1

PREFACE

“Experience is the best teacher”

This saying is very well applicable in everyone’s

life. Therefore as a student of management it must apply to me also, till date,
throughout the MBA course at college I have studied many principles Of
management and the application of these principles in the successful
organizations by successful MANAGERS, but what I really wanted from my
course was to experience this theory PRACTICALY .Then the
question arises that from where can I get this experience. Obviously I must
undergo practical training. To serve this purpose i have undergone 50 DAYS
Summer Training at HDFC BANK and as an outcome i
have prepared this project report.
This project report on
“CUSTOMER RELATIONSHIP MANAGEMENT IN NRI BANKING ”
is as per guidelines prescribed by IMED for MBA-GEN students. The
experience of this training
was very useful in understanding the real working of a successful Organization.
2

ACKNOWLEDGEMENTS

“There is no such thing as a self-made man, we all are

made up thousands of others” – George Adams.

If words are considered to be signs of gratitude then let these words

Convey the very same,my sincere gratitude to HDFC BANK for
providing me with an opportunity to work with the BANK and giving
necessary directions on doing this project to the best of my abilities.
I am highly indebted toMr.Mohib-ul-Hamid, NRI Banking Relationship
Headfor Jammu and Kashmir Division at HDFC Bank Srinagar Kashmir who
has provided me with the necessaryinformation and also for the support
extended out to me in thecompletion of this report and his valuable suggestion
and comments onbringing out this report in the best way possible.
I also thank my project guideMs.SonaliDharmadhikari, ofmy college IMED
(Bhartividyapeeth University)Pune ,who hassincerely supported me with the
valuable insights into the completionof this project.
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(CRM)

CUSTOMER
RELATIONSHIP
MANAGEMENT IN
(NRI)
BANKING
AT
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Company
Profile
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TYPE OF ORGANIZATION

(BANKING INDUSTRY)

WHAT IS A BANK?

“A bank is a financial intermediary that accepts deposits and channels those

deposits into lending activities. Banks are a fundamental component of the
financial system, and are also active players in financial markets. The
essential role of a bank is to connect those who have capital (such as
investors or depositors), with those who seek capital (such as individuals
wanting a loan, or businesses wanting to grow)”.

Banking is generally a highly regulated industry, and government restrictions

on financial activities by banks have varied over time and location. The current
set of global standards is called Basel II. In some countries such as Germany,
banks have historically owned major stakes in industrial corporations while in
other countries such as the United States banks are prohibited from owning

Non-financial companies. In Japan, banks are usually the nexus of a cross-

shareholding entity known as the keiretsu. In France, bankassurance is
prevalent, as most banks offer insurance services (and now real estate
services) to their clients. The most recent trend has been the advance of
universal banks, which attempt to offer their customers the full spectrum of
financial services under the one roof.
7

The oldest bank still in existence is Monte deiPaschi di Siena, headquartered in

Siena, Italy, which has been operating continuously since 1472.

The name bank derives from the Italian word banco "desk/bench", used during
the Renaissance by Jewish Florentine bankers, who used to make their
transactions above a desk covered by a green tablecloth. However, there are
traces of banking activity even in times ancient , which indicates that the word
'bank' might not necessarily come from the word 'banco'.

Banking (Standard activities)

Banks act as payment agents by conducting checking or current accounts for

customers, paying cheques drawn by customers on the bank, and collecting
cheques deposited to customers' current accounts. Banks also enable
customer payments via other payment methods such as telegraphic transfer,
EFTPOS, and ATM.

Banks borrow money by accepting funds deposited on current accounts, by

accepting term deposits, and by issuing debt securities such as banknotes and
bonds. Banks lend money by making advances to customers on current
accounts, by making instalment loans, and by investing in marketable debt
securities and other forms of money lending.

Banks provide almost all payment services, and a bank account is considered
indispensable by most businesses, individuals and governments. Non-banks
8

that provide payment services such as remittance companies are not normally
considered an adequate substitute for having a bank account.

Banks borrow most funds from households and non-financial businesses, and
lend most funds to households and non-financial businesses, but non-bank
lenders provide a significant and in many cases adequate substitute for bank
loans, and money market funds, cash management trusts and other non-bank
financial institutions in many cases provide an adequate substitute to banks for
lending savings to.

BANKING SECTORIN

INDIA

Currently, India has 96 scheduledcommercial banks (SCBs) - 27 public sector

banks (that is with the Government of India holding a stake), 31 private
banks (these do not have government stake; they may be publicly listed and
traded on stock exchanges) and 38 foreign banks. They have a combined
network of over 53,000 branches and 49,000 ATMs. According to a report by
ICRA Limited, a rating agency, the public sector banks hold over 75 percent of
total assets of the banking industry, with the private and foreign banks
holding 18.2% and 6.5% respectively
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PROMOTER OF THE COMPANY

“HDFC is India's premier housing finance company and enjoys an impeccable

track record in India as well as in international markets. Since its inception in
1977, the Corporation has maintained a consistent and healthy growth in its
operations to remain the market leader in mortgages. Its outstanding loan
portfolio covers well over a million dwelling units. HDFC has developed
significant expertise in retail mortgage loans to different market segments and
also has a large corporate client base for its housing related credit facilities.
With its experience in the financial markets, a strong market reputation, large
shareholder base and unique consumer franchise, HDFC was ideally positioned

to promote a bank in the Indian environment”.

11

HISTORY OF THE ORGANIZATION

If ever there was a man with a mission it was HasmukhbhaiParekh,

Founderand Chairman-Emeritus, of HDFC Group. HDFC BANK LTDwas amongst
the first to set up a bank in thePrivate sector. The Housing Development
Finance Corporation Limited (HDFC) was
Amongst the first to receive an 'in principle' approval from the
Reserve Bank of India (RBI) to set up a bank in the private sector, as
Part of the RBI's liberalization of the Indian Banking Industry in 1994.
The bank was incorporated in August 1994 in the name of 'HDFC
Bank Limited', with its registered office in Mumbai, India. HDFC Bank
Commenced operations as a Scheduled Commercial Bank in January
1995.
HDFC is India's premier housing finance company and enjoys an
12

Impeccable track record in India as well as in international markets.

