CHAPTER IINTRODUCTION

Sources of finance in other word we can say that commercial banks received investment

from investors or common people. Accept a deposit is the primary function of the commercial

banks weather the bank is Nationalized or Private Bank. The overall business of all commercial

banks are depend of sources of finance is available to them.

The information is gathered and personally experienced the deposits operation is through

consult and communication with one of the biggest nationalized bank” BANK OF

MAHARASHTRA” and their customers.

The aim of the project is to focus on how the banks find and collect the sources of finance to

perform better and effectively and an overview and detailed understanding of each and every

aspect of sources of finance.

a) Problem formulations:-

The particular project is been chose by me to expose myself to “STUDY OF SOURCES OF

FINANCE TO BANK OF MAHARASHTRA”. The main purpose of the project is to give inside

on how sources of finance helpful for performing operations better and systematically. There are

many guidelines, rules and regulations issued by Reserve Bank Of India for banking operations

(accepting deposits) then also bank (Bank of Maharashtra) prepare their own policy of accepting

deposits. Study and understanding of the importance of preparing own policy for accepting more

deposits.

The project also highlights of RBI rules and regulation for accepting deposits. They also

study of deposits figures of Bank Of Maharashtra (Bavdhan Branch).

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b) OBJECTIVE OF THE STUDY:-

1. To study Importance of deposits policy for performing the banking operations.

2. To understanding how the guidelines, rules and regulations issued by Reserve Bank of

India are followed.

3. How the Bank of Maharashtra prepare their own deposits policy.

4. To Study of interest rates on various deposits schemes.

c) SCOPE OF STUDY:-

The scope of study is related studying of effectiveness of the sources of finance of Bank of

Maharashtra.

1. Prescribed parameters for accepting of deposits.

2. Interest rate policy.

3. Deposits figures comparison period by period.

Study will help management to focus on the manner in which they are working. Study will

indicate best deposits scheme which bank has to adopt. Suggestions given in project will help to

bank management to improve their system to become more effective in banking sector as such.

d) LIMITATIONS OF THE STUDY:-

The following limitations were experienced during the study.

1. The time available for research is only 45 days

1. According to policies of bank department provided only screened information.

2. The study is confined to Bavdhan Branch only; hence the results cannot be generalized.

3. The findings in this study are purely dependent on the answers of the respondents.

4. Since the study was limited to a specific period, further qualitative research on the topic was not

possible.

5. The information recorded is based on the opinion and reactions of the respondents as on the date

of research.

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LITRATURE REVIEW

a) MEANING OF BANK:

Banking is one of the most important sectors of business and finance that assists the world of commerce to keep on running. Without banks and the banking services that they provide commerce and trade would collapse and credit would become virtually extinct. As the decades progress many new concepts are being introduced into banking. At their most basic, banks hold money on behalf of customers, which is payable to the customers on demand, either by appearing at the bank for a withdrawal or by writing a check to a third party. Banks use the money they hold to finance loans, which they make to businesses and individuals to pay for operations, mortgages, education expenses and any number of other things. Many banks also perform other services for a fee; for instance they offer certified checks to customers guaranteeing payment to third parties. In some countries they may provide investment and insurance services. With the exception of Islamic banks, they pay interest on deposits and receive interest on their loans. Banks are regulated by the laws and central banks of their home countries; normally they must receive a charter to engage in business. Banks are usually organized as corporations.

b) DEFINITION OF BANKING:

The definition of “Banking” under section 5(1) (b) of the Banking Regulation Act, 1949, is “Accepting, for the purpose of Lending and Investment, of deposits of money from the public, repayable on demand otherwise, and withdraw by cheque, draft, order or otherwise.” In terms of the section 22 of the Act, the ‘Financial position and methods of operation’ of a bank should always be such that it is able to pay its depositors in full and as and when their claims accrue. Thus, financial intermediation is the basic function of banks.

In simple terms, it means that banks collect funds from that segment of the society that has surplus to be placed in safe hands with an assured return on such investment. Banks deploy such funds to earn profits, by observing directions and guidelines given by the regulatory authority i.e. Reserve Bank of India and by lying down their own policies, to cater to the needs of that segment of the society which requires funds to meet their requirements.

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c) EVALUATION AND ORIGIN OF BANKING IN INDIA :

Babylonians are credited with the first development of a system of bank. The practice of granting credit was also prevalent in ancient Greek and Roam. In Roam the banks were called Taberonoe Agrentanioe and the bankers were addressed by various names like Agrentina, Mensani,

and Callyalaztoe. The genesis of modern banking can be traced to the bank of Venice, which was established in 1157 and served as an institution for transfer of public debt. There are also references to “Monte” (means a standing bank or amount of money) in Florence in 1936. Western style banking in the 18th century year 1770.

Banking in India has its origin as early as the Vedic period. It is believed that the transaction from money lending to banking must have occurred even before Manusastra speaks of the law governing credit transactions. During the Mogul period, the indigenous bankers played a very important role in lending money and financial foreign trade and commerce.

The Central Bank of India was the first joint stock bank to be established in the year 1786 followed by Bank of Hindustan and the Bengal Bank. The Bank of Bengal (1809), Bank of Bombay (1840) and Bank of Madras (1843) in the year 1921 by the amalgamation of these three Presidency banks, Imperial Bank of India was formed. On July1, 1955 Imperial Bank nationalized and named as State Bank of India. The Reserve Bank of India was created in 1935 by passing Reserve Bank of India Act in 1934. On July19, 1969, 14 major banks of the country were nationalized and on 15th April 1980 six more commercial private sector banks were also taken over by the government.

The Reserve Bank of India (RBI) is the apex body of the Indian banking and for all matters relating to the banking system.

The Bank of Maharashtra was incorporated in 6……………………. in the name of The Bank of Maharashtra with its registered office in Pune, ( Shivajinagar) Maharashtra.

The study was undertaken for the purpose of studying the various scheme of bank for deposits, documentations of deposits.

d) FUNCTIONS OF BANKS:

Prof. Sayers in his book ‘Modern Banking’ has described the functions of a modern bank in the following words: “Ordinary banking business consists of changing cash from bank deposits and bank deposits for cash, transferring bank deposits for cash, transferring bank deposits from one person to another and giving bank deposits in exchange of bills of exchange, government bonds, the secured promises of businessmen to repay and so forth”

The various functions of a modern bank are as follows:

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1) Accepting deposits from public: The major function of the commercial bank is accepting various types of deposits such as fixed deposits, current deposits and savings deposits. People want to keep their cash balances safe for which they deposit it with a bank. The commercial bank protects the cash of the customers and provides a convenient method of transferring funds through the use of cheques. It is the obligation of bank to honors cheques drawn upon the bank, making payment across the counter on demand by the customers to the extent of money available at the credit of customer’s account.

