A PROJECT REPORT ON

“DETAILED STUDY ON ONLINE BANKING”

SUBMITTED BY

SIDDHI RANE
MBA SEMESTER III
ACADEMIC YEAR 2022– 2023

UNDER THE GUIDANCE OF

PROF. D SURYA PRAKASH

INTERNAL GUIDE

SUBMITTED TO

SAVITRIBAI PHULE PUNE UNIVERSITY

IN PARTIAL FULFILLMENT OF
MASTER OF BUSINESS ADMINISTRATION (MBA)

THROUGH
AKEMI BUSINESS SCHOOL, PUNE – 411057

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 Declaration

I, the undersigned SIDDHI RANE, declare that the Project Report titled as, “DETAILED
STUDY ON ONLINE BANKING”, submitted by me for partial fulfilment of Master of
Business Administration (M.B.A.) is the original record of the project work carried out by me
during the period from 28/04/2022 to 18/06/2022, under the able guidance of D SURYA
PRAKASH and the same has not formed the basis for the award of any degree, diploma,
association, fellowship, titles – in or for any other Statutory University or Autonomous
Institutions functioning in India or abroad imparting higher education in Management.

Date: 30/06/2022 Siddhi Rane

Place: Pune MBA SEMESTER 3

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 Acknowledgements

At the start, I would like to express my sincere gratitude to D SURYA PRAKASH, my project
guide from Akemi Business School, Pune – 411057 for successful completion of a project in
partial fulfilment of Master of Business Administration (M.B.A.) under his able guidance to
allow me to work on such an interesting subject. He provided me proper and correct direction
for completion of project work. His continuous guidance during the course of project helped
me in channelizing my efforts, quite appropriately.

I am also thankful to name of the SHYAMAL KULKARNI, The Cosmos Co-op Bank Ltd.,
for guidance given and cooperation extended for carrying out the project.

I am also thankful to all the respondents and friends who have helped me to conclude the
contents of the project in decent and presentable manner.

Date: 30/06/2022 Siddhi Rane

Place: Pune. MBA, Semester III

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 Table of Contents

Chapter No. Title of the Chapter Page No.

Executive Summary 5
1 Introduction 7
2 Organization Profile and Product Profile 16
3 Research Objectives, Methodology & Limitation 41
4 Data Collection, Analysis and Interpretation 43
5 Findings, Conclusions and Suggestions 52
6 Bibliography 55

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 EXECUTIVE SUMMARY

Online banking allows a user to conduct financial transactions via the Internet. Online banking
is also known as Internet banking or web banking. Online banking offers customers almost
every service traditionally available through a local branch including deposits, transfers, and
online bill payments. Virtually every banking institution has some form of online banking,
available both on desktop versions and through mobile apps.

Online banking allows a user to conduct financial transactions via the Internet. Consumers
aren't required to visit a bank branch in order to complete most of their basic banking
transactions. A customer needs a device, an Internet connection, and a bank card to register.
Once registered, the consumer sets up a password to begin using the service.

Understanding Online Banking

With online banking, consumers aren't required to visit a bank branch to complete most of their
basic banking transactions. They can do all of this at their own convenience, wherever they
want—at home, at work, or on the go. Online banking requires a computer or other device, an
Internet connection, and a bank or debit card. In order to access the service, clients need to
register for their bank's online banking service. In order to register, they need to create a
password. Once that's done, they can use the service to do all their banking. Banking
transactions offered online vary by the institution. Most banks generally offer basic services
such as transfers and bill payments. Some banks also allow customers to open up new accounts
and apply for credit cards through online banking portals. Other functions may include ordering
checks, putting stop payments on checks, or reporting a change of address.

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Checks can now be deposited online through a mobile app. The customer simply enters the
amount before taking a photo of the front and back of the check to complete the deposit.

Online banking does not permit the purchase of traveller’s checks, bank drafts, certain wire
transfers, or the completion of certain credit applications like mortgages. These
transactions still need to take place face-to-face with a bank representative.

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 Chapter 1. INTRODUCTION AND PRODUCT PROFILE

The Cosmos Co-operative Bank Ltd. (Cosmos Bank), established in 1906, is one of the oldest
Urban Co-operative Banks in India. Cosmos Bank celebrated its centenary on 18 January 2006.
It is one of the first co-operative banks in the country to implement Core Banking System
(CBS) across the entire network of its than 140 service outlets using Finacle-Infosys Core
Banking Software. It also received an authorized dealer (AD) license from the Reserve Bank
of India to become the third co-operative bank in India to have such a license in thirty years.

The bank is headquartered in Pune in its Corporate Office at Cosmos Tower, Ganeshkhind
Road, Shivajinagar, Pune.

This bank was founded on 18 January 1906 in Pune by Krishnaji Sadashiv Gore and Shankar
Hari Barve. The first Chairman of the Cosmos Bank was Sahitya Samrat N.C. Kelkar alias
Tatyasaheb Kelkar. On 1 December 1990, Cosmos Bank received the Scheduled status and
within a short span of just 7 years, on 28 November 1997 the Bank was awarded the 'multi-
State' status. The Cosmos Bank is operative in 7 States of India, viz., Maharashtra, Gujarat,
Madhya Pradesh, Karnataka, Andhra Pradesh, Telangana and Tamil Nadu through its 140
branches. Bank has more than 2 million customers and 79,000 shareholders

The Cosmos Co-operative Bank Ltd., established in 1906, is one of the oldest Urban Co-
operative Banks in India. Cosmos Bank celebrated its centenary on 18 January 2006.

Customer service: 020 6708 6708

Headquarters: Pune, India
Founded: 1906
Revenue: 379.08 crores INR (US$50 million, 2020)
Number of employees: 2,714 (2020)

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Subsidiaries: The Cosmos eSolutions & Services Pvt. Ltd.,

The Cosmos co-operative Bank (AJMERA BRANCH)

Typical banking services offered by retail banks include:

 Current accounts
 Savings accounts
 Debit cards
 ATM cards
 Credit cards
 Mortgages
 Personal loans
 Certificates of deposit/Term deposits

 Regular Saving Account

Regular account for your savings!
Put your savings in the Cosmos Regular Savings Account in the form of liquidity and
be assured of good monetary return. Interest with this account is calculated on a daily
product basis.
You can use a Savings Account in order to deposit your savings in the form of liquidity.
We provide a compatible interest rate on your funds. You can later benefit from a good
monetary return with the help of this service. With a savings account at Cosmos Bank,

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 you can benefit from extra returns. With us, interest on Savings Account will be
calculated on Daily Product Basis. Moreover, all the services are offered to you with
very simple terms and conditions and minimal charges, which makes our services easy
and reliable.
 Eligibility
A Savings Account can be opened by Individuals / Minors / Institutions / Associations
/ Regd. Co-op. Societies / Trusts / HUFs
Average Quarterly balance to be maintained in Savings Account is Rs. 1,000/- in
order to carry on with the services
 Facility
 Cheque Book facility
 Nomination facility and Free Passbook facility will be provided to all users
 Savings account holders can enjoy anywhere banking through Core Banking Solution
 Wide ATM coverage and access to ATM across the world through VISA Debit Card
 Documents Required
Resident Individual Saving
 ID Proof of Individual (Valid Passport, PAN Card, Election Card, Job Card
issued by NREGA)
 Address Proof Documents (Valid Passport, Aadhaar Card, Election Card,Valid
Driving License, Job Card issued by NREGA

1. Cosmos Regular Current Account

Nothing regular about this!

