A

PROJECT REPORT

ON

“A STUDY ON CONSUMER AWARENESS ABOUT E-BANKING SYSTEM”

AT

“HDFC BANK LTD, MALEGAON”

SUBMITTED TO

THE SAVITRIBAI PHULE PUNE UNIVERSITY

TOWARDS PARTIAL FULFILLMENT OF REQUIREMENT FOR MASTER’S

DEGREE IN BUSINESS ADMINISTRATION

SUBMITTED BY

MR. ASHISH VIJAY SHINDE

GUIDED BY

PROF. P.B SURYANSHI

KARMAVEER BHAUSAHEB HIRAY INSTITUTE OF MANAGEMENT & RESEARCH

MALEGAON

2019-2020

1
 ACKNOWLEDGEMENT

It gives me great pleasure to present this Summer Internship Program Report on “A

Study On Consumer Awareness About E-Banking System” At “HDFC BANK LTD,
MALEGAON” towards partial fulfillment of Marketing course in K.B.H. institute of

Management & Research, Malegaon. I am very much great full to Director & my
Project Guide Prof. P.B Suryavanshi & Smt. Padmavati Suganoor for their valuable
guidance, constructive criticism, just and critical observation during the research
work without his support I could not see my work to completion.
I am highly thankful to Marketing Manager of HDFC BANK LTD. Malegaon
for a give me permission to work with their Company.

Date: Ashish Shinde

Place:-

2
 STUDENT DECLARATION

I, Ashish Shinde hereby declare that the project entitled “A Study On Consumer
Awareness About E-Banking System” At “HDFC BANK LTD, MALEGAON”
carried out at is a genuine and original work of the partial fulfillment of Master in
Business Administration to Savitribai Phule University. To the best of my
knowledge, any part of this context has not been submitted earlier for any degree or
Certificate examination. The collected data and certificate are true.

Further I undertake that I will be solely responsible for anything arise out of unfair

mean.

Date: Ashish Shinde

Place:

3
 INDEX

CHAPTER PAGE NO
TITLE
NO.

1 Executive Summary

2 Introduction

3 Objectives of Study

4 Scope of Study

5 Company Profile

6 Research Methodology

7 Review of Literature

8 Data Analysis and Interpretation

9 Contribution to the Company

Annexure

 Reference
 Questionnaire

4
 CHAPTER 1

EXECUTIVE SUMMARY

5
 EXECUTIVE SUMMARY

E-banking is fast becoming a norm in the developed world, and is being implemented by
many banks in developing economies around the globe. The main reason behind this success is
the numerous benefits it can provide, both to the banks and to customers of financial services.
For banks, it can provide a cost effective way of conducting business and enriching relationship
with customers by offering superior services, and innovative products which may be customized
to individual needs. For customers it can provide a greater choice in terms of the channels they
can use to conduct their business, and convenience in terms of when and where they can use e-
banking.
Over the last decade India has been one of the fastest adopters of information technology,
particularly because of its capability to provide software solution to organizations around the
world. This capability has provided a tremendous impetuous to the domestic banking industry in
India to deploy the latest in technology, particularly in the Internet banking and e-commerce
areas. Technology is playing a major role in increasing the efficiency, courtesy and speed of
customer service. An Online Banking user is expected to perform transactions online such as
Checking account balance and transaction history, Paying bills, Transferring funds between
accounts, Requesting credit card advances, ordering checks, Managing investments and stocks
trading.

From a bank’s perspective, using the Internet is more efficient than using
other distribution mediums because banks are looking for an increased customer base. Moreover
Internet delivery offers customized service to suit the needs and the likes of each user. Mass
customization happens effectively through Online Banking. It reduces cost and replaces time
spent on routine errands with spending time on business errands. Online Banking means less
staff members, smaller infrastructure demands, compared with other banking channels. From the
customers’ perspective, Online Banking provides a convenient and effective way to manage
finances that is easily accessible 24 hours a day, seven days a week. In addition information is up
to date. Nevertheless Online Banking has disadvantages for banks like how to work the
technology, set-up cost, legal issues, and lack of personal contact with customers. And for
customers there are security and privacy issues.

6
 CHAPTER 2

INTRODUCTION

1.1 INTRODCTION
7
BANKING:

The word "BANK" is derived from a Latin word 'Bancus' or 'Banque', which means a bench. In
the early days the European moneylenders and moneychangers used to sit on the benches and
exhibit coins of different countries in big heaps for the purpose of changing and lending money,:

As per Banking Regulation Act 1949 Section 5(b)

"Banking means, accepting for the purpose of lending or investment, of deposits of money from
the public, repayable on demand or otherwise, and withdrawal by cheque, draft, or otherwise."

The banking industry is and always has been one of the most important aspects of all
industries. The reason being, every other industry needs banks to take part in any investments or
financial movements as a way to better their position in their industries.   The industry analysis
will look at how and why the banking industry has been able to hold this position for so long
through the Competitive Landscape.

Banking in India has a long and elaborate history of more than 200 years. The beginning
of this industry can be traced back to 1786, when the country’s first bank, Bank of Bengal, was
established. But the industry changed rapidly and drastically, after the nationalization of banks in
1969. As a result, the public sector banks began experiencing numerous positive changes and
enormous growth. Then came much-talked-about liberalization and economic reforms that
allowed banks to explore new business opportunities and not just remain constrained to
generating revenues from mere borrowing and lending. This provided the Indian banking
scenario a remarkable facelift that only continues to get better with time. However, even
today, despite the foray of foreign banks in the country, nationalized banks continue to be
biggest lenders in the country. This is primarily due to the size of the banks and the penetration
of the networks.

8
1.2 INDIAN BANKING SCENARIO

The Banking industry comprises of segments that provide financial assistance and
advisory services to its customers by means of varied functions such as commercial
banking, wholesale banking, personal banking, internet banking, mobile banking, credit unions,
investment banking and the like.

With years, banks are also adding services to their customers. The Indian banking
industry is passing through a phase of customers market. The customers have more choices in
choosing their banks. A competition has been established within the banks operating in India.

With stiff competition and advancement of technology, the services provided by banks
have become more easy and convenient. The past days are witness to an hour wait before
withdrawing cash from accounts or a cheque from north of the country being cleared in one
month in the south..

Bank of Hindustan, set up in 1870, was the earliest Indian Bank . Banking in India on
modern lines started with the establishment of three presidency banks under Presidency Bank's
act 1876 i.e. Bank of Calcutta, Bank of Bombay and Bank of Madras.

The commercial banking structure in India consists of: Scheduled Commercial Banks &

Unscheduled Banks. Banking Regulation Act of India, 1949 defines Banking as "accepting, for
the purpose of lending or investment of deposits of money from the public, repayable on demand
and withdrawal by cheques, draft, order or otherwise."

The arrival of foreign and private banks with their superior state-of-the-art technology-
based services pushed Indian Banks also to follow suit by going in for the latest technologies so
as to meet the threat of competition and retain customer base.

The evolution of IT services outsourcing in the Indian banks has presently moved on to
the level of Facilities Management (FM). Banks now looking at business process management
(BPM) to increase returns on investment, improve customer relationship management (CRM)
and employee productivity. For, these entities sustaining long-term customer relationship
management (CRM) has become a challenge with almost everyone in the market with similar
products.

9
1.3 CHANGES IN THE STRUCTURE OF BANKS
The financial sector reforms ushered in the year 1991 have been well calibrated and
timed to ensure a smooth transition of the system from a highly regulated regime to a market
economy. The first phase of reforms focused on modification in the policy framework,
improvement in financial health through introduction of various prudential norms and creation of
a competitive environment. The second phase of reforms started in the latter half of 90s, targeted
strengthening the foundation of banking system, streamlining procedures, upgrading technology
and human resources development and further structural changes. The financial sector reforms
carried out so far have made the balance sheets of banks look healthier and helped them move
towards achieving global benchmarks in terms of prudential norms and best practices.

Technology is expected to be the main facilitator of change in the financial sector.

Implementation of technology solutions involves huge capital outlay. Besides the heavy
investment costs, technology applications also have a high degree of obsolescence. Banks will
need to look for ways to optimize resources for technology applications. In this regard, global
partnerships on technology and skills sharing may help.

The pressure on capital structure is expected to trigger a phase of consolidation in the

banking industry. Banks could achieve consolidation through different ways. Mergers between
public sector banks or public sector banks and private banks could be the next logical thing /
development to happen as market players tend to consolidate their position to remain in
competition.