2) Making loans and advances:

The second main function of the commercial banks is to provide loans and advances out of the money the bank receives by the way of deposits. The bank receives deposits in order to lend the same. It is this function of a banker’s activities which is the largest contributor to the bank’s profit. Commercial banks provide various types of loans such as direct loans, cash credit, bills discounted and overdrafts etc. Direct loans and advances are provided to all types of persons against the security of movable properties.

3) Agency services: - Another important function of a banker is the services offered by them as an agent. The

commercial banks render a significant service by providing to its customers a simple means of medium of exchange called cheques. The cheque system is considered to be the most developed type of credit instrument. The banks perform miscellaneous functions such as undertaking the payment subscriptions, insurance premium, rent, etc. On the behalf of the customers they collect cheques, bills, salaries, pensions, dividends, interests etc that belongs to the respective accounts of the customers. The banks perform these functions as per the instructions given by the customers and make payments as and when directed. For these services they charge a certain amount of fee by means of commission.

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Chapter no II

RESEARCH METHODOLOGYIntroduction:

According to the oxford advanced Learners Dictionary of current English the meaning of research is a “careful study or investigation especially in order to discover new facts or information”.

Research is defined as movement from the known to the unknown. It is an effort to discover something. According to Clifford Woody “Research comprise defining and redefining problems formulating hypothesis or suggested solutions, collecting/organizing and evaluating data making deduction & research conclusions and at last carefully testing the conclusion to determine whether they fit the formulation hypothesis. Research methodology concerns itself with obtaining information through empirical observation that can be used to systematically develop logically related propositions so as to attempt to establish casual relationships among variables.

To study the objective following methodology is adopted for sources of data.

A) Primary data :

Primary data is the data which collected first time by the researcher and not available in

any form before collection primary data was collected through

Personal Interviews and discussion

Observation

Questionnaire Design: Quite often questionnaire is considered as the heart of a survey operation. Hence it should be very constructed. Questionnaire was prepared with the combinations of various types of questions.

a) Observation:

The observation method is the method commonly used method specially in studies

relating to behavioral sciences under the observation method the information is sought by way

of investigators own direct observation without asking form the respondent controlled

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observation. If the observation takes place in natural setting, it may be termed plans involving

experimental procedure it termed a controlled observation.

b) Discussions:

Discussions method of collecting data involves presentation of oral-verbal stimuli and

reply in terms of oral-verbal responses. This method can be used through personal interviews

usually carried out in a structured way. Interviews involves the use of predetermined questions

and highly standardized techniques of recording. The main task of the interviewer in case of

focused

Interviewed is to confine the respondent to a discussion of issues with be conversance.

B) Secondary data:-

Here the researcher has collected the secondary data from annual reports and records of

bank of Maharashtra. Secondary data was helpful in understanding the performance of the bank

over the past years.

Secondary data - The data already available i.e. they refer to the data which have already been

collected analyzed by someone else.

1. www.bankofmaharashtra.in.com

2. www.sebicom .

3. www.businessweek.com .

4. www.rbi.com .

ii) Unpublished data:

The sources of unpublished data are many may be found in dairies, letters, unpublished

biographies and auto biographies and also may be available with scholars and research workers,

trade association, lab our burials and other public private individuals and organizations.

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Chapter IIIBank profile

INTRODUCTION OF BANK OF MAHARASHTRA

HISTORY

MILESTONE

VISION

MISSION

LOGO

THE PILLER

AIMS

SOCIAL ASPECTS

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1) History:-

The bank was established in the year 1935 with an initial authorized capital worth Rs. 10.00 Lacs, although it became operational in the early phase of the next year. The bank got nationalized by the Government of India in the year 1969. With a total number of 1421 branches located all over India as of April 2009, the bank claims to have the largest number of branches

within the state of Maharashtra, among all the Public Sector banks. 

Commonly known as a common man's bank, Bank of Maharashtra adopts a philosophy of "Technology with personal touch", and follows its motto stating "One Family, One Bank, Bank of Maharashtra".  

Facilities:-

All the branches of Bank of Maharashtra have been fully computerized, with Depository services and Demat facilities being offered at 131 branches as of April 2009. The bank aims at increasing its ATM network from 345 to 500 soon, apart from planning to install Biometric ATMs at some selected branches. Apart from it, introduction of Phone Banking, Internet Banking and Mobile Banking is also on the cards. 

Head Office:-Bank of Maharashtra Lokmangal, 1501, Shivajinagar, Pune (Maharashtra) - 411 005 Website: www.bankofmaharashtra.in

2) MILESTONS:- Milestones in the journey for nation building: “Steadily to spread its business operations all over Maharashtra and as opportunity allows, outside that area  offering varied services to the general public while trying to be useful to trade , commerce and industry consistently with high standards of safety and efficiency”1936 : Commenced operations on 08-02-1936 in Pune

1938 : Second branch of the bank was opened in 1938 at Fort, Bombay.

1940 : Third branch came up at Deccan Gymkhana, Pune

1944 : Status as Scheduled Bank obtained

1946 : Deposits crossed Rs One crore mark Formed fully owned subsidiary, The Maharashtra Executor & Trustee CompanyFirst branch outside Maharashtra opened in Hubli (Mysore Starte, Now Karnataka)

1963 : Expansion to Goa:  Panjim  Branch opened

1966 : Expansion to Madhya Pradesh: Indore branch opened Entered in Gujarat: Baroda branch opened

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Millstones: Since Nationalization:-1969 : Nationalized along with 13 other Banks

1974 : Deposit base crossed Rs. 100 Crore mark

1976 : Marathwada Grameena Bank, first RRB established on  26-08-1976

1978 : Deposits crossed the figure of Rs.500 Crores

1979 : “Mahabank Agricultural Research and Rural Development Foundation”,  registered as a public trust, was established for undertaking research and extension work and to provide more extensive services to farmers.

1985 : 500th branch in Maharashtra state was opened at the hands of the then Prime Minister, Mrs Indri Gandhi at Nariman Point, Mumbai.First Advanced Ledger Posting Machine (ALPM) was installed at the branch. Golden Jubilee Year Celebrations launched at the hands of Dr. Manmohan Singh, Governor Reserve Bank of India

1986 : Thane Grameena Bank sponsored

1987 : The 1000th branch of the Bank was inaugurated at Indira vasahat, Bibwewadi, Pune.

