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Submitted By
Taniya Dutta
MBA- Finance

Under the guidance of

Industry Mentor : Faculty Mentor :

Mrs. Shelly Bhatia (Branch Manager) Dr. Meetali Moore
& (Professor)
Mr. Amit N. Kench (Bank Operation Head) RIIM -
The purpose of the study is divided into two parts:
Primary :
The main objective of the study is to
 Find out the tariff charges, percentage of funding, tenure of loan and other
charges charged by other banks in comparison to HDFC Bank.
 The aim of the study is to help HDFC to know where it lacks in Loans and how
far the performance of other banks is better, so that HDFC figure out the
common problems being faced by customers while dealing in the Loan
Department so that further HDFC can improves its services and schemes
offered by them to their customers.
Secondary :
The secondary objective of the study is to
 Find out the extent to which customer expectations match HDFC performance
in Loan services. This was done to help HDFC to recognize their faults in
customer dealing .As in this competitive world customer satisfaction is more
important than huge profits so customer satisfaction survey will help it in
finding out its position.
 The Housing Development Finance Corporation Limited (HDFC) was
incorporated in August 1994 with its registered office in Mumbai, India. HDFC
Bank commenced operations as a Scheduled Commercial Bank in January 1995.
 The reported profit of HDFC Bank – Rs.4601.4Cr. as on per quarter 1(2018-19).
The capital of the bank is Rs.650Cr. as on June 30,2018.
 MANAGEMENT-Mr.Jagdish Kapoor took over as the bank’s Chairman in July
2001. Mr.Aditya Puri, is the Managing Director.
 The bank has three key business areas: 1)Wholesale Banking Services(services
provided to organisations, large corporate clients) 2) Retail Banking
Services(services provided to general customers also known as customer banking)
3) Treasury Operations(Within this business, the bank has three main product areas
a) Foreign Exchange and Derivatives b)Local Currency Money Market & c) Debt
Securities and Equities)

 To study the loan policies of the Bank.
 To study the credit appraisal.
 To study the various types of loans and
 To study the documents required for loan
sanctioning procedure.
 Personal loan -A personal loan is a sum of money that a person borrows to
meet his financial needs and requirements.
The most common types of personal loans are:
 Secured Loans (loan that has been secured on the borrower's assets)
 Unsecured Loans(The borrower is not required to pledge any collateral, to
secure the loan)
 Online Personal Loans -Loans are offered online .
 Fast Cash Advance Loan (Sometimes, a person may be in need of a quick
payday loan, so that he could meet an unexpected money crisis like Car repair
and other unexpected bills )
 Military Personal Loans are for military servicemen.
 No Credit Personal Loans for borrowers with poor credit history.
 Second Chance Personal Loans for those individuals who run into unplanned
financial crisis, such as a sudden tragedy or any other financial contingency.
 Short Term Personal Loans -The rate of interest involved is usually high. This
is because the period of repayment is usually for a short time
In Case Of Salaried Employees:
ID proof - Pan card /driving license / employee I-card / voter ID / passport.
Residence proof - Electricity bill / telephone bill / water bill / ration card.
Latest 3Months Salary Slip with all deductions
Form no.16 for income tax return
Bank statement for the last six months
One photo self attested
In Case Self-employed:
ID proof- Pan card /driving license / employee I-card / voter ID / passport.
Residence proof- Electricity bill / telephone bill / water bill / ration card.
Financial statement of the business / profession along with copies of Individual
Tax Returns for the last three years certified by Chartered Accountant
Income tax return + computation not more than 2 years old.
Bank Statement not more than 6 months old.
Eligibility Salaried Self Employed/Business
Age 21 to 60 25 to 65

Rs.12,000 per month (net income)

Rs.15,000 per month in Delhi,
Monthly Income/Profit Mumbai, Chennai, Bangalore, Rs 1 Lakh per annum
Calcutta, Hyderabad, Ahmedabad,
Pune and Cochin.

2 years. Also tenure should be a

Minimum Work Experience minimum of 1 year with current 5 years at least in current business.

