A

PROJECT REPORT
ON
COMPARISION OF ING VYSYA BANK
WITH ICICI AND HDFC BANK
Submitted in partial fulfillment of the requirement
of award of the degree of
MASTEROF BUSINESS ADMINISTRATION

Undersupervision of Submitted by
Mr. Amit Gupta Nitesh Kumar Saini
Operation Manager M.B.A IIInd Semester
ING VYSYA BANK ,Muzaffarnagar Roll No. 0827270053

SUBMITTED TO

UTTAR PRADESH TECHNICAL UNIVRESITY,LUCKNOW

Greater Noida Institute of Technology-MBA INSTITUTE

7,knowledge Park-II
Greater Noida -201306

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CONTENTS
PAGE No.

CERTIFICATE ……………………………………………….3

DECLARATION ……………………………………………….4

ACKNOWLEDGEMENT ………………………………………5

LIST OF GRAPHS (4.1)

CHAPTER-1 INTRODUCTION ………………………………..6-17

CHAPTER-2 REVIEW OF RELATED LITERATURE ………..18-38

CHAPTER-3 DESIGN OF STUDY …………………………….39-43

THE STUDY

OBJECTIVES OF THE STUDY

METHODOLODY

SCOPE OF THE STUDY

LIMITATION

CHAPTER-4 ANALYSIS OF DATA …………………………44-65

CHAPTER-5 FINDINGS ………………………………………66-68

LIMITATION………………………………………………….. 69-70

RECOMMENDATION 71-72

BIBLOGRAPHY ………………………………………………73

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ANNEXURE ……………………………………………………74-82

CERTIFICATE

This is to certify that the Summer Training Project Report

entitled……………………………………………………………………
being submitted by Mr. / Ms. ………….……………………………….
in partial fulfillment of the requirement for the degree of the Master of
Business Administration from U. P. Technical University, Lucknow, is
an independent original research work done by him/her under my
supervision and guidance.

Place: …………………………….. Director

Date: …………………………….. GNIT-MBA Institute

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 DELARATION

I hereby to declare that the work for the Dissertation report entitled “Comparison
of ING VYSYA Bank with HDFC and ICICI Bank ” am completely done by me,
based on my work conducted in ING VYYSA BANK, MUZAFFARNAGAR

I also declare that this project work has not been submitted to any other university
or Institution for the award of any degree, diploma, fellowship or other similar
title.

Admittedly, I have received suggestions and guidance from my guides for the
partial fulfillment of M.B.A.

(Nitesh Kumar Saini)

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 ACKNOWLEDGEMENT

If words are considered to be signs of gratitude then let these words Convey the
very same. My sincere gratitude to Mr. Amit Gupta junior manager, ING VYSYA
BANK and giving necessary directions on doing this project to the best of my
abilities.

I am highly indebted to Mr. Amit Mahendru, Branch Manager, who provided

me with the necessary information and also for the support extended out to me
in the completion of this report and his valuable suggestion and comments on
bringing out this report in the best way possible.

So in the same sequence at very first, I would like to acknowledge my parents

because of whom I got the existence in the world for the inception and the
conception of this project. Later on I would like to confer the flower of
acknowledgement to Ms. BARNALI SARKAR and other faculty members who
taught me that how to do project through appropriate tools and techniques. Because
ING VYSYA BANK has given me a chance to do my integrated project report., I
would like to give thanks Dr. SHAKTI PRAKASH (Head of Department)
GNIT-MBA INSTITUTE.

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CHAPTER -1

INTRODUCTION

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 INTRODUCTION

Banking system of a nation is the shadow of nation’s economy. A healthy and

profitable banking system is just like the backbone of nation’s economy. It is
necessary for a nation to achieve growth and remain stable in this global world and
global economy. The Indian banking system, with one of the largest banking
networks in the world, has witnessed a series of reforms over the past few years
like the deregulation of interest rates, dilution of the government stake in public
sector banks (PSBs) and the increased participation of private sector banks.

1.1 History of INDIAN BANKING SYSTEM

Banking in India originated in the last decades of the 18th century. The first banks
were The General Bank of India, which started in 1786, and the Bank of
Hindustan, both of which are now defunct The oldest bank in existence in India is
the State Bank of India, a government-owned bank that traces its origins back to
June 1806 and that is the largest commercial bank in the country. Allahabad Bank,
established in 1865 and still functioning today, is the oldest Joint Stock bank in
India.

Central banking is the responsibility of the Reserve Bank of India, which in 1935
formally took over these responsibilities from the then Imperial Bank of India,
relegating it to commercial banking functions. After India's independence in 1947,

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the Reserve Bank was nationalized and given broader powers. In 1969 the
government nationalized the 14 largest commercial banks; the government
nationalized the six next largest in 1980.

 In 1948, the Reserve Bank of India, India's central banking authority, was
nationalized, and it became an institution owned by the Government of India.

 In 1949, the Banking Regulation Act was enacted which empowered the
Reserve Bank of India (RBI) "to regulate, control, and inspect the banks in
India."

 The Banking Regulation Act also provided that no new bank or branch of an
existing bank could be opened without a license from the RBI, and no two
banks could have common directors

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1.2 Liberalization in INDIAN BANKING SYSTEM

In the early 1990s, the then government embarked on a policy of liberalization,

licensing a small number of private banks. These came to be known as New
Generation tech-savvy banks, and included Global Trust Bank (the first of such
new generation banks to be set up), which later amalgamated with Oriental Bank
of Commerce, Axis Bank(earlier as UTI Bank), ICICI Bank and HDFC Bank. This

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move, along with the rapid growth in the economy of India, revitalized the banking
sector in India, which has seen rapid growth with strong contribution from all the
three sectors of banks, namely, government banks, private banks and foreign banks

The next stage for the Indian banking has been setup with the proposed relaxation
in the norms for Foreign Direct Investment, where all Foreign Investors in banks
may be given voting rights which could exceed the present cap of 10%, at present
it has gone up to 49% with some restrictions.

The new policy shook the Banking sector in India completely. Bankers, till this
time, were used to the 4-6-4 method (Borrow at 4%; Lend at 6%; Go home at 4%)
of functioning. The new wave ushered in a modern outlook and tech-savvy
methods of working for traditional banks. All this led to the retail boom in India.
People not just demanded more from their banks but also received more.

Currently (2009), banking in India is generally fairly mature in terms of supply,

product range and reach-even though reach in rural India still remains a challenge
for the private sector and foreign banks. In terms of quality of assets and capital
adequacy, Indian banks are considered to have clean, strong and transparent
balance sheets relative to other banks in comparable economies in its region. The
Reserve Bank of India is an autonomous body, with minimal pressure from the
government. The stated policy of the Bank on the Indian Rupee is to manage
volatility but without any fixed exchange rate-and this has mostly been true.

With the growth in the Indian economy expected to be strong for quite some time-
especially in its services sector-the demand for banking services, especially retail

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banking, mortgages and investment services are expected to be strong. One may
also expect M&As, takeovers, and asset sales.