Manage all your daily monetary needs with just one account, the Cosmos Regular
Current Account. This is the basic account ideal for individuals, sole proprietors,
partnership firms, PLCs, associations, clubs and the likes. With an average quarterly
balance of just INR 5000 you are good to go!

This account is made for fulfilling the day-to-day banking needs of the customer. From
this account, one can withdraw money actively and use it for frequent withdrawals and
deposits with the help of cheques. This is the most basic kind of account which can be
used to take care of your regular accounts and manage salary, savings, funding and all
kinds of daily monetary aspects.

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 Eligibility
 A Regular Current Account can be opened by individuals, sole proprietorship concerns,
partnership firms, private / public limited companies, associations, clubs, societies,
trusts, Joint Hindu Families or other institutions, upon being introduced in a manner
satisfactory to the Bank.
 An average Quarterly balance of INR 5,000 has to be maintained in Current Account
in order to keep it active.
 Facility
 Electronic Funds Transfer can be done easily with this account.
 Current Account holders can avail Multi-city Cheque book facility.
 ATM facility is available at every branch

 Documents Required
Individual
 ID Proof of Individual (Valid Passport, PAN Card, Election Card, Job Card
issued by NREGA)
 Address Proof Documents (Valid Passport, Aadhaar Card, Election Card,Valid
Driving License, Job Card issued by NREGA)
 Declaration about Business activity.
 Any Business activity Proof.

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VISION

 To be world-class co-operative bank.

 To deliver a memorable, unique, delightful banking experience.

 To add genuine value to the lives of all those we touch.

 To be the preferred bank for all stakeholders, customers, employees, Investors, vendors,
partners, associates.

 To be a model global corporate institution.

MISSION

To achieve our vision by:

 Constantly innovating and thereby ensuring that we lead and not simply follow
what is state-of-the-art in banking.

 Maintaining warmth and the personal touch across all relationships through
Team Cosmos- a team of knowledgeable, always available, impeccably
courteous and dedicated professionals.

 Proactively working towards the full realization of the potential of the co-
operative sector, including financial inclusion.

 Ensuring the highest ethical standards, professional integrity, corporate

governance and regulatory compliance.

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VALUES

 Customer Centricity.
 Continuous Learning.
 Technology with Sensitivity.
 Ethics.
 Transparency.
 Teamwork.
 Operational Efficiency.
 People Empowerment.

OUR BOARD OF DIRECTORS

CA Milind Kale CA Yashwant Kasar
Chairman Director
Mr. Sachin Apte Mr. Milind Pokale
Vice Chairman Director
Dr. Mukund Abhyankar Mr. Ravishankar Kore
Director Staff Representative
CA Jayant Barve Mrs. Apekshita Thipsay
Director Managing Director
Prof. Rajaishwari Dhotre Mr. Arvind Tavare
Director Director
Adv. Pralhad Kokare
Director
CA Praveenkumar Gandhi
Director
Prof. Nandkumar Kakirde
Director
Adv. Anuradda Gadale
Director
Mr. Ajit Gijare
Director

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GEOGRAPHICAL SETUP

Financial setup of the bank as on 31.03.2021 was ₹ 28,031.12 Crore, comprising of deposits of
₹ 16,150.45 Crore and advances of ₹ 11,880.67 Crore.

Cosmos Bank operates through 143 branches in India spread across 7 States and in 44 Major
Cities, which are as follows:

OUR FINANCIAL STRENGTH

Cosmos Bank holds its position of being 2nd largest cooperative bank in India. Over the
century, it has strengthened its financial set up through innovative business.

Financial setup of the bank as on 31.03.2021 was ₹ 28,031.12 Crore, comprising of deposits of
₹ 16,150.45 Crore and advances of ₹ 11,880.67 Crore."

COSMOS BANK ACHIEVEMENTS

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COSMOS BANK ACHIEVEMENTS

Cosmos Bank is the first Multi-state Co-operative Bank to implement Centralized Banking
System.

All Branches, Extension Counters, all Regional Offices and Head Office are interconnected
through the Data Center situated at Head Office.

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IBA Special Mention Award

Cosmos Bank has won the prestigious, ‘Special Mention Award’, in the category of ‘Best
Technology Award of the Year’ for 2020-21 from Indian Banks Association, the apex
association of all banks of India.’

Express IT Award

Cosmos eSolutions and Services Pvt. Ltd., the fully owned subsidiary of The Cosmos Co-
operative Bank Ltd., received the prestigious Financial Express', "Express I.T. Mobility
Solutions Award" in Bengluru.

Infosys Finacle Client Award

The Cosmos Co-operative Bank Ltd., received ‘The Infosys Finacle Client Innovation Award
2017’. The award was received in two categories i.e., Customer Service innovation for
TABBANC with Micro ATM Solution and Innovative Custom Components developed with
Finacle.

Special Award for effective Crisis Management

Bank received Special Award for effective Crisis Management from Banking Frontiers.
Cosmos Bank Chairman, C.A. Milind Kale received the award in presence of Vishwavir Das,
Executive Director, Reserve Bank of India & Ex. Chief General Manager P.K. Arora.

Frontiers in Cooperative Banking

Chief Information Technology Officer (CITO) of Bank, Arti Dhole received the prestigious
and coveted “Frontiers in Cooperative Banking” Award in “Leadership Category” for “IT Head
of the year 2019-20”.

Digital Services with the Cooperative Bank Category

Bank is declared winner under the ‘Digital Services with the Cooperative Bank Category’ by
Associated Chambers of Commerce and Industry of India (ASSOCHAM). The award was

15
presented to Cosmos Bank during the ASSOCHAM National E-Summit & Awards Banking &
Financial Lending Companies “Digital Financial Services: Response to Atmanirbhar Bharat”
today, i.e., Thursday, 29th April 2021.

OBJECTIVES

 To analyse functions of online banking

 To highlight on security problems
 To analyse the present E banking scenario
 To examine the impact of internet banking on customer satisfaction by analysing the
problems faced by them.

PRODUCT PROFILE

ONLINE PRODUCTS OF COSMOS BANK

COSMO Digital – Digital Banking Delivery Channels
Gateway to our digital products world & beyond!

When the whole world around us is going digital, how can banking be left behind? Digital
Banking plays a vital role in today's banking. It's traditional banking with a technological twist,
allowing you to conduct transactions at your leisure and in a flash.

The application of banking technology has led to much more services that simplify the life of
the customer.

To cope up with the growing needs of our customers, the Bank has incorporated all the Digital
Banking Delivery channels as a Product Suite to fulfil the Customer requirements.

RAPID ONLINE SAVINGS ACCOUNT

Savings account from the comfort of your home!

Account is opened within few minutes only with the help of your Aadhaar Card Number.

How many times have you had to go to your nearest bank branch for your Savings Account
related procedures? We at Cosmos Bank take every measure to help you manage your Account
from your home. Rapid Online Savings Account is our latest offering in the same direction.
Now you can create a fully-featured Savings Account right from the comfort of your couch.

