PROJECT REPORT on

CUSTOMERS PERCEPTION FOR CARDS UNDER SBI

BACHELOR OF BUSINESS MANAGEMENT

UNDER THE GUIDANCE OF SUBMITTED BY:

GUIDE CERTIFICATE
This is to certify that has prepared his project report entitled CUSTOMERS PERCEPTION FOR CARDS UNDER SBI, Patna under my supervision. To the best knowledge he has exposed his good effort to make his project more analytical and purposeful. His attitude and interest shown in the completion of project report is highly appreciable. I wish him success in all his future endeavors.

PROJECT INCHARGE

STATE BANK OF INDIA

INTRODUCTION OF PROJECT:-

PROJECT TITLE:- Concept of Plastic Money and Consumers Perception Towards it

PROCEDURE USED FOR CARRYING OUT THIS PROJECT:

This project was carried out by on the basis of questionnaire,to know

Consumers Perception Towards plastic money.

TABLE OF CONTENTS

INTRODUCTION OBJECTIVE OF THE STUDY SCOPE OF STUDY RESEARCH METHODOLOGY SBI PROFILE

DATA ANALYSIS FINDINGS CONCLUSION RECOMMENDATION

SBI AN INTRODUCTION

COMPANYS PROFILE :
State Bank of India (SBI) is the largest bank of India.
1)

2) The State bank of India is the 29th most reputed company in the world according to Forbes. 3) It has a market share among Indian commercial banks of about 20% in deposits and advances, and SBI accounts for almost onefifth of the nations loans. 4) The State Bank Group, with over 16000 branches, has the largest branch network in India.

STATE BANK OF INDIA

Type Public (BSE, NSE:SBI) & (LSE: SBID) Founded Kolkata, 1806 (as Bank of Calcutta) Corporate Centre, Headquarters Madam Cama Road, Mumbai 400 021 India Key people Industry Om Prakash Bhatt, Chairman Banking, Insurance, Capital Markets Rs. 1,135.36 billion (2009) (US$ 24.57 billion) Rs. 109.98 billion (2009) (US$ 2.38 billion) Rs. 11,880.60 billion (2009) (US$ 257.18 billion) Rs. 659.12 billion (2009) (US$ 14.26 billion) 205,896

Revenue

Net income

Total assets

Total equity Employees

The Bank is changing outdated front and back end processes to modern customer friendly processes to help improve the total customer experience. With about 8500 of its own 10000 branches and another 5100 branches of its Associate Banks already networked, today it offers the largest banking network to the Indian customer. The Bank is also in the process of providing complete payment solution to its clientele with its over 21000 ATMs, and other electronic channels such as Internet banking, debit cards, mobile banking, etc. The bank is also looking at opportunities to grow in size in India as well as Internationally. It presently has 173 foreign offices in 33 countries across the globe. It has also 7 Subsidiaries in India SBI Capital Markets, SBICAP Securities, SBI DFHI, SBI Factors, SBI Life and

SBI Cards - forming a formidable group in the Indian Banking scenario. It is in the process of raising capital for its growth and also consolidating its various holdings. Throughout all this change, the Bank is also attempting to change old mindsets, attitudes and take all employees together on this exciting road to Transformation. In a recently concluded mass internal communication programme termed Parivartan the Bank rolled out over 3300 two day workshops across the country and covered over 130,000 employees in a period of 100 days using about 400 Trainers, to drive home the message of Change and inclusiveness. The workshops fired the imagination of the employees with some other banks in India as well as other Public Sector Organizations seeking to emulate the programme.

OBJECTIVES
Our main objective is to make home loans customer friendly. Other objectives are as follows: 1. SBI sole purpose is to target customers of all segment of the society. It performs this function by its varieties of home loan products. 2. SBI home loan is introduced for stimulating growth in housing industries and has received an overwhelming response industry. from the market. Intense initiatives have enabled SBI to occupy the leadership place in home loan

3. The basic need for providing home loans by SBI is to facilitate basic need and necessity for very individuals. As India is a developing country, people of different and varied income group exist, and it is clear that everyone cannot afford the home for oneself. Therefore, to satisfy the purpose, SBI offers various categories of home loan products and also help the citizens by offering nominal interest on home loans. 4. SBI facilitate the transactions by availing different

products to the customers which is suitable for them and tell them to invest so that they can be benefited in the near future. This generally applies to the rule of financial management. 5. Home loans mostly cover ideal principle of financial management. It includes how the finance resources can be best utilized or managed in the best optimum possible way. Different types of Individual are

6. eligible for different product. And which product is most suitable for them, is conveyed to the customers by SBI in the best possible way.

