ANALYSIS OF CUSTOMERSPERCEPTION TOWARDS PERSONAL LOANS OFFERED BY CITIFINANCIAL By R.

DINESH KUMAR (Reg No: 35104087) A PROJECT REPORT

Submitted to the Department of MASTER OF BUSINESS ADMINISTRATION In the FACULTY OF ENGINEERING & TECHNOLOGY

In partial fulfillment of the requirements For the award of the degree Of MASTER OF BUSINESS ADMINISTRATION IN SRM SCHOOL OF MANAGEMENT S.R.M INSTITUTE OF SCIENCE AND TECHNOLOGY (DEEMED UNIVERSITY) MAY 2006

S.R.M SCHOOL OF MANAGEMENT S.R.M INSTITUTE OF SCIENCE & TECHNOLOGY (Deemed University) 1

S.R.M Nagar, Kattankulathur, Kancheepuram District 603203. Phone: 044-27451317, 27453901, 27453804, 27453377, 27452270. Internet: E-mail: srmec@vsnl.com www.srmec.ac.in Dr.Jayshree Suresh Professor & HOD BONAFIDE CERTIFICATE Certified that this project report titled ANALYSIS OF CUSTOMER PERCEPTION TOWARDS PERSONAL LOANS OFFERED BY CITIFINANCIAL is the bonafide work of Mr.R.DINESH KUMAR who carried out the research under my supervision. Certified further, that to the best of my knowledge the work reported herein does not form part of any other project or dissertation on the basis of which a degree or award was confirmed on an earlier occasion on this or any other candidate. Date:

Signature of the Guide Mr.V.M.SHENBAGARAMAN

Signature of HOD Dr. Jayshree Suresh

External In-charge

CONTENT

CHAPTER NUMBER 1 INTRODUCTION

PREFACE

PAGE NUMBER 1 2 8 11 12 13 14 15 16 17 18 19 20 21 22 28 33 65 69 71 78

INDUSTRY PROFILE 2 3 REVIEW OF LITERATURE OBJECTIVES PRIMARY OJECTIVES SECONDARY OBJECTIVES 4 5 SCOPE and LIMITATIONS OF THE STUDY RESEARCH METHODOLOGY RESEARCH DESIGN DATA COLLECTION METHOD SAMPLING DESIGN SAMPLE MEDIA DETERMINATION OF THE SAMPLE SIZE STATISTICAL TOOLS USED 6 COMPANY PROFILE PRODUCT PROFILE 7 8 9 10 INTERPRETATIONS AND ANALYSIS FINDINGS and SUGGESTIONS CONCLUSION APPENDICES BIBLIOGRAPHY QUESTIONAIRE

List of Tables

Table No. 7.1 7.2 7.3 7.4 7.5 7.6 7.7 7.8 7.9 7.10 7.11 7.12 7.13

Name Respondent wise classification Various Loan Available Turn Around Time Problem Faced Preferred Repayment Mode Loans Availed at Different Branches Loans Availed at Other Banks Klomogrov Smirnumberv Test Ranking of Attributes One Way ANOVA Test Agreement on Various Services offered One Way ANOVA Test Customer Satisfaction Klomogrov Smirnumberv Test Ranking of Customer Services from various Banls Klomogrov Smirnumberv Test Ranking of Quick Sanction of Loans of Various Banks Chi Square Test Mode of Awareness and Types of Loan

Page No. 34 36 38 40 41 43 45 47 50 53 56 59 62

List of Figures

Figure No 7.1 7.2 7.3 7.4 7.5 7.6

Figure Name Respondent wise classification Various Loan Available Turn Around Time Preferred Repayment Mode Loans Availed at Other Branches Loans Availed at Other Banks

Page No. 35 37 39 42 44 46

CHAPTER 1 INTRODUCTION

CHAPTER 1 INTRODUCTION INDUSTRY PROFILE The importance of financial institutions in the modern economy cannot be neglected. They occupy a very important place in the field of commerce and industry of any country. They are so important that modern business is certainly impossible without them and number country can achieve commercial and industrial progress in the absence of sound financial system. These financial sectors have different products at different rates. The growing competition between the financial institutions had made each of them to delight their customer rather than satisfying them. The emergence of new generation private financial institutions have made the entire financial sector tougher and much more competitive. They provide various services to the customer to overcome the competition. Some of the major players in the sectors are 1) Citifinancials 2) ICICI bank 3) HDFC bank 5

4) State Bank of India Financial institutions and their services offered: ICICI bank: ICICI Bank offers wide variety of Loans Products to suit the customer requirements. Coupled with convenience of networked branches/ ATMs and facility of E-channels like Internet and Mobile Banking. Home loan: Attractive interest rates Door-step service from enquiry stage till final disbursement Can transfer the customer existing high-interest rate loan Free personal accidental insurance Special 100percentage funding for select properties

Personal Loans Loans for salaried & self-employed individuals. Loans are available from Rs. 20,000 to Rs. 15 Lakhs. Repayment tenures from 12 - 60 months. Number Security, Collateral or Guarantors required. Loans can be used for any purpose with number questions asked regarding the end use of the loan. A balance transfers facility available for those who want to retire any higher debt. All loan repayments are done via equated monthly installments (EMI).

Two Wheeler Loans We fund motorbikes, mopeds, scooters and scooterettes. We are the preferred financiers with Hero Honda, Bajaj, TVS, Honda Motors & Scooters, Yamaha,Enfield, LML,Suzuki

and Hero Motors.Apply under any Loan Scheme from Rs.7500/- onwards to Rs.150000/and pay in easy installments over a period of 6 to 36 months. HDFC Bank: Home loan: Anew home brings with it new hopes, joys and emotions. At HDFC, we have shared new hopes, joys and emotions with over 26 Lakh customers. Every customer has a specific and unique concern. Having earned an experience of 27 years in home loans, our home loan product is customized to provide the customer solutions for the customers unique concern. Features
Maximum loan 85percentage of the cost of the property (including the cost of the

land) and based on the repayment capacity of the customer.

Maximum Term 20 years subject to the customers retirement age. Applicant and Co- Applicant to the loan Home Loans can be applied for either

individually or jointly. Proposed owners of the property, will have to be coapplicants. However, the co-applicants need number be co-owners.

Adjustable Rate Home Loan under Adjustable Rate is linked to HDFC's Retail Prime Lending Rate (RPLR). The rate on the customers loan will be revised every three months from the date of first disbursement, if there is a change in RPLR, the interest rate on the customers loan may change. However, the EMI on the home loan disbursed will not change*. If the interest rate increases, the interest component in an EMI will increase and the principal component will reduce resulting in an extension of term of the loan, and vice versa when the interest rate decreases.
Fixed Rate without money market conditions- Rate of interest will not change.

with money market conditions- Rate of interest will not change due to money market conditions for two years from the date of first disbursement of the loan*.

2-in-1 Home Loans Purpose

Purchase of
o o o

Flat, row house, bungalow from developers Existing freehold properties Properties in an existing or proposed co-operative housing society or apartment owner's association First Power of Attorney purchases in Delhi for DDA flats allotted before 1992.

