Report Iip

8/6/2019 Report Iip

http://slidepdf.com/reader/full/report-iip 1/51

Table of Contents

1.EXECUTIVE SUMMARY...................................................................................3

2.INTRODUCTION.................................................................................................4

2.1 INDUSTRY OVERVIEW...........................................................................6

2.2 COMPANY OVERVIEW.........................................................................16

3. PROJECT PROFILE..........................................................................................29

3.1 OBJECTIVE OF THE STUDY.................................................................29

3.2 METHODOLOGY....................................................................................30

4. OBSERVATIONS AND ANALYSIS................................................................31

5. FINDINGS..........................................................................................................45

6. RECOMMENDATIONS....................................................................................46

7. CONCLUSION...................................................................................................48

8. LEARNING OUTCOME...................................................................................49

9. ANNEXURE.......................................................................................................50

10. REFERENCES.................................................................................................51

10. REFERENCES

1

8/6/2019 Report Iip


CONTENTS OF TABLE AND FIGURES

TABLES PAGE NO.

TABLE 4.1 : AGE GROUP OF SURVEYED RESPONDENTS 31

TABLE 4.2 : GENDER CLASSIFICATION OF SURVEYED RESPONDENTS 32

TABLE 4.3 : DO YOU KNOW ABOUT HDFC HOUSING DEVELOPMENTFINANCE CORPORATION LTD?

33

TABLE 4.4 : REASONS FOR GETTING THE HOME FINANCED 34

TABLE 4.5 : FROM WHERE HAVE YOU GET HOME FINANACED 35

TABLE 4.6 : SOURCES OF INFORMATION ABOUT HOME LOANS SCHEME 36

TABLE 4.7 : DATA GIVES PREFERENCE OF RESPONDENTS OFHOME LOANS COMPANIES AND BANKS

38

FIGURES PAGE NO.

FIGURE 4.1 : NO.OF RESPONDENTS OF AGE GROUP 31

FIGURE 4.2 : GENDER CLASSIFICATION 32

FIGURE 4.3 : NO.OF RESPONDENTS OF KNOWING HDFC LTD. 33

FIGURE 4.4 : REASONS FOR GETTING THE HOME FINANCED 34

FIGURE 4.5 : FROM WHERE HAVE YOU GET HOME FINANACED 35

FIGURE 4.6 : SOURCES OF INFORMATION ABOUT HOME LOANS

SCHEME

37

FIGURE 4.7 : NO.OF RESPONDENTS OF VARIOUS BANKING COMPANIES. 38

2

8/6/2019 Report Iip


1.EXECUTIVE SUMMARY

Home is a dream of a person that shows the quantity of efforts, sacrifices luxuries and above all

gathering funds little by little to afford one’s dream. Home is one of the things that everyone

one wants to own. Home is a shelter to person where he rests and feel comfortable. Many banks providing home loans whether commercial banks or financial institutions to the people who

want to had a home. The housing sector plays an important role in the economic development of

the country.

My project title is “A STUDY ON HOME LOANS”. I selected this topic because The Indian

housing finance industry has grown by leaps and bound in few years.Total home loans

disbursements by banks has risen which witnesses phenomenal growth from last 5 years. There

are greater number of borrowers of home loans.so by this study we can find our satisfaction

level of customers and problems faced by them in obtaining home loans.

3

8/6/2019 Report Iip


2.INTRODUCTION

Housing Development Finance Corporation Limited (HDFC Ltd.) was established in 1977 with

the primary objective of meeting a social need of encouraging home ownership by providing

long-term finance to households. Over the last three decades, HDFC has turned the concept of housing finance for the growing middle class in India into a world-class enterprise with

excellent reputation for professionalism, integrity and impeccable service.

HDFC's unrelenting focus on Corporate Governance, high standards of ethics and clarity of

vision, percolate through the organization. Trust, Integrity, Transparency and Professional

Service are the important pillars of the brand HDFC and most importantly, people - both

employees and customers - are its brand ambassadors.

HDFC's wide product range includes loans for purchase and construction of a residential unit,

purchase of land, home improvement loans, home extension loans, non-residential premises

loans for professionals and loan against property, while its flexible repayment options include

Step Up Repayment Facility (SURF) and Flexible Loan Installment Plan (FLIP).

Today, HDFC is recognised as one of the Best Managed Companies in India and is a model

housing finance company for developing countries with nascent housing finance markets. HDFC

has undertaken several consultancy assignments in various countries across Asia, Africa and

East Europe to support and establish their housing finance institutions.

HDFC-(Housing Development And Finance Corporation) Home Loan, India have been serving

the people for around three decades and providing various housing loan according to their

varied needs at attractive & reasonable interest rates. Owing to their wide network of

financing, HDFC Housing Loans provides services at your doorstep and helps you find a home

as per your requirements.

Many banks are providing home loans at cheapest rate to attract consumers towards

them. The more customer friendly attitude of these banks, currently offer to consumers

4

http://www.hdfc.com/loans/home-loan.asp

http://www.hdfc.com/loans/hm-ext-loan-features.asp


http://www.hdfc.com/loans/hm-equity-loan-features.asp

http://www.hdfc.com/loans/home-loan.asp


http://www.hdfc.com/loans/hm-equity-loan-features.asp

8/6/2019 Report Iip


cheapest loan over homes.

In view of acute housing shortage in the country, and keeping in mind the social – economic role

of commercial banks in the present times, the RBI advised banks to encourage the flow of credit

for housing finance.

With the RBI reducing bank rate, the home loan market rates nose-diving by 50 basis points.

The HDFC Bank and Standard chartered bank has become the first player in this sector to

announce a housing loan for a 20 years period. No doubt it will enhance the end cost people to

plan their house over longer duration now; it has been made easy for a person to buy that dream

house which he dreamt of long ago.

HDFC also provides with Home Improvement Loan for internal and external repairs and other

structural improvements like painting, waterproofing, plumbing and electric works, tiling andflooring, grills and aluminium windows. HDFC finances up to 85% of the cost of renovation

(100% for existing customers). Current status is that HDFC reduced home loan rates by 50 basis

points for all its existing floating rate customers.

There is no strongest foundation for your dream home, than a cheap loan. Many banks are

providing home loans at cheapest rate to attract consumers towards them. My objectives of study

are:-

• To learn about various aspect of Home Loan of HDFC Ltd

• To attain the knowledge of the processing system of Home Loans

• To know the Customers perceptions about home loans of HDFC Ltd

• To know the awareness of customers about home loan products and services

• To study the satisfaction level of customers about home loans

• To study the problems faced by customers in obtaining the home loans

5

8/6/2019 Report Iip


2.1 INDUSTRY OVERVIEW

A pioneer and leader in housing finance in India, since inception, HDFC has assisted more than

3.5 million families to own a home of their own, through cumulative housing loan approvals of

over Rs. 2.98 trillion and disbursements of over Rs. 2.42 trillion as at March 31, 2010.

