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Introduction Whatever the mind of man can conceives and believe, the mind can achieve Man is a complex

mix of elements and ever new invention motivates him to achieve something new. There was a time when human race struggled for food lived in caves and then slowly, gradually and eventually with his strong desire, dedication and determination he moved on to invention of wheel, two wheelers, four wheelers, computer, laptop, economy, currency and unending list of elements.As the development continues with accelerated momentum he felt a strong need of something which could add him in enhancing what he had with something what was in possession of someone else and thus Money and Economy were born.But this was sheer beginning. Slowly men felt need of a institution which can safely keep the wages of man, can provide him money over some obligation (interest) when he was in dire need and thus it was conception of the institution called Banks.At the time of its conception the primary purpose of a bank was provide loan to trading companies; and the name bank derived from Italian word banco naming desk / branch used during renaissance by Florentine Bankers who used to make their transaction above desk covered by green table cloth.Change is a part of Life.It is apt to say that with the increasing facilities man craves more and it is this craving of his which introduces various changes in the modus operandi of 2 various activities. Thus with the passage of time, the function of bank penetrated to individual.Bank today cover various financial and commercial activities which includes : Issue of promissory notes. Processing of payment by way of telegraphic transfer. Issuing bank drafts and cheques Accepting money on term deposit. Lending money by way of overdraft, installments, loan or otherwise. Safe keeping of documents and other items in a safe deposit box. Currency exchange. Sales, distribution or brokerage with or without advice, of insurance, unit trusts and similar financial products.As service of bank expanded, bank started using various methods which can aid in managing all the functions of bank and thus banks introduced, various physical evidence like cheques, bank drafts and ATMs, Credit cards etc.An ATM [Automated Teller Machine] is a technological version of traditional bank teller who used to disperse cash and other facilities over bank counter. However bank teller was available only during bank working hours, the ATM are 24 X 7, at disposal of customers.

Thus ATM is computerized telecom device that provide a customer of a financial transaction in a public place without the need of human desk [bank teller].However ATM are invention of 20 th Century when in 27 th June 1967, Barclay Bankers installed first electronic ATM in Enfield town in North London.I India SBI was first Bank to introduce ATM Service in 1996. PNB, the second largest government owned commercial bank in India with about 4500 branches across 764 cities and serving over 37 million customers to introduce this service soon after SBI. Thus the ATM Service slowly become common to various bank in India too. Today almost all the bank issue a free of cost ATM to all the customers of all their branch that are internet worked through core banking system. Hence, it is an endeavor to draw a comparative study between the pre issuance and post issuance ATM Service of the major government owned banking Titans. SBI&PNB 4 OBJECTIVE OF THE PROJECT Objectives of the Project Whether the customer is satisfied with ATM facility? If yes to what extent, if no what are the shortcomings. What are the shortcomings, which need attention? To draw Comparison between the Satisfaction of Customers from ATM services of SBI and PNB IMPORTANCE OF IMPORTANCE OF THE STUDY Importance of the study It is aimed to study the Customer Preference towards ATM Services of Punjab National Bank and State Bank of India . The project is analyzed the demographic, psychographic and preference characteristics of the customers in using ATM. It includes the detailed study of customers focusing on the various parameters that lead to identifying and understanding the perception of the customer and behaviour regarding services 8 offered by SBI and PNB. SBI and PNB, both are public sector bank and enjoy the loyalty of customers due to their work quality and long era of services. So it becomes important to reveal a correct diagram and impact of the ATM services provided by it maintaining their dignity and position METHODOLOGY METHODOLOGY