Self Construction Purpose

o o o o o o o o o o o o

Features

External repairs Tiling and flooring Internal and external painting Plumbing and electrical work Waterproofing and roofing Grills and aluminum windows Waterproofing on terrace Construction of underground/overhead water tank Paving of compound wall (with stone/tile/etc.) Bore well Existing Customer 100percentage of the cost of improvement New Customer 5percentage of the cost of improvement

AdjustableRateHomeLoan Loan under Adjustable Rate is linked to HDFC's Retail Prime Lending Rate (RPLR). The rate on the customers loan will be revised every three months from the date of first disbursement, if there is a change in RPLR, the interest rate on the

customers loan may change. However, the EMI on the home loan disbursed will not change*. If the interest rate increases, the interest component in an EMI will increase and the principal component will reduce resulting in an extension of term of the loan, and vice versa when the interest rate decreases. FixedRate With money market conditions- Rate of interest will not change due to money market conditions for two years from the date of first disbursement of the loan*.

State Bank of India (SBI): HOUSING LOAN: Home is where the heart is! At SBI, we understand this better than most the toil and sweat that goes into building/ buying a house and the subsequent pride and joy of owning one. This is why our Housing loan schemes are designed to make it simple for the customer to make a choice at least as far as financing goes! Unique features: Number cap on maximum loan amount for purchase/ construction of house/ flat Option to club income of the customers spouse and children to compute eligible loan amount. Provision to club expected rent accruals from property proposed to compute eligible loan amount Provision to finance cost of furnishing and consumer durables as part of project cost Repayment permitted up to 70 years of age Free personal accident insurance cover Optional Group Insurance from SBI Life at confessional premium (Upfront premium financed as part of project cost) Interest applied on daily diminishing balance basis 9

Plus schemes which offer attractive packages with confessionals interest rates, margins and processing fee to Govt. Employees, Teachers, Scientists, Employees in Oil sector, Journalists (in select cities) etc.

Special scheme to grant loans to finance Earnest Money Deposits to be paid to Urban Development Authority/ Housing Board, etc. in respect of allotment of sites/ house/ flat

Option for E-banking

CAR Loan: Excellent service and lower costs. A quick survey of similar schemes available elsewhere and the customer will find that SBI Car Loans for new and old vehicles offer the customer

Lowest interest rates Longer repayment period of up to 84 months. Number processing charges. Number hidden costs or administrative charges. Finance for one-time road tax, registration fee and insurance premium Number advance EMIs. (Some Banks/companies ask the customer to pay one or more EMIs at the time of disbursement of loan, thereby effectively reducing the customers loan amount.)

CHAPTER 2 REVIEW OF LITERATURE

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CHAPTER 2 REVIEW OF LITERATURE The researcher has to refer few books and magazines to refer few books and review for obtaining and understanding. The relationship in customer satisfaction and quality of services. It was also useful for knowing the customer satisfaction versus quality of service offered by the concern. The ICFAI journal of Monetary Economics, Numberv2004 it is studied that greenwood and Jovanovic(1990) in their study analyzed the role that financial institutions play in collecting and analyzing information and use this information for utilizing funds by investing in such projects that are high-risk while at the same time yield highest return. The ICFAI Journal of Service Marketing Dec2004 It is important to note that whatever financial product are put in the market, it can only be successful if customer has a need for it. Thus the need to study customer behavior becomes paramount. This flows naturally from the marketing concept that emphasis the idea of looking at the product from the consumers point of view, In Indian Journal of Marketing, May04Marketing of Banking Services in the Globalize Scenario Emerging Challenges- By Dr. V. GOPALAKRISHNAN Banking services largely depends upon customer demands and their perceived performance. In urban and metropolitan sectors customers are more knowledge and demand more facilities than offered. They are looking for services that are cheaper, faster and qualitatively better The STATISTICAL METHODS, By GUPTHA. S.P gives a very in-depth study about the various statistical tools and techniques that could be used for various researches work purposes. Each statistical test has been discussed very much in detail and this book has acted as the back bone for this research study by helping the research work in using

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various statistical tools like chi-square, One way ANOVA test, Two way ANOVA test etc., The Marketing Management -By PHILIP KOTLER, which is one of the masterpieces in the field of marketing, has given an excellent coverage in the various fields of marketing. The author has very elaborately examine the various issues in designing the marketing strategies for various companies, tactical marketing and also the hurdles that arises in the administrative side of marketing which were all very much useful in analyzing the various problems of this research study and finally in also putting forth various feasible recommendation and suggestion for this research work. This book has also presented various frameworks for analyzing certain recurrent problem in the field of marketing, which were also effectively used in this research work. The RESEARCH MARKETING, By McGauran L.L.gives more stress on the various categories of information that should be collected for carrying out the preliminary investigation for the various research studies. The author McGauran L.L. gives importance to six categories of information that re to be used for preliminary investigation namely a) the product b) the company, industry and competition c) the market d) the channel of distribution e) the sales f) the sales promotion policies. Further this book also stresses on the pilot survey that should be conducted before starting the original survey. Hence taking all this into account, a preliminary questionnaire was drafted and it was tested among five customers. The flows found in the questionnaire were later rectified after consulting few experts too in this field and finally the original questionnaire was drafted.

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CHAPTER 3 OBJECTIVES

CHAPTER 3 OBJECTIVES PRIMARY OBJECTIVE: Analyzing the customers PERCEPTION on personal loans offered by CitiFinancial

SECONDARY OBJECTIVES: 1) To find out various types of loan availed by customers in Chennai. 2) To identify various branches of CitiFinancial from where customer have availed loans. 3) To evaluate the turn around time for customer in availing their loans from CitiFinancial. 4) To identify whether any procedure problem were faced by the customer in availing the loan. 5) To find out the preferred mode of repayment of customer with regarding their loans availed from CitiFinancial. 6) To find out the most attractive features that attracted the clients to avail loan from CitiFinancial. 7) To evaluate the customer satisfaction regarding various services offered at CitiFinancial.

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CHAPTER 4 SCOPE AND LIMITATIONS OF THE STUDY CHAPTER 4 SCOPE AND LIMITATIONS OF THE STUDY

SCOPE OF THE STUDY The scope of the study is to analyze the satisfaction level of CitiFinancial loan customers in and around Chennai. The study was concluded for a period of three months covering various branches of CitiFinancial in Chennai. The study gathers information about rating the effectiveness of CitiFinancial staffs, rating and ranking the different features and services offered by the bank. Primary data was collected from the existing loan customers; secondary data was collected from book manuals, magazines and websites. The study has come out with valuable suggestions on basis of concrete facts, which help to frame its plan and strategies to increase satisfaction level of the loan customers.

LIMITATIONS OF THE STUDY 1) The study is limited to Chennai branches only. 2) Because of the limited time, research is conducted with only 350 customers. 3) The data collected from the customer are qualitative in nature i.e., views, perception, satisfaction, opinion etc., may change from time to time. 4) The data collected are primary in nature. Hence there is chance for a biased of misleading respondent from the customer.