HDFC has a wide network of 287 offices (which includes 66 offices of HDFC's wholly owned

distribution company HDFC Sales Private Limited) catering to over 2,400 towns & cities spread

across the country. It also has offices in Dubai, London and Singapore and service associates in

the Middle East region, to provide housing loans and property advisory services to Non-

Resident Indians (NRIs) and Persons of Indian Origin (PIOs).

Customer satisfaction is the hallmark of all HDFC offerings. The first touch of HDFC's

personalised service begins as soon as a customer approaches HDFC, and over time it progresses

into a long and meaningful relationship. State-of-the-art information systems supported by

strong in-house training programmes conducted at its specialized training centre in Lonavla,

have equipped HDFC to respond swiftly to the ever-changing customer needs and thereby

empower customers in making the right home buying decision. This is what sets apart HDFC's

customer service philosophy - 'With You, Right Through'.

HDFC's specialist team of over 1,500 trained and experienced professionals follows a 'single-

window concept' for providing smooth and value added services at all stages. The team guides

the customers right through the entire process of property purchase - be it property search

assistance, technical support prior to finalising the property, legal advice on property related

documentation, personalised home loan counseling or providing tailor-made repayment optionsto suit the customer's specific requirements.

6

http://www.hdfc.com/



8/6/2019 Report Iip


HDFC also has a robust deposits mobilisation programme. HDFC has been able to mobilise

deposits from over 10 lac depositors. Outstanding deposits grew from Rs. 1,458 crores in March

1994 to Rs 23,081 crores in March 2010. In addition, HDFC has received 'AAA' rating for its

Deposit products for highest safety from both CRISIL and ICRA for sixteen consecutive years.

HDFC is how millions of Indian families spell the word 'Home' as the brand not only offers

Housing Finance, but also Total Housing Solutions.

Housing Development Finance Corporation Limited , founded 1977 by Ravi Maurya and

Hasmukhbhai Parekh, is an Indian NBFC, focusing on home mortgages. HDFC's

distribution network spans 243 outlets that include 49 offices of HDFC's

distribution company, HDFC Sales Private Limited. In addition, HDFC covers over 90

locations through its outreach programmes. HDFC's marketing efforts continue to beconcentrated on developing a stronger distribution network. Home loans are also Sharcket

through HDFC Sales, HDFC Bank Limited and other third party Direct Selling Agents.

HDFC Incorporated in 1977 with a share capital of Rs 10 Crores, HDFC has since emerged as

the largest residential mortgage finance institution in the country. The corporation

has had a series of share issues raising its capital to Rs. 119 Crores. The gross premium income

for the year ending March 31, 2007 stood at Rs. 2,856 Crores and new business premium

income at Rs. 1,624 Crores. The company has covered over 8,77,000 lives year ending March

31, 2007.

HDFC operates through almost 450 locations throughout the country with its

corporate head quarters in Mumbai, India. HDFC also has an International Office in Dubai,

UAE with service associates in Kuwait, Oman and Qatar. HDFC is the largest housing

company in India for the last 27 years.

7

8/6/2019 Report Iip


SUBSIDIARIES & ASSOCIATE COMPANIES SUBSIDIARIES & ASSOCIATE

COMPANIES

HDFC BANK

HDFC MUTUAL FUND

HDFC STANDARD LIFE INSURANCE

HDFC SALES

HDFC GENERAL INSURANCEHDFC REALTY

HDFC BANK

It was incorporated in august 1994 It was incorporated in august 1994 and has an nationwide

network of and has an nationwide network of 761 branches & 1794 ATM’s in 327 761

branches & 1794 ATM’s in 327 Indian towns and cities

HDFC MUTUAL FUND

8

8/6/2019 Report Iip


HDFC Asset Management Company HDFC Asset Management Company Limited (AMC) was

incorporated Limited (AMC) was incorporated under the Companies Act, 1956 on under the

Companies Act, 1956 on Dec. 10, 1999, and was approved to Dec. 10, 1999, and was approved

to act as an AMC for the HDFC Mutual act as an AMC for the HDFC Mutual Fund by SEBI

vide letter dated July 3, Fund by SEBI vide letter dated July 3, 2000. 2000.

In AMC, 60% shares was holded by In AMC, 60% shares was holded by HDFC & 40% by

Standard Life HDFC & 40% by Standard Life Investments Limited Investments Limited.

Products of AMC Products of AMC

Equity / Growth Fund Equity / Growth Fund

Liquid Funds Liquid Funds

Children’s Gift Fund Children’s Gift Fund

Debt / Income Funds Debt / Income Funds

Fixed Maturity Plan Fixed Maturity Plan

HDFC Standard Life

HDFC Standard Life Insurance Company Ltd. is one of India's Company Ltd. is one of

India's leading private insurance companies, leading private insurance companies, which offers

a range of individual and which offers a range of individual and group insurance solutions. It is

a joint group insurance solutions. It is a joint venture between HDFC Ltd., and a venture

between HDFC Ltd., and a Group Company of the Standard Life, UK. HDFC as on December

31, 2007 UK. HDFC as on December 31, 2007 holds 72.38 per cent of equity in the holds

72.38 per cent of equity in the joint venture.

9

8/6/2019 Report Iip


HDFC ERGO HDFC ERGO

HDFC ERGO brings insurance solution HDFC ERGO brings insurance solution that its

customer rely on. Its offering that its customer rely on. Its offering are classified into three

categories. are classified into three categories.

PERSONAL INSURANCE PERSONAL INSURANCE

ACCIDENT & HEALTH INSURANCE ACCIDENT & HEALTH INSURANCE

COMMERCIAL INSURANCE COMMERCIAL INSURANCE

HDFC Realty

HDFC Realty is a wholly owned HDFC Realty is a wholly owned subsidiary of HDFC. We

have assisted subsidiary of HDFC. We have assisted individuals in acquiring homes valued

individuals in acquiring homes valued at 5000 million rupees. at 5000 million rupees.

It has a team of real estate It has a team of real estate professionals facilitating Buying,

professionals facilitating Buying, Selling or Leasing of Residential / Selling or Leasing of

Residential / Commercial property.

There are few major players in this housing finance companies.