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You will be able to withdraw money once the documents are submitted at the branch.

SPECIAL FEATURES

 Zero Initial deposit - You don’t need to deposit any credit after the moment your
account is created.
 Free Services - DD/Pay slip, NEFT/RTGS, intersol charges, Cheque Book issue
charges will be waived off.
 Attractive Offers - Get various offers which you can avail from your RuPay Debit
Card
COSMOS WHATSAPP BANKING

Cosmos Bank has always endeavoured to provide quality services to all our customers and has
ensured customized banking solutions for each individual. In line with our promise to provide
you with uninterrupted banking services, Cosmos Bank is now introducing WhatsApp banking.

You can now avail a host of banking services easily on WhatsApp, a faster, convenient, and
secure platform to manage your banking needs from the comfort and safety of your home.

How To Use Whatsapp Banking Services

1) Simply (if viewed on mobile) from your registered mobile number and start WhatsApp
Banking with us!

2) Add +91-89 56 56 7100 to your contacts, open WhatsApp Application from your registered
mobile number and Say ‘Hi’

By starting a conversation on above contact number would mean you are adhering to our Terms
& Conditions.

Services you can access:

 Fetch your Account Balance

 Generate Mini Statement (Last 5 Transactions)
 Stop Cheque
 Locate ATM
 Locate Branch

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IM Banking (Internet & Mobile)

Say I’M banking and mean it!

Enjoy the goodness of both Internet and Mobile banking with just one app. Say goodbye to
long queues and save your valuable time. Start banking on the go with Cosmos IM Banking
service!

Instead of two different banking facilities – Internet Banking and Mobile Banking, Cosmos
IM-Banking brings to you the advantages of both, in a single and convenient user experience!
No waiting in line at the Bank to avail your promised services or get your queries sorted. IM-
Banking is a one-stop Mobile Solution for all your banking needs.

Now you can manage your Cosmos Bank account by downloading a single app from your
preferred device’s App Store and access several useful features. Joint A/c holders can also
access their account on the same device with their own credentials. Join the modern ways of
banking by downloading IM-Banking App now!

Special Features

 Modify Profile - Change personal details or reset your password.

 Multiple Device logins - You can access IM banking features from 3 separate devices.
 Unified Functionality - Now operate both mobile and internet banking from a single
account.

Cosmo UPI

UPI is the deal!!

Banking services made simpler for you! Access multiple accounts and all services with just
one UPI app. With just Savings/Current account at Cosmos Bank start banking with your UPI
app.

Unified Payment Interface is a system that allows access to multiple bank accounts and services
through a single device interface. You can set up your own UPI app simply through the mobile
number registered with your respective bank A/c. With UPI, you can also send money to your
friends and family instantly, without adding them as beneficiary first! The only eligibility
requirements for obtaining a UPI Virtual Private Address are

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  An active Savings or Current Bank Account operated as 'Self, Either or Survivor,
Anyone'
 A Customer ID along with a phone number registered with the Bank Account.

You can access various other features of your account like Balance Enquiry, Transaction
History, Send/Collect Requests through the UPI App. So, what are you waiting for? Register
for UPI soon!

Special Features

 24X7 availability - UPI is based on IMPS platform

 One App Many Accounts - You can link many of your bank accounts to one single
UPI app on your phone.
 Extra Secure - VPA is the only requirement and it does not disclose any user
information.

Universal Bill Payment

Settling bills is no more an unsettling affair!

Bills are a monthly affair for everyone. Cosmos Bank's e-Bill Pay, a comprehensive bill
payments solution brings you the convenience of paying your telephone, electricity and mobile
phone bills through the Internet. The bills are remitted through the bank account specified by
you at monthly or quarterly intervals. You are not required to fill up any forms or visit the bank
to avail this facility. Register online and set payment instructions online too.

Why Universal Bill Payment?

With everything going online in the recent years, people have now started preferring the
comfort of their homes and offices to finish as many tasks as possible. People have begun using
online methods for certain acts like shopping, booking tickets, paying bills, etc.

Making bill payments online wipes out many pitfalls of the traditional payment methods. For
example, while paying bills online; one does not have to worry about payment timings, since
it can be done at any hour which is convenient to the user.

Moreover, with this service, one can pay multiple bills from the same website, which saves the
time and hard work of going at each individual office/payment desk and waiting in long queues
before one can finally make the payment.

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The receipts of the payments done can be saved on the computer, which frees one from
document responsibility. This also makes it easy to track and fetch a receipt quickly.

The customer gets a confirmation after the payment has been made successfully, which helps
the individual in being up to date in case of any disruptions or malfunctions, which is hard to
track through conventional payment methods.

Special Features

 Simplicity – making bill payments has never been easier.

 No charges – pay your bills online with us for free.
 Versatility – Pay multiple kinds of bills through our website

CosmoNet Corporate Banking

Safe, Secure and Speedy

Why worry about taking time out from important business dealings to go to the bank and stand
in long queues for a simple transaction when you can deal with your business banking needs
from anywhere and at any point in time. Be it day or night, a holiday or a working day.
CosmoNet is now safe, secure, and simple to execute your business banking transactions as
long as you have a computer and an Internet connection.

You can now access most of the corporate banking services from the comfort of your
home/office via CosmoNet.

Special Features

 Multi-Level Approval hierarchies

Facilitates maker – checker facility for creation and approval of transactions
 View Request & Transaction activity of sub-ordinate
 Bulk Transaction Upload
No need to visit bank bulk Salary Payments, Supplier Payments.
 Integration with third party accounting system like TALLY
 Accounts Information
Account Summary, Account Information, Mini statement, Detail Statement, Funds in
clearing.

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  Funds Transfer
Beneficiary Management, Funds transfer within Cosmos Bank, Funds transfer to
accounts in other Banks, 24*7 Funds Transfer facility through RTGS, NEFT and
IMPS platform, Schedule Payments
 Utility Bill Payments
Manage & Pay your utility Bills (Telephone, Electricity, Mobile) using Universal Bill
Payment platform

AePS – Aadhaar enabled Payment System

Intelligent use of your unique identity

Aadhaar Enabled Payment System (AePS) is a payment service based on the Unique
Identification Number, empowering you to use Aadhaar Card as your identity to access your
respective Aadhaar linked bank account to seamlessly make financial transactions through
Aadhaar-based authentication. It also helps you perform basic banking transactions like
balance inquiry, cash deposit, cash withdrawal, remittances through a Business Correspondent.

It is a bank-led model that allows online interoperable financial transactions at PoS (Point of
Sale / Micro ATM) through the Business Correspondent (BC) of any bank using Aadhaar
authentication. This is a simple, secure, and user-friendly platform for financial transactions.

Your bank account must be linked to Aadhaar to use AEPS.

ATM

A cashier at your disposal

A specialized computer that enables you to manage your funds in our Bank. Our ATMs are
convenient to use. It allows you to carry out basic and quick transactions, such as checking the
balance of your account, withdrawal or deposit, and much more without contacting our branch
representative or teller.

Cosmos is currently being integrated with a total of 133 ATMs & five recycling units to support
ATM services by three service providers. Cosmos Bank and other bank customers can use the
services of our ATMs.

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Passbook Printing Kiosk

No more Queues, click and print.