Since its inception in 1977, the Corporation has maintained a
Consistent and healthy growth in its operations to remain the market
leader in mortgages. Its outstanding loan portfolio covers well over a
million dwelling units. HDFC has developed significant expertise in
retail mortgage loans to different market segments and also has a
large corporate client base for its housing related credit facilities.
With its experience in the financial markets, a strong market
reputation, large shareholder base and unique consumer franchise,
HDFC was ideally positioned to promote a bank in the Indian
environment.HDFC Bank began operations in 1995 with a simple mission : to
be a“ World Class Indian Bank.” And realized that only a single minded
focus on product quality and service excellence would help them get
there. Today, HDFC BANK is proud to say that they are well on their way
towards that goal.

“For the fourth year in a row , HDFC BANK has made it to the prestigious
Forbes Asia’s Fabulous 50 List of Companies, chosen from 910 publicly traded
(listed) companies in Asia Pacific with revenues or market capitalization in
excess of $3 billion(INR 14,400 crore).Called “Fab 50 in short.”
13

AWARDS

EUROMONEY
AWARDS 2010
BEST BANK IN INDIA

Economic Times
Brand Equity &
Nielsen Research
Annual survey 2009
Most Trusted Brand - Runner Up

Asia Money 2009

Awards
Best Domestic Bank in India

IBA BankingBest IT Governance Award - Runner up

Technology
Awards 2009
Global Finance
Award
14

Best Trade Finance Bank in India for 2009

Asian Banker
Excellence in
Retail Financial
Services
Asian Banker Best Retail Bank in India Award 2009

FINANCE ASIA
COUNTRY
AWARDS FOR
ACHIEVEMENT
2008
BEST BANK AND BEST CASH MANAGEMENT BANK

CNN-IBNIndian of the Year (Business)

Nasscom IT User
Award 2008
Best IT Adoption in the Banking Sector

Business IndiaBest Bank 2008

Forbes AsiaFab 50 companies in Asia Pacific

15

Asian Banker
Excellence in
Retail Financial
Services
Best Retail Bank 2008

Asia moneyBest local Cash Management Bank Award voted by

Corporates

Microsoft & Indian

Express Group
Security Strategist Award 2008

World Trade
Center Award of
Honour
For outstanding contribution to international trade services

Business TodayOne of India's "Most Innovative Companies

Financial Express-
Ernst & Young
Award
Best Bank Award in the Private Sector category

Global HR
Excellence Awards
- Asia Pacific
HRM
'Employer Brand of the Year 2007 -2008' Award
16

Business TodayBest Bank' Award

20

TYPES OF BUSINESS ACTIVITIES

CARRIED OUT

HDFC Bank offers a wide range of commercial and transactional banking

services and treasury products to wholesale and retail customers. The bank has
three key business segments:

WHOLESALE BANKING SERVICES

The Bank's target market ranges from large, blue-chip manufacturing

companies in the Indian corporate to small & mid-sized corporates and agri-
17

based businesses. For these customers, the Bank provides a wide range of
commercial and transactional banking services, including working capital
finance, trade services, transactional services, cash management, etc. The bank
is also a leading provider of structured solutions, which combine cash
management services with vendor and distributor finance for facilitating
superior supply chain management for its corporate customers. Based on its
superior product delivery / service levels and strong customer orientation, the
Bank has made significant inroads into the banking consortia of a number of
leading Indian corporates including multinationals, companies from the
domestic business houses and prime public sector companies. It is recognised
as a leading provider of cash management and transactional banking solutions
to corporate customers, mutual funds, stock exchange members and banks.

RETAIL BANKING SERVICES

The objective of the Retail Bank is to provide its target market customers a full
range of financial products and banking services, giving the customer a one-
stop window for all his/her banking requirements. The products are backed by
world-class service and delivered to customers through the growing branch
network, as well as through alternative delivery channels like ATMs, Phone
Banking, NetBanking and Mobile Banking.

The HDFC Bank Preferred program for high net worth individuals, the HDFC
Bank Plus and the Investment Advisory Services programs have been designed
keeping in mind needs of customers who seek distinct financial solutions,
18

information and advice on various investment avenues. The Bank also has a
wide array of retail loan products including Auto Loans, Loans against
marketable securities, Personal Loans and Loans for Two-wheelers. It is also a
leading provider of Depository Participant (DP) services for retail customers,
providing customers the facility to hold their investments in electronic form.

HDFC Bank was the first bank in India to launch an International Debit Card in
association with VISA (VISA Electron) and issues the MasterCard Maestro debit
card as well. The Bank launched its credit card business in late 2001. By March
2009, the bank had a total card base (debit and credit cards) of over 13 million.
The Bank is also one of the leading players in the “merchant acquiring”
business with over 70,000 Point-of-sale (POS) terminals for debit / credit cards
acceptance at merchant establishments. The Bank is well positioned as a
leader in various net based B2C opportunities including a wide range of
internet banking services for Fixed Deposits, Loans, Bill Payments, etc.

Treasury
Within this business, the bank has three main product areas - Foreign
Exchange and Derivatives, Local Currency Money Market & Debt Securities,
and Equities. With the liberalisation of the financial markets in India, corporate
need more sophisticated risk management information, advice and product
structures. These and fine pricing on various treasury products are provided
through the bank's Treasury team. To comply with statutory reserve
requirements, the bank is required to hold 25% of its deposits in government
19

securities. The Treasury business is responsible for managing the returns and
market risk on this investment portfolio.
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A
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D ORGANIZATIONAL STRUCTURE

DIRECTOR’S
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INTRODUCTION TO CRM

CRM (customer relationship management) is an information industry

term for methodologies, software, and usually Internet capabilities that help
an enterprise manage customer relationships in an organized way. For
example, an enterprise might build a database about its customers that
described relationships in sufficient detail so that management, salespeople,
people providing service, and perhaps the customer directly could access
information, match customer needs with product plans and offerings, remind
24

customers of service requirements, know what other products a customer had

purchased, and so forth.