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5) On few occasions customer were reluctant to give information, because they were busy. CHAPTER 5 RESEARCH METHODOLOGY CHAPTER 5 RESEARCH METHODOLOGY

RESEARCH DESIGN The formidable problem that follows the task of defining the research problem is the preparation of the design of the research project, popularly known as Research Design. Research design is a plan, structure and strategy of investigation conceived to obtain answers to research questions and to control variance. A research design can be defined as Arrangement of condition for collection and analysis of data in the manner that aims to combine relevance to the research purpose with economy in procedure. It consists of the blue print for the collection measurement and analysis of data. The research used here is descriptive research

DESCRIPTIVE RESEARCH The researcher is interested in knowing the proportion of people in a given population who has behaved in a particular manner, making projections of certain thing and determining the relationship between two or more variables in some areas. As the set up has been well structured and is a rigid one, which could not be changed by giving sufficient thought in frail-ling question, deciding type of data to be collected and procedure that has been used gives the, proof of using description research. In descriptive research also there has been use of cross sectional studies just because the researcher has taken only a sample of elements from the given population. In the cross sectional study the survey research has been selected, as a detailed study has to be obtained from a sample of large population.

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DATA COLLECTION METHOD The data that is used in study in collected by two methods. 1. Primary data 2. Secondary data

Primary Data The primary data does not exist already in records and publications. The researcher has to gather primary data a fresh for a specific survey. The primary data can be gathered by way of observation method where the research mix with the people concerned with the use of particular product and not important clauses by observing the respondents. The second method of collection of primary data is by way of experimentation method where some variables are allowed to vary under a controlled environment and its cause and effect relationship is studied. The third method of collection of data is by way of conducting a survey. This method is used for collection of primary data. The primary data was collected from customers in Chennai city. For this research study, data was collected from various account holders of the CitiFinancial. Data collection was carried out using personal interview method guided by questionnaire as follows: . Open-ended questions . Closed ended questions . Dichotomous questions . Multiple-choice questions . Ranking questions . Rating questions

SECONDARY DATA It is needed for conducting this research work collected from the various business magazines, bank brouchers, statistical and management book, market research books etc. which are presented in the literature various in details.

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SAMPLING DESIGN The precision and accuracy of survey results are affected by the manner in which the sample has been chosen. The first thing for a sample plan is definition of the population to be investigated. Defining the population is often one of the most difficult things to do in sampling. Although ideal conditions might indicate threat the census would be preferable, such ideal conditions rarely exist in the real world. A census is not feasible practically, therefore sample is used. Two of major advantages of using a sample rather than a census are speed and timeliness. A survey based on sample takes much less time to compete than based on census. In this particular research study sample survey is done. Sample design is the most important heart of sample planning. Sample design includes type of sample to use and the appropriate sampling unit.

Sampling Frame Sampling may be defined as a means of accounting for the elements in the population. The sampled elements that are selected from the frame sample size are directly related to precision. The size of sample can be decided by way of random or arbitration or minimum cell sized needed for analysis or budget based.

Sample Unit The study was conducted among the loan holders in the selected areas in Chennai

Population All the people holding an account in CitiFinancial

Types of Sampling Sampling units focus the basis of the actual sampling procedure. It is that which is actually chosen by the sampling process. The sampling, which is used in research, is random sampling. In a simple random sample, each member of the population has a known and equal chance of being selected.

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SAMPLING METHOD The research is based on the study conducted in selected areas in Chennai. Among these areas systematic random sampling is used where in every second customer who walked into Chennai branch.

SAMPLE MEDIA Personal interview method guided by questionnaires is used for conducting the survey.

PILOT STUDY Determination of sample size Before the original questionnaire was drafted a preliminary questionnaire was formed and a pilot survey was done with 10 personals. Formula Sample size (n) = Z * Sd Sample size Success Failure Sd = = =5 =4 = 1 (p * q) / n (0.8 * 0.2) / 5 p = 0.8 q = 0.2 / E2

= 0.179 based on 2percentage error level Sd = 0.179 Z = 1.96 E2 = ( 0.02) 2 = 0.0004 18

N = ( Z * Sd) 2 / E2 = (1.96 * 0.179) 2 / 0.0004 = 342.2 = ~ 350 STATISTICAL TOOL USED: Chi-square Test The 2 test is one of the simplest and most widely used numbers-parametric tests in statistical works. The symbol 2 is Greek letter chi. The chi square test was first used by Karl Pearson in the year 1890. The quantity 2 describes the magnitude of the discrepancy between theory and observation.

One way classification The main object of one-way classification is to examine if there is a significant difference between the class means in view of the interest variability within the separate classes. The test statistical for Ho is provided by the variance ratio F= Between Sum of Squares Within Sum of Squares

K S TEST (Komogrorov-Smirnumberv test) This test is used for comparing the distribution on an ordinary scale. The test is concerned with the degree of agreement between the distribution and some special theoretical distribution. It determines whether the scores in the sample can be reasonable thought to have come from popularize, having theoretical distribution. In this distribution value is calculated by the following formula. T.V = 1.36 / Where n n

= sample size

CV = maximum value of the 10-E1 column.

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CHAPTER 6 COMPANY PROFILE CHAPTER 6 COMPANY PROFILE CitiFinancial specializes in bridging the gap between dreams and reality. We have the right products and financial expertise to cater to all the customers financial needs. At CitiFinancial, we offer convenient Personal Loans and Home Loans designed to suit the customers needs. Discover solutions to all the customers financial needs with CitiFinancial.

History: Since 1912, CitiFinancial has been helping people realize their financial goals and dreams. We are in each province and in the Yukon Territory with more than 300 branches across Canada. We are part of the communities in which we serve. Our branches are staffed with friendly, knowledgeable people who live and work right in the customers neighborhood. They understand the customers needs and can tailor a loan solution for just about every situation. Read on for more details about our companys history.

A Pioneering Beginning We started in the U.S. when Alexander Duncan founded Commercial Credit in 1912. Our company was a pioneer in the consumer finance industry. In 1916, we offered an installment loan program to help people purchase what was then an exciting new invention - the automobile. That led to the development of installment buying plans for home appliances and other consumer goods.

Growing with America In the next decades, we acquired a major credit insurer and a casualty insurance company. In 1944, we organized an insurance unit that later became American Health &

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life insurance Company. In 1968, Commercial Credit became a wholly owned subsidiary of Control Data Corporation.

Going Public Wall Street legend Sanford I. Well assumed control of the operations of Commercial Credit in 1986 and took the company public. Within two years, the company acquired Primerica Corporation, the parent company of several investments, financial services and insurance firms, including the well-known Smith Barney.

Joining the Travelers Group In 1992, Primerica purchased 27percentage of Travelers Insurance, a company with one of the most recognizable logos in the U.S. - the red umbrella. Less than a year later, Primerica purchased the remaining 73percentage of Travelers, which later adopted the name Travelers Group. In subsequent years, Travelers Group acquired ShearsonLehman's retail brokerage, Aetna's property and casualty business, Security Pacific Financial Services, and Salomon Brothers, creating the nation's third largest investment house - Salomon Smith Barney.

