Chapter 1: Introduction

1.1 Introduction of the Study

In today’s financial world, banks play a crucial role in managing money, providing
credit, and offering financial services. For finance students, understanding banking
operations is essential. While theoretical knowledge from textbooks is important,
practical exposure through bank visits provides hands-on experience that
complements academic learning.

This project is designed to document the practical experiences gained during visits to
multiple banks. It details the observations made during these visits, the functioning of
various banking services, and the use of technologies in banking. The study aims to
enhance understanding of how banks operate and offer their services to customers.

Introduction to Banks and Their History:

The State Bank of India (SBI) is the largest and oldest bank still in operation in today.
It began as the Bank of Calcutta in June 1806 and was renamed the Bank of Bengal in
1809. This bank was one of three established by a presidency government; the others
were the Bank of Bombay (1840) and the Bank of Madras (1843). In 1921, these three
banks merged to form the Imperial Bank of India, which became the State Bank of
India in 1955 after India gained independence.

For many years, these presidency banks acted similarly to central banks until the
Reserve Bank of India was established in 1935. In 1960, SBI was given control of
eight state-associated banks under the State Bank of India (Subsidiary Banks) Act,
1959. These associated banks merged with SBI on April 1, 2017, making it the largest
bank in India. In 1969, the Indian government nationalized 14 major private banks,
including the Bank of India.

The Indian banking sector is divided into scheduled and non-scheduled banks.
Scheduled banks are included in the 2nd Schedule of the Reserve Bank of India Act,
1934, and are further classified into nationalized banks, SBI and its associates,
Regional Rural Banks (RRBs), foreign banks, and private sector banks. After merging
its associate banks, SBI ranks 236th on the Fortune 500 index.

The first bank in India was the Bank of Hindustan, established in 1770 in Calcutta,
but it failed and ceased operations in 1832. Before independence, over 600 banks
were registered in India, but only a few survived. Other notable banks included the
General Bank of India (1786-1791), Oudh Commercial Bank (1881-1958), and the
presidential banks established by the East India Company: the Bank of Bengal, Bank
of Bombay, and Bank of Madras. These three later merged into the Imperial Bank of
India, which was nationalised in 1955 to become SBI.

1
 Nationalisation in 1969
In the 1960s, the Indian banking sector had become crucial for the country’s
economic development and was a major employer. This led to discussions about
nationalising the banking industry. Prime Minister Indira Gandhi announced the
government’s intent to nationalise banks at an All India Congress meeting.

As a result, on July 19, 1969, the Indian government nationalised 14 of the largest
commercial banks, each with reserves over Rs. 50 crore, which accounted for 85% of
the country's bank deposits. Within two weeks, Parliament passed the Banking
Companies (Acquisition and Transfer of Undertakings) Bill, which received
presidential approval on August 9, 1969.

Banks nationalised in 1969:

1. Allahabad Bank (now Indian Bank)
2. Bank of Baroda
3. Bank of India
4. Bank of Maharashtra
5. Central Bank of India
6. Canara Bank
7. Dena Bank (now Bank of Baroda)
8. Indian Bank
9. Indian Overseas Bank
10. Punjab National Bank
11. Syndicate Bank (now Canara Bank)
12. UCO Bank
13. Union Bank of India
14. United Bank of India (now Punjab National Bank)

Nationalisation in 1980
In 1980, the Indian government nationalised six more commercial banks to gain better
control over credit delivery. After this move, the government controlled about 91% of
the banking sector. The banks nationalised included:

1. Punjab and Sind Bank

2. Vijaya Bank (now part of Bank of Baroda)
3. Oriental Bank of Commerce (now part of Punjab National Bank)
4. Corporation Bank (now part of Union Bank of India)
5. Andhra Bank (now part of Union Bank of India)
6. New Bank of India (now part of Punjab National Bank)

2
 Liberalisation in the 1990s
In the early 1990s, the Indian government began liberalising the banking sector,
allowing a few private banks to operate. These new banks, known as New Generation
tech-savvy banks, included:

1. Global Trust Bank (the first of its kind, later merged with Oriental Bank of
Commerce)
2. Indusind Bank
3. UTI Bank (now Axis Bank)
4. ICICI Bank
5. HDFC Bank

This liberalisation, along with India’s rapid economic growth, revitalised the banking
sector, contributing to a balanced growth among government, private, and foreign
banks.

Recent policies have proposed relaxing foreign direct investment norms in banks,
allowing foreign investors to have more voting rights. For instance, Bandhan Bank
increased the foreign investment limit to 74% with some restrictions.

These changes transformed the banking landscape in India. Traditional banking

practices were updated, leading to a retail boom as customers began demanding and
receiving more services from their banks.

