lord Cruzan to observe, “In respect of banking it seems
we are behind the times. We are like some old fashioned sailing ship, divided by
solid wooden bulkheads into separate and cumbersome compartments.”
By the 1900s, the market expanded with the establishment of banks such as
Punjab National Bank, in 1895 in Lahore and Bank of India in 1906, Mumbai – both
of which were founded under private ownership. Punjab National Bank is the first
Swadeshi Bank founded by the leaders like Lala Lajpat Rai, Sardar Dyal Singh
Majithia.
The Swadeshi movement in particular inspired local businessmen and
political figures to found banks of and for the Indian community. A number of banks
established then have survived to the present such as Bank of India, Corporation
Bank, Indian, Bank of Baroda, Canara Bank and Central Bank of India.
13
The first bank in India, though conservative, was established in 1786. From
1786 till today, the journey of Indian Banking System can be segregated into three
distinct phases. They are as mentioned below:
PHASE I - Early phase from 1786 to 1969 of Indian Banks
PHASE II - Nationalization of Indian Banks and up to 1991
PHASE III - Indian Financial & Banking Sector Reforms after 1991.
PHASE I:
The General Bank of India was set up in the year 1786. Next came Bank of
Hindustan and Bengal Bank. The East India Company established Bank of Bengal (1809),
Bank of Bombay (1840) and Bank of Madras (1843) as independent units and called it
Presidency Banks. These three banks were amalgamated in 1920 and Imperial Bank of
India was established which started as private shareholders banks, mostly Europeans
shareholders. During the first phase the growth was very slow and banks also experienced
periodic failures between 1913 and 1948.
There were approximately 1100 banks, mostly small. To streamline the functioning
and activities of commercial banks, the Government of India came up with The Banking
Companies Act, 1949 which was later changed to Banking Regulation Act 1949 as per
amending Act of 1965 (Act No. 23 of 1965).
Reserve Bank of India was vested with extensive powers for the supervision of
banking in India as the Central Banking Authority. During those day’s public has lesser
confidence in the banks. As an aftermath deposit mobilization was slow. Abreast of it the
savings 5 bank facility provided by the Postal department was comparatively safer.
Moreover, funds were largely given to the traders.
14
PHASE II:
Government took major steps in this Indian Banking Sector Reform after
independence. In 1955, it nationalized Imperial Bank of India with extensive banking
facilities on a large scale especially in rural and semi-urban areas.
Second phase of nationalization Indian Banking Sector Reform was carried out in
1980 with seven more banks. This step brought 80% of the banking segment in India under
Government ownership. The following are the steps taken by the Government of India to
Regulate Banking Institutions in the Country:
1949: Enactment of Banking Regulation Act.
1955: Nationalization of State Bank of India.
1959: Nationalization of SBI subsidiaries.
1961: Insurance cover extended to deposits.
1969: Nationalization of 14 major banks.
1971: Creation of credit guarantee corporation.
1975: Creation of regional rural banks.
1980: Nationalization of seven banks with deposits over 200 crore.
After the nationalization of banks, the branches of the public sector bank India raised
to approximately 800% in deposits and advances took a huge jump by 11,000%.Banking in
the sunshine of Government ownership gave the public implicit faith and immense
confidence about the sustainability of these institutions.
15
PHASE III
This phase has introduced many more products and facilities in the banking sector in
its reforms measure. In 1991, under the chairmanship of M Narasimham, a committee was
set up by his name which worked for the liberalisation of banking practices.
The country is flooded with foreign banks and their ATM stations.
Efforts are being put to give a satisfactory service to customers. Phone banking and
net banking is introduced. The entire system 6 became more convenient and swift. The
financial system of India has shown a great deal of resilience.
It is sheltered from any crisis triggered by any external macroeconomics shock as
other East Asian Countries suffered.
This is all due to a flexible exchange rate regime, the foreign reserves are high, the
capital account is not yet fully convertible, and banks and their customers have limited
foreign exchange exposure.
16
NATIONALIZED BANKS IN IDNA
Banking System in India is dominated by nationalized banks. The nationalization of
banks in India took place in 1969 by Mrs. Indira Gandhi the then prime minister. The major
objective behind nationalization was to spread banking infrastructure in rural areas and
make available cheap finance to Indian farmers. Fourteen banks were nationalized in 1969.
Before 1969, State of India (SBI) was only public sector bank in India. SBI was
nationalized in 1955 under the SBI Act of 1955. The second phase of nationalization of
Indian banks took place in the year 1980. Seven more banks were nationalized with
deposits over 200 crores
List of Public Sector Banks in India is as follows :
Allahabad Bank
Andhra Bank
Bank of Baroda
Bank of India
Bank of Maharashtra
Canara Bank
Central Bank of India
Corporation Bank
Dena Bank
Indian Bank
Indian Overseas Bank
Oriental Bank of Commerce
Punjab and Sind Bank
17
Punjab National Bank
State Bank of Bikaner and Jaipur
State Bank of Hyderabad
State Bank of India (SBI)
State Bank of Indore
State Bank of Mysore
State Bank of Patiala
State Bank of Saurashtra
State Bank of Travancore
Syndicate Bank
UCO Bank
Union Bank of India
United Bank of India s
Vijaya Bank
PRIVATE BANKS
All the banks in India were earlier private banks. They were founded in the pre-
independence era to cater to the banking needs of the people. But after nationalization of
banks in 1969 public sector banks came to occupy dominant role in the banking structure.
Private sector banking in India received a fillip in 1994 when Reserve Bank of India
encouraged setting up to private banks as part of its policy of liberalization of the Indian
Banking Industry. Housing Development Finance Corporation Limited (HDFC) was amongst
18
the first to receive an ‘In principle’ approval from the Reserve Bank of India (RBI) to set up a
bank in the private sector.
Private Banks have played a major role in the development of Indian banking
industry. They have made banking more efficient and customer friendly. In the process they
have jolted public sector banks out of complacency and forced them to become more
competitive.
Major Private Banks of India
Bank of Rajasthan
Bharat Overseas Bank
Axis Bank
Catholic Syrian Bank
Centurion Bank of Punjab
Dhanalakshmi Bank
Federal Bank
HDFC Bank
ICICI Bank
IDBI Bank
Indusind Bank
ING Vysya Bank
Jammu & Kashmir Bank
19
Karnataka Bank
Karur Vysya Bank
Kotak Mahindra Bank
SBI Commercial and International Bank
South Indian Bank
United Western Bank
UTI Bank
YES Bank
2. INTRODUCTION TO THE ORGANIZATION
20
UNIT : AXIS BANK LIMITED
Plot No. 17 to 24, Vithalrao Nagar, Madhapur, Hyderabad – 500 081
Tel. No. : 040 – 23420815 to 23420824 Fax No. : 040-23420814
Registered Office
‘Trishul’, 3rd Floor, Opp. Samartheshwar Temple, Law Garden,
Ellis Bridge,
Ahmedabad – 380 006. Tel No. : 079 – 2640 9322 Fax No. : 079 – 2640 9321
Email : [email protected]/[email protected]
Web site : www.axisbank.com
Central Office
Maker Towers ‘F’, 13th Floor, Cuffed Parade, Colaba, Mumbai – 005.
Tel. No. : 022 – 67074407 Fax No. : 022 – 2218 6944/2218 1429
AXIS Bank was the first of the new private banks to have begun operations in
1994, after the Government of India allowed new private banks to be established.
AXIS, the largest mutual fund in India, Life Insurance Corporation of India (LIC) and
General Insurance Corporation Ltd. and its four subsidiaries viz. promoted the Bank
jointly National Insurance Company Ltd., The New India Assurance Company, The
Oriental Insurance Corporation and United Insurance Company Ltd.
21
The Bank today is capitalized to the extent of Rs. 230.88 Crore with the
public holding (other than promoters) at 45.63%.
The Bank's Registered Office is at Ahamdabad and its Central Office is
located at Mumbai. Presently the Bank has a very wide network of more than 200
branch offices and Extension Counters.
The Bank has a network of over 2010 ATMs providing 24hrs a day banking
convenience to its customers. This is one of the largest ATM networks in the country.
The Bank has strengths in both retail and corporate banking and is committed
to adopting the best industry practices internationally in order to achieve excellence
COMPANY PROFILE: AXIS BANK
Axis Bank India, the first bank to begin operations as new private banks in 1994 after
the Government of India allowed new private banks to be established. Axis Bank was jointly
promoted by the Administrator of the specified undertaking of the
Unit Trust of India (UTI-I)
Life Insurance Corporation of India (LIC)
General Insurance Corporation Ltd.22
Also with associates viz. National Insurance Company Ltd., The New India
Assurance Company, The Oriental Insurance Corporation and United Insurance Company
Ltd.
Axis Bank in India today is capitalised with Rs. 232.86 Crores with 47.50% public
holding other than promoters. It has more than 200 branch offices and Extension Counters
in the country with over 1250 Axis Bank ATM proving to be one of the largest ATM
networks in the country. Axis Bank India commits to adopt the best industry practices
internationally to achieve excellence.
Axis Bank has strengths in retail as well as corporate banking. By the end of
December 2004, Axis Bank in India had over 2.7 million debit cards. This is the first bank in
India to offer the AT PAR Cheque facility, without any charges, to all its Savings Bank
customers in all the places across the country where it has presence. With the AT PAR
cheque facility, customers can make cheque payments to any beneficiary at any of its
existence place.
The ceiling per instrument is Rs. 50,000/-.The latest offerings of the bank along with
Dollar variant is the Euro and Pound Sterling variants of the International Travel
Currency Card. The Travel Currency Card is a signature based pre-paid travel card which
enables traveler’s global access to their money in local currency of the visiting country in a
safe and convenient way.
The Bank has strengths in both retail and corporate banking and is committed to
adopting the best industry practices internationally in order to achieve excellence
Vision
To be the preferred brand for total financial banking solAXISons for both
corporate and individuals
Mission
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• To identify and support initiative, which are designed to improve the capacity of
the poorest of the poor to participate in the larger economy.
• These initiatives much be east effective, capital of large scale replications
and should have the potential for both near and long term impact.
• To leverage technology in orders to overcome constraints and enhanced the
effectiveness of various social initiatives.
• Customer Service and Product Innovation tuned to diverse needs of individual
and corporate clientele.
• Continuous technology up gradation while maintaining human values.
• Progressive globalization and achieving international standards.
• Efficiency and effectiveness built on ethical practices
Mission
Customer service and product innovation tuned to diverse needs of individual
and corporate clientele.
Continuous technology up gradating while maintaining human values.