Birla Home Finance Limited

BOB Home Loan

Canara Bank Home Loan

Dewan Housing Home Loan

GIC Home Loan

HDFC Home Loan

HSBC Home Loan

ICICI Home Loan

IDBI Home Loan

LIC Home Loan

PNB Home Loan

SBI Home Loan

Sundaram Home Finance

10

http://www.iloveindia.com/real-estate/housing-finance-companies/birla.html

http://www.iloveindia.com/real-estate/housing-finance-companies/bob.html

http://www.iloveindia.com/real-estate/housing-finance-companies/canara.html

http://www.iloveindia.com/real-estate/housing-finance-companies/dewan.html

http://www.iloveindia.com/real-estate/housing-finance-companies/gic.html

http://www.iloveindia.com/real-estate/housing-finance-companies/hdfc.html

http://www.iloveindia.com/real-estate/housing-finance-companies/hsbc.html

http://www.iloveindia.com/real-estate/housing-finance-companies/icici.html

http://www.iloveindia.com/real-estate/housing-finance-companies/idbi.html

http://www.iloveindia.com/real-estate/housing-finance-companies/lic.html

http://www.iloveindia.com/real-estate/housing-finance-companies/pnb.html

http://www.iloveindia.com/real-estate/housing-finance-companies/sbi.html

http://www.iloveindia.com/real-estate/housing-finance-companies/sundaram.html

http://www.iloveindia.com/real-estate/housing-finance-companies/birla.html

http://www.iloveindia.com/real-estate/housing-finance-companies/bob.html

http://www.iloveindia.com/real-estate/housing-finance-companies/canara.html

http://www.iloveindia.com/real-estate/housing-finance-companies/dewan.html

http://www.iloveindia.com/real-estate/housing-finance-companies/gic.html

http://www.iloveindia.com/real-estate/housing-finance-companies/hdfc.html

http://www.iloveindia.com/real-estate/housing-finance-companies/hsbc.html

http://www.iloveindia.com/real-estate/housing-finance-companies/icici.html

http://www.iloveindia.com/real-estate/housing-finance-companies/idbi.html

http://www.iloveindia.com/real-estate/housing-finance-companies/lic.html

http://www.iloveindia.com/real-estate/housing-finance-companies/pnb.html

http://www.iloveindia.com/real-estate/housing-finance-companies/sbi.html

http://www.iloveindia.com/real-estate/housing-finance-companies/sundaram.html

8/6/2019 Report Iip


Home loans in India have made people Buy Property in India in spite of the skyrocketing prices.

Today, we find considerable Real Estate Investment in India, either in the field of Residential

Property in India or Commercial Properties in India. Home Loans in India are disbursed by

many Banks as Loan Banking is on of the most important function of the Financial Services in

India. Property Dealers and Real Estate Consultants in India usually recommend that we

undertake appropriate Home Loan or Mortgage Loan counseling so that we can Buy Apartment

in India at an affordable Mortgage Rate.Purchasing the home of your dreams is not an easy task.

Especially when you plan to buy a home on loan. Home loan means that you buy a house on

installments. In simpler terms when you want to own a home and can’t afford to pay the amount

in lump sum, you can pay it in monthly installments with an interest rate.

The interest rates of home loans are expected to go down even further according to analysts who

foresee a cut down in the rates by the RBI in the wake of the decision taken by US Federal

Reserve to cut its rates by a significant margin. There are number of companies offer cheap

home loans at a low interest rate. You can avail loan against existing house for renovation or

expansion etc. There are many nationalized banks that offer finance for affordable housing.

India Housing has put together a comprehensive data to provide you with the cheapest Home

Loans available in the market. We have listed all the important housing finance institutes and

some of the top home finance banks providing lowest interest rates.

In the last few years, housing loan scenario in India has changed drastically. It has taken a frontseat and people are looking forward to owning their own houses. It is no more a dream that

required lifetime saving and a difficult decision to make. Today the new home purchase loan is

much easily available and is much cheaper than what was available earlier. Banks are now

everywhere and the schemes are implemented even in villages and smaller towns. The housing

loans are popular there too, however, the activity of building flats is little slow. It would not be

wrong to say that there has been a boom in the home loan market and with this boom; there is

also a boom in the Number of home loans mortgage brokers in India.

The main reason for this boom in home loan market is the change in government policies. It is

our government’s motivation that the home loan interest rates in India have fallen considerably.

Lot many banks are offering home loans and this is available at low EMIs (Equated monthly

Installments). High EMIs are now a thing of past. Today lending rate is in the range of 7.5-15%.

11

8/6/2019 Report Iip


8/6/2019 Report Iip


Home improvement loans:-

These loans are given for implementing repair works and renovations in a home that has already

been purchased, for external works like structural repairs, waterproofing or internal work like

tiling and flooring, plumbing, electrical work, painting, etc. One can avail of such a loan facility

of a home improvement loan, after obtaining the requisite approvals from the relevant building

authority.

Home extension loans:-

An extension loan is one which helps you to meet the expenses of any alteration to the existing building like extension/ modification of an existing home; for example addition of an extra room

etc. One can avail of such a loan facility of a home extension loan, after obtaining the requisite

approvals from the relevant municipal corporation.

Home conversion loans:-

This is available for those who have financed the present home with a home loan and wish to

purchase and move to another home for which some extra funds are required. Through a home

conversion loan, the existing loan is transferred to the new home including the extra amount

required, eliminating the need for pre-payment of the previous loan.

Land purchase loans:-

This loan is available for purchase of land for both home construction or investment purposes.

Stamp duty loans:-

13

8/6/2019 Report Iip


This loan is sanctioned to pay the stamp duty amount that needs to be paid on the purchase of

property.

Bridge loans:-

Bridge Loans are designed for people who wish to sell the existing home and purchase another.

The bridge loan helps finance the new home, until a buyer is found for the old home.

Balance- transfer loans:-

Balance Transfer is the transfer of the balance of an existing home loan that you availed at a

higher rate of interest (ROI) to either the same HFC or another HFC at the current ROI a lower rate of interest.

Refinance loans:-

Refinance loans are taken in case when a loan for your house from a HFI at a particular ROI you

have taken drops over the years and you stand to lose. In such cases you may opt to swap your

loan. This could be done from either the same HFI or another HFI at the current rates of

interest, which is lower.

NRI home loans:-

This is tailored for the requirements of Non-Resident Indians who wish to build or buy a home

or property in India. The HFCs offer attractive housing finance plans for NRI investors with

suitable repayment options.

14

8/6/2019 Report Iip


On would be entitled for home loans in the range of Rs 5 lakh to a maximum of Rs 1 crore,

based on the repayment capacity, previous credit history and the cost of the property. The bank

may provide a maximum of 85% of the cost of the property or the cost of construction as

applicable and 75% of the cost of land in case of purchase of land. The repayment capacity is

calculated taking into account factors such as:

• Age

• Income/Salary

• Qualifications

• Dependant/(s)

• Assets/Liabilities

• Credit History• Stability / continuity of your employment/business

• Income of co-applicant/(s)

Value added services offered by HDFC

• Doorstep Services

• No Prepayment Charges

• No charges for IT certificates & loan outstanding statement.