1991 : "Mahabank Farmer Credit Card " was launchedEntered in to Domestic  Credit Card BusinessMain Frame Computer installedBecame member of the SWIFT

1996 : Moved into “A” category from the earlier “C” category. Autonomy obtained

2000 : Deposits crossed Rs 10000 crore mark

2004 : Public Issue of Shares – 24% owned by PublicListed in BSE and NSE

2005 : Bank assurance and Mutual Fund distribution business started

2006 : Crossed total business level of Rs.50,000 CroreBranch CBS Project started

2009 : Entered in to 75th year of dedicated service to the NationAdopted 75 underdeveloped villages for integrated overall development

2010 : 100% CBS of branches achievedTotal Business crossed Rs One lakh croreOpened 76 branches in the Platinum Year taking the total to 1506

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3) Mission:-

To ensure quick and efficient response to customer expectations.

To innovate products and services to cater to diverse sections of society.

To adopt latest technology on a continuous basis.

To build proactive, professional and involved workforce.

To enhance the shareholders’ wealth through best practices and corporate governance.

To enter international arena through branch network. 

To be a vibrant, forward looking, techno-savvy, customer centric bank serving diverse sections of the society, enhancing shareholders' and employees' value while moving towards global presence. 

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4) Social Responsibility:-

Apart from providing regular banking services to the customers, Bank of Maharashtra has established two Joint Ventures to full fill its other commitments towards the general public and society. These Joint Ventures are M-SETI and Mahabank Info Centre. Mahabank Self-Employment Training Institute (M-SETI) is an effort initiated by Mahabank Agricultural Research & Rural Development Fund (MARDEF), a trust run by Bank of Maharashtra receiving help from National Bank for Rural Development (NABARD). The institute runs various self-employment oriented training courses for the rural unemployed youth from the districts of Pune, Kolhapur, Satara, Sangli, Nashik, Ahmednagar, Jalgaon, Dhule and Nandurbar. 

Mahabank Info Centre is a yet another initiative by Bank of Maharashtra aimed at providing various retail baking related information to the customers, and enabling smoother operations for them. 

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1) Our Logo:-

The Diyas:- Our Branches- Symbolizing service.

The 3 M's   symbolizing  :-Mobilization of MoneyModernization of Methods and Motivation of Staff. 

CHAPTER IV

THEROTICAL BACKGROUND4.1. Saving bank account:-

Eligibility:- Any individual can open savings bank account singly or jointly. SB Account of minors can be opened jointly with natural guardian/legal guardian. The applicant should furnish identity and address proof as given in account opening form (CIF for individuals), two photographs & PAN number/Form No. 60/61 while opening new account. In case the customer is unable to give any documentary proof of identity & address, to the satisfaction of the bank, the account can be opened with the introduction from existing account holder who has been subjected to full KYC procedure & having satisfactory operations in the account for over six months.Minimum banlance in the account:- Minimum balance should be maintained in the account ON QUARTERLY AVERAGE basis as mentioned below :

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In Metro/ Urban Branches : Rs. 1,000/- Semi Urban Branches : Rs. 500/- Rural Branches : Rs. 250/- 

IF quarterly average minimum balance in the account is not maintained, service charges will be levied once in every quarter. 

Details of charges are given under “Service Charges” displayed in home page of website. Also available in all branches with Branch Manager / Deputy Branch Manager 

Minimum balance condition is not applicable for 'Pension' and 'No Frills' category accounts 

Nomination:- Nomination facility is available.

Interest:- Bank will pay interest on DAILY PRODUCTS in the account (i.e. on daily balance) on six monthly basis payable on 30 th June and 31 st December of every year. Present interest rate is 4.0% p.a. simple.Other Benefits:- The account holder/s can give standing instructions for transfer of funds from the account to any another account/s, make payment of electricity bills, Insurance Premium, Telephone bills, taxes, loan installments etc. Charges applicable are furnished in Service Charges Schedule available in every branch and also on Bank's website. Telebanking facility, SMS Banking facility, Mobile banking facility and Internet Banking are available. TDS is not applicable for interest earned on the account. Free Mahabank VISA ATM/Debit Card. Deposit Insurance Cover upto Rs. 1.00 lac.

Special Saving Accounts1.Mahabank Yuva Yojana   2.Maha Bank Lok Bachat Yojana 3.Mahabank Swasthya Yojana4.NRI Ordinary Account 5.NRI External Account 

1.1Mahabank Yuva Yojana   :-

New Scheme for Students : With a view to making children develop the habit of banking and also to make them our future customers, we have introduced suitable scheme for kids / children / students.Age Limit :

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10 years and aboveSuggested name : Mahabank-YuvaYojanaType of deposits : 1.Saving deposits :The account will be opened and operated. In the name of child simply by accepting deposit of Rs.10/- Only.Account to be operated by him/her. There will be no minimum balance criteria applicable to this account. No Cheque book will be issued to this account. However, minimum balance criteria will be made applicable after the age of 18 and when cheques book will be issued. 2.Recurring deposit :We may stipulate suitable monthly installment so that the student’s fee and other requirements are comfortably met with at the beginning of academic year. No TDS. Fixed deposit/Cash Certificate : Suitable amount is to be deposited as Cash certificate at the beginning of the year or birth day or every year to get Rs.50000 or Rs. 100000 at the end of the stipulated period.Other benefits :Free transfer of funds from parent’s account Under deposit Schemes for intercity for course fee, educational fee, hostel fee etc,. Free standing instruction for transfer of money from parent’s account in the same branch. Free standing instruction for transfer of money from Child’s account to RD account in the same branch. Free ATM debit card with specified spending Limit. Facility for free service for payment of utility bills likes mobile phones wherever available.Under Loans :Sanction of education loan at appropriate time to eligible students (i.e. at the time of admission to professional courses) holding account for more than six months. 

1.2 Maha Bank Lok Bachat Yojana   :- Purpose : To enable people belonging to “bottom of the pyramid” (Low income group) to open an account with the Bank.Who can open these account : Any individual who falls in the category of below poverty line (BPL) can singly / jointly open the account. The joint account holder should also belong to BPL category. Minors from BPL family are also eligible to open an account. In case the customer is unable to give any documentary proof of identity & address, to the satisfaction of the bank, the account can be opened with the introduction from existing account holder who has been subjected to full KYC procedure & having satisfactory operations in the account over six months. Subject to condition that balance in all accounts taken together should not exceed Rs. 50000/- & credit summation Rs. 1 lakh during the year.

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Initial amount: Account can be opened with any amount. It can be as low as Rs. 1/- (Rs. One only).Other important criteria : Minimum balance criterion is not applicable to this scheme. So no service charges to be debited for want of minimum balance. One cheque book of 10 pages allowed free of cost. Collection of third party cheques is not permitted. Collection of outstation cheques, issuance of DD/MT/TT¬ permissible at normal charges. Debit Card / ATM Card facility not available for the scheme.Rate of Interest : As applicable for normal savings bank accounts.  All other criteria applicable to regular savings bank accounts would apply to this scheme too.Relaxed KYC norms are applicable to this scheme.

