Minor Project Report

On
Impact of Digital Marketing

Submitted Toward the partial Fulfilment of the Requirement for

the Award of the Degree of
Bachelors of Commerce (B. Com)

Under the Guidance of

Mr. Kapil Panjwani

Submitted To Submitted By
Dr. Shiva Manoj Name: Preeti Shukla

(Course Incharge) Class: B. Com (6 Sem)

Designation: Head of Department Roll No: 2111762010029
Batch :2021-24
Lal Bahadur Shastri Girls College of Management
University of Lucknow

1
 LAL BAHADUR SHASTRI GIRLS COLLEGE OF MANAGEMENT

CERTIFICATE

This is to certify that Ms. Preeti Shukla, student of B. Com 6 th Semester has done her minor
project report under my guidance as a part of B. Com programme of Lucknow University.
She did a good job.

Date: ___________ Signature

(Mr. Kapil Panjwani)

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 Declaration
I Preeti Shukla hereby declare that this minor project report entitled “A study of Bank and
their facilities” submitted to the University of Lucknow, Lucknow, is a record of an original
work done by me and has been prepared by me towards the partial fulfilment of the
requirement for the award of the Bachelor of Commerce (B. Com) Degree, under the
guidance of “Mr. Kapil; Panjwani”.

Regards,
Date:

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 ACKNOWLEDGMENT

It is really a matter of pleasure for me to get an opportunity to thank all the persons who
contributed directly or indirectly for the successful completion of the project report, “A study
on Banks and their facilities”.

First of all, I am extremely thankful to my college Lal Bahadur Shastri Girls College of
Management for providing me with this opportunity and for all its cooperation and
contribution.

I also express my gratitude to my project guide Mr. Kapil Panjwani for giving me the
encouragement and freedom to conduct my project without whose support and
encouragement I would have not been able to complete this report.

Thank You.

Preeti Shukla

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 Chapter 1
Introduction

What is Banking?
The Banking Regulation Act 1949 defines banking as “According for the purpose of lending
or investment, of deposits of money from the public repayable on demand or otherwise and
withdrawal by cheque draft, order or otherwise”. In addition, banks also offer financial
services, which include:

 Issuing demand draft & traveller’s cheque.

 Credit cards
 Collection of cheques, bill of exchange
 Safe deposit lockers, Custodian services
 Investment and Insurance Services.

The business of banking is highly regulated since banks deal with money offered to them by
the public and ensuring the safety of this public money is one of the prime responsibilities of
any bank. That is why banks are expected to be prudent in their lending and investment
activities. Every bank has a compliance department, which is responsible to ensure that all the
services offered by the bank, and the process followed are in compliance with the local
regulations and the Bank’s corporate police. The major regulation and act governing the
banking business are: -  Banking Regulation Act, 1949  Foreign Exchange Management Act,
1999  Indian contract act  Negotiable Instruments Act,1881 Bank lend money either for
productive purpose to individual, firm, corporate etc. of for buying house property, cars and
to her other consumer durables and for investment purposes to individuals and the others.
However, banks so mot finance any speculative acidity. Lending is risk taking. The Depositor
of banks is also assured of safety of their money by deploying some percentage of deposit in
statutory reserves like SLR& CLR.

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Purpose of Bank:

Banking System

Banking system is an integral sub-system of the financial system. It represents an important

channel of collecting small saving from the households and ending it to the corporate sector.
The Indian Banking system has the Reserve Bank of Indian (RBI) as the apex body for all
matters relating to the banking system. It is the comucopia of Banks of Indian and bankers to
all others banks as well. Product & Services of Bank: - 

 Deposits
 Accounts
 Loans
 Cards
 Insurance
 Cash Management Services
 Mutual Funds
 Demat
 ATM s
 E-Banking or Online Banking
 Remittance service

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  Bill Payment Services
 Tax payment Services
 Railway Tickets Booking
 Public Provident Fund (PPF).

Public Sector Banks in India

Classification of Banks

7
 Bank Profile

Type: Public Sector Undertakings

Enterprise Traded as: BSE: 5324477

NSE: UNIONBANK Industry: Banking, financial services

Founded: 11 November 1919; 100 years ago

Headquarters Mumbai

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Key people: ShriRajkiran Raj G. (MD& CEO) Gopal Singh Gusain& ManasRanjanBiswal

(EDs)

Product: consumer banking, corporate banking, Finance& insurance, investment banking

mortgage loans, Private banking, wealth management.

Owner: Government of India

Website: wwwunionbankofindia.co.in

History

Union Bank of India Union Bank of India (Union Bank) was registered on 11 November
1919 as a limited company in Mumbai and was inaugurated by Mahatma Gandhi. At the time
of India’s independence in 1947, Union Bank of India had four branches- three in Mumbai
and one in Saurashtra, in tread centres. By the time the Indian government nationalized Union
Bank of India in 1969, it had 240 branches. In 1975, Union Bank of India acquired Belgaum
Bank, a private sector bank established in 1930 that had itself merged in a bank in 1964, the
Shri Jadeya Shankarling Bank (Bijapur, incorporated on 10 May 1948). Then in 1985 Union
Bank of India acquired Miraj State Bank, which had been established in 1929, and which had
26 branches. Union Bank expanded internationally in 2007 with the opening of offices in Abu
Dhabi, United Arab Emirates, and Shanghai in the People’s Republic of China. The next year,
Union Bank established a branch in Hong Kong, its first branch outside India. In 2009, Union
Bank opened a representative office in Sydney, Australia. On 30 August 2019, Finance
Minister Nirmala Sitharaman announced that Andhra Bank and corporation Bank would be
merged into Union Bank of India. The proposed merger would make Union Bank the fifth
largest public sector bank in the country with assets of Rs. 14.59 lakh core (US $ 200 billion)
and 9,609 branches. The Board of Directors of Andhra Bank approved the merger on 13
September.