7.

How finance would be managed effectively? This is answerable through the fact that, SBI has the major

objective of retaining leadership through continuous product and process. Innovation has been decided to give incessant services to the customers.

8. As with a view of stimulating growth, in residential real estate and related sectors in the economy, it has been decided to provide and enable the genuine needy buyer to buy the different home loan products.

MISSION, VISION AND VALUES

MISSION STATEMENT:

To retain the Banks position as premiere Indian Financial Service Group, with world class standards and significant global committed to excellence in customer, shareholder and employee satisfaction and to play a leading role in expanding and diversifying financial service sectors while containing emphasis on its development banking rule.

VISION STATEMENT:

Premier Indian Financial Service Group with prospective world-class Standards of efficiency and professionalism and institutional values.

Retain its position in the country as pioneers in Development banking.

Maximize the shareholders value through high-sustained earnings per Share.

An institution with cultural mutual care and commitment, satisfying and Good opportunities. work environment and continues learning

VALUES:
Excellence in customer service Profit orientation

 Belonging commitment to Bank Fairness in all dealings and relations Risk taking and innovative

Team playing Learning and renewal Integrity Transparency and Discipline in policies and systems.

STATE BANK INTERNATIONAL ATM-CUM-DEBIT CARD

Eligibility:

All Saving Bank and Current Account holders having accounts with networked branches and are: 18 years of age & above Account type: Sole or Joint with Either or Survivor / Anyone or Survivor NRE account holders are also eligible but NRO account holders are not. Benefits: Convenience to the customers traveling overseas Can be used as Domestic ATM-cum-Debit Card Available at a nominal joining fee of Rs. 200/ Daily limit of US $ 1000 or equivalent at the ATM and US $ 1000 or equivalent at Point of Sale (POS) terminal for debit transaction Purchase Protection*up to Rs. 5000/- and Personal Accident cover*up to Rs. 2,00,000/ Charges for usage abroad: Rs. 150+ Service Tax per cash withdrawal Rs. 15 + Service Tax per enquiry.

HISTORY
In the late 1990s, the plastic cards market in India, comprising credit cards, smart cards, debit cards, charge cards, stored

value cards and others, picked up momentum like never before, growing at an annual rate of 25%. Analysts attributed this growth largely to the rapidly increasing user base of debit cards. Though initially, there were only two players, (HDFC and Citibank), the debit card market base grew considerably through 1999 and reached the 3 million mark in March 2000. The usage figures indicated a very healthy growth of the market in future, as seven out of 10 cardholders were reportedly using their card regularly. The annual spending through debit cards in India reached over Rs 5 billion. The growth of debit cards was all the more impressive considering the fact that credit cards, introduced in the country in the early 1980s, had managed to reach the 10 million-user base level only in 2000.

Thus, the debit card user base had reached one-third of the credit card user base in just around one-tenth of the time. Also, smart cards introduced in the late 1990s, had become very popular, especially in the financial services, banking, healthcare, transport and telecommunication businesses. The demand for co-branded cards during 2001 was a further indication of the fact that the Indian market had finally realized the potential of plastic money.

ABOUT CREDIT CARDS & DEBIT CARDS The evolution of plastic money dates back to the 1920s, when the first payment card was introduced in the USA. Diners Club and American Express launched the world's first plastic card in the USA, in 1950. The first credit card was introduced by Diners Club in 1951. The global card market is dominated by two US-based players, Visa and MasterCard. Visa introduced its first credit card, BankAmericard in 1958, which went on to become a great success acquiring universal merchant

acceptance. Visa's card base increased significantly through the decades and reached the one billion mark in 2000. MasterCard International was established in the 1970s. In the 1990s, having covered a majority of US and European markets, Master Card and Visa shifted their focus to the East, especially the Asia Pacific region. By 2000, MasterCard and Visa had established their debit cards as well in the Asia Pacific region.

