A Project Report ON "Customer Preference and Satisfaction Level For Credit Schemes Offered by The Varachha Co-Operative Bank"

A PROJECT REPORT ON Customer preference and satisfaction level for Credit schemes offered by the Varachha co-operative bank
[CONDUCTED ON BEHAFT OF THE VARACHHA CO-OP BANK, SURAT] IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE AWARD OF THE DEGREE OF MASTER OF BUSINESS ADMINISTRATION UNDER GUJRAT TECHNOLOGICAL UNIVERSITY
UNDER THE GUIDENCE OF: FACULTY GUIDE RUTVI P. UMRIGAR (ASSISTANT PROFESSOR) COMPANY GUIDE VIJAY GAJERA
SUBMITTED BY ANKIT N. MALANI ENROLLMENT NO: 127080592009 M.B.A SEMESTER III
Bhagwan Mahavir College of Management, SURAT M.B.A PROGRAMME AFFILIATED TO GUJRAT TECHNOLOGICAL UNIVERSITY AHMEDABAD JULY 2013
PREFACE
I undertake the writing of this Project Report of customer preference and satisfaction level towards credit schemes offered by the varachha co-op bank because with the theoretical knowledge it is necessary to obtain the practical knowledge also.As a student of management, I must be encouraged by the growth and rapid development taken place in the banking sector, in India. Still recently, management is growing baby. Keeping in mind the ever development field of management and the great demand for full paper on project work in the field of financial management at the master degree level, thus it is our moral and obligatory duty to take part of our studies with great enthusiasm and seriousness and give it the due importance.
The report gives information regarding banking system and the co-operative banking. This project contains the details about various loan, procedure, criteria, scheme & and a research work on customer preference and satisfaction level for various credit schemes offered by the bank to individual customer.
Ankit Malani ENROLLMENT NO: 127080592009
ACKNOWLEDGEMENT
The satisfaction and euphoria that accompany the successful completion of any task would be incomplete without the mention of the leaders, whose constant guidance and encouragement crown all the efforts with success. I make a choice The Varachha Co-Operative Bank Ltd. Because of good reputation & good service provider in the market. I have very good memories with The Varachha CoOperative Bank Ltd.
I achieve a lot during the industrial training. It was great experience that is never forget in my life and it will also helpful me in future. I thanks to the management of the bank who give me excellent guidance for preparing this report. I specially thanks Mr. Kanjibhai bhalala (The chairman), Mr. Sureshbhai Kakadiya (Ass. General manager), Mr. Mukeshbhai (Branch Manager of the kapodra branch) and all the staff member of The Varachha Co-Operative Bank Ltd. for giving me a such type of opportunity & provide me useful information and data regarding the subject with their cent percent participation and supported in making this report a successful task. It was a memorable experience to work with them and complete my summer training.It is my privilege to express my deep sense of gratitude to for his efforts, guidance, valuable comments and suggestions for making this report.
Finally, I express my intense gratitude to my parents whose blessings has helped me to translate my efforts into fruitful achievement.
DECLRATION
I, Mr. Ankit Malani, hereby declare that the report for Summer Internship Project entitled Customer preference and satisfaction level for credit scheme offered by the Varachha Co-Operative bankis a result of my own work and my indebtedness to other work publications, references, if any, have been duly acknowledged.
Place : Surat Date :
(Signature) Ankit Malani
EXECUTIVE SUMMARY
There are various changes which have been taken place in the last decade and are taking place at an astonishing pace today which is likely to completely change the face of banking like never before. So it was great opportunity to do.To study the NPA guidelines of RBI. And to find out NPA and evaluation of nonperforming assets from the total advances in the Varachha co-operative bank Ltd. This research basically descriptive research design is opted. In descriptive research, the cross sectional research design is selected because the sample taken out of the population is analyzed only once at a particular time interval. All the data required to carry out the research will be obtained through secondary resources. The population consists of the varachha bank and their 12 branches situated in Surat city. In order to meet objective below objects will be taken in to consideration. RBI guidelines regarding NPAs. Annual report of last five year of the Varachha co-operative bank Ltd. Periodically circulation and the statement of the bank. This project mainly focused on NPAs that is very necessary to control for as it have multifold effects. In the maker of liberalization, privatization, globalization, era, RBI has introduced recommendation of Narshimham committee. Looking to the number of bank liquidation since the past few years the RBI has introduced May regulation for healthy working of banks in India. One of such policy decision is the rule regarding the income reorganization, assets classification & provisioning norms in case of borrowers account. the level of NPA provides important measures of the banks. NPA effects the liquidity position. So, identification of NPA, managing it and reducing the NPA is very necessary. NPA of VCB and last five years gross NPA is shown to better position of bank. Based on the findings, conclusions are drawn, and further, suitable recommendations are brought out. The entire project report is presented in the form of a report using chapter scheme, developed logically and sequentially from introduction to bibliography & references.
TABLE OF CONTENTS
Preface Acknowledgement Declaration Executive Summary
SR. NO 1
2 3 4
7 8 9 10
PARTICULARS PART-I GENERAL INFORMATION About the Industry World Market Indian Market About major companies in the Industry Product Profile ( Major Products) PART-II COMPANY STUDY Company Information and Product Profile Functional Departments - HR - Finance - Comparative Statement Loan PART-III PRIMARY STUDY Introduction of the study 5.1 Literature review 5.2 Background of the Study 5.3 Problem Statement and Importance of the Study 5.4 Objective of the Study 5.5 Hypothesis Research Methodology 6.1 Research Design 6.2 Sources of Data 6.3 Data Collection Method 6.4 Population 6.5 Sampling Design 6.6 Sampling Frame 6.7 Data Collection Instrument Data Analysis and Interpretation Results and Findings Limitations of the Study Conclusion/Suggestions Bibliography Annexure
PAGE NO 9 12 13 14 16 17 24
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62 100 101 102
1. ABOUT BANK & BANKING SYSTEM Introduction:

Bank and banking are the most important and major factors in today's world economy. Each and every transaction is routed through banking. Not a single business is possible without banking activity. The bank and the business are related. Today we cannot imagine the business world without banking institution. Banking is an important as blood in the human body. Due to the development of banking, advances are increased and business activities developing so it is rightly said, "The development of banking is not only root but also the result of the development of the business world.The word bank derived from the word bancus or banquet that is a bench.
The activities and facilities provided by the bank such as collection of deposits from small investors, lending finance and leasing / cash credit, routine transaction is very important for economic growth on whole.Every economic activity is done through bank in this new era. So every economy whether it is developed, under developing or under developed need strong banking system from the economic point of view. The major task of bank and other financial institution is to act as intermediaries channeling, saving to investment requirements of savers are reconciled with the credit need of investors and consumers.
Growth of Banking in India In the past, the use of money for buying & selling was very much restricted. At that time the development of communication, economic process and the spread of science, and growth of economic and political institutes, the use of money also expanded. As times advanced the character of economic transitions also change. In fact, the innovations in the fields of transportation and communications, development of energy and manufacturing have resulted in innovations in the sphere of banking.
Banking System The money business performed by the earlier goldsmiths in England has been considered as the beginning of banking. The goldsmiths who received money for safe custody against their signed receipt had given an undertaking to return the money to the depositor or to the bearer on demand. After developing their work they realized that landing others money for a fixed period of time was profitable. In 1770 first Indian banks know as bank of Hindustan was started and was close down twenty year later. Then east India Company started three presidency banks with gvernment participation i.e. o Bank of Calcutta 1806 o Bank of Bombay 1840 o Bank of Madras 1843 o Allahabad Banks 1865 o Alliance bank of Simla 1873 With the rapid development of the banking institution in the last few decades. So that when change in organization structure leads to change in banking system. Some of the important banking system and practices currently in operation are discussed in the following paragraph. Unit Banking: The method of unit banking is carrying on banking business through a single office, or in some cases a few offices in a limited area. It is known as localized banking.Branch banking is a method of carrying on banking business by big banking companies having several branches throughout a country or territory. For example, in United Kingdom, most part of the banking business is in the hands of five big banks. Branch Banking: Over the years, the structure of banking also has undergone tremendous changes. Consequently, several systems of banking have emerged in the branch banking. Branch banking is a system in which every bank work is a legal entity having one board of directors and one group of shareholders and operates through a network of 10
branches spread throughout the country. The head office of the bank is located in a big city or state capital the braches operate throughout the country. Thus branch banking is another name for de-localized banking which arise on business through a number of offices.
Group Banking & Chain Banking: If the affairs of a group of banking companies are controlled by a holding company it is known as group banking.In case a number of banks are controlled by one few individuals and interlocking directorate through purchase of share of such banks, it is known as chain banking.
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GLOBAL MARKET
From the severe setback experienced in 2008-09, the global economy moved ahead with mixed economic momentum, mostly tilted toward a positive economic growth trajectory in 2010-11. Several prominent economies across the globe spent the last couple of years reforming their regulatory and policy structures in the wake of the financial crisis. As per IMF, global real GDP for 2010 increased 3.8%, led by a slow recovery in advanced and emerging countries.
While recovery across emerging economies was strong, the advanced economies continue to be fragile, with growing concerns of unemployment, heavily indebted households and governments, and slow recovery of financial institutions. As per Global Economic Prospects, World Bank projects the global growth to remain strong in 2011 & 2012. After reaching a growth rate of 3.8% in 2010, the global real GDP growth is projected to remain firm at 3.6% in 2012 and 2013. Developing economies would be a major contribution to this, growing at a much higher rate of 6.3% by 2013. On the other hand, GDP in advanced economies is projected to grow by 2.7% in 2012. The US economy expanded 2.8% in 2010 and is expected to retain the growth of 2.7% in 2013
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INTRODUCTION OF BANKING IN INDIA

Banking in India has its origin as early as the Vedic period. It is believed that the transition from money lending to banking must have occurred even before Manu, the great Hindu Jurist, who has devoted a section of his work to deposits and advances and laid down rules relating to rate of interest.During the Moghal period, the indigenous banker played a very important role in lending money and financing foreign trade and commerce. During the days of East India Company, it was the turn of agency houses to carry on the banking business. The General Bank of India was the first Joint Stock Bank established in the year 1786. The others which followed were the Bank of Hindustan and Bengal Bank.
The Bank of Hindustan is reported to have continued till 1906 while the other two failed in meantime. In the first half of the 19 th century the East India Company established three banks: the Bank of Bengal in 1809, the Bank of Bombay in 1840 and the Bank of Madras in 1843.These three banks also known as Presidency Banks were independent units and functioned well. These three banks were amalgamated in 1920 and a new bank, the Imperial Bank of India was established on 27th January 1921. With the passing of the State Bank of India Act in 1955, the undertaking of Imperial Bank of India was taken over by the newly constituted State Bank of India. The Reserve Bank i.e. Central Bank was created in 1935 by passing Reserve Bank of India Act 1934.In the wake of Swadeshi Movement, a number of banks with Indian Management were established in the country namely, Punjab National Bank Ltd, Bank of India Ltd, Canera Bank Ltd, Indian Bank Ltd, the Bank of Baroda Ltd, the Central Bank of India Ltd. On July 19, 1969, 14 major banks of country were nationalized and in 15th April, 1980 six more commercial private sector banks were also taken over by the government.
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2. ABOUT MAJOR COMPANIES IN THE INDUSTRY
MAJOR BANKS IN GLOBAL BANKING SECTOR

Rank Bank Country Total asssts, US$bin 2,953.85 Balance sheet 31.03.2013
Industrial & Commercial Bank of China (ICBC)
China
2 3 4 5 6
HSBC Holdings Deutsche Bank Credit Agricole Group BNP Paribas Mitsubishi UF Financial Group
UK Germany France France Japan
2,681.39 2,597.36 2,582.42 2,507.96 2,414.78
31.03.2013 31.03.2013 31.03.2013 31.03.2013 31.03.2013
7 8 9
Barclays PLC JPMorgan Chase & Co China Construction Bank Corporation
UK USA China
2,414.78 2,389.35 2,361.60
31.03.2013 31.03.2013 31.03.2013
10
Japan Post Bank
Japan
2,118.84
31.03.2013
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MAJOR BANK IN PUBLIC SECTOR
Name of the Bank

Canara Bank IDBI Bank SBI Allahbad Bank UCO Bank Indian Bank PNB BOB Bank of India Union Bank 333,174.66 263,422.94 262,477.21 184,865.55 175,371.84 143,130.58 118,234.46 109,143.46 86,006.17 76,303.68
Total Assets
MAJOR BANK IN INDAIN SECTOR

NAME OF BANK
ICICI Bank Axis Bank Yes Bank HDFC Bank Federal Bank South Ind Bank Kotak Mahindra Jk Bank Induslnd Bank ING Vysya Bank
Total Assets
143,907.06
105,205.07
86,214.26 79,452.51 54,762.31 43,493.16 26,548.04 24,614.24 18,310.32 16,413.44
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3. MAJOR PRODUCTS OF BANKING SECTOR

The Products of the banking industry broadly include deposit products. Credit products and customized banking services. Most banks offer the same kind of products with minor variations. The basic differentiation is attained through quality of service and the delivery channels that are adopted. Apart from the generic products like deposits (demand deposits-current, savings and term deposits). Loans and advances (short term and long term loans) and services. There have been innovation in terms and products such as the flexible term deposit, convertible savings deposit (wherein odle cash in savings account can be transferred to a fixed deposit).etc.Innovation have been increasingly directed towards the delivery channels used, with the focus shifting towards ATM transaction, phone and internet banking. Product differentiating services have been attached to most products. Such as debit/ATM card, credit cards, nomination and demat services.
Products and Services
Deposits Term deposits demand deposits Current deposits Savings deposits
Credit Bill purchased and discounted Cash credit, Overdraft and Locker Term deposits
Other customised services and products Guarantee and advisory services Insurance and investments banking products Other services
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4. The Varachha Co-Operative Bank Ltd.