The Creation of Citigroup In 1998, Travelers Group merged with banking powerhouse Citicorp to create Citigroup, a global financial services company serving 20 million customers worldwide. Citigroup's businesses include asset management, banking, credit and charge cards, insurance, investments, investment banking and trading.

An International Company with A New Name In 1999, Citigroup purchased 128 offices of Texas-based Associates First Capital, giving us more than 1,400 offices in 45 states. We then turned our focus to Canada, buying Associates First Capital offices there. In September of that year, we changed our name to CitiFinancial to proudly recognize our affiliation with our parent company and to better reflect what we do today. In Number 2000, we continued our growth with the acquisition of The Associates.

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As part of Citigroup, we continue to provide the customer with a full range of exceptional products and services to help the customer find a financial solution that's right for the customer. Citigroup is the world's most global financial services company whose other subsidiaries include: Citibank, Travelers Life & Annuity, Smith Barney and Primerica.

Personal loan: CitiFinancial's Personal Loans can help make a difference in the customers life. We help the customer to take a step closer to the customers dreams, by making borrowing easy. Number matter what the customers financial needs - unexpected expenses, school fees, wedding in the family, consolidating the customers bills and other loans, home improvement or the long awaited vacation. Features: Loans for salaried and self-employed individuals Easy documentation: Address Proof Income Proof Identity Proof Bank statement of last 3 months Number Security needed Number guarantors Quick processing Cash up to Rs. 2 Lakh and repayment through Easy Monthly Installments CitiFinancial can help with a personal loan that is perfect for the customer with payments and terms tailored to fit the customers needs and budget. Home Equity loan: The customer work hard for the customers home, so why not put it to work for the customer? Convenient terms + a lower interest rate = wise borrowing when the customer take advantage of CitiFinancials home equity loans. Unlike the interest on auto 22

loans, credit cards, and other Personal Loans, the interest the customer pay on a home equity loan is usually lower. Choose from a variety of home equity loan terms with payments designed to fit the customers budget.

Bill Consolidation Loan: CitiFinancial may have a solution when the customers bills start piling up. Our consolidation loan makes it easy for the customer to manage the customers finances. Well help the customer pay off the customers other debts and provide the customer with just one, more affordable monthly loan payment! Its that easy. One loan, one payment. Ask us how we can help the customer afford more but pay less.

Extra loan: CitiFinancial may lend the customer the money the customer need when the customer needs it most. Weve helped families all over the country copes with unexpected surprises, like repair bills, kids braces and even new babies. Our terms and payments are convenient and flexible, and our application process is easy. In most cases, the customers will have the money the customer need within 24 hours.

Credit Insurance: CitiFinancial has arranged affordable, low cost creditor's group insurance that can help the customer have peace of mind in four ways if the customer lose the customers job, through number fault of the customers own, involuntary unemployment insurance may pay the customers monthly payment for up to six months after the customer have been out of work for at least 30 days from layoff, lock out or termination. if the customer get sick or injured and are totally disabled so the customer can't work for at least 30 days, disability insurance may pay the customers monthly payment for up to twelve months. in the event of the customers death - life insurance may pay off the entire balance of the customers loan.

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joint coverage available to protect the customer self and the customers coborrower (not available in all provinces) number medical exam to qualify immediate coverage at the time of the customers loan premiums included with customers monthly loan payment

to protect customers uninsured personal property against fire, lightning, theft and other perils.

HOME & AUTO SECURITY PLAN This is a unique plan that offers protection and assistance for a variety of situations arising in customers home or customers auto including:

emergency medical expense benefit Air & land ambulance/Paramedic expense benefit locksmith service benefit legal access benefit vacation travel service emergency towing and road service emergency living expense benefit emergency transportation and car rental expense benefit crime prevention kit

PRODUCT PROFILE The different services provided by Citifinancial: 1) Home loan Home Purchase Finance Fund the customers dream home. Get the maximum loan up to a 95percentage of Agreement Value + 100percentage of Stamp Duty. Loan up to Rs. 1 Crore*.

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Home Loan Refinance with top-up Free the customers money! Have the customers existing Home Loan bought over and enjoy extra cash up to 80percentage of market value of the customers home. Loan up to Rs. 75 Lakh*. Home Improvement Finance If the customer is looking to renovate the customers home, get up to 95percentage of the cost estimate (subject to 50percentage of market value). Get a loan up to Rs. 12 Lakhs*. Home Extension Finance Thinking of expanding the customers home? Get up to 95percentage of the cost estimate (subject to 60percentage of market value). Get a loan up to Rs. 30 Lakhs*. The features of CitiFinancial Home Loans: The advantages of dealing with CitiFinancial, part of Citigroup, one of the largest financial conglomerates of the world are plenty: Highest recognition of income in the industry Specially designed for businessmen Flexibility in procedural requirements Easy income and property documentation criteria Flexible property norms Approved plans are not mandatory Funding for Builder Flats Properties already purchased within the last one year also eligible under Home Purchase Finance Hassle-free and fast service 2) Home return: 25

The customers home is more than just four walls and a roof that provides shelter for the customer and the customers family. It is also a valuable asset, which the customer can put to use while continuing to occupy it. The CitiFinancial Home Returns Plan offers the customer the opportunity of getting a loan against the customers house/residential property for practically any purpose. With our friendly, flexible and fast service, it is simply the best way to free the wealth locked up in the customers property. "Home Returns now brings the customer Mortgage Loans for Education. This zero hassle loan helps the customer fund the customers children's higher studies. Want to know how the customers children can follow their dreams Unmatched benefits of CitiFinancial Home Returns: The advantage of dealing with CitiFinancial, part of Citigroup, one of the largest financial conglomerates of the world, are plenty: Amount of loan from Rs. 2 Lakh to Rs. 1 Crore*. Loans against rented, vacant and self-occupied residential properties. Loan up to 60percentage of the market value of the customers residential property. Term of loan up to a period of 15 years. Flexible income criteria. Special schemes for businessmen. Easy income and property documentation criteria. Repayment on Equated Monthly Installments (EMIs) basis. Loans can also be availed on property belonging to the customers family members. 3) Mortgages loan for education: If money is what is standing between the customer and a world-class education, worry not! Now CitiFinancial helps the customer to fund the customers education by giving the customer a loan against the customers home. So if the customer want to pursue the customers studies in India or overseas, the customer can do so now without any financial worries.