The essence of the information technology revolution and, in particular,

the World Wide Web is the opportunity to build better relationships with
customers than has been previously possible in the offline world. By combining
the abilities to respond directly to customer requests and to provide the
customer with a highly interactive, customized experience, companies have a
greater ability today to establish, nurture, and sustain long-term customer
relationships than ever before. The ultimate goal is to transform these
relationships into greater profitability by increasing repeat purchase rates and
reducing customer acquisition costs. Indeed, this revolution in customer
relationship management or CRM.1as it is called, has been referred to as the
new “mantra” of marketing.2Companies like Siebel, E.piphany, Oracle,
Broadvision, Net Perceptions, Kana and others have filled this CRM space with
products that do everything from track customer behaviour on the Web to
predicting their future moves to sending direct e-mail communications. This
has created a worldwide market for CRM products and services of $34 billion in
1999 and which is forecasted by IDC to grow to $125 billion by 2004. 3The need
to better understand customer behaviour and focus on those customers who
can deliver long-term profits has changed how marketers view the world.

Traditionally, marketers have been trained to acquire customers, either

new ones who have not bought the product category before or those who are
currently competitors’ customers. This has required heavy doses of mass
25

advertising and price-oriented promotions to customers and channel

members. Today, the tone of the conversation has changed from customer
acquisition to retention. This requires a different mindset and a 3 different and
new set of tools. A good thought experiment for an executive audience is to
ask them how much they spend and/or focus on acquisition versus retention
activities.

While it is difficult to perfectly distinguish the two activities from each

other, the answer is usually that acquisition dominates retention.

According to one industry view, CRM consists of:

 Helping an enterprise to enable its marketing departments to identify

and target their best customers, manage marketing campaigns with
clear goals and objectives, and generate quality leads for the sales team.

 Assisting the organization to improve telesales, account, and sales

management by optimizing information shared by multiple employees,
and streamlining existing processes (for example, taking orders using
mobile devices)
26

 Allowing the formation of individualized relationships with customers,

with the aim of improving customer satisfaction and maximizing profits;
identifying the most profitable customers and providing them the
highest level of service.

 Providing employees with the information and processes necessary to

know their customers, understand their needs, and effectively build
relationships between the company, its customer base, and distribution
partners.

CRM--Customer Relationship Management--has entered the

mainstream. Despite the uncertainty of the economy, CRM is being thrust into
corporate budgets and talked about as a critical initiative by hundreds of
Fortune 1,000 and tens of thousands of other companies. It has gone from
being an important edge in the business world to a necessary tool for survival.
The notion of the customer as king or queen is once again the rule. How you
treat this is a mission-critical business issue.

But, what is CRM and how does it change the way companies do
business? The changes in the world have been so dynamic and so dramatic
that the path is not necessarily all that obvious. How CRM impacts that
business path is a continuing source of debate in the world of corporate
management.
27

Managing relationships with customers has become a critical

organizational competency. Get winning strategies for acquiring and retaining
customers by leveraging the latest advanced technologies. This course will
teach you how to select the right tools for your business-- so it can grow
today--and on into the future. Lagging means lost customers, which means
damage to the bottom line. But how do you not lag when customers are
moving lightning fast to demand constant changes in the speed to complete
their transactions? How do you keep your customers when the move to
another company is nothing more than a mouse click and a minute away?

CRM is the answer. Customer Relationship Management, a strategy that

leverages very advanced technologies is the way to cut to the 21st Century
business chase.

“CUSTOMER RELATIONSHIP
MANAGEMENT”

IN

“NRI BANKING”
28

Services offered to NRI Customers and

Quality Assurance is itself a proper definition
of

“CUSTOMER RELATIONSHIP
MANAGEMENT”

At
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ACCOUNTS AND DEPOSITS

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SAVINGS ACCOUNTS
Non-Resident Savings Account lets the customer to save the moneyin
Indiancurrency.
With full repatriation for the interest earned and no tax liability, the Savings
Account is the ideal way to grow your capital while abroad.

NRE SAVINGS ACCOUNT

NRE Savings Account lets the customer transfer the earnings to India
conveniently with complete security. He can repatriate the funds held in the
account along with the interest earned at any point of time and he doesn’t
even have to pay tax on the interest amount. With a host of direct banking
channels available at his fingertips, one can stay in complete control of the
hard-earned income abroad.

Transfer funds freely between India and abroad

Earn higher interest rates on your account

Pay ZERO tax on the interest earned on your NRE Account in India

Withdraw cash easily and shop worldwide with International Debit Card

Appoint a mandate to operate your account for you

Transfer your funds freely to any place outside India

Conduct transactions securely online, 24x7 with Net Banking

Pay utility bills - electricity, phone, mobile phone - payment by a simple

registration

Get a personalised cheque book

Get tax exemptions on interest earned and wealth tax

Get your account details in the monthly statements FREE

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Avail of Safe Deposit Lockers at certain branches

Invest in Mutual Funds by linking your NRE Savings Account to our Investment
Savings Account

NRO SAVING ACCOUNT

Right from repatriating funds after applicable tax payments to operating the
account through the various direct banking channels, experience hassle-free
banking from any corner of the world.

Withdraw cash and shop in India with your EasyShop NRO Debit Card

Entrust a relative or friend with an additional ATM Card

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Local representative can operate the account with a Letter of Mandate

Open an NRO Account jointly with an Indian Resident

Conduct transactions online, 24x7 securely with NetBanking

Manage your account easily with PhoneBanking

Bank from any metro in India with Intercity Banking

Pay utility bills – electricity, phone, mobile phone – payment by a simple

registration

Get a personalised cheque book

Appoint a beneficiary to operate the account with the nomination

facility

Get your account details in the monthly statements free

CURRENT ACCOUNTS
At HDFC Bank, we offer you 2 options for Current Accounts.

