Vishal file report.docx original

A
PROJECT STUDY REPORT
ON
TRAINING UNDERTAKEN AT
TITLED
“RETAIL SERVICE OFFERED BY AXIS BANK”
Submitted in partial fulfillment
for the Award of degree of
Master of Business Administration
IMS, LUCKNOW UNIVERSITY,LUCKNOW
BY- VISHAL PANDEY
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ACKNOWLEDGEMENT
No big thing in the world is achieved without the help and blessing of our
well wishers. I feel obliged to express my grateful thanks to all those persons who
rendered me all possible help in completion of this project.
I wish to express my gratitude to the branch manager Mr. Vikram Pathak of AXIS
BANK MAHMOORGANJ, VARANASI for providing me with the valuable
opportunity to be a part of their esteem organization and enhance my knowledge
by granting permission to do a summer training project . They provided me with
their assistance and support whenever needed, which has been instrumental in
completion of this project. I am thankful to them, for their support and
encouragement throughout the tenure of the project. I would also like to thanks
Mr.Amit Pandey,(SME Relationship0 Manager) for his constant support
throughout the training period.
My special thanks to MR. Siddharth Singh, Assistant Manager,AXIS BANK for
providing great support and help whenever was required.
Also, I am thankful to my faculty guide MS. VASUDHA KUMAR from INSITITUTE
OF MANAGEMENT SCIENCES, LUCKNOW UNIVERSITY, LUCKNOW for being a
source of support during this training period and for their suggestions and my
colleagues for their constant support.
Last but not the least I am grateful to all the staff members of AXIS BANK for
their kind cooperation and help during the course of my project.
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PREFACE
The project report attempts to bring under one cover the entire hard work and
dedication put in by me in the completion of the project work on Retail Banking
of AXIS Bank.
The Project title is “Comparative Study of Retail Banking Strategies Adopted by
Axis Bank and their employees” based on marketing of banking strategies.
In the project I have observrd various strategies taken by Axis bank in retail
banking. During the study I have find all the retail banking strategies of the Axis
bank that they are managing very politely to their customer according to their
needs.
For the purpose I have made a thorough study and conversation with bank
customers. I have tried to find the problem which is faced by the bank customer
as well as bank and showed the path to solve the problem for smooth sailing of
the banking industry.
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CONTENTS
1. EXECUTIVE SUMMARY………………………………………………………………….. 06 - 07
• Retail Banking an Introduction
• Objective of Study
• Scope of Project
• Limitation of Project
2. BANKING IN INDIA……………………………………………………………………….. 08 - 15
• History
• Nationalization
• Liberalization
• Current Situation
• Figure: Scheduled Commercial Bank in India
• Emergence of Private Banks
3. COMPANY’S PROFILE…………………………………………………………………. 16 - 31
• Axis Bank Company profile Snapshot
• History
• Operations
• Services
• Capital Structure
• Subsidiaries
• Controversies Related to Ethics
• Promoters
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• Vision And Values
4. RETAIL BANKING…………………………………………………………………….. 32 - 52
• Benefits of Retail Banking
• Scope for Retail Banking in India
• Advantages and Disadvantages of Retail Banking
• Opportunities of Retail Banking
• Challenges to Retail Banking in India
• Strategies for increasing Retail Banking Business
• Emerging Issues
• Growth Drivers of Retail Banking
• Retail Boom
• Future of Retail Banking
5. RETAIL PRODUCTS OFFERED BY AXIS BANK…………………………… 53 - 95
• Retail
• NRI
• Agri and Rural
• Burgundy Account
• Priority Account
6. SUGGESTION AND RECOMMENDATION……………………………………..96
7. CONCLUSION……………………………………………………………………………...97
8. BIBLIOGRAPHY…………………………………………………………………………. 98
9. WEBLIOGRAPHY…………………………………………………………………………98
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EXECUTIVE SUMMARY
RETAIL BANKING AN INRODUCTION.
Retail Banking is, however, quite broad in nature – it refers to the dealing of
commercial banks with individual customers, both on liabilities and assets sides
of the balance sheet. Fixed, current / savings accounts on the liabilities side; and
mortgages, loans (e.g., personal, housing, auto, and educational) on the assets
side, are the more important of the products offered by banks. Related ancillary
services include credit cards, or depository services. Retail banking refers to
provision of banking services to individuals and small business where the
financial institutions are dealing with large number of low value transaction. This
is in contrast to wholesale banking where the customers are large, often
multinational companies, governments and government enterprise, and the
financial institution deal in small numbers of high value transactions.
The concept is not new to banks but is now viewed as an important and
attractive market segment that offers opportunities for growth and profits. Retail
banking and retail lending are often used as synonyms but in fact, the later is just
the part of retail banking. In retail banking all the needs of individual customers
are taken care of in a well integrated manner.
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Today’s retail banking sector is characterized by three basic characteristics:
• Multiple products (deposits, credit cards, insurance,investments and
securities).
• Multiple channels of distribution (call center, branch, internet).
• Multiple customer groups (consumer, small business, and corporate).
OBJECTIVE OF STUDY.
The main objective of study retail banking is :-
• To study retail banking.
• To study benefits of retail banking.
• To study scope of retail banking.
• To study opportunities of retail banking.
• To study features of retail banking.
• To study different product of retail banking.
SCOPE OF THE PROJECT.
• To identify opportunities for retail banking.
• To identify the problems normally faced by retail banking.
• To identify the benefits of retail banking.
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• To identify the need of each product of retail banking.
LIMITATIONS OF THE PROJECT.
There may be limitations to this study because the study duration (summer
internship) is very short and it’s not possible to observe every aspect of Retail
Banking.
BANKING IN INDIA
Without a sound and effective banking system in India it cannot have a healthy
economy. The banking system of India should not only be hassle free but it
should be able to meet new challenges posed by the technology and any other
external and internal factors. For the past three decades India’s banking system
has several outstanding achievements to its credit. The moststriking is its
extensive reach. It is no longer confined to only metropolitans or cosmopolitans
in India. In fact, Indian banking system has reached even to the remote corners of
the country. This is one of the main reason of India’s growth process.
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 History:
The first bank in india, though conservative, was established in 1786. From 1786
till today, the journey of Indian Banking System can be segregated into three
distinct phases. They are as mentioned below:
• PHASE 1-
The Genaral Bank of India was set up in the year 1786. Next came Bank of
Hindustan and Bengal Bank. The East India Company established Bank of Bengal
(1809), Bank of Bombay (1840) and Bank of Madras (1843) as Independent units
and called it Presidency Banks. These three banks were amalgamated in 1920
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and Imperial Bank of India was established which startedas private shareholders
banks, mostly Europeans shareholders. During the first phase the growth was
very slow and banks also experienced periodic failures between 1913 and 1948.
There were approximately 1100 banks, mostly small. To stream line the
functioning and activities of commercial banks, the Government of India came up
with the Banking Companies Act, 1949 which was later changed to Banking
Regulation Act 1949 as per amending Act of 1965 (Act No. 23 of 1965). Reserve
Bank of India was vested with extensive powers for the supervision of banking in
India as the Central Banking Authority. During those day’s public has lesser
confidence in the banks. As an aftermath deposit mobilization was slow. Abreast
of it the saving bank facility provided by the Postal department was
comparatively safer. Moreover, funds were largely given to the traders.
• PHASE 2-
Government took major steps in this Indian Banking Sector Reform after
independence. In 1955, it nationalized Imperial Bank of India with extensive
banking facilities on a large scale especially in rural and semi- urban areas.
Second phase of nationalization Indian Banking Sector Reform was carried out in
1980 with seven more banks. This step brought 80% of the banking segment in
India under Government ownership. The following are the steps taken by the
Government of India to Regulate Banking Institutions in the Country:
o 1949: Enactment of Banking Regulation Act.
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o 1955: Nationalization of State Bank of India.
o 1959: Nationalization of SBI subsidiaries.
o 1961: Insurance cover extended to deposits.
o 1969: Nationalization of 14 major banks.
o 1971: Creation of credit guarantee corporation.
o 1975: Creation of regional rural banks.
o 1980: Nationalization of seven banks with deposits over 200 crore.
After the nationalization of banks, the branches of the public sector banks India
raised to approximately 800% in deposits and advances took a huge jump by
11,000%. Banking in the sunshine of Government ownership gave the public
implicit faith and immense confidence about the sustainability o these
institutions.
• PHASE 3-
This phase has introduced many more products and facilities in the banking
sector in its reforms measure. In 1991, under the chairmanship of M
Narasimham, a committee was set up by his name which worked for the
liberalisation of banking practices. The country is flooded with foreign banks and
their ATM stations. Efforts are being put to give a satisfactory service to
customers. Phone banking and net banking is introduced. The entire system
became more convenient and swift. The financial system of India has shown a
great deal of resilience. It is sheltered from any crisis triggered by any external
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macroeconomics shock as other East Asian Countries suffered. This is all due to a
flexible exchange rate regime, the foreign reserves are high, the capital account is
not yet fully convertible, banks and their customers have limited foreign
exchange exposure.
 Nationalization:
By the 1960s, the Indian banking industry has become an important tool to
facilitate the development of the Indian economy. At the same time, it has
emerged as a large employer, and a debate has ensued about the possibility to
nationalize the banking industry. Indira Gandhi, the-then Prime Minister of India
expressed the intention of the GOI in the annual conference of the All India
Congress Meeting in a paper entitled “Stray thoughts on Bank Nationalization.”
The paper was received with positive enthusiasm. There after, her move was
swift and sudden, and the GOI issued an ordinance and nationalized the 14
largest commercial banks with effect from the midnight of July 19, 1969.
Jayaprakash Narayan, a national leader of India, described the step as a
“masterstroke of political sagacity.” Within two weeks of the issue of the
ordinance, the Parliament passed the Banking Companies (Acquition and Transfer
of Undertaking ) Bill and it received the presidential approval on 9th
August 1969.
A second dose of nationalization of 6 more commercial banks followed in 1980.
The stated reason for the nationalization was to give the government more
control of credit delivery. With the second dose of nationalization, the GO
controlled around 91% of the banking business of India. After this, until the
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1990s, the nationalized banks grew at a pace of around 4% closer to the average
growth rate of the Indian economy.
 Liberalization:
In the early 1990s the Narasimha Rao government embarked on a policy of
liberalization and gave licenses to a small number of private banks, which came
to be known as New Generation tech-savy banks, which included banks such as
UTI Bank (now re-named as Axis Bank) (the first of such new generation banks to
be set up). ICICI Bank and HDFC Bank. This move, along with the rapid growth in
the economy of India, kick started the banking sector in India, which has seen
rapid growth with strong contribution from all the three sectors of banks,
namely, government banks, private banks and foreign banks.
The next stage for the Indian banking has been setup with the proposed
relaxation in the norms for Foreign Direct Investment, where all Foreign Investors
in banks may be given voting rights, which could exceed the present cap of 10%
at present it has gone up to 49% with some restrictions. The new policy shook
the Banking sector in India completely. Bankers, till this time, were used to the 4-
6-4 method (Borrow at 4%, Lend at 6%, Go home at 4) of functioning.
The new wave ushered in a modern outlook and tech-savvy methods of working
for traditional banks. All this led to the retail boom in India. People not just
demanded more from their banks but also received more.