Introduction: The people in Saurashtra, located in western part of Gujarat, are always depending upon the rain-fed cultivation. As a search for income generation in an alternate way for their survival, the peoples have chosen Surat city, where there is a good scope for trade in Diamond and Textile sector. Well of people have entered into the trading sector and the others on labour front. In a phased manner, the population of the people, involved in diamond trade, belonging to Saurashtra increased to a sizeable extent in Surat and in particular in the area of Varachha. It was become obvious for a necessity of a bank for their own people; the efforts were taken by a well known philanthropist, story writer and columnist in local dailies, Mr. P. B. Dhakecha, founder chairman of The Varachha Co-operative Bank Ltd., Surat. As such, The Varachha Co-operative Bank Ltd. came into existence on 16th October 1995 and Inauguration ceremony was done by on the hand of Shree Swami Sachidanand. Some of the Varachha Co-operative Bank Ltd., directors are belonging to diamond trade, who are official site holders of getting rough block diamonds from foreign countries. At the end of the first financial year the number of shareholders was 4484, Share Capital Rs. 57.44 lakh, Deposits Rs. 2.70 crores, Advance Rs. 2.07 crores and profit stood at Rs. 4.77 lakh.
The Varachha Co-operative Bank Ltd. has gradually developed the Banking activities and at the end of 5th year, with a network of 5 branches, the share capital and reserves raised to more than Rs. 8 crores and the deposits have crossed 100 crores mark, which is a rare phenomenon in Co-operative Banking Sector in all over India and the number of depositors have increased 58222. The Bank has been awarded with First Prize for the best performance among all Co-operative banks in Surat District during the Financial Year 2000-01. At dated on 31st March, 2009 the share capital raised Rs. 4.63 crores to Rs. 5 crores, reserves raised 39.07 crores to 42.71 croresand Advances Rs. 92.03crores. The deposit is Rs. 171.57 crores. Total 11branches. At dated on 31st march,2011 advances Rs.115.88 crores. The deposit is Rs 273.95 crores. 17
History and Development of the Varachha Co-Operative Bank Ltd.

The Varachha Co-operative Bank Ltd., Surat was established with license No. BD Guj. 1153 p Date: 27/1/95. The Register office of the bank is at Affil Tower, L. H. Road, Surat-6 within the period of 4 month after obtaining license. The bank was inaugurated by the respected saint swami Sachidanand, vice chairman of Surat district co-operative bank and other people on 16th October 1995 with opening of the bank by swami Sachidanand. With the help of the progress of the varachha cooperative bank, the committee of varachha co-operative bank was introduced Kamrej branch on dated 7th June, 1998. By the attraction of the customers & good support of the board of directors, varachha co-operative bank Ltd. Introduced second branch in ring road on dated 4th July, 1999. And 2nd July in 2000, the varachha co-operative bank introduced kadodara branch. Than the fourth branch of varachha co-operative bank introduced in 28th January, 2001 at Kapodra. And the fifth branch which was introduced on dated 26th February, 2001 at Katargam area.
Because of best services and customer satisfaction, The Varachha Co-operative Bank Ltd., Surat build unbelievable growth and bank show its efficiency by launch five branches at Kamrej started on 7th June 1998, Ring road branch was started on 4th July 1999, Kadodara branch was started on 2nd July 2000, Kapodra branch on started on 28th January 2001, Katargam branch started on 26 th February 2001, and Punagam branch started on 16th October 2008, Sachin branch started on 10th May 2011, Navsari branch started on 15th January 2012, Ahmadabad branch started on 15th April 2012. Recently bank has started its 11th branch at Ankleshwar on 23rd june,2012and planning to open 5 new branch around surat city in the financial year 2012-13
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Mission Varachha co-operative bank is committed to satisfy its banking customers, share holders employees and regulators through continually improving banking services, innovation in products, technology up gradation, Knowledge of term work and strengthening customer relationship. Vision Banking customer through faster services and invocative products. Regulators through higher rating during inspection audits. Technically qualified staff to meet challenges of high-tech banking. Inter branch connectivity. Bankers presence in metros. Introduction of full-fledged specialized branch. No. Urban Co-operative Bank for Business & profit per employ
Vital function of varachha co-operative bank are as follows:
One of the leading cooperative Banks in South Gujarat Audit grade, continuously at A, from the beginning Any Branch Banking (ABB) CCTV system is being installed to monitor the alertness of the entire banking activity, fitted with cameras at the vital points. Bank has started E-payment facility for the customers of the Bank for the purpose of payment of Income-Tax. Personalized Cheque Book are being issued to all the customers of the Bank. - RTGS/NEFT facility is also available.
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Objective of the varachha co-operative bank:

To encourage thrift and mutual Co-operating among its members. To create funds to be lend at moderate of interest to the members of the bank in accordance with the processor specified in these byelaws To undertake the management of trust and for that to accept any office of trustee, executors or office to perform duties of such a confidence nature either independently or jointly with some other person as the board deems fit. To undertake every kind of banking and sheriff business and also to undertake giving bank guarantee and letter of credit on behalf of members. To do every kind of trust and agency business and particularly do the work investment of funds, sale of properties and of recovery or acceptance of money. To give possible help and necessary guidance to traders, artisans etc. who are members of this bank in the conduct of their business.
Banking Function Of The Varachha Co-Op Bank

Net Banking Service: Bank Started Net Banking Service for their respective customer since 02-Oct-2009. With help of Net Banking customer can view his/her account related information like statement, inward clearing, outward clearing etc. from anywhere.
Any Branch Banking (ABB): Customer can transact his/her account from any branches of the bank like cash receipt, payment, transfer, balance inquiry, statement/passbook printing, deposit outward clearing etc.
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CCTV Monitoring: Banks all branches has CCTV Camera and all this connected and monitored at Head Office. With the help of CCTV Bank is able to search any fraud with customer or employee of the bank. E-Payment Facility: Bank has started E-payment facility for the customers of the Bank for the purpose of payment of Income-Tax. RTGS/NEFT Facility: Real Time Gross Settlement (RTGS)/ National Electronic Fund Transfer (NEFT) Facility available to the customer of the bank. By this facility customer can transfer his balance throughout India of any Banks, which is member of RTGS/NEFT. Maximum limit of NEFT for transferring funds is Rs.200000. If the customer wants to transfer more than this limit then they have to refer RTGS compulsory. The fund transferring period in RTGS is maximum 8 hours, which is set by the RBI. Mobile Banking System: Now you can get the information such as Balances, Transaction Details, Cheque Status, Deposit rates and much more sitting at your home or office. Bank has a centralized mobile banking facility. Through this facility customer can know his/ her balance via SMS for getting various details about their accounts like Current Balance, Cheque Return Status, FD Rates, Loan Rates etc. Bank also send regularly SMS to the registered customer like chequeInward/ Outward return details, FD rates, any event etc. VAT (View A/c Terminal) Machine: VAT machine is available in the all branches of the bank.. With the help of VAT machine customer can view various details of his/her A/c. like Balance, Statement etc. For avail this facility customer should have registered his account with bank and get 4 digit passwords from the banks Officers. 21
Locker Facility: Locker Facility is also available at Banks Kamrej, Kapodra and Katargam Branches with nominal rental. There is various types of locker followed by its size. Franking of Adhesive Stamp: Bank has Franking Machine under license from Government for stamping of Non Judicial Stamp arranged by Revenue Dept. of Gujarat State.
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SWOT Analysis
Strengths: o The staff member of the concern is well-experienced and trained enough. o The bank is providing training to new employees. o The accounts of share holders as well as customers are fully secured by insurance. o The bank has good brand image. o The turnover of manpower in the bank is very less and staff members are well satisfied with the facilities given to them. o The profit of the bank is continuously increases. o Customers are serviced in the best manner. o By honoring the social welfare concept the bank is providing society welfare.
Weakness: o There is lack of linking performance. o In recent competitive era, varachha bank not provide some modern facilities like ATM service, debit card, credit card and even not website on intent for show the growth of bank. o Rules for deposits and loans are very strict opening deposit is high and they require perfect documents, it can be limitation for slow inflow of deposits.
Opportunity: o The bank has good market potential so that it can enhance or expand its business in future. The bank has to start its branches in the areas like City Light, Adajan, and Sachin and out of city or state should pick up the opportunity to discover the market.
Threat: o If there will be any union, it will cause problem for the bank. o If there will be any opening of new bank with more facilities than other banks, it will hinder the progress of the bank. o If there will any political pressure on the banking sector it will lead to decrease in productivity and efficiency.
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FUNCTIONAL DEPARTMENTS
HRM
Introduction: According to The Institute of Personnel Management , London , U.K. States that It is that part of management concerned with people at work and with their relationship within an organization. Its aim to bring together and develop into an effective organization the men & women who make up an enterprise and having regard for the well being of the individual and working groups to enable them to make their best contribution to its success. In the HRM the recruitment , selection & induction , training & development , promotion , wage & salary , personal records etc are create an important role.
Board of Director:
Shree P.B.Dhakesha Shree Kanjibhai Bhalala Shree Bhavanbhai Navapara Shree Prabhudas T. Patel Shree Lavjibhai M. Nakrani Shree kanjibhai R. Vadariya Shree Vallabhbhai P. Savani Shree Jivarajbhai K. Patel Shree Babubhai V. Mangukiya Shree G.R.Aashodariya Shreemati Vimalaben R. Vaghani Shreemati Smrutiben L. Dobariya (FOUNDER CHAIRMEN) (CHAIRMEN) (MD) (VICE CHAIRMEN) (DIRECTOR) (DIRECTOR) (DIRECTOR) (DIRECTOR) (DIRECTOR) (DIRECTOR) (DIRECTOR) (DIRECTOR) 24
Organizational Structure
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Recruitment and Selection

Meaning of Recruitment:
Recruitment is generating of application or applicants for specific positions through three common sources i.e., Advertisement, state employment exchange agencies and present employees.At present, The Varachha Co-Operative Bank undertaking Rationalization i.e. it selects candidates from inside the organization. Therefore, there is no need to recruit or select more people from outside the organization. But when there is any vacancy in the organization, the selection process is as under: Advertisement in the newspaper. Interview Selection Induction The Varachha Co-Op. Bank Ltd takes written test & personal interview to recruit the employee. The recruitment process is handled by the Board of Directors. They recruit only post graduated qualify persons and then give post to perform the duty.
Selection:
Selection means to select the best applicant out of all the application. In The Varachha co-operative Bank selection process is as follow.
A. Preliminary interview: In this step bank can classified all the Qualified and unqualified employee and decide which type employee are needed in our bank like skill, knowledge, education experience etc. in this way bank decide the all employees. B. Application form: In this stage bank can to print one form in this form. Bank collect all the information about employees like 26
Identifying Information Personnel Information Physical Characteristics Family Background Education Reference etc. C. Selection Test: In this step bank take some psychological test for checking personnel mental level, some skill like intellectual etc. so by this test help bank take selection test and select the employees. D. Employment Interview: In this step bank cover all the point which are not included in application form selection test etc. bank give information about bank to employees and take his personnel information or view about bank services. E. Medical Examination: The Varachha co-op. Bank Ltd. check physical feature of the candidate and then can select them. F. Reference Checks: In this step bank can check the reference of candidate and check which person or institution are known of candidate behavior then decided other step. G. Final Approval: Banks sees all the above step very carefully then takes any decision and selects the any candidate out of total application for job.
Placement:
Placement means to assign any particular job to candidate for doing it and approve himself. The Varachha co-op. Bank Ltd. take all the step for the select good candidate then assign job to candidate. After the select candidate give any task of candidate for performed it. In above way bank can placement of any candidate.
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Training and Development