• In house Legal and Technical Team

• Funding over 240 cities across the country

• Subsequent loans on same property

• 100% Housing finance company

• Individual access of Loan A/C through Internet

• Sound Infrastructure for Safe Custody of Property Documents

15

8/6/2019 Report Iip


• Tranching - Commencement of EMI from day one (resulting in savings of PRE-EMI

interest)

• Assistance in locating property.

• Modes of payment(Post Dated cheques/salary deduction/ ECS )

• File transfer to other office free of cost.

• Flexibility regarding place of application/service with regards to property location.

2.2 COMPANY OVERVIEW

KEY EXECUTIVE HDFC HOUSING DEVELOPMENT FINANCE CORP LTD:-

Mr. Deepak S Parekh: - serves as Executive Chairman and Chief Executive Officer of the

Board of Housing Development Finance Corp. Ltd., (HDFC). He joined HDFC Limited in a

senior management position in 1978. He was inducted as a whole-time director of HDFC

Limited in 1985 and was appointed as its Executive Chairman in 1993. He is the Chief

Executive Officer of HDFC Limited. Mr. Parekh is a Fellow of the Institute of Chartered

Accountants (England & Wales).

16

8/6/2019 Report Iip


Mr. K.M. Mistry: - The Managing Director of the Corporation. He has been employed with the

Corporation since 1981 and was the executive director of the Corporation since 1993. He was

appointed as the deputy managing director in 1999 and the Managing Director in 2000. He is

also a member of the Investors’ Grievance Committee of Directors.

Ms. Renu S. Karnad: - The Executive Director of the Corporation. She has been employed

with the Corporation since 1978 and was appointed as the Executive Director of the Corporation

in 2000. She is responsible for overseeing all aspects of lending operations of HDFC, New

Delhi.

HDFC Founder

Mr. H.T. Parekh

After returning to India in 1936, Mr. Parekh began his financial career with a leading

stockbroking firm, Harkisandass Lukhmidass. Simultaneously, he was a lecturer in Economics

at the St. Xavier's College in Mumbai for about three years. He considered his two-decade long

stint at the broking firm valuable, as it not only gave him his most basic lessons in the business

but also immensely contributed to his personal growth.

During this period Mr. Parekh also continued to study and write on different aspects of the

economy and economic policy, money and banking, and also participated in public discussions.

Driven by deep interest in investment banking, he decided to move on to his next major

assignment. In 1956, Mr. Parekh joined the newly set up development finance institution

Industrial Credit and Investment Corporation of India Limited (ICICI). Under his leadership

ICICI grew impressively to gain acceptance of the Indian business community, recognition of

Government and even became a show piece for the World Bank.

For decades he had been stressing the need for a financial corporation specializing in providing

long term finance for ownership housing. Thus even at the age of 66, when most people think of retirement, Mr. Parekh was determined to set up his most ambitious enterprise.

17

8/6/2019 Report Iip


His lifelong dream of helping Indians own their home, as he had seen abroad during his student

days, led to the formation of the Housing Development Finance Corporation Limited (HDFC) in

1977. It was the first-of-its-kind in India. It is under Mr. Parekh’s leadership and direction that

HDFC grew manifold while being strongly rooted in the principles of integrity, transparency and

professionalism. Soon HDFC became a major role model not only for the country but for the

entire Asian region.

In keeping with his zeal for promoting new ventures, in 1983, Mr. Parekh promoted the first

private sector oil exploration company in India, Hindustan Oil Exploration Company Limited.

He also set up Gujarat Rural Housing Finance Corporation Limited in 1986.

Mr. Parekh’s love for writing blossomed right from his school days. In addition to being a

regular contributor to the media with over 200 published articles to his credit on a variety of subjects such as industry, economic policy, capital market, development banking, credit policy,

etc., he was the author of several books. He authored The Bombay Money Market, a novel book

detailing the intricate workings of the money market in lndia. He also chronicled his

considerable experience as a development banker in his book, The Story of a Development Bank

(ICICI: 1955-1979). Some of his other books include The Future of Joint-Stock Enterprise in

India, India and Regional Development, Management of Industry in India and The Indian

Capital Market - Past, Present & Future. Also, his writings in Gujarati, ‘Hirane Patro’ and

‘Hirane Vadhu Patro’ are considered works of great importance in Gujarati literature.

His wisdom and warmth drew people from all walks of life to him for advice, guidance and

inspiration. Mr. Parekh was a man of few words, and believed that strong views need not be

expressed in strong words. He had a keen eye for talent and nurtured it by providing direction

and ample learning opportunities.

Known for his humility, affection and concern for fellowmen, Mr. Parekh was associated with

several philanthropic causes and welfare organizations.

In 1986, he was one of the founders of the Centre for Advancement of Philanthropy and served

as its Chairman since its inception until his retirement in 1993. His concern and love for the city

of Mumbai (erstwhile Bombay) led him to form the Bombay Community Public Trust in 1991.

18

8/6/2019 Report Iip


This venture was designed specifically to address the needs of disadvantaged citizens in the city

of Mumbai. He took the initiative to finance Mumbai’s first public toilet by any corporate house

‘Sulabh Shauchalaya’. Additionally, Mr. Parekh served as trustee of the Sameeksha Trust,

Saurashtra Trust, Kasturba Gandhi National Memorial Trust, The India Foundation, The lndia

Heritage Trust, The Chakallas Puraskar Trust and also served as the President of the Social

Service League.

Some of Mr. H.T. Parekh’s major achievements are:

• The James Taylor prize for standing 1st in B.A. (Economics) from the University of

Mumbai.

• Honorary Fellow of the London School of Economics and Political Science, U.K.

•

Padma Bhushan by the Government of India for his contribution to the field of economicactivities in 1992

The thoughts and dreams of a legend like Mr. H.T. Parekh live on forever, changing human lives

for the better.

Home is a dream of a person that shows the quantity of efforts, sacrifices luxuries and above all

gathering funds little by little to afford one’s dream. Home is one of the things that everyone one

wants to own. Home is a shelter to person where he rests and feel comfortable. Many banks

providing home loans whether commercial banks or financial institutions to the people who

19

8/6/2019 Report Iip


want to have a home.HDFC-(Housing Development And Finance Corporation) Home Loan,

India have been serving the people for around three decades and providing various housing

loan according to their varied needs at attractive & reasonable interest rates. Owing to

their

wide network of financing, HDFC Housing Loans provides services at your doorstep and

helps you find a home as per your requirements.

Many banks are providing home loans at cheapest rate to attract consumers towards them. The

more customer friendly attitude of these banks, currently offer to consumers cheapest loan

over homes.