INTRODUCTION Plastic cards, or what is described as plastic money, happen to be the best-known method of payment in this day and age. Most of us did not grasp how quickly that little piece of plastic took its place in our lives. creditcards online will continue to be used for the multiple advantages they offer us.

We realize all too well that online creditcards work as an expedient payment option to pay for our many purchases. Imagine stashing money in all your pockets as against merely a little plastic rectangle.

Additionally, at present going around with a large quantity of cash on you is not a wise choice in terms of safety. The safety issue assumes even greater significance when you are visiting someplace far. Money is easy to spot and pick-pockets and thieves are able to use nicked money equally easily because these funds are not

Most times, people find using online credit card their way out of an otherwise hopeless situation. Several people found themselves purchasing airline tickets on-line, reserving a hotel room, or renting a car. Then again, there are times when you require some more ready money at once. In these kinds of emergency situations, you can switch to using credit by using your creditcards online. Generally, credit card online give a maximum of fifty days of interest free use of your credit. Likewise, some merchants state, in their product promotion, that you have the ability to get yourself a high-priced article ( e.g. USD 6,000) today and pay for it in a particular number of even installments. Accordingly, you can handle your finances efficiently so as to remit your periodic payments and do so without any additional charges for interest. A lot of individuals look at your credit report (which lists your credit history and is created and updated using

information from banks, merchants and other creditors) to evaluate you, consequently it`s crucial that your credit report is as good as possible. Potential employers, insurance

establishments, mortgage organizations, and several other institutions will attempt to get an idea of your character by

going through this factual data. Possessing a creditcards online and availing of it wisely will help create a positive credit history.

There`s no need to get anxious over whether you`ve adequate money on your person or whether you don`t. Nor do you need to use up large chunks of your time waiting in lengthy queues in a bank branch, or spend time drawing money from an automatic teller machine when instead you can always take your credit card wherever you go, and that takes care of all your financial needs.

Several online creditcard have travel insurance (that is, insurance to cover problems associated with traveling) built into them as an inherent function. Consequently, if you are among those that are often on the move, this feature might be a tangible plus point. Even so, you must make sure to confirm if this travel insurance provides adequate coverage for you. In

addition, carefully go over the terms and conditions that come with such insurance. Misplaced baggage is something which is almost always taken care of with such insurance.

You may treat your online creditcards as an additional supplier of money when abroad - and this whenever you don`t wish to avail of your prepaid visa mastercard as your first source of funds, in order to avoid paying commission on out-ofcountry transactions. Therefore, when you find yourself

strapped for money or travelers` checks you can bank on your charge cards as a fallback option. With such a plethora of useful features when you`re under financial stress, it is a convenience that you cannot (rather mustn`t) avoid. Indeed, online credit card is really an essential commodity in today`s global environment.

TYPES

Credit card debt

Credit cards are a boon - they give us so much financial freedom and help us keep our options open. But they can also work as a double-edged sword. Credit card debt can bring you to ruin - even as you lead an affluent lifestyle. Rolling credit - if you get entangled in it - it can pull you down under. If you're already caught in the mesh - get out of it as soon as possible even if you have to deny yourself every single luxury for the next few months. If you're on the verge of getting into a credit card debt trap - avoid it at all costs.
o

Keep an account of all your bills. Do they tally with the statement send by the credit card company? You'll be amazed at how many indiscretions and mistakes can take

place at this level. Always check and double-check your statement.

o

Take a good look at your bills. Where is it that you're overspending? What are the items you would have resisted from buying if you would have had to pay cash? Give it serious thought - should you be indulging in them when you can't afford them?

Resorting to pay the minimum amount due is okay at a time of need - but certainly not something to be done regularly. The interest you will need to be pay is exorbitant - and by the time you're done settling your debt you would have paid twenty to twenty five times more than if you had paid cash in the first place.

Inculcate a financial discipline. Make a budget, and stick to it. Keep a watch over your bank account. What is the income as compared to the outgoing money? Be your own accountant - and be a good one.

