Training 2

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EXECUTIVE SUMMARY

³This project´ was a wonderful experience and a great opportunity to know real corporate

world. I got exposure to the real practical world of Finance and Banking and its

implementation in a Bank.

In KMBL, I got the opportunity to study about various system and methodology of Finance

and Bank. Also got the opportunity to evaluate practical knowledge of operation dept. and

sales dept. at KMBL for my primary data.

In brief I can define my PROJECT program as a complete guideline of my future as a finance

manager.



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OBJECTIVE OF STUDY

The basic purpose of the ³Training´ is to impart practical knowledge to the student. The

main purpose of the project at Kotak Mahindra Bank was to gain practical knowledge of sales

and operation department.

The reason behind the study is to acquire the practical knowledge of work of sales and

operation department. I studied and read in the book but it does not give the real vision of thescenario. So I used to deeply study this topic and make my effort on the Banking function.

So the objective was to have effective information and knowledge about Sales and Operation

department and I got more than my expectation at KMBL.



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INTRODUCTION OF BANKING IN INDIA

Banking in India has its origin as early as the Vedic period. The General Bank of India was

the first Joint Stock Bank to be established in the year 1786. In 1809, first Presidency bank

was set up by the name of Bank of Bengal, closely followed by Bank of Bombay (1840) and

Bank of Madras (1843). All the Presidency banks were merged into Imperial Bank in the year

1921. Imperial Bank was merged along with a few other banks and SBI was formed in 1955.

First Indian bank established in 1865 by European management, was named Allahabad Bank,

The first bank with Indian management was Punjab National Bank, which was established in

1895.

In 1935, RBI was set up under RBI Act which was nationalized in the year 1949.

On July 19, 1969, 14 major banks of the country were nationalized and in 15th April 1980 six

more commercial private sector banks were also taken over by the government. Today the

commercial banking system in India may be distinguished into:



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PUBLIC SECTOR BANKS

State Bank of India and its associate banks called the State Bank

group

20 nationalized banks

Regional Rural Banks mainly sponsored by Public Sector Banks

PRIVATE SECTOR BANKS

New generation private banks

Foreign banks in India

Old generation private banks

Scheduled Co-operative Banks

Non-scheduled Banks

CO-OPERATIVE SECTOR

The co-operative banking sector has

been developed in the country to the

supplement the village money lender.

The co-operative banking sector in

India is divided into 4 components



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State Co-operative Banks

Central Co-operative Banks

Primary Agriculture Credit Societies

Land Development Banks

Urban Co-operative Banks

Primary Agricultural Development Banks

Primary Land Development Banks

State Land Development Banks

DEVELOPMENT BANKS

Industrial Finance Corporation of India (IFCI)

Industrial Development Bank of India (IDBI)

Industrial Credit and Investment Corporation of India (ICICI)

Industrial Investment Bank of India (IIBI)

Small Industries Development Bank of India (SIDBI)

SCICI Ltd.

National Bank for Agriculture and Rural Development (NABARD)

Export Import Bank of India

National Housing Bank



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ABOUT KOTAK GROUP

The Kotak Mahindra group is a financial organization established in 1985 in India. It was

previously known as the Kotak Mahindra Finance Limited, a non-banking financial company.

In February 2003, Kotak Mahindra Finance Ltd, the group's flagship company was given the

license to carry on banking business by the Reserve Bank of India (RBI). Kotak Mahindra

Finance Ltd. is the first company in the Indian banking history to convert to a bank. Today it

has more than 20,000 employees and Rs. 10,000 crore in revenue.

This company was promoted by UdayKotak, Sidney A. A. Pinto and Kotak& Company. the

customer base of this group is more than 14 lakh.Industrialists Harish Mahindra and Anand

Mahindra took a stake in 1986, and that's when the company changed its name to Kotak

Mahindra Finance Limited.

It bought stressed assets from a number of banks, at full loan value of Rs 1,000 crore in

2005.In January 2011, the bank reported a 32% rise in net profit to Rs188 crore for the

quarter ended December 2010 against Rs. 142 crore the corresponding quarter last year.

Kotak Mahindra bank also reached the top 100 most trusted brands of India in The Brand

Trust Report published by Trust Research Advisory in 2011.



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KMBL PROFILE

Type Pr i te

Treated As B : 500247

NSE: KOTAK BANK

Industry Bank ing

Headquar ter Kotak Mahindra Bank Ltd.,

Nar i anBhavan,

Nar i an Point,

Mumbai, India

Key People Mr. K. M. Gherda,

Mr. dayKotak,

Dr. Shankar AacharyaProducts Deposit accounts, Loans, Investment services, Business bank ing

Solutions, Treasury and Fi ed income products.

