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A PROJECT REPORT ON

CAMPARATIVE ANALYSIS OF
STANDARD CHARATERED BANK WITH OTHER MNC’S BANK

Submitted to:
MISS. SAKSHI ANAND

PROJECT GUIDE & FACULTY
(DELHI INSTITUTE OF RURAL DEVELOPMENT)

Submitted By:
ARTI TYAGI

ENROLLMENT NO: 03112401809
SUBMITTED IN PARTIAL FULFILMENT OF

BACHELOR OF BUSINESS ADMINISTRATION
(BANKING & INSURANCE III SEM.)
DELHI INSTITUTE OF RULAR DEVELOPMENT

(AFFILIATED TO GURU GOBIND SINGH INDRAPRASTHA UNIVERSITY,
DELHI)
ACKNOWLEDGEMENT

IT WOULD BE A GREAT PLEASURE FOR ME TO TAKE
THIS OPPORTUNITY IN THANKING EVERYBODY WHO
HAD BEEN OF GREAT HELP IN THE COMPLETION OF MY
SUMMER PROJECT. MY SINCERE GRATITUDE GOES
TO MR. A.K CHOUDHARY (Director,DIRD) , WITHOUT
WHOSE HELP THIS PROJECT WOULD HAVE SEEMED
IMPOSSIBLE.

AT THE SAME TIME I AM GREATLY OBLIGED TO .
MISS. SAKSHI ANAND (project guide)FOR HIS VALUABLE
CONTRIBUTION TO MY PROJECT.

IT HAS BEEN A GREAT LEARING EXPERIENCE TO BE
ON THE JOB CUM TRAINING AND DOING THE
PROJECT SIMULTANEOUSLY, WHICH ENRICHED MY
KNOWLEDGE AND DEVELOPED MY OUTLOOK FOR
BECOMING A BETTER PROFESSIONAL ANTICIPATING
WITH CONVICTION THAT I HAD BEEN OF SOME HELP
TO THEM. I WOULD ALSO LIKE TO TAKE THIS
OPPORTUNITY TO THANK ALL THE STAFF MEMBERS
AT Standard Chartered G.K BRANCH FOR COOPERATING
WITH ME THROUGHOUT THE TENURE OR MY WORK
THERE.

(ARTI TYAGI)
03112401809
List of contents
Introduction

Industry profile –

• New Generation Banking
• Business of Banking
• Various types of deposits

Objective

Research Methodology

Chapter 1

STANDARD CHARTERED – A leading multinational
Bank of the country

1.1 A brief history of standard chartered Bank :
• The early years
• Expansion in Africa and Asia
• The impact of war
• Standard chartered in 1990’s
• Standard chartered Today

1.2 SWOT Analysis :
• Strengths
• Weaknesses
• Opportunities
• Threats
1.3 Analysis
• Questionnaire
• Sample size
• Analysis of information

Chapter 2

Services

2.1 services provided by standard chartered

2.2 Additional Services

Chapter 3

Account

3.1 Maintaining account with
Standard chartered

3.2 Comparison of saving accounts
With other banks of India

Conclusion

Recommendations

Bibliography
INTRODUCTION
INTRODUCTION

Standard Chartered is the world’s leading emerging markets
bank. It employs 32000 people in over 500 offices in more
than 56 countries in the Asia Pacific region, South Asia, the
Middle East, Africa, United Kingdom and Americas.

The bank serves both consumer and wholesaler banking
customers. The consumer bank provides credit cards, personal
loans, mortgages, deposit taking activity and wealth
management services to individuals and medium sized
businesses. The wholesale bank provide service to the
multinational, regional and domestic corporate and
institutional clients in trade finance, cash management,
custody, lending foreign exchange, interest rate management
and debt capital markets.

With nearly 150 in emerging markets the bank has unmatched
knowledge and understanding of its customers in its markets.

Standard Chartered recognizes its responsibilities lies to its
staff and to the communities in which it operates.
INDUSTRY PROFILE
The Indian banking can be broadly categorized into
nationalized (govt. owned), private banks and specialized
banking institutions. The reserve bank of India acts as a
centralized body monitoring any discrepancies and short
comings in the system. Since the nationalization of banks in
1969, the public sector banks or the nationalized banks have
acquired a place of prominence and has since then seen
tremendous progress. The need to become highly customer
focused has forced the slow moving public sector banks to
adopt a fast track approach. The unleashing of product and
services through the net has galvanized players at all levels of
banking and financial institutions market grid to look a new at
their existing portfolio offerings. Conservative banking
practices allowed Indian banks to be insulated partially from
the Asians currency crisis. Indian banks are now quoting higher
valuations when compared to banks in other Asian countries
i.e. Hong Kong, Singapore, Philippines, etc. that have major
problems linked to huge non performing assets (NPA) and
payment defaults. Co-operative banks are nimble footed in
approach and armed with efficient branch network focused
primarily on the ‘high revenue’ niche retail segments. The
Indian banking has finally worked up to the competitive
dynamics of the new Indian market and is addressing the
relevant issue to take on the multifarious challenge of
globalization. Banks that employ IT solutions are perceived to
be futuristic and proactive players capable of meeting the
multifarious requirements of the large customer base. Private
bank have been fast on the uptake and are reorienting their
strategies using the internet as their medium. The internet has
emerged as a new and challenging frontier of marketing with
the conventional physical world tenets being just as applicable
like in any other marketing medium.

