About Idbi Bank

CHAPTER- I

1.1 Title of the study

1.2 Scope of the study

1.3 Objective of the study

1.4 Significance of study

1.5 Researcher methodology

1.1 Title of the study:-

“A survey on banking products, customer satisfaction & awareness of IDBI Bank”

1.2 Scope & Importance of the Study

Each and every project study along with its certain objectives also have scope for

future. And this scope in future gives to new researches a new need to research a

new project with a new scope. Scope of the study not only consist one or two future

business plan but sometime it also gives idea about a new business which becomes

much more profitable for the researches then the older one.

Scope of the study could give the projected scenario for a new observed in my project

are not exactly having all the features of the scope which I described above but also

not lacking all the features.

@ Research study could give an idea of network expansion for capturing more

market and customer with better services and lower cost, with out compromising

with quality.

@ In future customer requirements could be added with the product and services for

getting an edge over competitors.

@ Consumer behavior could also be used for the purpose of launching a new

product with extra benefits which are required by customers for their account

(saving or current ) and/or for their investments.

@ Factors which are responsible for the performance for bank can also be used for

the modification of the strategy and product for being more profitable.

1.3 Objectives of the study:-

Ø To know the customer needs and expectations.

Ø To find out the factors which customer take into consideration in opening a account

Ø To know that up to what extent a customer is satisfied with the bank

Ø To know the customer complaints and their redressal

1.4 Significance of the study:-

Every research is conducted to fulfill certain objectives and these objective in turn fulfill some purpose and are of significance for one or more then one party these research is significant for:-

To the Researcher:-

Ø This study provides the researcher a practical insight of various activities and function of the bank

Ø The researcher will also be able to develop on in depth knowledge of banking sector

Ø The study is also required for the partial fulfillment of the requirement for the degree of MBA as per the curriculum

To the Bank:-

The study would help IDBI Bank to know the customers attitude (about awareness and satisfaction level) towards its various products.

1.5 Research Methodology:-

1) Type of Research Research is descriptive in nature

2) Universe Customer of IDBI Bank in New Delhi

3) Sampling Unit Existing customer of IDBI Bank

4) Sampling Technique Convenience method of sampling was used

5) Sample Size 200 respondents

6) Data Type Primary & secondary data

PRIMARY DATA

The Primary data are those which are collected afresh and for the first time, and thus

happen to be original in character.

SECONDARY DATA

The secondary data are those which have already been collected by someone else

and which have already been passed through the statistical process.

CHAPTER - II

2.1 Industry Introduction

2.2 Introduction to IDBI bank: All about

2.3 Management & Organization

2.4 IDBI bank business chart

2.5 IDBI bank organizational chart

2.6 Product & Services

2.7 Subsidiaries of IDBI

2.8 Review of literature

2.1Industry introduction

The Indian Banking industry, which is governed by the Banking Regulation

Act of India, 1949 can be broadly classified into two major categories, non-

scheduled banks and scheduled banks. Scheduled banks comprise

commercial banks and the co-operative banks. In terms of ownership,

commercial banks can be further grouped into nationalized banks, the State

Bank of India and its group banks, regional rural banks and private sector

banks (the old/ new domestic and foreign). These banks have over 67,000

branches spread across the country in every city and villages of all nook and

corners of the land.

The first phase of financial reforms resulted in the nationalization of 14 major

banks in 1969 and resulted in a shift from Class banking to Mass banking.

This in turn resulted in a significant growth in the geographical coverage of

banks. Every bank had to earmark a minimum percentage of their loan

portfolio to sectors identified as “priority sectors”. The manufacturing sector

also grew during the 1970s in protected environs and the banking sector was

a critical source. The next wave of reforms saw the nationalization of 6 more

commercial banks in 1980. Since then the number of scheduled commercial

banks increased four-fold and the foreign banks (numbering42), regional rural

banks and other scheduled commercial banks accounted for 5.7 percent, 3.9

percent and 12.2 percent respectively in deposits and 8.41 percent, 3.14

percent and number of bank branches increased eight-fold. And that was not

the limit of growth.

After the second phase of financial sector reforms and liberalization of the

sector in the early nineties, the Public Sector Banks (PSB) s found it

extremely difficult to compete with the new private sector banks and the

foreign banks. The new private sector banks first made their appearance after

the guidelines permitting them were issued in January 1993. Eight new

private sector banks are presently in operation. These banks due to their late

start have access to state-of-the-art technology, which in turn helps them to

save on manpower costs.

During the year 2000, the State Bank Of India (SBI) and its 7 associates

accounted for a 25 percent share in deposits and 28.1 percent share in credit.

The 20 nationalized banks accounted for 53.2 percent of the deposits and 47.5

percent of credit during the same period.

Current Scenario:

The industry is currently in a transition phase. On the one hand, the PSBs,

which are the mainstay of the Indian Banking system are in the process of

shedding their flab in terms of excessive manpower, excessive non

Performing Assets (Npas) and excessive governmental equity, while on the

other hand the private sector banks are consolidating themselves through

mergers and acquisitions.

PSBs, which currently account for more than 78 percent of total banking

industry assets are saddled with NPAs (a mind-boggling Rs 830 billion in

2000), falling revenues from traditional sources, lack of modern technology

and a massive workforce while the new private sector banks are forging

ahead and rewriting the traditional banking business model by way of their

sheer innovation and service. The PSBs are of course currently working out

challenging strategies even as 20 percent of their massive employee strength

has dwindled in the wake of the successful Voluntary Retirement Schemes

(VRS) schemes.

The private players however cannot match the PSB's great reach, great size

and access to low cost deposits. Therefore one of the means for them to

combat the PSBs has been through the merger and acquisition (M& A) route.

Over the last two years, the industry has witnessed several such instances.

For instance, HDFC Bank's merger with Times Bank Icici Bank's acquisition

of ITC Classic, Anagram Finance and Bank of Madurai. Centurion Bank,

Indusind Bank, Bank of Punjab, Vysya Bank are said to be on the lookout. The

UTI bank- Global Trust Bank merger however opened a pandora's box and

brought about the realization that all was not well in the functioning of many

of the private sector banks.