Branches Details of Union Bank of India

Union Bank of India is one of largest state owned bank in India. The bank has a strong
network of 4,298branches as of 30 June 2018. The bank has 28 extension counters, 60
Satellite offices and 48 services branches as of 30 June 2018 in addition to its regular bank
branches.

9
List Of Directors of The Board

10
The bank provides all type of Credit facilities like Fund- Based Credit and Non- Fund Based
Credit. Fund- Based Credit includes Cash Credit. Term Loan and Working Capital Loan.
Nonfunded Based Credit includes Letter of credit, Letter of Guarantee and Buyers Credit.
The branch deals in acquiring the customers, getting limit sanctioned, documentation and
monitoring process.

“The Bank of first choice in our chosen area by building beneficial and lasting
relationship with customers through a process of continuous improvement.”

Vision:

To become the bank of the first choice in our areas by building beneficial and lasting
relationship with customers through the process of continuous improvement.

Mission:

Our corporate mission to gain market recognition inn chosen areas by building effective
strategies. A logical extension of the vision statement is the Mission of the Bank, which is to
gain market recognition in the chosen areas. To build a size able market share in each of the
chosen areas of business through effective strategies in terms of pricing, product packaging
and promoting the product in the market. To facilitate a process of restructuring of branches
to support a greater efficiency in the retail banking field. To sustain the mission objective
through harnessing technology driven banking and delivery channels. To promote confidence
and commitment.

Core value:

 Customer Focus: - Relentless focus on understanding and fulfilling customer needs

through superior service.
 Innovation: - continually generate, validate and implement creative solutions to
business challenges.
 Meritocracy: - Ensure a fair recruitment process and closely link recognition and
reward to performance against goals, irrespective of personal relationships, gender,
religion or ethnicity.
 Integrity: - Uncompromising financial and intellectual honesty to the organization
and oneself with relationships based on mutual trust and openness.
 Team-work: - Willingness to share the glory of achievements as well as responsibility
of failure.

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 DEPOSITS

OFFERED BY UNION BANK OF INDIA

1. SAVING ACCOUNT: -
ELEGIBITLITY: Any Resident Individual- single Accounts, Two or more
Individuals in joint Accounts, Illiterate Persons, visually Impaired persons,
Purdanasheen Ladies, Minors, Associations, Clubs, Societies, etc. Trusts, Institutions/
agencies specifically permitted by the RBI.
SALIENT FEATURES:
 Simplest deposit option available to the depositor.
 An Ideal option to cultivate the habit of banking and saving amongst the
young generation. Easy to operate.
 Terms and conditions kept lucid to facilitate a layman’s understanding.
 No hidden costs.
 Zero balance facility. A student can open Regular Saving Account with zero
balance.
 Deposits are insured by DICGC.
 Interest @ 4% P.a. are being calculated on daily product basis from
01.04.2010 and will be credited four times in a year in Jan, April, July, Oct or
at the time of closing the A/c.
 Any Where/Any Time Banking of your choice as follows:  Branch Banking.
 ATM Banking.  Net Banking.  Phone Banking.
 Provision for nomination.
 Jan Dhan Account - BSBDA, BSBDS
2. CURRENT ACCOUNT: -
A Current account is the most common type of bank account and it is suitable for
everyday use. It is the account which our income (wages or salary) will be paid, and
out of which your monthly bills will be paid. A current account is where you would
get money from in a hurry and where you would pay inn any cheques that you
receive. Banks rarely pay interest on this type of account, so they are not meant for
savings. Union Current claim Account.

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3. FIXED DEPOSIT ACCOUNT:

ELIGIBILTY: Any Resident Individual – Single Accounts, Two or more individuals

in Joint Accounts, Illiterate Persons, Blind persons, Purdanasheen Ladies, Minors,
Associations, Clubs, Societies, etc. Trusts, Institutions/ Agencies, Specifically
permitted by the RBI eligible to open a “Fixed Deposit Receipt Account” inn single
/joint names.
MINIMUM ACCOUNT: Rs 10,000/- for FDR in Metro and Urban Branches and Rs.
5,000/- in Rural and Semi urban branches, and for senior citizens the minimum
amount will be Rs. 5,000/- Minimum Amount criteria will not be applicable to
Subsidy kept under GOVT Sponsored Schemes, Margin Money, earnest money and
court attached/ ordered deposits.

PAYMENT OF INTEREST: (Subject to applicable TDS) Interest will be paid on

quarterly basis and in case the date of interest payment fails on holidays then on the
next working day.

PROVISION FOR NOMINATION: Nomination of is available.

RATE OF INTEREST: - Rate of Interest differs from depending upon tenure of the
deposits and as and when the Bank charges the Rate. Senior citizens are offered
additional interest of 0.50% for deposits placed for 1 year and above period.

4.RECURRING DEPOSIT ACCOUNT: -

ELGBILTY
Any Resident Individual- single Account, Two or more individuals in Joint Accounts,
Illiterate Persons, visually impaired persons, Purdanasheen Ladies, Minors,
Associations, clubs, Societies, etc. Trusts, Institutions/ Agencies specifically
permitted by the RBI eligible to open a “Cumulative Accounts” in single / joint
names.
SALIENT FEATURES:
 Monthly instalments can be for any amount starting from as low as Rs. 50/-
onwards.
 An account can be opened for any period ranging from 6 months to 120
months, in intervals of 3 months.
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  Interest at the permissible rate is compounded every quarter.