1.3 Mahabank Swasthya Yojana :-Eligibility : All individuals in the age group of 5 yrs. to 65 years.Deposit : Initial Deposit as applicable to Savings Bank Deposit A/c. Eligibility for Insurance Cover : Primary account holders, spouse, children and dependant parents.Age Limit : 5 years to 65 years without medical examination. Children between 3 months and 5 years can be covered provided one or both parents are covered concurrently. Upper age limit upto 80 years only on renewals.What is Covered : Minimum Rs. 50,000 and in multiples of Rs. 50,000, Maximum Rs. 5 lacs.Sum Assured : Various hospitalization expenses for medical / surgical treatment arising out of any disease / illness / accident including pre-hospitalization expenses for specified period. Optional-Personal Accident (death only) is also covered.Policy Period : 12 months Risk to commence from date of D.D. / P.O.Nomination : Facility is available.

Income Tax Rebate : Available u/s. 80 D of IT Act. Cash Less Facility : Through TPA is available.

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1.4 NRI Ordinary Account   :- NON-RESIDENT ORDINARY ACCOUNTYou can open Rupee Checking Accounts, namely Rupee Savings Account or Rupee Current Account and Rupee Fixed Deposit Accounts. This account will be maintained in Indian Rupees.Non-Resident Indians and Persons of Indian Origin can open this type of account.When you become non-resident, the Rupee accounts held by you prior to your becoming non-resident get designated as Non-Resident Ordinary accounts. These accounts are for Non-Resident Indians who need an account to credit local dues like rent from property etc.Types of AccountsAll types of accounts can be opened under the scheme such as Current, Savings, Recurring and Term Deposit.Joint accounts: The account can be opened jointly with other Non-Resident Indians, or Resident in India.Account Opening: The account can be opened by the following funds:Remittance from abroad,Proceeds of Foreign Currency/notes/travellers cheques during the temporary visit of the account holder,Proceeds of Drafts/personal cheques,Transfer from existing FCNR/NRE accounts of same person andFunds from local sources representing bonafide transactions in Rupees.The funds held in these accounts are non-repatriable except in the following cases:Upto US$30,000/-per academic year to meet expenses in connection with education of their children,Upto US$1,00,000 to meet the medical expenses abroad of the account holder or his family members,Upto US$1,00,000 per year representing sale proceeds of immovable properties held by them for a period of not less than 10 years,Current income such as rent, dividend, pension, interest etc., net of applicable taxes.Permitted CreditsProceeds of remittances received from outside India through normal banking channel or foreign currency notes tendered by the account holder during his temporary visit to India or transfers or legitimate dues in India of the account holder.Permitted DebitsAll local payments in Rupees including payments for investments, subject to compliance with RBI regulations

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Remittance outside India of current income in India net of applicable taxes.Interest RatesInterest Rates on these accounts are the same as domestic rates.Income TaxInterest earned on these deposits shall be subject to at source deduction of Income tax at prevailing rates.

1.5 NRI External Account ”:- The account should be opened by the Non-Resident account holder himself and not by the holder of power of attorney in India,The account will be maintained in Rupees. The account can be maintained in any form such as Savings, Current, Recurring and Term Deposit etc.,The account can be opened jointly with another non-resident/s provided all the account holders are persons of Indian nationality or origin. Opening of accounts with resident Indian is not permitted,Opening of AccountRemittance from abroad,Proceeds of Foreign Currency notes/travellers cheques / During the temporary visit of the account holder,Proceeds of Draft/personal cheques,Transfer from existing FCNR / NRE accounts of same personRepatriationFunds held in this account including interest earned thereon are fully repatriable,Power of AttorneyPower of Attorney for the NRE account can be given to a local person allowing the person to operate the account for local payments, to make eligible investments etc.Tax BenefitsIncome by way of interest earned on these deposits is exempted from Income Tax. Balances held in these accounts are free from Wealth Tax.Nomination FacilityNomination facility is available for NRE accounts.Permitted CreditsProceeds of Foreign Currency cheques, drafts, travellers cheques, remittances from abroad in foreign currency, proceeds from your existing NRE / FCNR accounts, Interest on Govt. securities and dividend of UTI and other investments in shares and debentures provided that the investments were made by debit to the NRE / FCNR account.Permitted DebitsLocal Disbursements, Remittances outside India, transfer to NRE/FCNR of your own account. Investments in shares/securities/debentures of an Indian company is permitted subject to regulations in vogue.

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4.2. Current deposits schemes:-Eligibility:- Any individual, proprietorship or partnership firm or a legal person i.e. Institution or a Company or Trust, Corporate Bodies, Government / Semi-Government Departments, a developmental Agency formed by Government, can open a Current Account. Application for opening the Account should be tendered in Account opening form prescribed by the Bank The applicant / s should fulfill KYC norms by furnishing identity and address proof, two photographs & PAN number / Form No. 60 / 61 while opening new account as applicable to the constitution of applicant and as mentioned in the form.Minimum Balance in the account:- Minimum balance should be maintained in the account ON QUARTERLY AVERAGE basis as mentioned below: 

In Metro/ Urban/ Semi Urban Branches: Rs 5,000/-  Rural Branches Rs. 2,000/- 

IF quarterly average minimum balance in the account is not maintained, service charges will be levied once in every quarter. 

Details of charges are given under “Service Charges” displayed in home page of website. Also available in all branches with Branch Manager / Deputy Branch ManagerNomination:- Nomination facility is available.Interest:- No interest is payable on this accountOther Benefits:- The account holder/s can give standing instructions for transfer of funds from the account to any another account/s, make payment of electricity bills, Insurance Premium, Telephone bills, taxes, loan installments etc. Charges applicable are furnished in Service Charges Schedule available in every branch and also on Bank’s website Telebanking facility, SMS Banking facility, Mobile banking facility and Internet Banking facility are available.Free Mahabank VISA ATM / Debit Card.Deposit Insurance Cover upto Rs.1.00 lac.Special Current Accounts

Pearl, Sapphire, Diamond 

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2.1Pearl, Sapphire, Diamond:-Current Account Scheme Pearl, Sapphire & Diamond

Sr. No.

Features / ( Normal Charges)

Pearl Sapphire Diamond

1 Initial Deposit Amount for opening of the account.

Rs. 5,000/- Rs.5,000/- Rs. 5,000/-

2 Quarterly average balance required

Rs. 50,000/- Rs. 250,000/- Rs. 5,00,000/-

3Transactions allowed free of cost

UnlimitedUnlimited  

Unlimited 

4 Charges for non maintenance of minimum average balance

 Rs.500/- Qty 

Rs.1000/- QtyRs. 2500/- Qtly

5 Debit-cum-ATM Card

Free Free Free

6 Internet / SMS / Phone Banking Facility

Free 

Free 

Free

7 Online Tax Payment Facility

Free 

Free 

Free

8 Account statement through email /e-Statement

Free Weekly Free Weekly Free Weekly

9 RTGS / NEFT Services (For NEFT charges Rs. 5/- to Rs. 25 And RTGS charges Rs. 25/- to Rs. 50/- )

40% concessions on normal charges.