CIBIL Score 750+ 750+

Loan Amount 25 lakh 15 lakh

Documents collected from customer and sent to the credit agency

File sent for login at Credit Agency

File sent for Field Investigation (FI) for verification

Risk Intelligence & Control agency (RIC) checks the customer’s background

Credit Appraisal Memo (CAM) is prepared

File reaches the credit manager for approval or rejection

File again reaches bank for disbursal

Money given to customer

File finally reaches Mumbai (Head Office)

 Rate Of Interest- Fixed rate of interest as the name suggests, is the rate that
remains fixed throughout the tenure of the loan. The rate does not normally
change till the full repayment of the loan. Floating rate is the rate which moves
upward or downward depending upon the market forces.
 Processing fees: A Processing fees are stamp charges. It is charged on the loan
amount when the loan is sanctioned. It starts from 0.5 % and goes till 5%.
 Penalty: Penalty is also known as pre closure charges. If the repayment of the
loan is done before the tenure, then penalty charges are charged from the
customer of the outstanding loan.
 Tenure: Tenure is the duration of time the loan is taken.
 Funding: Funding means maximum percentage of loan to fund to the customer.
Generally a small amount of margin is kept with the bank, rest is given to the
 Charges for late payment of EMI: if the borrower does not pay the EMI at its
due date then he will charged with fines. This is generally according to the time
for which the payment is delayed.
Ranging between 14.75% to 20.70%
Other Personal Loan Details-
 Loan Amount – up to Rs 25 lakh (upto 15 lakh for self employed)
 Processing Fee – 2.5%
 Late Fee – 24% p.a
 Loan Tenure – upto 60 months
 Preclosure Condition – preclosure can be made after the payment of 12 EMIs
Preclosure Charges-
 13 – 24 months – 4% of the prepaid amount
 25 – 36 months – 3% of the prepaid amount
 Greater than 36 months – 2 % of prepaid amount
Why One Will Apply for HDFC Personal Loan?
 After 36 months you have to pay only 2% preclosure charges which is lower
than other banks.
 Zero Hidden Charges, Lowest Processing Fee, and Convenient Repayment
 Minimal paperwork and documentation.
Comparison of Personal Loan Interest Rates in India
Min. Interest Max Interest Processing Pre Closure
Rate Rate fee charge
SBI 11.85% 15.10% 2% – 3% 3%
ICICI 10.75% 20% 2.25% 5%
HDFC 14.75 20.70% 2.5% 2-4%
Kotak Bank 10.99% 24% 2.5% 5%
Axis Bank 15.50% 24% 1.5-2% Nil
Citi Bank 10.99% 17.99% 3% 4%
Bajaj Finserv 12.49% 16% 2.25-3% 4%
Bank of
11.60% 16.60% 2% Nil
SCB 10.99% 19% 3% 5%
Tata Capital 11.49% 19% 2% 4%
Research Design
 Method of research- Descriptive Research
 Type of research-Quantitative Research
 Data type- Primary and Secondary data
 Data sources- primary data (Questionnaire,Open and close ended questions,Interview)
 secondary data(Website of HDFC,Pamphlets & Brochures,Magazines,Articles & News
 Data Collection Tool- Statistical tools like pie charts & tables

Sampling Design
 SAMPLING TECHNIQUE-Non probability sampling, i.e., convenient sampling method was used to
select a sample of 100 customers among the customers of the HDFC Bank.
 SAMPLE SIZE-Sample size of 100 customers are taken from the Boat Club branch of HDFC Bank
 SAMPLING METHOD USED- Random sampling method was used to select a sample of 100 customers
among the customers of HDFC Bank.
 SCALE - Respondents were given a scale whose positions range from ‘Highly Satisfied´ to ‘Highly
 AREA OF SURVEY -The area selected to find the satisfactory level was in and around Boat club
Data analysis technique- Comparative Study Analysis
The study on customer satisfaction has the
geographical coverage limit to HDFC Bank Boat
Club Branch,Pune only. This study will help the
company to know in detail about the customer
perception and their attitude towards the personal
loan product and services. The company will gain
the feedback from the customer to improve its
products and quality of service.

20-30 22 22%

30-40 43 43%

40 and above 35 35%

Total 100 100%

 The above table shows that-
 22% of the respondents fall under the age group of 20 - 30 years,
 43% of the respondents fall under age group of 30 - 40 years and
 35% of the respondents belonging to age group of 40 and above years.
INFERENCE -Hence it clearly shows that he majority of the respondents fall under the
age group of 30 - 40 years i.e. 43%.