 Current Situation:
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Currently (2007-08), banking in India is generally fairly mature in terms of supply,
product range and reach-even though reach in rural India still remains a
challenge for the private sector and foreign banks. In terms of quality of assets
and capital adequacy, Indian banks are considered to have clean, strong and
transparent balance sheets relative to others to other banks in comparable
economies in its region. The Reserves Bank of India is an autonomous body, with
minimal pressure from the government. The stated policy of the Bank on the
Indian Rupees is to manage volatility but without any fixed exchange rate and
this has mostly been true. With the growth in the Indian economy expected to be
strong for quite some time especially in its services sector the demand for
banking services , especially retail banking, mortgages and investment services
are expected to be strong. In March 2006, the Reserve Bank of India allowed
Warburg Pincus to increase its stake in Kotak Mahindra Bank (a private sector
bank) to 10%.
This is the first time an investor has been allowed to hold more than 5% in a
private sector bank since the RBI announced norms in 2005 that any stake
exceeding 5% in the private sector banks would need to be vetted by them.
Currently, India has 88 scheduled commercial Banks (SCBs) – 28 public sector
banks (that is with the Government of India holding a stake), 29 private banks
(these do not have government stake; they may be publicly listed and traded on
stock exchanges) and 31 foreign banks. They have a combined network of over
53,000 branches and 17,000 ATMs.
 Figure: Scheduled Commercial Bank in India-
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 Emergence of Private Banks
o Private banking in India was practiced since the beginning of banking
system in India.
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o The first private bank in India to receive an in principal approval from the
reverse bank of India was housing development finance corporation
limited.
o It was incorporate in August 1994 as HDFC bank limited with registered
office in Mumbai and commenced operation as scheduled commercial
bank in January 1995.
LIST OF PRIVATE BANKS IN INDIA
• Bank of Punjab
• Bank of Rajasthan
• Catholic Syrian Bank
• Centurion Bank
• City Union Bank
• Dhanalakshmi Bank
• Federal Bank
• HDFC Bank
• ICICI Bank
• IDBI Bank
• IndusInd Bank
• ING Vysya Bank
• Jammu & Kashmir Bank
• Karnataka Bank
• Karur Vysya Bank
• Laxmi Vilas Bank
• South Indian Bank
• UTI Bank
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COMPANY’S PROFILE
AXIS BANK–COMPANY PROFILE SNAPSHOT
Type
Traded as
Industry
Founded
Headquaeters
Area Served
Public(BSE: 532215)
BSE: 532215
LSE: AXBC
NSE: AXISBANK
Banking, Financial Services
1993(as UTI Bank)
Mumbai, India
Worldwide
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Key People
Products
Revenue
Net Income
Total Assets
Total Equity
No. of Employees
Website
Dr. Sanjiv Misra(Chairman)
Smt Shikha Sharma (MD & CEO)
Credit Cards, Consumer banking,
Corporate banking, Finance and
Insurance, Investment Banking,
Mortgage Loans, Private Banking,
Private Equity, Wealth
Management.
₹414.0925 billion(US$6.2 billion)
(2016)
83.5759 billion(US$1.2₹ billion)
(2016)
6.9133₹
trillion(US$100 billion) (2017)
4.7657 billion (US$71₹ million)
56,617 (March 2016)
www.axisbank.com
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History
UTI Bank opened its registered office in Ahmedabad and
corporate office in Mumbai in December 1993. The first branch was inaugurated
on 2 April 1994 in Ahmedabad by Dr. Manmohan Singh, the Finance Minister of
India. UTI Bank began its operations in 1993, after the Government of India
allowed new private banks to be established. The Bank was promoted in 1993
jointly by the Administrator of the Unit Trust of India (UTI-I), Life Insurance
Corporation of India (LIC), General Insurance Corporation, National Insurance
Company, The New India Assurance Company, The Oriental Insurance
Corporation and United India Insurance Company.
In 2001 UTI Bank agreed to merge with and amalgamate Global Trust Bank, but
the Reserve Bank of India (RBI) withheld approval and nothing came of this. In
2004 the RBI put Global Trust into moratorium and supervised its merger
into Oriental Bank of Commerce.
In 2003 UTI Bank became the first Indian bank to launch the travel currency card.
In 2005, UTI bank got listed on London Stock Exchange.
UTI Bank opened its first overseas branch in 2006 Singapore. That same year it
opened a representative office in Shanghai, China. UTI Bank opened a branch in
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the Dubai International Financial Centre in 2007. That same year it began branch
operations in Hong Kong. In 2008 it opened a representative office in Dubai.
With effect from July 30, 2007, UTI Bank changed its name to Axis Bank.
Axis Bank opened a branch in Colombo in October 2011, as a Licensed
Commercial Bank supervised by the Central Bank of Sri Lanka. Also in 2011, Axis
Bank opened a representative offices in Abu Dhabi. In 2011, Axis bank
inaugurated Axis House, its new corporate office in Worli, Mumbai.
In 2013, Axis Bank's subsidiary, Axis Bank UK commenced banking operations.
Axis Bank UK has a branch in London.
Deepika Padukone, a Mumbai Film Industry (a.k.a. Bollywood ) actress is the
brand ambassador of Axis Bank.
In 2015, Axis Bank opens its representative office in Dhaka.
The bank has over 50,000 employees (as of 31 March 2016). The bank
incurred 26.7 billion₹ (US$400 million) on employee benefits during the FY 2012–
13. The average age of an Axis Bank employee is 29 years. The attrition rate in
Axis Bank is approx. 9% per year.
Registered Office
The registered office of Axis Bank is located at:-
‘Trishul’ , 3rd
Floor,
Opposite Samartheshwar Temple,
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Near Law Garden, Ellisbridge,
Ahmedabad, Gujarat – 380 006
Corporate Office
Axis House,
C – 2 Wadia International Centre,
Pandurang Budhkar Marg, Worli, Mumbai – 4000 025
The Corporate Office of Axis Bank is located at Axis House Mumbai. Axis House
has received the ‘Platinum’ rating awarded by the US Green Building Council for
its environment friendly facilities and reduction of carbon emission.
Operations
Indian Business
As of 12 Aug 2016, the bank had a network of 3,120 branches and extension
counters and 12,922 ATMs. Axis Bank has the largest ATM network among private
banks in India and it operates an ATM at one of the world’s highest sites at
Thegu, Sikkim at a height of 4,023 meters (13,200 ft) above sea level.
International Business
The Bank has nine international offices with branches at Singapore, Hong Kong,
Dubai (at the DIFC), Shanghai, Colombo and representative offices at Dhaka,
Dubai and Abu Dhabi, which focus on corporate lending, trade finance,
syndication, investment banking and liability businesses. In addition to the above,
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the Bank has a presence in UK with its wholly owned subsidiary Axis Bank UK
Limited.
 Services
Retail Banking
In the retail category, the bank offers services such as lending to individuals/small
businesses subject to the orientation, product and granularity criterion, along
with liability products, card services, Internet banking, automated teller
machines (ATM) services, depository, financial advisory services, and Non-
resident Indian (NRI) services. Axis bank is a participant in RBI's NEFT enabled
participating banks list.
Corporate Banking
Credit:The Bank offers various loan and fee-based products and services to Large
and Mid-corporate customers and Small and Medium Enterprise(SME)
businesses. These products and services include cash credit facilities, demand
and short-term loans, project finance, export credit, factoring, channel financing,
structured products, discounting of bills, documentary credits, guarantees,
foreign exchange and derivative products. Liability products including current
accounts, certificates and deposits and time deposits are also offered to large
and mid-corporate segments.
Transaction Banking
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Formed in April 2015, TxB provides integrated products and services to
customers in areas of current accounts, cash management services, capital
market services, trade, foreign exchange and derivatives, cross-border trade and
correspondent banking services and tax collections on behalf of the Government
and various State Governments in India.
Treasury
The Treasury manages the funding position of the Bank and also manages and
maintains its regulatory reserve requirements. It invests in sovereign and
corporate debt instruments and engages in proprietary trading in equity and
fixed income securities, foreign exchange, currency futures and options. It also
invests in commercial papers, mutual funds and floating rate instruments as part
of the management of short-term surplus liquidity. In addition, it also offers a
wide range of treasury products and services to corporate customers.
Syndication
The Bank also provides services of placement and syndication in the form of local
currency bonds, rupee and foreign term loans and external commercial
borrowings.
Investment Banking and Trustee Services
The Bank provides investment banking and trusteeship services through its
owned subsidiaries. Axis Capital Limited provides investment banking services
relating to equity capital markets, institutional stock broking besides M&A
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advisory. Axis Trustee Services Limited is engaged in trusteeship activities, acting
as debenture trustee and as trustee to various securitization trusts.
International Banking
The Bank continues to offer corporate banking, trade finance, treasury and risk
management solutions through the branches at Singapore, Hong Kong, DIFC,
Shanghai and Colombo, and also retail liability products from its branches at
Hong Kong and Colombo. The representative office at Dhaka was inaugurated
during the current financial year.Through the Representative Office at Dhaka.
Capital Structure
The Bank has authorized share capital of Rs. 850 crores comprising 4,250,000,000
equity shares of Rs.2/- each. As on 31st
March 2017, the Bank has issued,
subscribed and paid-up equity capital of Rs. 467.67 crores, constituting
2,38,28,31,826 equity shares of Rs. 2/-each. The Bank’s shares are listed on the
National Stock Exchange of India Limited and the BSE limited. The GDRs issued by
the Bank are listed on the London Stock Exchange (LSE). The Bonds issued by the
Bank under the MTN programme are listed on the Singapore Stock Exchange.
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Capital Structure - Axis Bank Ltd.
Period Instrument
Authorized
Capital
Issued
Capital - P A I D U P -
From To (Rs. cr) (Rs. cr) Shares (nos) Face Capital
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Value (Rs. Cr)
2017 2018 Equity Share 850.0 513.3 2566538936 2.0 513.3
2016 2017 Equity Share 850.0 479.0 2395036109 2.0 479.0
2015 2016 Equity Share 850.0 476.6 2382831826 2.0 476.6
2014 2015 Equity Share 850.0 474.1 2370522199 2.0 474.1
2013 2014 Equity Share 850.0 469.8 469844553 10.0 469.8
2012 2013 Equity Share 850.0 468.0 467954468 10.0 468.0
2011 2012 Equity Share 500.0 413.2 413203952 10.0 413.2
Subsidiaries
The Bank at present has following 11 subsidiaries namely:
• Axis Capital Ltd. (formerly Axis Securities and Sales Ltd.) (ACL)
ACL was incorporated in India as a wholly-owned subsidiary of the Bank on 6th
December 2005 and received its certificate of commencement of business on 2nd
May 2006. Certain businesses of M/s. Enam Securities Pvt. Ltd. were merged with
Axis Capital Ltd. as part of a scheme and the following companies became direct
subsidiaries of ACL:
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o Axis Securities Ltd. (formerly Enam Securities Direct Pvt. Ltd.)
o Axis Finance Ltd. (formerly Enam Finance Pvt. Ltd.)
o Axis Securities Europe Ltd. (formerly Enam Securities Europe Ltd.)
o Enam International Ltd., UAE (voluntarily dissolved with effect from 24th
August 2014)
Axis Securities Ltd., Axis Finance Ltd. and Axis Securities Europe Ltd. later became
direct subsidiaries of the Bank in line with the RBI directives. Enam International
Ltd., (UAE) was voluntarily dissolved with effect from 24th
August 2014. The paid-
up capital of ACL on 31st
March 2017 was RS. 73.50 crore. ACL is in the business of
merchant banking, institutional broking and investment banking. The net profit of
ACL for the year ended 31st
March 2017 was Rs. 113.22 crore.
