Banking Products Assignment FINAL 2

8/10/2019 Banking Products Assignment FINAL 2

1/19

XAVIER INSTITUTE OF SOCIAL

SERVICE

ASSIGNMENT

ON PRODUCTS

OF

COMMERCIAL

BANKS

Submitted to : Submitted by :

DRB!ASKAR B!AVANI NIK!IL KU"UR #ROLL

NO$%&'

MURMU SUB!O"IT LEO #ROLL

NO$%('

MAD!US!REE RANG

#ROLL NO$)*'

SATIS! B!AGAT #ROLL NO$

)+'

DEEPAK KUMAR #ROLL NO$

&,'

DEPARTMENT: MARKETING

BATC!: )*%-$)*%+

1


2/19

TABLE OF CONTENTS

SL NO PARTICULARS PAGE NO

1. Banking structure in India 3 2. Commercial Bank 3-4

3. Functions of Bank 4

4. Financial products of commercial bank

4.1 Liability roducts !-"

4.2 #d$ances "-%

4.3 #sset product %-13

4.4 In$estment product 13-14

4.! Credit & 'ebit card 14-1!

4.( )iscellaneous product 1!-1%

!. Bibliograp*y 1%-2+

2


3/19

B./0i/1 St2u3tu2e I/ I/di.:

Comme23i.4 B./05:

Comme23i.4 B./05: #re t*ose banks ,*ic* perform all kinds of bankingfunctions suc* as accepting deposits ad$ancing loans credit creation and

agency functions.

Comme23i.4 B./05refer to bot* 536edu4ed and /o/$536edu4ed

commercial banks ,*ic* are regulated under B./0i/1 Re1u4.tio/ A3t7

%(&(

# commercial bank is o,ned by 5to306o4de25and operated for 82o9t

Its 82im.2y u/3tio/5are to recei$e transfer and lend money to

indi$iduals businesses and go$ernments.

Indian banks consist mostly of c*eduled Commercial Banks /SCB50 ,*ic*

includes bot* ublic ector Banks and t*e ri$ate ector Banks.

In ublic ector Banks t*e go$ernment must retain a +%; 5t.0e

c*eduled Commercial Banks in India are categoried into 9


4/19

I7. Foreign Banks and

7. 8egional 8ural Banks

Fu/3tio/5 o B./0:

Fi/./3i.

4

P2odu3t5 o Comme23i.4 B./0

1. Li.bi4ity P2odu3t5:

a$ings accounts

6o-frills accounts

Current accounts

Fi9ed deposits erm deposits

8ecurring deposits

) Ad


5/19

7e*icle loans

#griculture loans

& C2edit 3.2d5> Debit 3.2d5

Credit cards

'ebit cards

+ I/


6/19

*e i/te2e5t,*ic* is gi$en on sa$ing accounts is sometime often

/omi/.4

#t present t*e rate of interest is 4

*e m.i/ obe3ti


7/19

In current account amount can be de8o5ited ./d =it6d2.=/ .t ./y

time =it6out 1iTe2m de8o5it5

ype of a time de8o5it

Lump sum amount is deposited for a 9ed 8e2iodof time

# 'eposit *eld in t*e Bank for a eriod of 4e55 t6./ ? mo/t65is calledS6o2t Te2m 'eposits and for mo2e t6./ ? mo/t65it is called Lo/1

Te2m'eposits.

!i16e2 2.te o i/te2e5tis paid ,*ic* $aries ,it* t*e period of deposit

I/te2e5tcan be paid Euarterly emi-#nnually orannually as re?. by

customer.

*e money can be =it6d2.=/ .t m.tu2ity but if its =it6d2.=/ beo2e

t*at t*e bank pays 4e55 i/te2e5t

*ose ,*o *a$e 5u284u5 u/d5go for A9ed deposit

F'>s many a times also linked ,it* safe deposit locker facility

Interest 8ate5 p to 1 Gear around "

1 year to ! years around %

Re3u22i/1 de8o5it5

# type of time de8o5it,*ic* allo,s t*e customer to sa$e 5m.44

.mou/t5of money ,it* bank e


8/19

it6d2.=.45are permitted only after t*e e9piry of certain period.

For 82e 34o5u2ea Pe/.4tyis c*arged.