Say NO to the long queues. All you need today; is one click to print your Passbook. Yes, at
Cosmos Bank, we give you access to our automated Passbook printing KIOSK, allowing you
to print passbooks without depending on your banker. The advanced KIOSKs installed in our
Branch recognize your account details through the barcode ID strip placed on your Passbook
and fetches the transaction details of your savings account and prints it on the Passbook. At
present this facility is available to you during branch timing but soon we are planning to launch
this facility 24/7.

BHARAT BILL PAY SYSTEM (BBPS)

Bharat. Now, Pays in multiple ways!

An RBI (Reserve Bank of India) conceptualized an integrated online bill payment system
driven by the National Payments Corporation of India (NPCI). It is the one-stop ecosystem for
all your recurring bills that offers you interoperable and accessible bill payment service
“Anytime Anywhere” across India, through a network of agents of the registered member as
Agent Institutions (AI); also enabling multiple payment modes, and providing instant
confirmation of your payment.

Special Features
 Any time anywhere bill Payment
 Simplified Bill Payment
 A Wider Bill connection Network
 Uniform Consumer Experience
 Smooth Transactions

E-KYC Services

Verification's. Now less complicated!

Before you avail of any financial service from us, you are mandated to KYC regulation as per
RBI (Reserve Bank of India) guidelines. This is done to establish your identity and verify your
information.

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This process is made easier for you via our E-KYC services. Your identity can now be verified
electronically using Aadhaar-based substantiation. It means that your Aadhaar details, such as
name, address, gender, date of birth, mobile number, and email address, are accessed from the
Unique Identification Authority of India's database (UIDAI). Thus, Aadhaar-based E-KYC
provides instant proof of identity and address, eliminating the need for time-consuming in-
person verification.

Special Features

 E-KYC services are completely paperless: The service is fully electronic, enabling
the elimination of KYC document management.
 Consent-based: Data is shared with the resident’s consent through Aadhaar
authentication, thus protecting the resident’s privacy.
 Secure and compliant with the IT Act: Data transfers are secured through encryption
and digital signature. As per the Information Technology Act, 2000 making, E-KYC
documents legally equivalent to paper documents.

Missed call Service

Prank us to know your financial strength!

Tiered of visiting a branch or ATMs only to learn your Account Balance? Well, you can stop
doing so right away. A Missed call can now save your time and effort. Yes, for your
convenience, Cosmos offers you Missed call services to enable you to know your account
balance instantly at any point in time. All you must do is ring up 90290 13793 from your
registered mobile number.

Know your Balance = 1 Missed Call!

Special Features

 Service is available 24*7.

 Free service for the Customers.
 Services are available only for CASA accounts.

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TimePay® - Third-Party Merchant Acquiring UPI Application sponsored by Cosmos
Bank

Adding more power to funds transfer

TimePay® is our UPI Third-Party Merchant Application, specially developed, by Network

People Services Technologies Limited. TimePay® is a solution which synthesizes digital
payments with consumer services and merchant solutions. It is most simplified and efficient
application to manage your Accounts and Merchant Payments with Security. TimePay®
empowers you with an automated process, integrated payment, data intelligence, and doorstep
services. It is the ‘one-stop solution for all your multiple needs with quick and easy procedures.

Special Features

 TimePay® for Housing Societies

 It is smart application for managing various requirements of Housing Societies.

 Communities transacting on a single ecosystem.
 TimePay® empowers societies and members with apartment management, merchant
integration, payment gateway and property management solution on a single platform.
 Modules available are- Society Administration, Maintenance Management, Vendor
Relations, Tenant Management, Security Solution, Accounting and Reporting.
 The application has been built with highly secured banking platform.
 TimePay® for Business

 TimePay® redefines the way digital transactions are being delivered.

 It creates a digital transformation for the merchants and at the same time integrates all
the services in a smart ecosystem for the users.
 TimePay® is a single application and the entire service delivery is managed smartly
through the Business Intelligence.

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UPI QR (Quick Response) Code-based Payments

No more rambling, just Scan & Pay

UPI is now emerging as the preferred mode for payments due to its large customer base and
acceptance. One of the most welcomed features of UPI is payment through QR Code. The
proliferation of affordable smartphones is leading to the mass adoption of new-age digital
payments services. QR Code payment is a contactless payment method where payments are
made by scanning a QR Code from a Mobile Application. Besides being a perfect alternative
to make electronic funds transfers, a QR Code also eliminates infrastructures traditionally
attached with electronic payments such as Payment Cards and networks. The significant
advantage you can take from this service is facilitating instant payment, as QR Code-based
Payments are quick compared to all other modes.

Benefits: -

 Instant payment.
 Payment via QR codes is extremely quick.
 Customer can check the authenticity of merchants while scanning QR Code.
 User will simply open the UPI App, scan the QR code, and confirm the merchant, enter
the UPI Pin to process the payment.
 Within a few seconds, the payments are made.
 No need to share any information to merchant.
 Purely cashless option.

Special Features

 Quick and Easy

 Real Time Transactions
 Secure and Reliable
 Most convenient
 Easier and Cheaper

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Cosmos Bank NETC FASTag Services
Journeys made happy

The ideal solution for hassle-free travel on National Highways, by the Government of India.
Cosmos Bank provides you with a simple-to-use NETC FASTag that allows for the automatic
deduction of toll charges from your bank account while allowing you to travel through the toll
plaza without having to stop for a cash transaction.

The applicable toll amount is debited from your account linked to Cosmos Bank NETC
FASTag. The tag employs Radio-frequency Identification (RFID) technology and is affixed on
the vehicle's windscreen after the tag account is active.

National Electronic Fund Transfer (NEFT) Services:

Small transfers or big We got you covered!

An established and centralized electronic payment system (maintained by RBI) that facilitates
an efficient, secure, cost-effective, reliable, and expeditious system of direct one-to-one funds
transfer and clearing in the banking sector across India.

NEFT enables you to electronically transfer funds from any bank branch to any individual with
an account with any other bank branch in the country. The objective is to relieve the stress on
the existing paper-based fund's transfer and clearing system.

Benefits: -

 Available 24x7x365 basis through Internet Banking, Mobile Banking & also by visiting
Branch as per Branch timings.
 Near real-time fund transfer to the beneficiary account and settlement in a secure
manner
 Pan-India coverage through a large network of all the banks
 Positive confirmation to remitter by SMS/email on credit to the beneficiary account
 No charges to saving bank account customers
 Can be used for a variety of transactions like credit card dues, payment of the loan,
inward foreign exchange remittance, etc.

26
Special Features

 Safe- secure mode of transferring funds from one bank branch to another bank branch.
 Transaction Limit - No Maximum and Minimum Limit.

Real-Time Gross Settlement (RTGS) Services

Rapid and reliable payment system!

A special fund transfer system where there is a continuous and real-time settlement of fund
transfers, individually on a transaction-by-transaction basis. Real-time means that instructions
are processed as soon as they are received, whereas gross settlement means that individual
funds transfer instructions are settled.

It is a fund mechanism that enables you to transfer money/ securities instantly (in real-time).
Once processed, real-time gross settlement payments are final and irrevocable.