• Axis Securities Ltd. (formerly Enam Securities Direct Pvt. Ltd.)
(ASL)
ASL was incorporated in India on 21st
July 2006. The sales and securities business,
including the retail broking business of Axis Capital Ltd, was merged with ASL on
25th
May 2013. ASL is a wholly-owned subsidiary of the Bank and is in the
business of marketing retail asset products, credit cards and retail broking.
The paid-up capital of ASL as at 31st
March 2017 was Rs. 144.50 crore and the net
profit for fiscal 2017 is RS. 51.50 crore.
• Axis Private Equity Ltd. (APE)
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APE was incorporated in India as wholly-owned subsidiary of the Bank on 3rd
October 2006 and received its certificate of commencement on 4th
December
2006. APE is in the business of managing investment, venture capital funds and
offshore funds.
The paid-up capital of APE is Rs. 1.50 crore and the reported net loss is RS. 0.34
crore for fiscal 2017.
• Axis Trustee Services Ltd. (ATSL)
ATSL was incorporated in India as a wholly-owned subsidiary of the Bank on 16th
May 2008 and received its certificate of commencement on 30th
September 2008.
ATSL is in the business of trusteeship services.
The paid-up capital of ATSL was Rs. 1.50 crore as at 31st
March 2017 and the
reported net profit is Rs. 17.24 crore for fiscal 2017.
• Axis Asset Management Company Ltd. (AAMC)
AAMC was incorporated on 13th
January 2009 and received its certificate of
commencement on 4th
March 2009. AAMC is in the business of asset
management.
In September 2012, the Bank entered into a strategic partnership with Schroders
Plc. Through this partnership, Schroder Investment Management (Singapore)Ltd.
(SIMSL), through its wholly-owned subsidiary, Schroder Singapore Holdings
Private Ltd. (SSHPL), acquired 25 per cent. of the total issued and paid-up equity
share capital plus one equity share in AAMC.
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AAMC is approved by the SEBI to act as Investment Manager for Axis Mutual
Fund. Axis Mutual Fund is also registered with the SEBI. AAMC is also registered
with the SEBI as a Portfolio Manager.
The paid-up capital of AAMC is Rs. 210.11 crore as at 31st
March 2017 and the
reported net profit is Rs. 56.96 crore for fiscal 2017.
• Axis Mutual Fund Trustee Ltd. (AMFT)
AMFT was incorporated on 2nd January 2009 and received its certificate of
commencement on 4th March 2009. AMFT is acting as a trustee to Axis Mutual
Fund. The SEBI, in a letter dated 4th September 2009, granted registration to Axis
Mutual Fund.
In September 2012, the Bank entered into a strategic partnership with Schroders
plc. Through this partnership, SIMSL, through its wholly-owned subsidiary, SSHPL
acquired 25 per cent of the total issued and paid-up equity share capital plus one
equity share in AMFT.
AMFT had a paid-up capital of Rs.0.05 crore as at 31st March 2017 and the
reported net profit is Rs.0.05 crore for fiscal 2017.
• Axis Finance Ltd. (AFL)
AFL was incorporated on 27th April 1995. It is a non-banking finance company
regulated by the RBI. AFL is positioned to offer products in the retail as well as
corporate banking segments.
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As at 31st March 2017, the paid-up capital of the company was Rs.418.25 crore
and the reported net profit was Rs.165.26 crore for fiscal 2017.
• A.TREDS Ltd. (ATL)
The Bank in joint venture with Mjunction Services Ltd. set up a new subsidiary
namely A. TREDS Ltd. on 23rd May 2016 in which the Bank and Mjunction
Services Ltd. each hold 67 per cent. and 33 per cent., of the share capital,
respectively. ATL undertakes the activities and oerations related to the trade
receivable discounting system.
• Axis Bank UK Ltd. (ABUK)
ABUK is a wholly-owned overseas subsidiary of the Bank. It was incorporated on
7th March 2011 in the United Kingdom and commenced its operations on 19th
April 2013 upon receipt of approval from the FCA. ABUK is in the business of
commercial banking, excluding the business of retail mortgage loans.
ABUK had paid-up capital of US$ 55 million (Rs.356.68 crore) and reported a net
profit Rs. 50.77 crore for fiscal 2017.
• Freecharge Payment Technologies Private Limited (Freecharge)
Freecharge Payment Technologies Private Limited was acquired by the Bank
(from Jasper Infotech Private Limited) on October 6, 2017, post receiving
approval from RBI. Freecharge is now a wholly-owned subsidiary of the Bank. It is
in the business of providing digital payments services through web- & mobile-
based platforms and payment gateways.
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As at Oct 6, 2017, Freecharge had paid-up capital of Rs. 481.1 crore.
• Accelyst Solutions Private Limited (Accelyst)
Accelyst Solutions Private Limited was acquired by the Bank (from Jasper Infotech
Private Limited) on October 6, 2017, post receiving approval from RBI. Accelyst is
now a wholly-owned subsidiary of the Bank. It is in the business of providing
digital payments services through web- & mobile-based platforms.
As at Oct 6, 2017, Accelyst had paid-up capital of Rs. 579.7 crore.
Note: One of the subsidiaries of the Bank, Axis Securities Europe Ltd. (formerly
Enam Securities Europe Ltd.) (ASEL) which was engaged in the business of
financial advisory services was wound up on 16th May 2017.
Controversies Related to Ethics
2016 Demonetisation related Money Laundering
Following the 2016 Indian Banknote Demonetisation, a number of Axis Bank
employees were arrested for facilitating money laundering activities. Some
media outlets highlighted the disproportionate amount of cases involving the
bank, and claimed that the bank's aggressive performance targets and internal
culture fostered such activities and that the blame does not lie solely in the
hands of arrested employees.
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Operation Red Spider
An Indian online magazine conducted a sting operation which was publicised
along with 2013 videos evidence showing a wide range of violations and money-
laundering schemes by top officials at a number of Indian banks, including Axis
Bank. Consequently, penalty of Rs 5 crore on Axis Bank, Rs 4.5 crore on HDFC
Bank and Rs 1 crore on ICICI Bank was imposed by Reserve Bank of India.
Promoters
Axis Bank Ltd. has been promoted by the largest and the best Financial Institution
of the country, UTI. The Bank was set up with a capital of Rs. 115 crore, with UTI
contributing Rs. 100 crore, LIC - Rs. 7.5 crore and GIC and its four subsidiaries
contributing Rs. 1.5 crore each.
SUUTI – Shareholding 11.56%
Erstwhile Unit Trust of India was set up as a body corporate under the UTI Act,
1963, with a view to encourage savings and investment. In December 2002, the
UTI Act, 1963 was repealed with the passage of Unit Trust of India (Transfer of
Undertaking and Repeal) Act, 2002 by the Parliament, paving the way for the
bifurcation of UTI into 2 entities, UTI-I and UTI-II with effect from 1st February
2003. In accordance with the Act, the Undertaking specified as UTI I has been
transferred and vested in the Administrator of the Specified Undertaking of the
Unit Trust of India (SUUTI), who manages assured return schemes along with
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6.75% US-64 Bonds, 6.60% ARS Bonds with a Unit Capital of over Rs. 14167.59
crores.
The Government of India has appointed Shri K. N. Prithviraj as the Administrator
of the Specified undertaking of UTI, to look after and administer the schemes
under UTI - I, where Government has continuing obligations and commitments to
investors.
Vision and Mission
The vision statement of the Bank lays down that it aims to be the preferred
financial solutions provider excelling in customer delivery through insight,
empowered employees, and smart use of technology. The core values of Axis
Bank are customer centricity, ethics, transparency, teamwork, and ownership.
RETAIL BANKING
“Retail banking is typical mass-marketing banking where individual customers use
local branches of larger commercial banks. Services offered include: savings and
checking accounts, mortgages, personal loans, debit cards, credit cards, and so”
The Retail Banking environment today is changing fast. The changing customer
demographics demands to create a differentiated application based on scalable
technology, improved service and banking convenience. Higher penetration of
technology and increase in global literacy levels has set up the expectations of
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the customer higher than never before. Increasing use of modem technology has
further enhanced reach and accessibility.
The market today gives us a challenge to provide multiple and innovative
contemporary services to the customer through a consolidated window as so to
ensure that the bank’s customer gets “Uniformity and Consistency” of service
delivery across time and at every touch point across all channels. The pace of
innovation is accelerating and security threat has become prime of all electronic
transactions. High cost structure rendering mass-market servicing is prohibitively
expensive.
Present day tech-savvy bankers are now more looking at reduction in their
operating costs by adopting scalable and secure technology thereby reducing the
response time to their customers so as to improve their client base and
economies of scale.
The solution lies to market demands and challenges lies in innovation of new
offering with minimum dependence on branches – a multi-channel bank and to
eliminate the disadvantage of an inadequate branch network. Generation of
leads to cross sell and creating additional revenues with utmost customer
satisfaction has become focal point worldwide for the success of a Bank.
Benefits of Retail Banking
Traditional lending to the corporate are slow moving along with high NPA risk,
treasure profits are now loosing importance hence Retail Banking is now an
alternative available for the banks for increasing their earnings.
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Retail Banking is an attractive market segment having a large number of varied
classes of customers.
Retail Banking focuses on individual and small units.
Customize and wide ranging products are available.
The risk is spread and the recovery is good.
Surplus deployable funds can be put into use by the banks.
Products can be designed, developed and marketed as per individual needs.
Scope for Retail Banking in India
o All round increase in economic activity.
o Increase in the purchasing power. The rural areas have the large
purchasing power at their disposal and is an opportunity to market Retail
Banking.
o India has 200 million households and 400 million middleclass population
more than 90% of the savings come from the house hold sector. Falling
interest rates have resulted in a shift. “Now people want to save Less and
spend More.”
o Nuclear family concept is gaining much importance which may lead to
large savings, large number of banking services to be provided are day-by-
day increasing.
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o Tax benefits are available for example in case of housing loans the
borrower can avail tax benefits for the loan repayment and the interest
charged for the loan.
Advantages and Disadvantages of Retail Banking
 Advantages
Retail Banking has inherent advantages outweighing certain disadvantages.
Advantages are analyzed from the resource angle and asset angle.
RESOURCE SIDE
o Retail deposits are stable and constitute core deposits.
o They are interest insensitive and less bargaining for additional interest.
o They constitute low cost funds for the banks.
o Effective customer relationship management with the retail customer built
a strong customer base.
o Retail Banking increases the subsidiary business of the banks.
ASSETS SIDE
o Retail Banking results in better yield and improved bottom line for a bank.
o Retail segment is a good avenue for funds deployment.
o Consumer loans are presumed to be of lower risk and NPA perception.