The Indian banking has come from a long way from being a
sleepy business institution to a highly proactive and dynamic
entity. This transformation has been highly brought about by
the large dose of liberalization and economic reforms that
allowed banks to explore new business opportunity rather than
generating revenues from conventional streams. The bank in
Indian is highly fragmented with 30 banking units contributing
to almost 50% of deposit and 60% of advances. Indian
nationalized banks continue to be the major lenders in the
economy due to their sheer size penetrative networks which
assures them high deposit mobilization. The Indian banking
can be broadly categorized into nationalized, private banks and
specialized banking institutions. The reserve bank of India acts
as a centralized body monitoring any discrepancies and
shortcoming in the system. It is the foremost monitoring body
in the Indian financial sector. The nationalized bank continued
to dominate the Indian banks arena. Industry estimate indicate
that out of 274 commercial banks operating in India, 233 banks
are in public sector and 51 are in the private sector. The private
sector bank grid also includes 24 foreign banks that have
started their operations here. Under the ambit of nationalized
banks come the specialized banking institutions. These co-
operative, rural banks focus on the areas of agriculture, rural
development, etc. unlike commercial banks these co-operative
banks do not lend on the basis of prime lending rates. They also
have the various tax sops bcos of their holding pattern and
lending structure and hence have lower overheads. This enable
them to give a marginally higher % age on saving deposits.
Many of these co-operative
banks diversified into specialized are alike car finance, housing
loans, truck finance, etc. in order to keep pace with their public
sector and private counterparts, the co-operative banks too have
invested heavily in IT to offer high end computerize banking
services to its clients.
NEW GENERATION BANKING
The liberalized policy of government of India permitted entry
to private sector in the banking; the industry has witnessed the
entry of 9 new generation private banks. The major
differentiating parameter that distinguishes these banks from all
the other banks in the Indian banking is the level of services
that is offered to the customer. Verify the focus has always
been centered on the customer – understanding his needs,
preempting him and consequently delighting him with various
configurations of benefits and a wide portfolio of product and
services. These banks have generally been established by
promoters of repute or by high value domestic financial
institutions. The popularity of these banks can be gauged by the
fact that in a short span of time, these banks have gained
considerable customer confidence and consequently have
shown impressive growth rates. Today the private banks
corners almost 4% share of the total share of deposit. Most of
the banks in this category are concentrated in the high growth
urban areas in metros. With efficiency being the major focus,
these banks have leveraged on their strengths and competencies
viz. management, operational, efficiency and flexibility,
superior product positioning and higher employee productivity
skills. The private banks with their focused business and
service portfolio have a reputation of being niche players in the
industry.
A strategy that has allowed these banks to concenterate on few
reliable high net worth companies and individuals rather than
cater to the mass market. These well chalked out integrates
strategy plans have allowed most of these banks to deliver
superlative level of personalized services. With the reserve
bank of India allowing these banks to operate 70% of their
businesses in urban areas, this statutory requirement has
translated into lower deposit mobilization cost and higher
margins relative to public sector banks.
BUSINESS OF BANKING

Banking, in an additional sense is the business of accepting
deposit of money from public for the purpose of lending and
investment. These deposits can have a distinct feature of being
withdraw able by cheque, which no other financial institution
can offer.

In additional to this banks offer various other financial
services also which include:

Issuing Demand Draft and Travelers Cheque

♦ Collection of Cheque, Bills of Exchange

♦ Safe Deposit Lockers

♦ Issuing Letter of Credit & Letter of Guarantee

♦ Sale and purchase of Foreign Exchange

Custodial services

♦ Investment services
The business of banking is highly regulated since banks deal
with money offered to them by the public and ensuring the
safety of this public money is the prime responsibility of any
bank. That is why banks are expected to be prudent in their
lending and investment activities. The major regulations and
acts that govern the banking business are:

♦ Banking regulation Act

♦ Reserve Bank of India Act

♦ Foreign Exchange Regulation (amendment) Act, 1993

♦ Indian Contract Act

♦ Negotiable Instrument Act

Banks lend money either for productive purposes to
individuals, firms, corporate, etc. or for buying house
property, car and other consumer durable and for investment
purposes to individuals and others. However banks do not
finance any speculative activity. Lending is risk taking. The
risk should be covered by having prudent norms for lending.
The depositors of banks are also assured of safety of their
money by deploying some %age of deposits in statutory
reserve like SLR & CRR.

VARIOUS TYPES OF DEPOSITS
BANK DEPOSIT

Banks basically offer two types of deposits:

♦ Demand Deposit

♦ Term Deposit

Demand Deposit - by its nature, are payable as and when the
depositor makes demand to pay. There are two types of
accounts which are demand deposit in nature. These are:

♦ Saving Account

♦ Current Account

Any amount can be deposited in these accounts at any time.
The amount deposited or a part of it can be withdrawn any
time by using a cheque. However, banks normally stipulate a
minimum balance to be maintained in this account.

Saving Account - is offered only to individuals and non
trading entities. Banks also pay interest on saving account.
The interest is paid on the minimum balance held in the
account between the 10th and the last day of the month. The
interest is paid on a quarterly basis. The rate of interest is
determined by RBI.

Current Account - can be opened in the name of individual
or any firm or a company. No interest is paid on the balances
held in this account.

Term Deposit – are the deposit where a fixed sum of money
is kept for a specific period and the money is repaid only of
the expiry of this period. The interest offered on these
deposits depends upon the period of the deposit. Banks accept
term deposits for periods ranging from 15 days to 10 years.
However, our bank accept deposit for a maximum period of
5years. Banks are free to determine the interest rates on the
deposits. The interest is normally paid out every quarter. But
at the request of the customer, the interest is paid every month
but at a discount rate of interest.

Three most common forms of terms deposit are:

♦ Fixed deposits

♦ Reinvestment deposits

♦ Recurring deposits

Fixed deposits – are those where a fixed amount is deposited
by the customer for a certain period and interest on it is paid by
the bank every quarter. On the expiry of the term, the principal
amount is paid back to the customer or the deposit is renewed
at the request of the customer.

Reinvestment deposit – are similar to the fix3d deposit with
the difference that the interest is payable every quarter is
compounded with the principle amount. In effect, the interest
on a reinvestment is paid along with the principle on maturity
only.

Recurring deposit – is the deposit where a certain amount
says 1000 is deposited every month as a monthly installment
for a certain period ranging from 6 months to 5 years. The
total amount deposited over the period is paid with accrued
interest on maturity.
SCB’s Deposit Products

Standard chartered bank offers the following deposit products
in the addition to above conventional deposits.

Cluster Deposit – this is fixed or Reinvestment Deposit. The
amount deposited, say Rs. 10,000 each. The deposit thus
offers a flexibility of partial withdrawal in multiples of
Rs.1000. the penalty is charged only on the amount
withdrawal.