R evenue 9,985.89 crore ( S$2.23 billion)(2010)

Net Income 1,327.36 crore ( S$296 million)(2010)

Website www.kotak.com



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SWOT Analysis of KMBL

Strength

Professional Management

Strong Technology

Well Capitalized

Comprehensive Cash Management System

Total Deposit Rs.15,645 crore

Net Advances Rs.16,625 crore

Weakness

Late Comers

Less Promotional Activities

Opportunity

Have best service and products compare to other banks

Threat

Capital Market Slow-down

Other Better Saving Facility By Other Competitor

Rising Rates

Government Rules And Regulations



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RESEARCH METHODOLOGY

The search for knowledge through objective and systematic method of finding solutions is a

research

SOURCES OF DATA

Data is collected from primary as well as secondary source. And profiles given by the bank &

thenrandomly members selected from total report given. For primary data customer were

personallyintervened and for secondary data. Annual report, journals, internet and personal interview

METHODOLOGY

DATA SOURCE

Primary data

The data that is collected first hand by someone specifically for the purpose of facilitating the studyis known

as primary data. So in this research the data is collected from respondents throughquestionnaire.

Secondary data:

For the company information I had used secondary data like brochures, web site of the

companyetc. The Method used by me is Survey Method.

RESEARCH INSTRUMENTS

Selected instrument for Data Collection for Survey is Questionnaire.

SCOPE OF THE STUDY



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Access the Market Potential of Kotak Mahindra Bank Saving Account with the help of a survey conducted

on a total of 30 Respondents (20-Kotak Mahindra Bank customers, 100Other Bankscustomers).

LIMITATIONS

The study could not be made that comprehensive due to time constraints. Some customers

feeluncomfortable to reveal some personal information relating to income, Privacy etc. it might

havehappened that some more essential information could have been collected.

Time constraint.

Biases and non-cooperation of the respondents.

Financial constraint.

Geographical selectivity in study limiting to Bhuj city only.

People are not interested in giving personal opinion.



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MEANING OF BANKING

Banking has come to occupy a pivotal position in a nation¶s economy. According to the

modern concept, banking is a business which not only deals with borrowings, lending and

remittance of funds, but also an important instrument for fostering economic growth.

The Banking Regulation Act 1949, defines the term banking as ³the accepting for the

purpose of lending or investment of deposits of money from the public or otherwise and

withdraw able by cheque, draft, order or otherwise.´ Thus, the essentials of banking are:

(1) There should be acceptance of deposited.

(2) Deposits should be from the public.

(3) Deposits should be repayable on demand or expiry of a term or after a specified periods.



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RETAIL BANKING AND PRODUCTS

Retail banking refers to banking in which banking institutions execute transactions directly

with consumers, rather than corporations or other banks. Services offered include: savings

and transactional accounts, mortgages, personal loans, debit cards, credit cards and so forth.

RETAIL BANKING PRODUCTS

DEPOSIT INVESTMENT

NRI SERVICE OTHER SERVICES

PRODUCT



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Kotak Mahindra Bank is one of the prominent subsidiaries of Kotak Mahindra Group. The

basic area of operation is the banking business, other products are meant for the regular

revenue generation. Being a banking house, the company is in regular touch with banking

accounts, investment services, convenience banking and other services.

BANKING ACCOUNTS

There are three types of banking account:

Savings Account

Current Account

Term Deposit

SAVINGS ACCOUNT

µChoose from our range of Savings Accounts

KOTAK MAHINDRA has got a variety of options of savings accounts to choose from for its customers

according to their convenience and requirements .These savings accounts offer attractive returns along with

personalized banking services at three convenient average quarterly balances (AQB) levels of Rs. 10000

(KOTAK EDGE SAVINGS ACCOU NT),Rs. 20000 (KOTAKPRO SAVINGS ACCOU NT) and at

Rs75000(KOTAK ACE SAVINGS ACCOU NT).The average quarterly balance levels as well the

corresponding services and benefits try to ensure the various customer needs and requirements. Thus the three

account opening options in savings account are as mentioned above:

EDGE SAVINGS ACCOUNT:

Kotak Mahindra Bank s Edge Savings Account is a complete financial package customized to suit individual

banking needs. Its constantendeavor is to enable regular financial transactions through online platform so that

most of payments can be made directly through your account or card.



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Features & Benefits

Wide ATM access through the Kotak Mahindra Bank Debit Card

One can walk into any KOTAK or HDFC Bank ATMs to withdraw cash or enquire balance at no extra

charge!