Training means the changing of skill, knowledge, attitude or social behavior towards therequirement of job and organization. After selection and placement step organization give the training of new candidate because new candidate are totally unknown of our organization on so that person give the induction training.Bank gives the induction training and this can involve some point which are as follow: Give history of bank. Bank's ethics Banks organization structure Banks terms & conditions Banks rules & regulations Wages system Discipline of the bank Welfare facility Health and safety measures Job description etc.
In above way lot of information gives in the induction training and can do support the new candidate for doing easy work with senior staff member.
Promotion:
The Varachha co-op. Bank gives promotion to their employees on the basis of experience, good efficiency with his work. The employees are entitled to get promotion only when they have performed their job with good, respectable and with efficiently.
Transfer:
Transfer means that a literals shift passing movement of individual from one position to another usually without involving any marketed changed in duties , responsibilities , skills needed or compensation.
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In the bank transfer must be given to employee, after 4, 6 and 8 month from one department to other department or one branch to other branch. So that he can able to handle every department of bank.
Wages and Salary Department:
In the Varachha Co-operative bank wages and salary is given on the basis of employee's designation such as manager, system officer, officer, senior clerks, junior clerks and peons. The Varachha Co-operative Bank give the wages according to seniority of employees and give performance based. Bank gives the monthly salaries which are directly credited to the employees account before the close of month. The bank employee also given dearness allowance like medical allowance, city allowance, house rent allowance etc. at the rates which are decided in the meeting .
Personal records:
Name of employee Local and Permanent address Appointment of training Detail about past Previous employment Qualification Promotion Awards Accident Record Disciplinary Record Retirement Photograph and Height, Sex, Marital Status, etc
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Finance
Introduction: Financial statements are prepared for the purpose of presenting a periodical review or report on the progress by the management and deal with The status of investment in the business and The results achieved during a period under review.
The statement disclosing status of investments knows as Balance sheet and the statement showing the result is known as profit & loss A/c. A firm communicates financial information to its share holders creditors andother users through financial statements and reports. The financial statements contain summarized information of the firms financial affairs, organized systematically. T he report is presented at banks annual general meeting along with new proposals.
Definition: Financial statement is methodical analysis through classification, comparison and interpretation of data in financial statement to diagnoses financial soundness (profitability, viability, soundness). As the statements are used by investors and financial analysis to examine the firms performance in order to make investment decisions they should be prepared very carefully and contain as much information as possible. The financial statement are prepare from the accounting records maintained by the firm. The focus of financial analysis is on key figures in the financial statements and the significant relationship that exists between them. In brief, financial analysis is the process of selection, relation and evaluation.
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Financial Performance
No 1 2 3 4 5 6 7 8 9 10 11 12
Particular No. of share holder Share capital Reserve & surplus Total deposit Total Loan Net Profit Working Capital No. of a/c holder No. of Loan Taker Audit Class Dividend No. of Employee
2008-09 12669 5.24 42.71 171.57 92.03 3.02 226.96 105674 9215 A 12% 128
2009-10 13566 5.91 46.41 224.16 94.89 3.15 320.38 115528 7739 A 12% 121
2010-11 17192 7.29 51.98 273.95 115.88 4.05 374.09 121922 6593 A 15% 131
2011-12 18837 7.90 58.53 289.70 155.88 5.06 374.31 132277 7972 A 15% 161
2012-13 21891 9.11 66.25 345.58 217.40 5.30 439.29 156422 11486 A 15% 163
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Services Provided Bythe Varachha Co-Operative Bank

The Varachha Co-operative Bank Ltd. providing different kinds of facilities and services to different member: 1. To Shareholder: o As a member of share holder of varachha co-operative bank, Bank provides accident insurance of Rs. 200000 to its share holders. o The varachha co-operative bank provides dividend at 15% to its share holders.
o
Bank provides Scholarship to the children of its share holder for the purpose of higher education and set of books every year.
2. To Employee: o The Varachha Co-operative Bank provides life and accident insurance to their each staff member. o They also providing high interest rate on deposit and low rate of interest on loan to their employees. o They also provide personal computer & personal printer to their employees.
3. To Customer o VAT (View Account Terminals) machine facility to tale of customer account. By this machine customers can knows their balance by enteringpin-code and account number. o They also providing tale banking & mobile banking facility to their customers. By this process customer can know his/her account balance anywhere. o Bank provides Safe deposit lockers to their customers. o GEB bills collection facility is also available at Kamrej, Ring road, Kapodra, Kadodara branches for customer.
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Types of Credit Schemes Offered Bythe Varachha Co-Op. Bank:

The Varachha co-op. bank has performed good work by offering various type of credit to its customer. So bank also bring new schemes from time to time for increasing its effectiveness and consumer base with existing customer. The following are the various types of Credit offered by the Varachha Co-operative Bank: Vehicle Loan: The Varachha co-operative Bank provides loan for purchasing various types of vehicle such as two, three and four-wheeler.Generally vehicle loan is completed within 3 years but above one lacs loan or generally for four wheelers loans is is to be completed within 5 years with monthly installments.
Limit: - There is no limit for Vehicle loan. Bank sanctioned credit up to 70 to 75% of quotation. Rate of Interest: Particular Vehicle loan Interest rate Up to Rs 1 lacs 13% Above Rs 1 lacs 11.50% Rebate 1% 1% Net rate 12% 10.50%
Margin: - Margin for Vehicle loan is 25% to 30%. Security:- Bank provides loans against equitable mortgage and against hypothecation of the proposed vehicle to be purchased. Requirement for Vehicle Loan: o All basic documents. o Income evident of loan applicant as well as two guarantors. o Photocopy of property submitted to bank.
Register certificate (RC) book of vehicle is kept by banks. When total installments of vehicle loan is paid at that time RC book and other original documents are given back to them (Loan holder).
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Cash Credit (CC)/Over Draft (OD): A Cash Credit is a facility by which a banker allows his customer to borrow money up to certain limit against either a bond of credit by one or more securities. This is most common mode of borrowing by large commercial and industrial house in India because the advantage those customers need not borrow the whole amount at one time but may draw such amount as he/she requires at different times. The bank provides these facilities to borrower for meeting their temporary needs and to solve problem related to short-term capital.
Limit: - There is nolimit for Cash Credit and Over Draft. Rate of Interest: Particular Cash credit & Interest rate Up to Rs 2 lacs 13% Rebate Net rate 13%
Over Draft loan
Above Rs 2 lacs 13%
13%
Margin: - Margin for Cash Credit and Over Draft loan is 15% to 20%. Security: - Bank provides loans against up to mortgage and hypothecation provide by applicant. Requirement for Cash Credit and Over Draft loan: o All basic documents. o Evident of other income of proprietor or partner. o Director signature. o Firms last three years balance sheet and income tax return copy. o Statement of last six month of firms account in the bank or other banks. o To include certificate of company registration and articles of association if applicant is private limited company.
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Machinery Loan: The Varachha Co-operative Bank sanctioned a loan to applicant who wants to adopt new technology, machinery, equipment etc. for expanding his business.
Limit: - Maximum limit for Machinery loan is Rs. 99, 99,999/ Rate of Interest: Particular Machinery loan Interest rate Up to Rs 2 lacs 14% Above Rs 2 lacs 14% Rebate 1% 1% Net rate 13% 13%
Margin: - Margin needed for Machinery loan is 25% to 35%. Security: -Bank sanctioning loans against up to mortgage and hypothecation provided by applicant. Requirement for Machinery loan: o All basic documents. o Machinery list and Xerox of bills. o Invoice of purchasing new machinery. o Evident of other income of proprietor or partner. o Director signature. o Firms last three years balance sheet and income tax return copy. o Statement of last six month of firms account in the bank or other banks.
Fixed Deposit (FD) Loan: The Bank provides loan against fixed deposit. In fixed deposit loan applicant takes loan against fixed deposit certificate. During this time certificate will have lien under the bank. This loan is based on renewal and any applicants invest his money in fixed deposit scheme with different rate.
Limit: - Bank can give loan up to 75% of against fixed deposit.
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Rate of Interest: Particular Fixed Deposit Loan F.D. rate + 2% Interest rate Rebate -Net rate F.D.rate+ 2%
Margin: - Margin for fixed deposit loan is up to 25%. Security: -Bank keeps fixed deposit certificate of borrower. Requirement for Fixed Deposit loan: o All basic documents relevant to applicant. No need of guarantors. o Fixed deposit certificate of borrower
Loan Against Government Security: The Varachha co-operative Bank provides also loan against government security such as National Saving certificate, Kishan Vikash Patra etc. For this loan, before making an advance on the securities of the NSC& KVP, the bank should take an applicant in the prescribed form from the borrower in whose name the certificate stand. This certificate should then be sent to the concerned post office or the issuing authority for transfer to the lending banks name. Banker should grant the advance after made on the certificate or after new certificate. Limit: -Bank gives advance up to 65% against the NSC/KVP certificate. Rate of Interest: Particular NSC/KVP Loan Interest rate 13% Rebate -Net rate 13%
Margin: - Margin need for NSC/KVP loan is 35%. Security: -Bank keeps NSC/KVP certificate of borrower. Requirement for NSC/KVP loan: o All basic documents relevant to applicant. No need of guarantors. o NSC/KVP certificate of borrower. 36
Gold Loan: Sometimes people need some financial help to meet their daily requirements. In these circumstances the bank gives loan against the pledge of their jewelry considering the value of the jewels. The bank issued major part on gold because gold loan is safety one. Borrower has no need to bring any guarantor. Limit: - Loans sanctioned against the gold. So on the basis of gold provide by applicant, bank issued advance to him. Bank gives advance up to 60% of gold value. Rate of Interest: Particular Gold Loan Interest rate 11% Rebate 1% Net rate 10%
Margin: - Margin need for Gold loan is 40%. Security: - Loan provides against gold ornaments. Requirement for Gold loan: o All basic documents and personnel information of applicant. No need of guarantors. o As a security gold ornaments provide by applicant.
Staff Loan: Such credit is provided only to the staff members of the bank. This loan is provided for meeting any financial needs, for any social occasion in family and for purchasing any respective items such as vehicle, house etc. Limit: - Bank gives loan amount up to Rs 30,000/-. Rate of Interest: Particular Staff loan Interest rate 6% Rebate -Net rate 6%
Margin: - No need of margin for Staff loan. 37
Security: - Bank needs salary slip of applicant required for staff loan. Requirement for Staff loan: o One photocopy of applicant as well as two guarantors the work in the bank. o Personnel information of applicant as well as two guarantors. o Submit the application form with salary slip.
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Other Services
Net Banking Service: Bank Started Net Banking Service for their respective customer since 02-Oct-2009. With help of Net Banking customer can view his/her account related information like statement, inward clearing, outward clearing etc. from anywhere.
Any Branch Banking (ABB): Customer can transact his/her account from any branches of the bank like cash receipt, payment, transfer, balance inquiry, statement/passbook printing, deposit outward clearing etc.
CCTV Monitoring: Banks all branches has CCTV Camera and all this connected and monitored at Head Office. With the help of CCTV Bank is able to search any fraud with customer or employee of the bank.
E-Payment Facility: Bank has started E-payment facility for the customers of the Bank for the purpose of payment of Income-Tax.
RTGS/NEFT Facility: Real Time Gross Settlement (RTGS)/ National Electronic Fund Transfer (NEFT) Facility available to the customer of the bank. By this facility customer can transfer his balance throughout India of any Banks, which is member of RTGS/NEFT. Maximum limit of NEFT for transferring funds is Rs.200000. If the customer wants to transfer more than this limit then they have to refer RTGS compulsory. The fund transferring period in RTGS is maximum 8 hours, which is set by the RBI.
Mobile Banking System: Now you can get the information such as Balances, Transaction Details, Cheque Status, Deposit rates and much more sitting at your home or office.
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Bank has a centralized mobile banking facility. Through this facility customer can know his/ her balance via SMS for getting various details about their accounts like Current Balance, Cheque Return Status, FD Rates, Loan Rates etc. Bank also send regularly SMS to the registered customer like cheque Inward/ Outward return details, FD rates, any event etc.
VAT (View A/c Terminal) Machine: VAT machine is available in the all branches of the bank.. With the help of VAT machine customer can view various details of his/her A/c. like Balance, Statement etc. For avail this facility customer should have registered his account with bank and get 4 digit passwords from the banks Officers.
Locker Facility: Locker Facility is also available at Banks Kamrej, Kapodra and Katargam Branches with nominal rental. There is various types of locker followed by its size.
Franking of Adhesive Stamp: Bank has Franking Machine under license from Government for stamping of Non Judicial Stamp arranged by Revenue Dept. of Gujarat State.
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Comparative Statement of Loan
2011 A) Short term Credit: Gold Loan (Up to 1 lakh) Cash credit Overdraft 0.48 1.60 0.44
2012
2013
8.97 1.90 3.05
18.99 2.20 0.90
B) Medium& Long term Credit: Against NSC/KVP 0.0075 TWO Wheeler loan Staff TWO Wheeler loan FOUR Wheeler loan Machinery Hypo.(TUF) loan Staff Housing loan Loan Against Fixed Deposit Self Employment Loan Term Loan Surety Loan 0.71 0.02 1.67 9.44 0.39 0.07 0.0029 0.09 0.44
0.0039 1.34 0.07 7.98 13.13 0.38 0.15 0.12 0.25 1.04
0.0056 1.81 0.08 11.56 11.33 0.44 0.23 0.20 0.58 2.14
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1) Gold Loan( Up to 1 lakh) :-
Year Loan Gold Loan (Rs. In Crore)
2011
0.48
2012
8.97
2013
18.99
Gold Loan( upto 1 lakh)