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o Helps economic revival of the nation through increased production activity.
o Improves lifestyle and fulfils aspirations of the people through affordable
credit.
o Innovative product development credit.
o Retail Banking involves minimum marketing efforts in a demand – driven
economy.
o Diversified portfolio due to huge customer base enables bank to reduce
their dependence on few or single borrower.
o Banks can earn good profits by providing non fund based or fee based
services without deploying their funds.
 Disadvantages
o Designing own and new financial products is very costly and time
consuming for the bank.
o Customers now-a-days prefer net banking to branch banking. The Banks
that are slow in introducing technology-based products, are finding it
difficult to retain the customers who wish to opt for net banking.
o Customers are attracted towards other financial products like mutual funds
o Though banks are investing heavily in technology, they are not able to
exploit the same to the full extent.
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o A major disadvantage is monitoring and follow up of huge volume of loan
accounts inducing banks to spend heavily in human resource department.
o Long term loans like housing loan due to its long repayment term in the
absence of proper follow-up, can become NPAs.
o The volume of amount borrowed by a single customer is very low as
compared to wholesale banking. This does not allow banks to exploit the
advantage of earning huge pofits from single customer as in case of
wholesale banking.
OPPORTUNITIES OF RETAIL BANKING
Retail Banking has immense opportunities in a growing economy like India. As the
growth story gets unfolded in India, retail banking is going to emerge a major
driver. The rise of Indian middle class is an important contributory factor in this
regard. The percentage of middle to high-income Indian household is expected to
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continue rising. The younger population not only wields increasing purchasing
power, but as far as acquiring personal debt is concerned, they are perhaps more
comfortable than previous generations. Improving consumer purchasing power,
coupled with more liberal attitudes towards personal debt, is contributing to
India’s retail banking segment.
The combination of above factors promises substantial growth in retail sector,
which at present is in the nascent stage. Due to bundling of services and delivery
channels, the areas of potential conflicts of interest tend to increase in universal
banks and financial conglomerates. Some of the key policy issues relevant to the
retail-banking sector are: financial inclusion, responsible lending, and access to
finance, long-term savings, financial capability, consumer protection, regulation
and financial crime prevention.
CHALLENGES TO RETAIL BANKING IN INDIA
o The issue of money laundering is very important in retail banking. This
compels all the banks to consider seriously all the documents which they
accept while approving the loans.
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o The issue of outsourcing has become very important in recent past
because various core activities such as hardware and software
maintenance, entire ATM set up and operation (including cash, refilling)
etc., are being outsourced by Indian Banks.
o Banks are expected to take almost care to retain the on going trust of the
public.
o Customer service should be at the end all in retail banking. Someone has
rightly said, “It takes months to find a good customer but only seconds to
lose one.” Thus, strategy of Knowing Your Customer (KYC) is important. So
the banks are required to adopt innovative strategies to meet customer’s
needs and requirements in terms of services/products etc.
o The dependency on technology has brought IT departments’ additional
responsibilities and challenges in managing, maintaining and optimizing
the performance of retail banking networks. It is equally important that
banks should maintain security to the advance level to keep the faith of
the customer.
o The efficiency of operations would provide the competitive edge for the
success in retail banking in coming years.
o The customer retention is of paramount important for the profitability if
retail banking business, so banks need to retain their customer in order to
increase the market share.
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o One of the crucial impediments for the growth of this sector is the acute
shortage of manpower talent of this specific nature, a modern banking
professional, for a modern banking sector.
If all these challenges are faced by the banks with utmost care and deliberation,
the retail banking is expected to play a very important role in coming years, as in
case of other nations.
STRATEGIES FOR INCREASING RETAIL BANKING BUSINESS
o Constant product innovation to match the requirements of the customer
segments
The customer database avilable with the banks is the best source of their
demographic and financial information and can be used by the banks for
targeting certain customer segments for new or modified product. The
banks should come out with new products in the area of securities, mutual
funds and Insurance.
o Quality service and quickness in delivery
As most of the banks are offering retail products of similar nature, the
customers can easily switchover to the one, which offers better service at
comparatively lower costs. The quality of service that banks offer and the
experience that clients have, matter the most. Hence, to retain the
customers, banks have to come out with competitive products satisfying
the desires of the customers at the click of a button.
o Introduction of new delivery channels
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Retail customers like to interface with their bank through multiple
channels. Therefore, banks should try to give high quality service across all
service channels like branche, Internet, ATMs, etc.
o Tapping of unexploited potential and increasing the volume of business
This will compensate for the thin margins. The Indian retail banking market
still remains largely untapped giving a scope for growth to the banks and
financial institutions. With changing psyche of Indian consumers, who are
now comfortable with the idea of availing loans for their personal needs,
banks have tremendous potential lying in this segment. Marketing
departments of the banks be geared up and special training be imparted to
them so that banks are successful in grabbing more and more of retail
business in the market.
o Infrastructure outsourcing
This will help in lowering the cost of service channels combined with
quality and quickness.
o Detail market research
Banks may go for detail market research, which will help them in knowing
what their competitors are offering to their clients. This will enable them
to have an edge over their competitors and increase their share in retail
banking pic by offering better products and services.
o Cross-selling of products
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PSBs have an added advantage of having a wide network of branches,
which gives them an opportunity to sell third-party products through these
branches.
o Business process outsourcing
Outsourcing of requirements would not only save cost and time but would
help the banks in concentrating on the core business area. Banks can
devote more time for marketing, customer service and brand building. For
examole, Management of ATMs can be outsourced. This will save the
banks from dealing with the intricacies of technology.
o Tie-up Arrangements
PSBs with regional concentration can reap the benefit of reaching
customers across the country by entering into strategic alliance with other
such banks with intensive presence in other region. In the present regime
of falling interest and stiff competition, banks are aware that it is finally the
retail banking which will enable them to hold the head above water.
Hence, banks should make all out efforts to boost the retail banking by
recognizing the needs of the customers. It is essential that banks would be
imaginative in predicting the customers expectations in the ever-changing
tastes and environments. It is the innovative and competitive products
coupled with high quality care for clients will only hold the key to success
in this area.
In short, bankers have to run very fast even to stay where they are now. It
is the survival of the fastest now and not only survival of the fittest.
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EMERGING ISSUES IN HANDLING RETAIL
BANKING
o Knowing Customer
‘Know your Customer’ is a concept which is easier said than practiced. Banks face
several hurdles in achieving this. In order to that the product lines are targeted at
the right customers present and prospective. It is imperative that an integrated
view of customers is available to the banks. The benefits flowing out of cross-
selling and up-selling will remain a far cry in the absence of this vital input. In this
regard the customer databases available with most of the public sector banks, if
not all, remain far from being enviable.
What needs to be done is setting up of a robust data warehouse where from
meaningful data on customers, their preferences, there spending patterns, etc
can be mined. Cleansing of existing data is the first step in this direction PSBs
have a long way to go in this regard.
o Technology Issues
Retail Banking calls for huge investments in technology. Whether it is setting up
of a Customer Relationship Management System or Establishing Loan Process
Automation or providing anytime, anywhere convenience to the vast number of
customers or establishing channel/product/customer profitability, technology
plays a pivotal role.
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And it is a long haul. The Issues involved include adoption of the right technology
at the right time and at the same time ensuring volumes and margins to sustain
the investments.
It is pertinent to remember that Citibank, known for deployment of technology,
took nearly a decade to make profits in credit cards. It has also to be added in the
same breath that without adequate technology support, it would be well high
possible to administer the growing retail portfolio without allowing its health to
deteriorate. Further, the key to reduction in transaction costs simultaneously
with increase in ability to handle huge volumes of business lies only in technology
adoption.
PSBs are on their way to catch up with the technology much required for the
success of retail banking efforts. Lack of connectivity, stand alone models,
concept of branch customer as against bank customer, lack of convergence
amongst available channels, absence of customer profiling, lack of poper decision
support system,etc., are a few deficiencies that are being overcome ina great
way. However, the initiatives in this regard should include creating flexible
computing architecture amenable to changes and havingscalability, a futuristic
approach, networking across channels, development of a strong Customer
Information Systems (CIS) and adopting Customer Relationship Management
(CRM) models for getting a 360 degree view of the customer.
o Organizational Alignment
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It is of utmost importance that the culture and practices of an institution support
its stated goals. Having decided to take a plunge into retail banking, banks need
to have a well defined business strategy based on the competitive of the bank
and its potential. Creation of a proper organization structure and business
operating models which would facilitate easy work flow are the needs of the
hour. The need for building the organizational capacity needed to achieve the
desired results cannot be overstated.
This would mean a strong commitment at all levels, intensive training of the rank
and file, putting in place a proper incentive scheme, etc. As a part of
organizational alignment, there is also the need for setting up of an effective
Corporate Marketing Division. Most of the public sector bank have only publicity
departments and not marketing setup. A fully fledged marketing department or
division would help in evolving a brand strategy, address the issue of alienation
from the upwardly mobile, high net worth customer group and improve the recall
value of the institution and its products by arresting the trend of getting receded
from public memory. The much needed tie-ups with
manufacturers/distributors/builders will also facilitated smoothly. It is time to
break the myth PSBs are not customer friendly. The attention is to be diverted to
vast databases of customers lying with the PSBs till unexploited for marketing.
o Product Innovation
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Product innovation continues to be yet another major challenges. Even though
bank after bank is coming out with new products, not all are successful. What is
of crucial importance is the need to understand the difference between novelty
and innovation? Peter Drucker in his path breaking book: “Management
Challenges for the 21st
Century” has in fact sounded a word of caution:
“innovation that is not in tune with the strategic realities will not work; confusing
novelty with innovation (should be avoided), test of innovation is that it creates
value; novelty creates only amusement.” The days of selling the products
available in the shelves are gone. Banks need to innovate products suiting the
needs and requirements of different types of customers. Revisting the features of
the existing products to continue to keep them on demand should not also be
lost sight of.
o Pricing of Product
The next challenge is to have appropriate polices in place. The industry today is
witnessing a price war, with each bank wanting to have a larger slice of the cake
that is the market, without much of a scientific study into the cost of funds
involved, margins, etc. The strategy of each player in the market seems to be;
“under cutting others and wooing the clients of others “. Most of the banks that
use rating models for determining the health of the retail portfolio do not use
them for pricing the products. The much needed transparency in pricing is also
missing, with many hidden charges. There is a tendency, at least on the part of
few to camouflage the price. The situation cannot remain his way for long. This
will be one issue that wil be gaining importance in the near future.
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o Process Changes
Business Process Re-engineering is yet another key requirement for banks to
handle the growing retail portfolio. Simplified processes and aligning them
around delivery of customer service impinging on reducing customer touch-
points are of essence. A realization has to drawn that automating the
inefficiencies will not help anyone and continuing the old processes with new
technology would only make the organization an old expensive one. Work flow
and document management will be integral part of process changes. The
documentation issues have to remain simple both in terms of documents to be
submitted by the customer at the time of loan application and those to be
executed upon sanction.
o Issue Concerning Human Resources
While technology and product innovation are vital, the soft issues concerning the
human capital of the banks are more vital. The corporate initiatives need to focus
on bringing around a frontline revolution. Though the changes envisaged are
seen at the frontline, the initiatives have to really come from the ‘back end’. The
top management of banks must be seen as practicing what preaches. The
initiatives should aim at improved delivery time and methods of approach. There
is an imperative need to create a perception that the banks are market-oiented.