Private sector Banks have pioneered internet banking, phone banking,

anywhere banking, mobile banking, debit cards, Automatic Teller Machines

(ATMs) and combined various other services and integrated them into the

mainstream banking arena, while the PSBs are still grappling with disgruntled

employees in the aftermath of successful VRS schemes. Also, following

India's commitment to the W To agreement in respect of the services sector,

foreign banks, including both new and the existing ones, have been permitted

to open up to 12 branches a year with effect from 1998-99 as against the

earlier stipulation of 8 branches.

Tasks of government diluting their equity from 51 percent to 33 percent in

November 2000 has also opened up a new opportunity for the takeover of

even the PSBs. The FDI rules being more rationalized in Q1FY02 may also

pave the way for foreign banks taking the M& A route to acquire willing Indian

partners.

Meanwhile the economic and corporate sector slowdown has led to an

increasing number of banks focusing on the retail segment. Many of them are

also entering the new vistas of Insurance. Banks with their phenomenal reach

and a regular interface with the retail investor are the best placed to enter into

the insurance sector. Banks in India have been allowed to provide fee-based

insurance services without risk participation, invest in an insurance company

for providing infrastructure and services support and set up of a separate

joint- venture insurance company with risk participation.

Aggregate Performance of the Banking Industry

Aggregate deposits of scheduled commercial banks increased at a

compounded annual average growth rate (Cagr) of 17.8 percent during 1969-

99, while bank credit expanded at a Cagr of 16.3 percent per annum. Banks'

investments in government and other approved securities recorded a Cagr of

18.8 percent per annum during the same period.

In FY01 the economic slowdown resulted in a Gross Domestic Product (GDP)

growth of only 6.0 percent as against the previous year's 6.4 percent. The WPI

Index (a measure of inflation) increased by 7.1 percent as against 3.3 percent

in FY00.

Similarly, money supply (M3) grew by around 16.2 percent as against 14.6

percent a year ago.

The growth in aggregate deposits of the scheduled commercial banks at 15.4

percent in FY01 percent was lower than that of 19.3 percent in the previous

year, while the growth in credit by SCBs slowed down to 15.6 percent in FY01

against 23 percent a year ago.

The industrial slowdown also affected the earnings of listed banks. The net

profits of 20 listed banks dropped by 34.43 percent in the quarter ended

March 2001. Net profits grew by 40.75 percent in the first quarter of 2000-

2001, but dropped to 4.56 percent in the fourth quarter of 20002001.

On the Capital Adequacy Ratio (CAR) front while most banks managed to

fulfill the norms, it was a feat achieved with its own share of difficulties. The

CAR, which at present is 9.0 percent, is likely to be hiked to 12.0 percent by

the year 2004 based on the Basle Committee recommendations. Any bank

that wishes to grow its assets needs to also shore up its capital at the same

time so that its capital as a percentage of the risk-weighted assets is

maintained at the stipulated rate. While the IPO route was a much-fancied one

in the early ‘90s, the current scenario doesn't look too attractive for bank

majors.

Consequently, banks have been forced to explore other avenues to shore up

their capital base. While some are wooing foreign partners to add to the

capital others are employing the M& A route. Many are also going in for right

issues at prices considerably lower than the market prices to woo the

investors.

Interest Rate Scene

The two years, post the East Asian crises in 1997-98 saw a climb in the global

interest rates. It was only in the later half of FY01 that the US Fed cut interest

rates. India has however remained more or less insulated. The past 2 years in

our country was characterized by a mounting intention of the Reserve Bank

Of India (RBI) to steadily reduce interest rates resulting in a narrowing

differential between global and domestic rates.

The RBI has been affecting bank rate and CRR cuts at regular intervals to

improve liquidity and reduce rates. The only exception was in July 2000 when

the RBI increased the Cash Reserve Ratio (CRR) to stem the fall in the rupee

against the dollar. The steady fall in the interest rates resulted in squeezed

margins for the banks in general.

Governmental Policy:

After the first phase and second phase of financial reforms, in the 1980s

commercial banks began to function in a highly regulated environment, with

administered interest rate structure, quantitative restrictions on credit flows,

high reserve requirements and reservation of a significant proportion of

lendable resources for the priority and the government sectors. The

restrictive regulatory norms led to the credit rationing for the private sector

and the interest rate controls led to the unproductive use of credit and low

levels of investment and growth. The resultant ‘financial repression' led to

decline in productivity and efficiency and erosion of profitability of the

banking sector in general.

This was when the need to develop a sound commercial banking system was

felt. This was worked out mainly with the help of the recommendations of the

Committee on the Financial System (Chairman: Shri M. Narasimham), 1991.

The resultant financial sector reforms called for interest rate flexibility for

banks, reduction in reserve requirements, and a number of structural

measures. Interest rates have thus been steadily deregulated in the past few

years with banks being free to fix their Prime Lending Rates(PLRs) and

deposit rates for most banking products. Credit market reforms included

introduction of new instruments of credit, changes in the credit delivery

system and integration of functional roles of diverse players, such as, banks,

financial institutions and non-banking financial companies (Nbfcs).

Domestic Private Sector Banks were allowed to be set up, PSBs were allowed

to access the markets to shore up their Cars.

Implications Of Some Recent Policy Measures:

The allowing of PSBs to shed manpower and dilution of equity are moves that

will lend greater autonomy to the industry. In order to lend more depth to the

capital markets the RBI had in November 2000 also changed the capital

market exposure norms from 5 percent of bank's incremental deposits of the

previous year to 5 percent of the bank's total domestic credit in the previous

year. But this move did not have the desired effect, as in, while most banks

kept away almost completely from the capital markets, a few private sector

banks went overboard and exceeded limits and indulged in dubious stock

market deals. The chances of seeing banks making a comeback to the stock

markets are therefore quite unlikely in the near future. The move to increase

Foreign Direct Investment FDI limits to 49 percent from 20 percent during the

first quarter of this fiscal came as a welcome announcement to foreign

players wanting to get a foot hold in the Indian Markets by investing in willing

Indian partners who are starved of net worth to meet CAR norms. Ceiling for

FII investment in companies was also increased from 24.0 percent to 49.0

percent and have been included within the ambit of FDI investment.

IDBI bank: all about

The economic development of any country depends on the extent to which its

financial system efficiently and effectively mobilizes and allocates resources.

There are a number of banks and financial institutions that perform this

function; one of them is the development bank. Development banks are

unique financial institutions that perform the special task of fostering the

development of a nation, generally not undertaken by other banks.