History of Banking in India:

3
 1.2 Objectives of the Study

The objectives of this study are:

- To understand the different types of accounts offered by banks.
- To observe and learn about the process of NEFT (National Electronic Funds
Transfer) and RTGS (Real-Time Gross Settlement) transactions.
- To analyse the procedure for cheque clearing and locker operations.
- To understand the functioning of deposits and withdrawal slips, as well as fixed
deposit schemes.
- To observe the use of modern technologies in banks such as cash deposit machines,
ATMs, and online banking facilities.
- To gain practical knowledge of the bank account opening procedure and other
banking services.

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 1.3 Rationale of Study

The rationale behind this study is to bridge the gap between theoretical knowledge
and practical application. In the classroom, students learn the concepts of banking and
finance, but visiting actual banks provides a more in-depth understanding of how
these concepts are applied in real-world scenarios.

By interacting with banking professionals and observing the day-to-day operations of

a bank, students gain valuable insights that cannot be fully covered in textbooks.

Business exposure is an important part of learning because it helps students see how
things work in the real world. It connects what they learn in class with actual job
experiences.

Depending on what they’re studying, students might have different types of business
exposure. For example, financial management students might visit banks to see how
they operate. Marketing students could check out different retail stores to learn about
selling and managing products. Human Resources students might visit various
companies to understand how different departments work.

Overall, business exposure helps students understand their subjects better and gives
them a better idea of what their future jobs will be like. It’s like getting a preview of
the real work environment before they start their careers.

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 1.4 Limitations of the Study

Although this study provides practical exposure, it does have certain limitations:

- The study focused on a small number of banks.

- Findings may not apply to banks in different regions.

- Certain internal processes were not observable.

- Primarily focused on management views, lacking customer and employee insights.

- Findings may not reflect long-term trends or impacts.

- Did not fully account for economic or regulatory influences.

- Reliance on qualitative methods may introduce bias.

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 Chapter 2:
RESEARCH METHODOLOGY

2.1 RESEARCH METHODOLOGY

Primary Data: - Data that has been generated by the researcher him/herself, surveys,
interviews, experiments, specially designed for understanding and solving the
research problem at hand.
Questionnaire method
A questionnaire is a list of questions or items used to gather data from respondents
about their attitudes, experiences, or opinions.
Questionnaires can be used to collect quantitative and/or qualitative information.
Questionnaires are commonly used in market research as well as in the social and
health sciences.
1. GS MAHANAGAR CO-OPERATIVE BANK LTD
2. AU SMALL FINANCE BANK
3. ABHYUDAYA CO-OPERATIVE BANK
Secondary Data
- Online resources such as bank websites.
- Articles and journals on modern banking operations.
- Books and academic publications related to banking and financial services.

The methodology used involved observing the day-to-day operations of the banks,
recording the information shared by bank employees, and gathering relevant data
from the banks' brochures and online portals
Secondary Sources
Industrial Development Bank of India
https://www.idbibank.in/

AU SMALL FINANCE BANK

https://www.aubank.in/

AXIS BANK
https://www.axisbank.com/

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 CHAPTER 3
3.1 GUEST LECTURE

INTRODUCTION:

The speaker of the guest lectures was Mr.Tejas Abhonkar Due to changing customer
expectations, technological advancements, and the need for innovation, the financial
services industry is undergoing a rapid digital transformation. The integration of
technology in the banking industry dates back to the introduction of automated teller
machines (ATMs) and electronic funds transfer systems in the 1960s. Over the
decades, advancements in computing power, the internet, and digital technologies
have transformed the way banks operate and interact with their customers.

WHAT IS TECHNOLOGY IN BANKING?

Banking technology refers to the various digital solutions, tools, and systems that
financial institutions employ to streamline operations, enhance customer experiences,
and drive innovation.
Technology in banking encompasses a range of digital tools and systems designed to
enhance financial services and streamline operations. From online banking platforms
to advanced security measures, these innovations are transforming how banks interact
with customers and manage transactions. By leveraging technologies like artificial
intelligence and block-chain, the banking industry is becoming more efficient, secure,
and customer-focused.