Benefits: -

 Available on 24x7 basis through Internet Banking, Mobile Banking & also through
Branches as per Branch timings.
 No amount cap for transaction/transfer.
 Available on all the days.
 The remitter need not use a physical cheque or demand draft.
 Beneficiary need not required to visit the branch.
 Transactions has legal banking.
 Transaction Limit: Minimum 2lakh and No Maximum Limit.
 Transactions are processed continuously on a transaction-by-transaction basis.

Special Features

 Real-time transfer of funds to the beneficiary account.

 Used for high-value transactions.
 Safe and secure system for fund transfer.
 Reliable and backed by the RBI.
 Immediate clearing.
 Funds credited on a one-on-one basis.
 Transactions executed on an individual and gross basis.
27
Immediate Payment System (IMPS)

Transfer funds on real time basis!

A robust payment system specially designed to economically enable you to transfer your funds
to the beneficiary’s account in the real-time offering, a secure and instant 24´7 interbank
electronic fund transfer at your service. You can access these services across multiple channels
through, IM Banking [or Cosmo Net] via Mobile or Computer throughout the year including,
Sundays and Bank holidays.

Special Features

 Multiple transfer input options to choose from for initiating transactions, such as Mobile
no.& MMID or Account no.& IFSC.

 Options for IMPS Payment:

IMPS Payment Options are available in 2 Modes mentioned below: -

 P2P (Person to Person) using seven-digit MMID.

 P2A (Person to Account) using account number & IFSC Code.
 Currently, our Bank provides this service in both P2P and P2A modes through Mobile
banking and Internet banking channels only, (delete comma and add fullstop)
 To transfer funds using Account & IFSC, it is necessary to register beneficiaries
through one of the channels.
 Customers can only transfer the funds once the beneficiary account is successfully
registered & activated.

28
APBS –Aadhaar Payment Bridge System for (DBT) Direct Benefit transfer

You deserve. Cosmos delivers.

A unique payment system that uses your Aadhaar number as a vital component for
electronically channelizing all your government subsidies and benefits to your Aadhaar - linked
Bank Account. The APB System links all the Government Departments and their sponsor
banks on one side and beneficiary banks and beneficiaries on the other hand. Besides
transferring your benefits and subsidies under DBT schemes, ABPS also serves the goal of
Financial Inclusion and provides an opportunity to the Government to attempt financial re-
engineering of its subsidy management program.

Cosmos Bank is already onboard with NACH’s Aadhaar Payment Bridge (APB) System to
enable the Direct benefit transfer of any kind of subsidy announced by the Government to you.

Benefits: -

 The old system's excessive delays, many channels, and paperwork are eliminated.
 Benefits and subsidies are sent in a simple and timely way, straight into the Aadhaar
Enabled Bank Account.
 In the event of a bank account change, the client is not obligated to notify the
Government Department or Agency of the bank account details or change in bank data.
 Customer not required to open multiple banks accounts for receiving benefits and
subsidies of various social welfare schemes – Customers just need to open one account
and seed his/her Aadhaar number in the bank account to start receiving benefits and
subsidies directly into his/her Aadhaar Enabled Bank Account.

29
Income Tax Validation for Filing ITR (Income Tax Returns)
Time for tax validation? Think Cosmos

Cosmos bank equips you with a system of pre-validation of bank account. Your bank account
details are verified in real-time and, the response of the same is sent to the IT Department
instantly with no manual intervention. Time for tax validation? Think Cosmos. Sit back and
take a sip from your cup while we validate your account details, taking that burden off your
shoulders.

To successfully submit your income tax refunds online following submission of the return, you
must pre-validate your bank account. Income Tax Department provides you the facility of pre-
validating your bank account on their official website. After logging in to the income tax
website, use the Profile Setting sub-option, and click on Pre validate Bank account option. You
may change your bank account information (Bank Account number, Bank/Branch/IFSC data)
there.

On successful submission of data, Income Tax Department sends a request to us, Cosmos Bank,
to verify your bank account, after the verification of your account details, a positive response
is sent to the Income Tax Department & validation of the bank account process is complete.

Special Features

 This is a real-time, pre-validation of bank account system, where the bank account is
validated on a real-time basis & response of the same is being sent to the IT
department instantly.
 There is no manual intervention. Such validated bank account is used for processing of
income tax refund online & refund is directly credited to customer’s bank account.

30
HERO PRODUCTS OF COSMOS BANK

Cosmos Professional Comfort Loan Scheme

Your business deserves a giant leap.

Like a child, even businesses need support, encouragement and timely assistance in the form
of financial boost and Cosmos Banks "Cosmos Professional Comfort Loan Scheme" exactly
does that, it is designed to fulfil the financial needs of working professionals like Doctors,
Engineers, Architects, Chartered accountants, Accountants looking for monetary support to
start or expand their businesses.

With a rapid disbursement within 15 days, a professional can apply for a loan up to Rs. 100
Lakhs (working capital & term loan) with incredible interest rates of 8.25% to 8.75% with a
repayment period of 2 years for OD and up to 10 years for term loans (both movable &
immovable assets). Easy documentation and multiple facilities are one of the highlights of this
loan scheme.

 Eligibility

 The applicant should become a regular member or nominal member of the Bank in
case of no membership
 The applicant should hold a degree from a recognized university.
 Individual Professionals / Non- Individual Professionals -Partnership firms, LLP,
Private Ltd Company etc. takeover proposals from other banks having standard Asset
classification is required. Get In Touch.

 Facility
 Insurance
 Membership
 Membership will be applicable

 Documents Required
 All documents as per KYC norms viz. Residence proof and Identity proof of applicant
as well as guarantors.
 Income documents of borrower and guarantors
 Last 3 Years IT Returns.

31
  Account statement of borrower/customer for last six months
 Copy of degree certificate of the applicant/partner/director
 Registration Certificate & Qualification Certificate
 Financial projections as per required repayment period
 Udyog Aadhaar is compulsory.

 Ideal for people

 Providing financial assistance to professionals who want to establish or grow a
business.
 Professional like CA, CS, ICWA, Doctor, Engineers, etc.

Cosmos Property Mortgage Loan

Engage your property to ease your responsibility

Engage your property in easing your burden. Cosmos Property Mortgage Loan is devised to
ease your financial burdens when aiming for higher education, repayment of unsecured loans,
or when you need to make foreign business visits or while planning to purchase a residential
plot. With huge plans come huge responsibility and those responsibilities can be simplified
with use of your property.

 Loan Highlights
 Loan Limit
Loan Amount - Maximum 70% of the property value.
Loan Limit of Rs. 500.00 Lakhs.
 Rate of Interest
Priority Sector: - @8.75% p.a.
Non-priority Sector: - 9.00% p. a
[Limit to sanction TL & OD 50%:50% Form]
 Time of Disbursement
30 to 35 Days
 Repayment Period
10 years for Term Loan and review within 15 months for Overdraft
 Prepayment Charges
Nil

32
  Loan Charges
 For Individual
Process charges 0.50% +GST as applicable.
 For Commercial Loan
0.25% for new proposals
0.10% for as it is review
 Maximum Cap for process charges for new proposals: Rs.10.00 lacs
 Foreclosure Charges
Nil

 Ideal for people

 Higher education
 Repayment of unsecured loans
 Foreign business visit expenses
 Purchase of residential plot
 Construction on plot where some title deeds/link documents are not available
 Business promotion

Eligibility

 In case of plots, a constructed property can be accepted in meritorious cases if the property
has been legally declared as Non-Agricultural and is thoroughly fenced with the Bank’s
board of mortgage.