This would mean a lot of proactive steps on the part of bank management which
would include empowering staff at various levels, devising appropriate tools for
performance measurement bringing about a transformation – ‘cant’t’ do ‘to’ can
do’ mind-set change from restrictive practices to total flexible work place, say. By
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having universal tellers, bringing in managerial controlling work place, provision
of intensive training on products and processes, emphasizing, coaching etiquette,
good manners and best behavioral models, formulating objective appraisal,
bringing in transparency, putting in place good and acceptable reward and
punishment system, facilitating the placement of young/youthful staff in front-
line defining a new role for front-line staff by projecting them as sellers of
products rather than clerks at work and changing the image of the banks from a
transaction provider to a solution provider.
 Rural Orientation
As of now, action that is taking place on the retail front is by and large confined
two metros and cities. There is still a vast market available in rural India, which
remains to be trapped. Multinational Corporation, as manufacturers and
distributors, have already taken the lead in showing the way by coming out with
exquisite products, packaging and promotions, keeping the rural customer in
mind. Washing powders and shampoos in Rs.1 sachet made available through an
efficient network and testimony to the determination of the MNCs to penetrate
the rural market. In this scenario, banks cannot lack behind.
In particular PSBs, which have a strong rural presence, need to address the needs
of rural customers in a big way. These and only these will propel retail growth
that is envisaged as a key strategy for portfolio expansion by most of the banks.
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GROWTH DRIVERS OF RETAIL BANKING
Macro-Economics Factors
o Shift in the pattern of GDP from hitherto agriculture and manufacturing
sectors to services sector with increase per capita income especially that of
the younger generation.(India’s industrial sector accounted for about
21.8% of GDP, where as the services sector accounted for around 56.1 of
GDP in 2002-03 as per revised estimates released by Central Statistical
Organization.)
o The lower uptake in the non-retail sector has compelled hans to shift their
focus on retail asset –specially housing finance – for deployment of funds
for a longer period, which is considered as the safest within the retail
portfolio. Housing loans and other retail loans are comparatively high
yielding in terms of interest spread and safer, as risk is diversified amonga
large number of individuals across the geographic dimensions. The sector
enjoys a privilege of lowest NPAs amongst all categories of banks.
o Depressed stock and real estate markets as compared to those prevailing
in 1992-93 to 1995-96 thereby diverting deposits to the banking sectors.
o Comparatively stable real estate prices during last 4/5 years have laid to
spurt in demand for housind loans.
o Inflation continued to the under control.
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o Keenness shown by the consumer goods/automobile manufacturers to
push up finance schemes through market tie-up with banks with a view to
increasing their marketing share.
Demographic/Behavioral Factors
o Growing concept of nuclear families than the joint families necessitating
need for housing units as well as other items of consumer durables.
o Increased number of dual income families resulting in higher income and
savings.
o Increased demand for dwelling units due to gradual shift of population
from rural/semi-urban centre to urban/metro centre for employment.
o Shift in the attitude of the Indian household from “save and buy” theory to
a “buy and repay” principle.
o Increased middle income segment and their income levels.
o Emergence of new sectors such as Information Technology, media, etc. In
the economy that resulted in higher income opportunities and major
impact on change in urban consumption pattern.
o Awareness and sophistication in urban and semi-urban households for
urban convenience. Social security and status have also contributed to
higher demand for housing units, cars , etc.
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RETAIL BOOM
Keeping pace with the average 8.5 % growth of the Indian economy over the past
few years, the retail banking sector in India has also witnessed phenomenal
growth. It has faced up to the need of the hour and introduced anytime,
anywhere banking, for its customers through ATMs, mobile and internet banking.
It has also offered services like D-MAT, plastic money(credit and debit cards),
online transfers, etc. This has not only helped in reducing operational costs but
facilitated greater conveniences to its customers.
o High-Tech Banking
ATMs – With growing technological innovations, banks have significantly
expanded their ATM network over the past three years. According to the RBI data
as of end-June 2010, the number of ATMs in the country had climbed to 56,314
compared to 37,088 and 20,267 as at end-March 2009 and 2008, respectively.
o Loan Disbursement
Technology has facilitated the growth in retail loan disbursements, making the
whole process simpler and faster. The sector has delivered a growth of around
30% per year over the past 4-5 years. As per the RBI data, although the retail
portfolio of banks saw a slowdown to 29.9% during 2010-09 from 40.9% in 2008-
09, the growth was faster than the overall credit portfolio of the banking sector
(28.5%).
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o Plastic Money
Credit cards have also played an important role in promoting retail banking. The
use of credit cards has been growing significantly over the last few years. The
number of Credit Cards outstanding at the end-June 2010 stood at 27.02 million
as against 24.39 million in June 2009, with usage increasing by 10.73% during this
period.
o Core Banking Solutions (CBS)
The concept of CBS, which allows a customer to fulfill a wide range of banking
operation online, has come alive during the past four years. The number of bank
branches providing CBS rose rapidly to 44% at end-March 2010 from 28.9% at
end March 2009. Electronic fund transfer facilities and mobile banking are
expected to provide a further fillip to the retail banking in the coming years.
FUTURE OF RETAIL BANKING
Retail Banking has significant past and glorious future over the years. Retail
Banking has proved as an effective tool not only to improve the buttom lines of
the banks concerned but also to significantly contribute to the development of
the individual consumers availing the services or products in particular and to the
overall development of the society in general with the needs of the consumers
ever multiplying. There is definitly a vast scope for the furtherance of the Retail
Banking Business.
The society is made of the individuals and the environment surrounding him. As
development takes place in the society, the needs of the people grow faster than
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ever. The wealth creation and its professional management are yet another
distinct advantage the society or nation can derive from Retail Banking. The
depth of the untapped resources in the retail segment is not yet measured. These
resources could be channelized for nation building.
On the whole, looking ahead, the prospects of retail banking are brighter than
ever and bankers have to give continued thrust to this area of banking. Thus, with
the consumers ever multiplying needs there is definitely a vast scope for the
furtherance of the retail banking business. Operationally, there is a possibility
that technology go beyond merely reducing the cost & improving the quality of
current products. It may prove possible, even profitable, to combine functions in
new ways.
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RETAIL PRODUCTS OFFERED BY
AXIS BANK
EXPLORE PRODUCTS:-
Retail
 Accounts
SAVING ACCOUNTS
A savings account is a deposit account held at a retail bank that pays interest but
cannot be used directly as money in the narrow sense of a medium of
exchange (for example, by writing a cheque). These accounts let customers set
aside a portion of their liquid assets while earning a monetary return. Saving
accounts in Axis Bank are:-
ASAP Instant Saving Account
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o Get your account number instantly.
o Zero Balance Account.
o Auto-sweep Flexi FD on balances above Rs. 10000.
o Receive a free virtual debit card for online shoping.
o Complimentary online debit card/Optional physical debit card.
o Online Rewards Card Daily withdrawal limit of Rs.50000/- and purchase
limit of Rs.4,00,000/- Virtual Visa Card Online Daily Purchase limit Of
Rs.1,00,000/-.
o Transfer funds, pay bills and get account statements, free of charge.
o Rs.150 discount on BookMyshow, Rs.1000 cashback on Cleartrip App, 2
months free subscription of Airtel Wynk.
o It is Faster!Smarter!Easier!Saving Account in 3steps.
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EasyAccess Saving Account
FEATURES AND BENEFITS
o Earn 3.5%* Interest on daily balances, quarterly
W.e.f 1st July'17, Interest earned on Savings bank account will be credited on the
last business day of each quarter of the financial year. W.e.f 19th Mar'18,*Earn
6% p.a. interest on savings account balance of Rs.10 crs and above.Earn 4%
interest on saving account balance of 50 Lakhs upto less than 10 crs. Earn 3.5%
p.a. interest on savings account balance less than Rs.50 lacs..
o Starts off with low opening deposits
With the minimum opening deposit as low as Rs. 10,000 in metros, get the Axis
Easy Access Savings Account with facilities like monthly e-statements to track
transactions at all times from anywhere
o Get free cheque books.
o Bank at your convenience
Access to 13,800+ Axis Bank ATMs, 3,500+ Axis Bank branches as well as internet
and mobile banking services.
o Maintain low average monthly balance requirements of Rs.
10,000 in metros
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o Easy banking with a RuPay Platinum Debit Card at low issuance
charge
• Rupay Platinum Debit Card at an issuance fee of Rs. 200 and annual fee of
Rs. 200 in metro/ urban/ semi-urban locations.
• High daily withdrawal limits of Rs. 40,000 at ATMs and Rs. 1,00,000 for
shopping transactions
• First 5 transactions free, at Axis Bank ATMs
• First 3/5 transactions free, at Non Axis Bank ATMs in metro/non-metro
locations respectively
o Keep yourself, your family and assets safe
• Personal accident insurance* cover of up to Rs. 2 lakhs, if card is swiped
once, every 6 months
• Combined Lost Card Liability and Purchase Protection Liability of up to Rs.
50,000 to protect debit card from fraudulent use. Not just this, the
transactions through this account would also cover for damage or loss of
articles purchased using the debit card.
o Earn eDGE Loyality Rewards
• Earn Edge Loyalty Rewards points for transactions and 500+ rewards and
offers to redeem earned points. Eligible transactions to earn Edge Loyalty
Rewards-
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• Monthly credit transactions of Rs. 50,000 or more
• Electronic Clearance System transactions
• Providing Standing Instructions
• Opening a Recurring Deposit account of Rs. 2,000 or more
• Opening an AxisDirect account
• Maintaining a minimum monthly balance of Rs. 25,000
• For options to redeem points, check the eDGE Loyalty Rewards Catalogue.
ELIGIBILITY AND DOCUMENTATION
o Ensure your eligibility
Entities eligible for Easy Access Savings Account
• An individual residing in India
• A Hindu Undivided Family (HUF)
o Documents for Easy Access Saving Account for Individual
• Two latest passport size photographs.
• Address and identity proof documents.
• Only a single copy of the document is required if it is listed under both
address and identity proof, e.g. Passport/Aadhar Card.
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• If mailing address and permanent address are different, provide address
proof documents for both.
o Documents for Easy Access Saving Account for a Hindu
Undivided Family
• Copy of PAN Card/Form 60 of HUF
• Declaration from the Karta
• Proof of identification and address of Karta as per documentation for
individual
• Prescribed Joint Hindu Family Letter signed by all the adult holders.
o Documents for Joint Easy Access Saving Acount
• Address and identify proof documents for both applicants.
• Address proof can be only of the First holder of the Account, as long as it is
supplemented by a relationship proof between both holders.
Prime Plus Savings Account
o Manage deposits and transactions
Minimum opening deposit of Rs. 1,00,000 across all locations, and monthly e-
statements to track transactions of your Prime Plus Savings Account.
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o Enjoy high cash transaction limits
Upto 20 free transactions (Cash Deposit/Withdrawals and Demand Draft/Pay
Order requests) every month, at any Axis Bank branch.
o Get entertainment benefits 10% cashback* on movie ticket
bookings
o Maintain account balance with flexibility
You can maintain an Average Monthly Balance (AMB) of Rs. 1 lakh in your savings
account or a Total Relationship Value (TRV) of Rs. 5 lakhs across your savings
accounts and fixed deposits, for a minimum tenure of 6 months.
o Avail locker services at a preferential price and 25% discount on
locker rent for the first year.
o Bank easy with Prime Plus Debit Card at no issuance charge
• Unlimited free ATM Withdrawls at Axis and other Bank’s ATMs.
shopping transactions.