Free Free

10 Online Shopping / Utility bill Payment

Free Free Free

11 Demat Account Maintenance Charges(Rs.300/- Per year for individuals & Rs. 1000/- for

30% discount on normal charges

60% discount on normal charges every Year

Free

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Corporates )

12 Credit Card Issuance Charges (For 2 Years)(Rs.200/- per year)

Free Free Free

13 Maha Swasthya Yojana Cover of Rs.2.00 lakhs to Family (1+3) of Account Holder (Any one in Partnership, Pvt. Ltd. Co., SME's, trusts, Societies etc.) (Rs.3488/-)

Free for First Year

Free for First Year

Free for First Year

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Waiver on Processing charges on Car Loan & Housing Loan (Rs.250 per Lac)

40% Waiver for Car & Housing Loans are in the name of Proprietor, Firm & company Only

60% Waiver for Car & Housing Loans are in the name of Proprietor, Firm & company Only

60% Waiver for Car & Housing Loans are in the name of Proprietor, Firm & company Only

15 Cheque book issuance(Rs. 2.50 Per Leaf exceeding 60 leaves)

200 leaves Free 

500 leaves Free 

500 leaves Free 

16Standing Instructions Regn. (Rs.25/- per transaction)

50% concession on normal charges.

Free Free

17 Stop Payment Instruction charges (Rs. 100 per cheque Max Rs.1000/- per reference)

Free Free Free

18 Ledger Folio Charges (Rs. 60 per folio per year)

Free Free Free

19 Outstation/local- 30% discount 60% discount Free

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Cheques/ Bills, etc. collection charges. ( For Cheques Rs.150/- per instrument And for Bills Rs. 50 to max. Rs.15,000/- )

on normal charges.  

on normal charges.  

 

20 Speed Clearing (Rs.150/- for clearing amount of above Rs.1 Lakh )

50% discount on normal charges

75% discount on normal charges.

Free

21 Bankers Cheque/P.O./ DD / MT / TT facility (Min Rs.300/- to Max. Rs. 12,500/-)

50% discount on normal charges

75% discount on normal charges

Free

22 Remittance charges/Drafts issuing, etc. (Rs.50 to max. Rs.12500/- )

50% discount on normal charges.

75% discount on normal charges.

Free

23 Rebate on Locker Rent (of any size) (For 1 Year rent charges Rs.1080/-to Rs. 4800/-)

25% rebate in locker rent

50% rebate in locker rent

Free

 

4.3. Term Deposits:-

A   fixed deposit

Introduction:-

(FD) is a financial instrument provided by Indian banks which provides investors with

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a higher rate of interest than a regular savings account, until the given maturity date . It may or may not require the creation of a separate account. It is known as a Term Deposit in the Canada, Australia, New Zealand and the US and as Bond in United Kingdom they are considered to be very safe investments. Term Deposits in India is used to denote a larger class of investments with varying levels of liquidity. The defining criteria for a Fixed Deposit are that the money cannot be withdrawn for the FD as against Recurring deposit or Demand deposit before maturity. Some banks may offer additional services to FD holders such as loans against FD certificates at competent interest rates. It’s important to note that banks may offer lesser interest rates under uncertain economic conditions. The interest rate varies between 4 and 11 percent. The tenure of an FD can vary from 10, 15 or 45 days to 1.5 years and can be as high as 10 years. These investments are safer than Post Office Schemes as they are covered under Deposit Insurance & Credit Guarantee Scheme of India. They also offer Income tax and Wealth tax benefits.

Fixed deposits are a high-interest-yielding Term deposit offered by banks in India. The

most popular form of Term deposits are Fixed Deposits, while other forms of term

Deposits are Recurring Deposit and Flexi Fixed Deposits (the latter is actually a

combination of Demand deposit and Fixed deposit).

To compensate for the low liquidity, FDs offer higher rates of interest than saving

accounts. The longest permissible term for FDs is 10 years. Generally, the longer the term

of deposit, higher is the rate of interest but a bank may offer lower rate of interest for a

longer period if it expects interest rates, at which RBI lends to banks ("repo rates"), will

dip in the future.

Usually in India the interest on FDs is paid every three months from the date of the

deposit. (e.g. if FD a/c was opened on 15th Feb., first interest instalment would be paid on

15 May). The interest is credited to the customers' Savings bank account or sent to them

by cheque. This is a Simple FD. The customer may choose to have the interest reinvested

in the FD account. In this case, the deposit is called the Cumulative FD or compound

interest FD. For such deposits, the interest is paid with the invested amount on maturity of

the deposit at the end of the term.

Although banks can refuse to repay FDs before the expiry of the deposit, they generally

don't. This is known as a premature withdrawal. In such cases, interest is paid at the rate

applicable at the time of withdrawal. For example, a deposit is made for 5 years at 8 %,

but is withdrawn after 2 years. If the rate applicable on the date of deposit for 2 years is 5

per cent, the interest will be paid at 5 per cent. Banks can charge a penalty for premature

withdrawal.

Banks issue a separate receipt for every FD because each deposit is treated as a distinct

contract. This receipt is known as the Fixed Deposit Receipt (FDR), that has to be

23

surrendered to the bank at the time of renewal or encashment.

Many banks offer the facility of automatic renewal of FDs where the customers do give

new instructions for the matured deposit. On the date of maturity, such deposits are

renewed for a similar term as that of the original deposit at the rate prevailing on the date

of renewal.

Income tax regulations require that FD maturity precedes exceeding Rs 20,000 not to be

paid in cash. Repayment of such and larger deposits has to be either by “A/c payee

“crossed cheque in the name of the customer or by credit to the saving bank a/c or current

a/c of the customer.

Some Benefits of FD:-

Customers can avail loans against FDs up to 80 to 90 per cent of the value of deposits.

The rate of interest on the loan could be 1 to 2 per cent over the rate offered on the

deposit.

Nonresident Indian's and Person of Indian Origin can also open these accounts.

Taxability:-

Tax is deducted by the banks on FDs if interest paid to a customer at any branch exceeds

Rs 10,000 in a financial year. This is applicable to both interests payable or reinvested per

customer or per branch. This is called Tax deducted at Source and is presently fixed at

10 % of the interest. Banks issue Form 16 A every quarter to the customer, as a receipt for

Tax Deducted at Source.