NRE CURRENT ACCOUNTS

Transfer and repatriate funds easily with your NRE Rupee Current Account.
Convenient banking options make your account accessible to you from
anywhere in the world.

Ideal for foreign nationals who have ESOPs Employee Stock Option Plan
(ESOP) are the shares offered to the employees of a company, wherein
promoters decide to dilute their stake. Employees are often given a
share of the business after a certain length of employment or they can
buy shares at any time.issued by Indian companies
33

Repatriate your principal and interest amount fully

Remit funds easily through Quickremit, IndiaLink, Cheque LockBox,

Telegraphic Transfers and Cheque / Draft for free

Utilise account balance for repatriable investments as well as local

payments in India

Deposit your overseas earnings in the non-interest bearing Rupee

account

Avail of free ATM Card for the mandate holder in India

Get an International Debit Card

Get a personalised cheque book

Operate your account, anywhere, anytime with convenient banking

channels like NetBanking

NRO CURRENT ACCOUNT

Park your Indian earnings or remit funds through various channels; NRO Rupee
Current Account is an ideal account for foreign corporate bodies and foreign
nationals on visits to India.

Repatriate interest amount after payment of tax in India

Remit funds easily through Quickremit, IndiaLink, Cheque LockBox,

Telegraphic Transfers and Cheque / Draft

Deposit your Rupee earnings in the non-interest bearing Rupee account

Open an account jointly with an Indian resident

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Utilise account balance for repatriable investments as well as local

payments in India

Avail of free ATM Card for yourself and the mandate holder in India

Get a personalised cheque book

Operate your account, anywhere, anytime with convenient banking

channels

Ideal for foreign corporate bodies & foreign nationals on visitor's visa to
India

A non-interest bearing Rupee denominated

Current A/c to park your rupee earnings

FIXED DEPOSITS
Our Fixed Deposits allow you to make productive use of your earnings in
Indian currency. Along with the easy repatriation, reduced tax liabilities,
HDFC Bank Fixed Deposits include unique facilities of Super Saver and
Sweep-In, which offer you dual advantages or take care of any deficit in
the Savings or Current Account linked with the Deposit.

NRE FIXED DEPOSITS

NRE Fixed Deposits are maintained in Indian Rupees. Repatriate the

principal and interest amount fully among the many other benefits.
35

Earn interest at higher rates than the Libor is an interest rate at which
banks can borrow funds, in marketable size, from other banks in the
London interbank market  rate

Partial withdrawal of the deposits is allowed

Avail of overdraft up to 75% of the deposit, or Rs. 1 Crore, whichever is

lower, for self or others

Repatriate your complete deposit (principal and interest) at any time

Enjoy tax exemption from the entire deposit (principal and interest)

Open the deposit jointly with any other NRI

Avail of the nomination facility

Earn interest at better rates than Libor

Partially withdraw your deposits when needed

Avail of the overdraft

facility for self and for others

NRO FIXED DEPOSITS

Invest in NRO Fixed Deposits for high growth returns on your savings.
Maintained in Indian Rupees, the Deposits are an ideal long-term
investment option for you.

Enjoy higher interest rate on your deposits

Repatriate the interest on your deposit

Avail of overdraft up to 75% of the deposit, for self or others

36

Open the deposit jointly with a resident individual

Interest credited every 3 months

Avail of the nomination facility

SUPER SAVER ACCOUNT

The Super Saver Account is a premium Savings Account, i.e. a combination of a

Fixed Deposit and a Savings Account. It thus gives you the yield of a Fixed
Deposit and liquidity of a Savings Account.
The other features of a Super Saver Account are:

Super Saver Account gives you the dual advantage - liquidity of a Savings
Account + high interest rates of Fixed Deposit. You can avail of an overdraft up
to 75% *of the value of your Fixed Deposit.

Interest rates on your Super Saver Deposit vary according to the tenure of your
deposit.
Here's how you earn a higher interest rate than you would with a Regular NRI
Savings Account

SWEEP IN ACCOUNT

All NRI account holders are eligible to open the Sweep-In Account.

The facility is available against the NRO/NRE Term Deposits and is not
available against FCNR Term Deposits.

The Sweep-In facility is a cluster deposit (held in units of Re.1) with a cheque

book and ATM/ Debit card as applicable.

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We will automatically break units of term deposits held by you, if there are

insufficient funds in your Sweep-In Savings/Current Account to clear a cheque.

The same will happen when you wish to withdraw money using your

ATM/Debit Card and there are insufficient funds in the account. The Sweep-In

facility gives you the high interest rates of a Fixed Deposit and the liquidity of a

NRI Savings Account.

You only need to have a NRI Savings Account with the Bank. The Sweep-In

facility will link the deposits you choose to the Savings Account. Whenever

there are insufficient funds in the Savings Account to clear a cheque, we will

break units of the deposit (to the next Rupee) to clear the cheque. On this

portion of the deposit being broken, you will earn a rate of interest for the

tenor that the deposit has remained with the Bank and that was applicable at

the time when the original deposit was placed. The rest of your deposits will

continue to earn the original high rate of interest. Link your Fixed Deposit to

your NRI Savings or Current Account and it’ll take care of deficits, if any, in your

NRI Savings or Current Account without losing out on the interest.

FOREIGN CURRENCY DEPOSITS

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At HDFC Bank, we offer 2 options for Foreign Currency Non-Resident Deposits

in

6 foreign currencies - US Dollars, Pounds Sterling, Euro, Japanese Yen,

Australian Dollars, Canadian Dollars Deposit in foreign currency protecting you
from exchange rate risks

Principal and interest fully repatriable Tax exemption on entire deposit Can be
held jointly with other NRI customers

FCNR DEPOSITS

With this account not only will you grow your foreign currency securely by
protecting it against exchange rate fluctuation but also earn interest at Indian
rates.

Under this scheme, you can open Fixed Deposit Accounts in USD, GBP, EURO,
JPY, AUD& CAD.