FEMALE 43 43%

MALE 57 57%

TOTAL 100 100%

ANALYSIS –The table shows that there are – 57% of male respondents ,43% of
female respondents.
INFERENCE- Thus the table clearly shows that the majority of the respondents are
male i.e. 57%.
ANALYSIS-The above table shows that there are no respondents who have a
monthly net take home salary of less than Rs 15,000; there are 23% of the
respondents who fall under Rs 15,000 - Rs 30,000 household income and 77% fall
under the more than Rs 30,000 net take home salary category.
INFERENCE -The table clearly shows that the majority of the respondents have
more than Rs 20,000 of monthly net take home salary that is 77%.
ANALYSIS -The above table relates that the 65% of the respondents think its
extremely important for the interest rate to be convenient, 20% of the respondents
think it is somewhat important, 15% of the respondents think its not so important
while none of them think its not at all important.
INFERENCE- It clearly shows that majority of the customers think that it is very
important i.e. 65%.
ANALYSIS –From the above table it can be analyzed that out of 100 respondents
10% are highly satisfied with the processing fees & time of the bank, 62% are
satisfied, 23% are neutral, 5% are dissatisfied and none are highly dissatisfied.
INFERENCE –Therefore, it can be inferred that almost 5% of the respondents are not
happy with the processing fees & time.This indicates that the customers are not
satisfied with the processing fees & time
 ANALYSIS – The table shows that according to 30% of the respondents it is very
important that the size of the EMI is appropriate, 45% of the respondents think it
is somewhat important, 20 % of the respondents said it is not so important while
5% of the respondents replied that it is not at all important.
 INFERENCE- Hence the table clearly shows that the majority of the respondents
think it is somewhat important for the EMI to be appropriate.
 1. Most of the customers of the bank are satisfied, but there is a minority of
customers who are still looking for improvement.

 2. The bank has strong customer relationship, whether it is customer service

or post sales service, HDFC Bank serves the customer well.

 3. When it comes to the processing fees & time , it shows mix response.
More customers would prefer a change in the. processing fees & time.

 4. The only drawback that HDFC bank has in compare to other banks is only
regarding the interest rates which is considered to be low in comparison to
other bank. While most of the banks charges high monthly installment for the
repayment of loan with compare to HDFC bank.

 5. So, we should enable customers to get personal loan easily and provide
variety of other banking scheme to the personal loan customer .
1. The processing time which is now 10 days , must be reduce to 9 days ,so more and more people can apply
for the urgent loan for unforeseen calamities

2. Scheduling regular promotional activities like company visit etc. to inform more and more people about
the loan facilities based on their salary i.e. Personal Loan´.

3. More number of scheme should be provided to the current salary holder customer with HDFC Bank with
different features .

4. Proper and general instruction about the product with latest changes and working provides to the
executive .

5. The interest rates made to be more liberal to customer to customer on the basis of their salary and
company profile .

6. The process of funding the loan needs to be more simple so that the customer can understand the
product according to their needs.

7. There should be more executive especially in big and crowded branches in the main part of the town.

8. Special schemes should be provided for small scale sector business employees as well new package of
offers and discounts should be provided for high network people.
Marketing Management- Philip Kotler
India Today
In-house journals
HDFC bank universe
. Internal reports
Presentation material


The Times of India
The Economic Times
Business Standard
1. Name ______________________________________

2. Age

o 20-30
o 30-40
o 40 <

3. Gender

o Male
o Female

4. Marital Status

o Married
o Single

5. Net Salary Level

o < Rs.15, 000

o Rs.15, 000-Rs 30, 000
o < Rs.30,000
6. How important is the Easy monthly Installment to you?

o Very important
o Somewhat important
o Not so important
o Not at all important

7. How important are the bank Interest Rates according to you?

o Very important
o Somewhat important
o Not so important
o Not at all important

8. What is your level of satisfaction with respect to the processing fees and time in
HDFC bank?
o Highly satisfied
o Satisfied
o Neutral Dissatisfied
o Highly dissatisfied