Public Sector Banks had, in the past, relied on Government support for capital
augmentation. However, with the Government making a conscious decision to reduce it’s
holding in Banks, most Banks have approached the capital market for raising resources. It is
expected that pressures of market forces would be the determining factor for the consolidation in
the structure of these banks. If the process of consolidation through mergers and acquisitions
momentum, that could see the emergence of a few large Indian banks with international
character. There could be some large national banks and several local level banks.

10
 1.4 ROLE OF THE RESERVE BANK IN THE BANKING SECTOR

The Reserve Bank of India, being the central bank of the country, has numerous
monetary and financial functions to overlook. Even in a liberalized country such as the United
States, the Federal Reserve has similar functions to perform. This implies that the market
mechanism should not be given the sole rein to runs the banking industry and setting the market
rates. The functions of the Reserve Bank which have a direct bearing on the banking sector are:

1. Financial Supervision-
This aspect of the Reserve Bank is under the aegis of a Board for Financial Supervision
(BFS). The objective of the BFS is: “to undertake consolidated supervision of the financial sector
comprising commercial banks, financial institutions and non-banking finance companies.” The
functions that come under the above mentioned objectives are: 

a. Restructuring of the system of bank inspections.

b. Introduction of off-site surveillance.
c. Strengthening of the role of statutory auditors and
d. Strengthening of the internal defenses of supervised institutions.
Thus, the BFS does such acts as the supervising financial institutions, consolidated
accounting, looking at legal issues in bank frauds, providing assessments of non-performing
assets and maintaining a supervisory rating model for banks. 

2. Monetary Authority-
The Reserve Bank is the monetary authority of the country. This implies that the Reserve
Bank formulates implements and monitors the monetary policy of the country. The various
monetary policies involves the availability of liquidity in the economy the amount of money
supply to the economy), and setting the interest rates in the country. These rates include the
Statutory Liquidity Ratio (SLR), the Cash Reserve Ratio (CRR) and the Cash Adequacy Ratio
(CAR) among others. By this function, the Reserve Bank maintains price stability in the
economy and ensures that cash flow to various (important) sectors is maintained. In relation to
the banking industry, the setting of interest rates is of utmost importance. This limit prescribes
the conduct of the banks in the economy. It also acts as an entry barrier to the sector.

11
3. Regulator of the Banking System –
Being the regulator of the banking, the Reserve Bank “prescribes a set of broad
parameters from within which the country’s banking and banking and financial system
functions". The specific aims of financial regulation are usually:

a) To enforce applicable laws.

b) To prosecute cases of market misconduct, such as insider trading.
c) To license providers of financial services.
d) To protect clients, and investigate complaints.
e) To maintain confidence in the financial system.
It is evident from these points that the Reserve Bank does have an amount of control over
the functioning and the conduct of the banks in the sector. The Reserve Bank and SEBI
(Securities and Exchange Bureau of India) thus can even force banks to withdraw from the sector
in the case of occurrence of unfair practices.

4. Banker to the banks –

The Reserve Bank acts as the banker to the various banks in the country and maintains
banking accounts to all the scheduled banks in the country.

12
Table 1.1 BANKS IN INDIA

Public sector banks Private sector banks Foreign banks

Allahabad Bank Bank of Punjab Ltd. ABN-AMRO Bank N.V
Andhra Bank Centurion Bank Ltd. Abu Dhabi Commercial
Bank of Baroda Development Credit Bank Bank Ltd
Bank of India Ltd. American Express Bank
Bank of Maharashtra HDFC Bank Ltd. Ltd.
Canara Bank ICICI Bank Ltd. BNP Paribas
Central Bank of India IndusInd Bank Ltd. Citibank N.A
Corporation Bank Kotak Mahindra Bank Ltd. DBS Bank Ltd
Dena Bank UTI Bank Ltd. HSBC Ltd.
Indian Bank Yes Bank Ltd Standard Chartered Bank
Indian Overseas Bank Bank of Rajasthan Ltd.
Oriental Bank of Commerce Dhanalakshmi Bank Ltd.
Punjab and Sind Bank Federal Bank Ltd
Punjab National Bank ING Vysya Bank Ltd.
Syndicate Bank Jammu and Kashmir Bank
UCO Bank Ltd.
Union Bank of India Karnataka Bank Ltd
United Bank of India Karur Vysya Bank Ltd
Vijaya Bank Ratnakar Bank Ltd
IDBI Bank SBI
Commercial and
International Bank Ltd
South Indian Bank Ltd
United Western Bank Ltd

13
Table 1.2 Financial positions of Public Sector Banks in India

Bank Name Last % Gross Net Block CWIP Total Assets

Price Chg Block
SBI 301.3 0.35 38,508.94 38,508.94 688.63 3,046,499.14
PNB 67.85 1.88 0 0 0 651,795.99
Bank of Baroda 104 0.78 6,990.30 6,990.30 0 633,993.82
Canara Bank 231.55 1.18 8,410.23 8,410.23 0 570,558.91
Bank of India 69.65 1.02 8,920.04 8,920.04 0 483,764.84
Union Bank 65.55 1 3,718.72 3,718.72 43.57 417,968.35
Syndicate Bank 32.1 2.07 2,562.94 2,562.94 9.44 274,982.70
Central Bank 17.4 2.05 4,310.24 4,310.24 0 269,657.91
Indian Bank 199.55 5.08 3,960.64 3,960.64 0.76 243,752.40
IDBI Bank 28.1 0 7,763.37 7,763.37 467.61 238,080.71
Oriental Bank 65.05 1.4 2,555.10 2,555.10 34.17 234,898.33
Allahabad Bank 37.15 1.23 3,537.97 3,537.97 0.29 219,581.89
Andhra Bank 20.15 0.75 1,558.08 1,558.08 0 217,286.68
IOB 10.7 0.38 2,893.43 2,893.43 0 195,393.95
Corporation Bank 20.85 -0.95 1,421.74 1,421.74 0.11 178,601.36
UCO Bank 16.3 1.56 2,814.30 2,814.30 8.01 177,505.28
Bank of 12.3 0.16 1,775.53 1,775.53 0 136,141.96
Maharashtra
United Bank 9.59 1.27 1,234.07 1,234.07 5.99 126,327.17
Punjab & Sind 23.55 5.13 1,230.38 1,230.38 0 94,569.81
Bank

14
Table 1.3 Financial positions of Private Sector Banks in India
Bank Name Last % Gross Net CWIP Total Assets
Price Chg Block Block
HDFC Bank 1,199.00 2.55 4,431.92 4,431.92 0 1,530,511.26
ICICI Bank 395.95 1.29 8,410.29 8,410.29 0 1,098,365.15
Axis Bank 472.25 2.05 3,838.59 3,838.59 474.31 915,164.82
Kotak Mahindra 1,336.55 2.1 1,623.13 1,623.13 0 360,251.68
IndusInd Bank 608.05 1.65 1,742.11 1,742.11 78.01 307,057.55
Yes Bank 12.68 0.4 715.72 715.72 293.36 257,826.92
Federal Bank 52.25 0.97 455.4 455.4 24.58 180,638.05
IDFC First Bank 30.65 2 964.66 964.66 73.07 149,200.40
JK Bank 14.59 0.34 2,035.70 2,035.70 34.82 108,872.10
South Ind Bk 6.67 -1.48 775.81 775.81 24.24 97,032.90
Bandhan Bank 312.85 3.01 368.77 368.77 0 91,717.80
Karnataka Bank 43.05 1.65 826.42 826.42 0 83,313.49
RBL Bank 172 2.93 407.67 407.67 62.09 88,977.77
Karur Vysya 30.65 2.51 563.47 563.47 23.16 68,278.17
City Union Bank 143.75 1.63 245.16 245.16 0 49,733.53
AU Small Financ 729 0.54 438.26 438.26 9.74 84,286.14
DCB Bank 76.85 0.59 545.87 545.87 0 38,505.14
Lakshmi Vilas 17.85 0.28 458.99 458.99 4.43 24,421.52
CSB Bank 232.75 2.33 228.27 228.27 0 18,864.24
Ujjivan Small 31 0 279.87 279.87 20.61 18,411.23
Dhanlaxmi Bank 11.86 0.08 178.87 178.87 34.83 12,265.09

15
Table 1.4 Number of Branches and ATM’s of different banks in India

Semi -
Metro Urban Rural
Name of the Bank/ Entity Urban Total
Centres Centers Centres
Centres