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FOCUS ASPECTS OF COMMERCIAL BANKING NOW ARE:
MIS AND INTERNET: Management information system (MIS) refers to a large
infrastructure used by a business or corporation, whereas information technology (IT)
is one component of that infrastructure that is used for collecting and transmitting
data.
ATMs: ATMS, or automated teller machines, are banking outlets where you can
withdraw cash without going into a branch of their bank. Some ATMs only dispense
cash, while others allow transactions such as check deposits or balance transfers. The
first ATMs appeared in 1960s and now number more than 2 million worldwide.
POS TERMINALS AND CASH DISPENSER: POS, or point of sale, is a device that
enables merchants to process payments and log transactions. It is essentially a
computer-based cash register with software capable of tallying up orders, taking
payments, monitoring inventory and buying trends, and collecting marketing data.
CARD MANAGEMENT: The end-to-end solution enables complete card issuing and
account management. The platform is designed to provide stable, efficient, and
convenient operation for its use, as well as to meet the needs of ambitious banks and
processing centres of all sizes.
DOCUMENT MANAGEMENT: Document management is a system or process used
to capture, track and store electronic documents such as PDFs, word processing files
and digital images of paper based content.
RESOURCES MANAGEMENT: Resources management means bank only accept the
deposit and giving the loans.
RISK MANAGEMENT: Risk management in banking refers to the comprehensive
strategies and practices that financial institutions use to identify, monitor, and mitigate
risks that could potentially impact their operations and financial health.
CRM (CUSTOMER RELATIONSHIP MANAGEMENT): CRM is the strategy for
building, managing and strengthening loyal and long-lasting customer relationships.
CRM is a customer centric approach based on customer insight.
ANY BRANCH BANKING: Branch banking refers to the operation of storefront
spinoffs that offer the same key services as the institution's flagship home office.
ELECTRONIC BANKING: Electronic banking is a banking method that relies on
electronic technology to conduct financial transactions, replacing traditional paper-
based processes. It includes transferring funds between accounts or between financial
institutions and firms using electronic methods.
CORE BANKING (CBS): Core banking is the hub, or back-end connection, for
multiple branches of the same bank that allows customers the freedom to access
account transactions in a single safe entity. Core banking operations can include loan

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management, new accounts, deposits, and withdrawals, among other financial
services.

Visit No. 1

IDBI Bank
(Schedule Bank)

IDBI Bank Overview

 Founded: 1964 as Industrial Development Bank of India; restructured as a

commercial bank in 2005
 Public Listing: Listed on NSE and BSE
 Market Capitalization: ~₹70,000 crore (as of 2023)
 Headquarters: Mumbai, India
 Website: idbibank.com
 Contact: 1800 209 4324 | Email: customercare@idbi.co.in

Company Journey

 IDBI Bank started as a development bank to finance and support the industrial
sector in India and transitioned to a full-fledged commercial bank in 2005.
 The bank has consistently focused on expanding its customer base and
enhancing service delivery through technology.

Foundation and Early Years (1964-2000)

 1964: Established as a development bank to provide credit and support to the

industrial sector.
 1980s-1990s: Expanded its reach by opening branches across India and
diversifying its financial products.

Transition to Commercial Banking (2005)

 2005: IDBI Bank transitioned from a development bank to a commercial bank,

broadening its service offerings to retail and corporate customers.

Expansion and Technological Advancements (2006-2015)

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  2006: Launched a range of retail banking products to cater to individual
customers.
 2008: Implemented advanced digital banking solutions, enhancing customer
service through internet and mobile banking.
 2014: IDBI Bank introduced its mobile banking app, providing customers with
easy access to banking services.

Strategic Acquisitions and Partnerships (2016-2020)

 2016: Collaborated with various fintech firms to enhance digital offerings and
improve operational efficiency.
 2019: Acquired a significant stake in several fintech startups to innovate in
areas such as payments and lending.

Recent Developments and Future Outlook (2021-Present)

 2021: Launched the “#IDBIMakeInIndia” campaign, emphasizing support for

local businesses and startups.
 2022: Enhanced digital services, including AI-driven customer support and
personalized banking solutions.
 2023: Focused on sustainability and green banking initiatives, expanding its
commitment to responsible banking practices.

Key Services

 Savings Accounts: A variety of options with competitive interest rates.

 Current Accounts: Customizable solutions for businesses of all sizes.
 Loans: Personal, home, car, and business loans with attractive rates.
 Fixed Deposits: Multiple tenure options with varying interest rates.
 Digital Banking: Comprehensive mobile and internet banking services.

Commitment to Customer Experience

IDBI Bank prioritizes digital transformation and customer service, providing seamless
banking solutions through various channels.

 Financial Inclusion: Continues to launch initiatives aimed at serving

underbanked populations.
 Sustainable Practices: Committed to eco-friendly operations and responsible
financing.

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IDBI Bank Account Offerings

Savings Account

IDBI Bank offers a diverse range of savings accounts to meet customer needs,
providing capital protection and attractive interest rates. Types of Savings Accounts:

 IDBI Digital Savings Account: Fully online account with competitive rates.
 IDBI Salary Account: For salaried professionals, featuring zero balance and
easy transfers.
 IDBI Senior Citizen Savings Account: Special interest rates for senior
citizens.
 IDBI Women’s Savings Account: Tailored offerings promoting financial
empowerment.
 IDBI NRI Account: For Non-Resident Indians, facilitating easy fund
management.
 IDBI Kids Account: Designed for children to learn about savings with
parental control.
 IDBI Student Account: Features designed for students, including free digital
banking.

Current Account

IDBI Bank’s current accounts are designed for businesses, providing tools for daily
operations. Key Features:

 Zero Balance Requirement: Options that do not require maintaining a

minimum balance.
 Customizable Services: Tailored offerings for specific business needs.