20 18 16 Amount( In Crore) 14 12 10 8 6 4 2 0 2011 2012 Year 2013 0.48 8.97 18.99
Interpretation:-
The chart shows that in 2009-10 the gold Loans are sanctioned of Rs. 0.48 Crore and in 2010-11 the gold loan are sanctioned of Rs.8.97 Crore which shows rapid increase in the credit to the customers and increasing year by year.
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2) Cash Credit(CC):-
Year Loan Cash Credit (Rs. In Crore)
2011 1.60
2012 1.90
2013 2.20
Cash Credit
2.5 2.2 2 1.9 1.6 1.5
Amount( In Crore)
0.5
0 2011 2012 Year 2013
Interpretation:-
The chart shows that in the year 2010-11banks has sanctioned cash credit of Rs. 1.6 crore and in 2011-12of Rs. 1.9 Crore and in the year 2012-13 of Rs.2.2 crore. By doing comparison the amount of loan, it is increased by 18.75% in the year 2010-11 as compared to year 2010-11 and increase of 15.78% in the year 2012-13 as compares to year 2011-12 which shows the credit policy of the bank.
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3) Overdraft (OD):-
Year Loan Overdraft (Rs. In Crore)
2011 0.44
2012 3.05
2013 0.90
Overdraft
3.5 3.05 3
Amount( In Crore)
2.5 2 1.5 1 0.5 0 2011 2012 Year 2013 0.44 0.9
Interpretation:-
The chart shows that in the year 2010-11 bank has sanctioned Overdraft of Rs. 0.44 crore and in 2011-12 of Rs. 3.05 Crore and in the year of 2012-13 of Rs.2.2 crore. By doing comparison the amount of loan, it is increased by 593.18% in the year 2011-12 as compared to year 2010-11 and decrease of 70.49% in the year 2012-13 as compared to the year 2012-13.
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4) Loan Against KVP/ NSC:-
Year Loan Against NSC/KVP (In Crore)
2011 0.0075
2012 0.0039
2013 0.0056
Loan against NSC/KVP

0.008 0.0075 0.007 0.006 Amount( In Crore) 0.005 0.004 0.003 0.002 0.001 0 2011 2012 Year 2013 0.0039 0.0056
Interpretation:-
The chart shows that in the year 2010-11 bank has sanctioned credit against NSC/KVP of Rs. 0.0075 crore and in 2011-12 of Rs. 0.0039 Crore and in the year of 2012-13 of Rs.0.0056 crore. By doing comparison the amount of loan, it is decreased by 48% in the year 2011-12 as compared to year 2009-10 and increase of 43.59% in the year 2012-13 as compared to the year 2011-11.
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5) TWO Wheeler loan:-
Year Loan TWO Wheeler loan ( In Crore)
2011
2012
2013
0.71
1.34
1.81
TWO Wheeler loan

2 1.8 1.6 Amount( In Crore) 1.4 1.2 1 0.8 0.6 0.4 0.2 0 2011 2012 Year 2013 0.71 1.34 1.81
Interpretation:-
The chart shows that in the year 2010-11 bank has sanctioned two wheeler loan of Rs. 0.71 crore and in 2011-12 of Rs. 1.34 Crore and in the year 2012-13 of Rs.1.81 crore. By doing comparison the amount of loan, it is increased by 88.73% in the year 2011-13 as compared to year 2010-11 and increase of 35.07% in the year 2012-13 as compares to year 2011-12 which shows continuous increase in the credit by the bank.
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6) FOUR Wheeler loan:-
Year Loan FOUR Wheeler loan ( In Crore)
2011 1.67
2012 7.98
2013 11.56
FOUR Wheeler loan

14 12 10 Amount( In Crore) 8 6 4 2 0 2011 2012 Year 2013 1.67 7.98 11.56
Interpretation:-
The chart shows that in the year 2010-11 bank had sanctioned four wheeler loan of Rs. 1.67 crore and in 2011-12 of Rs. 7.98 Crore and in the year 2012-13 of Rs.11.56 crore. By doing comparison the amount of loan, it is increased by 377.84% in the year 2011-12 as compared to year 2010-11 and increase of 44.86% in the year 2012-13 as compares to year 2011-12 which shows continuous increase in the credit offered by the bank.
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7) Staff Two Wheeler loan:-
Year Loan Staff Two Wheeler loan (Rs. In Crore)
2011 0.02
2012 0.07
2013 0.08
Staff Two Wheeler loan

0.09 0.08 0.08 0.07 0.07 Amount( In Crore) 0.06 0.05 0.04 0.03 0.02 0.02 0.01 0 2011 2012 Year 2013
Interpretation:-
The chart shows that in the year 2010-11 bank had sanctioned Staff Two wheeler loan of Rs. 0.02 crore and in 2011-12 of Rs. 0.07 Crore and in the year 2012-13 of Rs.0.08 crore. By doing comparison the amount of loan, it is increased by 250% in the year 2011-12 as compared to year 2010-11 and increase of 14.29% in the year 2012-13 as compares to year 2010-11 which shows continuous improvement in the staff facility offered by the bank.
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8) Staff Housing loan:-
Year Loan Staff Housing loan (Rs. In Crore)
2011 0.39
2012 0.38
2013 0.44
Staff Housing loan

0.45 0.44 0.44 0.43 Amount( In Crore) 0.42 0.41 0.4 0.39 0.39 0.38 0.38 0.37 0.36 0.35 2011 2012 Year 2013
Interpretation:-
The chart shows that in the year 2010-11 bank had sanctioned Staff Two housing loan of Rs. 0.39 crore and in 2011-12 of Rs. 0.38 Crore and in the year 2012-13 of Rs.0.44 crore. By doing comparison the amount of loan, it is decreased by 2.56% in the year 2011-12 as compared to year 2010-11 and increase of 15.79% in the year 2012-13 as compares to year 2011-13 which shows continuous improvement in the staff facility offered by the bank.
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9) Machinery Hypothecation (TUF) loan:-
Year Loan Machinery Hypo. (TUF) loan (Rs. In Crore)
2011 9.44
2012 13.13
2013 11.33
Machinery Hypothecation (TUF) loan

14 12 10 Amount( In Crore) 8 6 4 2 0 2011 2012 Year 2013 9.44 13.13 11.33
Interpretation:-
The chart shows that in the year 2010-11 bank had sanctioned Machinery Hypothecation(TUF)loan of Rs. 9.44 crore and in 2011-12 of Rs. 13.13 Crore and in the year 2012-13 of Rs.11.33 crore. By doing comparison the amount of loan, it is increased by 39.08% in the year 2011-12 as compared to year 2010-11 and decrease of 13.71% in the year 2012-13 as compares to year 2011-12 which shows credit offered for the development of small scale businesses by the bank. 50
10) Loan Against Fixed Deposit:-
Year Loan Loan Against Fixed Deposit (Rs. In Crore)
2011
2012
2013
0.07
0.15
0.23
Loan Against Fixed Deposit

0.25 0.23
0.2 Amount( In Crore) 0.15 0.15
0.1 0.07 0.05
0 2011 2012 Year 2013
Interpretation:-
The chart shows that in the year 2010-11 bank had sanctioned against FD of Rs. 0.07 crore and in 2011-12 of Rs. 0.15 Crore and in the year 2012-13 of Rs.0.23 crore. By doing comparison the amount of loan, it is increased by 114.28% in the year 2011-12 as compared to year 2010-11 and increase of 53.33% in the year 2012-13 as compares to year 2011-12 which shows continuous increase in the credit offered by the bank.
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11) Self-Employment Loan:-
Year Loan Self Employment Loan (Rs. In Crore)
2011 0.0029
2012 0.12
2013 0.20
Self Employment Loan

0.25 0.23
0.2 Amount( In Crore)
0.15 0.12 0.1
0.05 0.0029 0 2011 2012 Year 2013
Interpretation:-
The chart shows that in the year 2010-12 bank had sanctioned Self employed loan of Rs. 0.0029 crore and in 2011-12 of Rs. 0.12 Crore and in the year 2012-13 of Rs.0.23 crore. By doing comparison the amount of loan, it is increased rapidly in the year 2011-12 as compared to year 2010-11 and increase of 91.67% in the year 2012-13 as compares to year 2011-12 which shows continuous increase in the credit offered by the bank.
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12) Term Loan:-
Year Loan Term Loan (Rs. In Crore)
2011 0.09
2012 0.25
2013 0.58
Term Loan
0.7 0.6 0.5 Amount( In Crore) 0.4 0.3 0.2 0.1 0 2011 2012 Year 2013 0.09 0.25 0.58
Interpretation:-
The chart shows that in the year 2010-11 bank had sanctioned term loan of Rs. 0.09 crore and in 2011-12 of Rs. 0.25 Crore and in the year 2012-13 of Rs.0.58 crore. By doing comparison the amount of loan, it is increased rapidly in the year 201-12 as compared to year 2010-11 and increase of 132% in the year 2012-13 as compares to year 2011-12 which shows continuous increase in the credit offered by the bank.
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13) Surety Loan:-
Year Loan Surety Loan (Rs. In Crore)
2011 0.44
2012 1.04
2013 2.14
Surety Loan
2.5 2.14 2 Amount( In Crore)
1.5 1.04 1
0.5
0.44
0 2011 2012 Year 2013
Interpretation:-
The chart shows that in the year 2010-11 bank had sanctioned against FD of Rs. 0.44 crore and in 2011-12 of Rs. 1.04 Crore and in the year 2012-13 of Rs.2.14 crore. By doing comparison the amount of loan, it is increased by 136.36% in the year 2011-12 as compared to year 2010-11 and increase of 105.76% in the year 2012-13 as compares to year 2011-12 which shows continuous increase in the credit offered by the bank.
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5. INTRODUCTION OF THE STUDY
5.1 Literature Review:

Satisfaction is basically a psychological state; care should be taken in the effort of quantitative measurement, although a large quantity of research in this area has recently been developed. In the current trend, customer satisfaction plays a major role in all parts of the services. This research work is used to predict the over-all customer satisfaction and dissatisfaction with banking services with the help of fourdimensional services such as loan services, bank deposits, insurance services and value-added services and how gender and income influence the kind of loans offered by banks. An assessment was made to understand the relationship between marital status and changes recommended to commonly accepted services. This study helps to identify the customers' preferences and satisfaction of banking services. In this study, descriptive research technique was adopted.
The purpose of this study is to investigate the differing preference and satisfaction level of customer towards loans, deposits schemes, insurance and value added services rendered by various banks in combatore and Erode cities. By using nonconvenient sampling, 250 samples were taken at various branches and ATM centers, etc. simple percentage and chi-square test result revealed that business and vehicle loans are fast moving and customers had overall satisfaction. Bank loans, bank deposit schemes showed a positive response and in value added services, customer preference for net banking got the lest rank. Among four basic services, insurance services had paid limited attention and the studu recommends special attention on banking insurance service satisfaction and the implication were recorded for future researche.
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5.2 Background of Study:
Consumer Preferences:
Consumer preferences is used primarily to mean to select an option that has the greatest anticipated value among a number of options by the consumer in order to satisfy his/her needs or desires. Preferences indicate choices among neutral or more valued options available. The preference of the consumer is the result of their behavior they show during searching, purchasing and disposing the products.
Consumer Satisfaction:
Every human being is a consumer of different produces. If there is no consumer, there is no business. Therefore, consumer satisfaction is very important to every business person. The consumer satisfaction n after purchase depends on the product performance in relation to his/her expectations. Philip Kotler (2008) observed that satisfaction is a person's feelings of pressure or disappointment resulting from product's perceived performance (outcome) in relation to his or her expectations. Consumer satisfaction is the level of a person's felt state resulting from comparing a product's perceived performance (outcome) in relation to the person's expectations. This satisfaction level is a function of difference between perceived performance and expectations. If the product's performance exceeds expectation, the customer is highly satisfied or delighted. If the performance matches the expectations, the customer is satisfied. If the products performance falls short of expectations, the customer is dissatisfied. Consumer satisfaction or dissatisfaction is the feeling derived by the consumer when he compares the product's actual performance with the performance that he expects out of it. Consumers make their expectations from the service quality, service, delivery, communications, past experiences and references. These all are to be judged correctly by the management so that their perceptions match with consumer expectations. If any of these factors are wrongly interpreted then the expected level of consumer satisfaction cannot be reached.
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5.3 Problem Statement:

The question may arise in mind that: From the credit schemes offered by the bank, which is the scheme that is most preferred by the customers? Is customer really satisfied after borrowing the credit offered by the bank from different dimension?
Importance of Study:
From this research, it can come be known that how many percent consumer preferred which scheme offered by The Varachha Co-operative Bank. It can be known that the satisfaction level of customers of the bank with respect to pre-purchase and post-purchase of the schemes. The Bank management can know, in which schemes and services they have to made changes and improvement. By studying the research, the bank management can take necessary action towards the dissatisfactory factors.
5.4
Objectives of the Study:
Primary objective: To analyze the consumer preference and satisfaction level toward credit schemes offered by The Varachha Co-operative Bank.
Secondary objective: To study various Credit Schemes offered by The Varachha Co-operative Bank. To analyze the awareness and frequency of credit used by and preference toward by the customers. To study the level of satisfaction of customers at The Varachha Co-operative Bank. To analyze the consumer loyalty towards The Varachha Co-operative Bank. To study why people rely more on The Varachha Co-operative Bank than other bank. 57
The main objective behind the research is to know the various schemes offered by the bank and the best one which is most preferred by the customers. To know from the customer of the bank that why they choose this bank to satisfy their financial requirement than other bank.
5.3 Hypothesis:
Ho (Null Hypothesis): Customers of the Varachha co-op bank prefer the credit schemes offered by the bank and are satisfied with it.
H1 (Alternative Hypothesis): Customers of the Varachha co-op bank prefer the credit schemes offered by the bank and are not satisfied with it.
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6. RESERCH METHODOLOGY
Definition:
Research is the systematic investigation into and study of material and sources in order to establish facts and reach to the conclusion.
6.1 Research Design:

Research design is one of the core things before making any kind of survey or study. It is generally related with the feedback for the survey. Research design includes all that aspects which is related from formulating a questionnaire to the presenting the data of the survey.The questions have been asked must be related to the situation in the sense that they must be related for the particular purpose only. We also have to decide about target audience before targeting the customers. The language and content of the questionnaire must be so that the respondent can understand and answer +correctly.
6.2 Data collection Method:

The information so collected when put into proper sequence and proper format and arranged as per need of article is called Data.
Data Collection: After choosing research, it is necessary to collect accurate and reliable data in order to achieve research objective. The first issue in the data collection process is to determine whether the information needed for the research problem has already been collected or require fresh. Generally there are two method of collecting the data:
Primary data:
The data that are fresh and sophisticated generated for a specific purpose or a specific research project called primary data. The researcher collects the data by using data collection instrument. For this research I have choose primary data collection method by using the questionnaire. 59
Secondary data:
The data which is already exists somewhere and it was gathered or generated for some other purpose in the past. Such data may be useful for other research but it is not much reliable compared to the primary data method. For this report I have used secondary data also which are collected from different sources such as banks annual reports, pamphlets, internet, brushers and old reports.
6.3 Population:
In defining a population for study, such a population must be specific enough to provide readers a clear understanding of the applicability of study to particular situation and understanding of that same population. It therefore becomes important to select the proper method of sampling, the process by which representative individuals are randomly selected to provide insights into the entire population under study. For this study, the population is the customers of the varachha co-operative bank , who had borrowed credit from the bank.
6.4 Sampling Design:

Sampling design is one of the most important aspects where the design must be appropriate in order to have the desire result. The research was done using non probability sampling. Sampling design includes various aspects and they are as follows: Sampling Area: Surat Sample Size: 250
6.5 Sampling Frame:

In statistics, a sampling frame is the source material or device from which a sample is drawn. It is a list of all those within a population who can be sampled, and may include individuals, households or institutions.A sampling frame sample techniques, such as stratified sampling may contain additional information (such as demographic information).For this study, the customer list of the varachha co-op bank taken as sample frame which contains the names of the customers.
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6.6 Data Collection Instrument:

Sample survey: As it is difficult and time consuming to study each and every customer with census survey, alternative form i.e. sample survey instrument of data collection is used for this study with the assumption that the sample represents the population.A questionnaire with sufficient questions was used to collect the data with face to face interaction because if respondent face any difficulty in filling can be solved immediately.
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7. DATA ANALYSIS AND INTERPRETATION