If one feels that the total income for the year will not fall within overall taxable limits,

then he can submit Form 15 G, in case he is below 65 years of age, or Form 15 H, in case

he is above 65 years of age.

How bank FD rates of interest vary with RBI policy:-

In certain macroeconomic conditions (particularly during periods of high

inflation) RBI adopts a tight monetary policy, that is, it hikes the interest rates at

which it lends to banks ("repo rates"). Under such conditions, banks also hike

both their lending (i.e. loan) as well as deposit (FD) rates. Under such conditions

of high FD rates, FDs become an attractive investment avenue as they offer good

returns and are almost completely secure with no risk.

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3.1mahabank term deposits scheme2006:- (U/s. 80-C of IT Act.)

Eligibility:- Individual or HUFAmount of Deposit:- Minimum Rs 100/- Or im muliple thereof with maximum of Rs. 1 lakh in one Year i. e. from 1st April to 31 st March.Tenure of the Deposit:- Not less than 5 Years - Maximum up to 10 Years.Interest Rate:- Subject to change by the Bank from time to time.Types of Deposits & Interest Payment:- The Deposits can be accepted under the scheme in MIDR / QIDR/FDR/CDRAccordingly interest to be paid half yearly/ quarterly/monthly/in lump sum on maturity.Investment Limits:- Minimum of Rs. 100/- or in multiple thereof with maximum of Rs. 100,000/- in one year i.e. from 1st April to 31st March.Tax aspects:- Interest on these term deposits shall be liable to tax under the Act, 

The tax on such interest shall be deducted in accordance with the provisions of section 194A or section 195 of the ActPremature withdrawal:- Not allowed. No term deposit shall be encashed before the expiry of five years from the date of its receipt. 

But in the event of the death of the holder of a term deposit in respect of which a nomination is in force, the nominee or nominees shall be entitled at any time before or after the maturity of the term deposit to encash the term deposit.Transferability Feature:- Can be transferred from one branch to another branch of the BOM but not to any other banks branch.Nomination Facility:- Available as per our existing practice in the Bank.Trading and Pledging:- Not allowed. The term deposit shall not be pledged to secure loan or as security to any other asset even after completion of 5 years.Loan Against Deposit:- Not allowed in any case.Mode of Holding:- Single holder typeJoint holder type deposits. Provided that in the case of joint holder type deposit, the deduction from income under section 80C of the Income Tax Act shall be available only to the first holder of the deposit

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3.2 Recurring Deposit Scheme Eligibility : An Individual, firm, partner & company, can open recurring deposit account. Even a minor can open Recurring deposit account with us. It is ideal for Doctors, Engineers, Businessmen, students, household women etc.Amount of Deposit : Monthly installment with a minimum Rs.50/- and in multiples of Rs.10/- thereafterPeriod of Deposit : Minimum 6 months to maximum 120 months.Mode of Payment By deposit of cash By transfer from SB, CA account by issuing S.I.Rate of Interest:- Attractive rate of interest paid on deposit as decided by the bank from time to time on maturity patterns. Penalty for late payment of monthly instalments.Mode of Payment:- The entire proceeds will be paid one month after last installment is paid or maturity date whichever is later BenefitsNO TDS.Loan facility is available Up to 90% of deposit amount.Nomination facility is available.Account can be transferred from one branch to another branch.

The salient features of Recurring Deposit Accounts:1. No TDS on interest earned by the depositor in Recurring deposits. 2. Loan facility is available against the security of the deposit – upto 90% of deposit and interest accrued.3. Bank deposits are liquid investments and can be en-cashed at any time.

3.3Monthly Interest Deposit Scheme  Mahabank's monthly interest deposit scheme offers the convenience of getting monthly income, just like an added income to normal earnings, making it possible to plan monthly budget.Eligibility : The Account can be opened in the name of an individual, minor, joint depositors, firms, corporate, clubs etc.

26

Amount of Deposit : Minimum amount of deposit Rs.1000/- and in multiples of Rs.100/- thereafter.Rate of Interest : Attractive Rate of interest as decided by Bank from time to time on maturity patterns. The monthly interest is calculated at discounted value.Period of Deposit : Period of deposit would range from a minimum period of 12 months to maximum period of 120 months.Other benefits: Int. would be credited as per instructions of depositor to his SB, CA, RD a/c etc.Loan facility is available Upto 90% of the deposit.Nomination facility is available

3.4Quarterly Interest Deposit Scheme  Bank of Maharashtra Quarterly interest deposit scheme is an ideal scheme to plan tax liabilities or investment depending upon the quarterly interest paid on deposit.Eligibility : Any individual, firm, corporate, minor, joint depositors or club etc.Amount of Deposit : Minimum amount is Rs.1,000/- and in multiples of Rs.100/- thereafter.Rate of Interest : The bank decides attractive rate of interest from time to time on maturity patterns.Period of Deposit : Period of deposit varies from 12 months to 120 months.Nomination : Nomination facility is available.Other benefits:Loan facility is available Up to 90% of the deposit.Interest will be deposited quarterly as per instructions of the depositor to his SB, CA or any other account

3.5 Cumulative Deposit Scheme(CDR)  Mahabank's Cumulative deposit scheme gives a rate of return much higher than the apparent rate stated on the deposit receipt as this deposit earns an interest on quarterly compounded basis.Eligibility :

27

Any individual, singly or jointly or a firm, corporate, club etc.Amount of Deposit : Minimum amount of deposit is Rs.100/- and in multiples thereof.Rate of Interest : Attractive rate of interest as decided by bank from time to time on maturity patterns.Period of Deposit : The period of deposit ranges from a minimum of 6 months up to a maximum of 120 months.Nomination:- Nomination facility is available.Other benefits:- Loan facility is available Upto 90% of the deposit plus accrued interest thereon.No TDS if appropriate forms (15 H / 15 G) are submitted.Annual yield and date of maturity to be informed to the depositor.Autorenewal instructions be obtained.

3.6 Mahabank – Sheetal Jama Yojana Eligibility :- For all Individuals, singly or jointly, firms, corporate bodies, Public Sector Undertakings Associates, Trusts, etc.Amount of Deposit : Minimum Rs.5000/- (called lot comprising of 5 units of Rs.1000/-) and in multiples of Rs.1000/-. No maximum limit.Period of Deposit : Each lot of the deposit under this scheme may be accepted for minimum period of 15 days and maximum period of 5 yearsInterest : Interest payable half yearly. No compounding. Rate of interest will be decided by Bank from time to time.Documents : For depositors - Pass Book will be issued. 

For Bank - A/c opening form, duly Introduced.Special Features : It is a unique scheme which combines the best features of short term deposits and the current account. Automatic renewals on maturity. Withdrawals freely allowed in multiples of Rs.1000/-. For withdrawals, special slips are provided. 