Progressive globalization and achieving international standards.
Efficiency and effectiveness built on ethical practices.
24
Customer Satisfaction through providing quality service effectively and
efficiently.
Core Values
“Smile, it enhances An individual’s face value” is a service quality stressed on
Periodic Customer Service Audits.
Maximization of Stakeholder value.
Success through Teamwork, Integrity and People.
BOARD OF DIRECTORS
Sikha Sharma Chairman & Chief Executive Officer
Surendra Singh Director
N. C. Singhal Director
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A. T. Pammor Selvam Director
J. R. Verma Director
R. H. Patil Director
Rama Bijapurkar Director
R. B. L. Vaish Director
M. V. Subbiah Director
Ramesh Ramanathan Director
K. N. Prithviraj Director
P. J. Oza Company Secretary
M/s S. R. Batilobi & Co. Auditors Chartered Accountants
M/s. Kervy Computer share Private Registrar and Share Transfer Agent
Limited
PRODUCT AND SERVICES
PRODUCT
Deposits (saving account and current account)
Loans
26
BANACASSURANCE
Cards
Services
ATM
Mobile Banking
Internet Banking
Payments
Other Services
27
SAVING ACCOUNTS
The Bank has launched customized saving account products for various categories
of customers – Senior Citizens, Students & Trusts/NGOs besides a very competitive
offering in the Salary Account category.
Easy Access Saving Account (Banking made easy)
The account is an endeavor by the Bank to understand the consumers’ needs and
redefine banking to suit an individual requirement for a truly comfortable banking
experience. Easy Access Saving Account gives an individual instant access to individual
money anywhere, anytime. Possessing a range of unmatched features, it has been devised
to better suit the convenience of Axis Bank’s eclectic client base.
Features
Interest paid on a quarterly basis @ 3.5% per annum.
International Debit Card.
Tele-banking
IConnectTM Internet Banking
Multi-city ‘At par’ cheque book for all Savings Accounts holders
Free Anywhere Banking facility
Auto sweep facility for excess balances into high interest earning term deposits
Quarterly statement of account.
Access to account information over iconnect, Tele-banking and ATMs
28
An individual can avail of all these services with a minimum quarterly average
balance of Rs. 5,000 in metro or urban centers, and 2,500 in semi urban centers.
Senior Privilege (Because life begins at sixty)
Features
Dedicated Relationship Managers
Free At-Par Chequebook
Free International VISA Debit Cards for primary and joint account holders
Free Monthly Statement of Accounts and Free Passbook
Free Insurance of Pay Orders or Demand Drafts drawn on Axis Bank Branches
Free Inward Remittances
Free Outward Remittances once a year
Faster credits to foreign cheques providing An individual prompt availability of funds
Remitted by An individuals near and dear ones abroad
Cheque pickup and Cash delivery services
Anywhere Banking
Telebanking
Free Mobile Banking
IConnect
29
Customized Load Offerings
Complimentary Financial Planning
Silver Health – Medical Insurance for Senior Citizens
(AQB Criteria : Rs. 10,00)
30
Smart Privilege Account ( For the woman of today)
In today’s busy world it’s tough being a workingwoman. Right from shutting between
a job and family to taking care of her finances she has to be on her heels all the time.
Keeping this ideal in mind, we at Axis Bank have designed a savings accounts best suited
for the woman of today. Now with the Smart Privilege Account a Woman can manage her
money, her life and enjoy a host of lifestyle privileges as well. What’s interesting is that the
Smart Privilege Account ensures that a Woman have enough time for all those important
things in life.
Features
Jewellery Insurance on Debit Card
Zero Balance Minor Account
At-par cheque facility
Monthly Account Statement
Additional discounts on loans
Iconnect TM
Financial Advisory Services
Discount on Retail Purchases
31
Trust/NGO Savings Account (Thoughtful banking for people who spend their lives
thinking of others)
Axis Bank’s Trust Account is an effort to offer thoughtful banking for people who
spend their lives thinking of others. It is a complete banking solution for Trust, Associations,
Societies, Government Bodies, Section 25 companies and NGOs, so that the organizations
can devote all of their time to their noble motivations.
Features
A Savings Account for individual’s Trust with a confessional Average Quarterly
Balance,
A multi-city at-par cheque facility with no limit on clearing payments at centers
across the country wherever we are present.
Free Anywhere Banking across all Axis Bank’s Branches and Extension Counters
and over all Axis Bank’s ATMs.
Free Demand Drafts or Pay Orders as and when required by An individual to remit
funds.
Free collection of cheques at outstation locations.
Monthly Statement of Account delivered at An individual’s doorstep.
Facility for collecting donations in An individual’s account through Axis Bank’s
network of Branches and Extension Counters across the country, as well as
through iConnect – Axis Bank’s Internet Banking facility.
Monthly statement of account
Free internet Banking facility
Free Demat Account
32
Assistance for Foreign Contribution (Regulation) Act accounts for receiving
donations from abroad.
Free Collection of cheques
Doorstep banking services
Zero Balance Savings Account (Save at Zero)
Presenting, Axis Bank’s Zero Balance Savings Account. It has been Axis Bank’s
constant endeavor to create products specifically catering to An individual’s needs. The
account while offering an individual a whole range of services also addresses an
individual’s latent need of having an account without the hassle of maintaining an
average quarterly balance.
Features
No Average Quarterly Balance requirement
Free International Debit Card with an Accidental Insurance cover up to Rs 2
Lakhs (Charges for the primary holder are waived)
Free mobile banking facility
Access through more than 675 branches and more than 2800 ATMs
At-par cheque facility with the clearing limit of Rs 50,000
24X7 Telebanking & Internet banking
Free quarterly statements
Salary Power ( The complete financial solution)
Salary Savings Account from Axis Bank will do the job for an individual. We know ho
important employee satisfaction is for an organization to grow to its full potential. Which is
33
why we have tailored Axis Bank’s Salary Savings Account not only to be a convenient may
for An individual to manage salaries (across various centers, through Axis Bank’s
centralized database), but also provide an individual employees with a range of value
added benefits.
Salary Saving Account comes with a host of facilities that give an individual
employees access to the complete gamut of banning services (including overdrafts, loans
and zero-balance requirements) on a preferential basis. Making it the perfect incentive for
an individual employees.
Features
1 Balance Requirement No minimum balance
2 Anywhere Banking Available across the country
3 Cheque books Multi-city at-par Cheque Book
4 International Debit cum ATM
Card
Personal Accident Insurance Cover of Up
to Rs 2 lacks per cardholder
[to keep An individual’s personal accident
Insurance cover activated, An individual
should Have made a purchase transaction
in 365 days prior to the day of the incident
& should have maintained an average
quarterly balance of Rs 5,000 (urban &
metropolitan branches) or Rs 2,500 (rural
& semi-urban branches) as the case may
be in the two quarters before the date of
the incident.]*
Cash withdrawal of up to Rs. 25000 daily
Purchase protection and Zero Card
liability
Accepted at more than 1 million ATMs and
more than 26 million Point of Sale 34
terminals worldwide
5 Computerized Statements Free on a quarterly basis
Free monthly statements on email
(Customer has to register for internet
Banking)
6 Joint Account Facility Available
7 Flexi (2-in-1) Encase Available subject to terms and conditions
Deposits*
8 Demand Drafts Free Demand Drafts drawn on Axis Bank
Branches
9 Overdraft facility Up to 50% of net salary at Personal Loan
rates*
10 Outstation Cheques Free collection, only out-of pocket expenses
to be recovered
11 De mat Account Available
12 Financial Advisory Services Available
13 Poer Loaned * Power Homes – Housing Loans
Personal Power – Personal Loans
Study Power – Educational Loans
Consumer Power – Consumer Loans
Power Drive – Vehicle Loans
14 Optional Gold Debit Card Access to any Bank ATM
15 Credit Cards Available
16 Online Trading Available
17 Built-in Insurance (Medical
and Burglary) scheme
Unique facility of availing Insurance option in
built in the account Available
18 Built-in SIP scheme Unique facility of availing SIP option in built
in the account Available
19 Internet Banking Available as iConnect with enhanced
35
features like free bill payments (e.g.,
electricity bills) and electronic payment of
premiums (LIC – Insurance Premium) at
select centers. Online shopping and E-
Brokering.
20 Telebanking Free (available for 24 hr Axis Bank’s at
select centers)
21 Mobile Banking Available
22 Nomination Facility Available
23 Funds Transfer Transfer funds from An individual’s Salary
Power account to any bank account in India
free of charge
24 Meal Card The best substitute for the traditional
Sodexo/Accor Meal coupons/vouchers.
25 Gift Card Prepaid, Rupee Denominated, Non Reload
able card – Ideal for gifting.
Power Salute (Salute to the defense forces)
Defense Salary Account from Axis Bank is a product designed keeping in mind how
though a life in the Defense Forces is. Not only does it come to An individual absolutely
free, no minimum balance is required either. An individual can access the entire Axis Bank
network, including more than 2300 ATMs and 550 branch offices (and growing) no matter
where An individual are posted.
With the complete gamut of banking services (including overdrafts, loans and zero-
balance requirements) an individual can now rest assured about his family and all their
financial needs. It’s Axis Bank’s way of showing Axis Bank’s appreciation to An individual’s
work.
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Features
1 Balance Requirement No minimum balance
2 Anywhere Banking Available across the country
3 Cheque books Multi-city at-par Cheque Book
4 International Debit cum ATM
Card
Personal Accident Insurance Cover of Up to
Rs 2 lacks per cardholder
[to keep An individual’s personal accident
Insurance cover activated, An individual
should Have made a purchase transaction in
365 days prior to the day of the incident &
should have maintained an average
quarterly balance of Rs 5,000 (urban &
metropolitan branches) or Rs 2,500 (rural &
semi-urban branches) as the case may be in
the two quarters before the date of the
incident.]*
Cash withdrawal of up to Rs. 25000 daily
Purchase protection and Zero Card liability
Accepted at more than 1 million ATMs and
more than 26 million Point of Sale terminals
worldwide
5 Computerized Statements Free on a quarterly basis
Free monthly statements on email
(Customer has to register for internet
Banking)
6 Joint Account Facility Available
7 Flexi (2-in-1) Encase Available subject to terms and conditions
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Deposits*
8 Demand Drafts Free Demand Drafts drawn on Axis Bank
Branches
9 Overdraft facility Up to 50% of net salary at Personal Loan
rates*
10 Outstation Cheques Free collection, only out-of pocket expenses to
be recovered
11 De mat Account Available
12 Financial Advisory Services Available
13 Poer Loaned * Power Homes – Housing Loans
Personal Power – Personal Loans
Study Power – Educational Loans
Consumer Power – Consumer Loans
Power Drive – Vehicle Loans
14 Optional Gold Debit Card Access to any Bank ATM
15 Credit Cards Available
16 Online Trading Available
17 Built-in Insurance (Medical
and Burglary) scheme
Unique facility of availing Insurance option in
built in the account Available
18 Built-in SIP scheme Unique facility of availing SIP option in built in
the account Available
19 Internet Banking Available as iConnect with enhanced features
like free bill payments (e.g., electricity bills) and
electronic payment of premiums (LIC –
Insurance Premium) at select centers. Online
shopping and E-Brokering.