9 OF THE STUDYOF THE STUDY METHODOLOGY OF STUDY: Research can be defined as a systemized effort to gain new knowledge. A research is carried out by different methodologies which have their own pros and cons. Research methodology is a way to solve research in study and solving research problems along with logic behind them are defined through research methodology. Thus while talking about research methodologies we are not only talking of research methods but also consider the logic behind the methods. We are in context of our research studies and explain why it is being used a particular method or technique and why the others are not used. So that research result is capable of being evaluated either by researcher himself or by others. 10 ASSUMPTIONS: 1.It has been assumed that sample of hundred represents the whole population2.The information given by the customer is unbiased LITERATURE SURVEY: The project is based on pure findings of facts COLLECTION OF DATA: This research is solely based on primary research done by means of questionnaires targeted to respondents who primarily belong to the business and service sector. The sample size is 100. Survey has been conducted in Sitapur Region. a.Sampling Methods: A sample is the representative of the populations which will predict the behaviors of the whole universeb.The sampling size put under 2 categories: Probability Sampling and Non Probability Sampling. EXECUTION OF PROJECT It is very essential in the research process to know the accuracy of the findings which depends on how systematically the study has been carried out so that it can make sense.We have executed the project after prior discussion with our guide and structured in the following steps: 11 a.Preparation of a questionnaireb.The focal point of the designing the questionnaire was to comprehend the current investment scenarioc.This questionnaire was primarily aimed to respondents who belong to the service and business class peopled.The questionnaires were discussed through personal interface with the respondents 12 Research Design Exploratory Information pertaining to ATM usage in Sitapur will be collected from various banks. Concerned persons at various banks will be interviewed.Information will also be collected from customers using ATM facility and their attitude towards the same will be studied. Questionnaire

A questionnaire will be administered to the current ATM users of various banks in Sitapur, personally by the research team. The questionnaire will contain not more than 20 questions. Personal data of the respondents will be collected through additional questions at the end of the questionnaire. SAMPLING PLAN Relevant Population People using SBI and PNB Banks ATM cards in Sitapur City. Sample Size Sample of 100 will be taken from Sitapur City 13 EXECUTIVEEXECUTIVE SUMMARYSUMMARY 14 EXECUTIVE SUMMARY ATM REVOLUTION IN BANKING INDUSTRY As is often the case with inventions, many inventors contribute to the history of an invention. In the case of the ATM, Don Wetzel invented the first successful and modern ATM in the USA, however he was not first inventor to create an ATM. In 1939, Luther George Simjian started patenting an earlier and not-so-successful version of an ATM. An automatic teller machine or ATM allows a bank customer to conduct their banking transactions from almost every other ATM machine in the world Don Wetzel Don Wetzel was the co-patentee and chief conceptualist of the automated teller machine, an idea he said he thought of while waiting in line at a Dallas bank. At the time (1968) Wetzel was the Vice President of Product Planning at Docutel, the company that developed automated baggage-handling equipment. It took five million dollars to develop the ATM. The concept of the modern ATM first began in 1968, a working prototype came about in 1969 and Docutel was issued a patent in 1973. The first working ATM was installed in a New York based Chemical BankThe first ATMs were off-line machines, meaning money was not automatically withdrawn from an account. A computer network to the ATM. not (at that time) connected the bank accounts. Therefore, banks were at first very exclusive about who they gave ATM privileges to. Giving them only to credit card holders (credit cards were used before ATM cards) with good banking records. Wetzel, Barnes and Chastain developed the first real ATM cards, cards with a magnetic strip and a 15 personal ID number to get cash. ATM cards had to be different from credit cards (then without magnetic strips) so account information could be included (http://inventors.about.com/library/inventors/blatm.htm ) Luther George Simjian Starting in 1939, Simjian registered 20 patents related to the device and persuaded what is now Citicorp to give it a trial. After six months, the bank reported that there was little demand."It seems the only people using the machines were a small number of prostitutes and gamblers who didn't want to deal with tellers face to face," wrote Simjian. Later, of