Unwithdrawn portion continues to earn interest at contracted rate. Last in First Out (LIFO) method applied for withdrawals. Interest amount is separately paid or credited to the depositor’s SB account.

28

Facilities Available : Loan Upto 90% of the accrued amount. Nomination facility is available. Premature closure allowed. Transfer from one branch to another branch allowed

3.7 Mixie Deposit Scheme Eligibility : Any Individual, singly or jointly.Amount of Deposit : Minimum amount Rs.10,000/- and in multiples of Rs.1000/- thereafter.Rate of Interest : Interest as per term deposit rate decided by the bank from time to time on maturity patterns.Period : The deposits under Scheme are accepted for minimum period of 2 years and in multiples of three months thereafter with maximum period of 120 months.More Convenient : Clubbing of 2 or more Mixie Deposit receipts in the same name is allowed for availing Mixie Overdraft account.Auto Liquidity : Soon after cheque book is issued, Bank will open a Mixie Overdraft account in customer's name. Further cheques issued would be debited to this account only. Customer can clear the overdraft with interest and enjoy revolving credit.

Rate of interest charged on Mixie Overdraft account would be 2% over and above the rate of deposit.Nomination : Nomination facility is available.Levy of other charges : The Bank will not charge other charges such as, folio charges etc. to Mixie Overdarft Account.

On maturity, proceeds of Mixie are credited to clear the overdraft and balance is credited to depositor’s account. Depositor may prefer to renew the deposit & continue facility

29

3.7 Mahabank- Trust Deposit Scheme Target Group : Public TrustsSalient Features : A Registered public trust will be eligible for opening the account under this scheme.Scheme Details : A Registered Public Trust will be eligible for benefits under the Scheme if a) It maintains a Term Deposit of Rs. 5 lakhs for minimum three years and/or Savings Deposits / Current Deposits of Rs. 50,000/- (average balance). Apart from regular interest payable on these deposits as per prevailing rates the Trust will be eligible for following additional benefits. There will be 50% concession in Collection Charges. There will be 25% concession in the Commission of DDs/MTs/Pos. Free acceptance of donations. Whenever such accounts are opened, a legend "UNDER MAHABANK TRUST DEPOSIT SCEME" may be recoded to distinguish the account from others.

(SB Account of only those Public Trusts can be opened whose entire income is exempt from payment of income tax under I.T. Act 1961)

Interest RatesDomestic Term Deposits/ NRO Term Deposits:-(Effective from 11.09.2012)

Duration For amount less than Rs. 1.00 crore For amount Rs. 1.00 crore to Rs. 5.00 crore

Indicative Rates for amount above Rs. 5.00 crore

  Normal(% p.a.)

Annualized Yield (% p.a.)

Senior Citizen (% p.a.)

Annualized Yield (% p.a.)

Normal(% p.a.)  

Annualized Yield (% p.a.)

Normal(% p.a.) 

Annualized Yield (% p.a.)

7 to 14 Days

4.00 4.00 4.00 4.00 7.00 7.00 7.00 7.00

15 to 45 days

5.50 5.50 5.50 5.50

  8.00 8.00 8.00 8.0046 to 90 days

7.00 7.00 7.00 7.00

91 days to 180

7.00 7.06 7.50 7.57 8.00 8.08 8.00 8.08

30

days

181 days to less than 1 year

8.50 8.77 9.00 9.31 8.50 8.77 8.50 8.77

One year 9.10 9.42 9.85 10.22 9.10 9.42 9.10 9.42

Mahanidhi (444 days)

9.30 11.86 10.05 12.86 - - - -

Above one year to 3 years

9.10 10.33 9.85 11.30 9.10 10.33 9.10 10.33

Over 3 years to 5 years

9.00 11.21 9.75 12.37 8.75 10.83 8.75 10.83

Over 5 years to 10 years

9.00 14.35 9.75 16.20 8.50 13.19 8.50 13.19

 The rate of interest on Bank Term Deposits Scheme, 2006 (Tax Saving Scheme for 5 year term deposit) up to investments ofRs. 1.00 Lakh only will be 9.00%.In case of premature withdrawal of deposits, interest is payable at the rate applicable to the period for which deposit has been actually held with the Bank.On premature withdrawal of term deposits, for deposits up to 1 year maturity (tenor at the time of opening the account) there will be NO PENALTY on the applicable interest rate. Interest rates on prematurely withdrawn term deposits with maturity period more than 1 year will be 1% below the applicable rate.Deposits to be accepted for a maximum period of 10 years.All rates are subject to change from time to time. "Maha Double" Deposit Scheme:-Under "Maha Double" Deposit Scheme, deposits will be doubled in 94 months for depositors other than senior citizens. For senior citizens, under the scheme deposits will be doubled in 87 months.

  Category   Duration For amount less than Rs. 1.00 crore

    Normal (% p.a.) Annualized Yield (% p.a.)

For General Public 94 months 9.00 12.86

For senior Citizens 87 Months 9.75 13.93

  

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CHAPPTERNO.V

DATA ANALYSIS AND INTERPRETATION

QUESTIONARY

1. Are you interesting in saving money?a) Yes b) No.

Table no.1 showing interest of customers.

Particular Interesting in Saving PercentageYes 27 90%No 3 10%Total 30 100%

(Table no.1)

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90%

10%

FrequencyYes No

Interpretation:-

The above table shows that 90% peoples are interesting in saving money and remaining

10% peoples are not interested in saving the money.

2. In which type you want to save your money?a) Bank Depositsb) Land c) Goldd) Share market

Table no. 2 showing most used investing options

Particular Frequency PercentageBank Deposits 16 59.26%

Land 5 18.52%Gold 6 22.22%

Share market 0 00.00%Total 27 100%

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(Table no. 2)

57%

18%

21%4%

InverstorsBank Depositors Land Gold share market

Interpretation:-

The above table indicating that investors gives more preference to Bank Deposits (64%)

than Land (27%) & Gold (9%) while investing his money.

3. In which type of Bank you choose for investment your money?a) Nationalizedb) Privatec) Scheduled) Co-operative

Table no. 3 showing equipment using for order.

Particular Medium PercentageNationalized 20 74.07%Private 2 07.41%Schedule 2 07.41%Co-operative 3 11.11%Total 27 100%

34

(Table no. 3)

74%

7%

7% 11%

Types of banksnationalized private schedule co-operative

Interpretation:-

The above table showing that near about 74.07% investors invests his savings in

Nationalized banks rather than 7.41% investors invest his money in Private and Schedule bank

and remaining 11.11% invest money into Co-operative banks.