Two in One Deposit – this product has features of a fixed
reinvestment cluster deposit and a saving / current account.
The cluster deposit is linked to a savings account or current
account. Thus, the customer can withdraw partial amount
from his cluster by issuing a cheque or using ATM card. He
can also fund either of these accounts. However, a subsequent
term deposit can made with Rs. 10,000 or more. In case there
more than one deposits in this account, the last deposit is
uplifted in case of withdrawal. When ATM is used to
withdraw from this account, the customer can withdraw only
75% of his deposit or Rs. 25,000 /- whichever is lower. Two-
in- one account with savings account can be opened with a
minimum amount of Rs.60,000 /- while that with a current
account can be opened with minimum Rs. 1,10,000 /-

Easy save / easy current account – these saving and current
account offer special benefits to customers. At customer’s
request the bank sends representative to the residence or work
place of the customer to complete the account opening
formalities. After opening the account, room service is
provided for picking up the cheque to be deposited in the
customer’s account from any place.

Similarly, customer can request to deliver cash to self up to
20,000 by debiting the account against a cheque to be handed
over at the time of receipt of the cash. In case the cash to be
delivered to the third person, maximum up to Rs. 10,000 /- is
delivered only at the residence after identification. Request to
deliver Demand Draft and pay orders issued by debiting the
account are also accepted.

While there no service charges for opening the account under
room service, other services provided is charged. The services
are provided only if the average balance maintained by the
customer in savings account is Rs. 10,000 and in current
account is Rs. 25000. these services are available in two-in-
one account only if the link savings account has the average
balance of Rs. 5000 along with 50,000 in the deposit account.
In case of two-in-one with current account the balance
requirements are Rs. 100,000 in deposit account.

Business plus account - this is a current account which offers
following services to the customers. For this account the
monthly average balance should be Rs 50,000 or more.
Multicity Cheque books : These cheque are payable are
payable at par at Mumbai, Chennai, Calcutta and New Delhi
branches.

This virtually facilitates the customer to conduct banking at any
of these cities.
♦ National Clearing Speed Service : Cheque deposited
for National Clearing (drawn ay any of the four metro cities)
by 4 p.m. are credited within four working days.

♦ Free Draft and Pay Orders : Two drafts drawn in SCB
and two pay orders free of charge per day subject to a draft
and 20 pay orders per quarter.

♦ Other Free Services : Cheque book, Certificate of
Balance, FIRC and standing instructions for fixed payments.
Also if the balance is above Rs.1, 00,000, free stop payment
and Outward Clearing Cheque returns.

♦ Quarterly consolidated statement : A consolidated
statement for all the deposits with bank.

♦ Free demat account : No charges for opening a demat
account.

♦ Special rates on advances : A discount on Professional
Loan and Finance against shares.
OBJECTIVES

The main objective of this project report is to make an
analytical study of Standard Chartered Bank.

It includes the following:

♦ SWOT Analysis

♦ Services

♦ Bank’s Savings Account

♦ Comparison of the savings account with other leading
bank’s of
India.
REASEARCH METHODOLOGY AND
LIMITATIONS

Data collection has been done from both sources primary as
well as secondary and also by questionnaire.

Primary data: by meeting various managers of the Standard
Chartered bank, Kotak Mahindra, ABN-AMRO bank, ICICI,
and HDFC.

Secondary data: from newspaper, magazines, Internet.

Questionnaire: questionnaire was filled by both account
holder of Standard Chartered bank as well as by non account
holder of Standard Chartered bank.

Limitations: in the meetings manager were not ready to give
the correct figure as regards turn-over of the company.
Chapter 1
STANDARD CHARTERED
– A leading Multi National
Bank of the country
HISTORY OF STANDARD CHARTERED

Standard Chartered is the worlds leading emerging markets
bank headquartered in London. Its businesses however, have
always been overwhelmingly international. This is the
summary of main events in the history of standard chartered
and some of the organizations with which it merged.

The early years

Standard chartered is named after two banks which merged in
1969. They were originally known as the standard bank of
British South Africa and the chartered bank of India, Australia
and china. Of the two banks, the chartered bank is the older
having been founded in 1853 following the grant of a royal
charter from Queen Victoria. The moving force behind the
chartered was a Scott, James Wilson, who made his fortune in
London making hats. James Wilson went on to start the
economists, still one of the world’s pre-eminent publications.
Nine years later, 1962, the standard bank was founded by a
group of businessmen led by another Scott, John Paterson, who
had immigrated to the Cape Province in South Africa and had
become a successful merchant. Both banks were keen to
capitalize on the huge expansion of trade between Europe, Asia
and Africa and to reap the handsome profits to be made from
financing that trade. The chartered bank opened its first branch
in 1858 in Chennai and Mumbai. A branch opened in shanghai
that summer beginning standard chartered’s unbroken presence
in china. The following year the chartered bank opened a
branch in Hong Kong and an agency was opened in Singapore,
a privilege to continue to exercise up until the end of the 19th
century. Over the following decades both the standard bank and
the chartered bank printed bank notes in a variety of countries
including chin, south Africa, Zimbabwe, Malaysia and even
during the siege of marketing in south Africa. Today standard
chartered is still one of the three banks, which prints Hong-
Kong’s bank notes.

EXPANSION IN AFRICA AND ASIA

The standard bank opened for business in Port Elizabeth,
South Africa in 1863. It pursued a policy of expansion and
soon amalgamated with several other banks including the
commercial bank of Port Elizabeth, the Colesberg bank, the
British kaffarian bank and the Fauresmith bank. The standard
bank was prominent in the financing and development of
diamond fields of Kimberly in 1867 and later extended its
network further north to the new town of Johannesburg when
gold was discovered there in 1885.

