Introduction: -

A research design is a plan of action to be carried out in connection with a research

project. The design may be a logical presentation of the various steps in the process of
research. These steps include The statement of problem , Objectives of the study, Scope of
study sampling, tools & techniques of data collection, Plan of analysis limitation and chapter
schemes.

According to Claire sleets & others “A Research design is a arrangement for

collection and analysis of data in a manner that aims to combine relevance to the research
purpose with economy in procedure.

The study has been undertaken on "the schemes of Deposits at VIJAYA BANK " the
objective of this study envisages on deposits management on loan portfolio of the bank. Also
an attempt has been make to identify the techniques and suggest stratagies for arresting the
existing deposits and prevent the re- emergence of fresh deposits at the VIJAYA BANK.

Title of study:

“A Study on the deposit schemes at Vijaya bank”.

Statement of the problem:

In the present scenario, the banks are playing an important role in the Economic
development of our country as they helps in encouraging the people to make savings. These
savings are attracted & made to deposit in the banks for further productive investment. For
the purpose of this the bank has introduced many deposit schemes according to the
convenience of people based on the different categories. So, it is felt very much essential to
make a study on these deposit schemes that how it influences on the development of
Economy & what are the conditions & terms that are to be fulfilled to make the deposits
under various schemes.
Objectives of the study:

1. To ascertain the problem faced by bank by Public regarding Deposit

2. To know the different schemes of deposits provided by Vijaya bank.

3. To know the methodology used by bank to Mobilize deposit from public

4. To suggest ways & means of developing the deposit schemes.

5. To know the interest rate & other facilities provided

by bank to deposit holders

6. To study & know the financial problem of Bank

7. To provide manager with report to help them to Encourage

Customers for depositing.

8. To come out with the findings & suggestions

Scope of the study:

In today’s world, banking services plays on important role in every lives of

individuals. The technological advancements in the banking sector have grown rapidly in the
last years. This has led to the birth of new generation banks & competition. The study
basically focuses towards the observation of the operations & performance of Vijaya Bank
regarding deposits. The study with in its scope has tried to find out the new trends promoted
by the Vijaya Bank regarding deposits.

This study attempts at understanding how Vijaya Bank functions in its changing
scenario & how each department at the head office contributes to the success.

From the management point of view the study helps them to know whether they are
successful with their operations & as management student this study helps in getting birds
eye view of latest development & upcoming changes in Banking sector.
 Methodology: Personal interview was adopted for collecting data from Vijaya
Bank regarding deposits schemes for collecting primary data and secondary data is collected
through the following

1. Financial Books

2. Annual reports

Tools & the techniques of data: Analysis & interpretation of data in based on both primary
& secondary data.

Primary data: Primary data are the first hand information collected, through various
methods such as observation, interviews.

Secondary data: Secondary data are obtained from text books, magazines, news paper &
Annual reports & Broachers of the bank & official website.

Limitation of study:

Every efforts has been made to make study complete & has exhautsive as possible,
however the study is not free from certain limitations.

1. Some times respondents dislikes to discuses regarding data collection.

2. Time limit for the study

3. The study is only confined to Vijaya Bank & the performance of other banking
company is not compared with it.

4. The collected information is limited & factual to some extent since some information
is confidencial & Bank opposed to dispose it .

5.The Exhastive study has not been made on Vijaya Bank & is limited

to the partial fullfillment for the degree of B.B.M.

6. Collection of data & study was based purely on observation of the operation of
Vijaya Bank constraint.
 PROFILE OF THE BANK

Banking has existed ever since man-made money. Money lending, which is one of
the important function of banking is existed even than. However, the function of the
banking is not more about just money lending it’s about deposits interest rates locker
systems etc.

The banking system in our country comprises three constituents public sector banks,
private sector banks & foreign banks, there are 27 public banks, accounting for 81% of
the total of all banks.

We have private sector banks, whose role has considerably narrowed down after two-
step nationalization. The number of private banks stood at 34 as on 31 st March, 1999
4172 branches.

Foreign banks in private sector are branches of banks incorporated outside India.
There are 44 such banks with 180 branches on end March 1999.

The Indian commercial banks have played a significant role in the economic
development of the country. Be it branch expansion, deposit Mobilization credit
expansion, Minimizing regional imbalances or promotion of new entrepreneur ship . The
role of commercial banks is considerable . There are short comings nevertheless. For
e.g., The banking services have not reached all parts of the country, loan recovery has
become a big problem for banks in efficiency & customer complaints are common in
banks & losses have become a way of life. Banks often find it difficult to strike a
balance between their commercial compulsions & social obligation.

History of Banking:

Bank of Hindustan, setup in 1870, was the earliest Indian Bank, banking in India on
Modern lines started with the establishment of three presidency banks under presidency
banks act in 1876 i.e. banks of Calcutta, bank of Bombay bank of madras. In 1921, all
presidency banks an alga mated to form the imperial bank of India. Imperial bank of
carried out limited central banking functions also prior to establishment of RBI. It
engaged in all types of commercial banking business except dealing in foreign exchange.
 Reserve Bank of India act was passed in 1934 & Reserve bank of India was
constituted as an apex bank with out major government ownership. Banking regulation
act was passed in 1949. This under government control, under the act RBI got wide
ranging powers for supervision & control of banks. The act also vested licensing powers
& authority to conduct in- sections in RBI.

In 1955, RBI acquired control of the Imperial Bank of India, which was renamed as
state Bank of India. In 1959 , SBI took our control of eight private banks floated in the
east while princely states, making them as its 100% subsidiaries.

RBI was empowered in 1960, to force compulsory merger of weak banks with the
strong ones . The total number of banks was thus reduced from 566 in 1951 to 85 in
1969. In July 1969, government nationalized government nationalized 6 more banks
were to make them play the role of the catalytic agents for economic growth. The
Norseman committee report suggested wide ranging reforms for the banking sector in
1992 to introduce internationally accepted banking practices.

The amendment of banking regulation act in 1993 saw the entry of new private sector
banks.

The banking scenario has changed immensely after the economic liberalization &
globalization. There is transformation from traditional banking to modern multifaceted
banking system in line with the need to achieve rapid socio economic progress . There is a
clear change in the philosophy & techniques especially in the field of lending from whole
role nature to retail character of banking activities.

Today, the banking sector is facing severe computation. In order to survive in this
competitive environment, bank now focuses on creating & delivering customer needed
service in a customer satisfying manner.

Meaning : A banking company has been defined under section 5 (1) ( c) of the
banking company regulation act of 1949, “any company transacts the business of banking
in India.
According to sec 5(1) (b) of the same act defines the banking has “accepting for the
purpose of lending or investment of deposits of money from the public, repayable on
demand or other wise & withdrawal by cheques, drafts orders or other wise.

Role of Commercial Banks in a modern Economy:

Banks play significant role in the economic development of the country. It can
be seen from the following points.

1. Deposit Mobilization: Banks play significant role in mobilizing the

savings of people by initiating different deposit schemes by extending a network of
branches through out the country.

2. Granting of credit: Banks credit is essential for financing trade, commerce,

industry, agriculture & other productive activities. Banks extend credit to this entire
field in order to have economic development of the country.

3. Creation of credit: Commercial banks can increase or decrease the money

supply in the country & inject elasticity in to the credit system though their function
is creation of money.

4. Channelise funds in to productive Investments : Banks not only and fund but
also ensure that funds are lend only for productive purpose by monitoring properly.

5. Provision of finance to the Government : Banks provide short term funds by

purchasing trustee bills & long term funds by subscribing government bonds provide
finance to the government.

6. Protecting the funds of depositor : Banks provides safety to the funds of

depositor by lending to different kinds of borrowers engaged in different activities in
different areas, to be invested in productive projects & they also ensure that advances
are properly secure & will come bank in time

7. Provision of Remittance facility : Banks provide remittance facility

through remittance mechanism of bank drafts, mail transfers, telegraphic transfers,
traveler’s heaves, circular note etc., & help the businessmen to secure funds when
needed.