Hold your deposit in any of the 6 foreign currencies - US Dollars, Pounds

Sterling, Euro, Japanese Yen, Australian Dollars, Canadian Dollars

Repatriate principal and interest amount fully

Enjoy tax exemption on the entire deposit

Open the deposit jointly with other NRIs

Avail of Super Saver facility to get an overdraft on your NRO Savings /

Current account against your FCNR Fixed Deposit

Avail of the nomination facility

Minimum initial deposit -

USD 1,000/-, GBP 2,500/-, Euro 2,500/-, JPY 7,50,000/-, AUD 1,000/- , CAD
1,000/-
39

Minimum add-on deposit -

USD 1,000/-, GBP 1,000/-, Euro 1,000/-, JPY 7,50,000/-, AUD 1,000/-, CAD
1,000/-

Maintain the deposit for tenure of minimum 1 year and a maximum of 5

years

RUPEEMAX

Make your Rupee earn more with RupeeMax 

Presenting you with a forward cover product, designed to get you
maximum returns in INR. RupeeMax locks into an exchange rate to convert
foreign currency investments into Indian Rupees.

Minimum deposit amount - USD 1000/ GBP 2500/ Euro 2500

No lock-in period

Earn higher yield than your normal FCNR Deposit / NRE Deposit

Repatriate the proceeds on maturity

Simplified documentation

ACCOUNTS FOR RETURNING INDIANS

At HDFC Bank, we offer 2 options for Returning Indians.

RFC SAVINGS ACCOUNT

Stay protected from exchange rate risks with your RFC Savings Account as
you can hold the Deposit in 4 foreign currencies and convert them into
Rupees anytime you desire.
40

Keep your foreign earnings in the same currency – saving yourself from
exchange rate risks

Transfer balance to NRI Accounts on regaining NRI status

Withdraw cash in Rupees

Earn tax exemption on interest accrued on declaration of Resident but Not

Ordinarily Resident status

Repatriate funds for  purpose

Avail of the nomination facility

Receive quarterly statements for free. Monthly and duplicate statements

are charged nominally

Enjoy free 24-hour PhoneBanking

Enjoy the convenience of banking at any of our branches in India

Your RFC Savings Account is maintained in permitted currencies such as USD,

GBP, JPY, EURO.

RFC FIXED DEPOSITS

Enjoy the flexibility of converting your foreign currency deposits into Indian
rupees whenever required with RFC Fixed Deposits.

Book Fixed Deposit in 4 foreign currencies and protect your deposit from
exchange rate risks

Repatriate your funds for bonafide reasons (for account holders only)

Get TDS exemption on interest earned basis declaration of RNOR

status at the start
of the financial year
41

MONEY TRANSFER
42

QUICK REMIT

Quick remit is the online money transfer service from HDFC Bank. Completely
free of charge, this service offers you the best exchange rates in town without
compromising on the security and agility of the service.

Superior exchange rates

Transfer money FREE of charge

Direct credit to your or your beneficiary's HDFC Bank Account in INR

Direct credit to your or your beneficiary's account with other banks (more
than 54200 branches of over 90 banks across India)

Doorstep delivery of Rupee Demand Draft at over 1650 locations across

India

Track your transfer through the online tracker and via e-mails

Maintain an address book of all beneficiaries

Send a personalised message with the remittances

Round-the-clock customer service assistance available at your service

Make online donations to a host of charitable trusts and organisations

CHEQUE LOCK BOX

Remitting money through Cheque LockBox is as simple as dropping off a local

cheque to your nearest mailbox. And within a few days, the cheque will be
credited to your beneficiary's account in HDFC Bank without any hassles.
Safe and efficient, Cheque LockBox offers you a more economical way than a
43

SWIFT remittance to India.

All you need to do is –

Fill in a Cheque Box deposit slip

 Attach a US dollar denominated cheque
 Post it to a local mailbox

Through a central cheque collection system, our Correspondent Bank collects

it, sends it to for local clearing on the following working day and on receiving
the funds, we credit the beneficiary's account.

Post the cheques from the comfort of your home

Remit as much as you want to

Get more Rupees with superior exchange rates

TELEGRAPHIC WIRE TRANSFER

Transfer funds from a local bank outside India to your beneficiary's HDFC Bank
Account in India through our correspondent banks around the world with
Telegraphic / Wire Transfer. Also, you can open a Rupee or foreign currency
Fixed Deposit through remittance via wire transfer
44

FUNDS TRANSFER

You can send cheques / Demand Drafts to your branch in India along with a
letter of instruction mentioning the account number where the funds have to
be credited.
We have an arrangement to collect cheques / drafts in the following
currencies:
USD, GBP, EUR, CAD, SGD, AUD, JPY, NZD, HKD, CHF, SEK, NOK, AED
The clearing time required for USD cheques / Demand Drafts made payable in
New York is 10 -12 working days.

INVESTMENTS
45

MUTUAL FUNDS

Mutual Funds offer you the simplest way of investing in increasingly complex
financial markets. With the advantages of diversification, liquidity, professional
management, etc. available with Mutual Funds, you can be sure of peace of
mind regards the growth of your hard earned money.

he reason that mutual funds are so popular is that they offer the ability to
easily invest in increasingly more complicated financial markets. A large part of
the success of mutual funds is also the advantages they offer in terms of
diversification, professional management and liquidity.

Mutual Fund investments also offers you a lot of flexibility with features such
as systematic investment plans , systematic withdrawal plans &.

They are available in units so this makes it very affordable. Because of the large
corpus, even a small investor can benefit from its investment strategy.
46

In , you have the option of withdrawing or redeeming your money at any point
of time at the current NAV.

Risk is lowered with Mutual Funds as they invest across different industries &
stocks.

Expert Fund Managers of the Mutual Fund analyse all options based on
experience & research.

The fund managers who take care of your Mutual Fund have access to
information and statistics from leading economists and analysts around the
world. Because of this, they are in a better position than individual investors to
identify opportunities for your investments to flourish.

The benefits of scale in brokerage, custodial and other fees translate into lower
costs for investors.

The Mutual Funds sector is regulated to safeguard the investor's interests.