Currently, India has 88 scheduled commercial banks (SCBs) - 27 public sector

banks (that is with the Government of India holding a stake), 31 private banks
(these do not have government stake; they may be publicly listed and traded on
stock exchanges) and 38 foreign banks. They have a combined network of over
53,000 branches and 17,000 ATMs. The public sector banks hold over 75 percent
of total assets of the banking industry, with the private and foreign banks holding
18.2% and 6.5% respectively.

1.3 The Origin of ING Group

ING group originated in 1990 from the merger between “Nationale Nederlanden”
the largest Dutch Insurance Company and “NMB Post Bank” Group. Combining
roots and ambitions, the newly formed company called Internationale Nederlanden
Group ﾝ . Market circles soon abbreviated the name to I-N-G. The company
followed suit by changing the statutory name to ING Group. ING is a global
financial services company providing banking, investments, life insurance and
retirement services and operates in more than 50 countries.

PROFILE

ING is a global financial institution of Dutch origin offering banking, investments,

life insurance and retirement services. ING serve more than 85 million private,
corporate and institutional customers in Europe, North and Latin America, Asia
and Australia. They draw on their experience and expertise, their commitment to

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excellent service and their global scale to meet the needs of a broad customer base,
comprising individuals, families, small businesses, large corporations, institutions
and governments

STRATEGY

ING’s overall mission is to help customers manage their financial future.

Capitalizing on changing customer preferences and building on our solid business
capabilities, ING’s strategic focus is on banking, investments, life insurance and
retirement services. They provide retail customers with the products they need
during their lives to grow savings, manage investments and prepare for retirement
with confidence. With wide range of products, innovative distribution models and
strong footprints in both mature and developing markets, ING has the long-run
economic, technological and demographic trends on their side. ING aligns its
business strategy around a universal customer ideal: saving and investing for the
future should be easier. While steering the business through turbulent times, ING
will execute efforts across all its business lines to strengthen customer confidence
and meet their needs, preserve a strong capital position, further mitigate risks and
bring its costs in line with revenue expectations.

COPERATE RESPOSIBILITY
ING wants to pursue profit on the basis of sound business ethics and respect for its
stakeholders. Corporate responsibility is therefore a fundamental part of ING’s
strategy: ethical, social and environmental factors play an integral role in business
decisions

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 1.4 FINANCIAL RESULTS
FY 2008 FY2007 FY2006 FY2005 FY2004
Income (in EUR milion)
Insurance operations 54,851 62,208 59,642 57,403 55,614
Banking operations 11,731 14,602 14,195 13,848 12,678
Total Income1 66,291 76,587 73,621 71,120 68,171
Operating Expenses
Insurance operations 5,422 5,515 5,275 5,195 4,746
Banking operations 10,303 9,967 9,087 8,844 8,795
Total operating expenses 15,725 15,481 14,362 14,039 13,541
Addition to loan loss provision Banking 1,280 125 103 88 465
operations
Insurance result before tax -1,635 6,533 4,935 3,978 4,322
Banking result before tax 148 4,510 5,005 4,916 3,418
Total result before tax -1,487 11,043 9,940 8,894 7,740
Taxation -721 1,534 1,907 1,379 1,709
Minority interests -38 267 341 305 276
Net result -729 9,241 7,692 7,210 5,755

Figures per ordinary share (EUR)

Net result -0.36 4.32 3.57 3.32 2.71
Earnings 2) -0.56 4.32 3.57 3.32 2.71
Dividend 0.74 1.48 1.32 1.18 1.07
Shareholders’ equity 8.55 17.73 17.78 16.96 12.95

Balance Sheet (in EUR billion)

Total assets 1,332 1.312 1,226 1,159 964
Total equity 29 40 41 38 28

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Shareholders’ equity 17 37 38 37 28

Capital Ratios (%)

ING Group debt/equity ratio 13.8% 9.5% 9.0% 9.4% 10.2%
Insurance capital coverage ratio 256% 244% 274% 255% 204%
Insurance debt/equity ratio 8.5% 13.6% 14.2% 13.4% 14.3%
Bank Tier-1 ratio 9.32% 7.39% 7.63% 7.32% 6.92%
Market capitalisation (in EUR billion) 15 60 74 65 49

Shares (in millions):

Outstanding 2,063 2,226 2,205 2,205 2,205
Preference shares outstanding - 16 63 87 87

Key Performance Indicators

- Net return on equity (ROE) -2.1% 24.2% 23.5% 26.6% 25.4%
- Net result growth -108% 20% 7% 25% n.a.
Insurance
- Value of new life business 1,023 1,113 807 805 632
- Internal rate of return 13.9% 14.3% 13.3% 13.2% 12.1%
- Combined ratio (non-life) 97% 97% 91% 95% 94%
Banking
- Cost/income ratio 87.8% 68.3% 64.0% 63.9% 69.4%
- RAROC after tax 1.2% 19.9% 19.7% 22.6% 14.5%

Assets under management (in EUR 551 643 600 547 492
billion)

Staff (FTEs end of period) 124,661 124,634 119,801 116,614 112,195

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The ING Vysya BANK Ltd.

ING Vysya Bank Ltd., is an entity formed with the coming together of erstwhile,
Vysya Bank Ltd, a premier bank in the Indian Private Sector and a global financial
powerhouse, ING of Dutch origin, during Oct 2002.

The origin of the erstwhile Vysya Bank was pretty humble. It was in the year 1930
that a team of visionaries came together to form a bank that would extend a helping
hand to those who weren't privileged enough to enjoy banking services.

ING and ING Vysya Life Insurance are headquartered at Bangalore, while the
corporate office of ING Investment Management is situated at Mumbai. The
synergies arising out of the three distinct but complimentary businesses are bound
to be an asset to the group in the changing market dynamics of the future. The first
such signs are already visible on the horizon with combined products being
successfully launched by the different entities of the group in conjunction with
each other

It's been a long journey since then and the Bank has grown in size and stature to
encompass every area of present-day banking activity and has carved a distinct
identity of being India's Premier Private Sector Bank.

In 1980, the Bank completed fifty years of service to the nation and post 1985; the
Bank made rapid strides to reach the coveted position of being the number one
private sector bank. In 1990, the bank completed its Diamond Jubilee year. At the
Diamond Jubilee Celebrations, the then Finance Minister Prof. Madhu Dandavate,
had termed the performance of the bank stupendous. The 75th anniversary, the
Platinum Jubilee of the bank was celebrated during 2005.

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The long journey of seventy-five years has had several milestones

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1930 Set up in Bangalore

1948 Scheduled Bank

1985 Largest Private Sector Bank

1987 The Vysya Bank Leasing Ltd. Commenced

1988 Pioneered the concept of Co branding of Credit Cards

1990 Promoted Vysya Bank Housing Finance Ltd.

1992 Deposits cross Rs.1000 crores

1993 Number of Branches crossed 300

Signs Strategic Alliance with BBL., Belgium. Two National Awards by Gem &
1996
Jewellery Export Promotion Council for excellent performance in Export Promotion

Cash Management Services, & commissioning of VSAT. Golden Peacock Award - for
1998 the best HR Practices by Institute of Directors. Rated as Best Domestic Bank in India
by Global Finance (International Financial Journal - June 1998)

State -of - the -art Date Centre at ITPL, Bangalore.

