Submitted To
Prof. Rajesh Mehrotra Director School of Business and Management
Submitted By
Chetan kumar nagar PGDM-3
RESEARCH METHODOLOGY
Primary data: All the people from different profession were personally visited and interviewed. They were the main source of data. The methods of the collection of primary data was direct personal interview Secondary data: It was collected on the basic of organisation files, official records, newspapers, magazine, management books, preserved information in the companys database and the website of the company.
OBJECTIVE OF STUDY
BANKING IN INDIA
The first banks were THE GENERAL BANK OF INDIA, which is now defunct.
The oldest bank in existence in India is the STATE BANK OF INDIA, which originated in the BANK OF CALCUTTA in June 1806.
The first fully Indian owned bank was the ALLAHABAD BANK, established in 1865.
COMPANY PROFILE
Housing Development Finance Corporation Funded in 1977 by Hasmukh bhai Parakh HDFC Bank was incorporated in August 1994 Among the first in new generation commercial banks Registered office in Mumbai, India Promoted by HDFC, the parent company IPO in India in 1995 Listed in NSE, BSE, NYSE(ADR)
CONTED
Products
Website
public 1994 HDFC Bank Ltd., Mumbai, India Banking, Insurance Capital Markets and allied industries Loans, Credit Cards, Savings, Investment Vehicles, Insurance etc. www.hdfcbank.com
NETWORK
761 branches 1977 ATMs in the country 327 cities in India 16 branches in Middle east 6 in Africa Representative offices in Hong Kong, NewYork, London & Singapore.
MISSION
World Class Indian Bank Benchmarking against international standards. Best Practices in terms of product offerings, technology, service levels, risk management and audit & compliance. To build sound customer franchises across distinct businesses.
ACHIEVEMENTS
HDFC Bank merged with TIMES BANK in 2000. HDFC Bank wins the Asian Banker Best Retail Bank in India Award 2008 for outstanding performance. HDFC Bank chosen as one of Asia Pacifics best50 companies by Forbes magazine. Best Bank in the Private Sector 2008. HDFC Bank ties up with Qatar National Bank. HDFC Bank merged with CENTURION BANK OF PUNJAB in 2007
PRODUCT OFFERINGS
New Car loans: Funding of up to 100% of ex-showroom value Tenors from 12-84 months Competitive pricing Insurance of car facilitated by the bank Used car Loans: Funding of up to 85% of valuation of car Tenors from 12-60 months Competitive pricing Insurance of car facilitated by the bank Car N Cash: Refinance on your existing car
Eligibility Criteria
Minimum age of Applicant: 21 years Maximum age of applicant at loan maturity: 58 years. Minimum employment: 1 year in current employment and minimum 2 years employment. Minimum annual Income: Rs 100000 net annual income. Telephone: Must at residence.
Documents required:
Proof of Identity: Passport copy, PAN Card, Voters ID, Driving License (Laminated Recent, legible). Income Proof: Latest salary slip with form 16 Address Proof: Ration card/Driving license/Voters card/Passport copy/Telephone bill copy/Electricity bill/Life insurance policy PAN Card. Bank Statement: Not mandatory
SELF EMPLOYED
Eligibility Criteria:
Minimum age of Applicant: 21 years. Maximum age of Applicant at loan maturity: 65 years. Minimum Annual Income: Net profit Rs. 60000 p.a. for standard cars and Rs.100000 p.a. for mid-sized and premium cars. Telephone: Must at residence.
Documents required:
Proof of Identity: Passport copy, PAN card, Voters ID, Driving License (Laminated Recent, legible). Income Proof: Latest ITR Address Proof: Ration card/Driving license/Voters card/Passport copy/Telephone bill copy/Electricity bill/Life insurance policy PAN Card. Bank Statement: Waived for small cars for mid-sized and premium cars if income greater then Rs. 1.5 lacs then bank statement requirement can be waived.