Mode5t i/te2e5tpaid for t*e amount sa$ed ?uarterly *alf yearly or

annually.

*e m.i/ obe3ti


9/19

*e t./1ib4e 5e3u2itymay be in t*e form of s*ares go$ernment paper

life insurance policies A9ed deposit receipts etc. i.e. 8.8e2 5e3u2itie5

M./y d2.=i/15 ./d 2e8.yme/t5 are permitted as t*e customer ,ould

desire pro$ided t*e total amount o$erdra,n i.e. t*e debit balance at any

time does not e9ceed t*e agreed limit.

*e i/te2e5tis c*arged on d.i4y o


10/19

8ate of Interest 5 1+ to 2!

ecurity5


11/19

#ge 5 21 years and abo$e

rofession 5 #nybody ,it* teady source of income including 5

BankDs


12/19

C. )a9imum age limit5 (+ years.

Loan #mount

)inimum5 8s.2! +++-

)a9imum5 8s.1 crore.

)argin5 Finance up to 4+ of t*e market $alue of property.

8ate of Interest5 13 p.a. appro9.

8epayment period5 )a9imum of (+ e?uated mont*ly installments up to 12+ mont*s for

salaried indi$iduals

rocessing Fees5 1 of t*e loan amount. )a9 of 8s. !++++-

A12i3u4tu2e 4o./5

ypical products include crop loans farm e?uipment loans against

,are*ouse receipts

ro$ide loans for *orticulture acti$ities poultry dairy rearing of goat ands*eep sericulture etc

'epends on mo2t1.1i/1 o2 6y8ot6e3.tio/in most loans

Lo./ 3.2d5*a$e been broug*t by many banks ,*ic* can be #)>s or

credit cards

Ve6i34e 4o./5

ro$ide loans for purc*asing ne,second t,o ,*eelers four ,*eelers and

commercial $e*icles

E4i1ibi4ity:Indi$idualsproprietors*ipCorporates e9cept t*ose engaged in

car *iring business

Lo./ .mou/t :"+-1++ of


13/19

Certain e$ents like unfortunate deat* of earning member critical illness

medical emergencies accidents natural and man made calamities etc. can

ad$ersely aect our familyDs ,ell being and Anances.

Insurance plans pro$ide us protection from lifeDs uncertainties and a$enues to

sa$e for your long term Anancial goals.

b0 )utual Fund)utual fund is an entity t*at pools money of large number of in$estors to

i/


14/19

It aut*ories t*e *older to c*ange goods or ser$ices to *is account on ,*ic*

*e is billed.

*e bank recei$es t*e bills from t*e merc*ants and 8.y5 o/ be6.4 o t6e

3.2d 6o4de2

*ese bills are assembled in t*e bank.

Bank gi$es t*e card *older a 12.3e 8e2iod to 8.ytotally or by installments.

*e b./0 36.21e5t*e customer a small amount for t*ese ser$ices.If t*e amount is not paid full by t*e end of t*e period one is 36.21ed

i/te2e5t.

*e card *older /eed /ot 6. and big

cities.

India at present *as about - mi44io/credit cards in circulation.

Debit C.2d5:

'ebit Card is a N8.y /o=O card.

s

5.


15/19

Autom.ti3 Te44e2 M.36i/e:

*e introduction of #)>s *as gi$en t*e customers t*e facility of 2ou/d t6e

34o30 b./0i/1

#) is a de$ice t*at allo,s customer ,*o *as an #) card to perform routine

banking t2./5.3tio/ .t ./y time

*is ser$ice *elps t*e customer to ,it*dra, money e$en ,*en t*e banks ate

closed.*is can be done by inserting t*e 3.2din t*e #) and entering t*e ersonal

IdentiAcation 6umber /PIN'and 5e32et P.55=o2d

It pro$ides t*e customers to ,it*dra, or deposit funds c*eck account

balances transfer funds and c*eck statement information.

!SBC Fi25t B./0to Introduce #)5 1%"H

Ads pro$ide )& 625 , d.y5 -?+ d.y5a year ser$ice.

er$ice is ui30and eQcient

P2i


16/19

*e 34e.2i/1 6ou5eJointly ,orks ,it* t*e consumer>s bank 34e.25 t6e

36eueand transfers t*e money to t*e merc*ant>s banks.