Why not stop impulsive buying? Unless you have an accommodating bank balance

Handy Gift Cards

A convenient alternative to Gift Vouchers/Gift Certificates, the Gift Card can be used more than once at various merchant establishments, which means the recipient can shop at various outlets until the specified rupee amount has been spent.
o

The Gift Card can be used more than once. The person you are gifting it to can keep making purchases till the specified value on the card has been spent.

The card is available to idbi bank and non-idbi bank customers.

The Rupee denominated Gift Card can be purchased over the counter for a minimum limit of Rs.500/- or a maximum limit of Rs. 20,000/-

The Gift Card is valid for a period of one year from the date of issue.

Perfect for birthdays, graduations, anniversaries, holidays, employee rewards, customer appreciation and more, the gift card is a practical and convenient solution to gift giving, eliminating the chances of giving an unwanted gift.

There have been many occasions when we have received gifts that are not really suitable for our taste or lifestyle. There surely have been occasions when we have a hard time picking the perfect gift. This is where this unique gifting concept will come in handy. One of the most desirable benefits for the customers is convenience and quick availability at any idbi bank branch. With the tie-up with VISA International, the Gift Card can used to make purchases at over 50,000 establishments in India.

This is good news for the festive season. Mr.Vijay of Customer Support of one of the chennai Branches says that this unique and convenient concept of a pre-paid card that has 'Visa power' will enable the receiver to get what they like, when they like. The process is simple. Pay at an IDBI counter and get the card on demand. Minimum value would be Rs.500/- and maximum

Rs.20,000/- .

Petro Card

A Petro Card is a credit card-size plastic card that allows you to pay for fuel with a card. The Petro Card is a variation of the Smart Card. It has an embedded

microprocessor chip, which keeps track of the money you load on your card and the balance available on the card.

How it works?

You can get your Petro Card after you enrol into the PetroBonus programme of a company selling petrol and other fuel. To initialise this card, you have to first take it to a participating PetroBonus dealer. You will pay a sum of money to the dealer who will issue you a Petro Card. Then the card will be placed on a 'reader'. You have to enter the pin code given and lo and behold! Loaded onto the card will be the sum of money that

you want.

Once the card is loaded, you can use it to buy petrol, diesel, lubricants or any other product or service available at the pump. Usually the initial loading has to be for a minimum amount of Rs.500 and in multiples of Rs.100 thereof. You will also be given a receipt for the amount loaded.

AGE OF PLASTIC MONEY

Banking has evolved a long way from the days of the medieval moneylenders counting coins on the bench to the present scenario, where it is hard to trace the trail of money from the beginning to the end.

The trail starts right from the small saver leaving a few rupees in his local bank to the billions of rupee loans raised by a syndicate banks and financial institutions, capable of financing projects in any country in the world. Still, these banking majors are heavily dependent upon their retail home base of savers and borrowers. Most of the bankers began focusing on this retail market segment as global competition intensified in late seventies and early eighties.

Credit cards, one of the banking products that cater to the needs of retail segment has seen its number grow in geometric progression in recent years. This growth has been strongly supported by the development in the field of technology, without which this could not have been possible.

The history of phenomenal growth in the credit card segment traces way back to in 1950, the time when Diners Club was established. The card provided select members with credit at 22 restaurants in New York and collected a commission for paying the bills promptly. The credit card industry got a further boost with the arrival of American Express in the arena in 1958. American Express began selling their card as a prestige to hotels, restaurants, shops or airlines in America and slowly expanded the network across the world. The success of these two players attracted many other banks to join the credit card business. The entire breed of new players saw a fresh opportunity of granting unsecured loans at high interest rates to those credit cardholders who did not pay their bills on time. These banks were not so concerned with collecting commissions from shops but were thriving on high interest income from those who did not pay their bills on time. Starting from Diners Club, some 50 years ago, the card industry has been growing with a rapid pace world over and so has been the growth in the domestic card industry. With only two players in domestic card industry, HSBC and Citibank in the early 80s, the number swelled to over 25 in the year 2001.