20 Telebanking Free (available for 24 hr Axis Bank’s at select
centers)
21 Mobile Banking Available
22 Nomination Facility Available
38
23 Funds Transfer Transfer funds from An individual’s Salary
Power account to any bank account in India
free of charge
24 Meal Card The best substitute for the traditional
Sodexo/Accor Meal coupons/vouchers.
25 Gift Card Prepaid, Rupee Denominated, Non Reload
able card – Ideal for gifting.
Azaadi – No Frills Account (Basic banking with zero balance)
A savings account that doesn’t require a minimum balance. Experience a host of
unparalleled features and heightened convenience with Azaado Accont.
Feature
Zero Balance Savings Account : No need to maintain a fixed, mandatory amount in
an individual’s account..
Instant Welcome Kit : Handed over to An individual at the time of account opening,
the kit will consist of an individual’s account number, debit card, debit card PIN,
internet banking PIN and phone banking PIN numbers.
International Debit Card : Which gives an individual access to over 1,800 ATMs
across the country, enabling an individual to make deposits or withdraw cash at
anytime of the day of night.
Phone Banking and Internet Banking : An individual can conveniently check An
individual’s balance, transaction details etc. anytime from anywhere over telephone
or using the internet, for no extra charge.
39
SPECIAL SCHEME FOR SAVINGS BANK ACCOUNT
Saving account for students
Features :
Minimum average quarterly balance (AQB) of Rs. 500.
Free international Debit Card.
Quarterly statement of account.
Tele- banking
IConnect Internet Banking
Savings account for Demat customers
Features :
Minimum average quarterly balance (AQB) of Rs. 500.
Free international Debit Card.
Quarterly statement of account.
Tele- banking
IconnectTM Internet Banking
40
Priority Banking – Resident
In a segmentation study undertaken in 2002, it was found that 2.72 % of Axis Bank’s
retail customers contribute to nearly 49.05% of Axis Bank’s total retail deposits.
The clients that bring a larger share of business to the Bank expect a differentiated
standard of service. This also makes business sense, as more often than not, most of the
business in a particular branch flows from a handful of clients. Hence, Priority Banking was
launched in order to cater to the needs of the high net worth customers within the bank.
The product has at its core, the idea of providing a certain bit of differentiation in
service and treatment to a segment of its customers with a view towards customer
retention, acquisition and cross selling. The nucleus of these services has essentially four
important components
Personalized service
Investment advisory Services
Prefential pricing of banking products/services
Lifestyle privileges.
Most of Banks, private as well as foreign, offer a specialized banking service to their
elite customers. The definition of the value of relationship and services offered differs
across banks. In general, MNC banks define the HNI segment taking into account the
customers’ liability as well as, assail relationship with the bank (Between 20-30 Lakhs and
above) whereas the Indian private banks only take in the savings bank balances and term
deposits (Between 5-10 Lakhs ans above).
Features
Priority Banking Lounge :
41
As a Priority banking customer an individual will have access to an exclusive ‘Priority
Banking Lounge’ at branches. This will allow an individual to conduct his financial
transactions in utmost comfort and confidentiality through an exclusive Relationship
Manager.
Dedicated Relationship Manager
An individual will enjoy access to a dedicated Relationship Manager who will be his one
point contact at branch for all An his banking transactions thus ensuring that An individual
would neither have to move from one counter to the other nor stand in queues to await his
turn.
Home Banking
Experience the convenience of Axis Bank’s home banking facilities. Avail of free cash and
cheque pick-up delivery at an individual’s or residence.
Exclusive Priority Banking International Debit card
This card allows an individual free access to all VISA ATMs in Idea. The card also comes
with higher ATM withdrawal limits; higher POS transaction limits at merchant
establishments, enhanced insurance over and a host of special discounts and offers. An
individual also get Prefential Interest Rates and lowered Processing Fees on select Retail
Loans.
Investment Privileges
Avail of assistance in financial planning. Investment advice market information reports, and
invitations to investor meets are offered complimentary to an individual.
Lifestyle privileges
However, it’s all about just financial series. We aim to provide a different lifestyle
experience through Lifestyle privileges like exclusive invitations to movie screenings, plays,
music concerns and other special events sponsored by Axis Bank, especially for Axis
Bank’s Priority Banking Customers.
42
Other Banking Privileges
Enjoy a host of banking privileges like free at-par cheques, demand drafts
and pay orders, free passbook updates and monthly statements.
An individual would also be entitled to two free minor accounts, one free
outward remittance per quarter and free Mobile banking.
As a Priority Banking customer, there would be no issuance charge on
Axis Bank’s Travel Currency Card.
Non-Resident (External) NRE Saving Account
Any person resident outside India may open NRE account. This account permits a
NRI to hoed and maintain foreign currency earnings in Indian rupees. The Principal and
interest earned on these balances are freely reportable.
Whether an individual are a student, a professional, a salaried employee or an
entrepreneur, this account will meet all an individual’s banking need.
Features
Low minimum balance requirement of Rs 5,000
‘Multicity’ cheque book which will permit An individual to make payment via
cheque across multiple locations
Mandate or Power of Attorney facility available so that in An individual’s absence
from the country An individual can authorize his relative or friend to operate
conduct banking transactions on his behalf.
Free iConnect: 24 X 7 account access through secure internet banking facility
from anywhere and anytime.
43
Online shopping mall and utility bill payment facility be using Axis Bank’s Internet
based iConnect banking login.
Free personal accident cover of Indian Rupees 2,00,000 on Axis Bank’s Debit
Card (The insurance cover will come in force only after An individual make his
first successful payment transaction at any merchant establishment.)*
Tax Advisory Services from Axis Bank’s empanelled consultants
Saving Account Deposit Interest Rate – 3.5 %
Rates Effective from : Thursday, August 21, 2008
PERIOD INTEREST RATES ON DOMESTIC DEPOSITS (%)
DEPOSITS Interest Rate on
Deposits Below
Rs 15 Lakhs
Interest Rates for
Senior citizen
Interest Rate 15-
50 Lakhs
7 days to 14 days - - 1
15 days to 29 days 3 3 3
30 days to 45 days 4 4 4
46 days to 60 days 5 5 5
61 days to less
than 3 months
5.5 5.5 5.5
3 months to less
than 4 months
6 6 6
4 months to less
than 6 months
6 6 6
6 months to less
than 9 months
7.75 8.5 7.75
9 months to less
than 1 Year
9 9.75 9
1 Year to less than
2 Year
10 10.75 10
44
2 Year to less than
3 Year
9 9.75 9
3 Year to less than
5 Year
8.5 9.25 8.5
5 year upto 10
years
8.5 9.25 8.5
CURRENT ACCOUNT
The basic product for mobilizing such deposits is a Current Account. The Banks
offers a range of current account products to meet the needs of the various customer
segments such as Small Enterprises, Trade, Exproers, Corporate and intuitions. The
various Current Accounts offered by the Bank are:
Normal Current Account
Business Advantage
Business Classic
Business Privilege
Business Global
Channel One (Priority Customers)
These products offer flexibility to customers to choose from the above option with
varying minimum average quarterly balance commitments and charges structure. In
addition to conventional banking facilities, these accounts offer Multi-City At Par payable
cheque – book facility and anywhere Banking facility across offer Multi – city At Par payable
cheque – book facility and any where Banking facility across braches. Customers can
access their account Online through Corporate iConnect, Axis Bank’s Internet banking
platform as also through Tele-Banking facility and can receive account balance information
45
on mobile telephones and electronic mail. Customers are subject to transaction charges
including charges for non-maintenance of the committed balances.
Axis Bank brings different kinds of current accounts for different types of businesses
Select the one that best suits an individual’s business requirements.
Axis Bank’s Current Account came equipped with the following features to give
maximum value for an individual’s money.
TYPE OF CURRENT ACCOUNTS
Normal Current Account
Business Advantage Account
Business Classic Account
Business Privilege Account
Channel One
Current Account for Govt Organizations
Current Account for Banks
Current Account for Builders & Real Estate
Capital Market Current Account
Krishi Current Account46
Business Global Current Account
Club 50 Current Account
Shipping and maritime Current Account
Inland Road Transport Current Account
Travel, Tourism and Hospitality Current Account
Features
Anywhere Banking
Axis Bank’s Current Account allows an individual to bank from all Axis Bank’s
branches and Extension counters. An individual can deposit cash, withdraw cash, deposit
cheque, and issue ‘at-par’ cheques at any of Axis Bank’s branches. So bank at an
individual’s own Convenience.
Instant Fund Transfer
An individual can transfer funds instantly between any of Axis Bank’s branches.
Funds transfers can be affected online, right from An individual’s through Axis Bank’s
internet banking services.
Internet Banking
47
Axis Bank presents corporate iConnect – a unique net Banking platform for the
current account customers. Available with multiply user IDs, depending on an individual’s
needs. Access an individual’s account at any time form anywhere. An individual can
transfer funds to his own accounts or to third party accounts within Axis Bank & Inter Bank
covering over 25,000 branches of various banks. Corporate iConnect also permits
transaction initiation by one user and approval by another. An individual can also excuse
bulk payments like salary and commission across Axis Bank network right form his desktop.
At-Par (Multicity) Chequebook
Enjoy the benefits of Multicity Chequebook with Axis Bank’s current Accounts. An
individual cans issue cheques payable at par at all Axis Bank’s branches across the
country. An individual’s cheques will be treated as local cheques at more than 375 locations
as on January 31, 2008.
ATM or Debit Card
With every Current Account (For proprietary and partnership concerns), An individual
can avail upto 2 ATM cum Debit cards, which allow an individual round the clock access to
his account from any of all Axis Bank’s ATMs all over the country. An individual can
withdraw upto Rs 40,000 a day.
Free Monthly Account Statement
By courier and daily on email.