8. Provision of medium of exchange: Bank deposits, with draw by cheque of

transferable by credit transfers serves as a means of settlement of debts by this it
reduces use of legal tender money.

9. Discharge of social Responsibility: Banks have recognized their social

responsibility very well & now days they serve in the best interest of the society at
large. It is their bounder duly to grant credit to every section of the society.

10. Innovative services: Modern banks under take a number of innovative

services like, merchant banking, underwriting of securities, factoring, leasing ,
housing finance setting up of natural funds etc., for the Economic development of the
country.

Books of Accounts to be maintained by Banking Companies:

A banking company is received to maintain various ledger & registers as per

the requirement of the banking regulation act 1949. All the books & register’s a
banks has to maintain can be classified into the following categories.

1. Principle ledgers

2. Subsidiary ledgers

3. Other registers & memorandum Books.

1. Principle ledger : A Banking company required maintain the following

principle books :

A. Cash Book: Which provide the summery of collection & payments of the
bank.
 B. General ledger : General ledger provides details regarding assets not
covered under subsidiary books & also contain the control accounts of subsidiary
books.

2. Subsidiary ledger:

It Includes;

a. Receiving cash counter cash books

b. Paying cash counter cash books

c. Current accounts ledger

d. Saving bank account ledges

e. Fixed deposit account ledges

f. Investment ledger

g. Cash credit ledger

h. Loan ledger

i. Bills discount & purchased ledger

j. Receiving deposit account ledges

k. Fixed deposit account ledges

l. Customer’s acceptances, endorsement & guarantee

ledger etc.

3. Other registers & memorandum books:

It Includes:

a. Bills for collection register

b. Share security register

 c. Jewelry register

d. Demand draft register

e. Safe custody register

f. Standing order register

g. Dishonored check register

h. Letter of credit register

i. Lockers register

Features of Bank Accounting :

Following are some of the feature of Bank accounting :

1. Banking companies have to maintain books of accounts under double

entry system

2. It has to maintain books of accounts as reserved under the provision of

banking regulation act .

3. The posting of transaction in the ledger will be based on deposit credit

slips.

4. Self balancing system of ledger is followed in accounting by banking

companies.

Project Finance Department:

Introduction : Project Finance Department { P F D} is a professional outfit

under the corporate credit wing { CCW} of Vijaya Bank. The department consists of
experienced professionals in the fields of finance & technical offering various services in
the area of corporate credit, project appraisals, syndication of loan etc to corporate . The
department has successfully executed a variety of assignment in the past in the area of
project financing & other advisory services.
Range of services:

 Project advisory services: Review of project feasibility, structuring of financing

plans & advice on financial modeling & preparation of project in f n
memorandum.

 Syndication of financial requirements of customers. PFD offers syndication

services in arranging finance to customers funding requirements.

OFD offers services to new projects or expansion of existing projects in

raising long term debts & or working capital limits. PFD offers services to
customers resorting to restructure their existing debt profile by swapping high cost
debt with low cost debt.

Anywhere banking:

Anywhere Banking is a technology based customer friendly service designed to

provide greater convenience to our customers.

With Anywhere Banking facility, once you have an account with any of the select
branches. You can operate it from any other designated branch across as cities.

With any where banking you have a lost of facilities to make banking with us.

Facilities

Individuals / Joint account holder [operated severally] maintaining current / SB / OD

Accounts.

 Withdrawal of cash

 Remittance of cash

 Transfer of funds

 Balance Enquiry
  Issue of mini statement

 Depositing local cheques for collection

 Purchase of demand draft.

Firms / companies / other Bodies maintaining current / OD/ OCC Accounts:

Transfer of funds between accounts from one anywhere banking branch to

another anywhere banking branch depositing of local cheques for collection & crediting
to the respective account at any where banking branch.

Eligibility:

Account holders should have maintained a minimum average balance of Rs 5000/- in

SB Account & Rs 10000/- in current account in the last six months.

Features:

Cash with draw unto Rs 50000/- per occasion Transactions permitted on production
of Identity card issued exclusively for ANY WHERE BANKING Facility.

Facilities of both intra – city & inter – city transactions HOME CLEARING – on line
debit of cheques drawn on our own AWB branches. DD issue – unto a limit of Rs 50000/-
at any AWB branch.

Liquidity U/ S profitability:

Liquidity & safety principal aims at meeting demand of depositors for cash in full &
in time & is considered just one principle . That is principle of liquidity but profitability aims
at paying of a hand some dividend to the share holders.

The objectives of both the principal are complicating in their nature. These words
they are opposing considerations. The most liquid assets if not at all profitable & the most
profitable asset is least liquid.
 PROFILE OF THE VIJAYA BANK

Introduction:

Vijaya Bank was founded by Late Shri A.B.Shetty & other enter- praising formers
founded Vijaya Bank on 23rd October 1931 in Mangalore, Karnataka the objective of the
founders was essentially to promote Banking habit. Thrift & entrepreneurship among the
farming community of Dakshina Kannada district in Karnataka state. The bank become a
scheduled bank in 1958, Vijaya Bank steadily grew into a large all India bank with a smaller
banks merging with it during the 1963-68. The credit for this merger as well as growth goes
to late Shri M.Sunder Ram Shetty, who was then the chief Executive of the bank. The bank
was nationalized on 15th April 1980 today, the bank has built a network of 842 branches that
span all 28 states & 4 union territories in the country.

SHARE CAPITAL :

The share capital of Vijaya Bank is held by government of India and institutional
investor such as mutual funds UTI, Insurance Company. Other finance institution & private
corporate bodies, Indian public NRI s And other commercials banks, Government of India
acts as a promoter of the bank, it assist & guides the bank in times of financial difficulties.

Loans & Advances:

Vijaya Bank provides various types of loans & Advances to all the classes of people.
As its caption ‘Your partner in progress says the services provides by the bank.

The different types of loan schemes provided

 Educational loans

 Rent scheme

 Liquidity Finance to SSI

 Jewel loans

 Loans for purchase of equipment

 Loans on motor vehicle

  Housing loan

 Advance to small road transport operators

 Finance for trading activities

 Loans for investment resumes

 Agricultural Finance

Branch Network :

In the year 1963-68 nine small banks merged with the Vijaya Bank. During the
year 2014-15 bank nationalized its branch network by merging 16 branches with the nearby
branches covered its regional foreign exchange cell at Bangalore in to a specialized over
seas branch, as a result the total number of branches stood at 828 as at the end of 4 th March
2002, as compared to 842 a year ago. During the year the banks has offered 2 extension
converters closed on extension counter upgraded an extension counter into a full pledged
branch.

On a international front the bank built a network relationship with over 200 banks in
80 countries across America, Europe & middle cast.

Computerization:

The bank has 87 computerized branches upgrading two partially computerized

branches to total computerization lacking the number of totally computerized & branches
to 328 & 10 respectively, converting 76.73 % of aggregate business of bank.

Credit cards: Vijaya Bank given visa and master card credit for both individuals &
corporate. These cards are accepted at over 100000 members estimated across the country
& Nepal.

Vijaya Bank credit cards come along with unique & attractive feature like.
 Vijaya Cash:

Instant cash withdrawal is available when ever needed. Walk – in to any of 831 branches
across the country draw unto Rs 5000 /- per month for classic cards and Rs 10000 /- for gold
cards through the passbook supplied along with the card.

Vijaya Security: Vijaya bank credit card brings along 24 hours personal accident
insurance coverage in the unfortunate event of the card holder death.

Classic card holders – upto Rs 100000

Gold card holders - up to Rs 200000 in case of Road accidents

Rs. 400000 in case of the Death an air crash.

Vijaya Family cards:

Vijaya Bank add on credit cards are available for parents, spouse children of card
holder above the 18 years of age regardless of his/her income building under the add on is
charged to the main card holder.

Board of directors:

The management of broad of the bank is vested with the board of directors.
Board of directors of Vijaya Bank other than director of central Government elected under
the terms of Vijaya bank general regulations, 1998 & sec 9 (3) ( I ) of the banking
companies act 1980 read with the banking regulation act 1949 nationalized banks scheme
1980.