Multiple Access Channels Access

An account through phone, mobile phone or internet to get information about account balance or track

transactions. One can even transfer funds through Phone Banking or Net Banking.

Financial payments facilitated through the savings account

Use the free Payment Gateway to make online payments for utility bills, credit cards, online trading of shares

or even online shopping.

Quick and easy funds transfer

Quick funds transfer to a third party account with another Bank is available across 15 locations through Net

Banking. Also get a multi-city cheque book so that money from account is received by the beneficiary in the

fastest possible time.

Free investment account

One can open an investment account, and use the Net Banking facility to purchase/redeem mutual funds

online while directly debiting / crediting your Bank Account. Besides this you get a consolidated view of all

your mutual fund investments across schemes with updated returns status, latest NAV information and

research reports.

Attractive returns

Earn better returns in your savings account, with our 2-Way Sweep facility that automatically sweeps out idle



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funds, above a threshold, from your account into Term Deposits. These Term Deposits sweep back into your

account to meet fund requirements when your withdrawals exceed the balance available in your account,

thereby providing you maximum liquidity

PRO SAVINGS ACCOUNT:

Kotak Mahindra Bank s Pro Savings Account is an account packed with powerful features to provide a

superior banking experience at a very comfortable balance requirement. They provide a relationship manager

who will specifically take care of banking and investment needs.

Features & Benefits

Free ATM access all domestic VISA ATM network

Walk into any VISA ATM in India to check balance or withdraw cash absolutely free. no longer have to

worry about locating your Bank or Partner Bank ATM ± Use the first VISA ATM that youspot, for cash

withdrawal or balance enquiry transactions.

Multiple access channels Access

your account through phone, mobile phone or internet to get information on your account balance or track

your transactions. You can even transfer funds through Phone Banking or Net Banking.

Free investment account

One can open an investment account, and use the Net Banking facility to purchase/redeem mutualfunds onlinewhile directly debiting / crediting bank account. Besides this get a consolidated view of all the mutual fund

investments across schemes with updated returns status, latest NAVinformation and research reports.




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Use our free Payment Gateway to make online payments for utility bills, credit cards, online trading of shares

or even online shopping.


Quick funds transfer to a third party account with another Bank is available across 15 locations through Net

Banking. Also get a multi-city cheque book so that money from account is received by the beneficiary in the

fastest possible time

Attractive returns

Earn better returns in your savings account, with our 2-Way Sweep facility that automatically sweeps out idle

funds, above a threshold, from your account into Term Deposits. These Term Deposits sweep back into your

account to meet fund requirements when your withdrawals exceed the balance available in your account,

thereby providing you maximum liquidity.

Dedicated relationship manager

You get a one point contact for all your banking related queries and transactions. Your relationship manager

will also help you with financial planning and sound investment

Free banking transactions

You can issue demand drafts or send cheques for collection on branch locations without any charge to your

account.

ACE SAVINGS ACOUNT:

Kotak Mahindra Bank's Ace Savings Account has been designed as a gateway to a world of financial benefits

and privileged banking transactions. The account carries benefits ranging from personal investment advisory

services to concierge services to free banking transactions. One will find that this package of services and

privileges is unmatched by any other savings account in the market



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Features & Benefits

Free access at all domestic and international VISA ATMs

No longer have to worry about locating your Bank or Partner Bank ATM - Use the first VISA ATM

that you spot, for free cash withdrawal or balance enquiry transactions. So walk into any VISA ATM

in India or abroad to withdraw cash or for balance enquiry.

Multiple access channels Access

the account anytime through land line, mobile phone or internet to get information on account balance or track

transactions. One can even transfer funds through Phone Banking or Net Banking.


Use the free Kotak Payment Gateway to make online payments for utility bills, credit cards, online trading of

shares or even online shopping. All this at the click of a mouse!


Transfer funds easily and with speed, to a beneficiary account at another bank. One can avail of this facility by

walking into any of branches or by simple logging on to Net Banking. Also get a freemulti-city cheque book so that money from your account is transferred to the beneficiary's accountant any of branch locations, in the

fastest possible time.

Free banking transactions

One can issue demand drafts or send cheques for collection at all branches for no extra charge.