*e merc*ant>s bank u8d.te5 t6e me236./t@5 .33ou/t

*e consumer>s bank u8d.te5 t6e 3o/5ume2@5 .33ou/t,it* t*e

,it*dra,al information.

*e e-c*e?uing is a great boon to big corporate as ,ell as small retailers.

)ost maJor banks accept e-c*e?ues.

E4e3t2o/i3 Fu/d5 T2./5e2 #EFT':

)any modern banks *a$e 3om8ute2iedt*eir c*e?ue *andling process ,it*

computer net,orks and ot*er electronic e?uipments.

*ese banks are di58e/5i/1,it* t*e use of 8.8e2 36eue5

*is system facilitates 58eedie2 t2./5e2of funds electronically from any

branc* to any ot*er branc*.In t*is system t*e sender and t*e recei$er of funds may be located in

dierent cities and may e$en bank ,it* dierent banks.

*e sc*eme *as been in operation since Feb2u.2y ,7 %((?7in India.

*e ot*er important type of facility in t*e s

account ,it* t*e person>s pay.

Te4e b./0i/1:

ele banking refers to b./0i/1 o/ 86o/e 5e2


17/19

Mobi4e B./0i/1:

;n-line banking is no, mo$ing to t*e mobile ,orld

it* t*e *elp of a mobi4e 86o/e access to 2e.4$time b./0i/15e2s

If anyone ,ants to make payment of any amount to anyone locallyin t*e same city

*e takes a ay ;rder from t*e bank after paying nominal commission.

:e t*en sends it to t*e beneAciary ,*o ,ill deposit in *is account & get t*e

payment t*roug* clearing ,it* in 2 days.

T2.s C*e?ues are a safe and easy ,ay to protect customer>s money,*en *es*e tra$els.

1H


18/19

Customer can encas* t*em only ,*en *es*e needs to and only against

*is*er signature unlike cas* ,*ic* can be stolen and misused by anybody

C6eue:

*en t*e bank account is opened t*e bank gi$es a c*e?ue book for

making payments.

C*e?ue is used to make safe and con$enient payment.*e c*e?ue may be crossed generally or specially so t*at t*e payment to a

,rong person is pre$ented.

B./0 D2.t:

Bank drafts are often used for t*e purpose of transferring funds from

one place to anot*er ,it*in a country or from one country to anot*er.

*e contents of bank draft are more or less t*at of a c*e?ue but it

is signed not by t*e payer but by t*e banker.

DEMAT A33ou/t:

o *e term '


19/19

*e rent is payable i/ .d>e/=i0i8edi.o21>=i0i>Comme23i.4b./0

6tt85:>>===3itie/5b./03om>3omme23i.4$b./0i/1>b./0i/1$

/eed5>

6tt85:>>===5bi3oi/>8o2t.4>=eb>8e25o/.4$b./0i/1>1o4d$4o./5

6tt85:>>===5bi3oi/>8o2t.4>=eb>.12i3u4tu2e$

b./0i/1>.12i3u4tu2.4$b./0i/1

6tt85:>>===5bi3oi/>8o2t.4>=eb>5tude/t$84.to2m>

6tt85:>>===5bi3oi/>8o2t.4>=eb>8e25o/.4$b./0i/1>.884y$

o/4i/e

6tt85:>>===5bi3oi/>8o2t.4>=eb>8e25o/.4$b./0i/1>3.2$4o./5$

.884y$o/4i/e

6tt8:>>===i3i3ib./03om>Pe25o/.4$B./0i/1>3.2d5>Co/5ume2$

C.2d5>C2edit$C.2d>.44$3.2d58.1eR 6tt8:>>===i3i3ib./03om>Pe25o/.4$

B./0i/1>i/5u2./3e>i/5u2./3e8.1eR

6tt8:>>0.4y./$3ityb4o158ot3om>)*%%>*)>=6.t$i5$3u22e/t$b./0$

.33ou/t$it56tm4

6tt8:>>0.4y./$3ityb4o158ot3om>)*%%>*)>5.>0.4y./$3ityb4o158ot3om>)*%%>*)>9ed$de8o5it$.33ou/t$

o$b./0$me./i/16tm4

6tt8:>>0.4y./$3ityb4o158ot3om>)*%%>*)>2e3u22i/1$de8o5it$

.33ou/t$i/$b./06tm4

:#6@ G;