Your relationship managers will help you determine your investment profile,
which will be based on your needs, possibilities and expectations. Your
investment profile will help you choose the type of investments that suits you
the best.

PORTFOLIO INVESTMENT SCHEME

Trade on recognised Indian stock exchanges under the Portfolio Investment

Scheme (PIS) through designated branches of HDFC Bank from any corner of
the world.
47

PRIVATE BANKING

At HDFC Bank, we understand the value of your time and the opportunities it
holds for you. Your personal financial investment needs might get overlooked,
while you attend to your business and professional needs. In line with this, we
are pleased to offer to you a customised Investment Advisory Service for your
existing portfolios and regular investable surpluses.

The service offers research – based advice to optimise returns on your

investment portfolio across a range of financial instruments, keeping in line
with your profile and investment objectives. Your existing portfolio is analysed
to advice you on rebalancing to obtain an optimum asset mix. Here, a
dedicated advisor regularly guides you through the evolution of new market
opportunities, to evaluate and restructure your existing investment portfolio.

Multiple Recognition from Euromoney

A testament to our endeavor towards providing exceptional service to each of

our customers is the following rank that we have earned in a recently
conducted Euromoney survey.

Rated as the Best Private Bank in the Super Affluent Category in India.

Advisory Services

The starting point is profiling

The advice we give is as unique as you are. It is based purely on your appetite
for risk, time horizons and need for liquidity. So at the very inception, we work
intensively towards understanding you. Your requirements and profile is
agreed upon and then documented through a consultative process. We take
cognizance of the fact that your profile is likely to change with time and hence
we follow this process on a continual basis.

Allocation – A time tested fundamental principle of investment

A lot of emphasis is laid on the mechanics of asset allocation, as we

believe that this is the basic tenet of portfolio optimisation. This involves
allocating your portfolio across various asset categories - essentially
debt, equity and cash. Deciding upon your asset allocation is a synthesis
48

of science, art and investment discipline.

Portfolio analysis and financial planning We analyse your existing

portfolio allocation and recommend changes in line with current
opportunities, your profile and cash flows, risk appetite and financial
requirements.

A comprehensive investment plan is drawn out to meet your long and

short- term financial goals across multiple asset categories.

Portfolio review and tracking

Your portfolio is tracked on an ongoing basis to monitor the portfolio

returns, cash flows and asset allocation. We continually advice you on
appropriate rebalancing of your portfolio on the basis of performance of
each asset category and analysis of future expectations. All portfolios are
approved by our research desk on an ongoing basis.

Advice across asset categories

We offer research-based advice across asset categories like mutual

funds, equity and its derivatives, insurance and more. Hence, our service
is a one-stop-shop for your entire portfolio needs saving valuable time.
Also, a holistic view of your portfolio across all asset categories helps us
advice you better and offer you a consolidated wealth statement.

Dedicated investment advisor

For you, time is priceless, which is why a trained personal advisor is

assigned to you as a one-point contact, guiding you and attending to all
your investment related needs. The advisor on an ongoing basis helps
you restructure and monitor your portfolio based on research desk's
recommendations as well as provides procedural assistance, both
through online and offline modes.

Value added services

We also offer value added services that help your portfolio like
transaction audit for transactions done through HDFC Bank, tax guidance
and opinions in related areas.
49

Research Reports

In- house research desk

With the help of our experts, our advice comes unbiased as it is based
on due diligence, and does not follow the herd mentality. Selection of
mutual funds is based on broad parameters and is built on statistical
models and quantitative tools like standard deviation, volatility, rolling
returns, expense ratio and more. Active inputs are also taken from our
equity desk in the selection process. Our equity desk tracks various
sectors and uses a bottom-up approach to identify stocks. Exposure to
these is recommended basis on your risk profile – be it conservative,
aggressive or super aggressive.

Research Reports

In this world of communication clutter, it is becoming increasingly

difficult to sift out information that is relevant to your portfolio. Multiple
reports running into multiple pages with points and sub-points leave you
with complex data you don’t have time to go through. Our research
reports are designed to provide you relevant information in the simplest
formats.

AAG – At A Glance

An exclusive monthly magazine is available only to our investment

advisory clients. It is a widely acknowledged monthly publication
produced by the bank’s research team that analyses specific mutual
funds, stocks, sectors and the equity / debt / forex markets, providing a
sharp view of the equities and debt markets
50

LOANS

HOME LOANS

No matter where you are in the world, Home Loans from HDFC Ltd make
owning a home in India, simpler. Get your dream home in India at attractive
rates with flexible repayment options, minimum paperwork and a complete
guidance at every step.

Home Loans from HDFC Ltd offers you

Attractive interest rates

Dedicated and experienced team of experts

51

Extensive branch - service center network

Expert legal and technical advisors

Safe document storage facilities

turn your dreams into reality by owning the home of your dreams.

LOAN AGAINST SECURITIES

With HDFC Bank's Loan against Securities, you can get an overdraft against your securities
like Equity Shares, Mutual Fund Units, US 64 Bonds, while still retaining ownership.

NRI PREFERRED BANKING

Exclusivity is the word to describe the HDFC Bank NRI Preferred Banking
experience. With a dedicated Relationship Manager who helps you every step
of the way for your financial and banking needs, you are in for exclusive
privileges and benefits.