Over time half the output of the second largest gold field in the
world passed through the standard bank on its way to London.
In 1892 the standard bank opened for business in Zimbabwe
and expanded into Mozambique in 1894, Botswana in 1897,
Malawi in 1901, Zambia in 1906, Kenya, Zanzibar and the
democratic republic in Congo in 1911 and Uganda in 1912. Of
these new businesses, Botswana, Zanzibar and the D.R.C.
proved the most difficult and the branches soon closed. A
branch in Botswana opened again in 1934 but lasted only for a
year and it was not until 1950 that the bank reopened for
business in Botswana. In Asia the chartered bank expanded
opening offices including Myanmar in 1862, Pakistan and
Indonesia in 1863, they Philippines in 1872, Malaysia in 1875,
Japan in 1880 and Thailand in 1894. Some 34 years after the
chartered bank appointed an agent in Sri Lanka it opened a
branch in 1892 to take advantage of businesses from the tea
and rubber industries. During 1904 a branch opened in
Vietnam. Both the chartered and the standard bank opened
offices in New York and Hamburger in the early 1900s. The
chartered bank gaining the first branch license to be issued to a
foreign bank in New York.
STANDARD CHARTERED IN THE 1990’s

Even within this period of apparent retrenchment the standard
chartered expanded its network, re-opening in Vietnam in
1990, Cambodia and Iran in 1992, Tanzania in 1993 and
Myanmar in
1995. With opening of branches in Macau and Taiwan in 1983
and 1985 plus a representative office in Laos, the Standard
chartered now has office in every country in the Asia pacific
region with the exception of North Korea. In 1998 standard
chartered concluded the purchase of a controlling interest in
Banco exterior de Los Andes an Andean region bank involved
in trade finance. With this purchase standard chartered now
offers full banking services in Colombia, Peru and Venezuela.
In 1999, standard chartered acquire the global trade finance
businesses of union bank of Switzerland. This acquisition
makes standard chartered one of the leading clearers of the
dollar payment in the U.S.A. standard chartered also opened a
new subsidiary, standard chartered Nigeria Ltd. in Lagos,
acquired 75% of equity of Nakornthon bank Thailand and
agreed terms to acquire 89% of the share capital of
metropolitan bank of Lebanon.
STANDARD CHARTERED TODAY

Today standard chartered is the world’s leading emerging
market’s bank employing 30,000 people in 500 offices in more
than 50 countries primarily in countries in Asia pacific region,
south Asia, Middle East, Africa and the Americas.

The new millennium has brought with it two of its largest
acquisition in the history of bank with the purchase of
Grindlays bank from the ANZ group and the acquisition of
chase consumer banking operations in Hong Kong in 2000.

These acquisitions demonstrate standard chartered firm
commitment to the emerging markets, where we have a strong
and established presence and where we see our future growth.
SWOT ANALYSIS

STRENGTH

♦ Market position is strong

♦ Aggressive foreign bank

♦ Shareholders return has grown more than 7 times

♦ Maintain a position as a leading Asian cash management
provider

♦ Brand – SCB’s modern and dynamic look appeals to the
growing middle income earners

♦ On of the most profitable MNC in India

♦ Improved product proposition

♦ Better geographic balances

♦ Multi-cultural organization that offers opportunities to
good managers
WEAKNESS

♦ HDFC, ICICI, ABM-AMBRO, KOTAK and HSBC are
dominant players

♦ Has disadvantage due to last entry

♦ Fewer locations as compared to other MNC banks

♦ Service delivery reception is weak

OPPORTUNITIES

♦ Branch expansion for rapid growth

♦ Increase focus on value creation in whole banking

♦ Improve shareholders return

♦ Build market share in consumer banking as consumer
banking continues to offer highest potential for growth

♦ Broadening of the demographic base

♦ Tie ups with master card networks

♦ Integrated sales and service approach

♦ Can offer a complete corporate package into under
proposed corporate relationship
THREATS

♦ IDBI is pitching in quite aggressively

♦ Citibank is expanding in new markets

♦ Competitive products and offers from ICICI and HDFC

♦ Proposed networking of all branches in next 6 months

♦ Reduced business in OECD business
ANALYSIS
QUESTIONNAIRE

NAME:____________________________ CONTACT NO.:_______________________

Q1. OCCUPATION:

SERVICE BUSINESS STUDENT OTHERS

Q2. APPROX. MONTHLY INCOME?

BELOW 10,000 10,000-20,000 ABOVE 20,000

Q3. WHICH TYPES OF ACCOUNT DO YOU HAVE?

SAVING CURRENT ZERO-BALANCE

RECURRING DEPOSIT

Q4. DO YOU HAVE SAVING ACCOUNT IN ANY FOLLOWING BANKS?

STANDARD CHARTERED ICICI HDFC

ABN-AMRO KOTAK MAHINDRA OTHERS

Q5. REASONS, IF ANY, FOR PREFERENCE FOR OPERATING THE ACCOUNT IN
THE ABOVE BANKS?

AQR ATM FACILITY SERVICES SATISFACTION

365 DAYS BANKING ANY OTHER

Q6. WOULD YOU LIKE TO OPEN A NEW ACCOUNT IN SOME OTHER BANK
OR CHANGE FROM CURRENT BANK?

YES NO

Q7. IF YES, INDICATE YOUR PREFERENCE TO OPEN A NEW ACCOUNT.

STANDARD CHARTERED ICICI HDFC

ABN-AMRO KOTAK MAHINDRA OTHERS
SAMPLE SIZE

 TOTAL NUMBER OF QUETIONNAIRE FILLED.

= 50.

 AREA IN WHICH SURVEY WAS CONDUCTED.

= SOUTH DELHI

= EAST DELHI

= NCR.(NOIDA,GHAZIABAD)

 NUMBER OF QUETIONNAIRE FILLED IN SOUTH
DELHI, EAST DELHI & NCR.

= SOUTH DELHI – 10

= EAST DELHI – 18

= NCR - 22.
Q1. OCCUPATION.