Development banks are financial agencies that provide medium-and long-

term financial assistance and act as catalytic agents in promoting balanced

development of the country. They are engaged in promotion and development

of industry, agriculture, and other key sectors. They also provide

development services that can aid in the accelerated growth of an economy.

The objectives of development banks are:

@ To serve as an agent of development in various sectors, viz. industry,

agriculture, and international trade

@ To accelerate the growth of the economy

@ To allocate resources to high priority areas

@ To foster rapid industrialization, particularly in the private sector,

so as to provide employment opportunities as well as higher production

@ To develop entrepreneurial skills

@ To promote the development of rural areas

@ To finance housing, small scale industries, infrastructure, and social

utilities.

2.2 Introduction to the Bank

IDBI the tenth largest development bank in the world has promoted world class institutions in India. A few of such institution built by IDBI are the National Stock Holding Corp. (NSE), the National Securities Depository Services Ltd.( NSDL ) Stock Holding Corp. of India (SHICL) etc. IDBI is a strategic investor in a plethora of institutions, which have revolutionized the Indian Financial Markets.

IDBI promoted IDBI BANK to mark the formal foray of the Idbi group into commercial Banking. Idbi Bank, which began with an equity capital base of Rs. 1000 million (Rs.800 million contribute by IDBI and Rs. 200 millions by SIDBI), commenced its first branch at Indore in November 1995.

The birth of Idbi bank took place after RBI issued guidelines for entry of new private sector banks in January 93. Subsequently, IDBI as promoters sought permission to establish a commercial bank and retained KPMG a management consultant of international repute to prepare the principle approval to establish Idbi bank on February 11th 1994 thereafter the bank was incorporated at Gwalior under companies act on 15th September 1994 with its registered office at Indore. The Certificate of Commencement of Business was received on 2nd December 1994. Bank's registered office is in Indore and Head Office in Mumbai.

One of the reason for the growth of Indian banks like ICICI and IDBI is that they have been allowed freedom to open any no. of branches in a particular city or suburb. They have also been given the freedom to open ATMs unlike in both cases the foreign banks who have been restricted in both of these areas.

2.3 Management & Organisation

IDBI Bank is a Board-managed organisation. The responsibility for the day-to-day

management of operations of the Bank is vested with the Chairman & Managing

Director and two Deputy Managing Directors, who draw upon the support and

expertise of a cross- disciplinary Top Management Team. As on March 31, 2008, IDBI

Bank had a combined employee base of 8989, including professionals from the fields

of accountancy, management, engineering, law, computer technology, banking and

economics.

Mr. Yogesh Agarwal,

Chairman & Managing Director

Mr. Jitender Balakrishnan, Mr. O.V. Bundellu,

(Deputy Managing Director) (Deputy Managing Director)

OTHER BOARD OF DIRECTORS

2.4 IDBI Bank business chart

2.5 IDBI bank organizational chart

2.6 Products & Services

Free services

Following services are provided to every type of A/C holder in general-

ATMs :

Besides cash withdrawals, some of the important things that you can do through the International Debit cum ATM card are :

Balance Enquiry
Statement Request
Cheque-book Request
Mini statements
Cheque and Cash Deposits
International usage
Make purchases at 51,000 merchant establishments in India and over
10 million worldwide.
Fabulous discounts and great deals at various establishments

Internet Banking:

Internet Banking gives you the power to access your bank account from your Personal Computer. Some of the important features of Internet Banking are :
Account Balance Inquiry
Transaction tracking and history
Cheque status inquiry
Funds transfer facilities to Own-account or third-parties
Cheque book Requests
Stop payment Requests
FD renewal Requests

Phone Banking:

Just pick up your phone and access your account. The following features are available through Phone Banking :
Available round the clock 24*7*365
Current Balance Inquiry
Last 5 transactions inquiry
Statement by fax - fax-back, fax to another number, fax to
registerednumber, Statement by mail
Cheque status enquiry
Cheque book request
Balance as of a particular date

Mobile Banking:

The unique feature is that this facility is available across all mobile service providers.
Balance enquiry
Details of Last three transactions
Cheque payment status
Cheque book request
Statement request

Other services

Sunday Banking

Some of our branches are also open on Sundays that gives you an opportunity to complete all your banking requirements at your convenience.

Locker

Our branches provide lockers facility at nominal charges

Who can open Account?

Resident Individuals, Minors, Hindu Undivided Family (HUF), Trusts, Associations, Clubs, Societies, Foreign National residing in India can open a/c.

Documents required for Account Opening:

Account opening form

Latest passport size photograph

Self cheque or cash deposit

Copy of passport

In the absence of passport copy, copy of one document each from List A and List B is required:

List A

Voter's ID card *

Defense services Id/ Government ID

Driving License *

PAN card

Photo credit card

List B

Latest bank account/credit card statement

Latest electricity/telephone/mobile phone bill

Latest copy of LIC policy or insurance premium receipt

Latest copy of NSC

Letter from employer certifying current mailing address

Latest house lease agreement

SuperSavings Account

An assortment of benefits, earnings and convenience.

Be it happiness in life or more time for yourself, you have always desired more

of it. So why settle for less with your savings account?

The SuperSavings Account is a complete financial package that provides you

with easy access to your money and complete banking convenience too. It

offers you a whole range of options for optimal management of your money.

Which means, with SuperSavings Account you not only save your money but

also make it grow.

So apart from the basic benefits of a savings account, we offer you options for

faster transfer of funds, options to pay your bills or tax online and options to

grow money at attractive interest rates in the savings account. All these

features are offered for a minimum balance of Rs 5,000. Please click on the

links given below to find out more about each of these features.

The SuperSavings Account is a complete financial package that provides you

with easy access to your money and complete banking convenience too. It

offers you a whole range of options for optimal management of your money.

Which means, with SuperSavings Account you not only save your money but

also make it grow.

Roaming Current Account

A Current account for every business

No two businesses are the same, which is why IDBI Bank offersfive Roaming

Current Accounts - Gold to suit your

business needs. Based on the balance you choose to maintain in the account,

you can then choose your specific Roaming Current Account accordingly.

IDBI Bank Current Accounts not only gives you the flexibility of banking

anytime, anywhere, but also allows you to save more money while doing

business across the country.

Roaming Current Account from IDBI Bank comes packed with a host of

services and facilities that makes your banking convenient and hassle-free.