In view of acute housing shortage in the country, and keeping in mind the social – economicrole of commercial banks in the present times, the RBI advised banks to

encourage the flow of credit for housing finance.

With the RBI reducing bank rate, the home loan market rates nose-diving by 50 basis points.

The HDFC Bank and Standard chartered bank has become the first player in this sector to

announce a housing loan for a 20 years period. No doubt it will enhance the end cost people to

plan their house over longer duration now; it has been made easy for a person to buy that dream

house which he dreamt of long ago. HDFC also provides with Home Improvement Loan

for internal and external repairs and other structural improvements like painting,

waterproofing, plumbing and electric works, tiling and flooring, grills and aluminium

windows. HDFC finances up to 85% of the cost of renovation (100% for existing customers).

Current status is that HDFC reduced home loan rates by 50 basis points for all its existing

floating rate customers.

ADVANTAGES OF HOME LOANS:-

The various benefits of home loans arising to the customers are:-

20

8/6/2019 Report Iip


Attractive interest rates:-

The various banks offer attractive interest rates to boost and help their customers. Many banks

provide loans on fixed or floating rates to facilitate consumers as per their needs.

Help in owning a home:-

The home availed by a person with the help of banks, because they provide

technical and financial assistance to customers for owning their dream home.

No requirement of guarantor:-

The commercial banks now a day, liberlise their laws regarding home loans. Some of banks

don’t even require the guarantor to grant loan to their consumers. They also make consumers

free by reliving him to find a guarantor to complete the proceedings of availing loan.

Door-Step Services:-

These door to step services are provided from enquiry stage to the final disbursement takes place

such services are beneficial for customers in present busy life. Banks like ICICI bank and

standard chartered bank provide door to step services to customers to borrow loan.

Loan period:-

There are many banks which provide maximum loan tenures upto 15-20 years based on the loan

amount and the creatibility of customers. This relieves the customers to repay loan amount till a

long period.

There are various products that are offered by HDFC Ltd. They are as follows:

21

8/6/2019 Report Iip


• Home loans

• Home loans for NRI

• Loan aganist property

• HDFC deposits

HDFC Future

• HDFC has always been market-oriented and dynamic with respect to resource

mobilisation as well as its lending programme. This renders it more than capable to meet

the new challenges that have emerged. Over the years, HDFC has developed a vast client

base of borrowers, depositors, shareholders and agents, and it hopes to capitalise on this

loyal and satisfied client base for future growth. Internal systems have been developed to

be robust and agile, to take into account changes in the volatile external environment.

•

HDFC has developed a network of institutions through partnerships with some of the best institutions in the world, for providing specialised financial services. Each

institution is being fine-tuned for a specific market, while offering the entire HDFC

customer base the highest standards of quality in product design, facilities and service.

• It is important to choose a good housing finance company which can handhold the

customer right through his home buying process. Since a home loan is a long term

commitment of 15-20 years, several factors like expertise, quality of service, in-depth

domain knowledge and the company’s level of commitment and transparency right

through, the loan procedures, the fine print, quality of services offered and safe retrieval

of the title deed are critical.

• It is important to choose a good housing finance company which can handhold the

customer right through his home buying process. Since a home loan is a long term

commitment of 15-20 years, several factors like expertise, quality of service, in-depth

domain knowledge and the company’s level of commitment and transparency right

through, the loan procedures, the fine print, quality of services offered and safe retrieval

of the title deed are critical.

S.W.O.T ANALYSIS

22

8/6/2019 Report Iip


STRENGTH

• Right strategy for the right products.

• Superior customer service vs. competitors

• Great Brand Image

• Products have required

• High degree of customer satisfaction.

• Good place to work

• Lower response time with efficient and effective service

• Dedicated workforce aiming at making a long-term career in the field

WEAKNESSES

• Some gaps in range for certain sectors.

• Customer service staff need training.Processes and systems

• Management cover insufficient.

• Sectoral growth is constrained by low unemployment levels and competition for staff

Opportunities

• Profit margins will be good.

• Could extend to overseas broadly.

• New specialist applications.

• Could seek better customer deals.

• Fast-track career development opportunitie on an industry-wide basis.

• An applied research centre to create opportunities for developing techniques to provide

added-value

Threats

23

8/6/2019 Report Iip


• Legislation could impact.

• Great risk involved.

• Very high competition prevailing in the industry.

• Vulnerable to reactive attack by major competitors.

• Lack of infrastructure in rural areas could constrain investment.

• High volume/low cost market is intensely competitive Advertisement.

HDFC home loans are available for :

Purchase of flat, row house, bungalow from developers

Purchase of existing freehold properties

Purchase of properties in an existing or proposed co-operative housing society or apartmentowner's association

Purchase of first Power of Attorney purchases in Delhi for DDA flats allotted before 1992.

Construction of own house

HDFC home loans can be applied for either individually or jointly. Proposed owners of the

property will have to be co-applicants. However, the co-applicants need not be co-owners.

Maximum tenure is 20 years subject to retirement age.

Loan Amount: - 85% of the cost of the property (including the cost of the land) and based on

the repayment capacity of the customer.

Rate of Interest :- The current applicable fixed rate of interest in respect of the total loan

approved is as follows:

For loans up to Rs.2, 00,000:-

24

8/6/2019 Report Iip


Term of Loan(No. of Years) Rate Per Annum(%p.a)Up to 5 10.006-10 10.7511-15 11.00

For loans greater than Rs.2, 00,000

Term of Loan(No. of Years) Rate Per Annum(%p.a)5 10.0010 11.0015 11.25

GROUP COMPANIES:-

HDFC Bank: World Class Indian Bank- among the top private banks in India.

HDFC AMC: One of the top 3 AMCs in India- Preferred investment manager.

Intelenet Global: BPO services for international customers.

CIBIL: Credit Information Bureau India Limited.

HDFC Chubb: Upcoming Private companies in the field of General Insurance.

HDFC Mutual Fund.

HDFC reality.com: Helps to search properties in all major cities in India

HDFC securities

HDFC Standard Life Insurance Company Ltd Aug, 2000

JOINT VENTURE :-

25

8/6/2019 Report Iip


HDFC Standard Life Insurance Company Limited was one of the first companies to be granted

license by the IRDA to operate in life insurance sector. Reach of the JV player is highly rated

and been conferred with many awards. HDFC is rated ‘AAA’ by both CRISIL and ICRA.

Similarly, Standard Life is rated ‘AAA’ both by Moody’s and Standard and Poor’s. These

reflect the efficiency with which HDFC and Standard Life manage their asset base of Rs. 15,000

Cr and Rs. 600,000 Cr. respectively.