16

14

12

10
SOUTH DELHI
NCR
8 EAST DELHI

6

4

2

0
SERVICE BUSINESS STUDENT OTHERS
Q2. WHICH TYPES OF ACCOUNT DO YOU HAVE ?

25

20

SOUTH DELHI
NCR
15 EAST DELHI

10

5

0
SAVING CURRENT ZERO- BALANCE RECURRING
DEPOSIT
Q3. APPROX. MONTHLY INCOME ?

18

16

14

12

SOUTH DELHI
10
NCR
EAST DELHI
8

6

4

2

0
BELOW 10,000 10,000-20,000 ABOVE 20,000
Q4. DO YOU HAVE SAVING ACCOUNT IN ANY FOLLOWING
BANKS ?

20

18

16
SOUTH DELHI
14 NCR
EAST DELHI
12

10

8

6

4

2

0
STANDARD ICICI HDFC ABN-AMRO KOTAK OTHERS
CHARTERED MAHINDRA
Q5. REASONS, IF ANY FOR PREFERENCE FOR OPERATING
THE ACCOUNT IN THE ABOVE BANKS ?

20

18

16

14

12
SOUTH DELHI
10 NCR
8 EAST DELHI

6

4

2

0
AQB ATM FACILITY SERVICE 365 DAYS ANY OTHER
SATISFACTION BANKING
Q6. WOULD YOU LIKE TO OPEN A NEW ACCOUNT IN SOME
OTHER BANK OR CHANGE FROM CURRENT BANK?

18

16

14

12

10
YES
8 NO

6

4

2

0
SOUTH NCR EAST DELHI
DELHI
Q7. IF YES, INDICATE YOUR PREFERENCE TO OPEN A NEW
ACCOUNT.

7

6

5 Series1

4

3

2

1

0
STANDARD ICICI HDFC ABN AMRO KOTAK OTHERS
CHARTERED MAHINDRA
Chapter 2
SERVICES
Services provided by
standard chartered
Through the network of over 500 offices in more than 50
countries, standard chartered offers personal financial solution
relevant to you as an individual, standard chartered treasure
building a relationship with the customer, developing an
understanding of customers changing financial needs at
different stages of your life. Their long heritage of nearly 150
years has enabled them to change with time, offering quality
products by means that are convenient to customer.

Standard chartered offer includes:

♦ Personal finance.
♦ Credit cards.
♦ Priority banking.
♦ Investment advisory services.
♦ Personal investments.
♦ Insurance.
♦ Deposits and Retail services
♦ Retail FX products.
1. PERSONAL FINANCE.
Mortgages
In many of the markets where standard chartered operate,
especially in key markets of Hong Kong, Singapore, Malaysia,
they are reported to be the market leader for mortgages. Their
experienced and dedicated teams will guide the individual in
every single step to enable him a smooth and hassie-free
experience, offering him rates and repayment packages most
suitable, start by trying our “instant approval” service.

Unique features:

♦ Low interest rates, option of flat or reducing interest
rates.

♦ Low EMI (equated monthly installments).

♦ No hidden costs like processing charge. Everything is
done up front.

♦ Quick approval and realization.

♦ Tax benefits.

♦ No unfair collateral demands.

♦ A simple mortgage process.
Personal loans

Standard Chartered bank helps the customer to de in control of his/her
own finances. Personal loans, without any guarantees or collaterals, are
available to customer to meet specific credit needs. Choose installment
loan or Revolving loan, whatever suits best. Whether planning a
vacation, re-decorating home, paying for child’s college education, or
simply wish to have a standby line of credit for unforeseen expenses,
Standard Chartered Bank’s personal loans can help fulfill the dreams.

Personal loan is specially designed to get the money need in
time, without having to answer unnecessary questions, and
without any collateral or mortgages.

Unique features:

♦ Choose the repayment plan most convenient, ranging
from a compact 12-months period to a comfortable 36-
month span.

♦ Free to use the money for renovating house or meeting
some unexpected expenses etc.

♦ No collateral or security.

♦ Quick and easy processing.

2. CREDIT CARDS

Standard Chartered visa and MasterCard credit cards
Standard Chartered credit cards provide financial flexibility,
worldwide acceptance, and round- the- clock convenience.
Benefits:

♦ Welcomed at the largest number of merchant outlets
across the world.

♦ Revolving credit facility, allowing repaying card
outstanding over time, at a convenience.

♦ Cash withdrawal in local currency at Visa and
MasterCard linked ATMs across the world.

♦ Platinum, Gold or Classic cards to suit lifestyle and
needs.

♦ Smart credit cards with special privileges and
security.

♦ Attractive rewards programs

♦ Affinity and co branded credit cards that give
additional benefits from our partners.

♦ World-class service assistance and 24-hour customer
help line.

3. PRIORITY BANKING

Experience new Standards in banking. And lead a life of
privilege and preferred financial solutions tailored perfectly for
you – with priority banking from Standard Chartered.
Designed specially for those who appreciate only finest things
in life, priority banking offers the very highest levels of
personalized banking to match unique status.

By embracing a holistic approach to financial well being and
commitment to personal Wealth Management with a full range
of innovative products and services, a customer will find
banking with a reassuring and secure experience.

Bank is committed to helping a plan, build and protect wealth
by offering individual attention as well as international and
investment opportunities to meet current and future needs.
Standard Chartered bank priority banking is created
specifically for a chosen few individuals, who will settle for
nothing but the best and demand the highest Standards of
services in all your banking relationships.

Unique features:

♦ Personalized priority card will give instant
recognition of priority status at all branches of
Standard Chartered bank, worldwide.

♦ A dedicated customer relationship Manager trained to
understand specific financial needs and help to
manage assets at home and abroad. It is as
personalized as can bE
♦ Preferential pricing on our various products.

♦ Entitled to exclusive benefits.
♦ A complimentary pre-approved Gold Standard credit
card.

♦ Special foreign exchange rates.

♦ Special invitations to exclusive events.

Many account facilities, which are absolutely free of charge.

4. INVESTMENT ADVISORY SERVICES

The Standard Chartered investment advisory services is
comprehensive process that assists in planning for future. With
this service, they can help to review financial goals, conduct a
financial health check, evaluate risk profile and asset allocation
plan to realize financial aspirations.

5. PERSONAL INVESTMENTS

Standard Chartered is the leading independent distributor of
unit trusts and mutual funds in Asia. Because they don’t
actually manage their own investment funds, they are
absolutely objective in fund evaluation process. Bringing
unmatched around the world, it can be assured of different
investment options and a wealth of informative and relevant
updates.