With services such as multi-city and multi-branch banking, electronic funds

transfers, national clearing in selected cities, 24x7 cash withdrawals from

ATMs, Internet Banking, Phone Banking and SMS Banking, you are assured

of faster remittances and collection of funds at competitive rates. What's

more, extended IDBI Banking hours and Sunday Banking, all this to simplify

banking for you!

Features:-

@ Make payments to your vendors in different cities without any costs.

@ Receive payments form your customers without any charge deducted from the

amount

@ Do all your banking right from where you are or wherever you travel

@ Most importantly, maintain better relations with your vendors and customers.

All this, only with the IDBI Bank RoamingCurrent Account.

You can open a Current Account (Basic RoamingCurrent Account)with only

Rs 10,000. Keep in mind, you will have to maintain an average quarterly

balance of Rs 10,000. But this is nothing compared to a host of services and

facilities that will make your current account work more effectively and

efficiently.

Open Current Accounts

Following can open current A/c:

Sole Proprietorship Firm

Partnership firm

Private and Public Limited Companies

Hindu Undivided Family

Trusts

Societies, Clubs & Associations

Documents required for account opening:

Sole Proprietorship

Account opening form

Signed declaration in the Account Opening form

Passport Copy or Self-cheque along with a copy of (any one)

>>

Voter ID card

>>

Defence Id/Govt ID

>>

Driving License

>>

PAN card

>>

Photo credit card

In addition the following forms are required

Proof of existence of sole proprietorship firm (any one)

>>

Electricity/Telephone bill for the sole proprietorship firm

>>

Shop and Establishment certificate

>>

Proof of PAN /GIR No or Form 60 (only for cash deposits)

>>

Latest passport sized photograph of the sole proprietor

If the address mentioned in any of the above documents is different from that stated in the account opening form, kindly submit any one of the following to confirm the present address

>>

Ration card

>>

gas connection receipt

>>

latest telephone bill

>>

latest electricity bill

Partnership firm

Account opening form

Signed declaration in the Account Opening form

Passport copies of all partners or Self-cheque along with a copy of (any one)

>>

Voter ID card

>>

Defence Id/Govt ID

>>

Driving License

>>

PAN card

>>

Photo credit card

In addition the following forms are required

Proof of existence of partnership firm (any one)

>>

Shop and Establishment certificate

>>

Copy of registration certificate

>>

Copy of partnership deed

>>

Letter of consent signed by all partners (as per banks format)

Private Limited and Public Limited Companies

Account opening form

Copy of certificate of incorporation

Names and latest passport sized photographs of the authorized signatories

Certified true copy of memorandum and articles of association

Certified true copy of commencement of business

PAN /GIR No details or Form 60

Names, addresses of directors of the companies

Certified true copy of board resolution

Hindu Undivided Family

Account opening form

Signed declaration by Karta and Co-parcenors in the Account opening Form

Names and signatures addresses of Karta and co-parcenors

Names, signatures and latest passport sized photographs of authorized signatories

PAN /GIR No details or Form 60

Trusts

Account opening form

Copy of Trust Deed

Copy of the resolution of the Trustees

Copy of registration certificate

Names and latest passport size photographs of the authorized signatories

Names, addresses of the trustees

Clubs/Societies and Associations

Names and signatures and latest passport sized photographs of authorized signatories

Copy of rules and by-laws

Copy of the resolution of members for account operation

Copy of registration certificate

Account Opening Form

Idbi bank's Business Special Current account gives a host of free services and facilities that ensure optimal utilization of funds, higher liquidity and cost savings. At he same time you don't have to keep a higher minimum balance. You need to keep an Average quarterly balance of Rs. 50,000 only to avail the free services

Business Premium - Bronze (Rs. 1 lac-AQB)

Type of Accounts: Bronze

Ø Average Quarterly Balance (AQB):1lac

Ø Free funds transfers (per month)

Ø Cheque payable locally (in over 65 idbi bank locations) :1.5 cr

Ø Demand Draft per day (on over 65 idbi bank locations) :10 lack

Ø

Demand Draft (on over 300 non-idbi bank locations) :chargeable

Ø

Electronic Funds Transfers :1.5 cr

Ø

Pay Orders : un limited

Ø Free cheque collection (per month)

Ø Outstation cheque collection (on idbi bank locations) :50 lac

Ø Daily cheque pick-up from your establishment* :Yes

Ø Free Inter-branch banking

Ø Any branch cash withdrawal (per day) : 1lac

Ø Any branch cash deposit (per day) : Rs 20,000

Ø Total limit for Free transactions (per day) : 6.86 cr

Ø Cost saving to the customer per year : 16 lac

Also available Basic Current Account (AQB of Rs 10,000). you get monthly statement of account, certificate of balance, seep-in from FD and Net, Phone and Mobile banking facilities - all FREE

Business Premium - Silver (Rs. 3 lacks -AQB)

Types of Accounts: Silver

Ø Average Quarterly Balance (AQB):3lac

Ø Free funds transfers (per month)

Ø Cheque payable locally (in over 65 idbi bank locations) : 3 cr

Ø Demand Draft per day (on over 65 idbi bank locations) :10 lack

Ø

Demand Draft (on over 300 non-idbi bank locations) : 13 lac

Ø

Electronic Funds Transfers : 3cr

Ø

Pay Orders : un limited

Ø Free cheque collection (per month)

Ø Outstation cheque collection (on idbi bank locations) : 1cr

Ø Daily cheque pick-up from your establishment* :Yes

Ø Free Inter-branch banking

Ø Any branch cash withdrawal (per day) : 1lac

Ø Any branch cash deposit (per day) : Rs 50,000

Ø Total limit for Free transactions (per day) : 10.58 cr

Ø Cost saving to the customer per year : 25 lac

Business Premium - Gold (Rs. 5 lacks -AQB)

Types of Accounts: Gold

Ø Average Quarterly Balance (AQB):5lac

Ø Free funds transfers (per month)

Ø Cheque payable locally (in over 65 idbi bank locations) : 5 cr

Ø Demand Draft per day (on over 65 idbi bank locations) :10 lack

Ø

Demand Draft (on over 300 non-idbi bank locations) : 30 lac

Ø

Electronic Funds Transfers : 5cr

Ø

Pay Orders : un limited

Ø Free cheque collection (per month)

Ø Outstation cheque collection (on idbi bank locations) : 1cr

Ø Daily cheque pick-up from your establishment* :Yes

Ø Free Inter-branch banking

Ø Any branch cash withdrawal (per day) : 1lac

Ø Any branch cash deposit (per day) : Rs 50,000

Ø Total limit for Free transactions (per day) : 14.75 cr

Ø Cost saving to the customer per year : 35 lac

Suvidha Fixed Deposits

Save and grow your cash safely

IDBI Bank Suvidha Fixed Deposits have always stood for safety, credibility and

attractive rates of interest. What's more, our interest rates are among the highest in

the industry so you get the benefit of high rates of return on your savings. These

deposits have been further packed with the following features :

@ Anytime access to your deposits

@ Deposits across tenures of 15 days to 9 years

@ Various Options to suit your needs.