• Higher personal accident insurance* cover of upto Rs. 3 lakhs, if card is
swiped once, every 6 months.
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• Enhanced Combined Lost Card Liability and Purchase Protection Liability of
upto Rs. 75,000 to protect debit card from fraudulent use and also cover
for damage or loss of articles purchased using debit card.
• 100% discount on annual debit card fee by swiping for Rs. 50,000 a year or
completing 10 shopping transactions.
Prime Savings Account
o Get free cheque books and demand drafts
• Unlimited cheque-books, without any charge.
• Unlimited demand drafts, without any charge.
• Free, payable-at-par cheque-book per quarter.
• Free demand drafts/pay orders per month, at Axis Bank locations.
o Enjoy high cash transaction limits
o Bank easy with a Secure Plus Debit Card at no issuance charge
• No issuance fee.
• Daily ATM Withdrawal-Rs.50,000.
• Daily shopping transaction-Rs.75,000.
• Unlimited ATM transaction at Axis Bank and other Banks’ ATMs.
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• Emergency Travel & Hotel Assistance of up to Rs.80,000(while travelling
abroad)/Rs.40,000(while travelling in India).
• Emergency Cash Assistance of up to Rs.5,000.
• One call service to block all Cards in case of lost/stolen cards.
• Fraud protection cover of up to Rs.75,000.
o Higher personal accident insurance* cover of up to Rs.5 lakh
with Secure Plus Debit Card.
Women’s Savings Account
o Start off with low opening deposits
Low minimum opening deposit of Rs. 10,000 in metros, and monthly e-
statements to track transactions of your Women’s Savings Account.
o Bank easy with a Visa Classic Debit Card at low issuance charge
• Visa Classic Debit Card at an issuance fee of Rs. 200 and annual fee of Rs.
150 in metro and urban locations.
shopping transactions.
• First 5 transactions free at Axis Bank ATMs.
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• First 3/5 transactions free at Non Axis Bank ATMs in a metro / non-metro
location respectively.
• o Personal accident insurance* cover of upto Rs. 2 lakhs, if card is swiped
once, every 6 months.
• C ombined Lost Card Liability and Purchase Protection Liability of upto Rs.
50,000 to protect debit card from fraudulent use and also cover for
damage or loss of articles purchased using the debit card.
Senior Privilege Savings Account
o Higher FD Rates*, Get 0.5% preferential rate on Fixed
Deposit/Recurring Deposits.
o Discounts at Health Care services^
Up to 50% off at 200 diagnostic centers and up to 15% Off on medicine purchases
at 1400 Apollo pharmacies.
Provider Offer No. of Locations
Axiss Dental Complimentary consultation with resident dental
surgeon
50% discount on intra oral X-Ray
37
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10% Discount on routine dental procedures
The Apollo
clinic
10% discount on in house diagnostics
10% discount on in house radiology
10% discount on non-invasive cardiology
investigations
15% discount on apollo standard health checkup
packages
59
Apollo
Pharmacy
10% discount on medicines (Other than DPCO
medicines)
5% discount on FMCG
15% discount on Apollo Pvt labeled product
1490
SRL
Diagnostics
20% discount on MRP for Pathology & Imaging
tests
18
Eye Q Vision 20% discount on OPD/ consultation & investigation26
ASG Hospital 15% discount on all consultation 20
Artemis
Hospital
15% Discount on Inhouse investigation
15 % Discount on health check-up packages
2
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Centre for
sight
10% Discount on OPD consultation 10 % Discount
on investigations
21
o Bill Payment facility at branches
Pay all bills at any Axis Bank branch with a simple, one-time registration
Register from a list of 146 billers (for 7 categories like electricity, gas, telephone
and more). On registration, you will get an SMS when the bill is generated, and
the payment will automatically be made from your account
Automatic payment can be easily stopped with an intimation at our call centre.
(1800-103-5577/1800-209-5577/1800-233-5577).
o Preferential Treatment at branches
Get attended on priority at all our branches enables with Queue Management
Systems. Move up the queue by identifying yourself as a senior citizen.
o Exclusive Seniors ID Card
Priority treatment at our branches.
Discounts at our partner healthcare centers.
Free personal accident insurance cover of Rs. 2 lakhs upon swiping your card
once every 6 months* Combined Lost Card Liability and Purchase Protection
Liability of upto Rs. 50,000 to protect debit card from fraudulent use and also
cover for damage or loss of articles purchased using the debit card.
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SALARY ACCOUNT
 Axis Republic Salary Account
• Free Rupay Platinum Debit Card
• Daily ATM Withdrawal Limit:Rs.40,000
• Shopping Limit:Rs.1 Lakh
• Senior ID Card for Senior Citizen parents
• Domestic Travel offers on Yatra and Redbus
• Higher interest rates above Rs. 50,000
• Airport Lounge Access
 Easy Access Salary Account
• Rupay Platinum Debit Card
• Daily ATM Withdrawal Limit: Rs. 40,000
• Daily Shopping Limit: Rs. 1 Lakh
• Dining Delights Program
 Prime Salary Account
• Visa Rewards Plus Debit Card
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• Daily ATM Withdrawal Limit: 50,000
• Daily Shopping Limit: Rs. 1 lakh
• 5% cashback on movie ticket spends
• Fuel Surcharge Waiver.
 Priority Salary Account
• Free Priority Platinum Debit Card
• Daily ATM Withdrawal Limit: Rs. 1 Lakh
• Daily Shopping Limit: Rs. 4 Lakh
• 25% cashback on movie ticket spends
• Fuel Surcharge Waiver
• Airport Lounge Access
• Dedicated Relationship Manager
• Facility to book premium meeting lounges
 Defence Salary Account (Power Salute)
• Free Power Salute Debit Card
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• Daily ATM Withdrawal- Rs.40,000
• Daily Shopping Limit-Rs.1 Lakh
• Axis eDGE Reward points
CURRENT ACCOUNTS
A current account, also known as financial account is a type of deposit
account maintained by individuals who carry out significantly higher number
of transactions with banks on a regular basis. It is created by the bank on
request of the applicant and is made available for frequent or immediate
access. Current accounts relate to liquid deposits and it offers a broad range
of customized options to aid financial dealings. Current accounts also allows
to make payments to creditors through the cheque facility offered by the
bank. Generally, current accounts do not provide interests and requires a
higher minimum balance when compared to savings account. However, the
greatest advantage of current bank account is that, account holders can easily
avail overdraft facility up to an agreed limit.
• Prime Current Accounts
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 Normal Current Account
• Get optimal value for your money with an MAB of Rs. 10,000* in your
Normal Current Account.
• Free upto Rs. 2 lakhs per month at home and non-home branch cash
deposits.
• Free Anywhere Banking transactions up to Rs 12,00,000 per month
(cheque collection and payments at Axis Bank locations)
• Demand Draft and Pay Order transactions at nominal cost
• Withdrawal money Across cities Upto Rs. 1 lakh per day at non-home
branches.
• Free funds transfer within multiple Axis Bank accounts
• Free local cheque collection and payments across Axis Bank locations all
over the country
• Free collection through NEFT and RTGS
• Daily account statements through e-mail.
 Business Advantage Account
• Enjoy a host of benefits and privileges with an MAB of Rs. 25,000* in your
Business Advantage Account.
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• Free upto Rs. 3 lakhs per month at home and non-home branch cash
deposits.
• Free Anywhere Banking (cheque collection and payments at Axis Bank
locations).
• Get free 50 cheque leaves per month.
 Business Select Account
• Enjoy a host of benefits and privileges with a MAB of Rs. 50,000* in
your Business Classic Current Account.
• Free cash deposit upto 12 times the monthly average balance maintained
in the same cycle with minimum free limit of Rs.6 lakhs per month*.
• Fungibility of free limits between home branch and non-home branch cash
deposits.
 Business Classic Account
• Enjoy a host of benefits and privileges with a MAB of Rs. 1,00,000* in your
Business Classic Account.
• Enjoy home and non home branch cash deposits Free upto Rs. 12 lakhs per
month.
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• Free NEFT/RTGS facility.
• Fixed charge of Rs.50 per month with unlimited transactions.
 Sweeps Current Account
• Link multiple current accounts to form a single pool and carry out
payments and withdrawals across them by collectively maintaining a
Monthly Average Balance (MAB) of Rs. 25 lakhs.
• Cash Withdrawal limit Rs. 1 lakh per Account per day.
• Free cash deposit facility upto Rs.1 crore/pool/month for home.
DOCUMENTATION FOR CURRENT ACCOUNTS.
• Basic common documentation for Normal Current Account are
1. Proof of identity – PAN card, voter ID card, passport, driving license
2. proof of address – Latest telephone bill or electricity bill.
• Documents for public or private limited companies
1. Certificate of Incorporation and Commencement of Business
2. Memorandum and Articles of Association
3. Board resolution authorising the opening and operation of the
account
4. PAN or General Index Registrar (GIR) number or completed Form 60
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5. List of Directors with residential addresses.
• Documents for partnership firms
1. Partnership Deed and Registration Certificate.
2. Shop and Establishment Certificate.
3. Letter from partners approving the persons concerned to open and
operate the account.
• Documents for proprietorship concerns
1. Certificate from a State Government or Statutory Body or Trade License
or Sales Tax Certificate or Shop and Establishment Certificate.
2. Letter of proprietorship, duly signed by the proprietor in his or her
individual capacity (with a rubber stamp)
3. For Hindu Undivided Family (HUF):
 Letter of HUF duly signed by Karta and all Co-Parceners
 PAN or GIR number or completed Form 60
 Names of Karta and Co-Parceners with residential address
 Latest passport-size photographs of all the authorised signatories.
• Documents for trusts
1. Copy of the trust deed
2. Copy of the registration certificate
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3. Copy of the resolution by the trustees authorising the members concerned
to open and operate the account
4. List of trustees with residential addresses
5. Photographs of the members operating the account associations or clubs
6. Bye-laws of the association or club
7. Certificate of Registration
8. Copy of the resolution by the Board authorising the members concerned to
open and operate the account
9. Photographs of the members operating the account
• Priority Current Accounts
 Business Privilege Account
• Business benefits and privileges with a MAB of just Rs. 5,00,000 in your
Business Privilege Account.
• Upto Rs. 12.5 lakh per month at any non-home branch for instant credit
into your account.
• Withdraw money across cities upto Rs.25 lakh per month at non-home
branches.
• Free funds transfer within multiple Axis Bank accounts.
• Free cash deposit upto Rs.60 lakhs per month at home branch.
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 Channel One Account
• Business benefits and privileges with an MAB of Rs. 10,00,000 (Rs.
5,00,000 at semi-urban/rural branches) in your Channel One Account.
• Free upto Rs. 1.2 crores per month across any Axis Bank branch*.
• Get high inter branch cash deposit limit upto Rs. 60 lakhs per month (non-
home branches).
• Unlimited transaction per month.
• Wealth Current Accounts
 Club 50 Current Account
• Concentrate on reaching new heights of success with a low Quarterly
Average Balance of Rs. 50,00,000 (Rs. 25,00,000 at semi-urban/rural
branches), in your Club 50 Current Account.