With trained investment services consultants from countries
around the globe, they can help to make the right investment
decisions. Using a unique risk evaluation to gauge the level OF
risk customer can be comfortable with, coupled with a
proprietary fund evaluation process to identify funds, assess
risks and shortlist top-performing funds; customer can be
ensured of a personalized investment portfolio catered to needs.

Standard Chartered Bank investment services puts a whole new
whole new world of possibilities within the reach of people
who would like to achieve their financial goals but have many
other demands on their time.

Unique features:

♦ A one-stop offering a wide range of investment
options to grow your wealth.

♦ Available across 8 cities.

♦ Trained investment services counselors.

♦ Sophisticated research franchise.

♦ Impartial and unbiased analysis on options best
suited.

♦ Tailor made investment plans suited to risk taking
ability.
6. INSURANCE

Standard Chartered recognizes the things important to customer
and his family. They are dedicated to protecting the customer,
his family, and his hard earned assets and even his future
earning giving him the assurance he needs.

Their strategic alliance with prudential and CGU insurance puts
us in a very strong position to provide for life and General
Insurance needs. With a comprehensive range of products,
Standard Chartered is set to protect the world.

7. DEPOSITS AND RETAIL SERVICES

Deposits

Standard Chartered offers a wide array of deposit products in
both local and foreign currencies to help to earn competitive
interest rates. Their international network offers an extra
convenience while abroad. In some countries, they offer
premium interest savings plans like Higher Education Funds to
turn the dreams into reality.
Retail services

Standard Chartered offers a comprehensive range of retail
services in many countries. These includes:

♦ Automated banking services.

♦ Demand drafts.

♦ Foreign exchange services.

♦ Local and foreign currency cheques.

♦ Safe deposit boxes.

♦ Telegraphic transfers.

♦ Traveler’s cheques.

8. RETAIL FX PRODUCTS

Standard Chartered is now offering valuable customers an easy
and flexible way to invest in foreign currencies. They provide
high flexibility to enable sophisticated investors to capitalize on
opportunities in the currency markets.
Some of the Retail FX products include:

♦ FX Margin Trading.

♦ Currency Trading.

♦ Premium Currency Deposit.

♦ Principle Protected Currency Deposit.

ADDITIONAL SERVICES

1. INTERNET BANKING

You’re banking needs now taken care of at the click of a
mouse. With secure Internet ID and Password, a customer can
login and take care of his/her banking and credit card needs at
his/her convenience and time. No more queues, no more
waiting.

2. PHONE BANKING

As part of commitment to meeting all needs, Standard
Chartered offer Phone Banking – A service that enables you to
access a wealth of financial information, 24 hours a day, 7 days
a week.
Through Phone Banking:

♦ Check your account balance.

♦ Get details about specific transactions.

♦ Inquire about the status of a particular cheque.

♦ Order demand drafts.

♦ Transfer funds amongst your linked accounts.

♦ Get information on deposit rates, lending rates, exchange
rates and bank charges.

♦ Access information an any of our products and services.

♦ Call room services to open your account.

♦ Make complaints and suggestions.

3. MOBILE AND E-MAIL ALERTS

Standard Chartered always try and make life simple. ‘Mobile
and E-mail Alerts’ service is designed just for that.
4. SMART FILL DEBIT CARD

Smart fill Debit card, launched in association with Bharat
Petroleum, will help to save on fuel purchases and even gets
you free fuel.

Unique features:

♦ Earn reward points every time you use the card to make
purchases anywhere, which you can then redeem for fuel at
select Bharat Petroleum outlets.

♦ When the card is use to make purchases at select Bharat
Petroleum outlets, the customer don’t have to pay the 2.5%
surcharge levied on most credit or debit cards.

♦ Smart fill debit card is globally valid. It gives access to 12
millions merchant establishments worldwide and over
55,000 in India.

♦ A customer can access over 3500 ATMs in India for FREE*
and over 750,000 ATMs worldwide through the Visa ATM
network.

♦ The card gets an exclusive discount of 5% at select In & Out
stores at Bharat Petroleum outlets, besides benefits at leading
retail outlets and restaurant.
5. ATM

Standard Chartered ATMs give the freedom to conduct most of
the banking transactions 24 hours a day, 365 days a year.

The ATM card is and absolutely free. There are no transaction
charges on the use of the card.

What’s more, use ATM card at any of the 70 ATM centers
across the country.

6. CREDIT CARD HELP-LINE

As part of commitment to meeting all needs, Standard
Chartered offer the facility of calling them over the phone to
access a wealth of information on credit cards, 24 hours a day,
7 days a week.

7. ELECTRONIC CLEARING SYSTEM

Standard Chartered introduces ECS (Electronic Clearing
system), an innovation facility for busy people. With this
facility, card bill amount automatically gets debited from your
saving bank account.

So that customer doesn’t have to worry about last minute
payment rush, since this entire process happens through the
Reserve Bank of India electronic clearing mechanism,
customer can enjoy the advantages of ECS.
8. FAX BANKING

It’s the most efficient way to stay on top of the business
finance. Every day, Standard Chartered fax a report of all
transaction made the previous day, customer will still receive
his/her regular monthly statements.
Chapter 3

ACCOUNTS
MAINTAINING ACCOUNTS WITH STANDARD
CHARTERED

DEPOSITS

DEMAND DEPOSITS TIME DEPOSITS

SAVINGS A/C CURRENT A/C FIXED DEPOSITS

AXCESS PLUS A/C SUPER VALUE A/C PARIVAAR A/C SARAL
A/C

DEMAND DEPOSITS
SAVINGS ACCOUNT
Standard chartered introduces aXcess plus – a revolutionary
savings account that provides with unparallel access to money.
An account primarily opened for and operated by individuals,
wherein the numbers of transactions are few and which give the
customer liquidity with the facility to earn some interest on the
residual balance.

With the aXcess plus account the customer can now aXcess
cash at over 1800 ATM’s in India to free and at over 6,50,000
ATM worldwide through the visa network. Besides he can use
his account to shop for goods and services at over 25,000
outlets in India and at 10 million outlets worldwide, without
ever handling to carry cash.