2000
RBI clears setting up of ING Vysya Life Insurance Company

2001 ING-Vysya commenced life insurance business.

The Bank launched a range of products & services like the Vys Vyapar Plus, the range
of loan schemes for traders, ATM services, Smartserv, personal assistant service, Save
2002
& Secure, an account that provides accident hospitalization and insurance cover,
Sambandh, the International Debit Card and the mi-b@nk net banking service.

2002 ING takes over the Management of the Bank from October 7th , 2002

RBI clears the new name of the Bank as ING Vysya Bank Ltd, vide their letter of
2002
17.12.02

Introduced customer friendly products like Orange Savings, Orange Current and
2003
Protected Home Loans

2004 Introduced Protected Home Loans - a housing loan product

Introduced Solo - My Own Account for youth and Customer Service Line – Phone
2005
Banking Service Page | 17

Bank has networked all the branches to facilitate AAA transactions i.e. Anywhere,
2006
Anytime & Anyhow Banking
The ING Vysya Bank Muzaffarnagar

ING Vysya Bank Muzaffarnagar branch was established somewhere in September

2008 and it stands at third position in the region for its performance. It is the
newest Private Sector Bank in the city and yet has achieved a remarkable growth
rate in past 7 months. It has got its Journal Ledger of the size of Rs.120, 000,000
(12 crore rupees) and has got customer base of 1800 well satisfied happy
customers. Every month around 70 to 90 saving accounts and 20 to 30 current
account are opened which shows the consistency of the Bank and currently bank
holds around 1500 saving bank accounts

CHAPTER-2

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REVIEW RELATED
LITRATURE

LITRATURE REVIEW

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Types of saving accounts offered by ING Vysya Bank

A) ORANGE SAVINGS ACCOUNT:

This account is the basic product of ING Vysya Bank. In this account minimum
cash balance required to open an account & the Quarterly Average Balance
requirement is Rs5000. Some of the major features and benefits of this account are:

FREE
• Free issue of International Debit Card.
• Unlimited ATM transactions at over 25,000 (Cirrus/Cashnet) ATM’s in
India, where QAB is maintained.
• Shopping convenience at over 2 Lakh merchant locations, with the ING
Vysya International Debit card.
• Unlimited ATM transactions at over 196 ING Vysya ATM’s.
• 2 Demand Drafts with a value not exceeding Rs.50,000 per annum, where
QAB is maintained.
• Unlimited usage of payable at par (PAP) Cheques.
• Transfer of funds across all branches.
• National Electronic Funds Transfer (NEFT) through the internet banking

channel.
• Electronic Bill Payment service.
• Smartserv - Personal Assistance Service.

• Statement of Account through E-mail.

• Mi-b@nk - Internet banking facility.

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 • RTGS (Real Time Gross Settlement) transactions at all branches.

• AAA Cash deposit (Customers) – Free up to 2 transactions per month and a

value limit of Rs. 50,000/-

BENEFITS
• Free unlimited access to 25,000 + other bank ATM’s- enhanced
accessibility.
• Free multi branch, Multi-city banking convenience.
• Payable at par Cheques.
• Smartserv- Personal Concierge Services.

B) ING FORMULA SAVINGS ACCOUNT:

This is the product of ING Vysya Bank which is targeted towards the upper middle

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class segment of the society. Basically the targeted segment is the age group
between 18-40 yrs. This product has its significance particularly in Metropolitan/A
grade cities. This product is also useful for people who travel frequently
particularly to Metropolitan/A grade cities.
Minimum cash balance required to open this account and Quarterly Average
Balance requirement is Rs. 25000/-

Some of the major features and benefits of this account are :

• Maximum withdrawal limit from ING’s ATM or any other bank’s ATM is
Rs. 50,000.
• Maximum shopping limit through ING’s ATM/Debit card is Rs. 75,000.
• Free Payable at Par cheques.
• Exclusive F1 themed, Internet Banking services.
• Formula 1 International Debit card.
• Free sms alerts on transactions above Rs. 1500.

SPECIAL BENEFITS CARD

FUEL GAUGE
• Fill fuel across any petrol pump in India and get the 2.5% surcharge
waived.
SPEED LAP
• Shop using your ING Formula savings account and
get Formula One merchandise.

RACE DAY
• Whenever there is a Formula 1 race anywhere in the world, there is a race

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 for u as well. Shop using your ING Formula debit card on the day of the
race and top 25 spenders for the race day wins vouchers from ING.
• 3 winners – Gift vouchers worth Rs. 5000/-
• 10 runner ups- Gift vouchers worth Rs. 2000/-
• 12 second runner ups- Gift vouchers worth Rs. 1000/-

C) PLATINA ACCOUNTS
This product (account) of ING Vysya Bank is a special product for special class of
customers. This can also be termed as Preferred Platina Banking. This product is
designed to reduce the efforts put in handling banking and financial needs. This
product has special features which are mainly meant for business class people who
have to make large payments and have regular transactions. The Platina account
holder becomes the preferred customer of the bank.
The average quarterly balance (QAB) is Rs. 100,000

Features:
• Dedicated Relationship Manager
Our dedicated relationship managers can help you manage your money; while
you pursue your passion, be it business or pleasure.
• Wealth Management Service
Our preferred banking services offer you customized financial strategies on
how to invest and where to invest based on simple
financial risk profiling.

• ING Platina Debit Card

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Use your ING Platina Gold Debit Card and withdraw cash up to Rs1 lac per day

from any ATM, Avail a 1% cash back on shopping with your Debit Card.
• Account Representative Services
Now when you are out building a business empire or taking that well
deserved vacation, just nominate someone else to do your routine banking
enquires.
• Preferential rates on ING products
Get more out of the Platina relationship. Avail preferential rates on Demat,
Bank Lockers, Personal and Home loans.

Types of saving accounts offered by other private banks

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 ICICI BANK

A) ICICI Savings Bank Account:

ICICI Bank is also offering the saving accounts as their products.

• The ICICI Bank International debit card is a debit-cum-ATM card provides

with the convenience of acceptance at merchant establishments and cash
withdrawals at ATM.
• Money Multiplier Facility
• Internet Banking is offered free of cost.
• Anywhere Banking facility entitles the account holder to withdraw or
deposit cash upto a limit of Rs.50,000 across all ICICI Bank branches.
• An average quarterly balance of Rs.10,000 only in metro and urban
locations.
• Nomination facility is available.
• Interest is payable half-yearly.

Third party withdrawal limit is only Rs 15,000 and free demand draft making
facility for a month is only up to Rs 10,000. Free withdrawal limit from ATM card
is only up to Rs 25,000 in all accounts.