HDFC Standard Life Insurance Company Ltd was incorporated on 14th August 2000. HDFC is

the majority stakeholder in the insurance JV with 81.4% staple and Standard of as a staple

18.6% Mr. Deepak Satwalekar is the MD and CEO of the venture.

HDFC Standard Life Insurance Company Ltd. Is one of India’s leading Private Life InsuranceCompanies, which offers a range of individual and group insurance solutions. It is a joint

venture between Housing Development Finance Corporation Limited (HDFC Ltd.) India’s

leading housing finance institution and the Standard Life Assurance Company, a leading

provider of financial services from the United Kingdom. Both the promoters are will known for

their ethical dealings and financial strength and are thus committed to being a long-term player

in the life insurance industry- all important factors to consider when choosing your insurer.

Business Growth :-

The company commands a market share of over 60% in the housing finance sector. Leveraging

on its brand equity HDFC has also entered the Indian Mutual Fund scene quite recently. HDFC

was the only applicant to be given clearance by the government, to enter the Rs 250 bn life

insurance business. This in itself speaks volumes about the management’s professional

reputation.

Financial year 2010 proved to be a boom for housing finance companies, as the tax benefits

announced in the budget, coupled with the low real estate prices and rising disposable incomes,

spurred housing demand. As a result, demand for housing finance too has registered high rates

of growth. The housing sector has now been recognized as an engine of economic growth and

26

8/6/2019 Report Iip


HDFC is well placed to capitalise on this surge in demand.Against this backdrop, HDFC logged

in an excellent performance. The company’s approvals and disbursements during the first half of

financial year 2001 witnessed a year on year growth of 33% and 32% respectively. The robust

growth in itself is a conclusion that HDFC’s business is far less susceptible to any economy

downturn.

27

8/6/2019 Report Iip


Financial Results:-

Balance sheet as at 31st march 2011 Rs in Crores

Particulars 31-Mar-11 31-Mar-10

FUNDS EMPLOYEDSHAREHOLDERS' FUNDS

Share Capital

Reserves and Surplus

LOAN FUNDS

Term Loans

Bonds, Debentures, FCCB and Commercial Paper

Deposits

APPLICATION OF FUNDS

LOANS

Individuals

Corporate BodiesOthers

293.38

17023.14

287.11

14910.55

17316.52

42,489.83

48,295.55

24,625.10

15197.66

32,136.90

41,347.27

23,081.14

115,410.48 96,565.31132,727.00 111,762.97

73,649.27

42,140.72

1,336.63

61,304.54

35,118.70

1,543.75117,126.62 97,966.99

11,832.40

448.13

9,861.02

6,775.12

10,727.46

285.73

7,363.64

4,802.96

28

8/6/2019 Report Iip


INVESTMENTS

DEFERRED TAX ASSET

CURRENT ASSETS, LOANS AND ADVANCES

Less : CURRENT LIABILITIES AND PROVISIONS

FIXED ASSETS

3,085.90

233.95

2,560.68

222.11

132,727.00 111,762.97

29

8/6/2019 Report Iip


3. PROJECT PROFILE

3.1 OBJECTIVE OF THE STUDY

There is no strongest foundation for your dream home, than a cheap loan. Home loans have

become that stronger foundations for people who want to own a home. The main objectives

of the study are as follows :-

The main objective of this study is to know the Customers perceptions about home loan of

HDFC housing development finance corporation LTD.

To analyze the history of hdfc ltd.

Generating good business to the company by promoting and selling the products of HDFC

LTD.

To know the ideas of customers about home loan products and services.

To make comparative study of Disbursement of home loans by Commercial banks.

To study the satisfaction level of customers about home loans.

To study the problems faced by customers in obtaining the home loans.To learn about various aspect of hdfc home loan ltd.

30

8/6/2019 Report Iip


3.2 METHODOLOGY

Research methodology is a way to systematically show the research problem. It may be

understood as a science of studying how research is done scientifically. It is necessary

for the researcher to know not only the research methods but also the

methodology.

This Section includes the methodology which includes. The research design, objectives of

study, scope of study along with research methodology and limitations of study etc.

To know the Customers perceptions about home loans of HDFC housing development finance

corporation LTD.

To study the satisfaction level of customers about home loans.

To study the problems faced by customers in obtaining the home loans.

This project is based on exploratory study as well descriptive study. It was an

exploratory study when the customer satisfaction level was studied to suggest new methods to

improve the services of HDFC LTD in providing home loans and it was descriptive study

when detailed study was made for comparison of disbursement of home loans by commercial

banks.

To fulfill the information need of the study. The data is collected from primary as

well as secondary sources.

31

8/6/2019 Report Iip


4. OBSERVATIONS AND ANALYSIS

THE HOME LOAN PROCESS

A home loan is not something which we can obtain by just walking right into any market or any place like that.It is a systematic process where a loan application file goes through the hands of

many experienced employees of HDFC.The applicant has to submit the original or photocopies

of a few documents ,he also has to correctly fill and give certain forms tostate his requirements

very clearly and to also communicate the information demanded by HDFC .The work of HDFC

in sanctioning a loan goes through the following stages

SOURCES OF LOAN APPLICANTS

1.WALK IN

This refers to the Applicants who apply for the loan by going to the service centre or regional

branch office .They may have come to know about HDFC s home loan service from any source

but this is their first contact with HDFC is in absence of any intermediar like friends,sales men

etc.The applicants who contact through or by the Website are also included in the walkin

cateogary. WalkIn applicants are given concessions on fees and charges which is applicable

from

time to time.

2. CALLCENTRE LEADS

The callcentre leads refer to the applicants that come in contact with HDFC through HDFC

Bank or through HLSIL .HDFC bank is the banking sction of HDFC which informs HDFC Ltd

about persons who it thinks to be needing a loan .HLSIL which has been started by HDFC Ltdand refers to Housing Loan Services India Limited This organization has been especially started

by HDFC to assist persons searching for home loans at easy rates and good service.HLSIL

32

8/6/2019 Report Iip


contacts probable needfuls of home loan ,contacts them, explains them the various advantages of

an HDFC home loan and get thir loan application filled.

3. DSAs and BSAs

These are respectively the Direct selling agents and the Business selling agents.The DSAs refer

to organizations which work in agreement with HDFC and forwards them the loan requests of

applicants they contact or those that contact them On the other hand BSAs usually forward loan

requests and assist HDFC by forwarding them the names addresses contact nos etc of various

probable needfuls of home loans .BSAs usually are Builders who book houses for sale in the

future.They may also include Brokers.Egs for DSAs are Nishk,Chatrath,BKM.etc

STAGES OF HOME LOAN

The representation shown above is not a perfect copy of the actual process.This is because thesestages are taking place simultaneously and one application is being taken care for by the

experienced employees of both HDFC Ltd service centre and HDFC Ltd HUB (also called the

back end office).Also the applicant may be asked to send information or may be asked questions

33

8/6/2019 Report Iip


regarding his requirement and/or his documents for his own convenience. Hence the loan

application may or may not shuttle through different stages.