 The maximum allowed age of a Commercial property to be put up for mortgage is 30

years, whereas for Residential property it is 25 years. Properties older than this limit
cannot be accepted. It shall be confirmed through valuation report and visit that the
construction is of RCC and residual life of the property is longer than loan tenure.

 Property should be in the form of constructed residential or commercial property with

completion certificate from the competent authority.

 Property can be mortgaged by way of registered mortgage only if all original title deeds
as per legal opinion are available.

33
Cosmo Credit Personal Loan

Cosmo Credit for your Personal Cosmos!

A healthy human pay for everything except the air he breathes. Everything else costs. And for
that everything else you have the Cosmos Credit Personal Loan. Home Renovation, Foreign
Trip, Any Domestic Purpose, others… You name it and you can finance it with this scheme.
Get in touch to know how! One needs monetary help for carrying out some important and fairly
large personal occasions like weddings, vacations and other personal affairs like decorating
one’s home, renovation, and so on. These financial needs can be fulfilled with the help of the
Cosmo credit Personal Loan Scheme. Personal loans become necessary in times when you are
faced with a large expenditure and do not have enough savings to carry it out. These loans do
not require a lot of proof back-up, and hence are used for personal matters. The loan can be
repaid in flexible instalments and over a considerable time period. With this loan, we guarantee
our customers minimum rate of interests and a fair amount of flexibility to pay it back. With
our speedy processing, find accessing the loan easier than ever. Access the loan at a branch of
Cosmos Bank near you.

 Loan Highlights
Loan Limit
Up to Rs. 5 Lacs
 Rate of Interest
10.75% if CIBIL score > 750
11.00% if CIBIL score < 750
 Time of Disbursement
3 Days
 Repayment Period
60 Months

 Foreclosure Charges

 up to 12 months - 3%
12 months Before 24 months- 2%
After 24 months - 1%

 Eligibility

34
  Please contact the bank for further details.
 Ideal for people
 Home Renovation
 Foreign Trip
 Any Domestic Purpose
 Others
 Purpose:
 For funding a personal event like wedding or vacation, home decoration, and the like
 Loan Type
 Overdraft or Term Loan facility is available
 EMI
 To construct your dream home; attractive ROI and loan margins and loan charges make.

Cosmos Home Loan Scheme

Loan sweet loan!

Roti. Check. Kapda. Check. Makaan. Also check…. Make your dream easy with Cosmos
Home Loan. Cosmos offers a repayment period of 20 years for the purchase of flat, row houses
or even es this scheme by far the best bet at realizing your dream home.

Owning a home is an achievement of a lifetime. You will only really buy it once, and it has to
be absolutely perfect; anything less just won’t do.

At Cosmos Bank, we understand exactly how much it means to have your own home.

The Cosmos Home Loan Scheme is designed just so you can get that perfect home you always
wanted, at a price that you can afford; all with minimum amount of fuss and maximum comfort.

 Loan Limit
Up to Rs. 70 Lacs only

 Rate of Interest
Up to Rs 70.00 Lakhs
Loan Amount ROI (p.a.) CIBIL Score
6.70% Above 800
6.90% Above 750 to 800

35
 7.00% Above 700-750
7.25% Below 700
(with Deviations allowed)

 Loan Charges

 Up to Rs. 10 Lacs
1% of loan demand + GST

 Above Rs. 10 Lacs

0.50% of loan demand + GST

Cosmo Home Delight Scheme – Housing Top Up Loan Scheme

Loan top ups were never this easy!

Already availed a home loan with us? Then Cosmos Bank has this top up loan facility for you
to turn your house into a home with the help of Cosmos Home Delight. For house renovation
or repairs, decoration and related purposes, choose this scheme to add personal touches to the
building and make it your dream project.

The Cosmo Home Delight loan is designed keeping in mind the crucial requirements that
follow once one buys a house. This loan covers costs ranging from designing and furnishing
of the house to renovating it. What makes this all a good investment is that not only do they
provide luxury and comfort, but they also increase the value of one’s house when it is put for
resale. Hence, this is generally a short-term loan. It is available both as a Term loan and
Overdraft in order to increase customer convenience.

Eligibility

 25% repayment of Housing Loan Mandatory.

 One must avail our Housing Loan facility as a borrower/co-borrower.

 Should have a satisfactory repayment history with no default issues at any point.

36
Cosmos Two-Wheeler Loan

Realize your two-wheeler dream now!

Buying the first two-wheeler is a momentous occasion in most people’s lives. We are here to
help you fulfil your dream with our Cosmos Two-Wheeler Loan. This loan can be used to buy
a two-wheeler when it is needed the most, and not when you have the complete money to afford
it. With affordable interest rates and minimum processing, we assure to make the procedure
easy and comfortable for our customers. We accept minimum monthly instalments so that you
do not have to worry about paying large sums to the bank at the end of the month.

Cosmo Gruha Sanjeevani Reverse Mortgage Loan Scheme

Self-Reliant Senior Citizen.

'Self-reliant, Senior Citizen, in need of regular monthly income'

Does this sound like you? Congratulations on reaching the right spot to ease your troubles!

You've earned for your home all your life, now let your home earn for you. The Gruha
Sanjeevani scheme is tailor-made for senior citizens to benefit from a regular monthly income
from the bank, against the mortgage of their home. This frees the retirees from the stress of
monthly mortgage payment. Senior citizens who want to be self-reliant and are in need of a
regularly income, can now provide for themselves with the help of the money which is lent to
them regularly through the scheme.

Additionally, the reverse mortgage scheme is also an ideal option for persons whose property
has become an illiquid asset.

Come benefit from the scheme with the guidance of our experienced personnel.

Eligibility

 The applicant person should be an Indian Citizen who is 60 years and above in age.
Spouse will be eligible as Co-borrowers for financial assistance

37
 Cosmo Krushi Market Finance

Agreeable for Agricultural customers

Are you from the Agricultural Sector? Come benefit from the Cosmo Krushi Market FInance.
We provide working capital finance for Wholesalers of Market Yard. Daily funding for
wholesalers is no more a hassle!

The agricultural sector is one of the most promising sectors of the Indian economy. We, at
Cosmos Bank, have thus taken into great consideration the importance of finance in this sector,
and that has resulted into the Krushi Market Finance scheme. It is a need-based overdraft loan,
and provides the daily funding to the borrowers.

Eligibility

 The applicant must be a gala holder and should be engaged in wholesale business of grocers,
vegetables & fruits with valid licenses

Cosmo Medical Loan Scheme

Medi loan for the Demi gods!

This scheme is especially for entrepreneurs in the medical fraternity. Whether its premises or
equipment or anything for your venture, we help you save lives. With a need based finance
option and no maximum limit on you loan, we are here to realize your dreams. Foreclosure
charge is just 1% and moratorium period of 6 to 12 months, as per your requirement.

Eligibility
 The applicant should become a regular member or nominal member of the Bank in
case of no membership.
 The applicant partner or director should hold a medical degree from a recognized
university.
 Individual / Partnership / Private Ltd Company takeover proposals from other banks
having standard Asset classification is required.