The present strength of board of directors of the bank is 7, comprising of 1

executing & 6 non executive directors having diversified professional experience. The
directors have been contributing their professional knowledge, experience & expertise in
respective areas of their specialization for the development.
 CONCEPTUAL FRAME WORK

Deposit: Deposit creation is an important function of commercial bank. The bank

attracts deposits from the people either by means offering interest or other facilities business
people want facilities with draw more then investment.

Meaning : Deposits represents the amounts accepted by a bank from the deposits it is the
most important item on the liability side because

o They are major portion of the funds received by a Bank

o The capacity of a bank to earn profits depends on the volume of deposits

o The efficiency of a bank is judged by its ability to attract deposits.

Types of deposits : There are two types of deposits are :

Deposits

Term Deposits Demand Deposits

Current Account
Fixed Recurring Deposit Saving Bank
Deposit Deposit A/c Deposits

Saving Bank Deposit scheme :

These are opened by middle & low income groups who save then part of present
income for future needs proper introduction is necessary when accounts are operated by
cheques. A low rate of interest provided on the deposited money.
Terms and conditions in the savings bank deposit scheme :

Conditions which are required for opening Saving Bank Account Savings Bank
Account may be opened by the following, who are known at the bank or are properly
introduced by other.

 An individual in His / Her own name

 By more than one person in their joint names payable to all of them jointly or any one
of them or more than one or survivor’s

 By natural guardian of a minor on behalf of the minor or by a person in the name of

any minor of whom he or she is a guardian appointed by a competent court. The
guardian on behalf of a minor should furnish a declaration as t the date of the birth of
the minor.

 By a minor over the age of 12 years in his own name in which case the maximum
balance in the minors account shall be restricted to Rs 10000 / - only, provided the
minor produces satisfactory proof of his / her date of birth such as school certificate
etc.

 By secretaries, Treasurers, managers or other duly constituted or authorized officers of

any club, school, orphanage, Temple, Mosque, church or other religious / charitable
institutions of like nature provided the rules & by laws governing such institutions is
acceptable to the bank.

 Companies licensed by the central government under section 25 of the companies Act
1956, & institutions, which are not liable to pay income tax under income tax act
1961.

How to open savings Bank Deposit Account:

Persons desiring to open savings Bank Accounts are required to fill in & sign
application form [11-394] along with the usual specimen signature cards, producing two
pass port size photographs, details of PAN / GIR numbers or declaration in form No
60161 as the case may be & an introduction from a person acceptable to the bank .

Minimum Balance Amount Required to open An Savings Bank Account :

 A savings Bank A / C may be opened with a minimum balance of Rs 250/ in fully
computerized branches & Rs 100/- in other branches to keep the account running . The
same minimum balance should always be maintained. If a cheque book is issued, the
account shall have a minimum balance of Rs 250/-.

The details are specific in a chart i.e. minimum balance / Amount required to
open an savings bank account
Minimum balance to be maintained

Fully computer ised branches Other

branches

For opening / maintaining SB Account [ Rs 250 /- Rs 100/-

with out cheque book]

For opening / maintaining savings bank Rs 250 /- Rs 250/-

a/c s [ with cheque book facilities]

If the savings bank account shows balance below the minimum for a continuous
period of one year or above, the branch may at its discretion close such Accounts.

Further Non – maintenance of minimum balance as stipulated above attracts penalty

charges are Rs 12/- per occasion.

Cheque Books: Cheque books shall be issued only against production of duly signed
requisition slip from the previous cheque book issued .

Restriction, conditions for with drawl’s in the Savings Bank Deposit Account:

There is a restriction for the withdrawal of the amount in the Savings Bank
Deposit Account.

The total number of with drawls i.e. debit in Savings Bank Account should not
exceed 50 every half year. It is the obligation of the account holder to take care of the
cheque books issued to him or her.

Interest paid to Savings Bank Account :

 Interest is allowed on the savings bank account on a half yearly basis at the
rate prescribed by the RBI on minimum monthly balance between the 10 th & the lost
day of the month at the credit of each account on a minimum balance of Rs 10/- &
above & on multiple of Rs 10/- provided interest thus calculated does not fall short of
Rs 1/- per half year.

Interest will be calculated for the half year ending 31st January & 31st July each
year & will be credited to each account on or before the 10 th February & the 10th
August respectively each year.

.
ANALISIS AND INTERPRETATION

4.1 Table showing % & Increase / Decrease of saving’ s Bank deposit Account

Years Total amount of Deposit % to the Base % of Increase

year / decrease

2013-14 3,81,19,410 100% 0

2014-15 4,23,54,900 112% 12%

2015-16 4,70,61,000 124% 24%

2016-17 5,22,90,000 137% 37%

2017-18 5,81,00,000 152% 52%

INTERPRETATION:-

From the above table, we can observe that the amount deposited in Saving
Bank Account has been increased gradually from 2013-14 to 2017-18 . That is in the
base year 2013-14 the % of deposit is 100% then it has been increased to 112 % in the
year 2014-15, 137% in 2016-17, & 152% in the year 2017-18.

We can analyse that the % of deposit in this deposit scheme is in increasing

trend, so, we can conclude that this scheme is performing well in attracting the
savings of the people.

4.1 Chart showing % & Increase / Decrease of saving’ s Bank deposit Account
4.2 Table showing New Account opened in Savings Bank Account.

Years Total no. of % to the Base year % of Increase

persons / decrease
Deposited

2013-14 3500 100% 0

2014-15 3650 104% 4%

2015-16 3980 114% 14%

2016-17 4390 125% 25%

2017-18 4630 132% 32%

INTERPRETATION:-

From the above table, we can observe, that the no. of persons deposited in
saving Bank A/c has been increased gradually from 2013-14 to 2017-18 . That is in
the base year 2013-14the % of Deposit is 100% ,then it has been increased to 104%
in the year 2014-15, 114 % in the year 2003-03 125% in 2003 –04 , & 132% in the
year 2017-18.

We can Analyse that the % of no. of persons deposited in this scheme is in

increasing trend, so, we can conclude that this scheme is performing well in attracting
the saving of the people.

4.2 Chart showing New Account opened in Savings Bank Account.

4.3 Table showing total interest amount paid by the bank to savings Bank Deposit
holders.

Years Total amount Rate of interest Interest amount

deposited paid by the bank
2013-14 3,81,19,410 3.5% 13,34,179.35
2014-15 4,23,54,900 3.5% 14,82,421.5
2015-16 4,70,61,000 3.5% 16,47,135.0
2016-17 5,22,90,000 3.5% 18,30,150.0
2017-18 5,81,00,000 3.5% 20,33,500.0

INTERPRETATION:-

From the above table, we can observe that the interest amount paid by Bank to
Saving Bank A/c holders it has been increased gradually from 2013-14 to 2017-18
that is in the base year 2013-14 the amount of interest is 13,34,179.35 . Then it has
been increased to 14,82,421.5 in the year 2014-15, in the year 2002-2003 the amount
of interest is Rs 16,47,1`35 & in the year 2016-17 the amount is 18,30,150 & in the
year 2017-18 the amount paid is Rs 20,33,500.

We can analyse that the interest amount of deposit in its scheme is in

increasing trend, so we can conclude that this scheme is performing well in attracting
the savings of people.

4.3 Chart showing total interest amount paid by the bank to savings Bank Deposit
holders

4.4. Table showings percentage paid by the bank in savings Bank Account
 Years Total interest % to the Base year % of Increase
amt paid
/ Decrease

2013-14 13,34,179.35 100% 0

2014-15 14,82,421.5 116% 10%

2015-16 16,47,135.0 123 % 23%

2016-17 18,30,150.0 137% 37%

2017-18 20,33,500.6 152 % 52%

INTERPRETATION:-

From the above table, we can observe that the interest amount in saving Bank
A/c has been increased gradually from2013-14 to 2017-18. I,e in in the base year
2013-14 the % of interest amount is 1005, then it has been increased to 110% in the
year 2014-15, 123% in the year 2015-16, 137% in 2016-17 & 152%in the year 2017-
18

We can Analyse that the % of interest amount in this deposit scheme is in

increasing trend, so we can conclude that this scheme is performing well in attracting
savings of the people.