Attractive returns

Earn better returns in your savings account, with our 2-Way Sweep facility that automaticallysweeps out idle

funds, above a threshold, from your account into Term Deposits. These TermDeposits sweep back into

account to meet fund requirements when withdrawals exceed thebalance available in the account, thereby

providing maximum liquidity



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CURRENT ACCOUNT

Kotak Mahindra Bank offers unparalleled advantages with its three Current Account offerings. Whether

small/ mid size business or an enterprise spread across multiple locations in the country,

would find a Current Account that's just designed for you. These Current accounts offer attractive returns along

with personalized banking services at three convenient average quarterly balances(AQB)levels of Rs. 25000

(KOTAK EDGE SAVINGS ACCOU NT),Rs. 50000 (KOTAKPRO SAVINGS ACCOU NT) and at

Rs250000(KOTAK ACE SAVINGS ACCOU NT).The average quarterly balance levels as well thecorresponding services and benefits try to ensure the various customer needs and requirements. With features

ranging from Free DDs, Free Cheque Collection, Free At -Par Cheque facility to Free Trading Account & free

Demat Account, and more! Thus the three account opening options in savings account are as mentioned

above:

Edge Current Account

In need of a well equipped bank account to keep pace in all the business endeavors. They offer the Kotak Edge

Current Account, armed with Kotak 2-Way Sweep and the entire gamut of Banking Privileges, providing that

extra edge to get ahead. The feature rich Kotak Edge Current Account is the ideal way to make money work

harder

Features & Benefits

Multi City Banking

Current account/s with Kotak Mahindra Bank will be recognized in every other branch. One can just walk

into a Kotak Mahindra Bank branch in any of our branches across country to satisfy all the banking needs.



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2-Way Sweep*: Term Deposit linkedCurrent Account

Kotak 2-Way Sweep ensures that money never stops working for you. Daily balances, above a threshold

level, in Current Account are automatically swept out into Term Deposits (TD). This¶ swept out amount' is

brought back into account to meet fund requirements when withdrawals exceed the balance available in the

account (or when the account balance goes below the specified threshold level.) With Kotak 2-Way Sweep

you enjoy the twin advantages of attractive returns& maximum liquidity.

Free Demand Drafts and Pay Orders

Enjoy the benefit of our free Demand Drafts, payable at Kotak Mahindra Bank Branch location inIndia.

At-par Cheques

Get free At-par Cheques that are treated as 'local clearing' cheques across all branch locations. All these at

nominal costs.

ChequeCollection

All Outstation cheques, drawn on any of branch locations, are collected 'at nominal charge' for you.The strong

network of correspondent banks enables us to collect cheques from 1600 locationsacross India at faster speed

and minimal cost

Mobile Banking and Alerts

Our Mobile Banking & Alerts service enables to access bank account on Mobile Phone. One canaccess all

your standing instructions (SI), any large credits or debits, available balance, balancebelow AQB, any SI

failure and SIs successfully executed will be intimated to you via SMS.



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PRO Current Account

You need a well equipped bank account to keep pace with you in the ever changing business scenario. We

offer you the Kotak Pro Current Account, armed with Kotak 2-Way Sweep, as well as an entire gamut of

Banking Privileges and 'user-friendly' Convenience Banking facilities. The feature rich Kotak Pro Current

Account is the ideal way to make your money work harde

Key Features

Dedicated Relationship Manager

Free Demand Drafts & Pay Orders

Free At Home Services

Better Forex rates and Efficient Trade Services

ACE Current Account

In the need of a well equipped bank account to keep pace with you in the ever changing business scenario.

They offer you the Kotak Ace Current Account, armed with Business benefits and exclusive Ace Privileges

and an entire gamut of banking conveniences especially designed for you.The feature rich Kotak Ace Account

is the ideal way to make money work harder



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TERM DEPOSIT

Key Features

Ease and convenience of operation

Liquidity through overdraft or sweep-in facility

No penalty on pre-mature encashment

Nomination facility available

Give your portfolio stability of returns and safety and liquidity. Invest in Kotak Bank Term Deposit. Itoffer

attractivereturns on term deposits and investing in them is really simple and convenient.

Features & Benefits

Ease and convenience of operation

For the first time in India, New to Bank customer can also apply online for term deposit.

An existing customercan place a term deposit through Phone Banking or Net Banking. What'smore, one can

even renew this deposit by placing an instruction over phone. Needless to mention,he can do all this and more

by walking across into any of branches.

Liquidity through overdraft or sweep-in facility

Deposit will be available to you should you need them in case of an emergency. One can avail upto85%

overdraft against term by paying 2% above deposit rate. This facility is available for depositsabove Rs.50,000

for a tenure of 181 days or more. One can also choose to link termdeposit to savings / current account,

whereby if need be, term deposit will automatically beencashed to meet withdrawal requirement.



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No penalty on pre-mature encashment

In case term deposit is pre-maturely encashed,one will earn interest at the rate prevailing on thedate of deposit

for the withdrawn amount.