Introduction: This chapter is allocated for analysis and interpretation of data. The analysis of consumer satisfaction level is done by using percentage analysis and chi-square test.
1) Gender Composition of the customers
Gender
No of respondent
Percentage of respondent
Male Female Total
210 40 250
84 16 100
100% 80% 60% No of Respondent 40% 20% 0%
Gender
84%
16%
Male
Female Gender
Interpretation:
Here, it is clear from the chart that 84% of the respondent are male while only 16% respondents are female.
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Gender Scheme Surety Loan Vehicle Loan Gold Loan Machinery Loan Housing Loan Cash Credit/ Overdraft Self Employed Loan NSC/ KVP Loan Loan against FD Total
Male 15 55 36 21 34 25 14 5 5 210
Female 0 0 4 0 0 0 21 0 15 40
Total 15 55 40 21 34 25 35 5 20 250
Hypothesis:
H0: There is significant impact of gender on consumer preference for credit schemes. H1: There is no significant impact of gender on consumer preference for credit schemes.
O 15 55 36 21 34 25 14 5 5 0 0 4 0 0 0 21 0 15
E 12.6 46.2 33.6 17.64 28.56 21 29.4 4.2 16.8 2.4 8.8 6.4 3.36 5.44 4 5.6 0.8 3.2
O-E 2.4 8.8 2.4 3.36 5.44 4 -15.4 0.8 -11.8 -2.4 -8.8 -2.4 -3.36 -5.44 -4 15.4 -0.8 11.8
(O-E)*(O-E) 5.76 77.44 5.76 11.2896 29.5936 16 237.16 0.64 139.24 5.76 77.44 5.76 11.2896 29.5936 16 237.16 0.64 139.24 (O-E)*(OE)/E
(O-E)*(O-E)/E 0.457143 1.67619 0.171429 0.64 1.03619 0.761905 8.066667 0.152381 8.288095 2.4 8.8 0.9 3.36 5.44 4 42.35 0.8 43.5125 132.8125
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Chi square test (X2) = (O E)*(O - E) / E Degrees Of Freedom = V = (R 1) (C -1) Where, O = Observed Frequency E = Expected Frequency R = Number of Rows C = Number of Columns
For all the chi-square test the table value has taken @ 5% level of significance. X2 = (O-E)2 / E = 132.81 Number of degree of freedom (NDF): = (row-1) (column 1) (9-1) (2-1) =8 Table value of x2 at 5% level of significant = 15.5073
Conclusion: HO is rejected; since the calculated value of x2 (132.81) is more than the table value of x2 (15.5073).Hence, there is no significant impact of gender on customer preferences towards credit schemes.
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2) Age Composition of the customers
Age Up to 20 years 21-30 years 30-40years Above 50 Years Total
No of respondent 5 110 110 25 250
Percentage of respondent 2 44 44 10 100
45% 40% 35% 30% 25% No of Respondent 20% 15% 10% 5% 0% Up to 20 years 2%
44%
Age 44%
10%
21-30 30-50years years Age Range
Above 50 Years
Interpretation: Here, it is clear from the chart that 44% of the respondent, of aged 21-30 years and 44% of the respondent, of the aged 30-50 years had taken the benefit of credit schemes offered by the bank. So one thing clear from it that 88% of respondent ranging from the age 21 years to 50 years are covered under the majority who borrowed the credit. While only 10% of respondents are, of aged above 50 years had borrowed the credit.
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Age Scheme Surety Loan Vehicle Loan Gold Loan Machinery Loan Housing Loan Cash Credit/ Overdraft Self Employed Loan NSC/ KVP Loan Loan against FD Total
Up to 20 Years 0 0 0 0 0 0
21-30 years 0 35 12 4 16 0 35
3050years 10 20 13 16 24 25
Above 50 Years 5 0 5 0 0 0
Total 15 55 30 20 40 25 40 5 20 250
5 0 0 5 115 0 13
0 5 7 120
0 0 0 10
Hypothesis:
H0: There is significant impact of Age on consumer preference for credit schemes. H1: There is no significant impact of Age on consumer preference for credit schemes.
O 0 0
E 0.3 1.1 0.6 0.4 0.8 0.5 0.8 0.1 0.4 6.9 25.3 13.8 9.2 18.4 11.5 18.4 2.3 9.2 7.2
O-E -0.3 -1.1 -0.6 -0.4 -0.8 -0.5 4.2 -0.1 -0.4 -6.9 9.7 -1.8 -5.2 -2.4 -11.5 16.6 -2.3 3.8 2.8
(O-E)*(O-E) 0.09 1.21 0.36 0.16 0.64 0.25 17.64 0.01 0.16 47.61 94.09 3.24 27.04 5.76 132.25 275.56 5.29 14.44 7.84
(O-E)*(O-E)/E 0.3 1.1 0.6 0.4 0.8 0.5 22.05 0.1 0.4 6.9 3.718972 0.234783 2.93913 0.313043 11.5 14.97609 2.3 1.569565 1.088889
0
0 0 0 5 0 0 0 35 12 4 16 0 35 0 13 10
66
20 13 16 24 25 0 5 7 5 0 5 0 0 0 0 0 0
14.4 14.4 9.6 19.2 12 19.2 2.4 9.6 0.6 2.2 1.2 0.8 1.6 1 1.6 0.2 0.8
5.6 -1.4 6.4 4.8 13 -19.2 2.6 -2.6 4.4 -2.2 3.8 -0.8 -1.6 -1 -1.6 -0.2 -0.8
31.36 1.96 40.96 23.04 169 368.64 6.76 6.76 19.36 4.84 14.44 0.64 2.56 1 2.56 0.04 0.64
(O-E)*(O-E)/E
2.177778 0.136111 4.266667 1.2 14.08333 19.2 2.816667 0.704167 32.26667 2.2 12.03333 0.8 1.6 1 1.6 0.2 0.8 168.8752
X2 = (O-E)2 / E = 168.88 Number of degree of freedom (NDF): = (row-1) (column 1) (9-1) (4-1) = 24 Table value of x2 at 5% level of significant = 36.4150
Conclusion: HO is rejected; since the calculated value of x2 (168.88) is more than the table value of x2 (36.4150).Hence, there is no significant impact of age on customer preferences towards credit schemes.
67
3) Marital status of the customers
Gender Married Unmarried Total
No of respondent 205 45 250
Percentage of respondent 82 18 100
Marital Status
90.00% 80.00% 70.00% 60.00% 50.00% No of Respondent 40.00% 30.00% 20.00% 10.00% 0.00% Married Unmarried Marital status 18.00% 82.00%
#REF!
Interpretation:
Here, it is clear from the chart that 82% of the respondent are married and have taken the benefit of the credit schemes, while only 18% of the respondent are unmarried, who had taken the loan.
Marital Status Schemes Surety Loan Vehicle Loan Gold Loan Machinery Loan Housing Loan Cash Credit/ Overdraft Self Employed Loan NSC/ KVP Loan Loan against FD Total
Married 15 47 30 20 33 25 25 5 10 210
Unmarried 0 8 0 0 7 0 15 0 10 40
Total 15 55 30 20 40 25 40 5 20 250
68
Hypothesis:
H0: There is significant impact of marital status on consumer preference for credit schemes. H1: There is no significant impact of marital status on consumer preference for credit schemes.
O 15 47 30 20 33 25 25 5 10 0 8 0 0 7 0 15 0 10
E 12.6 46.2 25.2 16.8 33.6 21 33.6 4.2 16.8 2.4 8.8 4.8 3.2 6.4 4 6.4 0.8 3.2
O-E 2.4 0.8 4.8 3.2 -0.6 4 -8.6 0.8 -6.8 -2.4 -0.8 -4.8 -3.2 0.6 -4 8.6 -0.8 6.8
(O-E)*(O-E) 5.76 0.64 23.04 10.24 0.36 16 73.96 0.64 46.24 5.76 0.64 23.04 10.24 0.36 16 73.96 0.64 46.24
(O-E)*(O-E)/E
(O-E)*(O-E)/E 0.457143 0.013853 0.914286 0.609524 0.010714 0.761905 2.20119 0.152381 2.752381 2.4 0.072727 4.8 3.2 0.05625 4 11.55625 0.8 14.45 49.2086
X2 = (O-E)2 / E = 49.21 Number of degree of freedom (NDF): = (row-1) (column 1) (9-1) (2-1) =8 Table value of x2 at 5% level of significant = 15.5073
Conclusion: HO is rejected; since the calculated value of x2 (49.21) is more than the table value of x2 (15.5073).Hence, there is no significant impact of marital status on customer preferences towards credit schemes.
69
4) Educational qualification of the customers
Education Up to HSC Graduate Post-Graduate Total
No of respondent 150 85 15 250
Percentage of respondent 60 34 6 100
Educational Qualification
70% 60% 60% 50% 40% No of Respondent 30% 20% 10% 0% Up to HSC Graduate Post-Graduate Education 6% 34%
Interpretation:
Here, it is clear from the chart that 60% of the respondents are educated up to HSC, 34% of the respondents are educated up to graduate and only 6% of the respondent are educated up to post graduate and have taken the benefit of the credit schemes.
Educational Qualification Schemes Surety Loan Vehicle Loan Gold Loan Machinery Loan Housing Loan
Up to HSC 8 28 25 5 22
Graduate 5 25 10 15 5
Post-Graduate 2 2 0 0 13
Total 15 55 35 20 40
70
Cash Credit/ Overdraft Self Employed Loan NSC/ KVP Loan Loan against FD Total
19 30 5 5 147
5 5 0 15 85
1 0 0 0 18
25 35 5 20 250
Hypothesis:
H0: There is significant impact of Education on consumer preference for credit schemes. H1: There is no significant impact of Education on consumer preference for credit schemes.
O 8 28 25 5 22 19 30 5 5 5 25 10 15 5 5 5 0 15 2 2 0 0 13 1 0 0 0
E 8.82 32.34 20.58 11.76 23.52 14.7 20.58 2.94 11.76 5.1 18.7 11.9 6.8 13.6 8.5 11.9 1.7 6.8 1.08 2.52 2.52 1.44 2.88 1.8 2.52 0.36 1.44
O-E -0.82 -4.34 4.42 -6.76 -1.52 4.3 9.42 2.06 -6.76 -0.1 6.3 -1.9 8.2 -8.6 -3.5 -6.9 -1.7 8.2 0.92 -0.52 -2.52 -1.44 10.12 -0.8 -2.52 -0.36 -1.44
(O-E)*(O-E) 0.6724 18.8356 19.5364 45.6976 2.3104 18.49 88.7364 4.2436 45.6976 0.01 39.69 3.61 67.24 73.96 12.25 47.61 2.89 67.24 0.8464 0.2704 6.3504 2.0736 102.4144 0.64 6.3504 0.1296 2.0736
(O-E)*(O-E)/E
(O-E)*(O-E)/E 0.076236 0.582424 0.949291 3.88585 0.098231 1.257823 4.311778 1.443401 3.88585 0.001961 2.12246 0.303361 9.888235 5.438235 1.441176 4.00084 1.7 9.888235 0.783704 0.107302 2.52 1.44 35.56056 0.355556 2.52 0.36 1.44 96.36251
71
X2 = (O-E)2 / E = 96.36 Number of degree of freedom (NDF): = (row-1) (column 1) = (9-1) (3-1) = 16 Table value of x2 at 5% level of significant = 26.2962
Conclusion: HO is rejected; since the calculated value of x2 (96.36) is more than the table value of x2 (26.2962).Hence, there is no significant impact of education on customer preferences towards credit schemes.
72
5) Occupation of the customers
Occupation Business Professional Employee Student Others Total
No of respondent 100 20 50 15 65 250
Percentage of respondent 40 8 20 6 26 100
Occupation
40% 40% 30% % of 20% respondent 10% 0% Business Professional Employee Occupation Student Others 8% 26% 20% 6%
Interpretation:
Here, it is clear from the chart that 40% of the respondents are doing business, 8% of respondents are professional, 20% are employee, and 6% are students while 26% customers doing other profession and have taken the benefit of the credit schemes. Majority i.e. 40% of the respondents are using the credit are business owners.
73
Occupation Schemes Surety Loan Vehicle Loan Gold Loan Machinery Loan Housing Loan Cash Credit/ Overdraft Self Employed Loan NSC/ KVP Loan Loan against FD Total
Business professional Employee Student 2 33 10 20 5 19 11 0 0 100 0 2 5 0 10 0 0 0 5 22 13 7 10 0 15 0 0 5 0 50 0 0 0 0 0 0 3 0 10 13
Others Total 0 13 10 0 10 6 21 0 5 65 15 55 35 20 40 25 35 5 20 250
Hypothesis:
H0: There is significant impact of occupation on consumer preference for credit schemes. H1: There is no significant impact of occupation on consumer preference for credit schemes.
O 2 33 10 20 5 19 11 0 0 0 2 5 0 10 0 0 0 5 13 7 10
E 6 22 14 8 16 10 14 2 8 1.32 4.84 3.08 1.76 3.52 2.2 3.08 0.44 1.76 3 7 7
O-E -4 11 -4 12 -11 9 -3 -2 -8 -1.32 -2.84 1.92 -1.76 6.48 -2.2 -3.08 -0.44 3.24 10 0 3
(O-E)*(O-E) 16 121 16 144 121 81 9 4 64 1.7424 8.0656 3.6864 3.0976 41.9904 4.84 9.4864 0.1936 10.4976 100 0 9
(O-E)*(O-E)/E 2.666667 5.5 1.142857 18 7.5625 8.1 0.642857 2 8 1.32 1.666446 1.196883 1.76 11.92909 2.2 3.08 0.44 5.964545 33.33333 0 1.285714
74
0 15 0 0 5 0 0 0 0 0 0 0 3 0 10 0 13 10 0 10 6 21 0 5
4 8 5 7 1 4 0.78 2.86 1.82 1.04 2.08 1.82 1.82 0.26 1.04 3.9 14.3 9.1 5.2 10.4 6.5 9.1 1.3 5.2
-4 7 -5 -7 4 -4 -0.78 -2.86 -1.82 -1.04 -2.08 -1.82 1.18 -0.26 8.96 -3.9 -1.3 0.9 -5.2 -0.4 -0.5 11.9 -1.3 -0.2
16 49 25 49 16 16 0.6084 8.1796 3.3124 1.0816 4.3264 3.3124 1.3924 0.0676 80.2816 15.21 1.69 0.81 27.04 0.16 0.25 141.61 1.69 0.04
(O-E)*(O-E)/E
4 6.125 5 7 16 4 0.78 2.86 1.82 1.04 2.08 1.82 0.765055 0.26 77.19385 3.9 0.118182 0.089011 5.2 0.015385 0.038462 15.56154 1.3 0.007692 274.7651
X2 = (O-E)2 / E = 274.77 Number of degree of freedom (NDF): = (row-1) (column 1) = (9-1) (5-1) = 32 Table value of X2 at 5% level of significant = 43.7730
Conclusion: HO is rejected; since the calculated value of x2 (274.77) is more than the table value of x2 (43.7730).Hence, there is no significant impact of occupation on customer preferences towards credit schemes.
75
6) Monthly Income level of the customers
Income range (In Rs.) Less than 10000 10000-20000 20000-50000 Above 50000 Total
60% 50% 40% % of Respondent 30% 20% 10% 16%
58%
Monthly Income
26%
0% 0% Less than 10, 000 10,000 to 20,000 20,000 to 50,000 Above 50, 000
Income(In Rs.)
Interpretation:
Here, it is clear from the chart that 16% of the respondents had monthly income less than 10000, 58% of respondents had 10000-20000, 26% had 20000-50000 and had taken the benefit of the credit schemes. Majority i.e. 58% of the respondents had monthly income range from 10000 to 20000 and had taken the credit from the ban
Income/ month Schemes Surety Loan Vehicle Loan Gold Loan Machinery Loan Housing Loan
Less than Rs.10000
Rs.1000020000
2000050000 9 42 17 2 31 6 13 6 18 9
Total 15 55 35 20 40
0 0 12 0 0 76
Cash Credit/ Overdraft Self Employed Loan NSC/ KVP Loan Loan against FD Total
0 20 0 4 36
15 15 5 11 147
10 0 0 5 67
25 35 5 20 250
Hypothesis:
H0: There is significant impact of monthly income on consumer preference for credit schemes. H1: There is no significant impact of monthly income on consumer preference for credit schemes.
O 0 0 12 0 0 0 20 0 4 9 42 17 2 31 15 15 5 11 6 13 6 18 9 10 0 0 5
E 2.16 7.92 5.04 2.88 5.76 3.6 5.04 0.72 2.88 8.82 32.34 20.58 11.76 23.52 14.7 20.58 2.94 11.76 4.02 9.38 9.38 5.36 10.72 6.7 9.38 1.34 5.36
O-E -2.16 -7.92 6.96 -2.88 -5.76 -3.6 14.96 -0.72 1.12 0.18 9.66 -3.58 -9.76 7.48 0.3 -5.58 2.06 -0.76 1.98 3.62 -3.38 12.64 -1.72 3.3 -9.38 -1.34 -0.36
(O-E)*(O-E) (O-E)*(O-E)/E 4.6656 2.16 62.7264 7.92 48.4416 9.611429 8.2944 2.88 33.1776 5.76 12.96 3.6 223.8016 44.40508 0.5184 0.72 1.2544 0.435556 0.0324 0.003673 93.3156 2.885455 12.8164 0.62276 95.2576 8.100136 55.9504 2.378844 0.09 0.006122 31.1364 1.512945 4.2436 1.443401 0.5776 0.049116 3.9204 0.975224 13.1044 1.397058 11.4244 1.217953 159.7696 29.80776 2.9584 0.27597 10.89 1.625373 87.9844 9.38 1.7956 1.34 0.1296 0.024179 140.538 (O-E)*(O-E)/E
77
Conclusion: HO is rejected; since the calculated value of x2 (140.54) is more than the table value of x2 (26.2962).Hence, there is no significant impact of income on customer preferences towards credit schemes.
78
7) Nature of Account with the bank
Account Savings A/c Current A/c Fixed Deposit A/c Total
80% 70% 60% 50% % of Respondent 40% 30% 20% 10% 0%
76%
Nature of A/c
18% 6%
SavingA/C
Current A/C
Fixed Deposit
Income(In Rs.)
Interpretation:
Here, it is clear from the chart that 76% of the respondents are having savings A/c with the bank, 18% of the respondents are having current A/c with the bank while only 6% of the respondent having fixed deposit A/c with the bank and taken the credit from the bank. Majority i.e. 76% of respondent having savings A/c with bank and taken the credit.
Nature of A/c Surety Loan Vehicle Loan Gold Loan Machinery Loan Housing Loan Cash Credit/ Overdraft Self Employed Loan NSC/ KVP Loan Loan against FD Total
Saving A/c Current A/c Fixed deposit A/c Total 15 15 0 0 55 45 10 0 35 35 0 0 20 5 15 0 40 35 5 0 25 15 10 0 35 30 5 0 5 5 0 0 20 5 0 15 190 45 15 250
79
Hypothesis:
H0: There is significant impact of nature of A/c on consumer preference for credit schemes. H1: There is no significant impact of nature of A/c on consumer preference for credit schemes.
O 15 45 35 5 35 15 30 5 5 0 10 0 15 5 10 5 0 0 0 0 0 0 0 0 0 0 15
E 11.4 41.8 26.6 15.2 30.4 19 26.6 3.8 15.2 2.7 9.9 6.3 3.6 7.2 4.5 6.3 0.9 3.6 0.9 2.1 2.1 1.2 2.4 1.5 2.1 0.3 1.2
O-E 3.6 3.2 8.4 -10.2 4.6 -4 3.4 1.2 -10.2 -2.7 0.1 -6.3 11.4 -2.2 5.5 -1.3 -0.9 -3.6 -0.9 -2.1 -2.1 -1.2 -2.4 -1.5 -2.1 -0.3 13.8
(O-E)*(O-E) 12.96 10.24 70.56 104.04 21.16 16 11.56 1.44 104.04 7.29 0.01 39.69 129.96 4.84 30.25 1.69 0.81 12.96 0.81 4.41 4.41 1.44 5.76 2.25 4.41 0.09 190.44
(O-E)*(O-E)/E
(O-E)*(O-E)/E 1.136842 0.244976 2.652632 6.844737 0.696053 0.842105 0.434586 0.378947 6.844737 2.7 0.00101 6.3 36.1 0.672222 6.722222 0.268254 0.9 3.6 0.9 2.1 2.1 1.2 2.4 1.5 2.1 0.3 158.7 248.6393
80
Conclusion: HO is rejected; since the calculated value of x2 (248.63) is more than the table value of x2 (26.2962).Hence, there is no significant impact of nature of A/c on customer preferences towards credit schemes.
8) Time since join the bank
Period Less than 1 year 1-2 years 2-4 years More than 4 years Total
45% 40% 35% 30% % of Respondent 25% 20% 15% 10% 5% 0% Less than 1 year 12%
44%
Time since join Bank
22%
22% #REF!
1 To 2 Years 2 To 4 Years More than 4 Years Years
Interpretation: Here, it is clear from the chart that 12% of the respondents had joined the
bank before less than 1 year, 44% of respondents had joined before 1 to 2 years, 22% had joined before 2-4 years and 22% others had joined before more than 4 years and had taken the benefit of the credit schemes. Majority i.e. 44% of the respondents had joined before 1-2 years and had taken the credit from the bank.
81
9) Nature of Credit term
Credit Term Short term Medium term Long term Total
Nature of Credit
50% 40% 30% % of Respondent 20% 10% 0% Short Term Medium Term Long Term Term 34% 46%
20%
Interpretation:
Here, it is clear from the chart that 34% of the respondents are had taken the credit for short term, 46% of the respondents i.e. majority had taken for the medium term from the bank while 20% of the respondent had taken for the long term credit from the bank.
82
10) Source of Awareness about the Credit
Sources
No of respondent
Percentage of respondent
Advertisement Hoardings Posters Word of mouth Bank staff Total
65 35 10 65 75 250
26 14 4 26 30 100
Awareness about credit