B) GOLD PRIVILAGE ACCOUNTS

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The Gold Privilege Account brings the customer exclusive benefits, especially
created for valuable customers. The minimum quarterly average balance (QAB)
requirement for Gold Privilege account is Rs.50,000. Non-maintenance of the
required QAB in any quarter attracts a charge as per the following guidelines:

If QAB is between Rs.50,000 and Rs.25,000, charge of Rs.250 will be levied

If QAB is between Rs.25,000 and Rs.10,000, charge of Rs.500 will be levied
If QAB falls below Rs.10,000, charge of Rs.750 will be levied
Your Gold Privilege account entitles you to select privileges and offers:

BENIFITS
• Jump Queue facility in ICICI Bank branches.
• Free usage of payable-at-par chequebook.
• International VISA Gold debit card with higher daily withdrawal and spend
limit.
• Waiver of annual fee for Debit card.
• Free and Unlimited access (cash withdrawals and balance enquiry) to any
Bank's ATM in the country using ICICI Bank International Gold Debit card.
• Waiver of DD/PO charges for up to Rs.100,000 per day.
• Waiver of Anywhere Banking charges across all ICICI Bank branches.
• Priority Processing through ICICI Bank Phone Banking.
• Preferential rates for Gold Coins.
• Better rates for Foreign Exchange Service.

• Discounts on Safe deposit locker facility.

• Special asset deals from time to time.

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C) TITANIUM PRIVILAGED ACCOUNT

This product from ICICI is mainly to serve privileged customer (upper class)

In constant endeavor to fulfill all the banking needs and enhance exclusivity ICICI
Bank launched Titanium Privilege Account - tailored to take care of customer’s
banking and investment requirements and status. This account offers a dedicated
Branch Relationship Manager supported with a Phone Banking Relationship
Manager.

Customer can realize the benefits of a Titanium Privilege Account on the basis of
his total relationship value (TRV) with the bank. Customer need to maintain a
TRV of between Rs. 5 lac and Rs. 10 lac and a quarterly average balance (QAB) of
Rs.75,000. In addition to this, there is waiver of QAB charges, subject to FD of
min. 3.75 Lac.

BENIFITS
• Branch Relationship Manager supported with Phone Banking Relationship
Manager.
• Priority processing at all ICICI bank branches and through customer care.
• A higher daily withdrawal and spend limit on a Titanium debit card.
• Free International Titanium Debit Card.
• Unlimited free access to any bank’s ATM throughout
the country.

• Free usage of multi-city cheque book.

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 • Free physical monthly account statement.
• Anywhere banking.
• Complete waiver on DD/PO charges.
• Preferential rate on purchase of ICICI Bank Pure Gold.
• Preferential rates on purchase of foreign exchange with a complete waiver
on commission charges.
• Discounted rates on safety locker charges.

HDFC BANK

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A)REGULAR SAVING ACCOUNT
An easy-to-operate savings account that allows customer to issue cheques, draw
Demand Drafts and withdraw cash. Customer can check balances from the comfort
of his home or office through NetBanking, PhoneBanking and MobileBanking.
Withdrawal of cash from any of the 3275 ATM centers spread across the country.

FEATURES & BENEFITS

• Facilities like NetBanking and MobileBanking.
• Customer can check the account balance, pay utility bills or stop cheque
payment, through SMS.
• Personalized cheques with customer’s name printed on each cheque leaf for
enhanced security.
• Advantage of BillPay, an instant solution to all frequent utility bill
payments. Instructions for payment over the phone or through the Internet.
• Customers can avail the facilities like Safe Deposit Locker, Sweep-In and
Super Saver facility on their account.
• Free cash withdrawals on any other Bank's ATM
• Free Payable-at-Par chequebook, without any usage charges upto a limit of
Rs.50,000/- per month.
• Free InstaAlerts for all account holders for lifetime of the account.
• Free Passbook facility available at home branch for
account holders (individuals).
• Free Email Statement facility.

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B) SAVING MAX ACCOUNT
Welcome to a world of convenience. HDFC has presented SavingsMax account,
loaded with maximum benefits to make banking experience a pleasure. By
maintaining an average quarterly balance of just Rs. 25,000/- customer can get a
host of premium services from HDFC Bank.

FEATURES & BENIFITS

• Free unlimited transactions: Cash withdrawal and balance enquiry, at all
HDFC Bank ATMs & on any other Bank's ATM using your HDFC Bank
Debit Card.
• Free Gold Debit Card for primary account holder for lifetime of the account.
Gold Debit Card for other account holders at Rs 250/- p.a.
• Free Woman's Advantage/International Debit Card for all account holders
for lifetime of the account.
• Free Payable-at-Par (PAP) chequebook, without any usage charges up to a

limit of 1 lac per month.*

• Free Demand Drafts on HDFC Bank locations, upto a limit of 50,000/- per
day at home branch.
• Self/Third Party Cash Deposit/Withdrawal at non-home branches, upto Rs
50,000/- per day free. Above Rs 50,000 a charge of Rs 2.90 per thousand on
the full amount would be applicable.
• Optional sweep out facility to transfer extra savings to a Fixed Deposit, at

the threshold of Rs.50,000/-.In the event of the balance in SavingsMax

account exceeding Rs 50,000/-, the amount in excess of Rs 50,000/- will be
swept out in to a Fixed Deposit with a minimum value of Rs 25000/- for a

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 1year 1day period.
• Free BillPay & InstaAlerts for all account holders for lifetime of the account.
• Free Monthly Statement of Account.
• 50% off on the Locker rental for the 1st year only.
• Folio maintenance charges on Demat account free for first year.
• Free National Electronic Funds Transfer facility, NetBanking,
MobileBanking.
• Free Passbook facility available at home branch for account holders
(individuals).
• Free Email Statement facility

C)PREFERRED BANKING ACCOUNTS

This account has been offered by HDFC for its preferred customers, so as to give
special benefits to them. The minimum quarterly available balance (QAB) that has
to be maintained in this account is Rs. 2,00,000
FEATURES & BENIFITS
• Dedicated Relationship Manager
• Customized Investment Solutions
• Investment Options
• e-Broking
• Expedited Tax Payments
• Relationship Pricing
• Business Solutions
• On-demand exclusive privileges

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• Annual Service Charge Waiver

CLASSIFICATION/ CATEGORIZATION
So, for convenience of the project and comparison the different accounts can be
classified into three categories:

Category A Category B Category C

1. PLATINA ACCOUNT FORMULA SAVING ORANGE SAVING

(ING) ACCOUNT (ING) ACCOUNT (ING)

2. TITANIUM PRIVILAGED GOLD PRIVILAGED SAVING

ACCOUNT
ACCOUNT (ICICI) ACCOUNT (ICICI) (ICICI)

3. PREFERRED BANKING SAVING MAX REGULAR

SAVING
ACCOUNT/PLATINUM ACCOUNT (HDFC) ACCOUNT
(HDFC) (HDFC)

Service quality
ING Vysya Bank provides the top notch quality to its customers. They have so
many special features that no other banks provide till date, like:
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1. Special cabin/room for its customers to wait and relax when there is a rush
or when customer is asked to wait for some time.

2. Fastest RTGS and NEFT services, which takes place within minutes.

3. A well behaving staff and special highly sensitive customer care department.
This is head by a well efficient customer care
manager.