Operation and production

Loan disbursement and work flow chart of industrial finance branch of Union Bank of India.

14
15
 Schemes / Services of Union Bank of India

DEBIT CARD

Debit Card Charges: -

Debit card is an instrument that can be used to:

 Avail banking services such cash withdrawal, balance enquiry, value added services
viz. fund transfer, mobile recharge, tax payment etc., from ATM round the clock.
 Make payment to merchants through POS terminals and through online mode.
 Debit cards are accepted at all the ATMs and merchant establishments across the
globe displaying VISA/ Master Card/ Repay logo. Debit cards can also be issued for
domestic transactions alone. Debit cards are issued only to bank account holders. With
increasing technology adoption Debit Cards can be used for many other purposes like
access card, customer validation etc.

Features of Union Bank Debit Card: -

 Green PIN facility (No PIN mailer is required).

 Multiple account access- customer can access three accounts linked to a single card.
 Add-on cards are issued in case of Joint Account.
 Secure online transaction is available through unsecure registration.
 Cash withdrawals are possible at specified merchant locations.
 Free insurance is available against accidental death. (Rs 2 Lac).
 24x7 access to call centre to hotlist the debit card. Customer can also hotlist their
debit card trough SMS, Mobile Banking and internet Banking facility.

How to Apply: -

 Union bank of India issues Debit card as part of ready the kit at the time of account
opening and the cards get activated after its first use for withdrawal at ATM.
 Existing account holders without Debit Cards can download and fill the form and
submit it at the nearest branch to get a Debit Card.
 Customer can contact the nearest branch for add-on card or linking additional
accounts to the Debit Card.
 Online debit card application facility is provided in Bank’s corporate website for the
customers who does not have active card.
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 CREDIT CARD

Union bank Credit Card offers you a hassle free and secured shopping experience at an
assortment of outlets and websites around the globe. This card can also be used for cash
withdrawals at ATM centres.

Features of Union Bank of India Credit Card: -

 No joining fee and annual/ renewal charges.

 Attractive reward points and redemption program, no point redemption charges.
 Attractive spending limit is 20% of the annual gross salary.
 Lowest interest rates and maximum free credit period up to 50 days.
 Authentication for all domestic online transactions.
 EMI scheme for the period of 3/6/9/12/18/24 months at attractive interest rate

GIFT CARDS

Next time you come across the dilemma of what to gift your dear ones, then don’t forget to
get hold of the Union Bank Gift Card. Union Bank Gift cards give the recipients the
flexibility to make purchases of their choice at their favourite store.

Features & Benefits of Union Bank Gift Cards

 Flexibility: - Recipients can use the Union Bank Gift Card at a wide variety of
locations accepting Visa Cards, including restaurants and entertainment venues.
 Convenience: - Recipients can choose where they want to use the card. Person who is
giving gift doesn’t have to go from store to store looking for the right gift. 
 Security: - A Gift card eliminates worries of losing a paper gift certificates, cheque or
cash. Charges & Fees

Gift Card can be obtained for any amount between Rs. 500 and Rs 50,000 and can be used in
India before the expiry date embossed on the card.

It cannot be used to withdraw cash at ATMs.

Each Gift Card is issued at a price of Rs. 50/- each.

UNION FAMILY SAVING SCHEME

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Bank Together, Gain Together. Yes, at Union Bank of India, banking together has become
even more rewarding. Presenting, the Union Bank’s Family Saving Scheme which is
especially designed to meet all the banking requirements of your family members under one
roof. What you need to do is to open the accounts of all the family members & link them
together as a group, to enjoy the flexibility of balance maintenance. The free facilities are the
e based on the collective balance maintained by the family as a whole Thus, all your family
member become eligible to enjoy the privileges.

Features & Benefits:

 Minimum 2 & maximum 6 family members (accounts) can form a group under this
scheme. Customers having multiple SB account with us can also club all his/her
accounts under this scheme along with other family members.
 Family members include Grand Parents, Father, Mother, Brother, Sister, Son,
Daughter.
 The group as a whole will have to maintain Average Quarterly Balance (AQB) of Rs.
1 lakh in SB accounts OR Rs. 10 lakhs in the Term Deposit accounts in order to avail
the benefits. However, for new account opened & grouped under this scheme, the
combined SB balance has been kept at Rs. 50,000. 4. Free facilities starts from day
one. The Facilities can be enjoyed by any member (account) of the family in the
group.
 Clubbing the accounts belonging to the family members is for the identification of the
group and for arriving at the average quarterly balance only. The individual accounts
will be operated, family member). Secrecy and confidentiality of the individual
accounts will not be compromised in any case.

DIGITAL BANKING

 Internet Banking.
 App Banking.
 ATM Banking.
 SMS Banking.
 Self Service Banking.

Internet Banking:

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Union Bank of India offers its customers the facility of internet banking service. With our internet
banking service, you can carry out banking activities from the comfort of your home/office with only
your mouse. Using your internet banking ID and Password, you can view your Union Bank accounts/
do transactions online 24x7 without any hassle. You can transfer funds online to accounts maintained
with any bank in India. You can also access all your Union Bank accounts from all around the world
24x7.

Features & Benefits:

Account/s transaction details.

Viewing/ Printing of account statement.

Transfer of funds in own/ third party accounts in India through NEFT/RTGS.

Direct/Indirect Tax payments.  Utility bill payments like electricity bills, telephone bills, insurance
premium payments, mutual fund payment, credit card payment etc.

Eligibility:

Customer should have at least one operating account with a Union Bank branch.