Scheduled Commercial Banks

Public Sector Banks
Bank of Baroda 4264 3029 2821 2505 12619
Bank of India 957 2057 1578 1158 5750
Bank of Maharashtra 563 387 468 477 1895
Canara Bank 3155 3685 3884 2673 13397
Central Bank of India 653 652 1027 1297 3629
Indian Bank 1243 1298 1569 1069 5179
Indian Overseas Bank 723 689 969 686 3067
Punjab and Sind Bank 235 269 224 332 1060
Punjab National Bank 2797 3344 3148 4567 13856
UCO Bank 437 502 640 668 2247
Union Bank of India 4058 3237 3578 2364 13237
State Bank of India 10114 17866 19498 11104 58582
Total 29199 37015 39404 28900 134518
Private Sector Banks
Axis (UTI) Bank Ltd. 6054 5028 4406 1968 17456
Bandhan Bank 158 249 77 1 485
Catholic Syrian Bank Ltd. 52 92 150 10 304
City Union Bank Ltd 269 721 632 166 1788
DCB Bank Ltd 233 114 102 56 505
Dhanalaxmi Bank Ltd. 60 72 104 19 255
Federal Bank Limited 304 385 1152 113 1954
HDFC Bank Ltd. 6121 3607 3278 1091 14097
ICICI Bank Ltd. 9367 4263 2946 838 17414
IDBI Bank 1129 1243 902 406 3680
IDFC Bank Ltd 249 99 65 7 420
IndusInd Bank Ltd 1662 618 353 88 2721
Jammu & Kashmir Bank 42 494 388 435 1359
Karnataka Bank Ltd. 311 333 294 86 1024
Karur Vysya Bank Ltd 459 380 650 171 1660
Kotak Mahindra Bank Ltd 1704 441 276 95 2516
Lakshmi Vilas Bank Ltd. 310 251 339 71 971
Ratnakar Bank Ltd. 226 67 81 15 389
South Indian Bank Ltd 278 315 715 118 1426
Tamilnad Mercantile Bank Ltd. 229 259 613 221 1322
Yes Bank Ltd. 661 337 295 59 1352

16
Total 29878 19368 17818 6034 73098
Foreign Banks
CITI Bank 396 89 17 23 525
DBS Bank Ltd. 48 6 0 0 54
Deutsche Bank 20 12 0 0 32
HSBC 65 17 0 0 82
Standard Chartered Bank 165 42 1 0 208
Total 694 166 18 23 901
Payment Banks
Airtel Payments Bank 0 0 0 0 0
FINO Payments Bank 0 0 0 0 0
India Post Payments Bank 0 0 0 0 0
NSDL Payments Bank 0 0 0 0 0
Paytm Payments Bank 12 5 6 2 25
Total 12 5 6 2 25
Small Finance Banks
Au Small Finance Bank Limited 65 110 133 9 317
Capital Small Finance Bank
12 29 46 64 151
Limited
Fincare Small Finance Bank
47 44 19 0 110
Limited
Equitas Small Finance Bank
90 103 99 30 322
Limited
ESAF Small Finance Bank
27 43 109 45 224
Limited
Jana Small Finance Bank Limited 74 50 8 0 132
North East Small Finance Bank
0 0 0 0 0
Limited
Suryoday Small Finance Bank
12 4 0 10 26
Limited
Ujjivan Small Finance Bank
117 175 152 31 475
Limited
Utkarsh Small Finance Bank
80 58 30 10 178
Limited
Total 524 616 596 199 1935
Total (Banks) 60307 57170 57842 35158 210477
White Lable ATMs
Tata Communications Payment
1203 1065 2177 3807 8252
Solutions Ltd.
Hitachi Payment Services Pvt.
198 436 1442 1574 3650
Ltd.
Muthoot Finance Ltd 0 3 3 3 9
BTI Payments Pvt. Ltd 175 482 2511 3303 6471
Vakrangee Limited 146 382 1090 3020 4638

17
Riddhi Siddhi Bullions Limited 2 6 601 32 641
AGS Transact Technologies Ltd 11 8 42 68 129
Total (WLAs) 1735 2382 7866 11807 23790
Grand Total 62042 59552 65708 46965 234267

18
 CHAPTER 3

OBJECTIVE OF THE STUDY

19
 OBJECTIVES OF THE STUDY

• To study about the factors that affects the customer perception towards
E-banking service of HDFC BANK LTD.

• To know about the current and future prospects of E-Banking to the

customers.

• To find out the major problems faced by the customers while using e-
banking services.

20
 CHAPTER 3

SCOPE OF THE PROJECT

21
 SCOPE OF THE STUDY

• All the classes of the customers were taken into consideration.

• This study was covered E-Banking service sector.

• This is a realistic source directly collected from the customers of Bank.

• The emergence of E-Banking has enabled the banks to offer real-time

transactions and integrate all customers’ related functions. Indian Banks are
utilizing the new technology to provide better technology and convenient access
to its customers and India is thus poised to for a huge growth in the world of
electronic banking.

22
 CHAPTER 4

COMPANY PROFILE

23
HDFC BANK LTD.

The HDFC Bank was incorporated on August 1994 by the name of 'HDFC Bank Limited', with
its registered office in Mumbai, India. HDFC Bank commenced operations as a Scheduled
Commercial Bank in January 1995. The Housing Development Finance Corporation (HDFC)
was amongst the first to receive an 'in principle' approval from the Reserve Bank of India (RBI)
to set up a bank in the private sector, as part of the RBI's liberalization of the Indian Banking
Industry in 1994.
HDFC Bank is headquartered in Mumbai. The Bank at present has an enviable network of over
1416 branches spread over 550 cities across India. All branches are linked on an online real–time
basis. Customers in over 500 locations are also serviced through Telephone Banking. The Bank
also has a network of about over 3382 networked ATMs across these cities.
The promoter of the company HDFC was incepted in 1977 is India's premier housing finance
company and enjoys an impeccable track record in India as well as in international markets.
HDFC has developed significant expertise in retail mortgage loans to different market segments
and also has a large corporate client base for its housing related credit facilities. With its
experience in the financial markets, a strong market reputation, large shareholder base and
unique consumer franchise, HDFC was ideally positioned to promote a bank in the Indian
environment.
The shares are listed on the Bombay Stock Exchange Limited and The National Stock Exchange
of India Limited. The Bank's American Depository Shares ( ADS ) are listed on the New York
Stock Exchange (NYSE) under the symbol 'HDB' and the Bank's Global Depository Receipts
(GDRs) are listed on Luxembourg Stock Exchange.
On May 23, 2008, the amalgamation of Centurion Bank of Punjab with HDFC Bank was
formally approved by Reserve Bank of India to complete the statutory and regulatory approval
process. As per the scheme of amalgamation, shareholders of CBoP received 1 share of HDFC
Bank for every 29 shares of CBoP.
The merged entity now holds a strong deposit base of around Rs. 1,22,000 crore and net
advances of around Rs. 89,000 crore. The balance sheet size of the combined entity would be

24
over Rs. 1,63,000 crore. The amalgamation added significant value to HDFC Bank in terms of
increased branch network, geographic reach, and customer base, and a bigger pool of skilled
manpower.
In a milestone transaction in the Indian banking industry, Times Bank Limited (another new
private sector bank promoted by Bennett, Coleman & Co. / Times Group) was merged with
HDFC Bank Ltd., effective February 26, 2000. This was the first merger of two private banks in
the New Generation Private Sector Banks. As per the scheme of amalgamation approved by the
shareholders of both banks and the Reserve Bank of India, shareholders of Times Bank received
1 share of HDFC Bank for every 5.75 shares of Times Bank.
HDFC Bank offers a wide range of commercial and transactional banking services and treasury
products to wholesale and retail customers. The bank has three key business segments:
Wholesale Banking Services – The Bank's target market ranges from large, blue–chip
manufacturing companies in the Indian corporate to small & mid–sized corporates and agri–
based businesses.
Retail Banking Services – The objective of the Retail Bank is to provide its target market
customers a full range of financial products and banking services, giving the customer a one–
stop window for all his/her banking requirements.
Treasury – Within this business, the bank has three main product areas – Foreign Exchange and
Derivatives, Local Currency Money Market & Debt Securities, and Equities. The Treasury
business is responsible for managing the returns and market risk on this investment portfolio.
HDFC Securities (HSL) and HDB Financial Services (HDBFSL) are its subsidiaries.
Services offered by the company:

Personal Banking
 Accounts & Deposits
 Loans
 Cards
 Forex
 Investments & Insurance

25
NRI Banking
 Accounts & Deposits 
 Remittances 
 Investments & Insurance Loans  Payment Services 

Wholesale Banking
 Corporate 
 Small & Medium Enterprises 
 Financial Institutions & Trusts 
 Government Sector

Achievements/ Recognitions
HDFC Bank was the first bank in India to launch an International Debit Card in association with
VISA (VISA Electron) and issues the Mastercard Maestro debit card as well.