Nomination facility available

One can avail this facility for each & every account that open with us i.e. nominate differentpersons for

different term deposit accounts can choose to change the nominee through adeclaration in the appropriate form

to revise the nomination during the term of the deposit



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INVETSMENT SERVICES

µ Making your money grow¶

At Kotak Mahindra Bank,can recognize that financial needs vary, not just amongst individuals, but across the

different stages of your life. They have years of experience in helping people put together an investment

portfolio that works best for them.

DEMAT

Key Features

Efficient depository services that allow you to hold your shares inconvenient, "demat" formats

Leverage opportunities in the stock-market when you spot them



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It offers streamlined, efficient depository services that allow to hold shares in the convenient"demat" formats

and leverage opportunities in the stock-market when you spot them Beinga brokerage house, the company

isin regular touch with the share market and its relative indexes like NSE & BSE, NCDEX,

NSDL, CSDL



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CONVENIENCE BANKING

µAnywhere, Anytime Banking¶

In today's day and age time is money. You work hard and have a busy schedule. Doing banking should be

easy and convenient and not add to worries.Kotak Mahindra Bank realize this and have specially tailored a

wide range of value added products and services to make money work for you. These, coupled with the

highest standard of customer care will make life simpler and easier.

.

Multiple Banking Channels

Today the technology driven banks are finding various means to reduce costs and reach out to as many

customers as possible spread over a diverse area. This has led to using multiple channels of delivery of their

products.

ATM (Automatic Teller Machine):

An ATM is basically a machine that can deliver cash to the customers on demand

after authentication. However, nowadays we have ATMs that are used to vend different FMCG productsals.

An ATM does the basic function of a bank¶s branch, i.e., delivering money on demand. Hencesetting of newer

branches is not required thereby significantly lowering infrastructure costs.Cost reduction is however possible

only when these machines are used. In India, the average cashwithdrawal per ATM per day has fallen from

100 last years to 70 this year. Though the number of ATMs has increased since last year, it is not in

sync with the number of cards issued. Also, thereare many dormant cardholders who do not use the

ATMs and prefer the teller counters. In spite of these odds, Indian banks are increasing the number of ATMs

at a feverish pace. These machinesalso hold the keys to future operational efficiencyAccount holders of Kotak

Mahindra Bank Saving Account having Visa Electron Debit Card canaccess other Banks ATM machines

unlimited times per month for free, after that the Accountholder has to pay nothing for the transaction. But also



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holders of ATM cards cannot accessmachines belonging to other Banks.The number of ATM machines

installed by Kotak Mahindra Bank is 20 in Delhi and the All Indiatally is 156 machines. When this figure is

compared to ICICI Bank which has thrice the number of machines in Delhi or HDFC Bank which has nearly

twice the number of machines in Delhi, this isworrying for Kotak Mahindra Bank

Net Banking:

Net banking means carrying out banking transactions via the Internet. Thus the need for a branch is completely

eliminated by technology. Also this helps in serving the customer better and tailoring products better suited for

the customer.A customer can view his account details, transaction history, order drafts, electronically make

payments, transfer funds, check his account position and electronically communicate with the bank through

the Internet for which he may have wanted to visit the bank branch.Net banking helps a bank spread its reach

to the entire world at a fraction of the cost

Phone Banking

This means carrying out of banking transaction through the telephone. A customer can call up the banks help

line or phone banking number to conduct transactions like transfer of funds, makingpayments, checking of

account balance, ordering cheques, etc. This also eliminates the customer of the need to visit the bank¶s

branch.

Mobile Banking

Banks can now help a customer conduct certain transactions through the Mobile Phone with the help of technologies like WAP, SMS, etc. This helps a bank to combine the Internet and telephone and leverage it to

cut costs and at the same time provide its customer the convenience. Thus it can be seen that tech savvy banks

are tapping the entire above alternative channels to cut costs improve customer satisfaction



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SMS Banking

Kotak Mahindra Bank's SMS Banking service enables you to access your bank account,investment account

and demat account on your Mobile Phone. Now get latest update on your account balance, salary credits, large

debits, large credits, holding value and much more, on your mobile anytime.

STRATEGIC ALLIANCES ENTERED BY KOTAK MAHINDRA

BANK NATIONAL ATM ALLIANCES

The Institute for Development and Research in Banking Technology (IDRBT), a group established by the

Reserve Bank of India (RBI) in 1996, has planned to set up a national switch to hook up all of the country's

10,000-odd ATMs.The idea of establishing ATM interconnectivity through a national switch has been

approved by theinformation chiefs of various Banks.The expected cost of transactions routed through the

switch is to be under 10 rupees (21 centsU.S.) each, due to the high volumes of transactions -- almost 100,000

per day.