Senior Citizens Fixed Deposits

Earn higher rates

If you are a senior citizen, you have the advantage of earning higher interest on your

regular income plans and reinvestment plans. Our interest rates for senior citizens are

higher by 0.50% pa. You can choose from tenure ranging from 46 days to 9 years for

minimum deposits starting from Rs10,000.

Suvidha Tax Saving Fixed Deposit

At IDBI Bank it's been our constant endeavour to provide you with world-class

products and services that help you improve your standard of living and plan ahead

for the future.

With the same spirit in mind, we bring to you 'IDBI Suvidha Tax-Saving Fixed Deposit'

which gives dual benefits of tax exemption u/s 80c of the Income Tax Act and higher

returns on your investments with interest rates at 8.5%* p.a. for regular deposits and

9%* p.a. for Senior Citizens.

Other benefits :

@ Zero Balance Savings Account*

@ Free local Cheque Book

@ International ATM-cum-Debit Card

@ Free Internet Banking facility

Pension Account

Pension, now without any tension

Worried about receiving your monthly pension cheque? Stop worrying. Open an IDBI

Bank Pension Account and get rid of all the hassles of receiving pension payments

month after month.

IDBI Bank's Pension Account gives you the joy of receiving your pension without any

tension.

Sabka Account

IDBI introduces Sabka Account - a savings account that's literally meant for everyone;

absolutely elementary in its approach and with an average quarterly balance

requirement of just Rs 250.

Salient features of Sabka Account

1. Low average quarterly balance

Modern banking facilities with IDBI's Sabka Account with just Rs 250.
2. Debit cum ATM Card and Cheque Book

Get an ATM cum Debit Card and cheque book on request at nominal charges.

The card allows you to transact at IDBI ATMs and shop at retail outlets. The

cheque book however, will help you carry out other banking transactions.

3. Multiple ways to access your account

Now you don't need to visit the bank time and again. Our unique services like

Phone Banking, SMS Banking and Internet Banking will allow you to access your

account from anywhere, anytime

4. Quartely Account Statements

Keep track of your Sabka Savings Account through free quarterly account

statements. If you have registered for Internet Banking, you can also avail of the

quartely account statements via email.

5. Recurring Deposits

This account offers you a recurring fixed deposits service wherein you can earn a

higher rate of interest just by investing a small amount (as low as Rs 500) every

month. There will be no charges for standing instruction for credit to Recurring

Deposits account from the Savings Account.

IDBI ‘Super Shakti' Account for Women

Understanding the specific requirements of our customers, we at IDBI Bank have

introduced a special Savings Account for Women, which we have coined ‘Super

Shakti'. Not only this, along with this account we offer one Zero Balance Savings

Account absolutely free for her child below the age of eighteen years. The Account

offers you a host of features, which include:

@ Free Transactions at other Bank ATMs*.

@ An account opening balance of just Rs.1000

@ An AQB requirement of Rs. 5000.

@ A Zero balance account for your child below the age of 18 years.

@ Debit Card Free for the first year.

@ A free Personalised/Customised PAP Cheque Book.

@ Quarterly Account Statement

@ Free Demand Draft at Home Branch

@ Free Payorder for payment of School/colleges fees and remitting funds to their

parents.

@ Phone Banking

@ Mobile Banking

@ Free Statement by e-mail

@ Demat Account at just Rs.200.

@ Locker services at a concessional rate

@ Investment advisory services.

@ Free local personalized Cheque Book

Home Loans

Home, sweet home, built out of your dreams. A place where you return after a hard

day's work and relax, a place where you share precious moments with your family. A

place that gives you a sense of belonging. IDBI Bank helps you realise your long

cherished dream of owning your home through hassle free and customer friendly

home loans.

Presenting IDBI Bank's ultra flexible home loan you have been looking for. We

realise what owning your home means to you and your family.

You can avail of the Home Loans for constructing a home, purchasing a ready built

house/flat, residential plot and even for re-financing existing loans you may have

availed from other banks or housing finance companies.

Advantages of IDBI Ultra Flexible Home Loans

@ Maximum Funding,

@ Flexibility of choosing between Floating or Fixed interest rate,

@ Attractive rate of interest,

@ EMI on daily reducing balance,

@ Personalised doorstep service,

@ Simple documentation,

@ Legal and technical assistance,

@ Balance transfer facility,

Education Loans

Education loans from IDBI Bank aim at providing financial support to deserving/

meritorious students for pursuing higher education in India and abroad. With an

array of courses to choose from and easy repayment options, IDBI Bank makes

sure you get complete financial backing.

Maximum loan amount :

1. Study in India-Rs.10 lakhs

2. Study Abroad -Rs.20 lakhs

2.7 Subsidiaries of IDBI

Ø

IDBI Gilts Ltd

Ø

IDBI Homefinance Ltd

Ø

IDBI Intech Ltd

Ø

IDBI Capital Market Services Limited

IDBI Capital Market Services Limited

IDBI Capital Market Services Ltd. (head quartered in Mumbai), is a leading

provider of financial services and is a 100% subsidiary of IDBI Bank Ltd.

The company was set up in 1993 with the objective of catering to specific

financial requirements of financial institutions, banks, mutual funds and

corporate houses. The company provides a complete range of financial products

and services that includes:

@ Stock Broking-Institutional and Retail

@ Derivatives Trading

@ Distribution of Mutual Funds

@ Investment Banking

@ PF/Pension Fund Management

@ Retail Marketing of Bonds and IPOs

@ Depository Services

@ Research Services

Over the last 5 years, the company has been ranked amongst the leading

players in each of these businesses. It has a strong agent network which

caters to the investment needs of retail investors in instruments like IPOs,

Bonds, etc.