Mobile Banking
Mobile Banking will enable an individual to bank with Axis Bank through his mobile
phone irrespective of where an individual are.
48
LOANS
PERSONAL POWER
PURPOSE : To meet personal expenses.
Loan Amount :
Minimum Loan amount Rs. 25,000/-
Maximum Loan amount Rs. 105,00,000/- for salaried and Rs. 15,00,000/- for
salaried professionals individuals
Maximum Loan amount Rs 103,00,000/- for self – employed individuals
Maximum Loan amount Rs. 720,500,000/- for Doctors
POWER HOMES
Purpose :
Purchase of a plot of land and Construction of a house thereon
Construction of a house on plot of land already owned
Purchase of a new house / flat
Purchase of old house / flat which is not more than 15 years old (Home Acquisition
loan)
Take – over of existing Housing Loan
Take – over of existing Housing Loan with additional Finance (Top-Up)
Pre – allotment Booking finance
49
Limit: Minimum – Rs 1 lakh & Maximum – Rs. 50 lacs
Margin :
15% in the case of normal product.
25% in the case of Improvement / renovation loans
ASSET POWR (LAP)
Purpose :
Loan against property – Residential premises
Loan against property – Commercial premises
Loan for Purchase of Commercial Property
Take-over of existing Loan
Take – over of existing Housing Loan with additional refinance (Top-Up)
Limit: Minimum – Rs 1 lakh & Maximum – Rs. 150 lacs
Margin : 50% in case of loans against property. (On valuation)
CONSUMER POWER
Purpose : Purchase of new consumer durable item
Loan Amount :
Minimum Loan amount Rs. 25,000, Maximum Loan amount Rs 2,00,000
50
POWER DRIVE
Purpose : Purchase of a new car
Loan Amount :
Cost of Vehicle plus registration & insurance (less stipulated margin)
OR
20 times of net monthly salary in case of salaried persons / equivalent of net annual income
as per latest IT Assessment Order in case of others, Whichever is less.
STUDY POWER
Purpose :
To provide financial support to deserving / meritorious students for pursuing higher
professional/technical education in India and abroad. To be provided to meritorious
students who have obtained admission to career-oriented profession, e.g. medicine,
engineering, management, either at the graduate of post – graduate level. This would cover
studies proposed in domestic or oversees institutions.
Quantum of Loan :
The quantum of finance under the scheme is capped at Rs. 7.5 Lakhs for studies in
India and Rs. 15 lacs for studies abroad, which would cover tuition fees, hostel charges (if
any), cost of books, etc. The minimum amount of loan would be Rs. 50,000/-.
Express Considered for the Loan
Fees payable to college / university / hostel
51
Examination / Library/ Laboratory fees
Purchase of Books / Equipment/ Instruments
Caution / refundable deposits supported by the Institution’s bills/receipts
Travel expenses / passage money for studies abroad
Purchase of computers (when essential for the completion of the course)
Any other expenses required to complete the course, like study tour’s project
work/thesis, etc.
LOAN AGAIST SHARES
Purpose : For personal use
Quantum of Loan :
Maximum loan amount is Rs, 20,00,000/- against pleading of approved scrip’s. We
are offering this facility to individuals only.
TWO WHEELER LOAN
Purpose : To purchase a two wheeler
Quantum of Loan :Minimum Rs, 20,000/- & Maximum Rs 70,000/- we finance 80-85% of
the on road price (Cost of Vehicle + registration + insurance) of the vehicle.
BANCASSURANCE
Bancassurance implies sales of insurance products through the Banking channel,
wherein a Bank enters into a tie up with an insurance company. The Bank would be paid a
commission by the insurance company for each insurance policy sold. This initiative would
help the Bank to boost it’s fee income through commission earned. In turn the insurance
company can effectively tap the Bank’s customer base and utilize the bank’s resources and
infrastructure to maximize its sales. As per IRDA norms, a Bank is permitted to only tie up 52
with 1 insurance company (1 general insurance company and 1 life insurance company) of
each line of business.
In early 2005, AXIS Bank entered a Bancassurance tie up with a leading private
sector insurance player, Bajaj Allianz General Insurance Company Ltd., for sales of non-life
insurance products through all its branches. The formal launch and announcement of the tie
up took place during May 2007. AXIS Bank is yet to enter into a Bancassurance tie up for
life insurance Sales.
As a result of this tie up, a wide range of insurance products have now been made
available through AXIS Bank branches. Insurance is being sold to all segments, viz. retail
customers, SME segment and corporate Customers as well. This partnership is expected to
become one of the major Bancassurance tie-ups in the India n market.
The important non-life products include Health Insurance, Personal Accident
insurance, Households Policy, Motor insurance, Shopkeepers Policy, Office Package
policy, Overseas Travel Insurance, Fire Insurance etc. These are the standardized
insurance products of Bajaj Allianz.
Apart from selling standard Bajaj Allianz policies, AXIS Bank has also launched
4sepcial co-branded general insurance products in association with Bajaj Allianz. These
products would be exclusively sold to AXS Bank’s large retail customer base and shall be
available only though AXIS Bank. These policies offer the customers greater benefits, more
competitive pricing and ease of purchase as compared to the regular insurance policies.
These co-branded are as follows :
Family Health
We offer the customer, the advantage of inuring not just himself but his entire family
with one policy. Axis Bank’s family Health Insurance programmed provides a
comprehensive health Insurance that covers customer, his spouse and 3 dependent
children up to the age of 18 years. Hence the customer does not have to pay multiple
53
premiums to insure all the members, in his family. 30 Hospital Reimbursement:
Reimbursement of An individual’s hospital expenses in case of sudden illness, accidents or
accidents or emergency surgeries. Additional cash benefit for each and every completed
day of hospitalization.
Safe Home
Axis Bank realize the customers need to make their homes as secure in reality, as it
is in their mind, this is why we have launched ‘SAFE HOME’, which provides protection for.
An individual’s property and valuables at the customers home with minimal paperwork
against losses due to fire, allied perils, burglary and larceny.
Safe Guard
Low case personal accident policy, which insures the customer, against risk of
accidental death, add dental permanent total disability and accidental permanent partial
disability.
Smart Advantage
Smart Advantage is a women specific Critical Illness insurance plan that has been
designed for keeping in mind the critical illnesses and other attendant risks that are
especially faced by women. A guaranteed cash sum will be paid in case the insured (i.e.
customer) is diagnosed with a life-threatening illness. The benefit amount under this policy
helps to take care of heavy medical costs for treatment of critical illness. Hence proves
protection from the economic impact of critical illness.
OTHER INSURANCE RETAIL PRODUCTS OFFERED BY AXIS BANK
54
Burglary
Critical illness
Fire and allied perils
Householder
Personal Guard (Personal Accident Policy)
Shopkeepers
Travel Companion (International Travel Insurance) 31
Silver Health (Health Insurance for higher aged customers)
Motor Vehicle Policy
Health Guard (Individual health Insurance product)
Hospital Cash
CARDS
55
The Cards Division in Retail Banking Department is responsible for both the Cards
issuance Business as well as Merchant Acquiring Services. 20
On the issuance side, the Bank has two very strong products viz the interaction Debit
cum ATM Card & the International Travel Currency Card. In FY 05-06, new initiatives from
the Cards Division have been the Visa Gold Debit Card, Rewards Card and the Travel
Currency Card in several new currencies.
THE AXIS BANK DEBIT CARD
The Axis Bank International Debit Card is a VISA Electron/Visa Flag/ Master
Card Unendorsed card and is accepted globally at all VISA / Master Card ATMs and
Merchant Establishments accepting Visa / MasterCard Cards. The Bank has issued more
than 44,00,000 Debit Cards. The Bank issues between 100000-120000 debit cards to its
customers consistently every month.
Features
Lost Card Liability
AXIS Bank Debit Cardholder in insured for risk of loss due to fraudulent use of a lost /
stolen/ missing debit Card. All he needs to do is communicate the loss of An individual’s
Card by calling Axis Bank’s 24 –Axis Bank’s Customer Service Number or Branch (during
working hours)
Purchase Protection
All consumer durable goods purchased using the Debit Card are insured against fire,
natural calamity, burglary, and house – breaking up to 90 days from the date of purchase.
There is a combined limit of Rs. 50,000/- per card for Zero Lost Card Liability and purchase
protection. This limit is Rs. 175,000/- for Gold Debit Card. Personal accident Cover.
In the unfortunate event of loss of life in an accidental mishap, the customer’s beneficiaries
will receive the benefit of accident insurance of up to Rs. 2 Lakhs (Rs 5 Lakhs in case of
56
Gold Debit Card). The Personal Accident Cover comes into force as soon as the Debit Card
is used for a payment transaction at any Merchant Outlet. The Personal accident insurance
covers the debit cardholder and compensates the nominee in the event of accident leading
to death. Sum Insured Rs. 200,000/- Rs 500,000 per cardholder (a cap of same a mount in
the event of multiple card / multiple ac counts per person). The claim settlement procedure
and all the forms / documentation required at the time of claim submission are available
with all Axis Bank’s branches. The customer may also contact 022-55987700 the Debit
Card help line directly. 22
24-HAxis Bank’s Customer Service:
91-22-55987700 for around the clock assistance for AXIS Bank Debit Cardholders.
The Charges relating to the Debit Card are as under
PARTICULARS CHARGESIssuance Charges Rs 95- per Card Annual Fee Rs 100- per Card Card Replacement Charges Rs 95- per Card Duplicate PIN Rs 50- per Card Transactional Charges A) UTI Bank Master Card ATMs No ChargesB) VISA / Master Card ATMs In INDIA I) Cash WithdrawalII) Balance Inquiry ABROADCash Withdrawal Balance Inquiry
Rs. 50/-Rs. 15/-
Rs. 125/-Rs. 25/-
1. The Charges are waived for branches at semi urban and rural centers.
2. The Charges for Current Accounts will be the same as that for SB- NOR
57
3. The Charges for SB-DMT, SB-SPL and SB-STU will be the same as that for
SB-NOR
4. There will be no charges for Debit Cards issued to SB-SPA, SB-PB, SB-TRS
and SB-STF
5. There will be no charges for Cards issued to NRE & NRO Accounts.
6. The Charges are waived for primary card to SB-SAL.
REVENUE DRIVERS
In the absence of any annual fee, the revenue driver for the Bank is the commission
earned @ 1.1% of the transaction amount, when a customer uses his Debit Card at a
merchant outlet. Thus the Challenge is twofold:
Activation of Dormant Cards
Migration of transactions at ATMs (non-revenue earning) to Point of Sale (1.1%)
n the financial year 2005-06 the Bank earned approximately Rs. 11.27 crore from its
Debit Card program. Usage of the Card varies according to age and location. People in the
metros, large towns use the Debit Card because of more awareness and concentration of
ATMs and POS terminals. The highest usage comes from Tier I cities like Mumbai, Delhi,
Kolkata, Chennai, Hyderabad and Bangalore where most merchant outlets have EDCs
(Electronic Data Capture Terminals). Similarly age of the customer also has a bearing on
the usage pattern. Studies show that the Debit Card is used maximum by people in the age
group of 25-45.