Credit cards in India, made their debut in 1981, and are on the verge of an unprecedented boom. Between 1987 and 2001, the market has virtually grown to over 4 million cards with over 2530% of compounded annual growth in new cardholders base. Its not that only the card numbers have increased, but even the types of cards on offer have seen a surge. Today the domestic card industry is flooded with different types of cards ranging from gold, silver, global, co-branded credit cards, smart to secure, .the list is endless. Foreign banks have shouldered the major responsibility of increasing the card base and adding value-added services to the card products in the past. This is also evident from the fact that the market share of these foreign banks is estimated to be well over 70%. But the scenario has changed dramatically in the last of couple of years with the entry of State Bank of India (SBI), a domestic major in the banking sector. More and more nationalised banks and private sector banks like ICICI and HDFC Bank are aggressively launching credit card with value added features.

There is immense growth potential in the domestic card industry. A glance at the Indian population reveals that Indias middle/upper middle class (target segment) represents a population of over 10 m. There are only 2 to 3 m cardholders, each possessing an average of 2 cards. This is a very low figure given Indias huge middle to upper class population. There is no doubt that the domestic card industry has to yet to mature and offers significant long-term growth potential. Given the lack of maturity of the domestic card industry, its growth will depend upon building core retail business, with more sophisticated products. In the expansion of domestic credit card market, the existing foreign players, SBI, other nationalised banks and the new domestic private sector banks

are expected to play important role with complementary strategies.

Foreign banks with the advantage of technology and industry experience are expected to concentrate on increasing card spending and customer loyalty in the major cities. SBI, on the other hand is expected to capitalize its superior distribution network to expand card acceptance in the smaller towns. The new private sector banks would have the opportunity to capture significant market share by combining the strengths of foreign banks and nationalised bank like SBI. Although at present the card market is mainly limited to Indias relatively bigger cities and tourist locations only, there is also a

potential in smaller cities. Domestic banks, owing to their vast network and reach to smaller cities, can easily tap this potential. They would be better off, penetrating into smaller cities and bringing credit card to the masses rather than cannibalising other foreign banks existing cardholder base.

The efforts of these banks to increase the card base is going to be wholeheartedly supported by the residents of these smaller cities with their higher disposable income, changing lifestyle, increasing travel and the growth in the entertainment sector.

PASSION FOR PLASTIC MONEY ON THE RISE, SHOWS STUDY When was the last time you used hard cash in a shopping mall or a grocery store? If you have tickled your grey cells enough, let me prove Indias renewed passion for the plastic.

Todays consumers have moved away from using cards only for big ticket purchases such as travel and entertainment. They are now shifting daily expenditure such as groceries and other types of household spending from cash to electronic payments. A study by Visa International and National Council of Applied Economic Research (NCAER) reveals segments such as

handicrafts (56%), consumer durables (54%), telecom (53%), departmental stores (52%), petrol (52%), jewellery (49%) and supermarkets (49%) have shown highest year on year growth in card usage.

Indias bank card business has entered a period of rapid development with a compounded annualised growth rate (CAGR) of 55% to an estimated 44 million credit and debit cards in 2004. Debit and credit card volumes also increased from $23 billion in 2004. However, 80% of card volumes from ATM cash withdrawals, predominantly with debit cards, said the study. Debit cards are still largely used for cash withdrawals at ATMs. This is a natural consequence of an astronomical growth in ATMs to 14,000 across the country by December 2004, against 1,100 ATMs in select pockets of metros, three years ago. Given the cost savings for banks from debit card transactions, increase in merchant acceptance locations and greater

consumer familiarity, it is expected that most ATM cards would be converted to debit cards with added functionality for pointof-sale usage over the next two years. Electronic payments can help reduce the size of the informal economy. When cash remains outside the banking system, the possibilities of supplying productive capital to the economy are diminished. Bringing cash into the banking system produces an

equal increase in bank reserves, enabling banks to facilitate more consumer and commercial loans, thereby stimulating business growth and consumption. Governments can utilise electronic payments as a channel to modernising and boosting efficiencies in their respective economies. Electronic payments can be used to minimise leakage of government funds, which could otherwise be utilised to maximise returns through effective resource allocation within the economy.