Current Account Opening Documents:

 Application form
 PAN Card
 KYC documents
 Address proof
 Initial funding cheque

Salary Account

The IDBI Bank Salary Account is perfect for professionals, serving as a hub for
financial activities with numerous benefits. Key Benefits:

 Zero balance maintenance.

 Competitive interest rates.
 Free debit card and additional offers.

12
Eligibility Criteria:

 Must be an on-roll employee of a company partnered with IDBI Bank.

How to Apply for an IDBI Salary Account:

 Online: Complete the online application form, and a representative will assist
you.
 Through HR: Contact your HR department for assistance.
 In-Person: Visit the nearest IDBI Bank branch with KYC documents and a
passport-sized photo.

Documents Required:

 Aadhaar Card Number

 Original PAN Card
 Employment confirmation proof (e.g., recent salary slip or offer letter)
 Application form
 Recent colored photograph
 KYC documents (e.g., passport, Voter ID)

Expansion and Growth

 Extensive branch and ATM network across India, with a focus on international
presence.
 Commitment to financial inclusion and serving underserved segments.

Ratings

 IDBI Bank consistently receives strong credit ratings from major agencies,
reflecting its financial stability.

Fees & Charges of IDBI Salary Account

IDBI Bank is dedicated to transparency in its fee structure. Charges may vary based
on account type and services. Common fees include:

 Debit Card Fees: Annual fees for various debit card types.
 Transaction Fees: Charges for fund transfers and cash withdrawals.
 Service Charges: Applicable for payment and collection services.
 Account Maintenance Fees: Charges for not maintaining the minimum
balance (if applicable).

For the most accurate and updated fee details, customers are encouraged to check
IDBI Bank's official website or contact customer service.

13
Loan Offerings

IDBI Bank offers a variety of loan products to meet different financial needs. Here are
the types and typical interest rates:

Type of Loan Interest Rate (%)

Personal Loan 10.50 to 16.00
Home Loan 8.40 to 9.60
Vehicle Loan (Personal) 9.25 to 11.25
Vehicle Loan (Commercial) 10.50 to 12.50
Education Loan 10.00 to 12.00

Note: Interest rates may vary based on the customer’s creditworthiness and CIBIL
score.

Fixed Deposit Options

IDBI Bank provides several fixed deposit schemes with attractive interest rates:

Type of Fixed Deposit Interest Rate (%) Interest for Senior Citizens (%)
Regular Fixed Deposit 7.00 to 8.00 7.50 to 8.50
Tax Saver Fixed Deposit 7.00 7.50
NRE/NRO Fixed Deposit 7.00 to 8.00 7.50 to 8.50

Conclusion

IDBI Bank offers a comprehensive range of banking services, including transparent

fees, various loan products, and attractive fixed deposit schemes tailored to meet
diverse customer needs. For detailed information on specific products and the latest
rates, it is advisable to visit the bank's official website or contact their customer
support.

14
NEFT/ RTGS Form

15
Account Opening Form

16
17
 Visit No. 2

AU Small Finance Bank

(Schedule Bank)
The company was founded in 1996 by Sanjay Agarwal (managing director and CEO
of AU Small Finance Bank) as a private limited company, and publicly listed in an
IPO on 29 June 2017.
He is a merit holder-Chartered Accountant and a first-generation entrepreneur. AU
Small Finance Bank is listed on NSE & BSE with market capitalization of ~Rs.
47,987 crore. On its first day of trading, the stock rose 51% to be the most expensive
bank in India based on price-to-book.
In November 2017, the Reserve Bank of India added the bank to its schedule of
commercial banks, further improving the bank's growth prospects by reducing the
cost of short-term funds and improving the bank's ability to provide services.
Company type – Public
BSE – 540611
NSE – AUBANK
ISIN - INE949L01017
Headquarters - BKC, Mumbai, India
Revenue - ₹9,293 crore
Contact – 1800 313 313
E mail - customerservice@fincarebank.com
Website - www.aubank.in

18
 AU Bank’s Story
With a desire to contribute to nation-building, Mr. Sanjay Agarwal, a merit-holder
Chartered Accountant and a first-generation entrepreneur, took it upon himself the
responsibility of financing the entrepreneurship aspirations of the unreached and
unbanked masses of India. The desire was turned into reality and in 1996, Au
Financiers, was established.
Headquartered in Jaipur, Rajasthan, the retail-focused Non-Banking Finance
Company for two decades provided speedy and customised financial solutions to rural
and urban population.
After bagging the Small Finance Bank (SFB) license in 2015, Au Financiers
commenced its journey as an SFB on 19 April 2017. In the same year, it got the
th