New Initiatives 58
a) Remittance Card
The AXIS Bank Remittance Card. Launched is association with Remi2india..com, is
a unique product that has charged the way money is sent across borders. Remitters from
23 different countries including the USA, UK, and Gulf Countries can sent money to India
through the Remittance Card.
The product is available as a delivery mode (other delivery modes being Demand
Drafts/Direct credits to Bank accounts) for remittances made through the Web Portal
www.Remit2india.com. Based on the remitter’s request, we prepare a personalized
Remittance Card for the beneficiary, which is preloaded with the funds remitted to him in
INR. The card is sent in a Welcome Kit to the beneficiary, who has to take it to the nearest
AXIS Bank branch to complete some basic formalities in order to activate his/her card.
Once the card is activated, it works just like a normal ATM-cum-Debit Card, usable as all
VISA ATMs for withdrawing funds and at all VISA enabled POS outlets to pay for
purchases.
Subsequent remittances are directly loaded onto the car5d and provide the
beneficiary with almost instant access to the funds remitted to him. Thus, the product is
primarily aimed at providing a hassle-free and convenient solution to beneficiaries who
receive remittances on a regular basis.
Other features provided to Remittance Card customers are as follows:
Multi-city At Par Chequebook (on request)
No minimum average balance requirement
Enchase facility
Quarterly Interest payment
Daily Cash Withdrawal Limit of Rs. 40,000/-
Daily Cash Withdrawal Limit of Rs. 40,000/-
Free insurance cover comprising of
Purchase protection 59
Zero lost card liability
b) VISA Money Transfer Service
The VISA Money Transfer Service has now mad it possible to send money from an
AXIS Bank account to any of the 28 million VISA cards issued in India.
Eligibility
Sender of Funds : To avail of the VISA Money Transfer Service, the sender of funds needs
to be a holder of either of the following
A bank account with AXIS Bank
Any VISA Card issued by AXIS Bank
A bank account with AXIS Bank
Any VISA Card issued by AXIS Bank
Beneficiary of funds : The beneficiary of the funds should have a VISA Card (debtor Credit,
issued in India). In case the beneficiary VISA Card is linked to more than one bank account,
funds will be transferred to the primary account linked of the card.
Availability
The service has been enabled through all Axis Bank’s ATMs and i-Connect TM
Usage
The VISA money Transfer service can be used for the following
Purposes:
To send money to any of the 23 million VISA Cards anywhere in India.
To pay VISA credit card bills by giving the card number and making a direct
payment.
60
Axis Bank accountholders who hold VISA Electron/VISA FLAG Cards can also
receive money from any other Bank account, subject to that Bank enabling VISA Money
Transfer for its accountholders.
We intend to introduce several additional usage options at a later data like payment
of, utility Bills, School and College Fees, etc. through VISA Money Transfer.
Future initiatives
In FY ’08-09, the Bank plans to launch the Prepaid Corporate Card, which will be
branded as a “Rewards Card”. The product is being almed primarily at corporate for
disbursing commission payments/reimbursements to their agents/distributors/employees.
The Bank is in advanced stage of discussion with several corporate across the country. The
Prepaid Card venture is expected to bring significant revenue income (primarily through fee
income) for the Bank.
SERVICES
ATM
The bank has 1861 ATMs as on 31.03.2006. This includes all Axis Bank’s onsite and
off-site ATMs. All Axis Bank’s ATMs are connected to Axis Bank’s Base 24 ATM switch,
which in turn interacts with Axis Bank’s centralized core banking software for transaction
processing.
The Bank through its ATMs offers the following services “
Banking Services :
Cash Withdrawal, with real time debit to customer’s account
Cash & Cheques Deposit
Balance Inquiry
PIN Charge
61
Other Services :
Mobile Airtime Refill for Hutch, Airtel, Idea, BPL, Cellular, RIM, Tata Tele
Facility for Non UTI bank VISA card holders to refill their Prepaid phones.
Life Insurance Corporation Premium Payment
Bill Payment e.g.: BSNL, MTNL
Funds Transfer (within own accounts)
Online Donations to Trusts & NGOs
Purchase and redemption of UTI Mutual Fund Schemes through the ATM
Strategic Tie-ups for ATM
We have also tied up with Western Railway (Mumbai), Central Railways (Mumbai)
Pantaloons, HPCL, and BPCL for setting up ATMs at their locations.
Almost all costs related to setting up and maintenance of an ATM network is fixed.
Thus, the challenge for the Bank has been to migrate customers to this channel and
develop new streams of revenues from this channel, in order to make the channel viable.
The Bank has achieved tremendous success in this regard. We have been able to migrate
about 90% of all cash disbursement transactions to Axis Bank’s ATMs.
To generate direct revenue from the ATM Channel, the bank has adopted 2
strategies :
ATM Sharing with other banks
New functionalities such as mobile airtime refill, bill payment & mutual fund
sales through which Axis Bank’s bank earns a commission.
62
The Bank has also set up ATM galleries at 3 location. Each of the Gallery has 2
ATMs for the convenience of the customers, information kiosk, a card operated touch-
screen internet kiosk, though which the customers can access their iConnect accounts with
bank and perform their banking transactions such as funds transfer, bill payment, balance
inquiry, etc. A bill payment kiosk has also been set up at this gallery.
The ATM Channel for the bank has been a major customer acquisition tool,
increasingly the channel is being seen as a customer servicing tool and all the new value
added services are part of that initiative.
INTERNET BANKING
Since April 2000, the Internet Banking channel has grown fast to com pelmet the
branch and ATM network. As of March 2006, there are around 20 lakh users of internet
banking, which amounts to more than 50% of Axis Bank’s retail banking savings accounts
customers. Apart from routine functional like balance and transactions lookup, we also
provide a number of value – added services on the internet banking platform. A bride
description of each product is given below:
Bill Payment
The bill payment series on the internet can be classified into three categories:
Presentment of EBPP (Electronic Bill Presentment and Payment).- Under this
type of bill payment, the customer needs to register for each bill. Once registered,
the biller will sent an electronic version of the bill for acceptance and payment.
Direct Payment.- Under this type of bill payment, no bill presentment happens. The
customer is free to select the biller and pay accordingly to his convenience.
Payee : This a variation of direct payment method with the customer creating his
own biller for example, payment of rent to landlord. The landlord’s account details
would typically be entered and payment made on a recurring basis.
Shopping
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A customer with Internet banking access can buy from merchants registered with us
and pay through the direct debit facility on Axis Bank’s website.
MOBILE BANKING
Mobile banking was launched by the bank in October 2004, within the last one and a
half year, the customer base has grown to over five lacs subscribers as of April 2006.
Axis Bank Offers the Automatic Alerts service in mobile banking:
A subscriber is alerted through SMS on the activities in his account with automatic
alerts for every debit in his account of more than Rs. 5,000. Also if the customer is
registered for bill payments, he receives an alert as soon as a bill is presented by the biller
for payment.
Benefits
Safety: Be alerted on any transaction above Rs. 5,000 in an individual’s account so that
action can be initiated promptly in case of any misuse of the account.
Convenience.: Know the status of the account from wherever an individual are.
PAYMENTS
BILL PAY (Fee yourself)
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Axis Bank’s Bill pay service enables an individual to make secure payments from the
comfort of his home or office. So its time to say goodbye to late payment fines, long
queues, lost bills, and commissions paid to local errand boys.
Features
Pay bills without stepping out of your home or office
Link multiple bills to your account
View and pay bills anytime, anywhere
Fast, convenience and hassle-free
ELECTRONIC CLEARING SERVICE
ECS is an electronic clearing system that facilitates paperless credit/ debit
transaction directly linked to an individual’s account and also provides for a faster
method of effecting periodic and repetitive payments
Benefits of ECS (debit)
Through ECS (debit) an individual can pay all his utility bills
(electricity/telephone/mobile bills, credit cards etc.) mutual fund (sip), insurance
premium, loan installment, credit card payments of donation and other bill payments.
DIRECT TAX PAYMENTS
The bank is authorized for Collection of Income or Other Direct Taxed on behalf of
Central Board of Direct Taxes (CBDT) w.e.f. 1 October 2003. The assesses or
taxpayers can pay income or Other Direct Taxes as listed below at 214 authorized
branches of Axis Bank across the country.
Corporation Tax – Tax on Companies and Tax deducted at Source from
Companies
Income Tax
Interest Tax and Expenditure Tax
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Gift Tax
Wealth Tax
Fringe Benefit Tax (FBT)
Securities Transaction Tax (SIT)
Banking cash transaction tax(Bctt)
Other tax deducted or collected at source (TDs or TCS) on salaries on
employees income from fix deposit , vendor payments, rent ,income from game
shows or lottery ,etc.
Any other direct tax including advance tax
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PENSION DISBURSEMENT
CENTRAL CIVIL PENSION DISBURESEMENT
The Bank is authorized by RBI and Central Pension Accounting Office (CPAO) for
disbursement of Central Civil Pension through its 218 authorized branches across the
country. The details towards availing Pension Disbursement Facility from Axis Bank is as
under :-
For existing Pensioners of Central Govt. Departments and Ministries – This facility
can be availed by opening a Pension Payment Savings Bank Account with any
authorized Axis Bank Branch and thereafter following the necessary procedures
prescribed by CPAO for change of Bank for Pension Account for receiving on
drawing pension.
For prospective Pensioners of Central Govt. Departments and Ministries – This
facility can be availed by opening a Pension Payment Savings Bank Account with
any authorized Axis Bank Branch and providing the account details to the pay
Accounts Office (PAO) of the concerned Department of Ministry prior to retirement.
In case of existing Axis Bank customers, the details of the Saving Bank Account with
the Bank need to be provided to the Pay and Accounts Office of the concerned
Department or Ministry prior to retirement.