4. Why are you choice Nationalized banks for invest your saved money?a) Securityb) Easy to withdrewc) Liquidityd) Assurance of repayment

Table no. 5 showing reasons for choice of nationalized banks.

Particular Medium PercentageSecurity 5 18.52%Easy to withdrew 5 18.52%Liquidity 4 14.81%Assurance of Repayment 13 48.15%Total 27 100%

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(Table no. 4)

19%

19%

15%

48%

Column1Security Easy to withdrewliquidity Assurance of repayment

Interpretation:-

The above table represents that investors choice nationalized banks because assurance

of liquidity 48.51 %, rather than liquidity 14.81% and security 18.52% and easy to

withdrew18.52.

5. Which type of deposits scheme of Bank of Maharashtra you like most?

a) Saving deposit

b) Fixed deposit

c) Recurring deposit

d) Current deposit

Table no. 5 showing most preferred type of deposit.

Type of account Frequency PercentageSaving deposit 7 25.93%Fixed deposit 15 55.56%Recurring deposit 2 07.41%

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Current deposit 3 11.10%Total 27 100%

(Table no. 5)

26%

56%

7% 11%

Type of depositSaving deposit fixed deposit Recurring deposit Current deposit

Interpretation:-

The above table represents that most of the investors invest his money in fixed

deposit 55.56 %, rather than invest money in saving deposit 25.93% and 7.41% in recurring

deposit and remaining 11.10 in current deposits schemes.

6. Bank of Maharashtra provides any other special services such as royal customer and cash pick up to depositors?a) Yes b) No

Table no.6 showing other special services.

Particular Frequency PercentageYes 18 60%No 12 40%Total 30 100%

(Table no.6)

37

60%

40%

FrequencyYes No

Interpretation:-

The above table shows that 60% customers are get other facilities form bank and 40%

customers do not get any other facilities.

7. Which services provides by Bank of Maharashtra to you?a) lockersb) Internet bankingc) A.T.M. servicesd) Mobile bankinge) Other services

Table no.7 showing services of bank.

Particular Frequency PercentageLockers 5 16.67%Internet banking 5 16.67%ATM services 18 60%

38

Other services 2 6.67%Total 30 100%

(Table no. 7)

Lockers17%

Internet banking17%

ATM services60%

Other services7%

Frequency

Interpretation:-

The above table showing that near about 60% using ATM service,17% using

lockers, 17% using internet banking and only 6% customer using other services of

banks.

8. How you get information about various deposits scheme of BOM?a. Existing customers.b. Internet c. Print media d. Mass media. e. Other

Table no.8 showing sources of information.

Particular Frequency PercentageExisting customer 14 46.67%Internet 4 13.33%Print media 6 20%Other 6 20%

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Total 27 100%

(Table no. 8)

Interpretation:-

The above table represents that 52% customers are get information from existing customers, 22% get from print media,15% customers get from internet and only 11% customers get information from other sources.

9. Are you satisfied with services provides by Bank Of Maharashtra?a) Yes b) No

Table no.9 showing customers satisfaction.

Particular frequency PercentageYes 25 83%No 5 17%Total 30 100%

(Table no.9)

40

52%

15%

22%

11%

FrequencyExisting customer Internet Print media Other

Yes83%

No17%

frequency

Interpretation:-

The above table represents that 83% customers satisfied from services provide by bank of bank of Maharashtra and 17% customers are not satisfied from services provide by bank of bank of Maharashtra.

CHAPTER VIFindings:-

Banking is an important business in India.

Periodical survey is very essential in accepting deposits.

Customers are very interesting in saving money for future use.

Investors are gives more preference to save money in bank deposits rather than others.

41

Mostly customers are invested money in nationalized bank.

Nationalize banks gives assurance of repayment and security of deposits to customers.

Fixed deposits or time deposits are most popular of deposit schemes.

Bank of Maharashtra provides special services to customers.

ATM services are widely used service of Bank of Maharashtra.

Existing customers plays a significant role in creating an awareness of various deposits schemes to new customers.

Most of customers are satisfied with services of Bank of Maharashtra.

.

CHAPTER VII

RECOMMENDATION:-

The proper treatment should be give to customer by the staff of the bank.

As compare to private sector bank our bank provides less A.T.M. centres.

Our interest rates of Deposits are much lower as compare to co-operative banks.

Increase the working hours from 10.30 am. To 5 pm so people can access more

services.

42

Try to locate the Branches in easily assessable areas.

The bank has to provide more effective services to Royal customers and long term

customer.

Give incentives to staff to motivation them for maintaining long term relationship

with customers.

Develop the infrastructure of branch to provide more services to customer.

CHAPTR VIII

CONCLUSION:-

Banking in India is from long time back. But that time banking and today’s banking has huge difference. Because there are many developments in banking sectors. Internet banking, core banking these are new face of today’s banking system. Only keeping money safe in the bank is not the business, banks expand their business time to time with the era of technology.

Accepting Deposits is one of the important functions of the bank. Lending is nothing but granting of loans and advances to general public or business. We can say accepting deposits is a major source of finance to bank. Deposits helps bank to increase banks profitability. It means if the bank has more deposits then bank ultimately the bank sanction more loans and earn large amount of income i.e. interest. For smooth functioning of accepting deposits banks prepare their own policy with consideration of rules, regulations and guidelines of RBI.

43

We studied different deposits schemes of bank of Maharashtra but customers investing behavior is depend upon the interest rates of banks given to deposits. In 21st century there are number of financial institutions are available in market who give more interest and a good satisfactory service to customers rather than banks.

BIBILIOGRAPHY:-

Books:- Banking theories & practices: - Dr. P.K. Shrivastav. Principles of Banking :- McMillan Money Banking: - T.N. Haneja. Public Finance :- T.N. Taneja

Websites:-www.rbi.org.inwww.bankofmaharastra.com

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ANNEXURE:-

1. Are you interesting in saving money?-Yes -No.

2. In which type you want to save your money?-Bank Deposits-Land -Gold-Share market

3. In which type of Bank you choose for investment your money?-Nationalized-Private-Schedule

45

-Co-operative

4. Why are you choice Nationalized banks for invest your saved money?-Security-Easy to withdrew-Liquidity-Assurance of repayment

5. Which type of deposits scheme of Bank of Maharashtra you like most?

-Saving deposit

-Fixed deposit

-Recurring deposit

-Current deposit

6. Bank of Maharashtra provides any other special services such as royal customer and cash pick up to depositors?

-Yes -No

7. Which services provides by Bank of Maharashtra to you?-lockers-Internet banking-A.T.M. services-Mobile banking-Other services

8. How you get information about various deposits scheme of BOM?-Existing customers.-Internet -Print media -Mass media. -Other

9. Are you satisfied with services provides by Bank Of Maharashtra?-Yes -No

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