4. Account verification with in promised 5 days.

5. Working hours from 10 a.m. to 6 p.m. (7 in p.m. if any customer is in need)

6. Doing things in the right way at right time.

7. It is the only Bank which provides the facility of withdrawal of 1 lakh rupees
from any ATM at one go.

Page | 33
3.4 FINANCIAL FIGURES W

Page | 34
In Rs. Crores Q3 Q3 % YTD YTD
%
2008-09 2007-08 growth 2008 2007 growth

Net Interest Income 172.7 144.9 19.2% 487 357 36.1%

Other Income 149 95.7 55.9% 400 279

43.3%

Total Income 321.8 240.6 33.8% 887.8 637.5 39.3%

Operating Costs 215.3 158.9 35.5% 585.0 438 33.6%

Operating Profit 106.5 81.7 30.4% 302.8 199.5 51.8%

Operating Profit
after Exceptional 106.5 100 6.4% 302.8 219.8 37.7%
Items

Provision & 21.6 27.7 -22.1% 84.7 33.9

150.1%
Contingencies

Profit before Tax 84.9 72.4 17.3% 218.1 186 17.3%

Provision for Taxes 32.8 29.6 11% 78.4 71.9 9.1%
Profit after Tax 52.1 42.8 21.8% 139.7 114 22.5%

Growth at ING Vysya Bank.

In terms of pure numbers, the performance over the decades can better be
appreciated from the following table:

Rs. in millions

Page | 35
 Year Networth Deposits Advances Profits Outlets
1940 0.001 0.400 0.400 0.001 4
1950 1.40 5.30 3.80 0.09 16
1960 1.60 20.10 13.50 0.13 19
1970 3.00 91.50 62.80 0.74 39
1980 11.50 1414.30 813.70 1.13 228
1990 162.10 8509.40 4584.80 50.35 319
2000 5900.00 74240.00 39380.00 443.10 481
2001 6527.00 81411.10 43163.10 371.90 484
2002 6863.24 80680.00 44180.00 687.50 483
2003 7067.90 91870.00 56120.00 863.50 456
2004 7473.20 104780.00 69367.30 590.01 523
2005 7094.00 125693.10 90805.90 (381.80) 536
2006 10196.70 133352.50 102315.20 90.6 562
2007 11101.90 154185.70 119761.70 889.0 626
2008 14260.00 204980.00 146500.00 1569.00 677

Even in the recessionary period the ING Vysya Bank is going in profits. While
other banks are losing a big percentage of their expected profits.

ING Vysya Bank Q3 Profit up 22%

Continued Profit Growth sustained by Strong Fee Income Performance

The Board of Directors of ING Vysya Bank Ltd. approved the unaudited financial
results of the Bank for the quarter and period ended 31 December 2008 at its
meeting in Bangalore at 23rd January 2009.

Page | 36
FINANCIAL HIGHLIGHTS
Q3 Performance

Net Profit after Tax (PAT) for the quarter ended 31 December 2008 increased by
22% to Rs.52.1 Crores from Rs.42.8 crores for the quarter ended 31 December
2007 and Profit before Tax (PBT) rose 17% to Rs.84.9 crores from Rs.72.4
crores.

However, excluding the impact of exceptional items reported in the quarter ended
31 December 2007, PAT grew by 70% and PBT by 57% over the same quarter last
year.

Net Interest Income (NII) was up 19% to Rs.172.7 crores from Rs.144.9 crores
and Fee & Other Income increased by 56% to Rs.149.1 crores from Rs.95.7 crores
in the prior year.

Nine months ended December’08

The PAT for the period ended 31 December 2008 increased 23% to Rs.139.7
crores fromRs.114.1 crores for the period ended 31 December 2007 and PBT grew
17% to Rs.218.1 croresfrom Rs.186.0 crores.

However, excluding exceptional items reported in the previous year, PAT

increased by 40% andPBT by 32% over the corresponding period last year. NII
grew 36% to Rs. 487.2 crores from Rs.357.9 crores and Fee & Other Income was
up 43% to Rs. 400.6 crores from Rs. 279.6 crores inthe previous year.

Business Highlights
Page | 37
Total Deposits grew 25% to Rs. 22,401 crores as at end December 2008 from
Rs.17,871 crores the year before. Current and Savings (CASA) deposits rose 8%
to Rs.5,819 crores as at end December 2008 from Rs. 5,406 crores as at end
December 2007.

Advances grew 19% to Rs.16,014 crores in December 2008 from Rs. 13,409 crores
in December 2007. Total Assets of the bank registered a 30% growth to Rs.29,050
crores. The Credit Deposit Ratio was at 71.5% in December 2008 against 75.0% in
December 2007.

The Gross NPA ratio and Net NPA ratio were at 1.84% and 1.09% respectively as
at 31 December 2008 compared to 1.81% and 0.71% respectively as at 31
December 2007. The net worth of the Bank as at 31 December 2008 stood at
Rs.1,568 crores compared to Rs. 1,459 crores as at end December 2007 and the
Capital Adequacy Ratio stood at 10.72% in December 2008. In October 2008, the
bank increased its capital through the issue of Tier 1 Perpetual debt amounting to
approx. Rs.95 crores. Subsequent to the quarter end, the Bank raised an additional
Rs.200 crores of Upper Tier 2 capital which has been subscribed entirely by ING
Group.

ING Vysya FOUNDATION (ING – CSR)

World over ING has strengthened its name as a good corporate citizen. The ING
Chances for Children initiative (CFC) a global program in partnership with
UNICEF is to educate 50,000 underprivileged children in three countries, Ethiopia,
India and Brazil by 2008. In India the focus is primarily in the districts of
Dharampuri and Krishnagiri in Tamil Nadu. Through the national Child labor

Page | 38
Elimination (NCLP) bridge schools, ING provides much needed support to
UNICEF, to fund, monitor, and provide children with quality primary education

The Indian arm of the Chances for Children programs is run by the support of ING
business units in India (ING, ING Life Insurance and ING Investment
Management) through the ING Vysya Foundation.

The Foundation was set up almost 3 year ago and was actively involved in the post
Tsunami rehabilitation of the victims. ING Group set up a dedicated Tsunami
Support account. In India, the Foundation partnered with five NGO providing
much needed financial support, from rebuilding of schools to providing fishing
boats, giving much needed hope to destroyed lives.

The Indian chapter of CFC involves the partnership of the Foundation with 7 NGO
working in primary education. Not only does the Foundation provide much needed
financial support to these organizations but also runs strong voluntary programs
giving the employees a chance to meet the children, work with them and take
ownership and responsibility for the vision of its partners. The Foundation creates
systems that ensure CSR activities within the organization. Various programs are
initiated with the employees, whether it is taking 100
children for a day out to the planetarium or watching a film
with them. It collectively influences the culture of

the organization; and also provides the employees with an opportunity to

contribute to the vision of the organizations CSR.

Page | 39
Recently ING Vysya Foundation launched its initiative “Run Ricky Run”. In this
initiative, for every run Ricky makes the Foundation will sponsor one child to go to
school through its association with its NGO partner in Bangalore, SUKRUPA.

Addressing health care, poverty or human rights issues, there is no better way than
through the corridors of education. The main focus of the Foundation in India is to
support not for profit organizations working in the area of education.

CHAPTER - 3
Page | 40
 DESIGN OF
STUDY

OBJECTIVE OF THE STUDY:

PRIMARY OBJECTIVE:

Page | 41
 • To thoroughly study the products & services of ING Vysya Bank.

• To compare the banking products and services offered by ING Vysya Bank
and other private banks (ICICI & HDFC)
• To study the customer’s expectations, behavior, responses & preferences for
various saving accounts of ING Vysya Bank.
• To study the marketing strategies adopted by ING Vysya Bank to maintain
& increase its market share & to retain its customers.