DEFENCE PENSION DISBURSEMENT
The Bank is authorized by RBI and Ministry of Defense for disbursement of Pension
to Armed Force (Army, Navy and Air Force) personnel through its 151 authorized branches
across the country. The details towards availing Pension Disbursement Facility from Axis
Bank is under.-
For existing Pensioners of Central Govt. Departments and Ministries – This facility
can be availed by opening a Pension Payment Savings Bank Account with any
authorized Axis Bank Branch and thereafter following the necessary procedures
prescribed by CPAO for change of Bank for Pension Account for receiving on
drawing pension.
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For prospective Pensioners of Central Govt. Departments and Ministries – This
facility can be availed by opening a Pension Payment Savings Bank Account with
any authorized Axis Bank Branch and providing the account details to the concerned
Pension Sanctioning Authority or Defense Unit prior to retirement. In case of existing
Axis Bank customers, the details of the Saving Bank Account with the Bank need to
be provided to the Pension Sanctioning Authorities (PSAs) of the concerned Defense
Unit prior to retirement.
OTHER PENSION DISBURSEMENT
The Bank has also received the authorization from RBI and Ministry of
Communications and information Technology for disbursement of Telecom Pension through
its 192 authorized Branches across the country and which shall commence shortly.
OTHER SERVICES
MOBILE REFILL : RECHARGE AT THE ATM
An individual can recharge his mobile talk time at any of our ATMs. He doesn’t even
have to be an Axis Bank customer. All his need is a VISA debit or credit card. If he is an
Axis Bank customer, then he can also use his Axis Bank debit card (both VISA as well as
Master card).
LOCKER (Unmatched protection for your valuables)
A Safe Deposit Liker with Axis Bank is the solution to an individual’s concern.
Located at select branches in cities all over the country, our lockers ensure the safe
keeping of an individual’s valuables.
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Advantages
Wide Availability: As o March 31, 2008 lickers are available at 562 branches and
extension counters.
Lickers available in various sizes.
Direct debits for licker rentals from your account rid you of the hassle in writing out
cheques.
Extended banking hours to operate lockers.
Competitive rentals.
ONLINE SHOPPING (Safe ans Secure internet Payment)
Axis Bank offers an individual the convenience of shopping at many major Online
stores from the comfort of his home or office. All he need is an Internet enabled PC. He can
choose & then get he items delivered at his doorstep. He can also avail of numerous online
services, get to know about the current special offers/discounts and get a preview of the
new items added on to the shelves by these online retailers/service providers. He can shop
as much as he like and conveniently make instant payments by debiting his account
through the secured payment channel, iConnect – Our Internet banking platform.
IPOSMART (Now invest in IPO’s without letting go of your funds !)
An individual’s Axis Bank savings account now makes IPO application a seamless
and hassle-free process. Instead of moving out funds from his account for application to an
IPO, the amount can now simply be blocked. Which means as long as the IPO shares are
not allotted, the funds stay with him and he also gain interest on them? Plus he get the
security of having the refunds directly unblocked and made available to you, in his account
itself !
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The above service is being made available in accordance with the SEBI guidelines
on ASBA (Applications Supported by Blocked Amount).
Benefits
Interest on funds which otherwise would have moved out of your savings account.
No need to write cheques or make demand drafts.
Convenient and transparent management of funds.
Instant release / unblocking of funds after allotment / non- allotment of shares.
PERFECT FOR TRAVELERS ABROAD
Convenience
9 Different Currency Options
Largest acceptance at POS and ATMs worldwide
Online Shopping on Verified by VISA ( VBV) security
ADD ON Card feature for speedy replacement
Balance Enquiry & Change of ATM PIN at any Axis Bank ATM in India for Free.
Security
PIN & Signature protection
Compensation Payment
24 Hour Customer Service number & Email Helpdesk support
Budget control
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No over draft facility
Online A/C management
Prepaid Cards are becoming the mainstream products for Asian Customers. VISA
Prepaid Card growth in Asia Pacific was almost twice that of the global rate in 2007
and thrice in 2008 & 2009
Consumers in Australia, India and Thailand were the top three debit and Prepaid
markets in the Asia Pacific.
Prepaid Products are important in creating a choice of payment options for Asia-
Pacific Customers.
Enables Customers to have access to these whether or not they have a prior
relationship with a financial institution.
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Industry Market Share
39%
17%17%
17%
10%
Axis Bank
C itibank
HDFC
IC IC I
Others
Long Way to Go .. As Volume generated by TCs are twice the volume on Cards
Approx $ 2 billion
Corporate Centric Solutions
A third of business traveler say “Employers are ‘out of control’ on overseas travel
Expenses” We offer Corporate centric module to manage Oversees Travel Expenses
Centralized expenditure.
No more travelers Cheques, messy cash deliveries or budgetary control issues.
Useful for Staff Per Diem Expense and Customer Compensation.
Corporate Delight
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Travel Currency Card - Feasibility
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Ability to budget funds # of users of same funds ReplaceabilityTCDC 5 1 5Cash 3 5 0Credit Cards 2 3 5Trevallers Cheques 3 3 5Debit Cards 3 1 1
Usage time per Transaction 24hour access to local currency Customer ServiceTCDC 4 5 4Cash 4 3 0Credit Cards 4 4 5Trevallers Cheques 2 3 3Debit Cards 4 4 4
Funds Usage Economical way to access Cash Security FeaturesTCDC 5 4 4Cash 4 4 1Credit Cards 5 3 4Trevallers Cheques 4 3 3Debit Cards 5 4 4
Ease of Acquisiton AcceptanceTCDC 3 4Cash 4 5Credit Cards 3 4Trevallers Cheques 4 3Debit Cards 3 4
Edge over others – The “ Axis” Effect
FEATURES ICICI HDFC CITIBANK SBI GMC AXIS BANKNumber of Variants 9 6 3 3 9
Withdrawal Limit Balance on card Balance on card $1000 per day Balance on card
Customer Support Team Localised SupportLocalised Support Centralised Only Mumbai
Strong Localised and Zonal based support
Loading Timely Funding Timely Funding Centralised Instant Loading Thrice in a dayValue Load $250- 100000 $250- 100000 $250- 100000 $250- 100000
Monthly Statement Online access Online access Online access NoOnline access / Axis Bank
ATM's
ATM PIN
No change permitted at ATM's
in India
No change permitted at
ATM's in India
No change permitted at
ATM's in India
No change permitted at
ATM's in IndiaChange permitted before
departure in IndiaMobile Alert Yes NA Yes Yes Yes/ Email as well
Balance Enquiry at ATM's NO NO NO NOYes with display in the base of
CNY of CardValidity - Years 5 5 3 3 5
Cross Currency Margin 3% 3% 3% 3% 3%Internet transactions Yes No No No Yes
Incentive based No No Yes Yes Yes- HighWhite Labelling No No Yes Yes Yes
Personalized Cards No No No No YesADD ON cards Yes Yes Yes Yes Yes
Lost Card Liability Insurance Yes No No No Yes- upto INR 200000Pre-authorisation while swiping -
PermittedYes- 45 days for
reversalYes- 45 days for
reversal No NoYes- within 2 day if all docs
intact
COMPETITORS 74
1. ICICI BANK
2. HDFC BANK
3. HSBC BANK[INTERNET BANKING]
4. SBI BANK
5. CANARA BANK
6. INDIAN OVERSEAS BANK
7. PUNJAB NATIONAL BANK
8. BANK OF BARODA
9. CITY BANK
10. IDBI BANK
11. VYSYA BANK
12. STANDARD CHARTERED BANK
13. ABN AMRO BANK
14. AMERICAN EXPRESS
15. INDUSIND BANK
16. SBBJ BANK
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CURRENTPOSITION OF THE COMPANY
3rd largest private sector bank and 9th largest overall
1042 Branches and 4474 ATMs (as on 30th June, 2010)
FINANCIAL ANALYSIS
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77
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FINANCIAL HIGHLIGHTS
Profit after tax up 38.51% to` 2514.53 crores
Net Interest Incomeup 35.76% to` 5004.49 crores
Earnings per share (Basic) increased from` 50.61 to ` 65.78.
Proposed Dividend up from 100% to 120%
Capital Adequacy Ratio stood at 15.80% as against the minimum regulatory norm
of 9%
Growth of bank at 38.51% and 69.50% against sector growth of 20.64% and
14.13% for the previous two years
MARKETING STRATEGY
Product
Banking and Savings
Corporate Finance
Investment and Insurance
Loans and Borrowings
Place
Branches ² 1042
ATMS ² 4474
Price
Customers get value for money
Lower fee charge
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Promotions
Advertising
Print Media
Publicity
Personal Selling
SalesPromotions
HRPOLICIES
Training and Development of employees
Monitoring and improving employee performance
Compensation and Reward Administration
Grievance Handling
DIFFERENTIAL STRATEGY
Service above others
Customer based & service oriented
Max coverage, innovative products and services
Services provided
Remittance Card
EMV based platinum credit card
CSR INITIATIVES
Axis Bank Foundation setup in 2006
Transfers 1% of net profit to the Foundation
Supporting 41 NGOs
536 education centers covered
47055 children covered
24 SMEs exclusively focusing on MSMEs
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AWARDS & SIGNIFICANTEVENTS
81
P ROMOT E RS
82
3. RESEARCH METHODOLOGY
3.1 Title of the Study
“Banking Operations In Axis Bank”
3.2 Duration of the Project
Duration is 45 days training in bonanza limited.
From the date of 25 June to 10 august .
3.3 Objective of Study
Banking and finance can be called as the nerves of any economic
system as they accelerate the process of economic development through
canalization of adequate finace.
It is hard to anticipate development of efficient banking services in the
country. No doubt financial institutions play so important in economic development
but at the some time economic development determines the growth and
development of banking institutions the role of various kind of banking institution. In
economic development need not be emphasized.
Main objective of the study is to “Critical appraisal of product & services
offered by axis bank.”
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Some of the major objectives of the study include the determination of
the following :
Consumer awareness about the products and services provided by the axis
bank.
Consumer preference about various products and services.
Customers perception towards private Banking and their expectations from
private banks.
Customer satisfaction with the service provided by the bank.
Draw out with conclusions and suggestion based on the analysis and the
interpretation of data.
3.4 Type of Research
Research is one of the most important parts of any study and pertains to the
collection of information and knowledge. Marketing research is defined as the
systematic design, collection, analysis, and reporting of data and findings relevant to
a specific marketing situation facing the company.
My project has been developed on has basis of both exploratory and
descriptive research.
The research process depends upon developing the most efficient plan for
gathering the needed information. Designing a research plan calls fro decisions on
the data sources, research approaches, research instruments, sampling paln, and
contact methods.