38
Loan Scheme for SHG/JLG

The roadmap to success for SHG/JLG

Sometimes all you need is a small credit to start making huge debits. For any productive /
income generating purpose as per credit policy SHG/JLG can avail this loan to start making
progress.

SHGs are small groups- formal or informal, of individuals promoting saving habit among
members. These savings are then lent by the group to the members for income generating
purpose, and to provide financial support to the member in need. This group has to maintain
proper accounts and records at all times, JLG is an informal group of individuals coming
together for the purpose of availing a bank loan either singly or through the group mechanism
against mutual guarantee in order to engage in similar type of economic activities.

Eligibility

 The applicant Group shall become a regular or nominal member of the Bank Lending
shall be done directly to SHG/ JLG and not through intermediaries

VENDOR FINANCE

The backdoor to Vendor success

Are you a vendor to a well-known OEM? Do you make 10 Cr business with them? Cosmos
Vendor Finance is your go to scheme. With reasonable ROI; quickest disbursement and easy
processing, we are here to help you concentrate more on where it’s needed- your Business!

This loan is usually issued to individuals who are vendors for Original Equipment
Manufacturers (OEMs). The perk of this scheme is that there is no fixed loan limit, as it depends
upon the credit exposure of the individual who is the borrower. We provide our valued services
to customers at an affordable margin of 10%.

Eligibility

 The applicant should be a vendor of Original Equipment Manufacturer (OEM) or a well-

known/financially strong Public Limited or Pvt. Limited Company.

39
  This scheme is normally sanctioned to applicants having expected business of Rs.10
crores & above with the OEM Company.

 The vendor shall furnish a No Objection Certificate (NOC) from its Principal Banker in
favour of our Bank to sanction the said facility and the Principal Bank will not have any
charge on the Bill discounted with us.

Cosmo Small Business Loan Scheme

Ascend your business to new heights.

A Loan exclusively tailored for ambitious and budding Entrepreneurs; looking for financial aid
to start a new enterprise. Funding is a vital factor for any new business. At Cosmos, we want
to look at the materialization of your ideas and offer financial support. This loan gives you the
advantage to carry out manufacturing, production, and other business-related expenditures
without worrying about the money.

This scheme aims to provide financial support for small entrepreneurs' working capital needs.
The applicant should obtain an undertaking that the amount will be invested in the company's
working capital needs.

Cosmos guarantees you a genuine and efficient service with all our schemes. So, dream big
and avail the loan facility at any branch near you.

Eligibility

 The applicant shall be engaged in Trading/ manufacturing / Service Industries activity

with valid licenses.

 The applicant can be Proprietary concern, Partnership, Firm/LLP/Pvt. Ltd/ Ltd. Co. etc.

40
RESEARCH OBJECTIVES, METHODOLOGY AND LIMITATIONS

A research objective describes, in a few words, the result of the research project after its
implementation. It answers the question, “What does the researcher want or hope to achieve at
the end of the research project.” The research objective provides direction to the performance
of the study.

OBJECTIVES

 To analyse functions of online banking

 To highlight on security problems
 To analyse the present E banking scenario
 To examine the impact of internet banking on customer satisfaction by analysing the
problems faced by them.

Like all things in life, internet banking also has a few disadvantages:

 No Cashless Deposit Option

There is no provision for cash deposits. You must visit your nearest bank branch or
cash deposit machine to deposit money.
 Internet Requirement

Your access to Internet banking services can be hindered in the absence of a stable
internet connection. It can also be affected when bank servers are down.
 Internet Fraud

You could become a victim of internet fraud if you do not comply with the security
measures prescribed by the bank, such as not setting strong passwords, sharing
passwords, or not logging out from your internet banking account.

 RESEARCH METHODOLOGY

The research design is descriptive in nature. Secondary data sources have been tapped
efficiently and effectively. This study typically takes the form study of secondary data
available on Retail system. To understand and conclude the major factors contributing
towards the growth of retail industry & the baking operations. we have gone through a

41
number of reports and papers. This has the advantages of providing very rich information
and avoiding the influence of others on the opinion of any one individual.

FEATURES OF ONLINE BANKING:

A) A Bank customer can perform non transactional tasks through online banking,
including

1. View account balance

2. Viewing recent transactions

3. Downloading bank statements

4. Viewing images of paid cheques

5. Ordering cheque books

6. Downloading periodic account statement

7. Downloading applications for M-banking, E-banking, etc

B) Bank customer can transact banking task through online banking, including,

1. Funds transfer between the customers linked accounts.

2. Paying third parties

3. Investment purchase or sale

4. Loan application and transaction

5. Credit card applications

6. Register utility billers and make bill payments

7. Financial institutions administration

8. Management of multiple users having varying levels of authority

9. Transaction approval process.

42
DATA COLLECTION AND ANALYSIS

COSMOS BANK SERVICES

ANYWHERE BANKING

Anytime Anywhere at your service!

Are you always on wheels?

Then you’d surely benefit from our Anywhere Banking facility. Open an account in your city
of residence and start banking across the country. A host of facilities like ATMs, Instant Fund
Transfer, ECS, Multi City Cheque Book facility, NEFT, E-pay taxes that can be accessed from
anywhere across the country.

What is Anywhere Banking?

Anywhere Banking is a convenient banking system which allows you to access customer
facilities of your bank from anywhere across the nation. It is a secure and speedy way of making
transfers away from home. This makes the feature especially important for users who move
frequently.

SPECIAL FEATURES

Multi City Cheque book - perform transactions at ease in multiple cities throughout the country.

Instant Fund Transfer - Transfer funds instantly to any branch near you.

Easy ATM access - We are increasing the number of ATMs for your convenience.

DEMAT ACCOUNT

Demat is all that matters for your shares!

Go the Demat way to secure your shares! DEMAT Means Dematerialization of Shares. I.e. it
is the process by which your physical share certificates are converted to equivalent number of
securities in electronic form and are credited to your DEMAT account.

DEMAT account is the account in which securities (shares/units/bonds etc.) are kept in
electronic form and related transactions are performed through the account.

43
Shares in DEMAT are safer as compared to physical or paper form from risk of theft, loss in
handling, bad delivery, etc. The account also reduces transaction costs and helps with easy
and smooth working.

SPECIAL FEATURES

Security - Your funds are safer when they are not in the material form.

Easy Procedure - application procedure is void of lengthy documents or long processing.

Speedy service - benefit from our speedy guided service throughout the procedure.

SAFE DEPOSIT VAULTS (LOCKERS)

It is an ancillary service offered by the Bank which gives our customers a completely secured
facility for safekeeping valuable items, confidential documents and other valuables against
from any unfortunate incident.

SPECIAL FEATURES

The Bank is having safe deposit locker facility available at most of the branches across 7 states.

Locker branches are equipped with security features & specially built strong rooms.

Availability of lockers in various sizes.

Nomination facility available.

You can visit & access your locker on all working days during banking hours.

ANNEXURE

 CHEQUE CLEARING
The clearing process begins with the deposit of a cheque in a bank. The cheque
(along with other cheques) is delivered to the bank/branch where it is drawn. The
cheque is passed for payment if the funds are available.
The cheques that are unpaid are returned to the presenting bank through another
clearing called the Return Clearing. The realization of the funds occurs after the
completion of return clearing and by the absence of an unpaid cheque.