• Free upto Rs. 2 crores per month across any Axis Bank branch*.
• Get unlimited inter branch cash withdrawals Free, unlimited at any non-
home branch.
• Free monthly transactions 2000 per month.
• Current Accounts by Industry
 Current Accounts for Banks
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• Payable at par cheque drawing arrangement available under
Correspondent Banking arrangement.
• Up Country Cheque (UCC) Collection at all Axis Bank locations
Foreign cheque collection.
• Cheque collections at Correspondent Bank's locations and remote
locations can be availed of under CMS.
• Access an account from any of the 850+ branches/outlets and 3700+ ATMs,
interconnected in Real Time Online Mode.
 Capital Market Current Account – For Brokers
• Average monthly balance requirement – Nil.
• Pay/deposit cheques at any Axis Bank branch/outlet and get credit at
home branch credit speed.
• Free instant transfers across all locations.
• Fund based and non-fund based credit facilities available subject to lending
norms.
 Business Global Current Account – For
Exporters/Importers
• Average monthly balance requirement – Nil.
• Unlimited Anywhere Banking (only clearing transactions).
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• Enhanced free limits within 7 variants based on Quarterly Average Balance
maintained.
Higher cash deposit limits based on Quarterly Average Balance maintained.
• Available off-the-shelf at Axis Bank branches and select FFMCs
Secure, convenient and hassle-free way to carry money and make
payments on foreign shores.
• higher the forex turnover lesser the transaction charges.
• More variants to choose from depending on Forex turnover – Select
the one that suits you
• Flexibility to switch between variants depending on seasonal volumes
• Register now and reap the benefits. Approach your Axis Bank Branch for
assistance
• Fund based and non-fund based credit facilities available subject to lending
norms.
• Free for accounts where Quarterly Average Balance maintained is over Rs.
1,00,000.
 Current Account for Large Retailers And Distributors
• Upto 12 times the Monthly Average Balance (MAB).
• Issue multi-city cheques payable at-par at any Axis Bank branch.
• Deposit cheques drawn on any location in the country for local clearing.
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• Free transaction 200 per month on a combination of services.
• Avail of reduced pricing on SME Credit and Forex, Concessional rates on
Credit and Forex requirements.
 Current Account for Societies
• Maintain a low Monthly Average Balance (MAB) Rs. 25,000 only.
• Unlimited free deposits in a Current Account for Societies.
• Get high non-home branch cash deposit limits Upto Rs. 10,00,000.
• Withdraw high amounts from non-home branches Upto Rs. 25,00,000 per
day (non-home branch).
• Get free cheque leaves 2000 per month.
• Free Anywhere Banking (cheque collection and payments at Axis Bank
locations)
• Demand Draft and Pay Order transactions at nominal cost
• Free transfer through NEFT and RTGS on maintenance of stipulated
average balance
• Tailor-Made Current Account
• Decide the average balance to be maintained.
• Choose the number of free transactions per month.
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• Determine free monthly cash deposit and withdrawal limits.
• Design Cash Management Services (CMS) as per requirement.
• Select the number of free cheque leaves.
• Design a Business Debit Card to include company name, logo, brand
identity and tagline.
• Resident Foreign Currency (Domestic)
Account
• In continuation of the Reserve Bank of India’s endeavour to ensure Full
Capital Convertibility, with our Resident Foreign Currency Account, even
resident Indians can now maintain foreign currency without any ceiling or
interest implications.
• Hold non-interest bearing current account in USD, EURO, GBP and
Japanese Yen.
• Maintain desired amount of foreign currency balance, as opposed to a
prior upper limit of USD 2,000.
• Low minimum opening deposit of USD 100 or GBP 60 or EURO 100 or
Japanese Yen 20,000, 5% quarterly charges applicable, on failure to
maintain minimum balance.
• For payments to be made in foreign currency; debits to the account can be
made only via Demand Draft (DD) and Telegraphic Transfer (TT), in case of
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payments made abroad.For payments in Indian Rupees, cash can be
withdrawn from the account and funds from the account can be converted
into Rupees without restrictions.
• Protection of foreign currency from Rupee-Dollar rate fluctuations and
insulation from The adversities of Rupee depreciation.
SAFE DEPOSIT LOCKER
Features and benefits Safe Deposit Lockers
• Enjoy locker facility in over 2,000 branches
• Choose from small, medium, large, extra large locker sizes
• Enjoy competitive rentals charged on the basis of locker location and size
• Make hassle-free, direct debits from your account, to pay your locker rent
charged annually and payable in advance
• Add a nominee to your safe deposit locker to facilitate the release of
contents to the nominee(s) of the hirer(s) as and when required.
Fees and Charges
• Small Locker- Rs. 3,500
• Medium Locker- Rs.7,500
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• Large Locker- Rs. 16,200
 Deposits
FIXED DEPOSITS (FD)
You can open a fixed deposit from a period of 7 days to 10 years. A fixed deposit
can help you save, if you have a lump sum amount. An FD is beneficial for tax
purposes as well when you invest in a tax saver fixed deposit. You can also open
an FD online through Axis Bank. It is quick and very easy. All you need is to login
to Axis Mobile or Axis Bank Internet Banking.
• Attractive interest rates for details on interest rates of fixed deposit
interest ranging from 7 days to 10 years.
• Open a fixed deposit with ease hassle-free opening of deposits from the
comfort of your home/office.
• Start a fixed deposit with minimum investment Rs. 5,000 if booked via
Internet Banking or Mobile App, Rs. 10,000 if booked via Branch.
• Enjoy benefits with a short-minimum tenure of 7 days only.
• Earn more interest with a reinvestment deposit, Interest accrued on the
deposit each quarter is invested along with the principal
Interest is calculated on total sum; net of Tax Deducted at Source (TDS).
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• Transfer funds seamlessly between accounts move funds from a Savings
Account to a Fixed Deposit to earn higher interest.
• Only on principal: Only principal is rolled over and interest is credited to a
designated account or paid out
• On principal and interest: Both, deposit and interest accrued for the same
tenure at the interest rate applicable on maturity date
• For Fixed Deposits with tenure of 6 months and above, interest is
calculated on a quarterly basis.
• Interest earned during the previous quarter is added to the principal for
calculation of interest. Fixed deposit interest rate on this amount is
calculated every quarter.
• For fixed deposits schemes with a tenure below 6 months, interest is
calculated at simple interest. Please note that the period of the Fixed
Deposit is considered in number of days.
• Deposits can be booked in completed months only under Interest payout
option.
RECURRING DEPOSITS(RD)
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• Build your savings on a regular basis save through fixed monthly deposits
over a fixed period. Total repayable amount, inclusive of interest depends
on the installment amount and the deposit period.
• Enjoy benefits with a short minimum tenure 6 months only.
• For Rupee Term Deposits of a contracted amount less than Rs 5 Crores
opened/renewed on or after May 1, 2014( including Flexi deposits),
interest rate shall be 1.00% below the card rate, prevailing as on the date
of deposit, as applicable for the period the deposit has remained with the
bank or 1.00% below the contracted rate, whichever is lower. However, for
Rupee Term Deposits closed within 14 days from the date of booking of
the deposit interest rate shall be rate applicable for the period the deposit
has remained with the bank or the contracted rate, whichever is lower.
• For Rupee Term Deposits of a contracted amount of Rs 5 Crores and above,
interest rate shall be 1% below the card rate prevailing as on the date of
deposit, as applicable for the period the deposit has remained with the
bank or 1% below the contracted rate, whichever is lower. This would also
be applicable on Rupee Term Deposits closed within 14 days from the date
of booking of the deposit.
• There would be no premature withdrawal penalty on NRE Term Deposits.
• For Recurring Deposits opened on or after 9th August,2016, in case of
delay in payment of any installment/s beyond the calendar month, the
depositor /s shall be liable to pay a penalty at Rs. 10 per Rs. 1000 per
month for the period of delay
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• For Existing Recurring Deposit Customers, in case of delay in payment of
any installment/s beyond the calendar month, the depositor /s shall be
liable to pay a penalty at the existing Business Prime Lending Rate +4% for
the period of delay
• Fraction of a month will be treated as full month for the purpose of
calculating such penalty i. e. if the installment due on 31.05.2011, is paid
on 02.06.2011 the delay shall be treated as one month
TAX SAVER FIXED DEPOSIT
• The provision of Section 80C of IT Act, 1961 whereby a deduction of upto
Rs. 150,000 is allowed while computing total income of an individual or
HUF in respect of the life insurance premium, contribution to Provident
Fund etc. has been amended to include fixed deposit with a scheduled
bank of a period of not less than five years. Accordingly, an individual or
HUF shall now be entitled to deduction of upto Rs. 150,000 in case he
makes a fixed deposit of the period of five years or more. This exemption
shall be part of the Rs. 150,000 exemption presently available in respect of
life insurance premium, contribution to PF etc.
• Choose between a quarterly compounding/reinvestment of interest
scheme, quarterly payout of interest scheme and Monthly payout interest
scheme to the designated account of the depositor.
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• Minimum investment is Rs. 100 or multiples there of maximum deposit
amount is Rs. 1,50,000.
• Minimum lock-in period of 5 years is stipulated to enable the deposit to be
assessed as exempt from taxable income u/s 80C of the Income Tax Act No
term deposit will be encashed before the expiry of 5 years from the date of
receipt.
• In case of Term Deposits held jointly, submit a declaration signed by all the
holders. This is required in the unfortunate event of death of one of the
holders, to enable Axis Bank to pay the maturity proceeds prematurely to
the survivor.
 Cards
CREDIT CARDS
• Axis Bank Buzz Credit Card
• MY Zone Credit Card
• Neo Credit Card
• Instant Neo Credit Card
• Axis Bank Vistara Credit Card
• Axis Bank Vistara Signature Credit Card
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Apply for an Axis Bank credit card to enjoy unmatched privileges. An Axis Bank
credit card promises tons of deals and discounts. You can get dining offers,
discounts on movie tickets, exclusive access to airport lounges, fuel surcharge
waiver, vouchers and cashbacks. With an Axis Bank Credit card, you are certain to
feel privileged. Choose from a wide range of credit cards according to your
requirements. You also get an instant entry into the Axis Bank rewards program,
Axis eDGE Rewards Program. So every time you spend, you earn. Apply for an
Axis Bank credit card now and enjoy a world of benefits.
DEBIT CARDS
• Burgundy Debit Card(Daily cash withdrawal limit Rs.2 lakh & purchase limit
of Rs. 6 lakh)
• Wealth Debit Card(Daily cash withdrawal limit of Rs.2 lakh and purchase
limit of Rs.5 lakh)
• Priority Debit Card(Daily cash withdrawal limit of Rs.1 lakh and purchase
limit of Rs.4 lakh)
• Online Rewards Debit Card(Daily cash withdrawal limit of Rs.50,000 and
purchase limit of Rs. 4,00,000)
• Titanium Rewards Debit Card(Daily cash withdrawal limit of Rs. 50,000 and
purchase limit of Rs. 4 lakh)
• Rewards + Debit Card
PRE-PAID CARDS
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• Meal Card(Issued by corporate organizations for disbursing Tax free Meal
amount)
• Gift Card(Accepted across most merchant outlets and online portals)
• Rewards Card(Ideal alternative to traditional paper checks and
merchandise awards.)