Scheduled Bank status on 1 November and became a Fortune India 500 Company.
st

Throughout its journey from an NBFC to a Bank, it has focused on solutions, based
on the evolving needs of its customers. As custodians of depositor’s wealth, the Bank
ensured highest level of compliance throughout and emerged as a well-governed and
trusted financial institution supported by the guiding principles of inclusivity,
progress for all, simplicity, and action & urgency.
In 2021, the Bank became the Largest Small Finance Bank of the country and evolved
its positioning from ‘Chalo Aage Badhein’ to ‘Badlaav Humse Hai’. The new tagline,
which is also the Bank’s first integrated brand campaign, resonates well with its spirit
of challenging the status quo.
Along with the launch of the brand campaign, digital platform AU 0101, Credit Card
and QR Code with Sound Box were also unveiled. With technology writing the rule
book and demand of customer’s shifting rapidly, the Bank is putting its best foot
forward in becoming a Tech-led Bank.
As the Bank reflects on its past seven years of banking journey as a scheduled
commercial bank, it has been one of growth, impact, and innovation. By embracing
technology, driving financial inclusion, and building strong customer relationships,
the Bank has transformed lives and contributed to the economic development of the
nation.
The footprints expanded from 403 Touchpoints in 8 States and 2 Union Territories in
2017 to 2383 Touchpoints in 21 States and 4 Union Territories as on 31st March
2024. Looking ahead, the Bank remains committed to its mission, constantly
evolving, and adapting to meet the changing needs of the customers and continuing to
make a meaningful difference in the lives of millions.
AU Bank enjoys long term credit rating of "AA-/Stable" from CRISIL Ratings, ICRA
Ratings, India Ratings and CARE Ratings. As a small finance bank, AU Small
Finance Bank serves low and middle income individuals and micro and small
businesses that have limited or no access to formal banking and finance channels. The
Bank offers loans, deposits and payment products and services.

19
 Services:
 Saving Account
 Fixed deposit
 Credit card
 Loans
 Video Banking
 Debut Card
 BHIM Payment interface
 Tax Payment
 Insurance
 Investment
 Payment Gateway
 WhatsApp Banking
 FASTag
 Lifestyle Related Services
 Mutual Funds
 International Banking Services

Accounts:
Saving Account
A savings bank account along with capital protection offers attractive interests on the
deposits held. It gives you the flexibility to withdraw money, transfer funds, pay
EMIs, credit card bills & do much more at your convenience.
At AU Small Finance Bank, they offer different types of savings account to suit your
specific needs. Whether you are a student, senior citizen, woman, or an employed
professional, we have unique plans tailor-made just for you. Bank pay 7.25% of
interest on saving account.
 AU Digital Saving Account
 AU Salary Account
 AU Senior Citizen Saving Account
 AU NRI Account
 AU Institution Account
 AU Women Account
 AU Student Account
 AU kids Account
Current Account
Whether you run a large corporation or a small entrepreneurial business, our Current
Account offerings enable smooth daily operations through a range of services, from
doorstep banking to higher cash deposit limits. We, at AU Small Finance Bank,
remain committed to challenge the banking status quo and offer unique, customizable
products and services that provide you with the best banking experience. In fact, we
take this one step ahead by ensuring you never have to fill and submit deposit slips
each time you make a cash deposit, thus saving your time and effort.

20
Current Account Opening Documents:
 Application form
 PAN Number of Business
 KYC document
 Address proof
 Beneficial ownership declaration
 FAYCA declaration
 Initial funding cheque
Monthly average balance requirement:
The AU Digital Current Account and AU Power Current Account are both banking
options that offer customers the convenience of a zero average monthly balance
requirement. This means that current account holders are not obligated to maintain a
specific minimum balance in their accounts each month. The AU Digital Current
Account is designed for tech-savvy individuals, offering digital banking services with
no monthly balance requirement, while the AU Power Current Account provides
additional benefits and features without the burden of maintaining a minimum
balance. These current accounts cater to customers who prefer flexibility and ease of
access to their funds without worrying about meeting a balance threshold.

Salary Account
As a working professional, your Zero Balance Salary Account is likely to be the
centre of all your financial activities. Apart from your salary being credited to this
account, you may also use it to transfer funds, make investments, and spend on day-
to-day expenses.
By opening your Salary Account with us, you also unlock a host of other benefits like
competitive interest rates, insurance benefits, a free Debit Card, and Attractive Offers
and more.
Eligibility Criteria to Open Salary Account
You can open a Salary Savings Account if you are an on-roll employee of a company
empanelled for the salary relationship with us.
How to apply for an AU Salary Account?
Open an account with us through any one of these options:
 Open Salary Account Online: Fill up the online form provided above, and
our representative will contact you to start your application process.
 Contact your Relationship Manager to open Salary Account: You can
request your Human Resources team to assist you with the contact details of
AU Small Finance Bank Relationship Manager for opening AU Salary
Account.
 Visit your nearest branch for Salary Account opening: Walk into your
nearest branch with your KYC documents and passport-sized photographs.
You can fill in the application form at the branch to get the process started.