44
 Cheques Clearing Cycle:
Following steps are to be taken during clearance of cheque:
 Step 1st:
The customer
 Step 2nd:
The PRESENTING BANK where cheques are presented by payee for deposit in his /
her a/c.
 Step 3rd: The RCC:
Regional collecting centre- to collect all cheques from their presenting branch.
 Step 4th:
Clearing House:
To collect cheques from RCC and for settlement of cheques.
 Step 5th: Drawee’s RCC:
Again, they collect cheques from the clearing house and send to their drawee bank.
 Step 6th: Drawee Bank:
It collects cheques from their RCC and debits the customer a/c.
 Settlement of Funds:
The settlement of funds in clearing occurs at several levels. The aggregate amount or
value of cheques presented by a bank on other banks represents the claim by that bank
on other banks. All the banks on every other bank in the clearing make similar claims.
A net settlement is arrived at the clearinghouse and the debit or credit position of the
bank is determined. These are booked in their current accounts maintained by the
settling bank. This represents the inter- bank settlement. The settlement of funds
between the service branch and the branch concerned represents the transfer of funds
to the branch level.
The payment process is completed only when the funds are debited from the drawer’s
account and credited to the payee’s account. This occurs after the completion of the
return clearing mentioned.
 Return Clearing:
The cheques returned by drawee Branch for any reason to Service Branch are returned
to presenting Bank as unpaid cheques. The aggregate of all items unpaid is debited to
the original presenting bank and credited to the drawee bank. The same process is

45
 mirrored in the inter- branch settlement at the service branch of a bank. The credit given
to the payee on account of the cheque is reversed.
 How Cheque Comes Again to Customer:
There are various reasons which are responsible for unpaid of cheques.
 What is the Time Taken for this Clearing Process?
Generally, if a cheque is to be paid within the same city (local cheque), it would take
2-3 days.

CHEQUE CLEARING PROCESS: -

The clearing process begins with the deposit of a cheque in a bank. The cheque (along with
other cheques) is delivered to the bank/branch where it is drawn.

46
QUESTIONNARE
 How often do u use internet per day?
A) 1HR
B) 2HRS
C) MORE THAN 3 HRS

INTERPRETATION: 75% of people use internet more than 3 hours a day. Most of the
people rely on internet these days.

 Do u avail banking facilities online?

A) YES
B) NO

INTERPRETATION: 93.8% people uses internet banking facility as they feel it is convenient
and time saving.

47
How much do u spend for a single online transaction?
A) 0-1000
B) 1000-5000
C) 5000-10000
D) ABOVE 10000

INTERPRETATION: 43% people spend 1000 to 5000 rs for single online transaction.
31% people spends below 1000 for online transaction as they feel online transaction
of higher amount can be riskier.

 Why do u avail for online banking?

A) Privacy,
E) 24*7 business hrs,
F) Convenience,
G) Easy to use

48
INTERPRETATION: Most of the people avail for online banking because it is convenient as
others feel that it gives you privacy. Some of them think we can operate for 24*7 while some
of them think its easy to use.

 Are u aware of the security threats and frauds in online banking?

H) YES
I) NO

INTERPRETATION: More percentage of people are aware of the security threats nowadays.
While few of them are still unaware due to lack of knowledge or awareness.

 Do u think online banking is better substitute of traditional banking system?

J) YES
K) NO

49
INTERPRETATION: 75% Of people think online banking is the better substitute of
traditional banking while 25% are still not sure if online banking is actually a better substitute
or not.

 Rating of online banking

L) Excellent,
M) Good,
N) Average,
O) Poor

INTERPRETATION: 43% of people think online banking is excellent while some think its
good or average. According to my survey no one has rated online banking as Poor.

 Are you familiar with the methods of secured online transactions?

P) YES
Q) NO

50
INTERPRETATION: Maximum people nowadays are aware about the secured online
methods of transactions.

 Which factor do u think is responsible for non-accessibility of online banking by

majority of people?
R) Lack of knowledge
S) Less Internet connection
T) Lack of awareness

INTERPRETATION: According to the survey 43% of people are unaware about the online
banking service so it’s the main thing which is responsible for non accessibility of online
banking .

51
DATA COLLECTION:

PRIMARY SOURCE: The study is based on both primary and secondary data. For the
purpose of study primary data have been collected from the employees and customers of
cosmos bank through phone calls, social network and direct contact from them.

SECONDARY SOURCE: The secondary data have been collected from different articles and
websites resources. We have used simple pictures, tables and graphs to analysis and present
the data. Apart from this I followed my supervisors’ instructions to finish the project.
Sampling methodology: The primary data have been collected through a survey with a pre
tasted structured questionnaire on a sample of randomly selected people who are connected to
cosmos bank in which some are college students, business persons, service holders, working
women and some people who belong to 20 to 60 age group. 70% of those people uses online
banking and the data collected from those people are used to analysis the trend of net banking.

OVERVIEW OF THE STUDY

FINDINGS: I have research that the internet is becoming increasingly important channel for
the bank to provide banking services to both individual customers and businessman.
I found that internet banking would almost certainly become major full-fledged distribution
channel of banking services and products in India within the next 3 years.
Evidence suggests that those who are banking with larger bank are more likely to adopt internet
banking.
I even found that internet banking is going to develop much faster than most people imagine
and with the revolution, new financial system will evolve in many ways and even more secure
than we have today.
It was interesting to analyse what made the people opt for internet banking services provided
by the banks. 60% of the respondents were driven by convenience that internet banking offered,
while 12% of them opted for online banking services because it saved a lot of time and money,
complementing this result was that another 8% of the population had opted net banking as they
found it was much cashier to maintain account through the internet. It was even noted that
respondents access their bank account from their workplace also (use office PC) during free

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time so, 14% of the surveyed population were convinced that internet banking was highly safe
and secure and sometimes even safer than the traditional modes of banking and remaining 60%
respondents found an internet banking service effective and simple to use.
The features considered important by those who have not yet opened an internet bank account
said that security of the security of the transaction would be a very important factor, which
might lead them to open an account. Either feature considered important would-be convenience
and having a variety of features and services.

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 CONCLUSION

The banking scenario requires banks to be proactive and adopt a range of measures to shape
their futures Anticipate and prepare for regulatory change. The number of internet users and
the developing technology paved the super highway to internet banking, The comfort and the
security play a vital role in switching from the traditional banking system to modern 24/7 net
banking
I can conclude that there have been a lot I’ve learnt from my work at COSMOS Bank. I got
the opportunity to learn the procedure of opening Saving account and Current account. To
check new account opening forms. How interact with the customer, how to resolve their
queries, issuing them new cheque books, new account openers welcome kit, ATM card,
Passbook printing, Importance of signature verification, Filling of loan forms, Challan
counting.
This internship has been an excellent and rewarding experience. All the information I got
over there is so much useful and important and the practical experience of handling the
customer and the work.

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 BIBLIOGRAPHY

[1] www.cosmosbank.com

[2] www.wikipedia.org

[3] www.efinancemanagement.com

[4] THE COSMOS CO-OPERATIVE BANK

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