The aXcess Plus account provides with a globally valid debit
card that provides these and a host of other exciting benefits.
Unique features
There are several unique features about the standard chartered
bank’s aXcess Plus account, each designed to provide the most
convenient banking experience can ever get!

♦ Free aXcess to cash at over 1800 ATM’s in 35 cities in
India

♦ Globally valid debit card

♦ The debit can be used to make purchase at over 25,000
merchant outlets in India and at over 10 million outlets
worldwide.
♦ Phone banking, internet banking, Multicity banking and
365 days branches, extended banking hours, lockers
facility and doorstep banking.

♦ Unique free insurance benefits – lost card insurance,
purchase protection and personal accident cover.

♦ Exciting usage benefits such as travel cash back discount
on air fair, rasoi – ongoing privileges in restaurants,
fabdeals special privileges for shopping at select
merchant outlets etc.

2 –in -1 Account
A unique account that offers you double advantage letting you
earn the high interest rate of a fixed deposit while you enjoy the
flexibility of a savings and current account.

Unique features:

♦ Earn fixed deposit interest rates

♦ Enjoy the flexibility of a saving or a current account

♦ Free personalized cheque book and ATM card

♦ Flexibility of withdrawing money wherever you need it

♦ Deposit more money in your account to earn higher rate
of interest by simply filling a subsequent deposit slip

♦ Phone banking for current account related information at
your fingertips.

2-in-1 Account interest rates
TENOR RATE OF INTEREST (% P.A.)

15 days – 29 days 3.75%

30 days – less than 46 days 4.00%

46 days – less than 2 months 4.00%

2 months – less than 3 months 4.00%

3 months – less than 6 months 4.00%

6 months – less than 9 months 4.25%

9 months – less than 12 months 4.25%

12 months – less than 18 months 4.25%

18 months – less than 24 months 4.25%

24 months – less than 36 months 4.25%

36 months – less than 48 months 4.50%

48 months – less than 60 months 4.50%

60 months 4.50%

Above interest rates are offered by standard chartered bank and
are subject to change without prior notice. Deposits of Rs. 15
lakh and above may be opened for tenors starting 7 days.
Procedure:

On opening a 2-in-1 account two accounts are opened – an FD
and a transaction account .The FD earns the high interest rates
and the transaction account is used as a normal savings or
current account.
In case you need to withdraw amounts in excess of what is
available in your transaction account we will break your
deposit for the exact amount you require. The rest of the
deposit continues earning the original high interest on the
amount withdrawn you will lose only 1% of the interest rate
you are eligible for.

PARIVAAR ACCOUNT

A unique wealth management solution that offers the entire
family flexibility and tools for wealth accumulation and
preservation.

Unique features:
♦ A family can maintain individuals savings account
with the benefit of clubbing balances in the grouped
accounts

♦ Attractively priced health insurance options to protect
against unforeseen events

♦ Free accident hospitalization cover of Rs. 50,000 for
the primary account holder

♦ Free access to accounts through 5500 ATMs in the country at
all branches of the bank and through phone banking and
internet banking

♦ Option of systematic Investment Plan (SIP) the best known
long term wealth building tools that allows customers to
invest a fixed amount of money every month in specific
mutual fund. This comes with a direct debit facility and
avoids the need to remember dates and write cheque every
month

♦ Globally valid ATM-cum-debit card can be used at 55000
merchant outlets in India and 12 million outlets worldwide

♦ Up to 4 free cash withdrawals per account every month at
other bank’s ATMs in India through the visa ATM network.
Unlimited free transaction at all SCB’s ATM.

CURRENT ACCOUNT
An account opened and operated primarily by corporate for
commercial use wherein the numbers of transactions are much
higher than a normal savings account.

Unique features:

♦ High liquidity

♦ Unlimited transaction

♦ Zero interest

♦ Any branch banking

TERM DEPOSITS

A term deposit is a deposit held for a contracted period of time
and a contracted rate of interest. The rate of interest for term
deposits is higher than the applicable for a normal savings
account and penal rates of interest is applicable if the deposit is
withdrawn before the contracted period.

Term deposit rates:
TENOR RATE OF INTEREST (% P.A.)

15 days – 29 days 3.75%

30 days – less than 46 days 4.00%

46 days – less than 2 months 4.00%

2 months – less than 3 months 4.00%

3 months – less than 6 months 4.00%

6 months – less than 9 months 4.25%

9 months – less than 12 months 4.25%

12 months – less than 18 months 4.25%

18 months – less than 24 months 4.25%

24 months – less than 36 months 4.25%

36 months – less than 48 months 4.50%

48 months – less than 60 months 4.50%

60 months 4.50%
CONCLUSIONS
CONCLUSION
With years of banking experience, Standard Chartered is
undoubtedly in a strong position to help growing business sail
through the complexities they may face.

Standard Chartered Bank offers one of the widest range of
banking products and services in the market today. Managing a
growing business demands most of your time and energy. That
is why working with the right bank can help one’s business sail
more smoothly and Standard Chartered Bank helps in doing
that as it understands today’s business requirements.

The bank provides the right kind of services and accounts at the
right time and according to the need of market.

The expertise of Standard Chartered with over 150 years
experience, global network of 500 offices in 56 countries
making it one of the leading providers of treasury financial
services.

As the largest independent distributor of third party funds,
Standard Chartered gives investors choice, unbiased evaluation
of funds and a portfolio management account that matches your
risk profile and investment goals.
Not only this, the bank provides the widest range of foreign
currencies for your investment needs plus other products such
as housing loan, insurance and unit trusts.

Standard Chartered Bank well developed remote channels for
your banking convenience through our 24-hour phone banking
and internet banking.

Foreign banks in India are subject to the same regulations as
scheduled banks. Currently about 25 foreign banks are licensed
to operate in India. Foreign bank branches in India finance
trade through their global networks.