1%
http://en.wikipedia.org/wiki/Commercial_bankhttps://www.citizensbank.com/commercial-banking/banking-needs/https://www.citizensbank.com/commercial-banking/banking-needs/https://www.sbi.co.in/portal/web/personal-banking/gold-loanshttps://www.sbi.co.in/portal/web/agriculture-banking/agricultural-bankinghttps://www.sbi.co.in/portal/web/agriculture-banking/agricultural-bankinghttps://www.sbi.co.in/portal/web/student-platform/https://www.sbi.co.in/portal/web/personal-banking/apply-onlinehttps://www.sbi.co.in/portal/web/personal-banking/apply-onlinehttps://www.sbi.co.in/portal/web/personal-banking/car-loans-apply-onlinehttps://www.sbi.co.in/portal/web/personal-banking/car-loans-apply-onlinehttp://www.icicibank.com/Personal-Banking/cards/Consumer-Cards/Credit-Card/all-cards.pagehttp://www.icicibank.com/Personal-Banking/cards/Consumer-Cards/Credit-Card/all-cards.pagehttp://www.icicibank.com/Personal-Banking/insurance/insurance.pagehttp://www.icicibank.com/Personal-Banking/insurance/insurance.pagehttp://kalyan-city.blogspot.com/2011/02/what-is-current-bank-account-its.htmlhttp://kalyan-city.blogspot.com/2011/02/what-is-current-bank-account-its.htmlhttp://kalyan-city.blogspot.com/2011/02/saving-account-bank-meaning-features.htmlhttp://kalyan-city.blogspot.com/2011/02/saving-account-bank-meaning-features.htmlhttp://kalyan-city.blogspot.com/2011/02/fixed-deposit-account-of-bank-meaning.htmlhttp://kalyan-city.blogspot.com/2011/02/fixed-deposit-account-of-bank-meaning.htmlhttp://kalyan-city.blogspot.com/2011/02/recurring-deposit-account-in-bank.htmlhttp://kalyan-city.blogspot.com/2011/02/recurring-deposit-account-in-bank.htmlhttp://en.wikipedia.org/wiki/Commercial_bankhttps://www.citizensbank.com/commercial-banking/banking-needs/https://www.citizensbank.com/commercial-banking/banking-needs/https://www.sbi.co.in/portal/web/personal-banking/gold-loanshttps://www.sbi.co.in/portal/web/agriculture-banking/agricultural-bankinghttps://www.sbi.co.in/portal/web/agriculture-banking/agricultural-bankinghttps://www.sbi.co.in/portal/web/student-platform/https://www.sbi.co.in/portal/web/personal-banking/apply-onlinehttps://www.sbi.co.in/portal/web/personal-banking/apply-onlinehttps://www.sbi.co.in/portal/web/personal-banking/car-loans-apply-onlinehttps://www.sbi.co.in/portal/web/personal-banking/car-loans-apply-onlinehttp://www.icicibank.com/Personal-Banking/cards/Consumer-Cards/Credit-Card/all-cards.pagehttp://www.icicibank.com/Personal-Banking/cards/Consumer-Cards/Credit-Card/all-cards.pagehttp://www.icicibank.com/Personal-Banking/insurance/insurance.pagehttp://www.icicibank.com/Personal-Banking/insurance/insurance.pagehttp://kalyan-city.blogspot.com/2011/02/what-is-current-bank-account-its.htmlhttp://kalyan-city.blogspot.com/2011/02/what-is-current-bank-account-its.htmlhttp://kalyan-city.blogspot.com/2011/02/saving-account-bank-meaning-features.htmlhttp://kalyan-city.blogspot.com/2011/02/saving-account-bank-meaning-features.htmlhttp://kalyan-city.blogspot.com/2011/02/fixed-deposit-account-of-bank-meaning.htmlhttp://kalyan-city.blogspot.com/2011/02/fixed-deposit-account-of-bank-meaning.htmlhttp://kalyan-city.blogspot.com/2011/02/recurring-deposit-account-in-bank.htmlhttp://kalyan-city.blogspot.com/2011/02/recurring-deposit-account-in-bank.html

Banking Products Assignment FINAL 2

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