21
Documents required for AU Salary Account
Prepare yourself to open your Salary Account online by keeping the following items
handy:
 Aadhaar Card Number
 Original PAN Card
 A blank paper and pen to capture your signature
 Employment Confirmation proof:
 OTP verification via your official corporate Email ID
OR
 First page of the offer letter (dated within the last 4 months)
OR
 Latest Salary Slip (dated within the last 60 days)
OR
 Employee ID card
 Application form
 Recent colored photograph.
 KYC documents such as passport, Voter ID, or Aadhaar card, and address
proof, like driving license or utility bills.

Fees & charges of AU Salary Account

AU Small Finance Bank, believe in complete transparency and have hosted the list of
charges for the services they offer. These include charges for your Debit Card,
payment and collection services, transactions, delivery fees etc depending on the type
of Account you have opened.

Loans
Sr Types of Loan Interest Rate
No (%)
1. Personal Loan 11.00 to 13.00
2. Home Purchase Loan 9.00
3. Vehicle Loan (Personal) 12.25
4. Vehicle Loan (Commercial) 13.00

This are loans provided by the bank. Rates can be fluctuated according to the
customer and there Cibil score.

22
 Fixed Deposit

Sr Types of Fixed Deposit Interest Interest for Senior Citizen

No (%) (%)
1. Saving Account 7.25 7.25
2. 7 days to 45 days 3.75 4.25
3. 46 days to 90 days 5.50 6.00
4. 91 days to 180 days 6.14 6.66
5. 181 days to 365 days 7.45 7.98
6. 12 months to 15 months 8.08 8.62
7. 15 months to less than 18 months 7.71 8.24
8. 18 months 8.24 8.77
9. 18 months to 24 months 7.98 8.51
10. 24 months to 36 months 7.71 8.24
11. 36 months to 45 months 7.71 8.24

NEFT/ RTGS Slip

23
Account Opening Form

24
 Visit No. 3

AXIS Bank
(Schedule Bank)
Axis Bank Overview

 Founded: 1993 as UTI Bank; rebranded to Axis Bank in 2007

 Public Listing: Listed on NSE and BSE
 Market Capitalization: ~₹2.25 lakh crore (as of 2023)
 Headquarters: Mumbai, India
 Website: axisbank.com
 Contact: 1860 419 5555 | Email: customercare@axisbank.com

Company Journey

 Axis Bank began as a subsidiary of UTI and grew to become one of India's
leading private sector banks.
 It has consistently focused on enhancing customer experience through
innovation and technology.

Foundation and Early Years (1993-2000)

 1993: Axis Bank was established as UTI Bank, primarily focusing on

providing banking services to the burgeoning Indian economy.
 1994: It launched its first branch in Ahmedabad, quickly expanding its
footprint across major urban centers.
 1999: The bank became the first private sector bank in India to offer online
banking services, marking a significant milestone in digital banking.

Transition to Axis Bank (2007)

 2007: UTI Bank rebranded to Axis Bank, aligning its brand identity with its
growing reputation and diverse service offerings. This change reflected its
commitment to innovation and modern banking solutions.

Expansion and Technological Advancements (2008-2015)

 2008: Axis Bank expanded its retail banking offerings and enhanced its digital
infrastructure, introducing features like mobile banking and ATMs equipped
with advanced technology.
 2010: The bank launched the Axis Mobile app, providing customers with a
user-friendly platform for banking services on-the-go.

25
  2012: Axis Bank became the first private sector bank to tie up with the
Government of India for the Direct Benefit Transfer scheme, enhancing its
focus on financial inclusion.

Strategic Acquisitions and Partnerships (2016-2020)

 2016: The bank made a strategic investment in financial technology (fintech)

to enhance customer experience and operational efficiency.
 2017: Axis Bank acquired a 100% stake in the digital payment platform
Freecharge, furthering its digital banking strategy.
 2019: The bank partnered with various fintech firms to launch innovative
products, such as instant personal loans and digital credit cards.

Recent Developments and Future Outlook (2021-Present)

 2021: Axis Bank introduced a new brand campaign focusing on "Dil Se

Open," emphasizing emotional connection and customer-centric services.
 2022: The bank enhanced its digital offerings, introducing features like voice
banking and AI-driven chatbots for customer support.
 2023: Axis Bank continued to expand its branch network and enhance
customer experience through digital innovations, focusing on sustainability
and responsible banking.

Key Services

 Savings Accounts: Multiple variants with competitive interest rates.

 Current Accounts: Tailored solutions for businesses with flexible features.
 Loans: Personal, home, car, and business loans with attractive rates.
 Fixed Deposits: Diverse tenures with varying interest rates.
 Digital Banking: Advanced mobile and internet banking, including video
banking and digital wallets.

Commitment to Customer Experience

Axis Bank emphasizes digital transformation, offering seamless banking solutions,

and enhancing customer service through various channels.