2013
IBA Banking Technology Awards 2012–13 – Best Technology Bank of the year – Winner
– Best Internet Bank – Winner
– Best Customer Management Initiative – Winner
– Best use of Mobility Technology in Banking

Business Standard - Mr Aditya Puri – Banker of the Year 2013

Business Today – KPMG Best Banks Survey 2013 - Best Bank 2013

Business India - Best Bank 2013

Global Finance Survey – World's Best Banks 2013 - Best Bank in India

Outlook Money Awards 2013 - Best Bank in Large Banks Category

IBA Innovation Awards - Most Innovative use of Technology

Dun & Bradstreet Polaris Financial Technology Banking Award 2013

26
– Best Private Sector Bank Technology Adoption

– Best Private Sector Bank Retail

– Overall Best Private Sector Bank

Institutional Investor

– Best Bank in Asia

– Mr. Aditya Puri – Best CEO

Forbes Asia

- Fab 50 Companies List for the 7th year

Sunday Standard Best Banker Awards

– Best Private Sector Bank: Large

– Safest Bank: Large

– Mr. Aditya Puri: Top Achiever

UTI Mutual Fund CNBC TV 18 Financial Advisory Awards 2012

- Best Performing Bank: Private

Asia Money 2013

- Best Domestic Bank in India

– Mr. Aditya Puri: Best Executive in India

MACCIA Awards 2013

Best in Financial Services: Bank Category

Dun & Bradstreet Corporate Awards 2012

- Best in Banking sector

27
 NDTV Profit Business Leadership Awards 2012

- Winner in the banking category

NASSCOM CNBC–TV18 IT Innovation Award

- Best IT Driven Innovation in Banking (COMMERCIAL)

The National Quality Excellence Awards

- Best Customer Service Result

FE Best Bank Awards

- Best Bank: New Private sector

- Best in Strength & Soundness

- Mr. Aditya Puri: Best Banker

Skock Financial Inclusion Awards 2013

- Organisation of the Year

2011
 Financial Express Best Bank Survey 2010–11 – Best in Strength and Soundness and 2nd Best
in the Private Sector
 CNBC TV18's Best Bank & Financial Institution Awards – Best Bank and Mr. Aditya Puri, for
outstanding finance professional
 Dun & Bradstreet Banking Awards 2011 – Best private sector bank – SME Financing
 ISACA 2011 award for IT Governance – Best practices in IT Governance and IT Security
 IBA Productivity Excellence Awards 2011 – New Channel Adopter (Private Sector)
 DSCI (Data Security Council of India) Excellence Awards 2011 – Security in bank
 FINANCE ASIA Country Awards 2011: India – Best bank, best cash management bank and
best trade finance bank
 Asian Banker – Strongest bank in Asia Pacific

28
 Bloomberg UTV's Financial Leadership Awards 2011 – Best bank
 IBA Banking Technology Awards 2010 – Technology bank of the year, best online bank, best
customer initiative, best use of business intelligence, best risk management system and runners
up – best financial inclusion
 IDC FIIA Awards 2011 – Excellence in customer experience
2010
 Outlook Money 2010 Awards – Best Bank
 Businessworld Best Bank Awards 2010 – Best Bank (Large)
 Teacher's Achievement Awards 2010 (Business) – Mr. Aditya Puri
 The Banker and PWM 2010 Global Private Banking Awards – Best Private Bank in India
 Economic Times Awards for Corporate Excellence 2010 – Business Leader of the Year – Mr.
Aditya Puri
 Forbes Asia – Fab 50 Companies – 5th year in a row
 NDTV Business Leadership Awards 2010 – Best private sector bank
 The Banker Magazine –  World's Top 1,000 Banks
 MIS Asia IT Excellence Award 2010 – BEST BOTTOM–LINE I.T. Category
 Dun & Bradstreet Banking Awards 2010 – Overall best bank, Best private sector bank, Best
private sector bank in SME Financing
 Institutional Investor Magazine Poll – HDFC Bank MD, Mr. Aditya Puri among ‘Asian
Captains of Finance 2010’
 IDRBT Technology 2009 Awards – IT Infrastructure, Use of IT within the Bank and Runners–
up – IT Governance (Large Banks)
 ACI Excellence Awards 2010 – Highly Commended – Asia Pacific HDFC Bank
 FE–EVI Green Business Leadership Award – Best performer in the banking category
 Celent's 2010 Banking Innovation Award – Model bank Award
 Avaya Global Connect 2010 – Customer Responsiveness Award – Banking & Financial
Services category
 Forbes Top 2000 Companies – HDFC Bank at 632nd position and among 130 global high
performers
 Financial Express – Ernst & Young Survey 2009–10 – Best new private sector bank, Best in
growth and Best in strength

29
 Asian Banker Excellence Awards 2010 – Best retail bank in India, Excellence in automobile
lending, Best M&A integration and technology implementation
 The Asset Triple A Awards – Best cash management bank in India
 Euromoney Private Banking and Wealth Management Poll 2010 – Best local bank in India
(second year in a row), Best private banking services overall (moved up from No. 2 last year)
 Financial Insights Innovation Awards 2010 – Innovation in branch operations – server
consolidation project
 Global Finance Award – Best trade finance provider in India for 2010
 2 Banking Technology Awards 2009 – Best risk management initiative and Best use of
business intelligence
 SPJIMR Marketing Impact Awards (SMIA) 2010
 Business Today Best Employer Survey – Listed in top 10 best employers in the country

2009
 Business Standard Best Banker Award – Mr. Aditya Puri, MD, HDFC Bank
 Fe Best Bank Awards 2009 – Best Innovator of the year award for  its MD Mr. Aditya Puri –
Second Best Private Bank in India – Best in Strength and Soundness Award
 Euromoney Awards 2009 –  'Best Bank in India'
 Economic Times Brand Equity & Nielsen Research annual survey 2009 –  Most Trusted Brand
– Runner Up
 Asia Money 2009 Awards  –  'Best Domestic Bank in India'
 IBA Banking Technology Awards 2009 – 'Best IT Governance Award – Runner up'
 Global Finance Award  – 'Best Trade Finance Bank in India for 2009
 IDRBT Banking Technology Excellence Award 2008 – 'Best IT Governance and Value
Delivery'
 Asian Banker Excellence in Retail Financial Services –  'Asian Banker Best Retail Bank in
India Award 2009 ' 

2008
 Finance Asia Country Awards for Achievement 2008 –  'Best Bank and Best Cash
Management Bank'

30
 CNN–IBN – 'Indian of the Year (Business)'
 Nasscom IT User Award 2008 –  'Best IT Adoption in the Banking Sector'
 Business India  – 'Best Bank 2008'
 Forbes Asia  – Fab 50 companies in Asia Pacific
 Asian Banker Excellence in Retail Financial Services –  Best Retail Bank 2008
 Asiamoney  – Best local Cash Management Bank Award voted by Corporates
 Microsoft & Indian Express Group  –  Security Strategist Award 2008
 World Trade Center Award of honour  – For outstanding contribution to international trade
services.
 Business Today–Monitor Group survey – One of India's 'Most Innovative Companies'
 Financial Express–Ernst & Young Award – Best Bank Award in the Private Sector category
 Global HR Excellence Awards – Asia Pacific HRM Congress: –  'Employer Brand of the Year
2007 –2008' Award – First Runner up, & many more
 Business Today – 'Best Bank' Award 

2007
 Dun & Bradstreet – American Express Corporate Best Bank Award 2007  – 'Corporate Best
Bank' Award
 The Bombay Stock Exchange and Nasscom Foundation's Business for Social Responsibility
Awards 2007 – 'Best Corporate Social Responsibility Practice' Award 
 Outlook Money & NDTV Profit –  Best Bank Award in the Private sector category.
 The Asian Banker Excellence in Retail Financial Services Awards  – Best Retail Bank in India
 Asian Banker –  Its Managing Director Aditya Puri wins the Leadership Achievement Award
for India  

31
Independent Auditor's Report
HDFC Bank Limited
Report on the Standalone Financial Statements

We have audited the accompanying standalone financial statements of HDFC BANK

LIMITED (“the Bank”), which comprise the Balance Sheet as at 31st March, 2016, the
Statement of Profit and Loss and the Cash Flow Statement for the year then ended, and a
summary of the significant accounting policies and other explanatory information.

Management’s Responsibility for the Standalone Financial Statements

The Bank’s Board of Directors is responsible for the matters stated in Section 134(5) of the
Companies Act, 2013 (“the Act”) with respect to the preparation of these standalone financial
statements that give a true and fair view of the financial position, financial performance and cash
flows of the Bank in accordance with the provisions of Section 29 of the Banking Regulation
Act, 1949, accounting principles generally accepted in India, including the Accounting Standards
prescribed under Section 133 of the Act, in so far as applicable to banks, and the guidelines
issued by the Reserve Bank of India.