SECONDARY OBJECTIVE:
• To study banking operations.

• To get the knowledge about marketing strategies of bank.

DURATION OF THE STUDY

Duration of the study is 6 weeks.

RESEARCH METHODOLGY
All the conclusions are based on the survey done in the working within the time
limit. I tried to select the sample representative of the whole group during my

Page | 42
training. I have collected data from people linked with ING VYSYA BANK and
OTHER BANK

4.1 RESEARCH PLAN:

Preliminary Investigation: In which data on the situation surrounding the

problems shall be gathered to arrive at
· The correct definition of the problem.
· An understanding of its environment.
.Exploratory Study: To determine the approximate area where the problem lies.

RESEARCH DESIGN:

Research was initiated by examining the secondary data to gain insight into the
problem. By analyzing the secondary data, the study aim is to explore the short
comings of the present system and primary data will help to validate the analysis of
secondary data besides on unrevealing the areas which calls for improvement.

DEVELOPING THE RESEARCH PLAN:

The data for this research project has been collected through self Administration.
Due to time limitation and other constraints direct personal interview method is
used. A structured questionnaire was framed as it is less time consuming, generates
specific and to the point information, easier to tabulate and interpret. Moreover
respondents prefer to give direct answers. In questionnaires open ended and closed
ended, both the types of questions has been used.

COLLECTION OF DATA:

1: Secondary Data:
It was collected from internal sources. The secondary data
was collected on the basis of organizational file, official
records, news papers ,magazines, management

books, preserved information in the company’s database and website of the

company.

Page | 43
Primary data:

All the people from different profession were personally visited and interviewed.
They were the main source of Primary data. The method of collection of primary
data was direct personal interview through a structured questionnaire.

SAMPLING PLAN:

Since it is not possible to study whole universe, it becomes necessary to take

sample from the universe to know about its characteristics.

· Sampling Units: Different Account Holder and Service receiver from the bank

· Sample Technique: Random Sampling.

· Research Instrument: Structured Questionnaire.

· Contact Method: Personal Interview.

SAMPLE SIZE:

My sample size for this project was 100 respondents. Since it was not possible to
cover the whole universe in the available time period, it was necessary for me to
take a sample size of 100 respondents.

DATA COLLECTION INSTRUMENT DEVELOPMENT:

The mode of collection of data will be based on Survey Method and Field Activity.
Primary data collection will base on personal interview. I have prepared the
questionnaire according to the necessity of the data to be collected

SCOPE OF STUDY

Page | 44
The scope of any study can be defined in terms of the area and the sample size
which will be reviewed for satisfying the objective of the subject matter. The first
part of the report can be made on the basis of the secondary data collected about
the different saving bank accounts of private sector banks present in Muzaffarnagar
via internet, magazines and journals.

The scope of the study is in Muzaffarnagar, and around 100 people are targeted for
the survey which is done through questionnaire.

As the scope of study is limited to Muzaffarnagar and to 100 people only, thus
picture presented in the testimony may not be the complete picture.

Page | 45
CHAPTER- 4

DATA
INTERPRETAN
AND ANALYSIS

Page | 46
Comparative analysis of saving accounts:

a. Basic Saving Accounts (Category C)

PARTICULARS HDFC ICICI ING Vysya

ACCOUNT NAME Saving Savings Orange Savings
Regular Account Account
Account
AVERAGE QUATERLY
BALANCE Rs10,000 Rs 10,000 Rs. 5,000

AQB MAINTAINANCE Rs 750.00 per Rs 750.00 Rs 750.00 per

quarter Only. per quarter quarter Only.
CHARGES
Only.
SWEEP OUT FACILITY Available N.A Available
3 per month

FREE TRANSACTIONS from N.A Unlimited from

SBI/Andhra any bank’s ATM
Bank ATM
THIRD PARTY CASH N.A Rs.15,000 Rs.25,000 per

WITHDRAWL/DEPOSIT per day day

NET BANKING Free Free Free

MOBILE BANKING Free Free Free

Page | 47
b. Preferred Saving Accounts (Category B)

PARTICULARS HDFC ICICI ING Vysya

Page | 48
Account name SAVING MAX GOLD FORMULA
ACCOUNT PRIVILAGE SAVING
D ACCOUNT ACCOUNT

AQB (Average 25,000 50,000 25,000

Quarterly Balance)

Free DD Upto 50,000/qat N.A. Upto 50,000/qat.

Third Party Cash Upto 15,000 N.A. Upto 25,000

Deposit

Smart-serv N.A. N.A. Present

Free Transaction 6 in a year N.A. Unlimited

Direct 12 annual passes of

Special Features Bill Payments Preference famous night clubs
from accounts rates on gold and restaurants,
coins across India
Jump Que Facility Present N.A. Present

Page | 49
c. Privileged Saving Accounts (Category A)

PARTICULARS HDFC ICICI ING Vysya

Account Name Privileged Titanium Platina

Platinum

QAB (Quarterly 2,00,000 75,000 + TRV 1,00,000

Available Balance) of 5 to 10 lac

DD/PO Wavier Available upto N.A. Available upto

50,000 50,000

PAP books Unlimited unlimited unlimited

One Lakh Cash

N.A. N.A. Available*
withdrawal from any
ATM

Cash Back Offer on N.A. N.A. 1 to 2 %

Shoping*

Cashnet enabled N.A. N.A. Available

credit/debit card

Page | 50
FACTS AND PEOPLES’ PERCEPTION

A) SAVING ACCOUNTS OF RESPONDENTS IN THE BANK

As per the data collected and analyzed, most of the people in Muzaffarnagar have
chosen ICICI Bank for their banking. It is because ICICI was the first private
banking player in the newly formed state (U.K.) they hold the accounts of 51% of
the respondents. Next rank comes to HDFC with 31% of accounts. ING has
captured 18% (speculative) of the market share within 6 months of its
establishment in the State.

Page | 51
 B)KNOWLEDGE OF THE ACCOUNT AND SERVICES
ASSOCIATED.

Page | 52
 C) QUARTERLY AVAILABLE BALANCE THAT HAS TO BE
MAINTAINED

(QAB)
NIL 5,000 10000 >10,000

8%
12% 35%

45%

It is the amount which one has to maintain for a single quarter. 45% of the
respondent were maintaining 5,000 rupees. 35% were maintaining nothing, 12%
were holding 10,000 as their QAB. And 8% were holding more than 10,000
rupees.

Out of 45% of the respondents who maintain 5,000 rupees as their QAB, most of
the respondents are having account in ICICI and ING Vysya bank.

Page | 53
D) BANK PROVIDING SPECIAL FACILITY LIKE smart-serve

SPECIALFACILITIES
YES NO

10%

90%

Smart serv is type of special services in which a person can send/present gifts to
any of his/her known in any of the city by just telling your banker the address of
the person. The gift will be purchased and will be delivered by the bank only, and
the amount for the gift will be automatically deducted from the sender’s account.

10% of the people who were really enjoying some of the special services provided
by bank were found to be associated with ING Vysya Bank.