Even if it is 10% of the total government expenditure, it amounts to Rs 47,425.5 crore, in 2002-03, which may be saved through electronic payments.

The introduction of a payment mechanism and electronic payment system into government expenditure, for

procurement and purchasing as well as for activities like tax collection and other administrative processes may facilitate more effective use of public funds. However, the total spend in India on a payment card is still less than 1% of the countrys percentile. This indicates that the growth potential of the payment card industry is enormous. Around 30 million people are eligible for creditcards and 150 million people are eligible for debit cards.

PLASTIC MONEY USE GAINS PACE IN INDIA The plastic money market in India witnessed a quantum growth in the last one year. India has outperfomed most other markets in the Asia Pacific region with both retail sales volumes and card sales volume growing by over 60% in the last one year, according to Visa International .

For the 12 months ended June 05, the retail sales volume of Visa in India rose 66% to $3.8 bn. Retail sales volume refer to spends by card holders, both debit and credit cards at point of sales or merchants.

This would mean that more customers have started using their debit and credit for purchasing goods and for other

transactions. According to the company, it has a 70% share of the retail sales volume through cards in the country.

Also, the card sales volume (CSV), which includes cash withdrawals at ATMs, has seen a growth of 76% to $23.8 bn. CSV would include retail sales volumes and cash withdrawals

from ATMs. Most of the banks in India have converted their ATM cards to debit cards. The total number of Visa cards issued in the country saw a growth of 42% to 30 mn, of which Visa credit cards grew 38% to 9 mn. The total number of Visa debit cards grew 45% to 21m.

The total number of credit cards in the country is estimated to be over 15m cards. The company has seen a 77% compounded annual growth rate in cards in the last four years and a 50% growth in the retail sales volumes.

India has a higher number of Visa issued cards than in some of the other South-East Asian countries like Thailand, Indonesia, Malaysia and Singapore. Compared to 30.18 mn cards in India, Thailand, which is the second largest market for Visa, has 16.4 mn cards. However, in card sales volumes, Thailand is a bigger market than India at $26.07 bn as against $23.81bn. The other markets, however, have lower card sales volumes than India.

BEST OUT OF YOUR PLASTIC MONEY For most of us, Credit Card means "Plastic Money" which is not only very convenient to carry, can be used in millions of establishments and Banks across the Globe with great ease for purchasing stuff or withdrawing cash at ATMs.

All Credit Cards carry almost similar features and are governed by the identical terms and conditions for their use

by the credit card holder. In order to survive in the competetion, many incentives and exclusive features like Rewards and Bonus Points on purchases, Insurance Coverage, Waiver of joining fee,Offer of free additional cards etc. are also announced by many Banks from time to time. Everything seems good for the Credit Card user on the face of it. However, all is not good as it appears to be. Many of us are not aware of many such things about these Credit Cards which are not so good. Some of these facts are: *Most Credit cards charge an interest @2.95% p.m. which works out to around 35% p.a. on the total outstanding of the credit card if the total payment is not made by the due date. *Even if you pay the "Minimum Amount "by the due date, you will be charged the interest on the entire outstanding amount. *Service Tax as applicable will also be charged on the interest charge which will make the effective rate of interest on your credit card around 38% per annum. *Even if your payment is delayed for a single day, you will be charged a hefty late fee. Even if you have opted to pay the minimum amount, the late fee will be calculated on the total amount outstanding in case it is delayed. It may also happen sometime that as a "Minimum

Amount" you have paid an small amount say Rs.200/- and it is delayed. You may be charged a late fee of Rs.200/- on delaying the payment of Rs.200/- by a single day. *Rewards or Bonus Points accumulated on your Credit Card need to be redeemed within a specified time limit say within 2 years and these get lapsed thereafter . In order to get best out of your Credit Card, what one should do is to follow the few simple steps which are given below: 1.In case you really do not need it, do not hold any credit card. 2.In case you think you should hold a credit card, then make sure that you hold more than one Credit Card of different issuing banks. 3.Always try to make the full payment of your total outstanding or get it converted to EMIs for which all banks charge a concessional rate of interest around 18% p.a.