This responsibility also includes maintenance of adequate accounting records in accordance with
the provisions of the Act, for safeguarding the assets of the Bank and for preventing and
detecting frauds and other irregularities; selection and application of appropriate accounting
policies; making judgements and estimates that are reasonable and prudent; and design,
implementation and maintenance of adequate internal financial controls, that were operating
effectively for ensuring the accuracy and completeness of the accounting records, relevant to the
preparation and presentation of the financial statements that give a true and fair view and are free
from material misstatement, whether due to fraud or error.

Auditor’s Responsibility
Our responsibility is to express an opinion on these standalone financial statements based
on our audit.

32
We have taken into account the provisions of the Act, the accounting and auditing standards and
matters which are required to be included in the audit report under the provisions of the Act and
the Rules made thereunder.
We conducted our audit of the standalone financial statements in accordance with the
Standards on Auditing specified under Section 143(10) of the Act. Those Standards require that
we comply with ethical requirements and plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and
the disclosures in the financial statements. The procedures selected depend on the auditor’s
judgement, including the assessment of the risks of material misstatement of the financial
statements, whether due to fraud or error. In making those risk assessments, the auditor considers
internal financial control relevant to the Bank’s preparation of the financial statements that give a
true and fair view in order to design audit procedures that are appropriate in the circumstances.
An audit also includes evaluating the appropriateness of the accounting policies used and the
reasonableness of the accounting estimates made by the Bank’s Directors, and evaluating the
overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to
provide a basis for our audit opinion on the standalone financial statements.

Opinion
In our opinion and to the best of our information and according to the explanations given
to us, the aforesaid standalone financial statements give the information required by the Banking
Regulation Act, 1949 and the Act in the manner so required and give a true and fair view in
conformity with the accounting principles generally accepted in India, of the state of affairs of
the Bank as at 31st March, 2016, and its profit and its cash flows for the year ended on that date.

Report on Other Legal and Regulatory Requirements

1. As required by Section 143(3) of the Act and Section 30 of the Banking Regulation Act, 1949,
we report that:
a) We have sought and obtained all the information and explanations which to the best of our
knowledge and belief were necessary for the purposes of our audit.

33
b) In our opinion, the transactions of the Bank which have come to our notice have been within
the powers of the Bank.
c) As explained in paragraph 2 below, the financial accounting systems of the Bank are
centralized and, therefore, accounting returns are not required to be submitted by the Branches.
d) In our opinion, proper books of account as required by law have been kept by the Bank so far
as it appears from our examination of those books.
e) The Balance Sheet, the Statement of Profit and Loss, and the Cash Flow Statement dealt with
by this Report are in agreement with the books of account.
f) HDFC Bank Limited Annual Report 2015–16 66 f) In our opinion, the aforesaid standalone
financial statements comply with the Accounting Standards prescribed under Section 133 of the
Act, as applicable.
g) On the basis of the written representations received from the directors as on 31st March, 2016
taken on record by the Board of Directors, none of the directors is disqualified as on 31st March,
2016 from being appointed as a director in terms of Section 164 (2) of the Act.
h) With respect to the adequacy of the internal financial controls over financial reporting of the
Bank and the operating effectiveness of such controls, refer to our Report in “Annexure A”. Our
report expresses an unmodified opinion on the adequacy and operating effectiveness of the
Bank’s internal financial controls over financial reporting.
i) With respect to the other matters to be included in the Auditor’s Report in accordance with
Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our
information and according to the explanations given to us:
i. The Bank has disclosed the impact of pending litigations on its financial position in its
financial statements – Refer Schedule 17/C–17 and Schedule 18 Note 16(b) and Note 16(c) to
the financial statements;
ii. The Bank has made provision, as required under the applicable law or accounting standards,
for material foreseeable losses, if any, on long–term contracts including derivative contracts–
Refer Schedule 17/C 17 and Schedule 18 Note 16 to the financial statements;
iii. There has been no delay in transferring amounts, required to be transferred, to the Investor
Education and Protection Fund by the Bank.
2. We report that during the course of our audit we have performed select relevant procedures at
54 branches. Since the Bank considers its key operations to be automated, with the key

34
applications largely integrated to the core banking systems, it does not require its branches, to
submit any financial returns. Accordingly our audit is carried out centrally at the Head Office
and Central Processing Units based on the necessary records and data required for the purposes
of the audit and made available to us.

ANNEXURE “A” TO THE INDEPENDENT AUDITOR’S REPORT

(Referred to in paragraph 1.h under ‘Report on Other Legal and Regulatory

Requirements’ of our report of even date) Report on the Internal Financial Controls Over
Financial Reporting under Clause (i) of Sub–section 3 of Section 143 of the Companies Act,
2013 (“the Act”)

We have audited the internal financial controls over financial reporting of HDFC BANK
LIMITED (“the Bank”) as at 31st March, 2016 in conjunction with our audit of the standalone
financial statements of the Bank for the year ended on that date.

Management’s Responsibility for Internal Financial Controls

The Bank’s management is responsible for establishing and maintaining internal financial
controls based on the internal control over financial reporting criteria established by the Bank
considering the essential components of internal control stated in the Guidance Note on Audit of
Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered
Accountants of India. These responsibilities include the design, implementation and maintenance
of adequate internal financial controls that were operating effectively for ensuring the orderly
and efficient conduct of its business, including adherence to Bank’s policies, the safeguarding of
its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the
accounting records, and the timely preparation of reliable financial information, as required
under the Companies Act, 2013, the Banking Regulation Act, 1949 and the guidelines issued by
the Reserve Bank of India.

35
Auditor’s Responsibility

Our responsibility is to express an opinion on the Bank’s internal financial controls over
financial reporting based on our audit. We conducted our audit in accordance with the Guidance
Note on Audit of Internal Financial Controls Over Financial Reporting (the “Guidance Note”)
issued by the Institute of Chartered Accountants of India and the Standards on Auditing
prescribed under Section 143(10) of the Companies Act, 2013, to the extent applicable to an
audit of internal financial controls. Those Standards and the Guidance Note require that we
comply with ethical requirements and plan and perform the audit to obtain reasonable assurance
about whether adequate internal financial controls over financial reporting was established and
maintained and if such controls operated effectively in all material respects.
Our audit involves performing procedures to obtain audit evidence about the adequacy of the
internal financial controls system over financial reporting and their operating effectiveness. Our
audit of internal financial controls over financial reporting included obtaining an understanding
of internal financial controls over financial reporting, assessing the risk that a material weakness
exists, and testing and evaluating the design and operating effectiveness of internal control based
on the assessed risk. The procedures selected depend on the auditor’s judgement, including the
assessment of the risks of material misstatement of the financial statements, whether due to fraud
or error.
We believe that the audit evidence we have obtained is sufficient and appropriate to
provide a basis for our audit opinion on the Bank’s internal financial controls system over
financial reporting.

Meaning of Internal Financial Controls Over Financial Reporting

A company’s internal financial control over financial reporting is a process designed to
provide reasonable assurance regarding the reliability of financial reporting and the preparation
of financial statements for external purposes in accordance with generally accepted accounting
principles and other applicable regulations. A company’s internal financial control over financial
reporting includes those policies and procedures that (1) pertain to the maintenance of records
that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the
assets of the company; (2) provide reasonable assurance that transactions are recorded as

36
necessary to permit preparation of financial statements in accordance with generally accepted
accounting principles, and that receipts and expenditures of the company are being made only in
accordance with authorisations of management and directors of the company; and (3) provide
reasonable assurance regarding prevention or timely detection of unauthorised acquisition, use,
or disposition of the company’s assets that could have a material effect on the financial
statements.

Inherent Limitations of Internal Financial Controls Over Financial Reporting

Because of the inherent limitations of internal financial controls over financial reporting,
including the possibility of collusion or improper management override of controls, material
misstatements due to error or fraud may occur and not be detected. Also, projections of any
evaluation of the internal financial controls over financial reporting to future periods are subject
to the risk that the internal financial control over financial reporting may become inadequate
because of changes in conditions, or that the degree of compliance with the policies or
procedures may deteriorate.

Opinion
In our opinion, to the best of our information and according to the explanations given to
us, the Bank has, in all material respects, an adequate internal financial controls system over
financial reporting and such internal financial controls over financial reporting were operating
effectively as at 31st March, 2016, based on the internal control over financial reporting criteria
established by the Bank considering the essential components of internal control stated in the
Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the
Institute of Chartered Accountants of India.