How to apply:

 Individual customers possessing ATM cum debit card may create internet banking
user id and passwords through our self-user creation module on our website. This is a
very convenient, easy, and quick method.
 To above user may even reset/generate the passwords on their own, without needing
to involve the bank branch, through our self-reset password module with the same
ease.
 Corporate customers should apply through the branch using the internet banking
application format for viewing and transaction facility.

Service Charges:

 Absolutely free of charge for users creating passwords through the self-user creation
& reset password modules.
 Charges application as below when password is sent in printed form to the
retail/corporate users Rs. 150/- postal charges (flat) and Rs. 30/- per password
Rs.250/- postal+ password printing charges (flat) per corporate user.

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  App Banking: UMobile- a milestone in banking field-provides the customers a secure
and convenient means of banking and commerce from anywhere anytime. Customers
can check their account balances, take a mini-statement, transfer money to Union
Bank accounts, other banks, make temple donation, KVS fee payments, stop cheques,
know cheque status, know branch/ ATM locations and even request bank for cheque
books, all this on press of button on mobile. The services are available both on SMS
and GPRS. U Mobile is a secured payment channel since the customer does not
compromise with information like the debit card number or pin. So what are you
waiting for! Explore U Mobile and also refer it to your friends.

Features & Benefits:

 Balance enquiry.
 Mini statement (Last Nine Transactions)
 Fund Transfer
 Within the Bank 1 Mobile to Mobile between two registered customers 2) Mobile to
Account (to any account in Union Bank) To other Banks (Using NEFT platform)
 IMPS fund transfer using Mobile No. and MMID.
 Mobile Recharge
 Feedback and Complaint To cater to needs of customers with low end handsets or a
non-Smartphone, these services are also provided through SMS based mobile banking
service. How to apply: Any Union Bank Debit Card holder can avail the Mobile
Banking facility t any of our ATMs or on our website or through branch or through sin
up option in the itself.

INSURANCE

LIFE INSURANCE

A corporate agency tie-up with Star Union Dia-Ichi Life Insurance Co. Ltd (SUD Life), a
Life insurance joint venture of bank of India, Union Bank of India &Dia–Ichi Mutual Life
Insurance co. Japan has launched a wide range of life insurance products catering to the needs
of different Customer Groups. This venture distributes the following products of the SUD
Life insurance company.

1. Dhan Suraksha: - This is a Unit Linked Endowment insurance plan which provides Death
benefit when death occurs within the term of the policy, maturity benefit if thee policy

20
holder survives the term of the policy. This policy comes with 2 riders which provide
cover against accidental death or permanent disability and cover against critical diseases.
The premium (after recovering allocation chares, insurance premium etc.), which is the
net investment amount will be invested in 4 available fund type y, bond fund, debt fund,
as per choice of the customer. The plan is useful for creating wealth by way of regular
savings (yearly / half-yearly / quarterly / monthly) for a longer period i.e. 10 to 20 years
with life cover by way of insurance. Minimum term of the plan is 5 years and maximum
40 years.

Benefits: -
On maturity the accumulated funds will be paid to the policy holder.
In the event of any untoward incident to the life of the policy holder the accumulated
funds in his policy account or sum assured whichever higher will be payable to nominee.

2. Jeevan Safar: Jeevan Safar is a unique combination of traditional endowment and

whole life plans, which provides death benefit and also survival benefit to the policy
holders. A combination of savings & insurance schemes. It is available for people
between 18 to 70 years of age with the minimum coverage of Rs. 50,000 and no limit on
the maximum coverage. On maturity, sum assured with accrued bonus & loyalty addition
will be payable to the policyholder. Thereafter, the risk cover will continue up to the age
of 99 years. In case of any untoward incident to the life of the policy holder (after
maturity ), the sum assured will be payable to the nominee. It is providing an option to
attach Accidental Death & Total and Permanent Disability benefit rider as well as critical
illness benefit ride. It is also offering Grace period option and reinstatement option to the
policy holders. Income tax benefits are available on this plan as per the current income
tax laws. GENERAL INSURANCE
1. non-life insurance: - UBI alone with NIACL provides a wide range of products in
commercial/ industrial as well as personal line of insurance to facilitate various options
for different customer groups to fulfil their requirements. Bank distributes commercial/
industrial policies covering:
 Stock in Tread
 Plant and Machinery
 Goods in Transit
 Buildings

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  Office Equipment
 Milch Animals
 Agriculture Machinery & Implements etc.
In addition to the above list, Bank also distributes personal line of products such as:
 House holders’ policy
 Medi-claim policy
 Personal accident policy
 Motor policy
2. Religar Health Care: - With religare health insurance plan’s comprehensive coverage,
speedy claim settlements and much more, you can be rest assured you will be worry- free
‘hamesha’ and get industry’s best features. How we make a sensible buy for you –
‘Care’- Health insurance policy has unique features like –
 Cashiess treatment at 2800 + hospitals & Daily allowance.
 Auto recharge of your policy sum insured, if exhausted.
 Get health check-ups for insured members, every year.
 Vail treatment anywhere in the world.
 No claim-based loading & no maximum entry age limit.
 Largest list of day care surgeries covered.
 No paperwork raps. Buy & get policy online.
3. Mediclaim Insurance: - Mediclaim Insurance product in tie-up with The New India
Assurance Co Ltd., which will provide the insurance cover. Scheme available for Union
Bank Customers, irrespective of the fact whether they are maintaining SB/CD/Deposit
Account or having Demat, Borrower Account, Debit Card and Credit Card. Group floater
insurance for a family of maximum four persons (customer, his/ her spouse and two
dependent children). Entry up to 65 years age and it can be renewed up to the age of 80
years. Sum assured is offered in the range of Rs. 50,000/- per family, as per the insured’s
desire. Very competitive premium due to group- floater nature of the product. Premium
paid under this policy will be eligible for deduction under section 80D of income tax Act.