The company is a major player in the Equity and Derivatives market and a

leading manager of Pension & Provident Funds in the country. The company

has executed several mandates on the Issue Management and Corporate

Advisory Services.

The company offers an online investment portal idbipaisabuilder.in with advanced

features and tools for an easy and informed investing experience in Equities, Mutual

Funds and IPOs.

IDBI Home Finance Limited

IDBI Homefinance Ltd. is 100% subsidiary of IDBI Bank Ltd. acquired the entire

shareholding of Tata Finance Ltd. in Tata Homefinance Ltd. in September 2003. The

name of the company was changed to IDBI Homefinance Ltd. Over the years, the

company has taken steps to enhance its retail reach, strengthen brand image, improve

asset quality, thereby achieving business growth.

IDBI Intech Limited

IDBI Intech Ltd. is a wholly owned subsidiary of IDBI Bank Ltd. IDBI has set

up IDBI Intech Ltd. (INTECH) in March 2000 to tap the opportunities arising

from the IT sector.

INTECH capitalizes on the banking business knowledge acquired over the years

supplemented with experience in Implementation & Management of state-of-the-art IT

Infrastructure, Technology applications and Systems for one of the largest universal

bank in India and uniquely positions itself, in the Information Technology Service

Provider Space, to offer the IT-related products and services to the IDBI Group

companies and the other organizations, focusing mainly on the BFSI sector.

INTECH operates in a multi-dimensional framework and provides IT related services

in the area of Consultancy, System Integration, System implementation & support,

Applications & Server hosting and other IT related managed services and specialized

training.

IDBI Gilts Ltd

IDBI Gilts Ltd. was set up as a wholly owned subsidiary of IDBI Bank Ltd. to

undertake Primary Dealership [PD] Business. In accordance with RBI guidelines, the

PD business of IDBI Capital Market Services Ltd. [ICMS] has been de-linked and

transferred to IDBI Gilts Ltd. The company was incorporated in December 2006 and

became operational from July 24, 2007. The company's business ambit includes Bond

trading, underwriting in auctions of primary issuance of Government dated securities

and treasury bills. In addition, IDBI Gilts also plans to be a major player in the interest

rate and credit derivative market.

2.8 Review of literature

Customer satisfaction :- It is a marketplace.

Every organization has customers of some kind. The organization provides products (goods and/or services) of some kind to its customers through the mechanism of a marketplace. The products the organization provides are subject to competition whether by similar products or by substitution products.

The reason an organization is interested in the satisfaction of its customers is because customers purchase the organization's products. The organization is interested in retaining its existing customers and increasing the number of its customers.

Customer satisfaction is an ambiguious and abstract concept and the actual manifestation of the state of satisfaction will vary from person to person. The state of satisfaction depends on a number of both psychological and physical variables. The level of satisfaction can also vary depending on other options the customer may have and other products against which the customer can compare the organization's products.

Because satisfaction is basically a psychological state, it is a difficult thing to measure quantitatively. In other words, there are no units of satisfaction that have been defined.

CHAPTER-III

3.1 Data collection

3.2 Data analysis & Interpretation

FACTS AND FINDINGS

Sample Status

(1) Distribution of Respondents in terms of age group:

Age group	No. of Respondents' (f)	No of Respondents' (in %)
18-40	133	66.5
41-60	63	31.5
Above 60	4	2

(2) Distribution of Respondents' in terms of sex:

Sex	No. of Respondents' (f)	No of Respondents' (in %)
Male	176	88
Female	24	12

(3) Distribution of Respondents' in terms of occupation:

Occupation	No. of Respondents' (f)	No of Respondents' (in %)
Professionals	34	17
Businessmen	55	27.5
Servicemen	109	54.5
Housewives	2	1

Respondent's responses regarding structured schedule that was asked from them is as follows:

1. Respondents' came to know about IDBI Bank through:

No. of Respondents'(f)	No of Respondents' (in %)
A)	Through Friends/relatives	34	17
B)	Through existing customers	13	6.5
C)	Through advertisement	12	6
D)	Through Bank Employee/s	97	48.5
E)	Just Walked in	44	22

This is clear from the above findings that 48.5% respondents came to know about IDBI Bank through Bank employee/s.

2. Respondents' responses were as follows regarding awareness of following products and services of IDBI Bank

No. of Respondents' (f)	No of Respondents' (in %)
Time Deposit (FD & RD) A/c	18	9
Savings Bank A/c	136	69
Current A/c	40	20
Demat A/c	25	12.5
Internet Banking	78	39
Mobile Phone Banking	86	43
Phone Banking	89	44.5
Debit cum ATM Card	178	89
ATM Services	93	46.5
Insurance	7	3.5
Lockers	12	6
Electronic Fund Transfer	4	2
(EFT)

Above findings shows that most of the respondents were aware of the Debit cum ATM card and another were aware of the Savings Bank A/c and some of the respondents in % is greater than 100% because of multiple responses of customers regarding products and services.

3. Respondents' were having the following A/c with the Bank:

No. of Respondents' (f)	No of Respondents' (in %)
A)	Time Deposit (FD & RD) A/c	8	4
B)	Savings Bank A/c	116	58
C)	Current A/c	46	23
D)	Demat A/c	30	10
E)	Any other	0	0

From the above chart, it is clear that 58% respondents' were having savings bank a/c and 23% respondents were having current a/c with IDBI Bank. Here Demat A/c is Demat + Savings A/c

4. Respondent's responses regarding influencing factor in opening a A/c were as follows:

No. of Respondents' (f)	No of Respondents' (in %)
A)	Goodwill of the Bank	28	14
B)	Facilities provided by the Bank	144	71
C)	Proximity of the Bank	9	5
D)	Any other	19	10

This table shows that maximum no. of respondents i.e. 71% influenced from facilities provided by the bank in opening a A/c.

5. In order to find out satisfaction level of customers, question was asked to respondents and following responses were obtained :

No. of Respondents (f)			No of Respondents ' (in %)
Satisfied	Neither	Dissatisfied	Satisfied	Neither	Dissatisfi
Satisfied	satisfied	ed
Nor	nor
Dissatisfied	dissatis
fied
A)	Employees' knowledge	136	46	18	68	23	9
B)	Customer Services	139	48	13	69.5	24	6.5
C)	Employees' Behavior	127	44	29	63.5	22	14.5
D)	Working hours	141	52	7	70.5	26	3.5

As table shows that 68% respondents were satisfied with employees' knowledge, 69.5% were satisfied with customers services, 63.5% were satisfied with employees' behavior and 70.5% were satisfied with working hours of the Bank.