Dedicated Relationship Manager for all your financial needs and to help you
make sound investment decisions
Exclusive privileges:

Free International Gold Debit Card, with a higher spending limit of up to Rs.
50,000 and a cash withdrawal limit of up to Rs. 50,000/- per day
52

Combined monthly statement of your Savings and Fixed Deposit Accounts

No minimum balance requirement in your accounts

Free 'at par' cheque books on your Savings Accounts

Free Alerts on your mobile phone or in email inbox with InstaAlert

Free standing instructions facility

Preferential Forex rates

50% discount on locker charges
Preferential loan rates
Multiple investment options like Rupee deposits, FCNR and Offshore
deposits, Mutual Funds, Insurance, trading in the Indian Equity market,
Currency forward covers and tax savings investments
Buy, sell your Mutual Funds and view your portfolio online, with updated
NAV values and other relevant details
Trade in equities on recognised Indian stock exchanges under the Portfolio
Investment Scheme* (PIS)
Avail of online trading services through HDFC Securities and link your
Savings, Demat, PIS and Trading Accounts to enjoy a seamless flow of funds
and shares between your accounts
Sign up for our Private Banking Services* and benefit from our extensive
research across Equities, Debt, Mutual Funds and Commodities.
Waiver of up to Rs.2,500 per annum on a host of service charges:

Demand Draft / Manager's cheque charges

Inter-branch funds transfer charges

Cheque return charges

Stop payment charges

Cheque collection charges

Outward remittance charges

DD cancellation charges

Hold mail charges

53

Duplicate statement charges

Recovery of old records charges

PAYMENT SERVICES

BILLPAY

Enjoy the convenience of paying your telephone, electricity and mobile

phone bills through the Internet, ATMs and telephone - using BillPay, a
comprehensive bill payments solution.

No queuing up at collection centres or writing cheques

Variety of payment modes - Internet, ATMs, Telephone

Payments can be made right up to the due date

Check your bill amount before you make any payments - ensuring you pay
the exact amount
54

DIRECTPAY

Shop online without cash or Debit / Credit Card with Direct Pay. All you need is
your HDFC Bank Savings/Current Account

Shop online on any websites offering HDFC Bank's Direct Pay facility

Select the products that you would like to purchase

In the checkout process, select HDFC Bank's NetBanking as your

option

Authorise the transaction using your Customer ID and NetBanking

password

The purchases are debited directly to your account and credited to

the account of the establishment (or the website where the
purchases were made)

Apart from Sh0pping you can also Purchase railway tickets, pay your
telephone, mobile bills and insurance premium online

Offers highest level of security with 128-bit SSL (Secure Socket Layer)
encryption

Your NetBanking details (Customer ID and password) are kept

confidential and cannot be viewed by the merchant

INSTAPAY

Pay your bills, make donations to charity organisations or subscribe to

magazines by logging on to the HDFC Bank website. All this, without the
hassles of registration!

No need to stand in queue or write cheques, pay at your convenience

from home or office

No need to register for the service before paying bills

55

Make electric bill payments at least 2 days before the due date

You need to have NetBanking password for making the payments

Submit the correct bill details, incorrect details will lead to wrong
payments to the utility company. In such a case, customers will have
to follow up with utility company

NETSAFE

NetSafe, is a unique online payment solution that offers you complete security
while shopping on the Internet. Just create a virtual card (NetSafe Card) from
your HDFC Bank Visa Credit / Debit Card number with the amount desired by
you. Use it at online merchant sites to shop conveniently.

Your HDFC Bank Credit / Debit Card number is never revealed on the
merchant website

NetSafe Card you create is a one-time use card

Set your own limit for the NetSafe Cards you generate

Use it on all merchant websites that accept VISA/MasterCard Credit

Cards

Purchases made with your NetSafe Card appear on your statement,

just like any other transaction

Registration for NetSafe is a one-time process after which you can

generate NetSafe Cards anytime, anywhere. So, go ahead and enjoy a
safe online shopping experience with NetSafe!

NGPAY

Transfer funds, shop on your mobile with select merchants from wherever you
are with ngpay.
56

ngpay offers a range of services from its network of partners. In a simple,

consolidated menu, you can discover and choose merchants or service
providers with whom you want to transact.

Access your HDFC Bank account:

Full suite of MobileBanking and Payment Services including Fund
Transfer facility. You can transfer funds to any HDFC Bank Account or
any Visa Card (Debit or Credit) within India using ngpay.

Movie ticket booking:

Book movie tickets at Big Cinemas, Fame Cinemas, INOX Cinemas,
PVR, Fun Cinemas, FilmsNTickets, Indian Stage etc; Search for shows,
select / view seats and pay for tickets

Book travel tickets:

One stop solution for all your travel needs. Plan your journey through
IRCTC, KingFisher Airlines, Make-My-Trip, Yatra, redBus, Savaari,
KSRTC etc

Shopping:
Send flowers & gifts, purchse books, and much more through Ferns N
Petals, Gifts 360, Landmark, Archies, FutureBazaar, Asian Sky Shop
and many more

ONLINE DONATIONS

Make Online Donations in India from anywhere you are.

Cancer Patients Aid Association (CPAA)

57

Cancer Screening

Patient Care

Cancer Patients Aid Association (CPAA) is a registered charitable non-

governmental organisation (NGO) working towards Total Management
of Cancer as a disease.

CPAA's activities encompass every area related to cancer, including

prevention, early detection, counselling, medical and financial aid and
rehabilitation. CPAA's thrust has been on doing for the cancer patients
what the hospitals cannot.

CHILDLINE India Foundation

CHILDLINE India Foundation is India's first 24-hour helpline service for

children in need. Any concerned adult or a child in need can call
CHILDLINE through its toll free number 1098 and access its service.
CHILDLINE is a non-profit helpline and goes beyond counselling over the
phone by using the telephone as a medium to link children in need to
services that exist for their rehabilitation.

CRY

CRY is an Indian NGO that works for the benefit of underprivileged

Indian children by acting as the link between donors like you, and 171
58

grassroots-level initiatives that are working for the welfare of various

groups of marginalized children.

National Association of Blind

Established in 1952, National Association of Blind India works for the

welfare of visually impaired people. NAB is 'The Apex Body' that co-
ordinates and guides the activities of various societies, institutions and
individuals working for the welfare for the blind.

PETA

People for Ethical Treatment of Animals (PETA) is the largest animal

rights organization in the world. PETA India, based in Mumbai, was
launched in January 2000.

PETA India operates under the simple principle that animals are not ours
to eat, wear, experiment on or use for entertainment. It seeks to
educate policymakers and the public about animal abuse and promoting
an understanding of the right of all animals to be treated with respect.