LOANS PROVIDED BY UNION BANK OF INDIA

Housing Loan Scheme: -

Purpose:

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  Purchase of house / flat/ plot
 Construction of house / flat
 Repairs/ improvement / extension
 Repayment of loan taken from other institution

Eligibility:

 Indian citizens not below 21 years

 Singly or jointly with other co- owners
 Individuals employed / self-employed in business / professional

Quantum of loan:

 Maximum 4 times gross/ 5 times net annual income.

 Maximum Rs. 50 Lacs (depending on repayment capacity.)
 No max. ceiling in case of major ‘A’ class cities.
 Maximum Rs. 10 Lacs for repairs. Margin  15% for purchase/ Construction /
Repairs.

Repayment:

 Moratorium up to 18 months.
 Convenient and flexible EMIs through (Step-up / Filp / Balloon) method
 Maximum period should not exceed 20 years for construction/ purchase of house / flat
and 10 years for repairs.
 Union Awas – 15 years.

Rate of interest:

 Low, competitive, interest charged on monthly reducing balance.

 Both fixed & floating rate of interest available.

Vehicle Loan Scheme

Eligibility:

 Individuals of the age 18 years and above.

 Permanent/ Confirmed staff of state/ Central/ PSU/ Pvt. Co. etc.
 Having regular business income or salary.

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  Professional &Self-employed individuals who is an IT assesses.
 Person engaged in agriculture and allied activity.
 Firms/ Companies having valid registration.

Purpose:

 For purchase of new two/ four wheelers, for personal or professional use.
 For purchase of second-hand cars up to 5 years old.

Quantum of loan 3 times the net income/ net annual salary subject to a maximum of Rs. 10.

Margin:

 20% of the cost in case of new vehicle.

 50% for old vehicle. Repayment Up to 60 equated monthly instalments (non-tie up) .
Up to 84 equated monthly instalments (under tie up).

Rate of interest:

 Low and very competitive. Int. charged on monthly reducing balance.

 1/ 2% discount for group borrowers. Security
 Hypothecation of vehicle.
 Personal guarantee.

Education loan scheme

Eligibility:

 Should be an Indian National.

 Should have secured admission to the relevant course.
 Parent’s income should not exceed Rs. 2.50 lac/ year under RBI 2% subsidies scheme.
Purpose Financial assistance to deserving / meritorious students for pursuing higher
studies in India or abroad.

Quantum of loan:

 Maximum Rs. 7.5 lacs for study in India.

 Maximum Rs. 15 lacs for study abroad.

Margin Money:

24
  Up to Rs. 4 lacs: Nil.
 Above Rs. 4 lacs: For studies in India 5%. For studies abroad 15% 33.

INCOME TAX BENIFITS Under Sec. 88 of IT Act. Rebate on college fees paid up to a max.
of Rs. 24,000/- for 2 children @ max. Rs. 12,000/- per child / per year.

Repayment:

 5 to 7 years after completion of course. Collateral Security

 Up to Rs. 4 lacs: Nil.
 Above Rs. 4 lacs: Collateral security equal to 100% of loan amount (or) 3 rd party
guarantee of sufficient means acceptable to the Bank.

Processing charges: Nil.

Rate of Interest:

 Up to Rs. 4 lacs: BPLR (i.e.) 10.75%.

 Above Rs. 4 lacs: BPLR+ 1% (i.e.) 11.75%.
 RBI interest subsidiary scheme: BPLR. 2% (i.e.) 8.75%. (Max. loan eligibility Rs.
4.00 lac only).

Crop Loan

The crop loan is provided to meet all expenses involved in raising a particular crop including
various agronomic.

Eligibility:

Farmers cultivating owned/Registered leased lands/share croppers.

Quantum of loan:

As per the scale of finance fixed by the Technical Committee of each district. [Depending on
merits of each case, branches may sanction crop Loans 35% more than the scale of finance
fixed by district technical committee. In other cases where scale of finance is not specified,
the branch will work out the credit requirements of the farmer.

Margin:

25
YOUR SHARE: - Where loan limit is fixed based on scale of finance approved by Technical
Committee, irrespective of loan amount - Nil For others: [where scale of finance is not
approved] Up to Rs. 1,00,000/- - Nil Above Rs.1,00,000/- - 10% to 15%.

Repayment:

Repayment period will be less than one year for all crops except in the case of long duration
crops such as Sugarcane [assail], Pineapple, Banana etc where it will be 12-18 months.

Gold Loan

Union Gold Loan provides alternate source of credit to needy farmers as well as individuals.

Eligibility:

 All individuals are eligible to avail loan under this scheme.

Quantum of loan:

 Priority sector: -Maximum up to 20 Lac. Non-Priority Sector: Maximum up to Rs.10. lacs.

Business Loan

Union Bank of India supports micro, small and medium enterprises (MSMEs) through its
wide array of business loan schemes. Union bank business loan interest rate depends on the
loan scheme, credit profile of the applicant and other such factors. Let us delve into various
types of business loans that the bank offers its customers.

 Interest Rate: - 9.50% p.a. – 14.80% p.a.

 Loan Amount: - up to 25,00,00,000 Tenure: - up to 10 years.
 Type of Loan: - Pledged.
 How to apply: - To avail the business loan from Union Bank of India. Visit the Soani
branch office. Or you can apply from the comfort of your home through the online
process.