course, the idea caught on, and today, modern versions of the automatic teller machine stand on nearly every street corner. Despite the notoriety that came with his ATM concept. (http://web.mit.edu/invent/iow/simjian.html) Cash Technologies, Inc. Introduces New Transaction Processing System to Revolutionize the Traditional ATM According to ATM developer and DocuTel employee Don Wetzel, "We never did see the ATM as just a cash dispenser. We thought it had to be a machine that did most of the functions of a teller including transferring money, taking payments and issuing cash advances. But, nearly 30 years later, the ATM is still not much more than a cash dispenser. In fact, out of the nearly 220,000 ATMs installed in the U.S., research shows nearly half provide only cash dispensing transactions. And, only five percent of the remaining ATMs do anything more than the original, basic 16 bank account functions -- even though consumers are demanding more twenty-four hour services from their local bank. Why? The answer is simple :The protocol used by ATMs, which was developed at their inception, does not support additional on-line services such as check cashing, bill payment, money order issuance and event ticketing. With U.S. ATM cardholders completing more than 8.3 billion transactions last year, financial networks and institutions have invested heavily in making sure that consumers can withdraw money from San Francisco to Singapore rather than allowing consumers to purchase new financial and other services at their local ATM.Cash Tech's EMMA transaction processing system will allow ATMs to quickly execute complex transactions over multiple networks.EMMA uses a message structure which provides an open architecture for new application development without requiring modifications to host software.For the first time, communication between four primary channels:(1) The ATM network(2) The credit card (POS) network, (3) The Automated Clearing House (ACH) network and (4) Cash will interface seamlessly. 17 With the new EMMA platform, ATMs are on their way to becoming electronic convenience kiosks, capable of event and airline ticketing, electronic bill payment, and connecting to an alternate host via the Internet."With ATMs becoming such a formidable delivery channel, banks are weighing whether to configure their ATMs to do more than just standard cash withdrawals.http://www8.techmall.com/techdocs/TS9906178.html REVIEW OF LITERATURE ATM INDUSTRY STATUS IN INDIA In India ATM is still a new technology. With the emergence of private sector Banks like ICICI Bank, IDBI Bank, HDFC Bank etc. the number of ATM centres has increased tremendously. There are presently all types of Banks offering ATM services. For example State Bank of India (a Public Sector Bank), ICICI Bank (a Private Bank), Citibank (A

Foreign Bank), Greater Bombay CO-OP Bank (a co-op Bank).The Banks are offering various services like Cash withdrawal, fund transfer, Balance enquiry etc.The Banks have tie-ups in between them for sharing of their services this may be bilateral or multilateral by way of consortium like SWADHAN AUTOMATIC TELLER MACHINES (ATMS) SHARED BY A CONSORTIUM OF BANKS Each bank provides its own computer to maintain its own accounts and process transactions against them. Cashier stations are owned by individual banks and communicate directly with their own banks computers. Human cashiers enter account and transaction data. Automatic teller machines communicate with a central computer that clears transactions with the appropriate banks. An automatic teller machine accepts a cash card, interacts with the user, communicates with the central system to carry out the transaction, dispenses cash, and prints receipts. The system requires appropriate recordkeeping and security provisions. The system must handle concurrent accesses to the same account correctly. The banks provide their own software for their own computers; you are to design the software for the ATMs and the network. The cost of the shared system is normally apportioned to the banks according to the number of customers with cash cards.In India very good example of such consortium is SWADHAN NETWORK. SWADHAN NETWORK is a net work of various public sector Banks, Private Banks and Co- operative Banks with nationwide coverage. SWADHAN SWADHAN, Indias FIRST Shared Payment Network Service is unsurpassed in offering countrywide access to the banking operations at more than 1000 ATMs in and around 64 cities . It has 55 member bank s in the network, which includes nationalized, private and foreign banks. SWADHAN provides convenient banking, 24 hours a day and 7 days a week through the Automated Teller Machines to the 21 participating banks customers across the country. With SWADHAN, the bank customers are never far away from an ATM. The member banks customer can withdraw money anytime from any of the ATM irrespective of the bank with which the customer has an account. It offers services beyond cash withdrawals, like utility bill payment, fund transfer and deposits. SWADHAN widens the scope of ATM usage in the country in a cost effective manner. A member bank of SWADHAN can increase its geographical presence without deploying ATMs in all the locations; instead it can share and use ATMs of other banks, thereby saving a substantial amount. Likewise, the customer of the bank is highly benefited by having a nation-wide access to the card, without holding multiple accounts in different banks. The average transaction per day in the SWADHAN network is