OBJECTIVES OF STUDY
To study the awareness of the plastic money. To study the reasons why consumer like to opt for plastic money To study the usage of the plastic money To study the advantages of plastic money To study the opinion regarding plastic card.

SCOPE OF STUDY The study can be useful to bank customers who are using plastic money as they might come to know about the use of plastic money. The study can be of great importance to the bank customer for the use of plastic money in shopping, billing, online transactions etc.

LIMITATIONS OF STUDY
1. The information provided by the Bank Customers is not definitely true. 2. The samples of Bank Customers are not representative of the total workforce. 3. The Bank Customers hesitate disclosing the true facts of plastic money in order to secure their income. 4. There is no measure to check out whether the information provided by the Bank Customers is correct or not.

RESEARCH METHODOLOGY
For achieving the objectives of study, survey was conducted. For survey, personal interviews of the bank customers were undertaken. Personal interviews was selected

as the mode of survey to make the study more meaningful & so that maximum information could be collected. For conducting the personal interviews of the bank customers, a questionnaire was made. The questionnaire was structured with open ended & close ended questions. The bank customers was interviewed on various aspects likely to have impact on the plastic money and its uses. Problem definition:Concept of Plastic Money and Consumers Perception Towards it.
This research is Descriptive in nature. Descriptive research is used to describe something usually market

characteristics , functions behavior .

Research Plan
Research planning is the process of developing the most efficient plan for gathering the needed information.

Questionnaire structure
For the research multiple choice type of questions were prepared to collect primary data from the respondents.

QUESTIONNAIRE ANALYSIS :Q 1:- Are you aware of Plastic money?

Yes

127

No

23

No 15%

Yes 85% Yes No

Q 2:- If Yes, how did you come to know about plastic money?

Bank Employee Media Newspaper Friends/Relatives Any Other

23 49 11 35 9

Any Other 7% Friends/Relative s 28%

Bank Employee 18%

Newspaper 9%

Media 38% Bank Employee Media Newspaper Friends/Relatives Any Other

Q. 3:- While opening an account, would you prefer the facility of plastic money?

Always Most Likely Sometimes Never

97 21 6 3

Sometimes 5% Most Likely 17%

Never 2%

Always 76%

Always Most Likely Sometimes Never

Q 4:- Do you have?

Debit Card Credit Card Both None

41 52 7 27

None 21% Both 6%

Debit Card 32%

Credit Card 41%

Debit Card Credit Card Both None

Q 5:- Reasons for which you have opted for card?

Safety Solution Handling Solution Convinient Fast Transaction All of above Any other 19 23 19 31 6 2

All of above 6% Fast Transaction 31%

Any other 2%

Safety Solution 19%

Handling Solution 23% Convinient 19% Safety Solution Handling Solution Convinient Fast Transaction All of above Any other

Q 6:- How often do you use your card?

Daily

Weekly

59

Monthly

36

Monthly 36%

Daily 5%

Weekly 59% Daily Weekly Monthly

Q. 7 :- Your card belongs to which bank

Private sector Bank

2..

Public sector Bank 1

2..

Private Sector Bank Public Sector Bank

69 31

Public Sector Bank 31%

Private Sector Bank 69% Private Sector Bank Public Sector Bank

Q. 8:- For which purpose do you use your card ?

Cash Withdraw Shopping Bill Travelling Dining Bill Any Other 39 24 11 18 8

Dining Bill 18%

Any Other 8%

Cash Withdraw 39%

Travelling 11%

Shopping Bill 24%

Cash Withdraw Shopping Bill Travelling Dining Bill Any Other

Q. 9:- Do you agree that plastic money reduces Harassment and time ?
Strongly Agree Agree Sometimes Disagree Strongly Disagree 11 23 48 13 5

Disagree 13%

Strongly Disagree 5%

Strongly Agree 11% Agree 23%

Sometimes 48%

Strongly Agree Agree Sometimes Disagree Strongly Disagree

Q. 10 :- Have you ever felt that plastic money is are much safer then holding money in Pocket ?

Always Most Likely Sometimes Never

19 57 15 9

Sometimes 15%

Never 9%

Always 19%

Most Likely 57%

Always Most Likely Sometimes Never

Q.11:- Will you see the next generation as no currency but plastic money ?