 Throughout its journey, Axis Bank has emphasized financial inclusion,

launching initiatives to serve underbanked populations.
 The bank has also committed to sustainable practices, focusing on eco-
friendly operations and responsible financing.

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Axis Bank Account Offerings

Savings Account

Axis Bank provides a range of savings accounts designed to meet the diverse needs of
its customers. These accounts offer capital protection and attractive interest rates,
along with the flexibility to manage funds easily.

Types of Savings Accounts:

 Axis Digital Savings Account: A fully online account with competitive

interest rates.
 Axis Salary Account: Tailored for salaried professionals, offering benefits
like zero balance and easy fund transfers.
 Axis Senior Citizen Savings Account: Special interest rates and features for
senior citizens.
 Axis Women’s Savings Account: Customized offerings for women,
promoting financial empowerment.
 Axis NRI Account: Designed for Non-Resident Indians, enabling easy fund
management in India.
 Axis Kids Account: A fun way for children to learn about savings with
parental control.
 Axis Student Account: Targeted at students, providing features like free
digital banking.

Current Account

Axis Bank's current accounts cater to businesses of all sizes, providing the tools
needed for smooth daily operations. With features such as doorstep banking and
higher cash deposit limits, they are designed for convenience.

Key Features:

 Zero Balance Requirement: Options like the Axis Digital Current Account
and Axis Power Current Account do not require maintaining a minimum
balance.
 Customizable Services: Tailored offerings to meet the specific needs of
businesses.

Current Account Opening Documents:

 Application form
 PAN Card
 KYC documents
 Address proof
 Initial funding cheque

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 Salary Account

The Axis Bank Salary Account is an ideal choice for professionals, providing a hub
for financial activities with various added benefits.

Key Benefits:

 Zero balance maintenance.

 Competitive interest rates.
 Free debit card and additional offers.

Eligibility Criteria:

 Must be an on-roll employee of a company partnered with Axis Bank.

How to Apply for an Axis Salary Account:

 Online: Complete the online application form, and a representative will assist
you.
 Through HR: Contact your HR department for assistance.
 In-Person: Visit the nearest Axis Bank branch with KYC documents and a
passport-sized photo.

Documents Required:

 Aadhaar Card Number

 Original PAN Card
 Employment confirmation proof (such as a recent salary slip or offer letter)
 Application form
 Recent colored photograph
 KYC documents (e.g., passport, Voter ID)

Expansion and Growth

 Extensive branch and ATM network across India, with a growing international
presence.
 Focus on financial inclusion and serving underserved segments.

Ratings

 Consistently receives strong credit ratings from major agencies, reflecting its
financial stability.

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Fees & Charges of Axis Salary Account

Axis Bank is committed to transparency regarding its fee structure. The charges may
vary based on the specific account type and services utilized. Common fees include:

 Debit Card Fees: Annual fees for various debit card types.
 Transaction Fees: Charges for fund transfers (IMPS, NEFT, etc.) and cash
withdrawals.
 Service Charges: Applicable for payment and collection services.
 Account Maintenance Fees: Charges for not maintaining the minimum
balance requirement (if applicable).

For the most accurate and updated fee details, customers are encouraged to check
Axis Bank's official website or contact customer service.

Loan Offerings

Axis Bank provides a wide range of loan products to cater to different financial needs.
Here are the types and typical interest rates:

Type of Loan Interest Rate (%)

Personal Loan 10.50 to 18.00
Home Loan 8.50 to 9.50
Vehicle Loan (Personal) 9.60 to 11.25
Vehicle Loan (Commercial) 10.50 to 12.50
Education Loan 10.00 to 13.00

Note: Interest rates may vary based on the customer’s creditworthiness and CIBIL
score.

Fixed Deposit Options

Axis Bank offers several fixed deposit schemes with competitive interest rates. Here
are the types and respective interest rates:

Interest for Senior Citizens

Type of Fixed Deposit Interest Rate (%)
(%)
Regular Fixed Deposit 7.00 to 8.00 7.50 to 8.50
Tax Saver Fixed Deposit 7.00 7.50
Varies with account Varies with account
Sweep-in Fixed Deposit
balance balance
NRE/NRO Fixed
7.00 to 8.00 7.50 to 8.50
Deposit

29
Conclusion

Axis Bank offers a comprehensive range of banking services, including transparent

fees, various loan products, and attractive fixed deposit schemes designed to meet
diverse customer needs. For detailed information on specific products and the latest
rates, it is advisable to visit the bank's official website or contact their customer
support.

NEFT/ RTGS Slip

Account Opening Form

30
KYC Updation Form

31
3.3 Power Point Presentation
32
 Understanding Debit and Credit Cards in India

 Debit Card: A payment card that deducts money directly

from your bank account.

 Credit Card: A card that allows you to borrow money from

the bank up to a certain limit to make purchases.

How Debit Cards Work?