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 Finance

Union Bank Cashflow

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Profit and Loss A/c of Union Bank of India

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Balance Sheet of Union Bank of India

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Marketing Mix Strategy of Union Bank of India

Marketing Mix of Union Bank of India analyses the brand/ company which covers 4 Ps
(Product, Price, Place, Promotion.) explain the Union Bank of India (UBI) marketing
strategy.

Product:

Union Bank of India (UBI) is one of the major banks in India. Union Bank of India provides
a variety of banking products for its customers as its marketing mix product strategy. Many
innovative products using the technology platform are offered adding speed and convenience.
The products include deposits (term, deposits, fixed deposits, recurring deposits). Loans
(home, car and personal). Union Bank of India also has a service card which include Visa
credit card, debit card, corporate cards, international cards etc. Also, UBI provides insurance
schemes, cash management services, mutual funds. Online bill payments, Tax payments,
Dema trading, booking is facilitated smoothly by Union Bank of India. It also provides
special saving schemes for senior citizens.

E-banking services are also offered by Union Bank of India. U control app is a mobile based
application for credit card users. UPI app is mobile based payment app for transferring
money. Union Bank of India has launched various schemes to give credit under MSME
policy to medium, small and micro enterprises.

Price:

Union Bank of India (UBI) has a clear and transparent pricing policy operates in a dynamic
market and hence the pricing keeps changing according the requirements. The main revenue
contributors are the interest rates. It is committed to extend best MSME SERVICES AT
competitive price. In the banking sector, much of the prices and interest rates are governed by
regulatory bodies. Union Bank of India’s pricing policies depend on feedback provided by
general people. Changes in finance market are also one of the major factors of influence.
They have a flexible pricing policy that changes according to external and internal factors.
Price mainly consists of interest rates, consulting fees and commission. Parameters for
defining price are bank product group price specification and competitor pricing. This gives
an insight in the marketing mix pricing strategy of Union Bank of India.

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Place:

Union Bank of India’s operation has spread all over the globe. Union Bank of India has more
than 4200 branches all over India. UBI operates with almost 6000 ATMs in India. Suitable
places for branches and ATMs are analysed and shortlisted. While setting up the ATMs and
branches, the primary concern is the security and safety of the users. These centres act as
distribution centres for rendering banking services to users as and when required. All the UBI
ATMS work 24*7 to ensure the convenience of the customers.

All the Union Bank of India branches are equipped with CBS- core banking solution so that
users all-rounds country can access their accounts at any branch.

Promotion:

Union Bank of Indi (UBI) significantly user various media channels to promote its brand.
The promotion strategy in its marking mix comprises of direct and indirect communication.
Besides emphasizing on modern facilities, the benefit one gets from Union Bank of India
services is also stressed

upon. UBI ds have been placed in print media which has helped a lot. The ads on television
mainly. Comprise of the ease of banking and the new facilities and products that are offered.
The customer inflow has certainly increased after excessive promotions on all sorts of media.
Union Bank of India has launched several commercials one of them being a campaign on its
brand platform “your dream are not your ‘Salone”. The brands message of processing
housing loan in 5 days is put forward Rebranding took place after 2008, through 2 TVCs
aimed at highlighting silent individuals behind achievers.

People:

It is the employees of the bank which present the brand to its customers. The customers base
of Union Bank of India is a large a core. the organization structure mainly consists of a
branch manager who handles a particular branch and is responsible for all the proceedings.
Frontline officers, support staff and customers service executives are the human resource
employed at Union Bank Of India. Various internal competitive exams are organised. The
bank nowadays employs various training activities to build better interpersonal skills and

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ensure best customer service. It is managed by staff college. Bangalore in close consultation
with business units. There are seven staff training centres all over the country.

Process:

Union Bank of India has several business process and frame works in place to execute the
banking services. A process is a particular way of delivering a service to the customer Union
Bank of India has a customer centric and easy way of rendering services to users UBI is user
friendly and necessary guidance and help is available at all the branches in the country. All
resident individuals are eligible to open the savings account. Any number of account can be
opened in a family.

Physical Evidence:

Union Bank of India’s biggest physical presence are their branches debit / credit cards and
website. Union Bank of India is no behind in physical evidence .it has almost all over the part
of the country different signage showing new schemes and promoting easy user experience.
Another form is the financial reports issued at the end of the financial year. Also large number
of hoardings are seen across bank the states which create visibility to great extent Pens and
writing pads are provided by the bank containing Union Bank of India logo to internal
personnel. Some taglines such as Your dreams are not only Yours’ also help creating
visibility.

Branding

Union bank of India says,” We learned we needed to change now because we realized that the
entire population is younger”. The other factor that prompted the rebranding exercise was
technology, which is part of life now. Union bank of India wanted to highlight that it too had
the technology to reach out to its consumers. Union Bank of India will leverage technology to
centralize various processes and empower its staff in customer relationships. The bank is also
Union Bank of India will continue with its earlier tagline, ‘Good People to Bank With’. The
creative proposition that the bank will carry forward is,’ Your Dreams are not Yours Alone’.
This is in a bid to indicate that the bank is ready to help fulfil everyone’s dreams. Union Bank
of India promise to the customer value for money service, a variety of channels through
which the customer can choose to carry out banking activities, a timeline with all services
offered, and absolutely no opaqueness with respect to the service and product.

Risk Management of Union Bank of India

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The bank has a credible and comprehensive risk management structure and has taken various
initiatives to strengthen the risk management practices. The bank has an integrated approach
for management of risk. The risk management policies are commensurate with the business
requirements and are as per the guidelines of Reserve Bank of India. The risk management
system encompasses the different types of risks viz. credit risk, market risk and operational
risk.