around 2500 . The largest and only Shared Payment Network System (SPNS) in India, SWADHAN is posting a very impressive growth rate since its inception. In 1997, at the start of the network, the number of ATMs in SWADHAN Network was only around 24, whereas today it is grown close to 1000 ATMs. Today, in the country, 25% of the ATMs are networked to SWADHAN. Everyday brings new ATMs and banks to the network. Being the leading light in Shared Payment Network System for debit cards in India, it has auspicious plans to provide connectivity to the international payment networks, such as master card and visa in a very formidable way. It is poised to enable the existing system for e-payments thereby helping the banks excel in an e-powered service. 22 ATM SERVICES OF PNB & SBI BANK IN INDIA As part of its 'Clicks and Bricks' strategy, both SBI and PNB Banks have developed multiple access channels comprising lean brick and mortar branches, ATMs, call centers and Internet banking. The branch network including extension counters presently covers many locations across India. SBI and PNB Bankss network of 24 hr ATMs is one of the largest and most widespread ATM Networks in India. Banks ATMs are conveniently located in Commercial areas, residential localities, Major Petrol Pumps and Airports, Near Railway Stations and other places, which are conveniently accessible to customers. The SBI and PNB Banks ATMs feature user-friendly graphic screens with easy to follow instructions. IT has also introduced ATMs, which interact with customers in local languages for further convenience. The following are the features available on SBI and PNB Banks ATMs, which can be accessed from anywhere at anytime. Cash Withdrawal :A customer can withdraw upto Rs.25,000/- on a single day from his account. In this, the Fast Cash option shows prefixed amounts, which a customer can choose from, and Ultra Fast Cash option to withdraw Rs.3000/- at one time. Balance Enquiry: Customer can know the ledger balance and available balance with his account. Mini Statement: Customer gets a receipt printout of his last 8 transactions and the balance. Deposit Cash / Cheques:

Available in all full function ATMs, customers can deposit both cash and cheques in the ATM. Cash deposited in ATMs will be credited to the account on the same day and cheques sent for clearing on the next working day. Funds Transfer: Customer can transfer funds from one account to another linked account in the same branch. PIN Change: The Customer Change the Personal Identification Number (PIN) of the ATM or Debit card. Payments: This is the latest feature on Banks ATMs, its functionality can be used for payment of bills, donating to temples / trusts or making airtime recharges for prepaid mobile phones. 24 COMPANY PROFILE ABOUT SBI The Bank is actively involved since 1973 in non-profit activity called Community Services Banking. All our branches and administrative offices throughout the country sponsor and participate in large number of welfare activities and social causes. Our business is more than banking because we touch the lives of people anywhere in many ways. BOARD OF DIRECTORS (As on 13 th January 2009) Sr. No.Name of Director 1. Shri O.P. BhattChairman2. Shri S.K. BhattacharyyaMD & CC&RO3. Shri R. SridharanMD & GE(A&S)4.Dr. Ashok Jhunjhunwala5.Shri Dileep C. Choksi6.Shri S. Venkatachalam7.Shri. D. Sundaram8.Dr. Deva Nand Balodhi9.Prof. Mohd. Salahuddin Ansari10.Dr.(Mrs.) Vasantha Bharucha11.Dr. Rajiv Kumar 26 12.Shri Arun Ramanathan13.Smt. Shyamala Gopinath TRANSFORMATION JOURNEY IN STATE BANK OF INDIA The State Bank of India, the countrys oldest Bank and a premier in terms of balance sheet size, number of branches, market capitalization and profits is today going through a momentous phase of Change and Transformation the two hundred year old Public sector behemoth is today stirring out of its Public Sector legacy and moving with an agility to give the Private and Foreign Banks a run for their money. The bank is entering into many new businesses with strategic tie ups Pension Funds, General Insurance, Custodial Services, Private Equity, Mobile Banking, Point of Sale Merchant Acquisition, Advisory