APPLICATION STAGE

This is the stage where the Application Form first reaches the concerned Service Centre Here all

the documents in the application are reviewed by the experienced staff present at the service

centre . The HDFC Ltd employee who reviews the file checks to see whether all documents are

present and in their proper place .He checks if the documents are duly filled,not fake,attested by

authority in question and present in order.In case any document is missing the applicant is

contacted electronically or by mail .The applicant is contacted by telephone and requested for

the document until he denies it being with him. This exercise is called FOLLOW UP. Thecredit appraisal of the loan application starts at this stage. The service centre employees compute

the gross salary ,IIR,FOIR,LoanEligibility ratio etc.The credit worthiness of the applicant is

calculated here.

It is also at this stage that the QUICK DATA ENTRY of the loan applicantion is done to create a

serial no. of the application.After that another page appears and more data is entered .It is now

that a special and unique LOAN A/C NO. is created under which all the loan processes will be

carried out.The number that has been generated is communicated to the applicant by means of a

letter and/or electronic communicationThe system of elecronically recording the data helps to

create ready reference,a proof ,helps in quick and easy processing of the data.It also helps to

very easily and quickly share data with other employees of HDFC ..

The next and important processing performed at the service centre is that of filling up a

document known as the INTERVIEW SHEET.for processing individual loans (salaried cases). It

contains various simple entries like

1. Name of borrower

2. Name of co-borrower

3. Income details

34

8/6/2019 Report Iip


4. Family background and permanent address etc

It also contains various important entries like

5. Gross Salary

6. Rental

7. Other incomes

8. Obligations

The various other loans that the applicant is entitled to pay ,their amount,their remaining

terms ,source etc.

9. Remarks

This collumn contains the various findings that the employee has found out after thorough

review of the applicants documents such as bank statement,salary slip etc.

Hence the interview sheet contains the important findings which the employee has collected

after careful review of the various documents .The interview sheet helps to cut corners and helps

save time by not having other employees to go through the documents again and again .It hence

acts as a souce of quick reference.After all this has been performed well enough the loan

application.

SCANNING

In this stage the various important documents of the applicant are scanned.This helps to

create their electronic copy which acts as a ready reference,a proof,and can also be shared and

utilised by other employees of HDFC Ltd.

DATAENTRY

The file has been sent to the back end office or the HUB .At HUB there are many experts with

their own specializations . These officials review the various parts of the filae again and perform

35

8/6/2019 Report Iip


many specialized tasks . Dataentry is also one of these tasks .This entry is much more different

and complex as compared to the earlier performed Quick Data Entry.An exhaustive amount and

type of information has to be entered into the ILPS system ranging from Personal

Details,Employment Details to Property Rate History and Customer Interactions.

RECOMMENDATION OVER(ROVR)

The Recommendation OVER is also reffered to as the First Appraisal .At this stage certain

specially appointed persons have been given the responsibility of recommending a loan These

people have to take special care of reviewing every document ,and all the small details that needto be considered before considering the loan application to be valid. After this the file is sent to

another specially appointed person as explained below.At this stage if any correction or mistake

is present it can be sent back to the Service Centre.

DOUBLE CHECKING OVER

As the name suggests at this stage a specially appointed person will double check all the past

proceedings .He will examine the Loan file for any discrepancies ,any missing and /or misplaced

documents,the Credit Appraisal results,etc. This is a very important stage and must be handled

with exceptional care.This is because a mistake at this stage can cause a great loss to the

company.The Double checker is responsible for the ultimate sanctioning of the loan .If any

mistake is done at this stage there is no going back and hence no protection.HDFC takes great

care while appointing double checkers .They should have completed a select number of years

with the company and should have shown exemplary performance and must posses experience.

SANCTIONING

36

8/6/2019 Report Iip


An authorised sanctioning authority within HDFC itself will review the remarks of Double

Checker and Sanctioning authority .If it considers the loan suitable to be Sanctioned it gives its

approval .After it has given its approval stamp the ILPS system will automatically send a letter

to the Applicant that his loan has been sanctioned. After this approval the Applicant can go to

whichever Service Centre which he selects to get his loan disbursed.

ANALYSIS & INTERPRETATION

The analysis is based on the responses given by customers through questionnaires.

Table 4.1 :AGE GROUP OF SURVEYED RESPONDENTS

Age group No. of Respondents Percentage

18 – 25 years 127 47%

26 - 35 years 67 25%36 - 49 years 46 17%

50 - 60 years 24 9%

More than

60years

6 2%

Total 270

Base:270

respondents

Figure 4.1 : No.of respondents of age group

From the chart above we find that 47% of the respondents fall in the age group of 18 – 25 years,

25% fall in the age group of 26 – 35 years and 17% fall in the age group of 36 – 49 years.

37

8/6/2019 Report Iip


Table 4.2 :GENDER CLASSIFICATION OF SURVEYED RESPONDENTS

Sr.

No.

Category No. of Respondents Percentage

1 Married 140 70%

2 Unmarried 60 30%

Total 200 100%

Base 200 respondents

Figure 4.2: Gender classification

Table 4.3: DO YOU KNOW ABOUT HDFC HOUSING DEVELOPMENT FINANCE

CORPORATION LTD?

Category No.of respondentsYes 164 No 16

Base:180 respondents

Figure 4.3: No.of respondents of knowing HDFC Ltd.

38

8/6/2019 Report Iip


Table 4.4: REASONS FOR GETTING THE HOME FINANCED

Sr.No. Number of Reasons Percentagea. Non-availability of funds 36 b. Reluctancy to pay cash in one go 35c. Tax benefit 24d. Any other 5


Figure 4.4: Reasons for getting the home financed

Interpretation :-

To interpret the response of the questions, the figures shows that most of the

customers find the problem in availability of funds i.e. 36% and very less number of

customers found problem in paying cash in one go is 35%, customers get housing loan for tax benefits is 24%. This was the expected response because a large number of people find a

problem of availability of funds which works as an obstacle in owning a dream home. In today's

life, people hardly earn both means and ends of life and they don't have much of money to buy a

39

8/6/2019 Report Iip


8/6/2019 Report Iip


may be the reason for such difference in Standard Chartered Bank's percentage and ICICI Bank's

percentage. Another reason for specialized services in home loans, more amounts of

loans, and efficient query handling. However, the analysis showed that the people prefer

HDFC LTD for home loan because of their services and excessive feat compared to other

banks.