Strongly Agree Agree Sometimes Disagree Strongly Disagree

31 22 15 12 20

Strongly Disagree 20%

Strongly Agree 31%

Disagree 12% Sometimes 15% Agree 22%

Strongly Agree Agree Sometimes Disagree Strongly Disagree

Q. 12:- Your opinion about your plastic card ?

Good Average Satisfied Poor

41 29 19 11

Poor 11% Satisfied 19% Good 41%

Average 29%

Good Average Satisfied Poor

FINDINGS

85 % of the respondents are aware of Plastic Money from which 38 % of the respondents came to know about the Plastic Money from the media, 28 % from Friends and Relatives, 18 % from bank employees, 9 % from the newspaper and the rest 7 % from other resources. 76 % of the respondents responds that they always want the facility of plastic money with the opening of an account. 17 % respond most likely, 5 % sometimes and the rest 2 % never. 41 % have credit card, 32 % have debit card, 21 % have none and the rest 6 % have both credit as well as debit card. For the reasons for opting card is that 31 % go for fast transaction, 23 % for handling solutions, 19 % for safety solutions and for convenient also, 6 % for all of above and the rest 2% for any other. 59 % have use their card weekly, 36 % use it monthly and the rest 5 % daily. Most of the cards belong to the private banks as they adopt many techniques so that the customers go for the use of plastic money in terms of using credit card and debit card. 39 % of the customers use their card for cash withdrawl, 24 % for the shopping bills, 18 % for the dining bill, 11 % for traveling and 8 % for any other usage regarding sale and buying in the market and on the internet also. 48 % of the bank customers use Plastic Money to reduce harassment and time, 23 % are agree, 13 % are disagree, 11 % strongly agree and the rest 5 % are strongly disagree. According to the 57 % of the bank customers, plastic money is are much safer then holding money in Pocket, 19 % says always, 15 % go for sometimes and the rest 9 % for never.

CONCLUSION
When the bank customer going to open the account in a bank they always want the facility of plastic money. Most of the bank customers have credit as well as debit card and they need it for the fast transaction and handling solutions. Most of the bank customers use the card weekly and that too for cash with drawl and shopping purpose as according to them plastic money is are much safer then holding money in Pocket. Many of them consider the point that the next generation is No Currency but Plastic Money and their opinion regarding the plastic money is good enough to promote it for the future. DEBIT CARDS ARE HERE TO STAY Most of the bankers expressed the view that issuance of debit cards would grow at a faster rate: It is still a new concept combined with the fact that there are only a few players right now. Any person who has a bank account can be issued a debit card. There are few norms to be complied with for issuance of debit cards. In case of debit cards frauds are hardly possible, hence the banks have no problems in issuing the debit cards. Debit cards are more looked by banks as an incentive to increase their customer base. The Indian psyche is credit averse especially the older generations. The so called udhari is something that is avoided.

 One of banks also put forth the fact that in credit cards there is always a problem of recoveries which is not there in case of debit cards. The bank felt that there is more scope for the debit card industry to grow if they are launched in a co-branded form.

SUGGESTIONS

Banks have to put more efforts so that every bank customer will avail the facility of plastic money

In doing this, they too have to minimize the amount charge to avail credit or debit cards.

Banks have to provide full information to their customers for proper using and the benefits of plastic money.

Bank customers have to come forward to understand the advantages of using plastic money and remain free from having bulky purse in the pockets.

]In countries like India, the usage of having plastic money is too low, thereby making such consideration we have to move towards next generation of plastic money with full understanding and consequences of plastic money.

BIBLIOGRAPHY

www.onprepaidcard.com/24775/ http://en.wikipedia.org/wiki/Money http://www.financialexpress.com/fe_full_story.php? content_id=80188 http://economictimes.indiatimes.com/Money_Matters/Credit_ Cards/News/Plastic_money_use_gains_pace_in_India/articlesh ow/msid-1268620,curpg-2.cms http://www.cinechance.com/a/how-to-get-best-out-of-yourplastic-money.html

RESEARCH METHODOLOGY ,MOHIT GUPTA,NAVDEEP AGGARWAL