Pride India (Planning Rural-urban Integrated Development

through Education)
59

Started in 1982, PRIDE INDIA (Planning Rural-urban Integrated

Development through Education) is a non-governmental development
organisation focused on empowering rural poor through socio-economic
enterprises to improve their quality of life.

It aims to reverse the migration of the rural people to cities and invites
people to urban citizens to migrate to a rural set-up.

SAVE

SAVE The Children India (STCI) is a non-governmental organization that

has been working on the empowerment of disadvantaged women and
children since 1988. Empowering the disadvantaged has meant focusing
energies and resources on education and health issues.

Shree SiddhivinayakGanapatiMandir
One of the most significant places of worship in Mumbai is the Shree
SiddhivinayakGanapatiMandir. The black stone idol of Shree Siddhivinayak,
two and half feet wide, having the tilt of the trunk to the right side has four
hands (Chaturbhuj). Flanking the deity are Riddhi& Siddhi, goddesses signifying
sanctity, fulfillment, prosperity and riches.

WISE
60

WISE - Women's Institute for Social Education is a non-governmental

organization working with young women to provide them better life
options in the slums of Mumbai, through their adolescent years to the
early years of their marriage.

Ambaji Temple, Gujrat

Ambaji-the Origin of the Supreme Cosmic Power of the Universe is one
of the fifty one ancient Shakti Piths Tirth in India. The Ambaji temple is
being managed by the ShriArasuriAmbaji Mata Devstan Trust, Ambaji.
The trust has undertaken numerous activities like building of
Dharamshala, Resthouse, School, College Etc.

NathdawaraMandirMandal, Udaipur
Nathdwara is one of the celebrated pilgrimage shrines of India, enshrining
Krishna as GovardhanaGiridhari. The name Nathdwara, means Gate of the
Lord. Nathdwara is situated 48 km north east of Udaipur in Rajasthan, on the
banks of the Banasriver.It is being managed by Nathdwara Temple Board.

WAYS TO BANK
61

BANKING ONLINE

Net Banking

View account balances & statements

Transfer funds between accounts

Pay bills, and much more

Email Statements

FREE statements for Savings and Current Accounts

Monthly statements for savings accounts

Daily / weekly / monthly statements for current accounts

BANKING WITH YOUR PHONE

Mobile Banking

Use ngpay for a wide range of financial transactions

Transfer funds, shop on your mobile, and more

InstaAlerts

Receive real-time account updates on your phone or email

Register for InstaAlert using NetBanking

62

BANKING IN PERSON

P.O. Boxes

Send your account instructions to a local P.O. Box, and have them reach
us free of charge

NRI Centers in India

Get help with NRI-related accounts or queries at select branches across

India

OneView

Manage multiple accounts with different banks

Remember only ONE password.

No charges whatsoever - Absolutely FREE!

Phone Banking

Dial in to Phone Banking to perform transactions.

Talk to a Phone Banker, for live assistance.

NRI Access Points

We have representative offices to serve you in the Gulf, Kenya and Hong
Kong

ATMs

24-hour access to cash, view mini-statement, order cheque books,

recharge your prepaid cards, all from our wide network of over 4,232
ATMs.
63

CUSTOMER PROFILING

Individual Profile Information

Instructions: To be filled by the relationship manager in consultation

with the client so that the bank can design and offer services which
meet the needs of the client across all product categories

Name: ................................................................................................................................
64

Group ID: .........................................CustID: .......................................................

Tel No:.......................................................DOB : ............................................................

Email ID:...........................................................................................................................

Personal Details

Marital Status: Married Single

Family Details

Member with Name Age

Wife
Child 1
Child 2
Others

Occupation:Salaried Self Employed Professional Business

Retired Student Others

Place of Work : .....................................................No of years of Stay :.................

Present Company/ Employer:................................................................................

Designation :................................ Time of visit to India :.....................................

Purpose of visit: Relatives Business Sightseeing Others

Financial services normally availed of :

Depository Account Yes/No Private Banking Yes/No

65

Mutual FundsYes/No Broking Account Yes/No

Structured Products Yes/No Mortgage Yes/No

PIS Account Yes/No Credit Card Yes/No

Insurance Yes/No

What investment products do you choose (please indicate in space

below) e.g. Bank Deposits/Mutual Funds Equities

...............................................................................................................................................

...............................................................................................................................................

Do you have an investment relationship for either advisory or

management with anyone? Yes/No

Do you have any credit cards issued by Domestic Banks Yes/No

Which are the banks that you have banking relationships across
domestic and international banks? (Please indicate in space)

..................................................................................................................................

..................................................................................................................................

.................................................................................................................................

Sheet 1

Name of Customer

Family Tree

Relation Name A/c Y/N Age

Self
Spouse
66

Son/Daughter 1
Son/Daughter 2
Brother
Sister
Mother
Father
Other Close Relatives

Current
Position
Customer
Name
Cust ID
NRE A/C NO
NRO A/C NO
FCNR Deposit
NRE Deposit
NRO Deposit

Family Detail Name Res/NRI Working/Studying Ac Ac no

with
us
Spouse
Child 1
Child 2
67

Child 3
Father
Mother
Brother
Sisters
In Laws

Transaction Amt Investment Other Mention

detail
Fixed regular
Dr
Large
transaction
Fixed regular
credit
AvgQtr Balance
Avg Monthly
Bal

Existing Yes/No Amount

Product
Holding

Family a/c
Net banking
reg
Net banking
usage
Insurance
MF
ISA
D mat
HSL/PIS
Advisor
Gold Bar
NRE FD
NRO FD
NRSB A/C
FCNR deposit
NRO A/C
68

Offshore
Deposit
Any Other
Product

Customer Interaction Log

Date Nature of Interaction Result/Follow

Up
69

Product to be sold Date Update

Family A/c
Net Banking Reg
Net Banking Usage
Insurance
IMF
ISA
Demat
HSL/PIS
PBG Advisor
Gold Bar
NRE FD
NRO FD
70

FCNR Deposit
NRE A/c
NRO A/c
Offshore Deposit
Credit Card
Any Other Product
Reference