37
 CHAPTER 6

RESEARCH METHODOLOGY

38
RESEARCH METHODOLOGY

6.1 TYPE OF RESEARCH

This study is EXPLORATORY and DESCRIPTIVE in nature. It helps in breaking vague

problem into smaller and precise problem and emphasizes on discovering of new ideas and
insights. Exploratory research was conducted during the initial stage of the research process
which helped to refine the problem into researchable one. It has progressively narrowed the
scope of research topic.

6.2 RESEARCH DESIGN:

Research design constitutes the blue print for the collection, measurement and analysis of data.
The present study seeks to identify the extent of preferences of E-Banking over traditional
banking among service class. The research design is exploratory in nature. The research has been
conducted with the customers of UBI, Mangalore. For the selection of the sample, convenient
sampling method was adopted and an attempt has been made to include all the age groups and
gender within the service class.

6.3 SOURCES OF DATA: Following are the methods of sources of data:

6.4 SECONDARY DATA:

•Articles on E-Banking taken from journals, magazines.

•Through internet.

6.5 PRIMARY DATA:

Questionnaire was used to collect primary data from respondents. The questionnaire was
structured type and contained questions relating to different dimensions of e-banking preferences
among service class such as level of usage, factors influencing the usage of e-banking services,
benefits accruing to the users of e-banking services, problems encountered. An attempt was also

39
made to elicit reasons for its non-usage. The questions included in the questionnaire were open-
ended, dichotomous and offering multiple choices.

6.6 SAMPLING UNIT:

It defines the target population that will be sampled i.e. it answers who is to be surveyed. In this
study, the sampling unit is the Customers of HDFC ,Malegaon .

6.7 SAMPLING SIZE:

It indicates the numbers of people to be surveyed. Though large samples give more reliable
results than small samples but due to constraint of time, the sample size was restricted to 40
respondents. The respondents belong to different income group and profession.

6.8 METHOD OF DATA COLLECTION:

The survey method is used to collect the data from Union Bank of India, Hampanakatta Branch,
Mangalore, visited for the purpose of collection of data.

6.9 RESEARCH INSTRUMENT:

The instrument used for gathering data was questionnaire. To get further insight in to the
research problem, interview regarding their buying practices too was made. This was done to
crosscheck the authenticity of the data provided. To supplement the primary data and to facilitate
the process of drawing inference, secondary data was collected from published sources like
magazines, journals, newspapers etc.

6.10 TOOLS AND TECHNIQUES OF ANALYSIS:

The data so collected will be analyzed through the application of statistical techniques, such as
bar graphs and pie charts.

40
 CHAPTER 7

REVIEW OF LITERATURE

41
REVIEW OF LITERATURE

A new review by Tower group of 10 top US e- banking web sites evaluated several aspects of
core online banking components. Group found that there is difference in terms of actual
functionality and usability among different banks and their services.

The UK's first home online banking services were set up by the Nottingham Building Society
(NBS) in 1983 ("History of the Nottingham". Retrieved on 2007-12-14.). The system used was
based on the UK's Prestel system and used a computer, such as the BBC Micro, or keyboard
(Tan data Td1400) connected to the telephone system and television set. The system (known as
'Home link') allowed on-line viewing of statements, bank transfers and bill payments. In order to
make bank transfers and bill payments, a written instruction giving details of the intended
recipient had to be sent to the NBS who set the details up on the Home link system.

An American study conducted last year by Booz-Allen projects that by the year 2000, 16 million
US households will be using Internet banking. While these numbers do not appear to be
significant as compared to the total population, each Internet user is projected to be 50-250%
more profitable than the average banking customer. It is expected that these Internet customers
will be some of the banking system's most profitable customers representing close to 30% of all
retail banking profits. The study projects that by 1999, 1,500 banks will have Internet Web sites
and at least 500 of these banks will be offering full-fledged Internet banking services.

In 2001 Micro banker send detailed questionnaire to the leading vendors of internet banking
software27 companies responded with information on thirty programs the aggregate outcome of
the outcome was that almost all the companies have developed functions for internet banking and
have inbuilt feature to aid with one to one marketing on the web.

42
HDFC BANK E-BANKING

Net Banking is HDFC Bank's Internet Banking service. Providing up-to-the-second

account information, Net Banking lets you manage your account from the comfort of
your mouse - anytime, anywhere.

 You can access hdfcbank.com only by using your User ID and Password. During the
first login attempt, it is mandatory to change password suing your ATM/Debit card
& set Security Message & login and transaction – which would have been mailed to
you by the bank.
 If you forget your password, you will have written to us using the "Email Us" option.
The Bank will then issue a new password and send it to your mailing address as per
our records. Kindly check with your branch that this address is updated.
 Make sure no one can see the account login name or password you are entering
when you log on to hdfcbank.com.
 Logout of hdfcank.com before moving on to other Websites.
 Before leaving the PC please "close" the browser.
 Do not write your hdfcbank.com login name or password anywhere.
 Do not leave your login name and password such that someone sitting at your
computer could see them.
 Never reveal your hdfcbank.com login name and password to anyone (no
representative of HDFC Bank will ever ask you for your hdfcbank.com password).
 Notify HDFC Bank immediately if you notice any unusual account activity.
 Keep all documents that include your account information in a secure location.
 When you login you can view the date and time of your last log in.

43
FEATURES OFFERED BY HDFC BANK FOR E-BANKING.

 View account balances and statements

 Transfer funds between accounts
 Request stop payments
 Pay bills
 Create fixed deposit online
 Order cheque books
 UPI

UNIFIED PAYMENTS INTERFACE

Unified Payments Interface (UPI) is an instant real-time payment system developed

by National Payments Corporation of India facilitating inter-bank transactions. The interface is
regulated by the Reserve Bank of India and works by instantly transferring funds between two
bank accounts on a mobile platform. As of March 2019 there are 142 banks live on UPI with a
monthly volume of 799.54 million transactions and a value of ₹1.334
trillion (US$19 billion) UPI witnessed 1,029.44 cr transactions until August 2019. The mobile-
only payment system helped transact a total of ₹17.29 lakh cr (US$240 billion) during the 37
months of operation starting from 2016.

SERVICE

Unified Payments Interface is a real time interbank payment system that allows sending or
requesting money. Any UPI client app may be used and multiple bank accounts may be linked to
single app. Money can be sent or requested with the following methods:

 Virtual Payment Address (VPA) or UPI ID: Send or request money from/to bank account
mapped using VPA.
 Mobile number: Send or request money from/to the bank account mapped using mobile
number.
 Account number & IFSC: Send money to the bank account.
 Aadhaar: Send money to the bank account mapped using Aadhaar number.
 QR code: Send money by QR code which has enclosed VPA, Account number and IFSC or
Mobile number.

44
USE OF E-BANKING IN INDIA FROM LAST FEW YEARS

Year 2012 2013 2014 2015 2016 2017 2018 2019

Incr.% 17 24 38 43 55 59 65 70

INCREASE OF E-BANKING 2012-2019

80%

70%

60%

50%

INCREASE OF E-BANKING
40%

30%

20%

10%

0%
2012 2013 2014 2015 2016 2017 2018 2019

FINDINGS

In 2012-2019 the user of the E-banking is increase in more in every year, also due to introducing
UPI methods it is much easier and convenient for users to do e-banking transactions.

45
 CHAPTER 8

DATA ANALYSIS & DATA

INTERPRETATION

46
DATA ANALYSIS AND INTERPRETATION

1. Respondents based on gender.

Particulars Number of Respondents Percentage

Male 59 73%
Female 12 15%
Other 10 13%
Total 80 100

GENDER WISE RESPONDENTS

10%
15%

MALE
FEMALE
OTHER

73%

INTERPRETATION
The result shows that majority of respondents i.e. 73% are males, 15% are females & 13% have
been listed in other category.

47
2. Age wise mapping of respondents.

Particulars Number of Respondents Percentage

< 20 years 8 10%
20-30 years 54 67.50%
31-40 years 16 20%
> 50 years 2 2.50%
Total 80 100

RESPONDENTS AGE WISE

80%

70% 67.50%

60%

50%
Respondents Age wise
40%

30%
20.00%
20%
10.00%
10%
2.50%
0%
< 20 years 20-30 years 31-40 years > 50 years

INTERPRETATION

From the above data we can analyze that majority of the respondents are aged between 20-30
years.

48
3. Marital status of respondents.

Particulars Number of Respondents Percentage

Single 24 30%
Married 56 70%
Total 80 100

MARITAL STATUS OF RESPONDENTS

30%

SINGLE
MARRIED

70%

INTERPRETATION

From the above data we can analyze that most of the respondents are married.