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The customer can get cash unto Rs.1 Crore against the customers property along with maximum flexibility, easy documentation and at a much LOWER COST. Advantages: Any course, any college, anywhere in the world. Highest loan amount - Rs.2 lakhs to Rs.1 Crore Longest loan tenure - up to 15 years Quickest loan approvals - within 7 days Enjoy the flexibility of changing course/ university anytime Expenditure document / visa documents not mandatory for loan approval

4) Sales Finance: CitiFinancial Sales Finance Loan is the ideal solution for the customers entire home needs. This festive season go ahead and bring home convenience with consumer durables or even a two-wheeler, because the customer can get CitiFinancial loans with minimum delay and easy payment options. Consumer Durable Loans: Quick and easy finance schemes from CitiFinancial can also get the customer that TV, Refrigerator or Washing machine the customer always wanted in the customers home. Our schemes have attractive rates and simple documentation. We also offer special 0% schemes* on select brands and models. Two-Wheeler Loans: Ride into the future with two-wheeler loans from CitiFinancial. We have some convenient and flexible finance options the customer can choose from. Buy a twowheeler of any make or model and get up to 95percentage* finance through us. Get the customers dream scooter or motorcycle with finance from CitiFinancial! 5) Personal loan: CitiFinancial's Personal Loans can help make a difference in the customers life. We help the customer to take a step closer to the customers dreams, by making borrowing easy. Number matter what the customers financial needs - unexpected expenses, school fees,

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wedding in the family, consolidating the customers bills and other loans, home improvement or the long awaited vacation. Features of CitiFinancial Personal Loan: Loans for salaried and self-employed individuals Easy documentation: Address Proof Income Proof Identity Proof Bank statement of last 3 months Number Security needed Number guarantors Quick processing Cash up to Rs. 2 Lakh and repayment through Easy Monthly Installments CitiFinancial can help with a personal loan that is perfect for the customer with payments and terms tailored to fit the customers needs and budget.

CHAPTER 7 INTERPRETATION AND ANALYSIS CHAPTER 7 INTERPRETATION AND ANALYSIS

Table Number: 7.1. The number of respondent wise classification among the survey conducted.

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Attributes

Number Respondent

of

Percentage

Availed loan

350

100

Not Availed loan

Total

350

100

INFERENCE: The survey conducted among the 350 respondents all of them have availed the loan.

Figure number:7.1

Classification among the respondent who have availed the loan from CitiFinancial.

100 29

Table Number: 7.2. Various loan availed wise classification of respondent.

Attributes

Number of respondent 154

Percentage

Personal loan

43.43

Auto loan

107

32

Consumer durable loan

55

18.29

Home loan

26

4.2

Mortgages

Total

350

100

INFERENCE: Among the 350 respondent met 44 percentages have availed personal. 31 percentages are auto loan and 16 percentages are of consumer durable loan respectively. 4 percentages are of home loan and 2 percentages are of mortgages respectively.

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Figure Number: 7.2

Income level wise classification of the respondent.

7% 16%

2% 44%

31%

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Table Number: 7.3.

Turn around time taken to get the loan sanctioned wise classification of the respondent.

Attributes

Number respondent

of

Percentage

Less than 2 days

227

64.86

3-5 days

84

24

5-7 days

37

10.5

More than 7 days

0.57

Total

350

100

INFERENCE: Among the 350 respondent met by the researcher 65 percentage of the customer have taken turn around period of less than 2 days. 24 percentage of the customer has taken 3-5 days and 11 percentage of the customer has faced 5-7 days. 1 percentage of the customer has taken a turn around period of more than 7 days.

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Figure Number: 7.3.

Turn around time taken to get the loan sanctioned wise classification of the respondent.

24.00%

10.57% 0.57% 64.86%

Table Number: 7.4

The type of problem faced during availing the loan wise classification of the respondent.

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Attribute

Number of respondent

Percentage

Documentation Delay in delivery of draft Loan approval Others Total

42 12 22 33 109

39 11.8 20 30.77 100

INFERENCE: Among 109 respondent 39 percentage of the them have faced documentation problem. 20 percentages of the respondent have faced most of loan approval and 11 percentages have faced Delay in delivery of draft. 31 percentages of the respondent have faced other problems. Table Number: 7. 5

The most preferred repayment mode wise the classification of the respondent

Attributes

Number respondent

of

Percentage

PDI

50

14.29

SI

10

2.86

34

ESC

290

82.86

Total

350

100

INFERENCE: Among the 350 respondent met by the respondent 83 percentage has preferred ECS repayment mode. 14 percentages has preferred PDI and 3 percentages has preferred SI respectively.

Figure Number: 7. 4

The most preferred repayment mode wise the classification of the respondent

14% 3%

83%
35

36

Table Number: 7.6 The classification of the respondent who have availed loan from different branches in detail.

Branches

Number of respondent

Percentage

Vadapalani

43

42

T.Nagar

34

33

Tambaram

15

15

Saidapet

10

10

Total

120

100

INFERENCE: Among the 350 respondent 42 percentages of them have taken loan from Vadapalani, 33 percentages from T.Nagar, 15 percentages from Tambaram and 10 percentages from Saidapet.

37

Figure Number: 7.5 The classification of the respondent who have availed loan from different branches in detail.

10% 15% 42%

33%

38

Table Number: 7.7

The classification of the respondent who have availed loan from other banks individually. Number of respondent

Name of the bank

Reason

Percentage

UTI

Low interest rate, many schemes

29

18.83

INDIAN BANK

Low interest, loan amount is more

42

27.27

OVERSEAS BANK SBI HSBC

Security, interest rate Low interest rate

low

10

6.49

57 16 350

37.01 10.39 100

Easy documentation Total

INFERENCE: Among the 350 respondent 37 percentages have availed from SBI. 27 percentages from INDIAN BANK. 19 percentages from UTI. 10 percentages from HSBC. And 6.49 from OVERSEAS BANK

39

Figure Number: 7.6

The classification of the respondent who have availed loan from other banks individually.

10%

19%

38% 6%

27%

KLOMOGROV-SMIRNUMBERV TEST

Table Number: 7.8

The ranking of the following attributes of CitiFinancial by the respondent.

Ranks Attributes

Total

Customer care

146

78

72

36

18

350

40

Easy transaction

221

60

28

24

17

350

More schemes Quick approval of loan Friendly relationship

108 173

78 117

80 21

42 26

42 13

350 350

121

118

90

14

350

Ho: There is no significant difference between the rankings by the customer for the features of CitiFinancial. HA: There is significant difference between the rankings by the customer for the features of CitiFinancial.

Weightage ______________ Attributes 5 4 3 2 1

Weight Respondent _______________ Total respondent 730 312 216 72 18 2.09

Customer care

Easy transaction

1105

240

84

48

17

3.16

More schemes

540

312

240

84

42

1.54

41

Quick approval of loan Friendly relationship

865

468

63

52

13

2.47

605

472

270

28

1.73

10.99 O 0.190 0.287 0.140 0.225 0.157 E 0.2 0.2 0.2 0.2 0.2 O-E 0.010 0.060 0.060 0.025 0.043

Calculated value is maximum for O-E = 0.06 1.36 Tabulated value = ---------n = 1.36 / 18.70 = 0.07 = 1.36 ------------350

Since calculated value is greater than table value reject null hypothesis. So accept alternate hypothesis 42

Inference: There is no significant difference between the rankings by the customer for the features of CitiFinancial like Customer care, Easy transaction, More schemes, Quick approval of loan, Friendly relationship.

ONE WAY ANOVA TEST Table number: 7.9 Customer rating on level of agreement on various services offered at Citifinancial.