30% 30% % of 20% respondent 10% 0% 26% 14% 4% 26%
Sources
Interpretation:
Here, it is clear from the chart that 26% of the respondents had known about the scheme from the advertisement(print), 14% had from the hoardings, 4% had from the posters, 26% from the word of mouth and 30% i.e. majority had from the bank staff.
83
11) Purpose of Credit
Purpose Personal use Professional Total
80% 70% 60% 50% % of Respondent 40% 30% 20% 10% 0%
78%
Purpose of Credit
22%
Personal use
Professional Purpose
Interpretation:
Here, it is clear from the chart that 78% of the respondents i.e. majority had taken the credit for the personal use while 22% of the respondent had taken the credit for the professional purpose. The ratio of purpose of credit becomes 3.55:1.
Purpose Schemes Surety Loan Vehicle Loan Gold Loan Machinery Loan Housing Loan Cash Credit/ Overdraft Self Employed Loan NSC/ KVP Loan Loan against FD Total
Personal 13 55 35 0 40 0 35 5 14 197
Professional 2 0 0 20 0 25 0 0 6 53
Total 15 55 35 20 40 25 35 5 20 250
84
Hypothesis:
H0: There is significant impact of purpose of credit on consumer preference for credit schemes. H1: There is no significant impact of purpose of credit on consumer preference for credit schemes.
O 13 55 35 0 40 0 35 5 14 2 0 0 20 0 25 0 0 6
E 11.82 43.34 27.58 15.76 31.52 19.7 27.58 3.94 15.76 3.18 11.66 7.42 4.24 8.48 5.3 7.42 1.06 4.24
O-E 1.18 11.66 7.42 -15.76 8.48 -19.7 7.42 1.06 -1.76 -1.18 -11.66 -7.42 15.76 -8.48 19.7 -7.42 -1.06 1.76
(O-E)*(O-E) 1.3924 135.9556 55.0564 248.3776 71.9104 388.09 55.0564 1.1236 3.0976 1.3924 135.9556 55.0564 248.3776 71.9104 388.09 55.0564 1.1236 3.0976
(O-E)*(O-E)/E
(O-E)*(O-E)/E 0.1178 3.136954 1.996244 15.76 2.281421 19.7 1.996244 0.285178 0.196548 0.437862 11.66 7.42 58.57962 8.48 73.22453 7.42 1.06 0.730566 214.483
X2 = (O-E)2 / E = 214.48 Number of degree of freedom (NDF): = (row-1) (column 1) = (9-1) (2-1) =8 Table value of X2 at 5% level of significant = 15.5073
Conclusion: HO is rejected; since the calculated value of X2 (214.48) is more than the table value of x2 (15.5073).Hence, there is no significant impact of purpose of credit on customer preferences towards credit schemes.
85
Table showing Consumer preference towards various Credit Schemes
Sr. No
Types of credit
No. of Respondent
Percentage of Respo. 6 22 14 8 16 10 14
1 2 3 4 5 6 7
Surety Loan Vehicle Loan Gold Loan Machinery Loan Housing Loan Cash Credit/ OD Self-employed Loan
15 55 35 20 40 25 35
8 9 Total
NSC/ KVP Loan Loan against FD
5 20 250
2 8 100
Consumer preferences for credits

25% 20% 22% 16% 10%
% of 15% Respondent
10% 5% 0% 6%
14% 8%
14% 8% 2%
Credit Schemes
86
Interpretation: Here, it is clear from the chart that 6% customers had taken the surety loan, 22% of the respondent i.e. majority, had prefer vehicle, 14% prefer gold loan, 8% prefer machinery loan, 16% prefer housing loan, 10% prefer cash credit and overdraft facility, 14% prefer self employed loan, only 2% prefer NSC/KVP loan, and 8% prefer loan against fixed deposit.
Table showing reasons for preference towards various Credit Schemes

Rank Particular Easy Terms & 30 condition Good Service Good reputation Comfortable Installment Low rate Other Total 20 08 25 10 0 0 0 0 15 06 190 76 250 100 interest 65 26 85 34 40 16 25 10 30 12 05 02 40 16 45 18 85 34 30 12 45 18 05 02 70 25 28 10 15 05 06 02 40 20 16 08 90 45 36 18 20 08 15 25 06 10 12 75 30 65 26 60 24 10 04 10 04 1 (%) 2 (%) 3 (%) 4 (%) 5 (%) 6 (%)
130 52
250 100
250 100
250 100
250 100
250 100
87
80% 70% 60% 50% 40% 30% 20% 10% 0% Easy Terms & condition Good Service Good reputation Comfortable Low interest Installment rate Other 1 2 3 4 5 6
Interpretation:
Easy terms and conditions:
Here, it is clear from the chart that, customers prefer various schemes because of the Easy terms and conditions ranked 1 by 12% respondents , 2 by 30% respondents , 3 by 65% respondents, 4 by 24% respondents, 5 by 04% respondents and 6 by 04% respondents.
Good services:
Here, it is clear from the chart that, customers prefer various schemes because of the Good services ranked 1 by 28% respondents , 2 by 06% respondents , 3 by 16% respondents, 4 by 36% respondents, 5 by 08% respondents and 6 by 06% respondents.
Good reputation:
Here, it is clear from the chart that, customers prefer various schemes because of the Good reputation, ranked 1 by 10% respondents , 2 by 02% respondents , 3 by 08% respondents, 4 by 18% respondents, 5 by 52% respondents and 6 by 10% respondents. 88
Comfortable installment:
Here, it is clear from the chart that, customers prefer various schemes because of the comfortable installment, ranked 1 by 16% respondents , 2 by 18% respondents , 3 by 34% respondents, 4 by 12% respondents, 5 by 18% respondents and 6 by 02% respondents.
Low interest rate:
Here, it is clear from the chart that, customers prefer various schemes because of the low interest rate, ranked 1 by 26% respondents , 2 by 34% respondents , 3 by 16% respondents, 4 by 10% respondents, 5 by 12% respondents and 6 by 02% respondents.
Others:
Here, it is clear from the chart that, customers prefer various schemes because of the other reasons, ranked 1 by 08% respondents , 2 by 10% respondents , 5 by 06% respondents and 6 by 76% respondents.
Easy Terms & Reasons Schemes SuretyLoan 4 Vehicle Loan Gold Loan Machinery Loan Housing Loan Cash Credit/ Overdraft Self Employed NSC/KVP 0 0 0 0 1 0 10 0 0 7 0 13 5 12 13 5 10 0 6 10 0 0 0 11 0 19 10 8 5 6 9 6 0 0 5 Condition Good Service Good reputation
Low Comfortable interest Installment rate Other Total
15
11 11
0 0
55 35
20
40
25
14 5
10 0
35 5
89
Loan Loan against FD Total 0 33 5 70 0 19 0 48 15 66 0 14 20 250
Hypothesis:
H0: There is significant impact of terms and conditions and good services on consumer preference for credit schemes. H1: There is no significant impact of terms and conditions and good services on consumer preference for credit schemes.
(O-E)*(OO 4 11 0 6 12 0 0 0 0 6 19 10 10 13 7 0 0 5 0 E 1.98 7.26 4.62 2.64 5.28 3.3 4.62 0.66 2.64 4.2 15.4 9.8 5.6 11.2 7 9.8 1.4 5.6 1.14 O-E 2.02 3.74 -4.62 3.36 6.72 -3.3 -4.62 -0.66 -2.64 1.8 3.6 0.2 4.4 1.8 0 -9.8 -1.4 -0.6 -1.14 90 (O-E)*(O-E) 4.0804 13.9876 21.3444 11.2896 45.1584 10.89 21.3444 0.4356 6.9696 3.24 12.96 0.04 19.36 3.24 0 96.04 1.96 0.36 1.2996 E)/E 2.060808 1.926667 4.62 4.276364 8.552727 3.3 4.62 0.66 2.64 0.771429 0.841558 0.004082 3.457143 0.289286 0 9.8 1.4 0.064286 1.14
8 5 0 5 0 1 0 0 0 6 9 0 10 13 10 0 0 5 11 11 0 0 5 14 5 15 0 0 0 4 0 0 10
2.66 2.66 1.52 3.04 1.9 2.66 0.38 1.52 7.205955 28.22333 16.51365 9.60794 18.91563 12.00993 16.51365 2.401985 0.079404 0.71464 2.799007 1.637717 0.952854 1.875931 1.191067 1.637717 0.238213 0.952854 0.84 3.08 1.96 1.12 1.4 1.4 1.96
5.34 2.34 -1.52 1.96 -1.9 -1.66 -0.38 -1.52 -7.20596 -22.2233 -7.51365 -9.60794 -8.91563 0.990074 -6.51365 -2.40199 -0.0794 4.28536 8.200993 9.362283 -0.95285 -1.87593 3.808933 12.36228 4.761787 14.04715 -0.84 -3.08 -1.96 2.88 -1.4 -1.4 8.04 91
28.5156 5.4756 2.3104 3.8416 3.61 2.7556 0.1444 2.3104 51.92579 493.8762 56.4549 92.31252 79.48851 0.980247 42.42761 5.769532 0.006305 18.36431 67.25628 87.65234 0.90793 3.519115 14.50797 152.826 22.67461 197.3223 0.7056 9.4864 3.8416 8.2944 1.96 1.96 64.6416
10.72015 2.058496 1.52 1.263684 1.9 1.03594 0.38 1.52 7.205955 17.49887 3.418681 9.60794 4.202265 0.08162 2.569245 2.401985 0.079404 25.69728 24.02862 53.52105 0.952854 1.875931 12.18065 93.31651 95.18613 207.0857 0.84 3.08 1.96 7.405714 1.4 1.4 32.98041
0 0
0.28 1.12
-0.28 -1.12
0.0784 1.2544
0.28 1.12 682.1994
X2 = (O-E)2 / E = 682.20 Number of degree of freedom (NDF): = (row-1) (column 1) = (9-1) (6-1) = 40 Table value of X2 at 5% level of significant = 55.76 Conclusion: HO is accepted, since the calculated value of X2 (682.20) less than the table value of X2 (55.76 ) hence there is no significant impact of customer services and terms and conditions on customer preferences towards credit schemes.
92
Table showing customer satisfaction level towards various Credit Schemes