• Smart pay card(Ideal way to disburse salaries / incentives /
reimbursements to employees.)
TRANSIT CARD
• Axis Bank BMTC Smart Card(An All-in-1 Smart Card that allows you to pay
for both, your travel and your shopping needs)
• KMRL Axis Bank Kochi1 Card(One Card for Metro ticketing as well as
payments across retail and online stores)
COMMERCIAL CREDIT CARD
• Corporate Credit Card with Corporate Liability
• Corporate Card with Individual Liability
• Central Travel Account Card(Card-less solution, no plastic issued)
• Purchase Card(Physical as well as Card less solution)
• Purchase Control (Virtual Card)
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• My Business Card
COMMERCIAL DEBIT CARD
• Business Supreme Debit Card
• Business Platinum Debit Card
• Business Classic Debit Card
• Business Titanium Rewards Debit Card
 Loan
HOME LOAN
Axis Bank offers home loans at highly-competitive rates to make dream homes
real for the people. Applicants can choose a loan tenure that suits them the best-
a longer tenure calls for smaller EMIs and vice-versa. Both fixed and floating rate
home loans are offered by Axis Bank. Some reasons why Axis Bank home loans
are so popular are-
• Attractive rates of interest
• Choice of interest rate type- fixed and floating
• Transfer other bank home loans to avail lower rates
• Zero pre-payment charges
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• Service at your doorstep
• Smooth application process
PERSONAL LOAN
Whether it is about financing your wedding or going on a lavish vacation, Axis
Bank personal loan comes in handy. Available at attractive rates of interest and
with minimal documentation, these loans help you meet an urgent need of cash.
You can get loan for an amount as high as Rs. 15 Lakhs. Minimum age
requirement for availing a personal loan is 21 years and a valid set of documents
is needed including ID proof, address proof and income proof. The application
process is simple as it is an unsecured loan. You can also use their personal loan
EMI calculator to know the estimated amount of EMI that you have to pay per
month.
CAR LOAN
Axis Bank offers the easiest and the most cost-effective way to own your dream
car in the form of its car loan. Starting from Rs. 1 Lakh, the loan amount may go
up to 100 percent of the on-road price of the car. The maximum tenure is 8 years
for Axis Bank car loan. Priority Banking, Wealth Banking, Privee Banking
customers and salary account holders- all are eligible to avail a car loan with the
bank. The processing fee for Axis Bank car loan is also comparatively lower in the
market and the interest rates start at 9.25% only.
BUSINESS LOAN
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To assist the small businesses in expansion, Axis Bank offers collateral-free
business loans. Amount up to Rs. 50 Lakhs can be availed at competitive rates of
interest. In order to avail the loan, the business should be at least 3 years old and
have a turnover of Rs. 30 Lakhs to Rs. 10 Crores. Professionals like engineers,
doctors and chartered accountants can also avail this loan to expand their
practice to new levels. Axis Bank Business Loan requires minimal documentation
and has a hassle-free application process that makes it one of the most popular
options in the market. The balance of existing business loans from other bank can
also be transferred to Axis Bank for availing lower rates of interest.
EDUCATION LOAN
Whether it is about higher studies in a reputed Indian institute or in an
international college, Axis Bank fuels the dream of all students by offering
financial assistance in the form of education loan. It is available at attractive rates
of interest and covers tuition fee, hostel fee, cost of study material, etc. The
quantum of loan depends on eligibility of the applicants and cost of education;
the maximum loan amount, however, is capped at Rs. 75 Lakhs. There is no
margin money required for loans of less than Rs. 4 Lakhs. The application process
is also smooth and hassle-free.
GOLD LOAN
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Meet your urgent monetary needs with Axis Bank Gold Loan. Liquidate your gold
jewellery and get loan against it at competitive rates of interest. The loan is
disbursed on the same day provided that all your documentation formalities are
in place. The pledged gold ornaments are kept in secure bank vaults. Also, you do
not have to pay any foreclosure charges on gold loan. The tenure for such loans
ranges from 6 months to 36 months and the applicants can choose the tenure
that suits them the best.
 Forex
AXIS FOREX ONLINE
• Axis Forex Online is a comprehensive solution to cater to all Forex
requirements of non-Axis bank account holders.
• Through Axis Forex Online, you can avail one of the best exchange rates
• Axis Forex Online enables you to send money abroad (International Fund
Transfer) in 100+ currencies
• You can avail the facility of Forex card and Foreign currency cash through
doorstep delivery.
• Request for remittance can be placed 24x7, even on weekends and
holidays, at fixed rates.
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• All you have to do is register and get yourself verified and avail all Forex
facilities from the comfort of your own home or office without having to
visit a bank branch.
INTERNATIONAL FUND TRANSFER
Axis Bank offers International Fund Transfer to any bank account abroad. We
have arrangements with major banks across the globe for Fund Transfers through
the SWIFT mode, which ensures secure and safe remittance to any place of your
choice.
Easy ways to send money abroad
Axis Bank account holders can easily and quickly transfer funds abroad
through Internet Banking to any bank abroad.
• Availability of 100+ currencies
• Get competitive exchange rates
• Avoid dual conversion charges
• Know the exact amount that the beneficiary will receive in their account
• Enjoy faster & hassle- free remittances.
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 Investment Plans
MUTUAL FUND
Mutual Fund is an investment vehicle that mobilizes money from investors, to
invest in different securities and markets viz. Equity, Fixed Income, Gold etc. , in
line with the investment objectives agreed upon, between the mutual fund and
the investors. Mutual Fund, thus, allows an investor to build wealth by generating
tax-efficient returns over different time periods.
• Invest in Mutual Funds and manage your investments online
• Anytime Anywhere access with ‘Axis Internet Banking’ & ‘Axis Mobile’ app
• Mutual Fund transactions types viz. Purchase, Additional Purchase,
Systematic Investment Plan(SIP), Switch and Redemption available on
single platform
• Online transactions provide enriching customer experience and helps plan
investment instantaneously based on market conditions
DEMAT ACCOUNT
No need to issue cheques by investors while subscribing to IPO. Just write
the bank account number and sign in the application form to authorise
your bank to make payment in case of allotment. No need to worry about
refund, as the money remains in investor's account.
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Prevent unauthorized transactions in your demat account, kindly update
your Mobile Number with your Depository Participant. Receive alerts on
your Registered Mobile for all debit and other important transactions in
your demat account directly from NSDL / CDSL on the same day. Issued in
the interest of investors.KYC is one time exercise while dealing in securities
markets - once KYC is done through a SEBI registered intermediary (broker,
DP, Mutual Fund etc.), you need not undergo the same process again when
you approach another intermediary.
 Insurance
LIFE INSURANCE
• Max Life Platinum Wealth Plan
• Max Life Guaranted Income Plan
• Max Life Monthly Income Advantage Plan
• Max Whole Life Super
• Max Life Fast Track Super Plan
• Max Life Future Genius Education Plan
• Max Life Cancer Insurance Plan
LIFE INSURANCE CORPORATION
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• LIC’S JEEVAN AKSHAY-VI PLAN
• LIC’S NEW JEEVAN ANAND PLAN
• LIC’S JEEVAN LABH PLAN
• LIC’S JEEVAN PRAGATI PLAN
• LIC’S JEEVAN TARUN PLAN
GENERAL INSURANCE
• Home Insurance
• Travel Insurance
• Motor Insurance
• Business Guard
HEALTH INSURANCE
• Tata AIG General Insurance
• Apollo Munich Health Insurance
NRI
NRI BANKS ACCOUNT
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• NRE SAVING ACCOUNTS
• NRO SAVING ACCOUNTS
• RESIDENT FOREIGN CURRENCY ACCOUNT
• NRE SALARY ACCOUNT
AGRI AND RURAL
• KRISHI CURRENT ACCOUNT
• KRISHI SAVINGS ACCOUNT
BURGUNDY ACCOUNT
George Bernard Shaw once famously said "We have no more right to consume
happiness without producing it, than to consume wealth without producing it."
And when one seeks to acquire wealth and happiness with the same tenacity, we
often tend to focus on only one of them.
That's where we come in.Welcome to Burgundy by Axis Bank, a Premium Banking
experience that partners you in your success journey so that you can focus on
enjoying the happiness that this success brings.
With a world of privileges that are tailor made to suit your lifestyle, integrated
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wealth management solutions, a bouquet of commercial banking & capital raising
options, world-class personal banking benefits and much more, Burgundy offers a
holistic banking experience that lets you focus on enjoying the precious moments
of your life whilst we help manage your wealth for you.
PRIORITY ACCOUNT
• Generate your Debit Card PIN anytime at your nearest Axis Bank ATM or by
calling Axis Bank Phone Banking.
• Enhanced daily cash withdrawal limit of Rs. 1 lakh and purchase limit of
Rs. 5 lakhs on your Axis Bank Priority Platinum Chip and Signature Debit
Card, subject to the balances held in your account.
• The Axis Bank Priority logo on the debit card identifies you as an Axis Bank
Priority customer across branches in India, allowing you to avail various
privileges we offer from time to time
• Personal Accident Insurance Cover of Rs. 10 lakhs.
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SUGGEASTION AND
RECOMMENDATION
o The bank should developed more product so retail customer take
advantage of that.
o The bank should update their technology.
o Ask people who have experiences with retail banking in several countries
about their opinion.
o Today bank is more developed on interest so update product on net.
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CONCLUSIONS
Retail banking is the fastest growing sector of the banking industry with the key
success by attending directly the needs of the end customers is having glorious
future in coming years.
Retail Banking sector as a whole is facing a lot of competition ever since financial
sector reforms were started in the country. Walk in business is a thing of past and
banks are now on their toes to capture business. Banks therefore, are now
competing for increasing their retail business.
There is a need for constant innovation in retail banking. This requires product
development and differntiation, micro-planning, marketing, prudent pricing,
customization, technological up graduation, home/electronic/mobile banking,
effective risk management and asset liability management techniques.
While retail banking offers phenomenal opportunities for growth, the challenges
are equally discouraging. How far the retail banking is able to lead growth of
banking industry in future would depend upon the capacity building of banks to
meet the challenges and make use of opportunities profitably.
However, the kind of technology used and the efficiency of operations would
provide the much needed competitive edge for success in retail banking business.
Furthermore, in all these customer interest is of chief importance. The banking
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sector in India is representing this and I do hope they would continue to succeed
in this traded path.
BIBLIOGRAPHY
Bandgar, P.K., Principle and practice of banking and insurance. Vipul Prakashan 5,
page no.3 to 4
Byrne, John.”Rx for Banking’s Environmental Itch.” ABA Banking Journal. Vol.89
No. 2(February 1997). Page no..59.
Banerjee, Bhabaotosh, Capital Structure in Public Enterprises: The Role of Banking
and Financial Institutions: An Analysis, Journal of Accounting and Finance, Vol. III,
No.1, Spring 1989.
Money and Banking and credit management, page no. 75,76,77,104,105,109
Retail Banking Page no. 1 to 60
Axis Bank Annual Report 2017-2018
WEBLIOGRAPHY
o www.retailbankinginfo.com
o www.axisbank.com
o www.investopedia.com
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o www.rbi.org.in
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