Rating ______________ Attributes Customer service is excellent Pre-closer charges are less Interest percentage are reduced on frequent loans Top-up amount on frequent loans are high Loan closer facility after 6 month is appreciated Verification process is

Highly agreeable 115

Agreeable

Neutral

Disagreeable

Highly disagreeable

Total

79

60

49

47

350

110

111

77

43

350

127

91

110

15

350

99

74

99

61

17

350

164

70

54

38

24

350

98

120

77

35

20

350

43

comfortable Interest rate is less Total 91 804 56 601 70 547 66 307 67 191 350 2450

Ho: There is no significant difference between customer agreeability levels on various attributes of CitiFinancial HA: There is significant difference between customer agreeability levels on various attributes of CitiFinancial Correction factor (CF) = 2450 2 / 31 = 171500 Sum of Square of factors: Sum of Square between (SSB)= (804 2 / 7 + 601 2 /7 +547 2 /7 + 307 2 /7 + 191 2 / 7) -CF = 236634.57-171500 = 33865 Sum of Square of total (SST) =(sum of square of elements) CF =219280-171500 =47780 Sum of square within elements (SSE)= (SST-SSB) = (47780-33865) = 13914.85

44

Source

Sum of Square

Degree freedom Do = (c-1)

of

Mean square

Variance

Sum of square between SSB = 33865

= (5-1) =4

MSB=SSB/ do =8466.25

F =MSB/MSW = 18.25

Sum of square within element

Do = (n-c) SSE = 13914.8 = (35-5) = 30

MSE=SSE/do = 463.8

At 5 percentages significant level where do (4,30), F (table) = 2.87 F (calculated) = 18.25 Since table value is lesser than calculated value reject null hypothesis and accept alternate hypothesis.

INFERENCE:

There is significant difference between customer agreeability levels on various attributes of CitiFinancial like Customer service is excellent, Pre-closer charges are less, Interest percentage are reduced on frequent loans, Top-up amount on frequent loans are high, Loan closer facility after 6 month is appreciated, Verification process is comfortable, Interest rate is less.

45

ONE WAY ANOVA TEST

Table: 7.10 Customers rating on their satisfaction level on various services offered at CitiFinancial.

Rate ________________ Attributes Excellent Good Average Fair Poor

Friendliness Cleanliness of the services Willingness to listen to complaints Proper diagnosis of problem

103

97

67

20

63

350

106

60

91

49

44

350

91

78

63

98

20

350

89

97

87

50

27

350

Explanation the queries

about

129

91

38

49

43

350

Total

518

423

346

266

197

1750

HO: There is no significant difference between customers rating on their satisfaction level on various environments at CitiFinancial.

46

HA: There is significant difference between customers rating on their satisfaction level on various environments at CitiFinancial. Correction factor (CF) = 1750 2 / 25 = 122500 Sum of Square of factors: Sum of Square between (SSB)= (518 2 / 5 + 423 2 /5 +346 2 /5 + 266 2 /5 + 197 2 / 5) -CF = 135306.8-122500 = 12806.8

Sum of Square of total (SST) =(103 2+ 97 2+ 67 2+20 2+63 2+106 2+60 2+91 2+49 2+ 44 2+91 2+78 2+63 2+98 2+20 2+89 2+ 97 2+87 2+50 +272+1292+912+382+492+432) CF =162890-122500 =40390 Sum of square within elements (SSE)= (SST-SSB) = (40390-12806) = 27583.2
2

47

Source

Sum of Square

Degree freedom Do = (c-1)

of

Mean square

Variance

Sum of square between SSB = 12806

= (5-1) =4

MSB=SSB/ do =3201.7

F =MSB/MSW = 2.92

Sum of square within element

Do = (n-c) SSE = 27583.2 = (25-5) = 20

MSE=SSE/do = 1379.16

At 5percentage significant level where do (4,20), F (table) = 2.87 F (calculated) = 2.92 Since table value is lesser than calculated value reject null hypothesis.

INFERENCE: There is significant difference between customers rating on their satisfaction level on various environment at CitiFinancial Friendliness, Cleanliness of the services, Proper diagnosis of problem, Explanation about the queries, Willingness to listen to complaints

48

KLOMOGROV-SMIRNUMBERV TEST

Table: 7.11 The ranking by the respondent between various banks based on the customer services provided by them from the customer.

Ranks Banks 1 CitiFinancial ICICI INDIAN BANK INDIAN OVERSEAS BANK STATE BANK OF INDIA HSBC GE Money 126 15 33 31 24 99 22 2 90 40 51 38 35 98 30 3 77 132 82 95 55 70 90 4 29 90 93 90 76 58 95 5 28 73 91 96 160 25 113 Total 350 350 350 350 350 350 350

HO:

There is number significant relationship in ranking by the respondent to the

customer services provided to the customer. HA: There is significant relationship in ranking by the respondent to the customer services provided to the customer.

49

Weight * respondent Weightage 5 4 3 2 1 ____________________ Total respondent CitiFinancials ICICI INDIAN BANK INDIAN OVERSEAS BANK STATE BANK OF INDIA HSBC GE Money 120 495 110 140 392 120 165 210 270 152 116 190 160 25 113 2.11 3.54 2.29 19.23 155 152 285 180 96 2.48 630 75 165 360 160 204 231 396 246 58 180 186 28 73 91 3.73 2.53 2.55

O 0.19 0.13 0.13 0.13

E 0.14 0.14 0.14 0.14

|O-E| 0.05 0.01 0.01 0.01

50

0.11 0.18 0.12

0.14 0.14 0.14

0.03 0.04 0.02

Calculated value is maximum for O E = 0.05 1.36 Tabulated value = _____________ Vn = 1.36 / 18.70 = 0.07 1.36 = ___________ V350

Since table value is greater than calculated value reject alternate hypothesis. So accept null hypothesis.

INFERENCE: There is number significant relationship in ranking by the respondent to the customer services provided to the customers. KLOMOGROV-SMIRNUMBERV TEST TABLE: 7.12 The ranking by the respondent between various banks based on the quick sanction of the loan ability of the bank.

Ranks Banks 1 2 3 4 5 Total

51

CitiFinancials ICICI INDIAN BANK INDIAN OVERSEAS BANK STATE BANK OF INDIA HSBC GE Money

121 30 24

90 27 46

40 132 93

23 62 82

27 99 105

350

350

350

20

20

90

115

105

350

30 105 20

92 68 14

63 99 91

60 22 110

105 56 115

350

350

350

HO: There is number significant relationship in ranking by the respondent on the ability of quick sanction of loan. HA: There is significant relationship in ranking by the respondent on the ability of quick sanction of loan.

Weight Weightage 5 4 3 2 1

respondent

____________________ Total respondent

CitiFinancials

605

360

120

46

27

3.31

ICICI

150

108

396

124

99

2.51

52

INDIAN BANK INDIAN OVERSEAS BANK STATE BANK OF INDIA HSBC

120

184

279

164

105

2.43

100

80

270

230

105

2.24

150

368

189

120

105

2.66

525

272

297

44

56

3.41

GE Money

100

56

273

220

115

2.18

18.75

O 0.18 0.13 0.13 0.12 0.14 0.18 0.12

E 0.14 0.14 0.14 0.14 0.14 0.14 0.14

|O-E| 0.03 0.01 0.01 0.02 0.00 0.04 0.03

Calculated value is maximum for

53

O E = 0.05 1.36 Tabulated value = _____________ Vn = 1.36 / 18.70 = 0.07 1.36 = ___________ V350

Since table value is greater than calculated value reject alternate hypothesis. So accept null hypothesis.