Satisfaction level Highly Satisfied Satisfied Indifferent Dissatisfied Highly Dissatisfied
Particular
Interest Rate Installment Services Terms conditions Procedure Margin Renew facility Pre-payment conditions &
92 104 83 80 25 05 69 105
106 88 131 136 165 65 65 140
13 16 15 20 15 131 103 05
24 26 14 10 35 40 10 0
15 16 07 04 10 09 03 0
70% 60% % of respondent 50% 40% 30% 20% 10% 0%
satisfaction level
Highly Satisfied Satisfied Indifferent Dissatisfied Highly Dissatisfied
Conditions
93
Interpretation: Here, it is clear from the chart that, customers satisfaction level towards various credit schemes various schemes is as follows:
Particulars
Highly Satisfied Interest Rate 37% Installment Services Terms & conditions Procedure Margin Renew facility Pre-payment 42% 33% 32% 10% 2% 28% 42%
Satisfied 42% 35% 52% 54% 66% 26% 26% 56%
Indifferent 5% 6% 6% 8% 6% 52% 41% 2%
Dissatisfie Highly d Dissatisfied 10% 6% 10% 6% 4% 14% 16% 4% 0% 6% 3% 2% 4% 4% 1% 0%
Satisfaction level Schemes Surety Loan Vehicle Loan Gold Loan Machinery Loan Housing Loan Cash Credit/ Overdraft Self Employed Loan NSC/ KVP Loan Loan against FD Total
Highly satisfied 32 143 110 57 76 67 71 10 35 601
Satisfied 63 210 135 83 165 97 144 20 89 1006
Indifferent 10 85 11 10 38 36 49 5 31 275
Dissatisfied 15 30 19 10 26 0 11 5 5 121
Highly dissatisfied 0 2 0 0 10 0 0 0 0 12
Total 120 470 275 160 315 200 275 40 160 2015
Hypothesis:
H0: There is significant impact of customer preference on customer satisfaction for credit schemes. H1: There is no significant impact of customer preference on customer satisfaction for credit schemes.
94
O 32 143 110 57 76 67 71 10 35 63 210 135 83 165 97 144 20 89 10 85 11 10 38 36 49 5 31 15 30 19 10 26 0 11 5 5 0 2 0 0 10
E 35.79156 140.1836 82.02233 47.72208 93.95285 59.65261 82.02233 11.93052 47.72208 59.91067 234.6501 137.2953 79.88089 157.2655 99.85112 137.2953 19.97022 79.88089 16.37717 37.53102 37.53102 21.83623 42.99007 27.29529 37.53102 5.459057 21.83623 7.205955 28.22333 16.51365 9.60794 18.91563 12.00993 16.51365 2.401985 0.079404 0.71464 2.799007 1.637717 0.952854 1.875931
O-E -3.79156 2.816377 27.97767 9.277916 -17.9529 7.347395 -11.0223 -1.93052 -12.7221 3.08933 -24.6501 -2.29529 3.119107 7.734491 -2.85112 6.704715 0.029777 9.119107 -6.37717 47.46898 -26.531 -11.8362 -4.99007 8.704715 11.46898 -0.45906 9.163772 7.794045 1.776675 2.486352 0.39206 7.084367 -12.0099 -5.51365 2.598015 4.920596 -0.71464 -0.79901 -1.63772 -0.95285 8.124069
(O-E)*(O-E) (O-E)*(O-E)/E 14.37595 0.401658 7.93198 0.056583 782.7499 9.543131 86.07972 1.803771 322.305 3.430497 53.98421 0.904977 121.4918 1.481204 3.726912 0.312385 161.8514 3.391542 9.54396 0.159303 607.6286 2.589509 5.268335 0.038372 9.728827 0.121792 59.82236 0.380391 8.128866 0.08141 44.9532 0.32742 0.000887 4.44E-05 83.15811 1.041026 40.66831 2.483232 2253.304 60.03846 703.8949 18.75502 140.0963 6.415774 24.90084 0.579223 75.77206 2.776013 131.5376 3.504769 0.210733 0.038603 83.97471 3.84566 60.74713 8.430129 3.156574 0.111843 6.181948 0.374354 0.153711 0.015998 50.18826 2.653269 144.2383 12.00993 30.40031 1.84092 6.749681 2.810043 24.21226 304.9232 0.510711 0.71464 0.638413 0.228085 2.682117 1.637717 0.90793 0.952854 66.0005 35.18281
95
0 0 0 0
1.191067 1.637717 0.238213 0.952854
-1.19107 -1.63772 -0.23821 -0.95285
1.418641 2.682117 0.056746 0.90793
1.191067 1.637717 0.238213 0.952854 500.4074
Conclusion: HO is rejected; since the calculated value of X2 (500.41) is more than the table value of x2 (43.7730).Hence, there is no significant impact of customer preference on customer satisfaction towards credit schemes.
96
13) Level of Difficulty in obtaining credit
Answer Yes No Total
80% 70% 60% 50% % of Respondent 40% 30% 20% 10% 0% Yes 30%
% Respondent face Difficulty

70%
No Answer
Interpretation:
Here, it is clear from the chart that 30% of the respondents face difficulty in obtaining credit, while 70% of the respondent i.e. majority of the respondents face no difficulty in obtaining credit. The ratio of difficulty is of credit becomes 0.43:1
97
14) Nature of Difficulty
Particular Services Terms & condition Procedure Total
Difficulty
70% 60% 50% 40% % of Respondent 30% 20% 10% 0% Services Terms and conditions Procedure 60%
20%
20%
Interpretation:
Here, it is clear from the chart that, 20% of not satisfied respondents face difficulty with services obtaining credit, while 20% of not satisfied respondent face difficulty with the terms and conditions in obtaining credit and 60% of the nit satisfied respondents i.e. majority of the not satisfied respondents face difficulty with procedure in obtaining credit.
98
15) Preference for taking another loan
Answer Yes No Indifferent Total
Preference for renew

70% 60% 50% 40% % of Respondent 30% 20% 10% 0% Yes No Indifferent 27% 10% 63%
Opinion
Interpretation:
Here, it is clear from the chart that, 27% of respondents prefer to taking another types loan in future, 63% of respondent are not willing(prefer) to taking another types loan, while 10% of the respondents are indifferent for either to taking loan or not.
99
8. RESULT AND FINDINGS
Findings from percentage analysis:
On the basis of consumer preference, majority (22%) of the peoples are preferred Vehicle loan followed by housing and gold loan. On the basis of age group, most of the respondents (aging from 21-30), are preferred vehicle loan, followed by self employed loan. On the basis of marital status mostly married respondents are borrowing more credit than unmarried respondents. On the basis of educational qualification, most of the respondent educated up to HSC is borrowing more credit from the bank. On the basis of occupation, people doing business are used more credit from the bank On the basis of family income, 58% of the respondents are preferred to borrow credit, which all are under the income group from Rs. 10000 to 20000. Majority of the peoples are saving A/c holders and who take the benefit of the credit scheme. Majority of respondents are aware about schemes by the bank staff. Majority (76%) of the respondents are using credit for the personal usage. Majority (46%) of the respondents are using medium term scheme. Majority of the respondents are highly satisfied about the interest rate and installment facility of the bank. 27% respondents are preferred to renew the credit scheme after completion of the term. 60% of the dissatisfied customers had problem from the procedure of credit.
100
9. LIMITATIONS OF THE STUDY
Questionnaire method can be applied only when respondents are literate and co-operative but some respondents may be illiterate and not ready to give true information or give insufficient information which brings the study on wrong path.
Time is main constraint of the research, as the time of training and study was arranged simultaneously. This study is limited to only Surat area.
101
10. SUGGESSION

The varachha co-operative bank should increase its customers of the young and old aged. The bank should give attention towards the housing loan customer to resolve their problems like procedure because the dissatisfaction rate is more under that category.
The bank should decrease the customer difficulty rate which is 30%. So that more customers can be attracted towards the schemes.
102
CONCLUSION
This is an information era significance of information cannot be over emphasized. This study attempts to find out the preference and satisfaction level towards various schemes offered by the varachha co-operative bank to the consumer. This decade, most of the peoples are borrowing credit from the banks. So, banking and financial institutions are increasing in more level. So banking service provider should overcome another ones competition. So, it leads to adding new facility, schemes, and periodical offers to their clients. So, the consumers get maximum benefit from their service provider.
Now-a-days, credit and advances are very necessity to all. Because, it is give financial protection to the men and women also. And no person is feeling the credit as a burden but a facility provide by the banking institutions.
103
BIBLIOGRAPHY
http://www.scribd.com/doc/26556623/Customer-satisfaction-in-Banks
http://www.iupindia.in/1110/IJMM_Four_Basic_Banking_Services_81.html Reference book: RESEARCH METHODOLOGY By C.R.Kothari
Old reports of the bank.
Bank annual reports.
104
ANNEXURE
Questionnaire
Dear Sir/Madam, I am Ankit Malani, pursuing MBA from Bhagvan mahaveer college of Management (affiliated to GTU), Surat. As a part of our curriculum, it is a Research project on Customer Preferences and Satisfaction level for Credit Schemes offered by The Varachha Co-operative Bank
Name:__________________________________________ Gender : o Male o Female Age : o Up to 20 years o 21-30 yrs o 30-40yrs o above 50. Marital Status : o Married o Unmarried Educational Qualification: o Up to HSC o Graduate o Post graduate
105
Occupation :
A) Business C) Employee E) Others
B) Professional D) Student
Family income (Per month) :
A) Less then Rs.10,000 B) Rs.10,000 to 20,000 C) Rs.20,000 to 50,000 D) Above Rs.50,000 What is Nature of Transaction with this Bank?
a. Saving A/C b. Current A/C c. Fixed Deposit
Since how many years are you transacting with this Bank?
a. Less than 1 year b. 1 To 2 Years c. 2 To 4 Years d. More than 4 Years
What is the nature of credit term?
a. Short Term b. Medium Term c. Long Term 106
How did you come to know about this facility?(Please tick) o Advertisement(print) o Hoardings o Saw the poster and walked in o Word of mouth o Bank staff o Others.
For what purpose have you borrowed the loan? o Personal use o b. Professional
From the following, Which type of scheme is most preferable by you?( please select any one)
o Surety Loan o Vehicle Loan o Gold Loan o Machinery Loan(TUF) o Housing Loan
o Cash Overdraft o Self Loan
Credit/
Employed
o NSC/ KVP Loan o Loan against FD
What factor influenced you to decide your credit scheme? Because of..(please rank from 1 to 5)
1. Easy Terms & condition 2. Good Service 3. Good reputation 4. Comfortable Installment 5. Low interest rate
107
Satisfaction about the particular credit scheme?

Particular Highly satisfied satisfied Indifferent Dissatisfied Highly dissatisfied
Interest Rate Installment Services Terms & condition Procedure Margin Renew facility Pre-payment conditions
Do you face any difficulty in your credit facility? a. Yes If yes, please point out the problem? a. Services b. Terms & Condition c. Procedure Would you like to renew the scheme after the completion of the term? a. Yes b. No c. Indifferent b. No
Recommendation: .
Thank You
108
109

A Project Report ON "Customer Preference and Satisfaction Level For Credit Schemes Offered by The Varachha Co-Operative Bank"

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A PROJECT REPORT ON Customer preference and satisfaction level for Credit schemes offered by the Varachha co-operative bank

SUBMITTED BY ANKIT N. MALANI ENROLLMENT NO: 127080592009 M.B.A SEMESTER III

Ankit Malani ENROLLMENT NO: 127080592009

Place : Surat Date :

(Signature) Ankit Malani

62 100 101 102

1. ABOUT BANK & BANKING SYSTEM Introduction:

INTRODUCTION OF BANKING IN INDIA

2. ABOUT MAJOR COMPANIES IN THE INDUSTRY

MAJOR BANKS IN GLOBAL BANKING SECTOR

Industrial & Commercial Bank of China (ICBC)

UK Germany France France Japan

2,681.39 2,597.36 2,582.42 2,507.96 2,414.78

31.03.2013 31.03.2013 31.03.2013 31.03.2013 31.03.2013

Barclays PLC JPMorgan Chase & Co China Construction Bank Corporation

2,414.78 2,389.35 2,361.60

31.03.2013 31.03.2013 31.03.2013

Japan Post Bank

MAJOR BANK IN PUBLIC SECTOR

Name of the Bank

MAJOR BANK IN INDAIN SECTOR

3. MAJOR PRODUCTS OF BANKING SECTOR

Products and Services

Deposits Term deposits demand deposits Current deposits Savings deposits

4. The Varachha Co-Operative Bank Ltd.

History and Development of the Varachha Co-Operative Bank Ltd.

Vital function of varachha co-operative bank are as follows:

Objective of the varachha co-operative bank:

Banking Function Of The Varachha Co-Op Bank

Recruitment and Selection

Training and Development

Wages and Salary Department:

Services Provided Bythe Varachha Co-Operative Bank

Types of Credit Schemes Offered Bythe Varachha Co-Op. Bank:

Over Draft loan

Above Rs 2 lacs 13%

Limit: - Bank can give loan up to 75% of against fixed deposit.

Margin: - No need of margin for Staff loan. 37

Comparative Statement of Loan

8.97 1.90 3.05

18.99 2.20 0.90

1) Gold Loan( Up to 1 lakh) :-

Year Loan Gold Loan (Rs. In Crore)

Gold Loan( upto 1 lakh)

Year Loan Cash Credit (Rs. In Crore)

0 2011 2012 Year 2013

Year Loan Overdraft (Rs. In Crore)

2.5 2 1.5 1 0.5 0 2011 2012 Year 2013 0.44 0.9

4) Loan Against KVP/ NSC:-

Year Loan Against NSC/KVP (In Crore)

Loan against NSC/KVP

5) TWO Wheeler loan:-

Year Loan TWO Wheeler loan ( In Crore)

TWO Wheeler loan

6) FOUR Wheeler loan:-

Year Loan FOUR Wheeler loan ( In Crore)

FOUR Wheeler loan

7) Staff Two Wheeler loan:-

Year Loan Staff Two Wheeler loan (Rs. In Crore)

Staff Two Wheeler loan

8) Staff Housing loan:-

Year Loan Staff Housing loan (Rs. In Crore)

Staff Housing loan