4.4. Chart showings percentage paid by the bank in savings Bank Account
2. Current Account:
 These are opening by trading & industrial concern a minimum deposit
of Rs 200000 Rs 300000 through proper and satisfactory introduction rate of interest
is not provided here, customers can deposit any amount of money and any number of
times and withdraw & as many times as they want.

Terms & conditions in current Account :

Conditions required for opening current Account :

The following persons, firms etc who are properly introduced, may open
current account by singing the prescribed account opening form [s] along with PAN /
GIR numbers or declaration in form No. 60/61

 An individual in his / her own name

 More than one individual in their joint names payable to all of

them jointly or any one or more of them or survivor [s]

 A Hindu undivided Family, a proprietor ship concern, a

partnership firm, a company, a trust, a local body, government
department etc., in its own name by giving clear operational
instructions.

Obtaining of photographs :

In terms of reserve Bank of India’s guidelines, photograph should be given at the of

opening of all categories of deposit of opening of all categories of deposit accounts
includes current account of both resident & Non resident account holders inclusive of
persons authorized open / operate the accounts as application.

Minimum Balance Amount Required to open an Current Account:

A current Account may be opened with a minimum of Rs 1000/- in fully / partially

computerized branches & Rs 500/- in other branches. However at specialized
commercial & branches irrespective of the location of the branches. However at
specialized commercial & personal banking branches this is Rs 10,000/- for Current
Accounts. If the prescribed minimum balance is not maintained in the current account Rs
28/- per occasion with a maximum of Rs 500/- per month will be collected.

Interest on credit Balance : Interest is not allowed on the credit balance maintained in
current accounts.

Incidental / falio / Handing charges

Bank will collect charges for the ledger folios used in current accounts at the rate
prescribed below :

Rs 66/- per ledger page [ 40 entries or part their of considered as one ledger page ] & Rs
83/- per computer statement sheet on a half - yearly basis subject to the concession
provided on maintained of average balance

Average credit Balances Free ledger Folio pages allowed per

year

Up to Rs 25000 Nil

Above 25000/- unto Rs 50000/- 3

 Above Rs 50000.- Unto Rs 100000/- 6

Above Rs 100000 /- up to Rs 200000/- 11

Above Rs 200000/- All

4.5 Table showing % of Increase / Decrease of current Account

Years Total amount % to the Base year % of Increase

deposited
/ decrease

2000– 01 11, 90 000 100% 0

2014-15 13, 94 000 117% 17%

 2015-16 14, 45, 000 121% 215

2016-17 15,64,000 131% 31%

2017-18 17,00,000 1425 42%

INTERPRETATION:-

From the above table, we can observe that the amount deposited in current
account has been increased gradually from 2001-01 to 2017-18 . That is in the base
year 2013-14 to 2017-18. That is in the base year 2013-14 the % of deposit is 100% .
Then it has been increased to 117 % in the year 2014-15, 121 % in the year 2015-16,
131 % in 2—3-04 & 142 % in the year 2017-18.

We can Analyse that the % of deposit in this deposit scheme is in increasing

trend, so, we can conclude that this scheme is performing well in attracting the
savings of the people.

4.5 Chart showing % of Increase / Decrease of current Account

4.6 Table showing New Accounts opened in Current Account.
Years Total interest % to the Basic % of Increase
amt paid year
/ decrease

2013-14 50 100% 0

2014-15 85 170% 70%

2015-16 94 188% 88%

2016-17 108 216% 116%

2017-18 122 244% 114%

INTERPRETATION:-

From the above table, we can observe that the No, of persons deposited in
current A/c has been increased gradually from 2013-14 to 2017-18. That is the base
year 2013-14 the % of deposited persons is 100% . Then it is increased to 170% , it is
creased to 188 % in the year 2002-01, in 2016-17 it has been increased to 216 % & in
2017-18 it has been increased to 244%.

We can Analyse that the % of No, of persons deposited in this scheme is in

increasing trend, so, we can conclude that this scheme is performing well in attracting
the current A/c of the people.
4.6 Chart showing New Accounts opened in Current Account
 TERM DEPOSIT

Recurring deposit Account; These deposits are meant for people who have
regular monthly incomes. Deposited amounts will be in the multiples of Rs 5 &
Rs10. Here the depositor deposits a fixed sum of money every month for an agreed
period & at the end of the specific period the deposited money along with the interest
can be with drawn.

This scheme helps in savings easily & systematically, through either fixed or
variable monthly installments. You can choose any deposit period ranging from 6 to
120 months, in completed 3 months. Under variable monthly installments you have
the option to choose a core monthly installment [ witha minimum of Rs 10/- or
multiples] and remit any amount subject to this minimum with a maximum of ten
times of the more monthly installment.

It is one form of savings deposits . Depositor save & deposit regularly every
month a fixed installment so that they are assured of the sizeable amount at a later
period. There will enable the depositors at meet contingent expenses. Banks have
found these deposits popular. Many people would not have saved if these deposits had
not been introduced this deposit works on the maxim “little drops of water make a
big ocean “.

Terms & conditions for opening account:

Any person can open this deposit account he can even have more than one
account at a time. This account can be opened joint names also.
 It may be opened for monthly instilments in sums of Rs 5/- or in multiples of
Rs5/- with a maximum of Rs 1000/- the number of monthly instilments may very
from 12 months to 72. The total amount is repayable 30 days after the last
installment has been paid.

For deposits of higher installments. The maturity amounts can be calculated as

multiples of the maturity amount for an installment of Rs5.

Every depositor should pay the monthly installments with in 30 days from the
due date. If he fails to do so, interest will be charged on the installments in arrears the
rate of 4 paisa for every Rs5/- per month.

A recurring deposit holder can get a loan on the security of a recurring deposit.
The banker may grant 75 % of the total amount paid as loan & the interest of 2% over
the recurring deposit rate is charged. These accounts are transferable from one branch
ot another. A recurring deposit holder is given the recurring deposit pass book for his
verification. The rate of interest is similar to the rate offered on fixed but it is
compounded

4.7 Table showing % of increase / Decrease recurring deposit account.

Years Total Amount % to the Base % of Increase

Deposited year
/ decrease

2013-14 2,47,200 100% 0

2014-15 2,87,800 116% 16%

2015-16 2,88,400 117 % 17%

2016-17 3,70,300 150% 50%

2017-18 4,12,000 166 % 66%

 INTERPRETATION:-

From the above table we can observe that the amount deposited in recurring
deposit A/c has been increased gradually from 2013-14 to 2004—05 that is in the base
year 2013-14 the % of deposit is 100% , then it has been increased to 116% , & 117%
in the year 2015-16, 150% in 2016-17 , 166% in the year 2017-18.

We can analyse that the % of deposit is this deposit scheme is in increasing

trend; so, we can conclude that this scheme is performing well in attracting the
savings of the people.

4.7 Chart showing % of increase / Decrease recurring deposit account

4.8 Table showing new Account opened in recurring deposit account .
 Years No. person % to the Basic % of Increase
deposited year
/ decrease

2013-14 0 0 0

2014-15 8 100% 0

2015-16 17 212.5% 112.5 %

2016-17 24 300% 200%

2017-18 28 350% 250%

INTERPRETATION:-

From the above table, we can observe that the no. of persons deposited in
recurring deposit A/c has been increased gradually from 2013-14 The % of deposited
persons in Nil, i.e. there is no person invested their money in the recurring deposit
A/c. Then it has been increased to 100% in the year 2000-02, 212.5% in the year
2015-16 & 300% in 2016-17 & in the 2017-18 it has been increased to 350%.

We can analyse that the % of deposit in this deposit scheme is in increasing

trend. So, we can conclude that this scheme is performing well in attracting the
savings of the people.