INFERENCE: There is no significant relationship in ranking by the respondent on the ability of quick sanction of loan. CHI-SQUARE TEST Table 7.13 The following table shows the cross tabulation between mode of awareness and type of loan availed by the customer Mode Awareness ---------------Availed loan personal loan Auto loan consumer loan 5 9 6 20 3 0 29 17 30 100 78 19 154 107 55 of Sign Boards References Papers Others total

54

home loan

10

15

26

mortgages

Total

34

40

76

200

350

Ho: There is number significant relationship between mode of awareness and type of loan availed by the customer HA: There is significant relationship between mode of awareness and type of loan availed by the customer APPLYING YATES CORRECTION:

Table of expected frequencies:O 5 20 29 100 9 3 17 78 6 0 30 19 10 E 14.96 17.60 33.44 88.00 10.39 0.92 23.23 61.14 5.34 6.29 11.94 31.43 2.53 | O-E | - 0.5 14.46 17.1 32.94 87.5 9.89 0.42 22.73 60.64 4.84 5.79 11.44 30.93 2.13 ( | O-E | - 0.5 )2 209.09 292.41 1,085.04 7,656.25 97.81 0.18 516.65 3,677.21 23.43 33.52 130.87 956.66 4.54 ( | O-E | - 0.5 ) 2 / E 13.98 16.61 32.45 87.00 9.41 0.19 22.24 60.14 4.38 5.33 10.96 30.44 1.80

55

15 0 1 4 2 0 2

2.97 5.65 14.86 0.78 0.91 1.74 4.57

2.47 5.15 14.36 0.28 0.41 1.24 4.07

6.10 26.52 206.21 0.08 0.17 1.54 16.56

2.05 4.70 13.88 0.10 0.18 0.89 3.62 320.36

Calculated value = 320.36 2 = sum (O- E)2 E Degree of freedom (df) = (r-1) (c-1) =4*4 = 16 Table value for chi-sq at 5 percentage significant level when degree of freedom is 16 = 26.296 Hence the calculated value is more than table value. So we reject the null hypothesis. Degree of association:

The degree of association between the variables can be calculated by C = 2cal / ( 2cal + n)

56

= =

320.36 / (320.36 + 25) 0.92

INFERENCE: There is significant relationship between mode of awareness and type of loan availed by the customer

CHAPTER 8 FINDINGS SUGGESTIONS CHAPTER 8 FINDINGS AND SUGGESTIONS 1. Among the various loans offered the researcher found that most of the customer availed Personal loan whereas the takers for Mortgages and Housing loan are relatively less ie 44 percentages have availed personal loan. 31 percentages are auto loan and 16 percentages are of consumer durable loan respectively. 4 percentages are of home loan and 2 percentages are of mortgages respectively. Hence it is recommended for the company to aggressively advertise these loan facilities in both newspapers and television channels so that many people may be aware of the same. 2. Another interesting fact found by the researcher is that while more customer are floating in T.Nagar and Vadapalani branches of Citifinancial ,whereas the loan taker of other branches are low. Among the 350 responders 24percentage of them have taken loan from T.Nagar and 21 percentage from Vadapalani branch.

57

Hence it is suggested for the company to strengthen its marketing team and telemarketing team to rigorously market its various loans product in other branches of Citifiancial. 3. Moreover it is suggested for the organization to train its marketing team to spontaneously pick-up loans order from all dealers correspondingly so that healthy competitive developers among various branches of Citifianncial. 4. It is observed that from 350 respondent 43 percentage of the customer is aware through referrals, 24 percentages through paper advertisement, 21 percentages through signboards and others respectively. It is suggested for the telesales as well as the marketing executives of Citifinancial to conduct some basic credibility shows and other promoting activities to bring the awareness among people. 5. From the 350 respondent met by the researcher 31 percentage of the customers have faced problem during availing loan and 69 percentage of the customer have not faced the problem. In order to reduce the procedural problem in availing the loan the researcher recommends Citifinancial telesales executives as well as the marketing executive to properly communicate the necessary documents( Income Tax documents, Address Proofs, Identity Card, Bank Statements) needed for sanction of loan to the customer so that customer would be well prepared in advance. 6. Some customers prefer other financial organization because of their low interest rate. Among the respondents, 37 percentages have availed from SBI. 27 percentages from INDIAN BANK. 19 percentages from UTI. 10 percentages from HSBC. And 6.49 from OVERSEAS BANK. So the researcher suggest the organization to introduce variety of schemes with lower interest rate in order to reduce the customer availing loan from others. 7. There is no significant relationship in ranking by the respondent on the ability of quick sanction of loan and also there is no significant relationship in ranking by

58

the respondent on the ability of quick dealing of Cheques. Thus it can be understood that there is significant difference in dealing with the loans and cheques. Thus it is suggested that marketing team must deal with the testing of customers at the earliest ie one week before passing the loans to the customers .Thus it helps in quickly sanctioning the loans for its customers. Such differences must be eliminated completely to enable Citifinancial to achieve the highest degree in the future. 8. There is no significant relationship in ranking by the respondent to the various banks regarding the efficient credit appraisal provided by them to the customers. Thus it is suggested that Citifinancial must take serious steps to differentiate its services from other financial institutions. 9. The researcher has found that 65 percentage of the customer have stated that their turn around period of less than 2 days. 24 percentage of the customer claimed that the organization has taken 3-5 days and 11 percentage of the customer have waited for 5-7 days. 1 percentage of the customer has claimed that the organization has taken a turn around period of more than 7 days.

10. Customers in general are satisfied with the turn around time of Citifianncial but few customers are quite dissatisfied with the turn around time. Hence it is suggested for the organization to uniformly sanction the loan for its customers within 2 days from the submission of their documents.

59

CHAPTER 9 CONCLUSIONS CHAPTER 9 CONCLUSIONS The results and findings of this research study exemplifies the fact that an indepth market research has been conducted and all research work has been conducted and all the objectives set for the research work has been fully accomplished and the analysis is also performed to the maximum extent possible. An in-depth study has been made on the aspect that influences the CitiFianacial to be the best private financier. Customer satisfaction is the core element in the business. For customer satisfaction the services have to be an edge over the other banks, which CitiFinancial has achieved. CitiFinancial is aptly targeted potential customers among the various levels of people in Chennai. The CitiFianancial overall performance and services seems to be highly satisfied. From the analysis it is found that some customers have faced some procedural problem, for which the researcher has given some suggestions and recommendations. CitiFinancial has got goodwill and reputation among the public and this can be used for promoting it services. If new promotional activity and services introduced, it will help very much the organization to increase the business.

60

CHAPTER 10 APPENDICES

CHAPTER 10 APPENDICES

Table Number: 10.1. Gender-wise classification of the respondent.