Eligibility criteria: Minimum Income: Net profit Rs. 60000 p.a. for standard cars and Rs. 100000 p.a. for mid-sized and premium cars. Minimum turnover: Turnover Rs. 4.5 lacs. Telephone: One phone at least at business and at residence of the loan executing partner. Documents required: Proof of Identity: NA Income Proof: Audited balance sheet, Profit & Loss Account for latest two years and the latest 2 years IT returns of company. Address proof: Telephone Bill/Electricity Bill/Shop & Establishment Act certificate/ SS registered certificate/Sales Tax certificate. Bank Statement: (except private and public ltd. companys) Waived for small cars, for mid-sized and premium cars if income is greater thenRs. 1.5 lacs then bank statement requirement can be waived.
NRI LOANS:
NRIs can avail of new car loans from HDFC Bank for the use of the vehicles by their relatives in India. Additional documents required are as follows :
Contract copy and salary slip of NRI. Endorsement on passport for last 3 years. Proof of ownership of property. Post-dated cheques must be from the resident account of the borrower.
Approval Plan
If you have an HDFC Bank Preferred Account or a Corporate Salary Account with HDFC Bank for more than six months, you can get fast approvals on your loans with minimal documentation.
A: Mini B:Compact
Examples Maruti 800 Alto, Swift IndicaSantro Getz, Estillo, a-star, Palio, i10
C:Mid-Size
4.5-10
75-100
I20, Accent, Swift, Dzire, Honda Jazz, Verna, SX4, Linea, Ikon, Fusion, Optra, Fabia, Indigo Toyota Corolla, Civic, Skoda, Hyundai Elantra, Optra Magnum
D:Executive
9.5-16
75-95
D+: Premium
16-25
75-90
Honda Accord, Camry, Hyundai Sonata, Skoda Laura, Superb, Passat, Jetta, Tenna, Fiat 500 Mercedes, BMW, Audi, Porche and all other imported
D+: Luxury
25+
75-85
MUV
2.20+
75-90
Omni, Innova, Xylo, Scorpio, Tavera, Bolero,Victa, Safari CR-V Endeavour, Pajero, MonterX-Trail, Prado, Tucson, Captiva, Grand Vitara, Mitsubishi outlander
SUV
14+
75-85
FC Charges
6 % of POS for preclosures within 1 year from 1st EMI 5% of POS for preclosures within 13-24 months from 1st EMI 3% of POS for preclosures post 24 months from 1st EMI No foreclosure allowed within 6 months from date of availing the car loan At actuals 2% per month Upto 2.5 Lacs : Rs.2150/2.51 to 4 lacs : Rs.3150/> 4 Lacs :Rs. 3650/Rs 500/Rs 1000/-
Rs 500/At actuals Rs 500/Rs 500/- per case As applicable at the time of reschedulement Rs. 500/- per request
SHARE CAPITAL
IN
373246
Approval Disbursement
Interpretation: There is a increase in difference between loans approved of disbursed year by year.
3916 3535
Rupees
1000
2007
2008
2009 Years
2010
2011
Interpretation : The profits after tax of the company increased by 125% from 2007 to 2011. and increase in profit before tax is 147% from 2007 to 2011. Difference between the percentage of income before tax and after tax is due to government regulations & policies.
SWOT ANALYSIS
STRENGTHS
Support of various promoters High level of services Knowledge of Indian market Quality business High profile clients
WEAKNESS
Gaining attention towards the proposal becomes difficult Not covering Rural areas
OPPORTUNITY
Can expand the portfolio Can make easier loan process People are becoming more service oriented Can Provide additional services
THREAT
From various competitors like foreign banks and government banks Delinquency control Future market trends
SUGGESTIONS
Loans should be provided very easily. There should be less formality for taking loan. Terms and conditions should be easily understandable. Loan should be provided as soon as possible. Interest rate should be less as compare to other banks. The customers should be comfortable while taking loans as compared other banks.
ANY QUERIES