4.8 Chart showing new Account opened in recurring deposit account

4.9 Table showing total interest amount paid by bank on the recurring deposit account.
 Years Total interest amt % to the Basic % of Intrease
paid year
/ decrease

2013-14 2,47,200 3.5 % 8652

2014-15 2,87,400 3.5% 10073

2015-16 2,88,400 3.5% 10094

2016-17 3,70,300 3.5% 12978

2017-18 4,12,000 3.5% 14420

INTERPRETATION:-

From the above table, we can observe that the interest amount paid by Bank to
recurring deposit A/c holders it has been gradually increased from 2013-14 to 2017-18.
That is in the base year 2013-14 the amount of interest is 8652, then it has been increased
to 10073 in the year 2014-15, 10094 in the year 2002-2003, 12978 in the year 2016-17
14420 in the year 2017-18.

We can analyse that the interest amount of deposit in this scheme is in increasing
trend, so we can analyse that this scheme is performing well in attracting the savings of
the people.

4.9 Table showing total interest amount paid by bank on the recurring deposit account.
4.10 Table showing % Percentage paid by the bank in recurring deposit account.

Years Interest amt paid % to the Basic % of Increase

 year

/ decrease

2013-14 8652 100% 0

2014-15 10073 116% 16%

2015-16 10094 117 % 17%

2016-17 12978 150% 50%

2017-18 14420 166 % 66%

INTERPRETATION:-

Form the above table we can observe that the interest amount in recurring
deposit account has been increased gradually from 2013-14 to 2017-18 , That is in the
base year 2013-14 the % of interest amount is 100% . Then it has been increased to 116%
in the year 2014-15, 117% , in the 2015-16 , 150% in the year 2016-17 & 166% in the
year 2017-18.

We can analyse that the % of interest amount in this deposit scheme is in

increasing trend, so we can conclude that this scheme is performing well in attracting
savings of the people.

4.10 Chart showing % Percentage paid by the bank in recurring deposit account.
Fixed Deposit Account : [ Term Deposits]

These are operated by small investments by depositing fixed amount fixed

periods fixed rate of interest. The deposited money is with drawn after the expiry of fixed
receipt issued by the bank at the time of opening account.
 A fixed deposit is one which is repayable after the expiry of a predator mined period
fixed by the customer himself. The period varies from 15 days to 3 years. A deposit
account can be opened fro a period of more than 3 years & in that case the rate of interest
remains the same level. These deposits are not payable on demand but they are
withdrawal subject to a period of notice. Hence it is called as term deposits.”

Terms & conditions to the fixed deposit account:

Opening Account: The fixed deposit holder is expected to fill up an application

form prescribed fro the purpose, stating the amount & the period of deposit. The
application itself contains the rules & regulations of the deposit in addition to the space
for specimen signature. As in opening a correct account, a banker does not insist upon a
letter of introduction or reference for fixed deposit account because of the absence of
frequent transaction on the account.

Interest : The interest rate offered on the fixed deposit is so attractive that it has resulted
in a change in the composition of bank deposits. Till recently, most of the deposits of
commercial banks has been demand deposits & new fixed deposits occupies more than
70% of bank deposits. The rate of interest varies according to the period of deposit. In
Indian banking history the firs ever highest interest rate of 15% was offered on term
deposits for 1-2-97 on wards,

However, in recent times, the RBI, has deregulated the interest rates on fixed deposit.
The banks are given the freedom to fix their own rates for different periods.

How ever the special rates have been fixed for deposits of senior citizens of 60 years
of age or above giving them some schemes.

The present rates applicable to the fixed deposits in case of senior citizens.

Serial No. Term of deposit 1 years to Interest per Annum

 less than 2 years

1 1 years to less than 2 years 6%

2 2 years to less than 3 years 7%

3 3 years & above 7.5%

Table showings the present interest paid by the bank to fixed deposit holder for
different periods.

Serial No. Term of deposit 1 years to Interest per Annum

less than 2 years

1 1 day to 14 days Nil

2 15 days to 45 days 4.25%

3 46 days to 179 days 5%

4. 139 days to 1 years 5.5 %

5. 1 years to 3 years 5.75%

6. 3 years & above 6%

Period of the deposit ; The minimum period has been fixed as low as 7 days, A per the
guidance of the Indian banks Association , banks should not accept deposits for a period
longer than 10 years. If the maturity date of fixed deposit fassa a holiday, it should be
 paid only on the succeeding working day, since a fixed deposit not be claimed before the
maturity date as per the terms of original contract.

Fixed deposit receipt ; At the time of opening the deposit account, the banker
issued a receipt acknowledging the receipt of money on deposit account. It is popularly
known as F.D.R [Fixed Deposit Receipt]. It contains the amount of deposit, the name of
the holder of the deposit, the rate of interest, due date etc. On the reverse side of the
F.D.R separate columns are provided for making entries regarding interest.

Particular of A. F. D. R

1. Name of the bank & place

2. Due Date

3. Date

4. Name of the Depositor

5. Amount

6. Period

7. Interest Rate

8. Signature of the manager

Fixed Deposit Receipt

{Face View}
 VIJAYA BANK ITD

No: 12345 Due on

Chickballapure Branch

Date ……………..2005

Received from ------------------------------------------------------------------

Rupees --------------------------------------as fixed deposit repayable

in -------------------------months after date with interest at the rate

----------------% per Annum

RS Accountant Manager

Back View of V.D.R

Memorandum Payment of Interest

1. This F.D.R dully discharged should be Date Half year Amount Signature of
surrendered at the time of payment or renewal ended Authorized
of deposit. To prevent loss of interest, the person
receipt intended for renewal should be sent on
due date

2. The F.D.R is not transferable by

endorsement. In the absence of special
instructions . The amount of F.D.R can be paid
only to the depositor in person.

3. Rate of interest overleaf is subject to

resource bank P directive issued from time to
time.

Received payment / please renew ……..

month / years

Signature of the depositors

4.11 Table showing % of increase / decrease of savings Bank deposit account

Years Total amount deposited % to the Basic year % of Increase

/ decrease

2013-14 7995000 100% 0

2014-15 9225000 115% 15%

2015-16 10086000 126% 26%

2016-17 10455000 130% 30%

2017-18 12300000 154% 54%

INTERPRETATION:-

From the above table, we can observe that the amount deposited in fixed
deposit account has been increased gradually from 2013-14 to 2017-18 that is in the base year
2001-01 % of deposit is 100% . Then it has been increased to 115% . 126% in 2015-16 ,
130% in 2016-17 , 154% in 2017-18.

We can analyse that the % of deposit in this deposit scheme is in increasing trend. So,
we can conclude that this scheme is performing well in attracting the deposits of people.

4.11 Table showing % of increase / decrease of savings Bank deposit account

4.12 Table showing new accounts open in fixed deposit account.

Years Total interest % to the Basic % of Increase

amt paid year
/ decrease

2013-14 98 100% 0

2014-15 115 117% 17%

2015-16 140 143% 43%

2016-17 158 161% 61%

2017-18 165 168% 68%

INTERPRETATION:-

From the above table, we can observe that the No. of persons deposited in fixed
deposit A/c has been increased gradually from 2013-14 to 2017-18 . That is in the base year
2000-02 the % of deposit is 100% . Then it has increased to 117% , 143% in 2015-16 , 161%
in 2016-17 , 168 % in the year 2017-18
 We can analyse that the % of No, of persons deposited deposited in this scheme is in
increasing trend, so, we can conclude that this scheme is performing well in attracting the
savings of the people.

4.12 Chart showing new accounts open in fixed deposit account.

4.13 Table showing total interest rate amount paid by bank to F.D holder who deposit
their money for the period of 15-45 days.

Years Amount Deposited Term of Deposit Rate of Total

Interest interest
amount

2013-14 7995000 15-45 days 4.25 % 339787.5

2014-15 9225000 15-45 days 4.25 % 392062.5

2015-16 10086000 15-45 days 4.25 % 428655.0

2016-17 15,64,000 15-45 days 4.25 % 444337.5

2017-18 17,00,000 15-45 days 4.25 % 522750

INTERPRETATION:-

From the above table, we can observe that the interest amount paid by bank to fixed
deposit holders for the period of 15-45 days is increased gradually from 2013-14 The amount
of interest is 339787.5 , then it has been increased to 392062.5 in 2001-01, 428655.0 in 2015-
16 , 444337.5 in 2016-17 522750 in the year 2017-18.