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3.5 Sample Size and method of selecting sample
I chose a sample size of 40 respondents consisting of based on judgment
sampling All respondents were the customers of Axis Bank. The method was simple
random sampling.
Data Source
For this project both primary and secondary data were valuable sources of
information.
Secondary data
Secondary data provides a starting point for any research and offers valuable
sources of already existing information. Secondary data are the easiest to gather
and the cost of collecting this data is also very low. For my project work it was
collected through the help of various directories of various associations, magazines,
newspapers, websites etc. The directories helped me in short lisitng people, for my
target people.
Some of the directories made use of are as follows :
Telephone directory
Income tax office
City directory
Chartered accountant directory
Carpet industries directory
Indian medical association directory
Transporter directory
Lawyers directory
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Builders & constructors directories
Primary data
Primary data are data freshly gathered for a specific purpose. For my project
work the primary data was collected by means of survey though questionnaires.
Contact methods
Once the client had been decided now my task was how to contact them, and
for me there only two ways of contacting them.
1. Personal interview:- this method was the most appropriate way of
survey, because by personal interview I came to know about their
feeling for Axis Bank.
2. Telephone:- This method was also used by me once or twice, keeping
in mind the busy schedule of a few respondents.
3.6 Scope of Study
Axis Bank is one of the most famous banks in India. The various products and
services offered by it include:
PRODUCT
Deposits (Saving account and current account)
Loans
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BANACASSRANCE
Card
SERVICES
ATM
Mobile Banking
Internet Banking
Payment
Other Services
The deposit mix of an organization especially the Saving accounts are the
backbone of every bank as an ordinary man is most inclined to invest in it due to its
convenience and easy availability. This project deals with the various customer
concerns regarding these and tries to suggest appropriate suggesting based on
conclusions. I hope that this report would be able to suggest some measures and
draw attention of bank towards the area of improvement.
- Provides all the crucial information on Axis Bank Ltd. required for business
and competitor intelligence needs
- Contains a study of the major internal and external factors affecting Axis
Bank Ltd. in the form of a SWOT analysis as well as a breakdown and
examination of leading product revenue streams of Axis Bank Ltd.
-Data is supplemented with details on Axis Bank Ltd. history, key executives,
business description, locations and subsidiaries as well as a list of products
and services and the latest available statement from Axis Bank Ltd.
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Scope of Services
Debenture or Bond
Trusteeship
Security Trustees
Facility Agent
Escrow Agent
Securitisation
Monitoring Agency
Debenture or Bond Trusteeship
o Advising the issuer company on the mode of creation of security
o Advising on the draft security creation documents and vetting the same
o Holding the charge for and on behalf of the investors and hold the security
documents in safe custody
o Monitoring the security cover and financial covenants by seeking periodic
information from the issuer company.
o Convening the Debenture or Bond holder meetings when so requested by
majority Debentureholders
o Addressing investor grievances
o Security enforcing at the behest of the Debentureholders
Security Trustees
o Drafting or vetting of common documentation to secure borrowings
o Conceptualising, customising and structuring of the security documents to
minimise documentation (including advising on the stamp duty implications on
the borrower), but at the same time ensuring compliance with all the terms
88
and conditions of the facility documents. Thus, ensuring effective execution of
transactions.
o Liasoning with the lead lender and the legal counsel on drafting the security
documents.
o Disseminating the information between the lenders and the borrower.
o Monitoring the loan on a quarterly basis by calling of compliance information
from the borrower.
o Prompt provision of information to the lenders on any matter pertaining to the
covenants or terms or conditions of the loan and security.
o Assisting the borrower and the lenders in overall coordination and ensure
smooth completion of the transaction with adherence to the given time frame.
o Providing a common forum for the lenders by convening meetings as and
when required by the lenders.
o Taking such appropriate action including enforcement of security as may be
requested by the lenders on the occurrence of an event of default.
o Holding in custody the security documents, insurance policies duly endorsed
in favour of the trustee, guarantee deeds etc.,
The Bank has acted as Security Trustee for
(a) Borrowings made for manufacturing activity
(b) Borrowings made for thermal or hydro power projects
(c) Borrowings made for rail or road projects
(d) Various ECB or FCCB transactions
Facility Agent
As a facility agent, we act as a communication channel between the borrower
and the lenders and our role inter alia includes:
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o Confirmation of compliance pre-disbursement conditions to the lenders on
receipt of the same from the borrower
o Disseminate information between the borrower and the lenders
o Convening meetings of the lenders on a request from the borrower and
vice versa
o Calling for quarterly information from the borrowers
o Monitoring compliance with the terms of issue
Escrow Agent
As an escrow agent, We inter alia:
o Draft and vet the escrow agreement and define the flow as required under
the transaction structure
o Ensure the account opening with the escrow band
o Monitor the flow of the proceeds in accordance with the agreement
o Monitor the maintenance of the Debt Service Account and the Debt
Service Reserve Account to ensure continuity of debt service
o Call for monthly account statement from the escrow bank
o
Securitisation
Settling of Trust and holding the receivables along with the underlying
assets in Trust for and on behalf of the beneficiaries (investors).
Vetting of all the legal documents prepared by the legal counsel to
ensure the "True Sale" nature of the transactions including adherence
to the securitisation guidelines and ensuring smooth execution of the
same.
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Appointment of the Rating Agency or Registrar and Transfer Agent
etc.,
Coordinating with NSDL for Credit Corporate Action and creation of the
ISIN number and signing of the necessary documents.
Ensuring funding of the requisite accounts in time in accordance with
the provisions of the Information Memorandum.
Ensuring that the Payout Cheques along with the Monthly Reports are
sent across to the Investors or Custodians or Rating Agency on or
before the due date.
Addressing Investor queries on specific issues
Monitoring Agency
The duties include:
o Monitoring that proceeds of the Initial Public Offering / Follow - on
Offering of shares, are utilised for the objects for which the funds were
raised.
o Submission of a half yearly report to the designated stock exchange.
o Executing a tripartite escrow agreement to monitor the flow of the
proceeds in accordance with the objects of the issue.
Axis Bank (formerly UTI Bank) is a banking corporation offering retail and
corporate banking services, including retail loans, corporate and business credit,
forex and trade finance services, investment banking, depository services, and
investment advisory services. The bank primarily operates in India, where it is
headquartered in Mumbai and employs about 20,624 people.
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The company recorded revenues of INR65,830.9 million (approximately
$1,271.9 million) in the financial year ended March 2009 (FY2009), an increase of
50.3% over FY2008. Operating profit was INR37,248.8 million (approximately $719.6
million) in FY2009, an increase of 67.3% over FY2008. Its net profit was
INR18,153.6 million (approximately $350.7 million) in FY2009, an increase of 69.5%
over FY2008.
3.7 Limitation of Study
The study was based on a very modest sample size hence cannot be called
as a representation of the views and opinion of the majority.
In a rapidly changing industry, analysis on one day or in one segment can
change very quickly. The environmental changes are vital to be considered in
order to assimilate the findings.
The conclusion arrived at are based on a very less experience of researcher
in this field.
Though full efforts have been made but due to the lack of past
experience in the marketing field I failed some areas have been left
from including in the study
Due to the limitation of time I was unable to cover more sample (data
collection sheet) and to fridge the lead granted
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4. Fact & Findings
Bank is having 853 branches all over the country.
The number of branches should be increased.
Number of Branches should be increased covering a wider area in various states.
A wide publicity to be given about the organization and its products through various
means of communications to keep growth moments.
More number of training and educational programmes should be included in Banks
schedule.
Developing a learning culture through continuous learning process
5. ANALYSIS AND INTERPRETATION
93
1 Which are group do you belong(AGE WISE) ?
S. No. Age Group No. of Respondents
1 Less than 25 6
2 25 to 40 18
3 40 to 55 10
4 Above 55 4
Interpretation :
After looking this bar graph, it can be said the middle-aged group are the main
customer of the banks as they occupied almost 75% of this graph. The bank has a huge
potential in terms of the untapped market – Young and old age group people. High pay
packages to today’s employed youth and large saving with the old age people (especially in
urban areas) has made them attractive potential customers.
Q.2 What is your occupation ?
94
S. No. Age Group No. of Respondents
1 Service 18
2 Business 10
3 Student 6
4 Others 6
Interpretation :
Most of the service class people prefer to open a Savings Account in comparison to
the business class people. This may be possible due to the facility of “Anywhere Banking”
suiting their needs and preferences.
Q.3 Please specify your annual income?
95
S. No. Age Group No. of Respondents
1 Less than 1 lakh 6
2 1 to 2 lakh 8
3 2 to 3 lakh 8
4 3 to 4 lakh 8
5 More than 4 lakh 10
Interpretation :
Income does not make any difference as far as opening the account in the Axis Bank
is concerned, as the bar diagram is vividly revealing that more or less people of every
segment of income group have opened and are opening the account expert one group i.e.
lower income group where emphasis is required to penetrate this group so it can be said
that the target group of the axis bank, specially for saving account are of every segment of
income group since its is devoted to render best services to its costumer.
Q.4 What features/attributes, while opening an account do you expect from a bank ?
S. No. Age Group No. of Respondents
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1 Quick Services 16
2 Proper information 8
3 Working hours 6
4 Less Formalities 6
5 Variety of Product 4
Interpretation :
When a customer visits any bank the first and foremost thing he expects is the
quickness of service and the promptness in entertaining by the bank employee. Second
thing customer wishes to have is proper information regarding his queries. One this in this
bar also really significant is, factor like less formalities of document while opening an
account. Varieties of product do not make a big impact on customer behavior for opening
an account in any bank if its services are efficient. But on the other hand bank can’t ignore
working hours. As in this bar customer has erred it. For this services like bank preference
should be given to make a prompt and customer friendly service channel. For this focus
must be given to make well informed and proactive employee along with work should be
executed technologically rather than manually.
Q.5 What kind of account do you have in Axis Bank ?
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S. No. Age Group No. of Respondents
1 Saving Account 18
2 Current Account 10
3 Fixed Deposits 6
4 NRL Account 2
5 Others 4
Interpretation :
Saving account is the leading and attractive product for the Axis bank as it occupies
a major chunk in this bar. It is clearly implying that this product has the ability to satisfy the
customers. On the second had and the positions current accounts and fixed deposits has
also been helpful to increase the customer base but still their performances needs to be
improved. One thing in this bar which is significant is the business of the bank is relying on
only few leading products, reason for this could be, neither it has limited range of products
nor rest of the product does not have much ability to penetrate in the stiff market of banking
of Jaipur. That is giving an alarming message to the management of the bank to go or
analyzing the situation very minutely and must ascertain where things are going wrong and
for that what short of necessary step could be taken. Providing better services in
comparison with the competitors is a must for excelling in industry.