CASH NET

It is an Alliance between Citibank, Industrial Development Bank of India, Kotak Mahindra Bank andUTI

Bank. This is the country's first independent shared ATM network.IDBI Bank received permission from the

Reserve Bank (RBI) to serve as the network's settlementbank.Cash net will give access to more than 1,300

ATMs for more than 6 million debit cardholders of the member banks. The Alliance would constitute about a

third of the total card base and 15 percent of the ATM base in the country.



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Kotak Mahindra Bank and REDIFF.com

REDIFF.com India and Kotak Mahindra Bank have entered into an alliance to provide online andoffline

banking and related services to the Indian consumer.The alliance will enable information on the entire range of

the banks consumer banking products tobe made available to the 6.4 million online customers of Rediff.com.

The services offered include detailed information on various deposits, loans and mortgages, credit cards,

mutual funds and insurance products of the bank. Users will be able to directly interact with the bank and

request for products online



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NRI SERVICES

NRIs

An Indian Citizen who stays abroad for employment/carrying on business or vocation outside

India or stays abroad under circumstances indicating an intention for an uncertain duration of

stay abroad is a non-resident.

Eligibility for opening NRI accounts:

Who can open NRI accounts:-

NRIs and PIOs as per FEMA definition

Seafarers of Indian nationality / origin employed by overseas shipping companies,

or

Indian government employees with Diplomat passports, or

Students pursuing studies in foreign countries.



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Who CANNOT open NRI accounts:-

Indian citizens who travels aboard for health and medical treatment / check up, or

Indian citizens who tour overseas for their short visits whether on excursion or

business promotion activities, or

Indian citizens going overseas for leisure , or

Indian nationals / Indian origin people residing in Bangladesh or Pakistan without

prior approval of RBI, or

Indian nationals / Indian origin people residing in Nepal and Bhutan, or

Seafarers of Indian nationality / origin employed by Indian shipping companies, or

Foreign Citizen visiting India for employment / business purpose, or

PIO visiting India for purpose of employment / studies.



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The customer fills in the AOF and attaches all the self attested relevant documents

as per NRI-KYC along with Initial payment cheque.

The Sales Representative has to attach individual profile sheet and NR checklist

along with AOF and documents and hand it over to BOM/SM/BM of the Branch.

If there is any discrepancy in theform it will be put on hold / reject

basis the reason. If it is on hold the

form will get released after proper

resolution being provided by the

branch within permissible TAT

whereas the rejected form will

return back to respective branches

with memo attached for necessary

rectification.

Rectified documents along with

AOF are received from branch by

NR CPC and the documents are

checked.

Afterward, if the AOF and documents

are in line with requirements, then

the form will be sent for further

processing (account creation /

welcome kit generation / dispatch).

Non Resident Account Opening Process

On receipt of the same, NR CPC sends it to DVU for checking of the AOF and

documents.

The BOM/SM/BM will check the AOF for its completeness and send it to NR CPC.

Sales Representative to explain the account features to the interested customer and

basis the requirement, advice about the account that suits Customer·s need.



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The various banking products which are offered to NRI /PIO Customers:-

1. Core Products

Bank

¡ ¡ ¢ £

nt¤

R£ pee

¡ ¡ ¢ £

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(

RE)

Saving /C£ rrent

¦

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Fi© e

/Re¡

£ rringDep

¦ §

it

¢

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entOr

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RO)

Saving /C rrent

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Foreign Currenc y

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2. Special Products

Features of NRE Account:-

Basic Features

Rupee account opened by NRIs/PIOs for parking income earned from foreign

sources.

Available in saving, current and term deposit.

Fully and freely repatriable deposit (both principal and Interest).

Interest earned on saving account is 3.50% while Fixed Deposit interest is linked

to the LIBOR as per direction of RBI from time to time. Currently it is LIBOR +

175 basis points.

To earn interest on fixed deposit, it needs to be kept for minimum of one year and

above to maximum up to 3 years.

Cheque book facilities are available for Savings & current accounts along with

direct channel facilities (phone banking, net banking and global visa debit card).

Overdraft facility is available to account holder as well as third party resident in

India against term deposits.

Account operation

It can be jointly opened by NRIs/PIOs.

Mandate facility is available in NRE accounts.

Max Yield NRO

Deposit (DTAA)

Rupee Advantage

Plan (RAP)

High Yield Currency

Plan (HYCP)



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Taxation

The principal amount and the interest earned on an NRE Account are exempt from

Income Tax in India.

Kotak Bank USP's

Dedicated relationship Manager.

Online account opening.

Convenience Banking.

Online chat.

Click2call.