We can analyse that the % of deposit in this deposit scheme is in increasing trend, so,
we can conclude that their scheme is performing well in attracting deposits from people.
4.13 Chart showing total interest rate amount paid by bank to F.D holder who deposit
their money for the period of 15-45 days.
4.14 Table showing total interest rate amount paid by bank to F.D holder who deposit
their money for the period of 46 to 179 days.

Years Amount Deposited Term of Deposit Rate of Total

Interest interest
amount

2013-14 7995000 46 to 179 days 5% 399750

2014-15 9225000 46 to 179 days 5% 461250

2015-16 10086000 46 to 179 days 5% 504300

2016-17 10455000 46 to 179 days 5% 522750

2017-18 12300000 46 to 179 days 5% 615000

INTERPRETATION:-

From the above table, we can observe that the interest amount paid by bank to the
fixed deposit holders for the period of 46 to 179 days is increased gradually from 2013-14 to
2017-18 that is in the base year 2013-14 interest amount is 399750, then it has been increased
to 461250 in the year 2014-15, 504300 in the year 2015-16 , 522750 in the year 2016-17
615000 in the year 2017-18.

We can analyse that the % of deposit in this deposit scheme is in increasing trend, so,
we can conclude that this scheme is performing well in attracting the savings of the people.
4.14 Chart showing total interest rate amount paid by bank to F.D holder who deposit
their money for the period of 46 to 179 days.
4.15 Table showing total interest rate amount paid by bank to F.D holder who deposit
their money for the period of 180 days t 1 year.

Years Amount Deposited Term of Deposit Rate of Total

Interest interest
amount

2013-14 7995000 180 to 1 year 5 .5% 439725

2014-15 9225000 180 to 1 year 5 .5% 507375

2015-16 10086000 180 to 1 year 5 .5% 554730

2016-17 10455000 180 to 1 year 5 .5% 575025

2017-18 12300000 180 to 1 year 5 .5% 676500

INTERPRETATION:-

From the above table , we can observe that the interest amount paid by bank to the
fixed deposit holders for the period of 180 to 1year is increased gradually from 2013-14 to
2017-18 that is in the base year 2013-14 interest amount is 439725, then it has been increased
to 507375 in the year 2014-15, 554730 in the year 2015-16 , 575025 in the year 2016-17
676500 in the year 2017-18.

We can analyse that the % of deposit in this deposit scheme is in increasing trend, so,
we can conclude that this scheme is performing well in attracting the savings of the people.
4.15 Chart showing total interest rate amount paid by bank to F.D holder who deposit
their money for the period of 180 days t 1 year.

4.16 Table showing total interest rate amount paid by bank to F.D holder who deposit
their money for the period of 1 year to 3 years
 Years Amount Term of Deposit Rate of Total
Deposited Interest interest
amount

2013-14 7995000 1 year to 3 years 5 .75% 4,59,712.5

2014-15 9225000 1 year to 3 years 5 .75% ,30,437.5

2015-16 10086000 1 year to 3 years 5 .75% 5,79,945.0

2016-17 10455000 1 year to 3 years 5 .75% 6,01,162.5

2017-18 12300000 1 year to 3 years 5 .75% 7,07,250.0

INTERPRETATION:-

From the above table , we can observe that the interest amount paid by bank to the
fixed deposit holders for the period of 1year to 3 years is increased gradually from 2013-14
to 2017-18 that is in the base year 2013-14 interest amount is paid by bank is 459712.5 , then
it has been increased to 530437.5 in the year 2014-15, 579945.0 in the year 2015-16 ,
6,01,162.5 in the year 2016-17 7,07,250.0 in the year 2017-18.

We can analyse that the % of deposit in this deposit scheme is in increasing trend, so,
we can conclude that this scheme is performing well in attracting the savings of the people.

4.16 Chart showing total interest rate amount paid by bank to F.D holder who deposit
their money for the period of 1 year to 3 years
4.17 Table showing total interest rate amount paid by bank to F.D holder who deposit
their money for the period of 3 years & above.
 Years Amount Term of Deposit Rate of Total
Deposited Interest interest
amount

2013-14 7995000 3 years & above 6% 479700

2014-15 9225000 3 years & above 6% 553500

2015-16 10086000 3 years & above 6% 605160

2016-17 10455000 3 years & above 6% 627300

2017-18 12300000 3 years & above 6% 738000

INTERPRETATION:-

From the above table , we can observe that the interest amount paid by bank to the
fixed deposit holders for the period of 3 years & above is increased gradually from 2013-14
to 2017-18 that is in the base year 2013-14 interest amount is paid by bank is 479700 , then it
has been increased to 553500 in the year

2014-15, 605160 in the year 2015-16 , 627300 in the year 2016-17 , 733000 in the year 2017-
18.

We can analyse that the % of deposit in this deposit scheme is in increasing trend, so,
we can conclude that this scheme is performing well in attracting the savings of the people.

4.17 Chart showing total interest rate amount paid by bank to F.D holder who deposit
their money for the period of 3 years & above.
4.18 Table showing total interest rate amount paid by bank to F.D holder who deposit
their money for the period of 1 day to 14 days .

Years Amount Term of Deposit Rate of Total

Deposited Interest interest
amount

2013-14 7995000 1-14 days Nil 7995000

2014-15 9225000 1-14 days Nil 9225000

2015-16 10086000 1-14 days Nil 10086000

2016-17 10455000 1-14 days Nil 10455000

2017-18 12300000 1-14 days Nil 12300000

INTERPRETATION:-

From the above table , we can observe that the interest amount paid by bank to the fixed
deposit holders for the period of 1-14 days is increased gradually from 2013-14 to 2017-18
that is in the base year 2013-14 interest amount is paid by bank is 7995000 in this scheme
there is no interest for this scheme period of deposited is lees so there is no interest.
4.18 Chart showing total interest rate amount paid by bank to F.D holder who deposit
their money for the period of 1 day to 14 days .
Vijaya Cash Certificate : It is scheme which introduced by the Vijaya bank it is the scheme
in the fixed deposit accoutn . The anme itself says its belong to the vijaya bank.

Vijaya cash certificate scheme is a convenient way to save for your children’s higher
education or to build a house etc.,

This scheme helps you to build on your capital along with the benefit of compound
interest. Available in denominations of Rs 100/- & multiple there of, you can choose
certificate for any period ranging from 6 months to 10 years.

Terms & conditions required

 There is no restriction to take the Vijaya cash certificate.

 No need of introduction because it is fixed for a particular period.

4.19 Table showing % of increase/ decrease of Vijaya cash certification

Years Total amount of % To the Basic year % Of Increase
Deposits
/ Decrease

2013-14 17435000 100% 0

2014-15 20605000 118% 18%

2015-16 23775000 136% 36%

2016-17 30115000 172% 72%

2017-18 31700000 182 % 82%

INTERPRETATION:-

From the above table , we can observe that the amount deposits in the Vijaya cash
certificate has been increased gradually from 2013-14 to 2017-18 that is in the base year
2013-14 the % then it has been increased to 118% in the year

2014-15, 136% the year 2015-16, 172% the year 2016-17, 182% the year 2017-18.

We can analyse that the % of deposit in this deposit scheme is in increasing trend, so,
we can conclude that this scheme is performing well in attractign the savings of the people.

4.19 Chart showing % of increase/ decrease of Vijaya cash certification

4.20 Table showing No. of persons deposited their money in vijaya cash certificate
Years No. of persons Deposits % To the Basic year % Of Increase

/ Decrease

2013-14 460 100% 0

2014-15 499 108% 8%

2015-16 550 120% 20%

2016-17 580 126% 26%

2017-18 630 137% 37%

INTERPRETATION:-

From the above table , we can observe that the amount deposits in the Vijaya cash
certificate has been increased gradually from 2013-14 to 2017-18 that is in the base year
2013-14 the % of deposit is 100%. Then it has been increased to 108% in the year 2014-15,
120% the year 2015-16, 126% the year 2016-17, 137% the year 2017-18.