6. Respondents responses regarding awareness of various bank loan scheme

were as follows:

No. of respondent's (f)	No. of Respondents' (in %)
A)	Yes	112	56
B)	No	88	44

This table shows that 56% of respondents were aware of the various bank loan schemes that will be provided by IDBI Bank, in near future and 44% were not aware about this.

7. When this question "Have customer faced any problem" was asked to customers than the Respondents' responses were as follows:

No. of respondent's (f)	No. of Respondents' (in %)
A)	Yes	79	39.5
B)	No	121	60.5

If yes then does their problem get attended by Bank staff:

No. of respondent's (f)	No. of Respondents' (in %)
A)	Yes	50	25
B)	No	150	75

Above findings shows that 60.5% of respondents had not faced any problem regarding their a/c and the rest 39.5% of respondents, who had faced problem, get attended by Bank staff very well.

8. Respondents' gave following responses regarding deficiencies in IDBI Bank

No. of respondent's (f)	No. of Respondents' (in %)
A)	Seating arrangement	116	58
B)	Water facility	67	33.5
C)	Display of time standards	6	3
D)	Cleanliness of Branch premises	0	0
E)	Suggestion Box for customers	11	5.5

Above table shows that 58% of respondents found deficiency of seating arrangement and other 33.5% respondents found deficiency of water facility of IDBI Bank.

9. Respondent's responses regarding switching over to other bank were as follows:

No. of respondent's (f)	No. of Respondents' (in %)
A)	Yes	109	54
B)	No	91	46

It is clear from the above table that 54% of respondents would shift to other bank, if they provide better services.

10. Respondents' responses regarding referrals were as follows:

No. of respondent's (f)	No. of Respondents' (in %)
A)	Yes	158	79
B)	No	42	21

If yes then why

No. of respondent's (f)	No. of Respondents' (in %)
A)	Facilities provided by the bank	112	58
B)	Better customer services	57	26.5
C)	Any other	0	0
D)	Both responses	31	15.5

Above table shows that 79% of respondents had given referals because of facilities and better customer services provided by the bank

11. Respondents' rated IDBI bank as follows:

No. of respondent's	No. of Respondents' (in %)
A)	Excellent	23	11.5
B)	Very good	139	69.5
C)	Average	38	19
D)	Poor	0	0

Above table shows that 69.5% of respondents rated IDBI Bank 'very good' and no one has rated this bank poor.

ANALYSIS & INTERPRETATIONS

·

When this question "How have customer come to know about IDBI Bank:" was asked to the respondents, then the researcher found the responses by different type of respondents as follows:

Occupation	Through Friends/ relatives	Through Existing Customer	Through Advertisement	Through Bank Employee	Just Walked in	Total
Professionals	7	4	4	17	2	34
Businessmen	10	3	4	26	12	55
Servicemen	17	6	4	52	30	109
Housewives	----	---	----	2	----	2
Total	34	13	12	97	44	200

As per the respondent's response, most of the 50% professionals, 47% businessmen, 48% servicemen & 100% housewives became the customer of IDBI Bank through Bank employees. It shows that Bank employees have played major role in making new customers. Some of other respondents of the total sample became the customer through "just walked in" option because this branch is near to their home and became the customer through friends that means a satisfied cutomer is an advertisement itself to the Bank.

·

When this question "What type of A/c do customers have with this Branch:" was asked to the respondents, then the researcher found the responses by different type of age group respondents as follows:-

Age group	Term Deposit A/c (FD &RD)	Savings Bank A/c	Current A/c	Demat A/c	Any other	Total
18-40	3	95	24	13	0	133
41-60	5	17	22	17	0	63
Above 60	0	4	0	0	0	4
Total	8	116	46	30	0	200

As per the respondents response. all the age group and maximum 18-40 age group persons i.e. 71.43% were having Savings bank A/c with this IDBI Bank. Branch Bikaner because people operate very frequently in this A/c to meet their day-to-day needs.

·

When this question "What influenced customer to open A/c in a Bank:" was asked to the respondent, then the researcher found the responses as follows:

Occupation	Goodwill of the bank	Facilities Provided by the bank	Proximity of the bank	Any other	Total
Professionals	05	24	2	3	34
Businessmen	10	39	----	6	55
Servicemen	12	80	7	10	109
Housewives	1	1	----	----	2
Total	28	144	09	19	200

As per the respondent's responses, 72% of the total respondents in which most of the professional, businessmen & maximum servicemen influenced by facilities provided by the Bank.

· When the question related to deposit facility through ATM was asked to the respondents, then the researcher found the responses by different age group as follows:-

Age group	Yes	No	Total
18-40	101	32	133
41-60	41	22	63
Above 60	3	1	4
Total	145	55	200

As per the respondents response, all age group but specially age group of 18-40 i.e. 76% were aware of the deposit facility through ATM.

· When the question related to daily withdrawal limit of ATM of IDBI Bank was asked to the respondents, then the researcher found the responses by different types of respondents as follows:-

Occupation	Less than Rs. 10,000	Rs. 15,000	Rs. 25,000	Don't Know	Total
Professionals	----	----	28	06	34
Businessmen	----	----	42	13	55
Servicemen	----	----	106	03	109
Housewives	----	----	02	----	02
Total	----	----	178	22	200

As per the respondents' response, most of the 82% professionals, 76% businessmen, 97% servicemen and 100% housewives were aware of the daily withdrawal limit of ATM of IDBI Bank.

· When the question "What kind of deficiencies do customer find in this Bank:" was asked to the respondents, then the researcher found the responses by different type of respondents as follows:-

Occupation	Seating Arrangement	Water Facility	Display of Time Standards	Cleanliness of Branch Premises	Suggestion Box for Customers	Total
Professionals	10	18	3	----	3	34
Businessmen	21	31	1	----	2	55
Servicemen	83	18	2	----	6	109
Housewives	2	----	----	----	----	2
Total	116	67	6	----	11	200

As per the respondents' response, 76% servicemen & 100% housewives found the deficiency of seating arrangement for customers. 53% Professionals & 56% businessmen found the deficiency of Water facility. So it should be taken care off. No one found the deficiency of Cleanliness of Branch Premises. Some of the respondents found the deficiency of Display of time standards and suggestion box for customers. It shows that they are concerned about Branch's internal environment.