49
4. Educational Qualification of Respondents.

Particulars Number of Respondents Percentage

Below SSC 12 15%
SSC 16 20%
HSC 24 30%
Diploma 4 5%
Graduation 14 18%
Post-
6 8%
Graduation
Doctorate
4 5%
Level
Total 80 100%

EDUCATIONAL QUALIFICATION OF RESPONDENTS

8% 15%
5%
BELOW SSC
18% SSC
HSC
20% DIPLOMA
GRADUATION
POST-GRADUATION
DOCTORATE LEVEL

5%
30%

The result shows that majority of respondents i.e. 65% are falling in between the range of HSC
to Doctorate-Level, and 35% are under the of Below SSC to SSC.

50
5. Occupation of Respondents

Particulars Number of Respondents Percentage

Student 4 5%
Job Holder 44 55%
Business 24 30%
House Maker 4 5%
Other 4 5%
Total 80 100

OCCUPATION OF RESPONDENTS

5%
5% 5%

STUDENT
JOB HOLDER
30% BUSINESS
HOUSEMAKER
OTHER

55%

INTERPRETATION

The result shows that majority of respondents i.e. 55% are Job Holders.

51
6. Type of Account of Respondents.

Particulars Number of Respondents Percentage

Savings A/c 60 75%
Current A/c 16 20%
NRI A/c 4 5%
Total 80 100

TYPE OF ACCOUNT OF RESPONDENTS

20% 5%

SAVIINGS ACCOUNT
CURRENT ACCOUNT
NRI ACCOUNT

75%

INTERPRETATION

From the above analysis we can analyze that majority of the respondents are having Savings
Account in HDFC BANK and only few number of respondents are holding NRI Account

52
7. How long respondents are associated with HDFC Bank.

Particulars Number of Respondents Percentage

< 1 year 10 12.50%
1-5 years 58 72.50%
6-10 years 10 12.50%
> 10 years 2 2.50%
Total 80 100

RESPONDENTS ASSOCIATION YEARS

80.00%

70.00%

60.00%

50.00%
RESPONDENTS ASSOCIATION
40.00% SINCE YEARS
72.50%
30.00%

20.00%

10.00%
12.50% 12.50%
0.00% 2.50%
< 1 year 1-5 years 6-10 years > 10 years

INTERPRETATION

The result shows that majority of respondents i.e. 72.5% of the respondents are associated with
HDFC Bank from 1-5 years.

53
8. Type of E-Banking services respondents are aware of:

Particulars Number of Respondents Percentage

ATM 40 50.0%
Internet Banking 14 17.5%
Mobile Banking 26 32.5%
Total 80 100

AWARENESS ABOUT E-BANKING SERVICES

32.50%

50.00% ATM
INTERNET BANKING
MOBILE BANKING

17.50%

INTERPRETATION

The result shows that majority of respondents i.e. 50% of the respondents accesses ATM
Services, while remaining 50% of the respondents use other e-banking services.

54
9. Awareness of E-Banking Services.

Particulars Number of Respondents Percentage

YES 76 95.0%
NO 4 5.0%
Total 80 100

E-BANKING AWARENESS

5%

YES
NO

95%

INTERPRETATION

The above results say that majority of the respondents are aware of the E- Banking services
offered by HDFC Bank.

55
10. Convenience of accessing E-Banking Services.

Particulars Number of Respondents Percentage

Easy 36 45.0%
Normal 42 52.5%
Difficult 2 2.5%
Total 80 100

CONVENIENCE OF E-BANKING
2.50%

45.00%
EASY
NORMAL
DIFFICULT
52.50%

INTERPRETATION

The above results state that majority of the respondents find normal while accessing E- Banking
services.

56
11. How frequently respondents use E-Banking Services.

Particulars Number of Respondents Percentage

Once in a day 14 17.50%
Once in a week 40 50.00%
Once in a fortnight 14 17.50%
Once in a month 6 7.50%
Infrequently 6 7.50%
Total 80 100

FREQUENCY OF E-BANKING USAGE

7.50%
7.50% 17.50%

Once in a day
17.50% Once in a week
Once in a fortnight
Once in a month
Infrequently

50.00%

INTERPRETATION

The above result shows that majority of the respondents access E- Banking services once in a
week.

57
12. Which Factors Influence Most to use E-banking.

Particulars Number of Respondents Percentage

24/7 AVAILABILITY 40 50.00%
EASE OF USE 24 30.00%
NEARNESS 14 17.50%
DIRECT ACCESS 2 2.50%
Total 80 100

REASON FOR E-BANKING USAGE

3%
18%

24/7 AVAILABILITY
EASE OF USE
50%
NEARNESS
DIRECT ACCESS

30%

INTERPRETATION

From the above data we can observe that half of the respondents, i.e. 50% of the respondents
uses E-banking Services because of the 24/7 availability of the E-Banking services, 30% of the
respondents use uses E-banking services because of ease of use and remaining 20% of the
respondents use E-banking services for nearness and direct access.

58
13. Describing benefits of using E-Banking.

Particulars Number of Respondents Percentage

Time saving 34 42.50%
Inexpensive 16 20.00%
Easy Processing 30 37.50%
Total 80 100

BENEFITS OF E-BANKING

37.50%
42.50%

Time saving
Inexpensive
Easy Processing

20.00%

INTERPRETATION

From the above data we can observe that majority of the respondents, ie , 42.5% of the
respondents benefits time saving while accessing E-banking services while the others benefits
inexpensive and easy processing in accessing.

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14. Describing how convenient does respondent feel while using ATM.

Particulars Number of Respondents Percentage

Easy 40 50.00%
Normal 40 50.00%
Total 80 100

ATM SERVICE

50% 50% EASY

NORMAL

INTERPRETATION

From the above data we can analyze that, respondents does not feel any difficulty while using
ATM.

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15. Type of cards used by respondents over ATM Machine.

Particulars Number of Respondents Percentage

CREDIT CARD 40 50.00%
DEBIT CARD 40 50.00%
Total 80 100

USAGE OF CARDS AT ATM

50% 50% CREDIT CARD

DEBIT CARD

INTERPRETATION

The above result shows that types of ATM card used by the respondents are equal.

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16. Awareness of Mobile banking Services.

Particulars Number of Respondents Percentage

YES 56 70.0%
NO 24 30.0%
Total 80 100

AWARENESS OF MOBILE BANKING

30%

YES
NO

70%

INTERPRETATION
From the above result we can obtain that majority of the respondents are aware of the Mobile
Banking services offered by HDFC Bank

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1 7 . Describing Type of service liked by respondents in Mobile-Banking

Particulars Number of respondents Percentage

Account Balance Enquiry 14 17.50%
Credit/Debit Alerts 28 35.50%
Transactions History 28 35.50%
Mini Statement 8 10.00%
Minimum Balance Alert 2 2.50%
Total 80 100

SERVICES LIKED IN MOBILE-BANKING

10
.0
0 2.50%
%
17.50%
Account Balance Enquiry
Credit/Debit Alerts
Transactions History
Mini Statement
35.50% Minimum Balance Alert

35.50%

INTERPRETATION

The above result shows that majority of the respondents use Mobile banking services for
Account Balance enquiry and Credit/ Debit Alerts.

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18. Describing satisfactory level of Complaints regarding E-Banking services.

Particulars Number of Respondents Percentage

Highly Satisfactory 20 25%
Satisfactory 44 55%
Neutral 16 20%
Total 80 100

LEVEL OF SATISFACTION IN E-BANKING

20% 25%

Highly Satisfactory
Satisfactory
Neutral

55%

INTERPRETATION

The above result shows that the respondents are satisfied with the complaints regarding E-
banking services.