Credit Risk: -

1. Credit risk arises from the potential that an obligor is either unwilling to perform on an
obligation or his ability to perform such obligation is impaired resulting in economic loss to
the bank.

2. The bank is exposed to credit risk through lending and investment activities.

3. Bank has well laid down loan policy, credit risk management policy, real estate policy and
credit risk mitigation (CRM) techniques & collateral management policy which covers
guidelines on the entire gamut of credit risk management process. Loan Policy & credit risk
management policy, spells out the target markets, risk acceptance/ avoidance, risk tolerance,
preferred levels of diversification and concentration, credit risk measurement, monitoring and
controlling mechanisms.

4. Bank has an appropriate and independent organizational structure with an oversight

mechanism for management of credit risk, which includes credit risk management committee
(CRMC) of top executives and a separate credit risk management cell looking after the credit
risk. Besides, there is a separate board level committee i.e. supervisory committee of the
board to oversee the function of risk management and ALM.

5. CRMC deals with issues relating to credit policy, procedures and control measures for
credit risk on a bank-wide basis.

Market Risk: -

 Marking risk management is covered is covered in treasury policy, market risk policy
and ALM policy.
 There is a clear-cut separation between front office, back office and mid-office in
treasury operations.
 Mid-office directly reports to the risk management department.

36
Various limits for domestic and foreign exchange operations, e.g. overnight position limit,
daylight open position limit, Var limits stop loss limits, aggregate gap limit( AGL), individual
gap limit ( IGL), counterparty limits etc. are in place.

Value at risk (Var) is being monitored on AFS& HFT G-sec, equity portfolio and forex
transactions on a daily basis.

Operational Risk: -

 A well laid down board approved operational risk management policy is in place.
 Presently operational risk is managed through internal control system, internal audit
process
 New product approval process is in place.
 Analysis of frauds is done from the angle of operational risk to assess thee adequacy
and efficacy of internal controls.
 Guidelines for mapping bank’s activities and income are in place.
 Bank conducts risk and control self-assessment (RCSA) inn respect of various
products/ process.
 Since internal operational risk (or) loss data point are limited in number, bank has
joined external data pooling exercise of IBA.

Awards & Commendations

Union Bank of Indi has been the proud recipient of many awards and commendations. It is an
honour to be appreciated for the work we do in serving the customer and society.
Union Bank of India wins Best Financial Inclusion Initiatives (winner) and Best Technology
Bank of the year (runner-up) Awards from IBA(Indian Bank Association) at Mumbai on 21st
February, 2017.
Union Bank of India wins champion of champions trophy and six individual category awards
for Union Dhara (banks inhouse journal) at the 55th ABCI (Association of Business
Communicators of India) awards ceremony held at Mumbai on 18th March 2016.
Union Bank of India wins Banking Disruptor of the year Award 2016 for Product Union Self
(Excellence in Advertising &Marketing) awards by Bloomberg TV India-18 March, 2016.

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Union Bank of India won the following awards under Corporate Social Responsibility.
1. Bank with Best CSR practices awards was presented to Union Bank Social Foundation
2. CSR Leadership Award for promotion Employment for the physically challenged.
3.CSR Leadership Award for best use of CSR practices in Banking Sector
4.Excellence in Banking (PSU category).
5.Best Bank in Public Sector under Banking Financial Services & Insurance category.
Union Bank of India was presented Golden Peacock Awards for excellence in HR practices
during the 10thInternationl Conference on Corporate Social Responsibility conducted by the
institute of Directors.
Union Bank of India wins the Prestigious ‘1st Best Vigilance Excellence Awards(2015-16) in
Individual Category’.
Union Bank of India won 6 IBA (Indian Bank Association) Technology Awards 2015-16

Under following categories.

1. Best Technology Bank of Year.
2. Best use of Digital & Channels Technologies.
3. Best use of Technology to enhance Customer Experience.
4. Best Risk Management, Fraud, Cyber Security.
5. Best Financial Inclusion Technology Initiatives and
6. Best Payment Initiatives.

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 SWOT Analysis

A SWOT analysis is a strategic planning method used to evaluate the strengths, weaknesses,
opportunities and threats involved in a project or a business venture. A good SWOT analysis can
help you reach your online marketing goals or kick your business startup into high gear.

To better understand the SWOT analysis of Union Bank of India, refer to the infographic below:

Strengths

Public Bank: Since the bank is a public sector undertaking, it has the backing of the
government.
 Efficient Services: The bank is efficient in managing its assets and providing ROA which
is also improving over the last 2 years.
 Growing Reach: UBI has a huge geographical presence in the country, thus making it
accessible to the customers and increasing its reach to the target market.
 Financially Backing the Agriculture Sector: Financial Facilities for the agricultural
sector give a positive push to the agriculture sector to grow more.
 Customers as Main Priority: They emphasise providing benefits to customers. UBI’s
main motive is customer satisfaction that’s why UBI comes up with effective financial
solutions and home loan services.
 Empowering Employment: Union Bank of India has over 27,700 employees,
empowering employment in the nation.
 International Presence: It has representative offices in Abu Dhabi, United Arab
Emirates, and Shanghai, People’s Republic of China, Australia and a branch in Hong
Kong.
 Easement of Banking: Online Telebanking facilities are available to all its core
customers and individuals as well as corporate.
Weaknesses

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  Less International Presence: Nominal international presence as compared to leading
players.
 Lack of Digital Customer Support: They do not respond to their customer’s queries and
do not guide them which helps their competitors.
 Less Advertisement Leads to Lower Brand Presence: The bank has to work out more
on marketing its services. It has to come up with regular campaigns both online and offline
to bring in new customers or to retain existing customers.