CHAPTER-IV

4.1 Suggestions

4.2 Conclusions

Suggestions:

In order to survive in this area of cutthroat's competition, it is very important for an

organization to give the best to its customers'. After going through the study on this project, following suggestion is being forward to IDBI Bank, Bikaner Branch:

1. The reason behind opening a/c in IDBI Bank is facilities and better customer services. So Bank should provide more facilities and services, if it is feasible as compare to other private banks so that the customers will be more benefited.

2. As it is clear that level of awareness of customers is low, so the Bank employees should advertise about the products and schemes amongst the customers aggressively.

3. Progress chart and P & L A/c of the Bank in Manager's room as well as in the premises of Bank should be there so that customers of the bank can get knowledge about the financial positioning of the bank.

4. Bank should provide special product for senior citizens.

5. Adequate seating arrangement for valuable customers.

2.

Suggestion from customer:

Ø Adequate seating arrangement for customer should be there

Ø Attend customer properly

Ø Need to improve customer care & customer services

Ø Loan & limit should be there

Ø Provide ATM card covers to the customer

Ø Arrange weekly or monthly meeting with the customer

Ø Employees behavior should be polite & co-operative

Ø The account opening process should be easy

Ø Bank staff must have uniform

Ø Advertisement of the product should be in proper way

Ø Maximum branches of IDBI Bank should be open in proper way

Ø Accept the small denomination notes of Rs. 10 & Rs. 20

Ø Cash deposit limit should be increased

Ø Separate inquiry staff should be there

Conclusions

On the above basis survey, researcher can recommend that though the customers

are satisfied with the services provided by IDBI Bank, there is a vast scope of

improvement in the level of satisfaction. This can be taking care of suggestions given by different customers. It was also observed that though the Bank has launched various innovative products, the level of customers' awareness about products & services is very low. So, it is suggested that staff of the branches should be more proactive publicizing about their products.

1. Bank employee/s played a great role to influence the respondents in opening an a/c with IDBI Bank.

2. Debit cum ATM card and savings bank a/c but about other products & services the level of customers' awareness is very low.

3. It is concluded from the above research that most of the customers were having Saving Bank A/c with IDBI Bank.

4. From the research, researcher found that facilities provided by the Bank was the prominent influencing factor in opening an a/c.

5. Through the survey the researcher came to the result that most of the respondents were satisfied with the Employees' knowledge, customer services, Employee's behavior and working hours.

6. Researcher found that most of the customers were aware of the deposit facility through ATM and daily withdrawal limit of ATM of this Bank.

7. Researcher found that most of the customers were aware of this Bank.

8. From the research, researcher found that most of the respondents were aware of loan schemes provided by IDBI Bank, Branch Bikaner in near future, will provide that.

9. Through the survey the researcher came to the result that most of the respondents did not face any problem regarding their account.

10. Researcher found that there was a deficiency of seating arrangement for customers in Bikaner Branch premises and other deficiency was water facility.

11. From the research, researcher found that most of the customers of IDBI Bank would shift to other bank, if they provide better services.

12. Researcher found that respondents have given referrals because of facilities and customer services provided by the Bank.

13. Through the survey the researcher came to the result that most of the respondents rated IDBI Bank very good.

CHAPTER-V

Limitations of the study:-

Ø Lack of Banking knowledge

Ø Since the results have been drawn on the basis of the information provided by the respondent changes of responses error might be there.

Ø The time provided for the collection of data was a major constraint and increased size could give better result.

Ø Survey was restricted to New Delhi only, so it is very difficult to generalize.

CHAPTER-VI

NameOccupation..

Age.. Account No

Address

1 How have you come to know about IDBI Bank ?

(A) Through friends / relatives (B) Through existing customers

(C) Through advertisement (D) Through a bank employee

(E) Just walked in

2 Are you aware of the following products and services offered by this bank

(Please tick)

Time deposits(FD & RD Account)	Saving bank account
Current account	Demat account
Internet banking	Mobile phone banking
Phone banking	Debit cum ATM card
ATM services	Insurance
Lockers	Electronic fund transfer (EFT)

3 What type of account do you have with this bank ?

(A) Time deposits (FD & RD A/c) (B) Saving bank account

(C) Current account (D) Demat account

(E) Any other .

4 What influenced you to open an account in this bank ?

(A) Goodwill of the bank (B) Facilities provided by the bank

(C) Proximity to the bank (D) Any other.

5 Are you satisfied with the following:

(Please tick one column for each of the following)

Satisfied	Neither satisfied nor dissatisfied	Dissatisfied
(A)Employees' knowledge	1	2	3
(B) Customer services	1	2	3
(C) Employees' behavior	1	2	3
(D) Working hours	1	2	3

6 Are you aware of the deposit facility through ATM of this bank ?

(A) Yes (B) No

7 What is the daily withdrawal limit of ATM that is provided by this bank ?

(A) Less than Rs.10,000 (B) Rs. 15,000

(C) Rs. 25,000 (D) Don't know

8 Are you aware of the various loan schemes that will be provided by IDBI bank, Bikaner in near future?

(A) Yes (B) No

9 Have you ever faced any problem in this bank?

(A) Yes (B) No

If yes, was your problem attended by the bank staff?

(A) Yes (B) No

10 What kind of deficiencies do you find in this bank ?

(A) Seating facility for waiting customers (B) Water facility

(C) Inadequate display of working hours (D) Cleanliness of branch premises

(D) Suggestion box for customers

11 Would you shift to another bank, if they provide better services?

(A) Yes (B) No

12 Would you suggest anyone to open an account in this bank?

(A) Yes (B) No

If yes, then why?

(A) Facilities provided by the bank (B) Better customer services

(C) If any other (Please specify).

If no then why ?

13 How will you rate IDBI Bank

(A) Excellent (B) Very good (C) Average (D) Poor

14 Please give your valuable suggestions :

Signature

CHAPTER-VII

1. kothari, C.R., Research methodology, new age international publishers.

2. Help from internet

@ www.idbibank.com

@ www.google.com

5

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