Table 4.6: SOURCES OF INFORMATION ABOUT HOME LOANS SCHEME

Sources of information Percentage of customers

Newspapers 49

Magazines 16

Banners/Hoardings/Pamphlets 11

Word of mouth 20Any other source 04

Total 100


Figure 4.6: Sources of information about Home Loans Scheme

Interpretation :-

The data shows that around 20% of customers got information from source of 'Word of Mouth' which includes information from friends, relatives, colleagues etc. 49% of customers got

information from newspapers, only 16% of customers from magazines and 4% of customers got

41

8/6/2019 Report Iip


information about home loans schemes under 'Any other source' and 11% through Banners/

Hoardings/Pamphlets .

Table 4.7: DATA GIVES PREFERENCE OF RESPONDENTS OF HOME LOANS

COMPANIES AND BANKS

COMPANY’S NAME NO.OF RESPONDENTS (%)HDFC LTD 78 78STANDARD

CHARTERED

BANK

2 2

ICICI BANK 10 10PNB 7 7SBI 3 3TOTAL 100 100

Base:100

respondents

Figure 4.7: No.of respondents of various banking companies.

INTERPRETATION:-

42

8/6/2019 Report Iip


From the table and graph above it can be seen that:-78% of the people contacted prefer HDFC

LTD to any other and therefore it is ranked no.1 by that percent of respondents.

PROBLEMS FACED BY CUSTOMERS IN AVAILING HOME LOANS

There are everything in the world has good or bad points. No doubt banking industry/

company has made many efforts to enhance the customer satisfaction but customer

still faced some problems. These are high lightened as below:

The customer does not have proper knowledge about different home loan products

so they face problem in making a good deal.

There are procedural delays, which harass the customers lot. This will crush the curtsy of customers to avail the home loan.

The attitude of bank employees some times non cooperative and it creates a hurdle in

building trust and Confidence among customers about banks.

The banks do not take into account the paying capacity of customers. So some customers are

not able to get amount of loan needed by them.So above discussed are the problems which faced

by customers while availing home loans.

43

8/6/2019 Report Iip


8/6/2019 Report Iip


6. RECOMMENDATIONS

1) To increase their customers, the HDFC LTD should provide specialized services in this

sector. These services can be such as proper guidance to the customer regarding the processing

of loans, especially for the customers who are illiterate.

2) To satisfy their customers and for good dealings in future, the HDFC LTD should make

prompt disbursement of loan amount to the customers so that they can buy or

construct their dream home as early as possible.

3) The HDFC LTD should use easy procedure, or say, less lengthy procedure for the sanctioningof loan to the customer. There should be less number of legal formalities, in case this exists,

then, these should be completed in less time. This will be helpful in attracting more

customers.

4) Although the interest rates on specific norms, yet customers seek less interest rate which

can lower their cost of house. So banks should try to lower their interest rates. Needles to say,

that the bank which is having lower interest rates, have the maximum clients for loans.

5) HDFC LTD provide loan according to the repaying capacity of the customer and his/her

eligibility. Due to which, some customers are not able to get amount of loan needed by them. So,

the HDFC LTD should soften their norms regarding the loan amount.

6) Create awareness: The Company has to take care of awareness creation about the products

and services among the customers.

7) Charges: The Company has to reduce the mortality and administration charges.

8) The company has to reduce their interest rates on home loan products and services.

45

8/6/2019 Report Iip


9) The company has to identify the potential customers.

10)Company should consider the present competition and should act according to the customer

needs.

11)The HDFC LTD should try to provide proper knowledge regarding their home

loan schemes, even to people who don't know about such schemes and their benefits

especially in rural areas. So they should provide knowledge to the ignorant customers,

especially in rural areas and backward urban area So, above are the main suggestions

provided to the HDFC LTD. By considering these suggestions, the HDFC LTD can

strengthen their customer base in home loans sector. They should improve their servicesand reduce legal proceedings and should be friendly to their customers. All this will be

helpful to satisfy their customers.

46

8/6/2019 Report Iip


7. CONCLUSION

In my study we came to know that many peoples are interested to take a home loan from HDFC

LTD to construct their homes.

Home loans have long period when compare to other personal loans and other loans. So peoples

are confused to take a home loan.

Even though the interest rates are high peoples are willing to take a loan from HDFC LTD due

to some reasons.

The interest rates also some what high when compare to other banks

The loan sanction process is low when compare to other banks.

For disbursement process is also it will take low time when compare to other banks

Finally the whole research was carried out in a systematic way to reach at exact results. The

whole research and findings were based on the objectives. However, the study had some

limitations also such as lack of time, lack of data, non-response, reluctant attitude and illiteracy

of respondents, which posed problems in carrying out the research. But proper attention

was made to Carry out research in proper way and to make accurate conclusion for the

HDFC LTD which may beneficial for banks to enhance their customer base.

47

8/6/2019 Report Iip


8. LEARNING OUTCOME

My research project at HDFC Ltd. Has been an extremely enriching one. My project was

studying about the home loans of HDFC Ltd. There are various types of home loans and how the

process goes on. Even how the disbrusment of loan has been learned. There are various process

in the disbrusment of home loans. I have seen customer prespective also. And learned how the

loan process goes on.

I gained a broader perspective about various loan oppotunities.

I came to various techinques of how to attract the customers to take the loan.

Through this whole research i have gained more knowledge and experience.

48

8/6/2019 Report Iip


9. ANNEXURE

I have prepared a questionniare to know the satisfaction level of customer about the home loans.

Name: ………………………………………………………………………..

Address: ……………………………………………………………………..Contact No :®………………( O)……………… (M)………………………City: ………...............Pin: ………………….State: ………………………

1. Name: ____________________ 2. Age:

(a) Below 30 (b) 30-40 (c) 40-50 (d) Above 50 3. Occupation:

(a) Professional (b) Self-employed (c) Salaried(e) Others

4. Which income group do you belong? (Per annum)(a) Below 2 lakhs (b) 2-4 lakhs(c) 4-6 lakhs (d) 6 lakhs and above

5. Have you ever taken Home loan before?(a) Yes (b) No

6. If yes, from which Bank/company?

(a) ICICI (b) HDFC (c) UTI(d) Centurion bank of Punjab (e) others

7. Are you Satisfied with the services provided? (on 5 point scale)_____________________________________________________________________

Highly dissatisfied Neutral satisfied highlydissatisfied dissatisfied

49

8/6/2019 Report Iip


8/6/2019 Report Iip


http://www.hdfcindia.com/others/popup/news/hdfc_fin_result_june_30_08.html

http://www.loansnews.info/Home-loan/hdfc-home-loans/

http://www.hdfcindia.com/loans/hm-loan-documents.asp

http://www.thinkplaninvest.com/2009/01/hdfc-will-cut-home-loan-rates/

Report Iip

Documents

Transcript of Report Iip