Opportunities
 Expansion: Union Bank of India needs to expand its presence in the rural market.
 Increasing Investments: Increasing its Non-SLR investments will result in increased
profits.
 Interests Rates: UBI can make credit cards more profitable by increasing the interest rate
and the non-performing assets can be eased.
 Digitalization: With the Internet, the world has become a smaller place that helps in
communication in any part of the world. This helps the bank get into the international
market and target the global audience which helps to increase profitability.
 Other Opportunities: Small scale business banking, more global penetration through
international banking, acquisition of smaller local banks in India.

Threats
 Private Sector Banks are Increasing Its Competition: Private sector banks are
developing novel investment packages and thereby gaining market share among retail
consumers.
 Economic Crisis: As a result of the economic crisis, clients are not saving money in
banks, reducing bank liquidity and making it difficult to operate efficiently.
 Changing Policies: Banking policies are governed by Reserve Bank of India (RBI) laws
and regulations, therefore any changes made by the RBI have a direct impact on the bank’s
operations.
 High Competition: The primary competitors are Bank of Baroda, Canara Bank, Bank of
India, Central Bank, Indian Overseas bank which are performing well.
 Online Banks: Loans are provided online by private banks which pose a threat to the
Union Bank of India.

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  Tech-Platforms: New-age technology like payment wallets are affecting the business of
the bank.

Chapter 2
Research Methodology
Research Topic: -
A Study of Bank and their Facility.

Area of Research: -
Finance

Research Objective: -
Because of the following reasons, I prefer this project work to get the knowledge of the
banking system:
 Banking is an essential industry.
 It is where we often wind up when we are seeking a problem in financial crisis and
money related query.
 Banking is one of the most regulated businesses in the world.
 Banks remain important source for career opportunities for people.
 It is vital system for developing economy for the nation.
 Banks can play a dynamic role in delivery and purchase of consumer durables.

Secondary Data: -
The secondary data has been collected from
Annual Reports and Journals.
The official website of Union Bank of India.

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 Chapter 3

Solution of problem and issues

 The Union Bank of India must have changed their policy of remuneration.
 They must have provided the proper incentives to employee as per their performance
appraisal.
 Company must provide the task-oriented work to their employees and give the proper
opportunity to the work innovative manner and quality work.
 They must provide the training for at list 2 months for new employees and give the
real work experience.
 Company must develop the recruitment procedure for the new employee’s
recruitment. Make examination of the finance aspect of the company the examination
question is ask on finance field which are mostly come in the original work on IFB.
 They have to cheek whether the employee are capable for the IFB work he must have
knowledge regarding project finance.

Findings

The advances of UBI have similar socio-economic impact on urban and rural
beneficiaries. Significant association between Location and levels of impact is observed
at 5 % level of significance. As per impaired test the urban and rural location of
beneficiaries differs significantly with respect to total impact and social impact do not
offers significantly with respect to economic impact. The study also found that, urban and
rural beneficiaries have similar economic impact.

42
 Conclusion

In Conclusion, banking holds a crucial role in our day-to-day life. We must adhere to the
banking system as responsible citizens. The banking system acts as a crucial base for the
financial system as well as the entire economic system of the country. It provides a base
to the market and the companies. In a crux, we can say that it is the source of channelling
the finance by the people of the country. ICB bank, KMB, IDL and HDB banks are first
four super-efficient banks during the study period. Their super-efficiency scores suggests
that they can maintain their 100% overall technical efficiency even after increasing their
present level of inputs by about on an average 25%. But, the first four banks as per
overall rankings are HDB, KVB, SBT, and KMB and four least efficient banks are IVB,
BOR, UCB and DLB banks. The study has revealed that there is a significant positive
relation between financial efficiency and technical efficiency. Thus, banks which are
technically efficient are also financially sound with greater profitability and lower risk.
The analysis of risk
return matrix for efficient banks and inefficient banks separately facilitates to categorize
two extreme groups of sample banks- most efficient and most inefficient. Most efficient
banks i.e., all round efficient banks are HOB, KVB, IOB, KTB, SBT, KMB, AXB, FDB,
COB, UBI, and OBC. Most inefficient banks i.e.. Relatively unprofitable. unsecured and
technically inefficient banks are SBJ, BOB, Bol, SIB, CBP, DEB, BOM, BOR, LVB,
IVB, UCB, DLB. With this analysis the study has finally concluded that these all-round
efficient banks are the India ·s efficient banks of 'Today'. From the trend of magnitude of
frequency in reference sets and the year wise overall ranking position over the study
period, the study is likely to predict that six banks from the all-round efficient banks
group viz. HDB, KVB, SBT, KMB. FOB, COB. UBI and three other banks viz. IDL,
CUB and ICB which are on the verge of achieving the all-round efficient bank status are
the India's efficient banks of "Todorov' unless there is a radical shift m their fortune. 171
Summary of Recommendations and Conclusions The practical implication of the research

43
 findings is that this study provides inefficient bank wise input output improvement plan
which can make them technically efficient. The study suggests which banks should go for
scaling down or scaling up their activities in order to take the advantages of economics of
scale. The study also provides efficient bank and inefficient bank wise their respective
peer banks.

References

www.statistica.com

https://www.researchgate.com

https://www.studocu.com

https://www.academia.edu

https://blog.hubspot.com

https://www.scribd.com

http://www.marketexpress.in

https://www.nibusinessinfo.co.uk

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