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OTHER SERVICES

HOME BANKING

With the launch of this service, Kotak Mahindra Bank can deliver money, demands drafts and pickup cash and cheques for deposit into the customer¶s account at/from the customer¶s

doorstep. The customer can place the request through the Customer Contact Center or

through Net Banking.

The money thus collected from customers will be credited to their account on the same

working day or by the next working day.

The facility includes cheque pick up or draft delivery - once a day and cash pick up or

delivery - once a day (min. Rs 5000, max. Rs 2, 00,000) - once a day. There is no restriction

on the number of cheques or drafts picked / delivered.

Speaking on the occasion, KVS Manian Head Retail Liabilities & Branch Banking said,

³With the launch of this service, Kotak Mahindra Bank has succeeded in bringing your bank

to your doorsteps, improving an individual¶s banking experience. This truly defines the way

we look at customer satisfaction at-your-service, at-your-convenience and at-your-

doorstep.´

Kotak Mahindra Bank offers complete financial solutions for infinite customer needs. The

Bank¶s home banking service will allow customers to attend to their banking needs in the

comfort of their own home or offices and at their convenience just through a phone call or via

the Internet, thus saving time, energy and costs.

BANKING HOURS

Kotak Mahindra Bank Account holders have been able to infer that Branch Banking is the second most

Frequent Point of Interaction with the Bank. The Average Banking Hours is a very important aspect associated

with any Bank. In today¶s fast paced life where people who hold Accounts with the Bank are busy working it



37

is important that they can find a way to visit the Bank without having to miss out on work. The Average

Banking Hours of Kotak Mahindra Bank is from 9am to 7pm, the Bank is open to the public for ten hours.

These timings are convenient for especially those Account holders who are working, these people can visit the

Bank after their Office finishes.

Best Compliments Card - the perfect gift

Introducing Best Compliments Card - the prepaid card from Kotak Mahindra Bank which is useful at any

place that accepts Visa cards, be it a shopping mall, a restaurant or a multiplex.

No Kotak Mahindra Bank account required

Not restricted to a single brand or outlet - accepted at over 3 lakhs merchant establishments in India

that accept Visa cards

Can be used at your convenience - no need to spend the entire value in a single purchase

Attractively packaged and ready-to-gift Available at all Kotak Mahindra Bank branches

Valid for two years from date of issue of card



38

ANAL IS AND FINDINGS

Survey conducted on 30 respondents

R EASON FOR CHOOSING BANK

.

It is very impor tant to know that for which reason customer is choosingthe bank. From the study conducted

the factor which has come out strongest in this regards is thebrand namegetting 33% of the response. Thus

accordingto survey, brand name affects more in costumer¶s think ing. Alsothe customers choose the bank for

reasons like recommended by family or fr iends, adver tisements, bank near off ice or residence or for any other

reason.

0

10

20

30

40



39

MOST FR E ENT POINT OF INTERACTION

WITH BANK

The banks are very interested to know the most popular point of interaction with the bank as if the bank is

lack ingin one of these steps can be taken to make the situation better.

From the survey we can see 33% of total respondents feel that they interact most with the Bank with the hel p

of ATM. The second most impor tant point is internet bank ing with 27% of respondents and visiting the

branch is alsoimpor tant asitget 25% of respondents.

0

5

10

15

20

25

30

35

ATM Visit Branch Phone

banking

Drop box Internet

banking



40

OVERALL SATISFACTION

Any service provider would want their customers to have a high overall satisfaction level. Kotak Mahindra

bank has scored very well in this regard. The most impor tant thing is that no respondent has complained that

they are overalldissatisf ied with the bank. This is a very impor tant f inding because this shows the effor t Kotak

Bank puts in providing their customers a super ior service has not gone waste. About 45% of the total

respondents say that they are very satisf ied with their overallexper ience with the bank.

0

5

0

5

0

5

30

35

40

45

50

very satisfied satisfied somewhat

satisfied

dissatisfied



41

OPEN AN ACCOU NT IS DIFFICULT PROCESS OR NOT

Most of the people think that opening account is not at all a difficult process it is quite easy to understand.

And in fact people think it¶s an easy process in comparison withother private¶s bank. So because of this

easiness they prefer to open an account here so that they can do it easily.

0 20 40 60 80 100 120

ope an accoun

s d

cul

process or no

yes

no

!

o!

al

Ser es1

Ser"

es2

Ser" es3



42

DO YOU ALWAYS GET PROMPT SERVICE WHEN

YOU VISIT THE BRANCH?

It is impor tant to know that customers are getting better service at branch or not. About 50% of the respondents

are agreeing that they get prompt service at branch. According to this Kotak Bank should have to give their

more effor ts in the service at the branch.