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 CHAPTER 9
CONTRIBUTION TO THE COMPANY

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 FINDINGS OF THE STUDY
.From this study we can observe that majority of the respondents, ie, 42.5% of the respondents’
benefits time saving while accessing E-banking services.
 E-banking constitutes services provided in terms of ATMs, Debit Card, Credit Card, Phone
Banking, Mobile Banking, Internet Banking etc, of which the first six have been covered.
Amongst these ATM scores the largest used service status (75%), while mobile banking lags
behind by scoring the least ie.,7.5%, and Internet Banking with17.5%.
 To find out the level of usage amongst the service class, percentage has been calculated from the
total completely filled in questionnaires and the incomplete questionnaires were discarded. The
frequency of usage of ATM is highest followed by debit card.
 A study of the factors, influencing the usage was made by listing out various factors such as all-
time availability, ease of use, nearness etc., and amongst the various factors all time availability
is ranked as the major motivating factor, followed by ease of use, direct access, nearness in
decreasing order of importance.
 When asked to list various benefits accruing from the usage of e-banking, timesaving received
highest percentage score at 42.5% among different benefits such as , inexpensive (20%), easy
processing (37.5%), easy processing feature scored more than the inexpensiveness of the e-
banking services. The other benefit securing to the people include ready availability of funds,
removal of middle men and no rude customer relation executives.
 Among the users, various problems that are encountered while using e-banking services. Card
misuse and its misplace are major reasons that create hurdles in its usage, while time
consumption, accounting mistakes such as amount debited but not withdrawn and change of
mobile number seem to be the least bothering problems.
 From the non-users, an attempt was made to elicit the reasons for its non-usage. Satisfaction
with traditional banking was considered as prime de-motivating factor, followed closely by the
fear of insecurity, then ‘hidden cost’ factor, which suggested their resistance to change, which to
some extent can be countered by aggressive advertisement and utilizing other modes of
awareness dissemination as well.

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 SUGGESTIONS

 Aligning roles and value propositions with the customer segments.

 Acquiring new capabilities through strategic alliances. The above can be implemented in four
steps.
 Familiarizing the customer to new environment by demo version of software on bank's web site.
This should contain tour through the features which are to be included. It will enable users to
give suggestions for improvements, which can be incorporated in later versions wherever
feasible.
 To provide services such as account information and balances, statement of account, transaction
tracking, mailbox, check book issue, stop payment, financial and customized information.
 To include additional services such as fund transfers, standing instructions, opening fixed
deposits, intimation of loss of ATM cards.
 We can see the time is changing and we the passage of time people are accepting technology
there is still a lot of perceptual blocking which hampers the growth it’s the normal tendency of a
human not to have changes work on the old track, that’s also one of the reason for the slow
acceptance of internet banking accounts.
 Give proper training to customers for using E-banking
 Create a trust in mind of customers towards security of their accounts
 Provide a platform from where the customers can access different accounts at single time
without extra charge.
 Make the sites more users friendly.
 Customers should be motivated to use E- banking facilities more.

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LIMITATIONS OF THE STUDY

Every research is conducted under some constraints and this research is not an exception.
Limitations of this study are as follows:

1. There were several time constraints.

2. The study is limited to areas of Malegaon only.

3. The sample size of only 40 was taken from the large population for the purpose of study, so
there can be difference between results of sample from total population.

4. The study is related customers only.

5. People were reluctant to go in to details because of their busy schedules

6. Merely asking questions and recording answers may not always elicit the actual information
sought.

7. Due to continuous change in environment, what is relevant today may be irrelevant tomorrow.

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 CONCLUSION

The usage of E-banking is all set to increase among the service class. The service class at
the moment is not using the services thoroughly due to various hurdling factors like in security
and fear of hidden costs etc. So banks should come forward with measures to reduce the
apprehensions of their customers through awareness campaigns and more meaningful
advertisements to make E-banking popular among all the age and income groups. Further, with
increasing consumer demands, banks have to constantly think of innovative customized services
to remain competitive. E-Banking is an innovative tool that is fast becoming a necessity. It is a
successful strategic weapon for banks to remain profitable in a volatile and competitive
marketplace of today. In future, the availability of technology to ensure safety and privacy of e-
transactions and the RBI guidelines on various aspects of internet banking will definitely help in
rapid growth of internet banking in India.

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ANNEXURE

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 REFERENCES
 Hand note on Problem-Centered Summer Internship Projects (SIP) and Business Consultancy
Projects (BCP): New Research Paradigms, Oswald A. J. Mascarenhas, S. J., Ph.D

 Jordon, Natarajan, “Banking Theory, Law and Practice”, Himalaya Publications, 19th Edition,
pp501-516

 Jayaragavan Itengar, “Introduction to Banking”, Excel Books, First Edition, New Delhi,
pp220-233

Websites:

1. http://www.hdfcbank.com
2. http://money.rediff.com
3. http://capitaline.com/
4. http://web.ebscohost.com/
5. http://www.moneycontrol.com/
6. https://www.ndtv.com/business/stock/hdfc-bank-ltd_hdfcbank/reports

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QUESTIONNAIRE

PERSONAL DETAILS
Please put a tick (_) in appropriate brackets.
Name:  _____________________________.

Gender: a)Male b)Female

Age: a)Below 20years b)20-30years c)31-40years

d)41-50 years e)Above 50 years

Educational Qualification :
a)SSC b) HSC c) Diploma

d) Graduation e) PG f) Others

Occupation:
a) Student b)Job holder c)Business
d)Pensioner e)House Maker f)Others

Income Level (monthly):

a) Below Rs 10,000 b)Rs. 10,000- Rs 20,000

c) Rs. 20,000- Rs. 30,000 d) Above Rs. 30,000

RESEARCH RELATED DATA

1) Which Type of Account do have in Union Bank Of India (UBI)?

a)Savings A/c b)Current A/c c)NRI account d) Demat account

2)For how long are you associated with the Union Bank?
a)Less than a year b)1 – 5 Years c)6 – 10 Years d)More than 10 years

3) Are you aware of Technology-banking services provided by the bank?

a) Yes               b)No (If No, answer question no. 19 directly)

4) If YES, which of the following Technology-banking services are you aware of?
a)ATM b)Internet Banking                     c)Mobile Banking                    
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 d) Credit Card e)ATM cum Debit Card

5) Are you availing Technology-banking services?

a)Yes                                         b)No

6) If YES, how convenient you find accessing Technology-banking?

a)Easy                                      b)Normal                                     c)Difficult

7)How long you had been using the following Technology-banking services?

ATM Internet Mobile Credit

Banking Banking Cards
a)Less than 6 months
b)6 months to 1 year
c)1 year to 2 year
d)2 years to 3 years
e) More than 3 years

8) How frequently do you use each of the following Technology-banking services?

Factors Once in a Once in a Once in a Once in a Infrequently

day. week. fortnight. month.
A Internet Banking
B Mobile Banking
C ATM
D Credit Card

9) Which of the following factors influence you the most to use Technology-banking services?
Factors Strongly Agree Neither Disagree Strongly
Agree Agree nor Disagree
Disagree
A All time Availability
B Ease of Use
C Nearness
D Security
E Direct Access
F Status Symbol

10)Which of the following benefits accrue to you, while using Technology-banking services?
  a)Time Saving b)Inexpensive

c)Easy Processing d)Easy Fund Transfer e)Others

11)How convenient you find while accessing transaction in ATM?
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 a)Easy                                       b)Normal                                     c)Difficult

12) What type of ATM Card do you have?

a)Credit Card b)Debit Card c)Others

13) How good is the ATM facility provided by the HDFC Bank ?

a) Much better than other banks. b) Good

c) Excellent c) Poor Service.

14) Are you aware of the Mobile Banking Services Provided by HDFC Bank?

a)Yes b)No

15 )If Yes, which of the following services do you like in Mobile- Banking?

a) Account Balance Enquiry b)Credit/Debit Alerts c)Bill Payment.

d)Transaction History e)Cheque Book Requests d)Min Balance Alerts

16) At what level, have your problems been often resolved in the bank, with regard to
following Technology-banking services?

Options Head Office Level Regional Office Branch Customer Problem

Level Level Care Level Not Solved
ATM
Internet Banking
Mobile Banking
Credit Cards
17) How satisfactory is the complaint/grievances settlement system of your bank with
regard to following Technology-banking services?

Options Highly Satisfactory Neutral Unsatisfactory Highly

Satisfactory Unsatisfactory
ATM
Internet Banking
Mobile Banking
Credit Cards

18) To what extent are you satisfied with your bank’s Technology-banking services?
a) Highly Satisfied                       b) Satisfied    c)Neutral

d)Dissatisfied                              e) Highly Dissatisfied

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19) Kindly rate the following reasons enlisted for not using the Technology-banking
services?
Factors Strongly Agree Neither Agree Disagree Strongly
Agree nor Disagree Disagree

A No need( Satisfied with

Traditional Banking)
B Don’t have time.
C No Access to
Internet/Mobile
D Concerned about security.
E Lack of Operational
knowledge
F Charge hidden Costs

Any other, please specify__________________________________________

20)  Rate the following statements with regards to potential problems identified in
Technology-Banking services?
Factors Strongly Agree Neither Agree Disagree Strongly
Agree nor Disagree Disagree
A Time Consuming
B Security Issue
C ATM out of order
D Amount debited but not withdrawn
E Internet Connectivity Issue
F Password forgotten
G Card misplaced / Misused

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