Page | 54
E) PEOPLES’ RATING: ACCORDING TO THEIR PERCEPTION

ChartTitle

60%
50%
40%
30%
20%
10%
0%
AXISBANK ICICI BANK ING Vysya BANK HDFC BANK

Series1 Series2 Series3

51% of the people have rated ICICI Bank as 1st, this is because of wide market
share of ICICI Bank. 2nd Rank has been awarded to HDFC Bank by approximately
23% of respondents. 3rd rating is given to ING Vysya bank by approx. 15% of the
respondents. And last comes AXIS Bank. Thus ING Vysya is better than AXIS and
HDFC Bank in its Marketing Strategy.

Page | 55
F) PEOPLE’S MOST FREQUENT POINTS OF INTERACTION WITH
BANK

POINTSOFINTERACTION

100%
82%

35% 35%

ATM VISIT BRANCH PHONE BANKING INTERNET

BANKING

All of the bank customers interact most frequently with the bank by doing their
transactions from ATM. 35% of them visit branch quite often and 35% of the
respondents also go for phone banking. Internet Banking is the 2nd most point of
interaction of bank and the customer. People who use Internet banking and mobile
banking were found to be associated mainly with ICICI and ING Vysya Bank. ING
Vysya is having best Internet banking attributes. This implies the technological
advancement in Muzaffarnagar Citizens.

Page | 56
G) PERCEPTION OF RESPONDENTS ABOUT THEIR BANK/S

4.5

3.5

3
ING
2.5
HDFC
2
ICICI
1.5
AXIS
1

0.5

0
BANK CHARGES WORKING HOURS LOCATION

4 - Most/excellent 3- Reasonably good

2- Fair 1- Disappointing

1. Most of the people who are associated with ING Vysya Bank found their
Bank charges quite nominal and well justified. About 97% of the ING Vysya
customers state the same. Even AXIS Bank is charging best rates of charges to its
customers. ICICI customer agrees that they think of getting better bank charges.

2. People have ranked ICICI at the top notch for its 12hrs. working hours 8
to 8. Even ING Vysya operates from 10 to 7, which is 2 hrs. more than HDFC and
AXIS. Therefore ING Vysya Bank has an edge over AXIS and HDFC as per
working hours.

Page | 57
 3. 80% people have again rated ICICI as one of the
best banks location wise. Its large no. of branches provides
access to bank anywhere. As ING Vysya has got

number other branch in Uttar Pradesh it has been rated lowest as per most of
the respondents and ING Vysya customers. According to respondents even AXIS
and HDFC bank have no. of branches and are located at an accessible location.

4.5
4
3.5
3
ING
2.5
HDFC
2
ICICI
1.5
AXIS
1
0.5
0
CUSTOMER CARE BEHAVIOR OF STAFF VARIETY OF ACCOUNTS

4- Most/excellent 3- Reasonably good

2- Fair 1- Disappointing/least

4. Almost all respondents who are in connection with ING Vysya Bank have
rated it best in the customer care services. 55% of the respondent who are
associated with HDFC Bank have rated HDFC, reasonably good in customer care
services. But customer of ICICI and AXIS Bank are not very much delighted with
customer care services of their bank. This way ING Vysya has got an advantage of
delivering excellent customer care services.

Page | 58
 5. In case of “Behavior of the Staff” most of the ING
Vysya customers have rated ING the best. Almost 100% of
the ING customers are well satisfied with their

banker’s behavior. On the other hand 72% customers of ICICI bank and
other respondents as well have ranked ICICI as very disappointing as per behavior
of the staff. Most of them stated that when they visit branch, any of the employee
there, hardly pays full attention towards them. Even some of the preferred
customers have to stay in a cue or have to wait for long to get their job done by the
bank. HDFC and AXIS Bank has been rated reasonably good by the respondents as
far as behavior of the staff is concerned.

6. With the criteria of Variety of Accounts, people have rated ICICI as the
top one. This is because ICICI is having bank accounts for the different customers
with different needs. They have account for old age citizen, pension account, kid’s
account of various types and many more. Where as ING Vysya has been rated
least, because they are operating with only 3 types of saving accounts in the city.
They do have various other kinds of accounts but these are not available in
Muzaffarnagar. This is probably due to very less time of their establishment. They
are not providing the full services because its been just 8 months that they have
established in Uttar Pradesh (Muzaffarnagar).

Page | 59
 4.5

3.5

3
ING
2.5
HDFC
2
ICICI
1.5
AXIS
1

0.5

0
PROCESSING SPEED QUERIES HANDELING

4- Most/excellent 3- Reasonably good

2- Fair 1- Disappointing

7. Most of the ING Vysya customers are happy with processing speed of their banking
transactions. ING Vysya Bank boasts about delivering the commitment. According to the ING an
account takes 5 days for activation.

8. The queries handling is done very well by ING Vysya bank according to the
respondents. 57% of the ICICI customers are unhappy with the bank regarding their queries
handling. Whereas AXIS Bank has been rated good.

Page | 60
H) VARIABLES INFLUENCING ACCOUNT OPENING IN A
PARTICULAR BANK.

1) I will prefer, if my friend recommends me to open an account in a particular

bank. ( WORD OF MOUTH)

According to the respondents, they mainly disagree for opening a bank

account on their friend’s or relatives’ recommendation. And to 27% of the
respondents it doesn’t matter. Very few people agree to the
recommendation. This means that the WORD OF MOUTH is not an

Page | 61
 essential marketing channel for opening an account in bank. People first try
to find the real facts by their own.

2) I am very cautious about Average Quarterly Balance non-maintenance

charge. (QAB)

Many people are bothered about their QAB, and to 23% people QAB
doesn’t mean much. According to them they were never charged for not
keeping enough QAB.

Page | 62
3) I am generally motivated by the television add for saving bank account.

Page | 63
 STRONGLY AGREE AGREE DOESN’T BOTHER ME DISAGREE STRONGLY DISAGREE

4%
10%
8%

18%

60%

Most of the respondents were unaware of the new advertisements of various

banks. For them it hardly plays any important role in capturing market share.

Page | 64
 4) I am generally bothered about the distance between my home and

PERCENTAGEOFRESPONDENTS
PERCENTAGE OF RESPONDENTS

85%

5% 6%
2% 2%

STRONGLY AGREE DOESN’T DISAGREE STRONGLY

AGREE BOTHER ME DISAGREE

Most of the respondents were very much bothered about the distance from their
bank and home. That implies that PROXIMITY to bank is one of the very BOLD
VARIABLE for account opening.

Page | 65
5) I prefer saving bank account as it is popular.

6) I give importance to DD and cheque facility in saving bank account.

Page | 66
7) I give preference to instant alert, net banking and phone banking.

Page | 67
STRONGLY AGREE AGREE DOESN’T BOTHER ME DISAGREE STRONGLY DISAGREE

7%

20%

55%
5%

13%

Page | 68
8) I give importance to the third party cash deposits and withdrawal.