We can analyse that the % of No. of parsons deposit i scheme is in increasing trend,
so, we can conclude that this scheme is performing well in attracting the savings of the
people.

4.20 Chart showing No. of persons deposited their money in vijaya cash certificate
4.21 Table showing total interest amount paid by bank to Vijaya cash certificate
holders:
Years Amount Deposits % To the Basic year % Of Increase

/ Decrease

2013-14 1,74,35,000 6% 10,46,100

2014-15 20,60,5000 6% 12,36,300

2015-16 2,37,75,00 6% 14,26,500

2016-17 3,01,15000 6% 18,06,900

2017-18 3,17,00,000 6% 19,02,000

Note: In this table the Tate of interest will be taken 6% if a person deposited amount for 3
years & above. If the period differs rate of interest also differs.

INTERPRETATION:-

From the above table, we can observe that the interest amount paid by Vijaya bank
cash certificate holders it has been increased gradually from 2013-14 to 2017-18 that is in the
base year 2013-14 interest amount is paid by bank is 10462100, then it has been increased to
1236300 in the year 2014-15, 1426500 in the year 2015-16, 18,06,900 in the year 2016-17,
19,02,000 in the year 2017-18.

We can analyse that the amount deposit i scheme is in increasing trend, so, we can
conclude that this scheme is performing well in attracting the savings of the people.

4.21 Table showing total interest amount paid by bank to Vijaya cash certificate
holders:
4.22 Table showing percentage paid by the bank to the Vijaya cash certificate holders.

Years Amount % To the Basic year % Of Increase

 Deposits / Decrease

2013-14 10,46,100 100% 0

2014-15 12,36,300 118% 18%

2015-16 14,26,500 136% 36%

2016-17 18,06,900 172% 72%

2017-18 19,02,000 182% 82%

INTERPRETATION:-

From the above table, we can observe that the amount deposits in the Vijaya cash
certificate has been increased gradually from 2013-14 to 2017-18 that is in the base year
2013-14 the % of deposit is 100%. Then it has been increased to 11% in the year 2014-15,
136the year 2015-16, 172% the year 2016-17, 182% the year 2017-18.

We can analyse that the amount deposit i scheme is in increasing trend, so, we can
conclude that this scheme is performing well in attracting the savings of the people.

4.22 Chart showing percentage paid by the bank to the Vijaya cash certificate holders.
Various Deposit Schemes of Vijaya Bank:

V stars deposit schemes: It is also called as an innovative deposit scheme.

Savings band account holders who maintain a minimum monthly balance of Rs 5000/- during
the preceding six months are eligible for any one of the following loans at concessional rates
of interest viz at 1.5% lower than the normal rate applicable to respective scheme subject to a
minimum of the banks primes lending rate.

 A term loan equivalent to 4 times the average monthly minimum

balance for the proceeding 6 months subject to maximum of Rs 50000
for purchase of house hold articles / consumer durables.

 Loan under “U –cash or V- equip schemes subject to eligibility an the

schemes.

Vijayashri Units:

This scheme is devised to meet the needs of diverse investors like individuals,
institutions, professions, executives, entrepreneurs, housewives, and farmers among others.

Vijayashree units combine the features of a term deposit in terms of higher interest
rates, & the facility for partial withdrawal in units of Rs 1000/-

Vijayashree units are issued for Rs. 1000/- & multiples there of . The scheme has no
maximum limits & interest compounded on a quarterly basis. If the period of deposit exceeds
3 months.

This is a convenient banking scheme where an authorized

Jeewan Nidhi agent collects the money you wish to deposit at your door ship.

This scheme promotes savings habits among children, house wives, professionals,
salaried people, shop keepers, small traders & businessmen.

Individuals can choose a deposit period of 12, 39 or 63 months, with a daily deposit,
as low as Rs 1/-
Capital gains accounts scheme:

This is also a one of the scheme of the Vijaya Bank.

 Under this scheme an income tax, assesee can avail of the benefit of
exemption from capital gains if the amount of capital gains or the net
consideration is deposited in any branch [other than the rural branches]
on or before the due dates of their filing return of income.

 The income tax assesses who are eligible for exemption under section
54 , [54B, 54D, 54 F or 54 G] of the income tax act 1961 may open
“Account A” which is in the form of savings bank account or account
B which is in the form after deposits with an option to the depositors to
keep the deposit as cumulative or non cumulative deposit.

 Depositor desirous of opening an accounts under the scheme for the

first time shall apply in form “A” in duplicate, obtaining the
application from the nearest branch.

 Opening of joint account is not permissible under the scheme.

 Deposits may be made in one lump sum or in stages at any time on or

before the due date of furnishing the return of income under sub
section [1] of section 139 of ht act

 In case of deposit under account “A’ the depositor will be issued with a
pall book where in all amounts of depositor withdrawals together with
interest due shall be entered under the signature of the authorized
officer of the branch. In the case of deposit under Account “B: a
deposit receipt with principal amount of deposit , date of deposit , rate
of interest, date of maturity of deposit etc. will be issued to the
depositor.
  Chaque book facilities are not permitted at {GA – Account A in view
of the system of withdrawal prescribed under the scheme.

 The minimum period of maturity of the deposits in account “B” is 15

days & maximum is for any number of years However in the case of
these accounts exemption may be available to the tax payer only if the
capital gains are utilized within a specified period as per the provisions
contained in sections 54, 54B, 54D, 54E & 54 G of income tax Act.

The interest rate to be paid in Account ‘A” [i.e. savings Bank account] under capital gains A/c
scheme, 1988 shall be the same as given for savings & bank A/c effective from march 01,
2003,. The rate of Applicable for account “B” [i.e term deposit A/c] under this scheme will be
as per the interest rates commerical by the bank through deposit interest rate from time to
time.

[NRF] Resident Foreign Currency:

A person resident in India may open, hold & maintain with & Authorized
dealer in India a resident foreign currency [domestic] Account, our of foreign exchange
acquired in the form of currency notes, bank notes & travelers cheques.

RFC [Domestic] Account can be maintained for the time being in the form of non-
interest bearing current account only with cheque facility.

Credits to the account: Following credits are allowed in RFC [domestic]

Accounts:

1. Foreign exchange acquired by the account holder from any of the sources
stated below :

 While on visit to any place outside India by way of payment for services
not creasing from any business in or anything done in India.
 From any person, not resident in India 7 who is on visit to India, as
honorarium of gift of for services rendered or in settlement of any lawful
obligations.

 By way of honorarium or gift while on a visit to any place outside India.

 Represents unspent amount of foreign exchange acquired by him from an

authorized person travel abroad.

 As a gift from a close relative: For the purpose of this clause, “close”
“relative” means relatives as define! In section 6 of the companies Act,
1956.

 By way of earnings export of goods services, or as royalty, honorarium of

by any other lawful means

 Representing the disinvestment proceeds received by the resident account

holder on conversion of shares held by hi to ADR’s /GDRs

Debits to the account: The funds in a RFC [Domestic] amount are free from all
restrictions regarding utilization of ht foreign currency balances including any
restriction on investment out side India. Definition of close relatives [As
defined in the companies Act] two persons shall be deemed to be relatives if &
only if:

 They are members of Hindu undivided Family

 They are husband & wife

 The one or the spouse of the one is related to the other

or the spouse of the other as parent & child grand parent & grandchild or
brother & sister

 The one is related to the other in the manor indicated in

schedule 1-A
CHAPTER-6

FINDING'S CONCLUSIONS AND SUGGESSIONS

Specific Findings:

 It is find that savings deposits is increasing from year to year

 From this analysis we know that there is a increase in the No. of persons deposited in
this Bank under savings Bank A/c is in increasing trend.

 There is a constant interest rate for the savings deposit holder i.e. 3.5%

 From this Analysis we know that there is increase in total interest amount paid by
Bank.

 It is find that current deposits is increasing from year to year.

 By Analysis we know that their is a increase in the No. of persons deposited in the
current A/c is in increasing trend.