All commercial banks including Standard Chartered face stiff
restriction on the use of both their assets and liabilities. Forty
percent of loan must be directed to “priority sectors” and the
high liquidity ratio and cash reserve requirements severely limit
the availability of deposits for lending. Since July 1993, foreign
banks like Standard Chartered have been require to make 32
percent of their loans to the priority sector. Within the target of
32 percent, two sub targets for loans to the small scale sectors
(minimum of 10 percent) and exports (minimum of 12 percent)
have been fixed.

Foreign banks, however, are not require to open branches in
rural areas, or to make loans to the agricultural sector.
RECOMMENDATIONS
RECOMMENDATIONS

1. STRONG NEEDS OF BRAND BUILDING

The bank needs to make a lot of marketing efforts. The level of
recognition that may be desired by any brand has not been
achieved by Standard Chartered Bank. A lot of noise is made
whenever a child is born and as long as that noise is not made
the doctors are not sure about life of that child. Same is the case
in marketing. Whenever a new branch comes into existence it
is necessary that they announce there birth. Here comes the
pre-launch exercises, and in similar in the case after the birth,
the name has to be taken again. Boast about yourself , about the
strong points that you have over and above your competitors.
Pull the customers towards you. As said earlier it is a
relationship of trust and this trust can be generated through the
better and better performance of the bank. Now as working
with the bank for some time the fact have come out that they
believe in low costing and want to keep low profile. So better
way of marketing can be sought which are low of cost. These
are discussed further.
Promotional strategies

Press publicity:

♦ Paper inserts
♦ Advertisements in newspaper (local and national)
♦ Interest cards distribution
♦ Mailers/personal invitations to selective section of
society
♦ Leaflets

Outdoor publicity

♦ Banners in commercial areas and prime sites
♦ Air balloons at shopping complexes
♦ Bus stand shelters
♦ Off site ATM for developing business
♦ Advertisements on dividers and railings

Media

♦ Local channel advertisements (cable TV scrolls)
♦ Advertisements in news and business channels
Face to face

♦ Through personal interaction of marketing
executives.
♦ Meeting
♦ Detailing about schemes and updating them from
time to time
♦ Events sponsoring in local clubs and social gathering
♦ Road shows
♦ Contacting senior citizens in parks in morning and
evening
♦ Contacting office goers in the morning and evening
at stop lights by distribution of interest cards

Advertisements strategies segmented according to the
target customer

Senior citizens, housewives , students, service class

♦ Personal mailers
♦ Contacting at parks during morning and evening walk
♦ Contacting at stop lights
♦ Road shows at market side
♦ Cable TV advertisements during prime time
♦ Stick on the newspaper
♦ Leaflet on the wiper of the vehicles in the parking slots
Educational bodies

♦ Sponsoring events in schools and colleges
♦ Meeting the top management for opening salary account
and fee payment system of the students

Local clubs like young clubs, laughter club, senior
citizen club, ladies club, etc
♦ Event sponsoring
♦ Temporary banners
♦ Advertisements in club magazines
♦ Opening of extension counters (in case of large clubs)

Commercial places and market establishment

♦ Cold calling
♦ Personal visits of the executives
2. NEED A CHANGE IN MARKETING FOCUS

The marketing team of the branch has until now focused on
selling of their most competitive product, which are there
fixed deposits. The rates of interest, which they provide on
fixed deposits, are really competitive and highest in the
market. But this strategy could not be held for a longer
period of time as in the long run it would become liability to
the bank to pay such high rate of interest and it would lower
the revenues of the branch. Even the survey conducted
proved that the fastest selling product is savings account
amongst the consumer. With a network that is good enough
this bank can make efforts to increase the market share in the
area where the competition is so tough. This needs a brain
storming from the top management in the branch as to how
about fixing the targets in each category of accounts.

Solid network required to develop the business
further

If we see the results of the survey, it is evident that people
prefer strong network system to make their banking life as
comfortable and reachable as possible. For Standard Chartered
bank to enjoy a good customer base, they should make efforts
towards developing more and more ATM in the cities and
extension counters to facilitate better and fast service. Updating
of technology from time to time is very necessary. Standard
Chartered bank was the very first bank to start few of the very
good services like internet banking, bringing about new
services to attract more and more consumers should carry on
this tradition further.
Corrective positioning of Standard Chartered bank

Standard Chartered bank is known for its corporate operations.
Very big names in the corporate world have their account with
the bank. For the past so many years it has been catering to
these clients only and has generated an image of being a
corporate bank. The product extension into the retail segment
need separate focus and separate positioning in the market. The
bank cannot carry on its old image for both segment of market.
For this a distinctive advertising campaign has to be developed
(refer to the promotional activities stated earlier) to reposition
the brand in potential consumer’s mind. It should be noted that
both the type of clients differ from each other in their true
nature. One is a very low profile relationship, which talks
about masses. This type of client requires assurance, trust,
information and support. This is retail banking. While on the
other hand the second type of relationship is stronger, which is
the corporate client that requires different setup all together.
MAKE THE BRANCH SELF-INFORMATIVE

The branch should be decorated in the manner, which would
provide maximum information to the customer without any
difficulty. All the schemes and product, all the service charges,
days and time of transaction should be printed in a beautiful
manner and hanged on the walls of
the branch where customer can see with ease. This was one of
the things, which was found to be absent in this branch. By
doing so customers would feel more attached and it will be
converted in higher number of accounts.

SERVICE LIKE PHONE BANKING AND ATM SHOULD
BE ENCOURAGED.
BIBLIOGRAPHY
BIBLIOGRAPHY

www.banknetindia.com
www.rbi.org.in
www.economictimes.indiatimes.com
www.indianfoline.com
www.finance.indiamart.com/investment_in_india/banks
www.standard.chartered.broacher.and.mannuals
www.finance.indiamart.com/investment_in_india/banks.ht
ml
www.indianfoline.com/nevi/bank.html
www.finanace.indiamart.com/investment_in_india/standar
d_chartered_bank.html
www.abn_amrobank.com
www.hdfc.com
www.icicibank.com
www.standardchartered.com
www.standardchartered.com/in
http://economic.indiatimes.com/banking/bn11299.html
END OF PROJECT