Gender

Number of respondents

Percentage

Male

205

58.57

61

Female

145

41.43

Total

350

100

INFERENCE: Out of 350 respondent met 58.57% were male and 41.3% were female respectively.

62

Table Number: 10..2. Age wise classification of the respondent.

Attributes

Number of respondent 83

Percentage

Less than 30 years

23.7

31 years- 40 years

157

44.8

41 years- 50 years

76

21.7

Above 50 years

34

9.7

Total

350

100

INFERENCE: In the sample size of 350 the maximum loan holders are in the age group of 31- 40 years is 44%. Less than 30 years and 30 years to 40 years follow by 22% and 24% respectively. The least are the people of above 50 years.

Table Number: 10.3. Qualification wise classification of the respondent.

63

Attributes

Number of respondent 70

Percentage

Under graduate

20

Graduate

112

32.9

Post graduate

64

18.29

Professional

34

20.29

Others

33

9.4

Total

350

100

INFERENCE: In the qualification analysis it is found that among 350 respondents met 33% are graduates, under graduates and professionals are 20% each. The 18% are postgraduates and 9% are others.

64

Table number: 10.4 Occupation wise classification of the respondent.

Attributes

Number of respondent 116

Percentage

Self employed

33.14

Pensioner

20

5.7

Professional

94

26.9

Salaried

105

30

Others

15

4.3

Total

350

100

INFERENCE: It is observed that among 350 respondent met 33.14% of the respondent is selfemployed. 30 percentages are salaried and 27% are professional where as 5 percentages are pensioners and others are 4%.

65

Table Number: 10.5 The number of times of availing the loan wise the classification of respondent.

Attributes

Number of respondent 115

Percentage

32.86

146

47.71

77

22

>3

12

29.11

Total

350

100

INFERENCE: Among the 350 respondent met the respondent, 42 percentage of them have taken 2 loans. 33 percentages of them have taken 1 loan. 22 percentages have taken 3 loans and 3 percentages of them have taken more than 3 loan.

66

Table Number: 10.6 Amount sanctioned wise classification of the respondent.

Attributes Rs.10, 000 - Rs.25, 000 Rs.25, 000-Rs.50, 000 Rs.50, 000-Rs.75, 000 Rs.75, 000-Rs.1, 00,000 More than Rs.1, 00,000 Total

Number of respondent 139 105 52 34 20 350

Percentage 39.71 30 14.86 9.7 5.7 100

INFERENCE: From 350 respondent met it is observed that 39% of the customer have been sanctioned an amount between Rs.10, 000 - Rs.25, 000 and 30% of the customer have been sanctioned between Rs.25, 000 Rs.50, 000. 14.86 percentages of the customers have been sanctioned Rs.50, 000 - Rs.75, 000. 15% and 10% of the customer between have been sanctioned Rs.75, 000 Rs.1, 00,000. 6% of the customers have been sanctioned above Rs.1, 00,000.

BIBLIOGRAPHY 67

BOOK REFERENCES: 1) GUPTHA S.P, Statistical Methods,New Delhi,Sulthan Chand & Sons Publications,2002 2) KOTLER PHILIP, Marketing Management, New Delhi, Prentice-Hall of India Pvt.Ltd.,1971 3) Kothari.C.R.,Quantitative Techniques, New Delhi,Vikas Publishing House Pvt,Ltd.,1978 4) Kothari.C.R, Research Methodology, NewDelhi,Wishwa Prakasan,1995 JOURNAL REFERENCES: 1) ICFAI, Journal of Service Marketing, December 2004 2) ICFAI, Journal of Monetary Economics, November 2004 3) Indian Journal of Marketing May 2004 E-REFERENCES 1) www.icici/india.com 2) www.sbi.co.in 3) www.hdfc/india.com 4) www.google.co.in 5) www.citifinancial.co.in

68

QUESTIONAIRE PERSONAL DETAILS: 1) Name 2) Gender : : Male 3) Age: Less than 30 yrs 41 50 yrs 4) Qualification: Under graduates Post Graduates Graduates Professional 31 40 yrs Above 50 yrs Female

Others (Specify) _______________________

5) Occupation: Self employed Pensioner Salaried Professional

69

7) Income level (Annual) Below Rs.40, 000 Rs.80, 000 Rs.1, 00,000 Above Rs.1, 20,000 1) Have you availed loan from CitiFinancial? Yes Number Rs.40, 000 Rs.80, 000 Rs.1, 00,000 Rs. 1, 20,000

2) How many loans have you availed? 1 2 3 >3

3) Which loan have you availed? Personal loan Consumer durable loan Mortgages loan Auto loan Home loan

4) When did you avail the loan? Less than 12 months More than 24 months More than 12 months More than 36 months

70

5) From which branch did you avail the loan? Vadapalani Tambaram R.K Salai Ambathur T.nagar Valasaravakam Pallavaram Agaram Ponamalle Saidapet Purasaivakam Adambakam Besent Nagar Parrys Anna nagar Nelson Manikam road

6) a) What was the amount that has been sanctioned for you? Rs.10,000- Rs.25,000 Rs.50,000 Rs.75,000 Above Rs.1,00,000 Rs.25,000 Rs.50,000 Rs.75,000 Rs.1,00,000

6( b) what was the turn around time for you to avail the loan? Less than 2 days 5 7 days 3 5 days More than 7 days

6 ( c ) what were the documents provided by you during applying for a loan in CitiFinancial 71

ID Proof Income Proof 6 ( d ) what was the tenure of the loan? 24 months 36 months

Address Proof Bank Statement

30 months 42 months

6(e) Did you face any procedural problem during availing the loan? Documentation Loan approval Delay in delivery of draft Others

6 (f ) what is the mode of repayment of your loan ? PDI SI ECS

7) What attracted you to be a client in CitiFinancial(Rank 1- 5) Customer care Easy transaction More schemes Quick loan Friendly

approval of relationship

72

8) Please rank the features of CitiFinancial vertically (1-5)

Attributes Quick dealing of Cheques Computerized manual transaction Issue of loan Services charges Customer services

9) How did you know about CitiFinancial?

Sign Boards Papers

Referrals Others

10) Please rank CitiFinancials credentials based on the following features ( 1 -5 ) Customer services Approach Range products of Quick approval Others

73

11) Rate your level of agreement on the various services offered at CitiFinancial? Services Customer services excellent compared to other banks Pre closer charges Interest percentage are reduced on frequent loans Top up on are amount frequent loans high Loan closer facility after 6 months is appreciated Verification process good is is Highly agreeable Agreeable Neutral Disagreeable Highly Disagreeable

74

12) According to your satisfaction level rate the following features of this bank Attribute Friendliness Excellent Good Average Fair Poor

Cleanliness of services Willingness to listen to complaints Proper diagnosis of the problem Explanation about queries the the

13) Did you visit other banks before availing loan here? Yes Number

14) Have you availed loan from other banks? Yes Number

75

15) Rank the bank according to the following features?

Features Efficient credit appraisal Under financing / Over financing Efficient supervising & regular follow up Customer services Servicing charges Quick dealing Cheques Quick loan sanction of

CitiFinancial

ICICI

GE Money

HSBC

Other(specify)

76

77