 It is find that recurring deposits is increasing from year to year.

 By Analysis we know that there is a increase in the No. of persons deposited in the
recurring deposit A/c . But it is countable in nature.

 There is a constant interest rate for the recurring deposit A/c holder i.e. 3.5%

 From this Analysis we know that % of interest amount paid by bank to recurring
deposit holder is less.

 It is find that fixed deposits is increasing from year to year

 From this analysis we know that there is a increase in the No. of persons deposited in
fixed deposit A/c is in increasing trend.

 From this analysis we know that there is no interest for the depositor who are willing
to deposit there amount for the very short period i.e. 1 to 4 days

 There is a increase in deposits & interest amount paid by bank under different terms
of deposits. [I.e. 1-14 days – Nil, 15-45 4 25% , 46 to 179 days 5%, 180 to 1 year
5.5.%, 1 to 3 year 5.75%, & 3 years & above 6%]

 There is a increasing in interest rate per annum under different terms of deposits in
fixed deposit
 It is find that this bank has opened a new scheme i.e. Vijaya cash certificate to the
benefit of children higher education & to build a house

 It is find the deposits in Vijaya cash certification is in increasing from year to year

 From this Analysis we know that the No. Of persons deposited in Vijaya cash
certificate is easy to count.

 From this Analysis we can know that there is different interest rate paid by bank to
Vijaya cash certificate holder i.e. under the various terms of deposits [E.g. If they
deposit their amount in Vijaya cash certificate for 1 to 3 year i.e. 6%]

 There is increase in interest amount paid by bank to Vijaya cash certificate holders

 By Analysis we know that there is a scheme for the Non- residential Indian’s it is
helpful to the Indians who are living in foreign country.

 There is a scheme for the senior citizens to deposit their savings. The rate of interest
paid by the bank is 7.5%

 We know that V star deposit scheme is beneficial to limited depositor.

 From this Analysis we know that this bank introduced new scheme i.e. Vijayashri
units to increase the deposits

 From this Analysis we know that Vijaya Bank introduced a New scheme i.e Jeewan
nidhi scheme. It is beneficial to children, salary people business men, shop keeper
house wife etc.,

 From this Analysis we can know that, Vijaya bank introduced a new scheme i.e
capital gains accounts scheme it is very beneficial to the depositors. By this they get a
benefit of exemption from the income tax.

 There is no interest amount paid by bank to current account holders but they charge
some amount for marinating accounts.

 They give loans for the depositors of current A/c holder i.e overdraft facility with
some % of interest charged by the bank
  They give loan facility for the fixed deposit holder up to the 80%.

 There is a scheme for the salary people who withdraw the amount before the salary
due date.

GENERAL FINDINGS:

 The branch is fully computerized so the work is fast and quick

 There is a good relationship between customer and bank also there is a good co-
operation between manager and staff

 There is a good environment and well arrangement of furniture and tables

 Good locker facilities are available to the customers in order to provide good service

 The formalities and procedures for sanctioning loan are simple and quick.

 Majority of the deposits accepted form the public or invested in providing loans under
housing scheme.

 The deposits accepted well utilized and invested in providing loans to public under
various schemes.

 The bank is also resulted in controlling illiteracy and helps in the development
economy as whole

 The Branch is not offering ATM service to public

 The rate of interest paid on deposits is low

 The eligibility of for granting of housing loan under the Housing Loan scheme must
be related to certain extent.

 This Branch is not giving gold loans and other loans to public

 The loan sanction for the education purpose under the education loans scheme has
been increased from the year to year to prompt literacy in the economy
Specific Suggestions:

 In the present competitive world in the Banking sector the deposits maintained by
Vijaya Bank under savings Bank A/c is in increasing trend. This is a good sign to the
Bank, so let the Vijaya Bank maintain the same.

 Even though there is increase in No, of customers deposited in savings Bank A/c the
bank has to further struggle to attract more depositors through attractive interest rate
& facilities.

 Vijaya Bank giving constant interest for savings depositors they have to give flexible
interest rate to attract the customer to deposit their savings.

 The total amount paid by the Vijaya bank is a increasing trend. It should try to reduce
the total interest paid. At the same time it should maintain the increasing trend of the
depositors also.

 In the present competitive world in the banking sector the depositors maintained by
Vijaya bank under current A/c is in increasing trend, which is a good sign to the Bank,
So let the Vijaya bank maintain the same.

 Depositors under the current account are very low. So the bank has to increase the
depositors under this scheme by giving attractive offers.

 In order to increase depositors under current Account, the bank has to provide little bit
of interest to customers based on the slabs of amount deposited by them

 The overdraft facilities provided under current A/c is limited they have to increase the
over draft facilities to attract depositors

 Depositors under the recurring deposit account are very low. So the bank has to
increase the depositors under this scheme by giving attractive offers.

 The rate of interest paid under recurring deposit account & savings Bank A/c is same.
The bank has to change this rate of interest to attract more depositors.

 The No. Of persons deposited in recurring deposit A/c is very short it is countable
easily they have to increase this by giving more interest rates.
 The total interest amount paid by the Vijaya Bank is in the increasing trend. It should
try to reduce the total interest paid. At the same time it should maintain the increasing
trend of the depositors also.

 Deposits of the fixed deposit A/c is increasing every year although they have to
improve

 Interest rate for term of depositor is increased by bank. By this they can attract more
deposits.

 In the fixed deposit there is no interest rate for the deposit for the period from 1-14
days so to improve the deposits they have to give little interest rate to them, so that
they can improve depositors.

 Vijaya Bank introduced new scheme i.e Vijaya cash certificate, which is useful to the
public. So the bank has to introduce such type of new scheme to help the society as
well as to attract more depositors.

 The No. Of persons deposited in Vijaya cash certificate is very short it is countable
easily they have to increase this by giving more offers.

 Vijaya Bank opened scheme for NRI s but it is limited they have to improve it by
giving more interest, then other various schemes.

 The interest rate paid for senior citizens is more but the age give to recognize as a
senior citizen is 60 years. The bank has to reduce this age limit at least 50 years to
attract more customers.

 The loans provided for V star depositors based on the minimum balance of Rs5000/-
since from 6 months. The bank has to relax this eligibility to provide benefits to other
people also.

 Capital gain scheme provided by Vijaya bank helps to reduce the tax burden. So let
the bank maintain the same to attract more depositors who are having the interest of
tax planning.
  The loans provided up to 80% of the principle amount deposited in fixed deposit A/c
is a good facility which is provided to depositors let the bank maintain the same along
with reducing the rate of interest on loan given to the depositors.

General Suggestions:

 The bank should offer still more facility to the customer in order to mobilize mobile
the savings from them for purpose of further investment in some other scetor to
develop the economy

 The bank should try to increase rate of interest payable on deposit so as to attract the
customer

 The bank should provide ATM facilities to provide saft to customer

 The eligibility criteria and amount of loan sanction must relate to some extent so that
every person can make use of such facility.

 The Bank should balance properly the cash position in such a way that there should be
neither over capitalization and nor under capitalization

 The Bank should trade off correctly between the accept and deposits and sanction of
loan.

 Effective efforts should be adopted to collect debt from the public

 It should provide more subsidies to public

 The bank should decrease the rate of interest on the loan sanction under different
scheme so that each one can utilize the opportunity of develop further.

 Even while sanction the loan bank has to keep in the mind the benefit of removing
regional imbalance to develop economy as a whole . So it should consider the remote
area should make use such laons scheme.

 The bank should provide loan to Gold and other Loans to increase the income of the
bank.
  It has to provide few more loan to encourage educated unemployed youths to develop
sself employment among then and should help them to involve in economic
development of a country.

 It should adopt loan scheme in such a way that the poverty should be removed. For
these purpose lower sections of the society must be kept in mind.
BIBLIOGRAPHY

 Student handbook on cost accounting and financial management by B. Sravana

Prasad, Edition – 5th May, 2009.

 Financial Management Theory and Practice by Prasanna Chandra Edition, 5 th

2010.

 Financial Management M.Y. Khan and R.N. Jain.

 http: //www.geogle.com