Key Features:
• Linked to Bank Account: Direct access to your funds.
• Spending Limits: You can only spend what you have in your account.
• Usage: Accepted at most retailers and online stores; can be used for
ATM withdrawals.

How Credit Cards Work?

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Key Features:
• Credit Limit: A maximum amount you can borrow.
• Repayment: Bills are due monthly, and you can pay the full amount or
a minimum amount.
• Interest Rates: If you don’t pay the full balance, interest charges apply

Benefits of Debit Cards:

Advantages:

 No Debt: You can’t overspend; no risk of accruing interest.

 Budget Control: Helps manage finances effectively.
 Immediate Transactions: Funds are deducted instantly, making tracking easier.

Benefits of Credit Cards:

34
Advantages:

 Builds Credit History: Important for loans and mortgages.

 Rewards Programs: Earn points, cashback, or travel rewards on purchases.
 Emergency Fund: Access to funds during emergencies when cash flow is tight.

Risks of Debit Cards:

Disadvantages:

 Fraud Risk: Less protection against unauthorized transactions compared to

credit cards.
 Limited Overdraft Protection: Overdrafts can occur but usually come with fees.
 Account Vulnerability: If your card is lost or stolen, your bank account may
be at risk.

Risks of Credit Cards:

35
Disadvantages:

• Debt Accumulation: Easy to overspend and accumulate debt.

• High-Interest Rates: Unpaid balances accrue high interest, increasing total debt
• Impact on Credit Score: Late payments can negatively affect your credit score.

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 CHAPTER 4
CONCLUSION & SUGGESTION

4.1 CONCLUSION

1. The banks are providing various kinds of services to the people and trying their best
to enhance customers experience in banking. Safe banking is being promoted.

2. Banks are trying to ease account opening process by allowing to open account via
online through internet. Mobile and Net banking services are made available to
customer to use.

3. Ease of banking reforms are being taking place to make larger financial inclusion
of peoples, Loans services are provided to people and different types of schemes are
made available to people so the services can be use by larger no. of peoples by opting
suitable schemes for themselves.

4. Mudra loan scheme for the people who want to start small scale business.
Education loan schemes to students. Agriculture loan for farmers are made available.

5. Safe locker deposits services are also given by banks; to customers who want to
have the locker services are required to fill a form at bank and asked for the services
to make it available.

6. Easy transaction of money with help of various payment system such as NEFT,
RTGS, UPI, BBPS etc. Banks are also doing CSR initiatives and helping society.

37
 CHAPTER 5
BIBLIOGRAPHY AND ABBREVIATION

5.1 GLOSSARY

1. Saving: - Saving is the process of putting money aside for a future expense or need
by parking it in bank accounts.

2. Investing: -Investing money is the process of using your money to buy assets that
value over time and provide high returns in exchange for taking on more risk.

3. Capital Structure: - Capital structure refers to the specific mix of debt and equity
used to finance a company's assets and operations.

4. Amalgamation: - An amalgamation is the consolidation or combination of two or

more companies.

5. Financial inclusion: - Financial inclusion is defined as the availability and equality

of opportunities to access financial services. It refers to a process by which
individuals and businesses can access appropriate, affordable, and timely financial
products and services. These include banking, loan, equity, and insurance products.

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5.2 ABBREVIATION

1. UPI: Unified Payment Interface

2. RTGS: Real Time Gross Settlement

3. NEFT: National Electronic Fund Transfer

4. RBI: Reserve Bank of India

5. BBPS: Bharat Bill Payment System

6. ATM: Automatic Teller Machine

39
5.3 BIBLIOGRAPHY

1. IDBI Bank Annual Reports

[https://www.idbibank.in/annual-report.asp](https://www.idbibank.in/annual-

report.asp)

A comprehensive overview of the bank's performance, financials, and business

strategies.

2. IDBI Bank Corporate Governance

[https://www.idbibank.in/corporate-governance.asp](https://www.idbibank.in/

corporate-governance.asp)

This section provides insights into the governance structure and ethics followed by

IDBI Bank.

3. Axis Bank Investor Relations

[https://www.axisbank.com/shareholders-corner/annual

reports](https://www.axisbank.com/shareholders-corner/annual-reports)

Annual reports, presentations, and financial updates about the bank.

4. Axis Bank Corporate Social Responsibility (CSR)

[https://www.axisbank.com/csr](https://www.axisbank.com/csr)

Details about Axis Bank’s CSR activities and community engagement programs.

40
5. AU Small Finance Bank Annual Reports

[https://www.aubank.in/investor-relations/annual-reports](https://www.aubank.in/

investor-relations/annual-reports)

Annual reports and investor updates on AU Small Finance Bank’s operations and

financials.

6. AU Small Finance Bank Products & Services

[https://www.aubank.in/products-services](https://www.aubank.in/products-

services)

Overview of AU Bank’s offerings in retail banking, MSME banking, and digital

banking services.

41