STRONGLY AGREE AGREE DOESN’T BOTHER ME DISAGREE STRONGLY DISAGREE

15%

33%

26%

5% 21%

Page | 69
 SWOT ANALYSIS

Strengths Weakness

• ING as one on the biggest • Very few branches

financial MNC. 7th in 500 fortune • Less variety of financial/banking
• Only foreign bank which has products
acquired an Indian private bank • Location
(Vysya Bank)
• Higher rate of interest than other
private banks
• Most of the financial plans are
legalized under 80(ccc)
• Top notch customer care and staff
behavior
• Unique features with different
kinds of accounts
• Working hours

Page | 70
 Opportunities Threats

• New segment of doctors, students • Presence of two top private

and CAs as they like innovation banking players in the market
in their financial needs and like to (ICICI & HDFC)
enjoy the services. • Large market share already
• High class (upper strata) captured
population of city • Non willingness of
• Increase in different kind of Muzaffarnagar citizens to change
financial products for something new, or to try
• NGO and Public Relations innovation in their banking.

CHAPTER - 5

FINDINGS
Page | 71
The study conducted directs toward the Private Banking scenario in the city
Muzaffarnagar Study suggested that a large market share has been captured by
ICICI Bank and HDFC Bank. Out of two ICICI is enjoying the maximum market
share. This is probably because of the reason that ICICI was the first private bank
in the state as well as in city.

Most of the people know about the account and services associated with it. Most of
the people are maintaining 5,000 rupees as QAB in their private banking account,
but most of them except ING Vysya customer are unaware of the special facilities
available.

People have ranked ICICI bank as best in the city. This is may be due to the oldest
persistence of ICICI bank in the city. They have rated HDFC as 3rd and ING Vysya
as 2nd.

Page | 72
Almost everyone comes in contact with their bank by the use of ATM machines.
80% of the respondents were using internet banking that implies high literacy rate
in the city.

People think that the staff of ICICI does not behave well with their customers but
ING Vysya customers are glad with the staff of ING Vysya Bank. But on the other
hand ICICI customers are very happy with the working hours of ICICI bank.
HDFC customers are a bit unhappy with the working hours of their bank.

People are very much bothered by the distance between their home and the bank.
They believe that this a major issue which influence the customer to open an
account in any bank. Most of the people are not entertained
by the television advertisements about various banks. Even
word of mouth has not been proved as

strong marketing channel about banking. It implies that for banking customer is
looking at the commitment, real facts, distance between their home and bank,
behavior of the banker, QAB and many more.

Page | 73
LIMITATION
Page | 74
 LIMITATIONS

• ING Vysya Bank have a very few branches in Northern India

• Customer are not aware about the ING Vysya Bank

• ING Vysya Bank have fewer banking/financial product compare to other

• ING Vysya Bank have very few ATM .

• Research is only done in Muzaffarnagar city

• Research is self-financed so money is a major constraint

• Respondents are biased toward their current bank.

Page | 75
• Time is 6 weeks, so much of economic fluctuations are not seen

Page | 76
 RECOMMENDATION

RECOMMENDATION
 Many of the respondent are not aware about their key services. Bank has to take
some initiatives.

 Bank can post a list of services that they can rendered to the customer inside the
bank premises.

 ING Vysya Bank has to improve its brand image i.e. create a position in the
mindset of the customer.
Page | 77
 It should more emphasize on advertisement. Advertisement is a most powerful
tool for position and brand in the mindset of customer.

 ING Vysya Bank should ask for their customer feedback to know whether the
consumer are satisfied or dissatisfied.

 Due to intense competition in the financial market. ING Vysya Bank should
adopt better strategy to attract more customer

BIBLIOGRAPHY
WEBSITES

• www.ingvysyabank.com

Page | 78
 • www.icicibank.com
• www.hdfcbank.com
• www.moneycontrol.com
• www.economictimes.com
• www.blackle.com
BOOKS

• India Today
• Chronicle
• Business World
• Business Today

Page | 79
ANNEXURE

Page | 80
 Questionnaire

Comparative analysis of saving bank accounts of different

private sector banks
Dear respondent,

We are conducting a research to know the general perception and attitude of

customer towards the products & services that are offered by ING Vysya Bank &
other private banks (ICICI & HDFC) in Muzaffarnagar. The information will be
valuable input for the research and we assure you that the information will be kept
confidential. We hope that you will co-ordinate with us and give quite a few
minutes from your precious time and give the genuine answer.

Personal Details:-
Name:-

Gender :- M F
Age:-

Address:-

Occupation:- Service
Professional
Businessman
Others (Please Specify)…………..

Page | 81
Educational Qualification:- Under Graduate

Graduate

Post graduate
Phone no.(Optional):-

Annual Income:- Below 1 Lac

1 Lac – 3 Lac
3 Lac - 5 Lac
Above 5 Lac

1) Doyou have a saving account in any of the Private banks in

Muzaffarnagar ?

a) Yes

b) No

2) In which of the following banks do you have saving bank account?

1. ING Vysya Bank

2. ICICI Bank 4. Any Other Bank

3. HDFC Bank

(Please Specify…………………………)

Page | 82
3) Do you have complete knowledge of the saving account and services
associated with that account you have?

a) Yes

b) No
c) Can’t say

4) Are you a preferred/privileged customer of your bank?

a) Yes b) No

5) How much Quarterly Available Balance (QAB) you need to maintain?

a. Nil

b. 5,000

c. 10,000

d. More than above

Page | 83
6) Does your Bank provide you some special services like, smart serve, mi-
banking?

a. Yes

b. No

7) Please rate the following banks on the scale of 4 where 1is the least and 4 is
the most according to your perception you are having for reputation of the
banks.

ING Vysya ICICI Bank HDFC Bank Axis Bank

Bank

8) What is your most frequent point of interaction with the bank?

• Visit Branch

• ATM

• Phone Banking

• Drop Box

• Internet Banking

• Mobile Banking

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 9) Please rate the following banks on the basis of your perception about the
given attributes out of 4, where 1 is the least/disappointing and 4 is the
most/excellent

ING
Vysya ICICI HDFC Axis
S.NO ATTRIBUTES Bank Bank Bank Bank

1. Bank charges

2. Customer care
Variety of saving bank
3. account

4. Behavior of the staff

5. Working Hours

6. Location

7. Personalized attention

8. Processing Speed

9. Grievance/queries handling

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 10) Please rate the following variables which influence you when it
comes to open an account on the scale of 1 to 5 where 1 is strongly disagree
and 5 is strongly agree.
SL SRONGLY STRONGLY
NO STATEMENTS DISAGREE…………………………… AGREE
1 2 3 4 5

I will prefer, if my friend recommends

me to open an account in a particular
1 bank.

I am very cautious about Average

Quarterly Balance non-maintenance
2 charge.
I am generally motivated by the
3 television add for saving bank account.
I m generally bothered about the
distance between my home and the
4 Bank.
I prefer saving bank account as it is
5 popular.
I give importance to DD and cheque
6 facility in saving bank account.
I give preference to instant alert, net-
banking, phone banking, and mobile
7 banking.
8 I give importance to the third party cash

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 deposits and withdrawal.

Any other suggestions regarding the bank please mention:-

……………………………………………………………………………………
……………………………………………………………………………………
……………………………………………………………………………………
………………………………….

Tthank you for your cooperation for devoting your valuable time and sharing
the valuable information with us which will help us to complete our project
successfully.

Place…………………
Date……………………..

Signature of the respondent

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