DO YOU AGR EE THAT MINIMUM ACCOUNT

LEVEL IS NOT HIGH ANDEASYTO MAINTAIN?

0

#

10

1 $

20

2 $

30

3#

%

0

& $

#

0

always often someiimes rarely never



43

As minimum account level star ts from R s.10,000 in pr ivate banks, it is impor tant to know that the customers

are satisf ied with it or not. Only 3% of the respondents are dissatisf ied with this. So we can say that Kotak

Bank gives satisfactionto the customers.

SATISFIED WITH FINANCIAL TRANSACTION OR NOT

0

5

10

15

20

25

' 0

' 5

40

Strongely agree agree somewhat

agree

Disagree



44

The only thing customer expects from bank is secur ity and if they don¶t think that they are secured they will

never trust a bank and they would never want to star t any relation with bank. But with kotak 50% an above

are satisf ied with its f inancial transaction.

MOST IMPOR TANT QUALITY

0 20 40 60 80 100 120

very satisfied

satisfied

somewhat satisfied

dissatsfied

total

Series1

Series2

0

10

20

30

40

50

60

bank staff ATM decor of bank efficient

services



45

From the survey we can say that the efficient service offered by banks is considered most important by account

holders, 60% of the respondents felt that the bank should concentrate more on this service aspects.The

Account holders whether in Private/Foreign sector or the Government sector have been provided with ATM

facility by their respective Banks.



46

PRIVATE BANKS PROVIDE SUPERIOR SERVICE COMPARED

TO GOVERNMENT BANKS

The most important findings would come from the group of respondents who hold Saving Accounts with both

Private and Government run Banks, as these people would be in the best position to judge the service offered

by the Banks. According to this group of respondents the Range of Products that are offered by Private

sector Banks are much more diverse than those offered by Government Banks.

Overall the result of this question very clearly states that people consider the service level of Private Banks

much higher than Government Banks as 83% of the respondents agree and only 17% of the respondents

disagree.

0 20 40 60 80 100

Yes

N(

Ser) es1



47

CONCLUSION

1.The Bank wants its customers to transact more through Internet Banking and ATM, Rather than customers

using the bank.

2. Bank provide a very good facility of active money which can be really profitable to customers.

3. The Bank has tied up with other Banks so that its customers can use other Bank¶s ATMfacility for free

transactions

4. The Bank also provides DEMAT account and also sells Mutual Funds, this provides the Bankand

Government additional revenue.

5.One of the best reasons of people choosing Kotak Mahindra Bank is the BrandName/Reputation of the

Bank. Hence it should be careful that the Brand name and Goodwill the Bank has earned is not diluted.

6. They call many people from that almost 40% call them for personal meeting and from them 80% get ready

to open account.

7.



48

GENERAL FINDINGS

ATM facility is very good and it is also used by customer widely.

To convenes new customers is really easy as reputation of bank is really good and people trust them.

The general perception is that Private Banks provides better services as compared to a Government

bank and thus it is easy to attract customers.

Advertisements can be used to attract more customers and they do advertisement is different ways by

providing gifts to targeted customers like doctors.



49

Questionnaire

Name: ______________

Occupation: ________________

Age: _____________

Annual Income: ______________

Mobile number: _______________

1. what reason you keep in mind while choosing the bank?

Recommended by family/friend

Brand name

Advertisement

Branch near office/ residence

Other reasons

2.Which are the most frequent point of interaction with bank?

ATM

Visit branch

Phone banking

Drop box

Internet banking

3.How satisfied are you with the services provided by the bank?

a) Very satisfied

b) Satisfied

c) Somewhat satisfied

d) Dissatisfied



50

4.Do you feel that the procedure to open an account with the bank was difficult?

Yes No

5. Do you always get prompt service whenever you visit the branch?

a) Always

b) Often

c) Sometimes

d) Rarely

e) Never

6. Do you agree that minimum account limit is not high and easy to maintain?

a) Strongly agree

b) Agree

c) Somewhat agree

d) Disagree

e) Strongly disagree

7.Are you satisfied with your financial transactions with the bank?

a) Very satisfied

b) Satisfied

c) Somewhat satisfied

d) Dissatisfied



51

8.According to you which service provided by the bank is best?

___________________________

9. Would you like suggest any changes or improvement in any service or any feature of the

bank?

10.Private banks provide superior service with compared to government banks?

Yes No



52

BIILIOGRAPHY

There was immense need and flow of information while writing the reports which were

gathered through various sources mentioned below.

internet

www.kotak.com

www.google.com

www.wikipedia.com

other references

Questionnaire, broachers and various other documents gathered and collected from bank.

Training 2

Documents