Q.6 Who influenced to open an account in Axis Bank ?
98
S. No. Age Group No. of Respondents
1 Friend and Relative 14
2 Advertisement 12
3 Bank Employees 10
4 Prospectus 4
Interpretation :
As it is said a satisfied customer is the best medium for advertisement since in this
bar friends and relatives have play a key role in opening the accounts for others, which
implies that bank real customer are satisfied enough with the facilities available on the
products and the services enjoyed by them. An advertisement and bank employees more or
less has been good performer in their respective domain. It reveals advertisement of
different medium, as been a key factor in generating the awareness about banks product as
well as facilities that are made to available on then in the peoples mind.
Q.7 Your remark on products of Axis Bank ?
99
S. No. Age Group No. of Respondents
1 Excellent 12
2 Good 16
3 Average 10
4 Poor 2
Interpretation :
As this bar is showing at what level people are saved with saving account, with its
unique facilities features, and ability to serve all the needs of customer because by and
large it can be said 75% people are saving good to savings accounts, this implies that this
product has been a leading product and still an attractive product of the Axis bank. Reason
for this could be different type of facility associated with this product, which are reading true
value to the customer and marketing people are also very much devoted to give the best
from this part. Efforts must be given to know why they are people who are still saying
average and poor about saving accounts and what are the factors that are going wrong with
that segment of people.
Q.8 In comparison to other bank how would you rate Axis Bank ?
100
S. No. Age Group No. of Respondents
1 Excellent 8
2 Good 18
3 Average 10
4 Poor 2
5 Can’t Say 2
Interpretation :
Rating of any bank depends on its overall performance in the eye of the people. This
bar is vividly showing that the performance of Axis bank has been good because in such a
short span of it’s existence in this city with strong competition from major public sector bank
like SBI and other private banks, Reason for this could be, it has occupied a different
position in the people mind with its customer friendly products and to serve them a efficient
and prompt banking system.
Q.9 How long did your wait in queue ?
101
S. No. Age Group No. of Respondents
1 0-5 Minute 24
2 5-10 Minute 12
3 More than 10 Minute 4
Interpretation :
As this bar graph showing 57% people wait in queue 0-5 minutes. While it should be
100% people.
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Q.10 do you think the number of counter available are sufficient ?
S. No. Age Group No. of Respondents
1 Yes 32
2 No 8
Interpretation :
As this bar graph showing 82% people are sufficient. While it should be 100%
people.
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6. SWOT ANALYSIS
Strengths
Support of various promoters
High level to services
Knowledge of Indian market
Strong management team
Comprehensive range of financial products & Services
Competitive and profitable banking franchise
High level of services
Knowledge of Indian Market
Supported by various promoters
Services updated by latest technology
Weaknesses
Low market capitalization
Not been fully able to position itself correctly
Average volume of branch network
Competitiveness of cost of services
Market capitalization is low
Positioning
UTI fraud
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Customer service
Opportunities
Growing Indian banking sector
People are becoming more service oriented in the global market
Technological changes
Increase of new branch network
Large retail and corporate market
Wide scope in the rural market
Competitive banking services
Foreign Markets
Threats
From various competitors
Foreign banks
Government banks
Aggressive competition strategy among the main banks
Economic uncertainty in global market
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Established Governments Banks
Established and growing MNC Banks
Advent and growth of foreign Banks
Inflation and rising lending rates
7. Conclusion
Axis Bank has shown substantial growth in the past few years. The change in name
to have seemed to achieved its goal as the net profits and total incomes are growing way
over the growth rate of the sector. It may not be long before Axis Bank overtakes
HDFC Bank in terms of Net Income and Total Income to become the no. 2 bank in
Private Sector in India. My experience with Axis Bank Ltd. is outstanding. While working in
Axis Bank I found that this bank has developed manifold in short period of time due to
facilities and services provided to their customer and this growth rate can be keep it up if
they start to go in semi-urban areas. In last couple of years they have opened new many
branches and they should open many more. The working staff are very co-operative in
nature and due to that the bank will also get good benefit. Axis Bank has provided their
customer Net-banking facilities and due to that transactions are done fast. Charges at Axis
Bank are on lower side when we compare it with other Banks.
In this time of economy slump, where all options of Investment lacks the interest of
people for one or other reason, FD still remains at the top in the mind of people as a known
convenient and reward earning option for investing their hard earned savings. However
falling banks rates have certainly lessen the faith of people inn it, but still it remains the first
choice of small investor’s because it is synonymic with safe and fixed return giving 106
alternative for investment of savings. The leitmotif of the hour is safety and security, high
risk is out. Recent global economy slowdown has made negative influence on let investor
perception of security. With the arrival of pink slip solute, people who were spending as
though there will no tomorrow have turned savers. And savers are looking much more
closing at investment avenues in order to optimize their returns at least risk.
Savings from the backbone for FD market. Savings of people are mainly affected y
three factors.
1. Income – higher the income, higher the savings.
2. Consumption – higher the consumption, lower the savings.
3. Inflating – higher the inflating rate, lower the savings.
Axis Bank saving product is highly popular due to its various facilities, anywhere
banking with ATM and Debit Card.
In case of special saving Account, if bank provides the cheques pickup facility then it
can tap out more number of trusts and society.
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 great opportunity to established long-term relationship bulk of people. AXIS
bank is one of these finical 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 Kota City by AXIS bank.
To undergo this study my prior job is to collects the data, which will provide me a base
to interact with the organization (task, public, private companies, education institAXISon
etc) in Kota city. It was found that the most of customer appreciate the service provided by
the bank and more keen to know about other offering of the bank.
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At last I concluded the study on the basis of finding and analysis of the survey. Most of
the existing customers of account holder were satisfied with the facilities provided by the
bank. Beside it account holders are also interested to know more about the other products
like demat, credit card, home lone etc. But the lack of qualified marketing execAXISves
sales persons, the proper presentation is not going to the potential customer, so the other
banks, who having qualified marketing execAXISve grab the opportunity of market so some
more effort should be done to grab the opportunity.
Thai the survey several that the organization has provide a wide range of product
service and investment plans. Banking that is flexible, innovative and prompt in meeting the
customer requirement. Over all it was observed that the customer were satisfied being as a
member of “ AXIS bank pariwar”. They think one provide better services product and facility
at one place in comparison of other competitor banks customer
8. RECOMMENDATION & SUGGESTION
Into the axis bank normally (25 to 40 age group) people are investing.
Mostly service class persons prefer the axis bank in the comparison of business and
students and other class persons
25% persons of the avg.population investing into the axis bank and the income
status of the investors will be four lacks.
Axis bank don’t doing the extra formalities so the status of the investors is being
40%.
Axis bank is normally not using properly for the current account so it’s popularity ratio
is quite down. This bank normally using for the long term planning like saving and
FD.
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This bank is not investing more into the marketing sector so I will suggest that some
of the part of income it investing in the adv. And marketing sector.
Axis bank’s products is normally good and some taking it vice a versa.
Into the comparison of other bank it’s performance is quite good but not an effective
so this may be doing the rates were down with some other facilities.
This bank providing less facility toward the consumer now it is 57% but according
to my suggestion it will be increase with 80%.
Axis bank providing counter facility 40% and it will be 82% according to my
perception.
New and different product should be launched to attract more customer
Untapped customer should be contacted in order to increase database though
more channels
Response given by some customers should be taken care of and steps should be
taken on the same.
Calls were made to head office of big organization which having branch office
in Kota city and contacted at top level to establishing new relationship.
More interactive meeting at top level or events should be arranged so more
customers could come in contact.
More branch in state should be opened so that more people can have the service
Customer service should be improved.
There is need to recruit the more qualified persons on the post of field officer who
are made more liable and responsible commitment and clearly defined the product
offer. On this post competitor banks recruit the management trainee and pay a good
scale and incentive, so for the qualitative services AXIS bank also follow the same
To eliminate the dissatisfaction of customer community and product demand
are send to the customer in proper time period.
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To eliminate the dissatisfaction proper workshop and awareness programs
like campaigning are helpful and held on the client origination.
As early as possible bank should start overdraft and CC limits to expend the market.
The larger the ATM network of AXIS bank in Kota city but still AXIS bank have no
ATM center in the major industrial area of Kota city like RIICO, etc
9. APPENDIX
Dear sir/madam I am management student conduction a survey on Axis Bank,
Jaipur. I shall be very thankful, if you give your few minutes to me for answering few
questions given below. Every information given by you will be for answering few questions
given below. Every information given by you will be only for academic purpose.
Name………………………………. Address …………………………
Sex………………………………… …………………………………...
Age ………………………………..
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Occupation …………………………
Q.1 Which age group do you belong ?
a) Less than 25
b) 25 to 40
c) 40 to 55
d) Above 55
Q.2 What is your occupation?
a) Service
b) Business
c) Student
d) Others
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Q.3 Please specify your annual income?
a) Less than 1 lakh
b) 1 to 2 lakh
c) 2 to 3 lakh
d) 3 to 4 lakh
e) More than 4 lakh
Q.4 What features/attributes, while opening an account do you expect from a bank ?
a) Quick Services
b) Variety of products
c) Less formalities of documents
d) Working hours
e) Proper information
Q.5 What kind of account do you have in Axis Bank ?
a) Saving Account
b) Current Account
c) Fixed Deposits
d) NRL Account
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Q.6 Who influenced to open an account in Axis Bank ?
a) Bank Employees
b) Prospectus
c) Advertisement
d) Friend and Relative would you recommend
Q.7 Your remark on products of Axis Bank ?
a) Excellent
b) Good
c) Average
d) Poor
Q.8 In comparison to other bank how would you rate Axis Bank ?
a) Excellent
b) Good
c) Average
d) Poor
e) Can’t Say
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Q.9 How long did your wait in queue ?
a) Yes
b) No
Q.10 do you think the number of counter available are sufficient ?
a) Yes
b) No
DATE:DATE: Signature: Signature:
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“Bibliography”“Bibliography”
Books
Dr. I. M. Pandey – Financial Management (vikas publication)
M. Y. Khan P. K. Jain – Financial Management (TATA McGraw hill publishing
company limited)
J. N. Jain, R. K. Jain–modern banking and insurance (regal publication)
Websites
www.axisbank.com
www.infinancials.com
www.google.com
www.axisbank.com/xmlapplication/aboutus/financials/images/Annual -
Report - 2007. PDF.
Jitendra Virahyas
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