Services, structured products etc each one of these initiatives having a huge potential for growth.The Bank is forging ahead with cutting edge technology and innovative new banking models, to expand its Rural Banking base, looking at the vast untapped potential in the hinterland and proposes to cover 100,000 villages in the next two years. It is also focusing at the top end of the market, on whole sale banking capabilities to provide Indias growing mid / large Corporate with a complete array of products and services. It is consolidating its global treasury operations and entering into structured products and derivative instruments. Today, the Bank is the largest provider of infrastructure debt and the largest arranger of external commercial 27 borrowings in the country. It is the only Indian bank to feature in the Fortune 500 list.The Bank is changing outdated front and back end processes to modern customer friendly processes to help improve the total customer experience. With about 8500 of its own 10000 branches and another 5100 branches of its Associate Banks already networked, today it offers the largest banking network to the Indian customer. The Bank is also in the process of providing complete payment solution to its clientele with its over 8500 ATMs, and other electronic channels such as Internet banking, debit cards, mobile banking, etc.With four national level Apex Training Colleges and 54 learning Centres spread all over the country the Bank is continuously engaged in skill enhancement of its employees. Some of the training programes are attended by bankers from banks in other countries.The bank is also looking at opportunities to grow in size in India as well as Internationally. It presently has 82 foreign offices in 32 countries across the globe. It has also 7 Subsidiaries in India SBI Capital Markets, SBICAP Securities, SBI DFHI, SBI Factors, SBI Life and SBI Cards forming a formidable group in the Indian Banking scenario. It is in the process of raising capital for its growth and also consolidating its various holdings. Throughout all this change, the Bank is also attempting to change old mindsets, attitudes and take all employees together on this exciting road to Transformation. In a recently concluded mass internal communication programme termed Parivartan the Bank rolled out over 3300 two day workshops across the country and covered over 130,000 employees in a period of 100 days using about 400 28

Trainers, to drive home the message of Change and inclusiveness. The workshops fired the imagination of the employees with some other banks in India as well as other Public Sector Organizations seeking to emulate the programme. EVOLUTION OF SBI The origin of the State Bank of India goes back to the first decade of the nineteenth century with the establishment of the Bank of Calcutta in Calcutta on 2 June 1806. Three years later the bank received its charter and was re-designed as the Bank of Bengal (2 January 1809). A unique institution, it was the

first joint-stock bank of British India sponsored by the Government of Bengal. The Bank of Bombay (15 April 1840) and the Bank of Madras (1 July 1843) followed the Bank of Bengal. These three banks remained at the apex of modern banking in India till their amalgamation as the Imperial Bank of India on 27 January 1921. Primarily Anglo-Indian creations, the three presidency banks came into existence either as a result of the compulsions of imperial finance or by the felt needs of local European commerce and were not imposed from outside in an arbitrary manner to modernise India's economy. Their evolution was, however, shaped by ideas culled from similar developments in Europe and England, and was influenced by changes occurring in the structure of both the local trading environment and those in the relations of the Indian economy to the economy of Europe and the global economic framework. Establishment The establishment of the Bank of Bengal marked the advent of limited liability, joint-stock banking in India. So was the associated innovation in banking, viz. the decision to allow the Bank of Bengal to issue notes, which would be accepted for payment of public revenues within a restricted geographical area. This right of note issue was very valuable not only for the Bank of Bengal but also its two siblings, the Banks of Bombay and Madras. It meant an accretion to the capital of the banks, a capital on which the proprietors did not have to pay any interest. The concept of deposit banking was also an innovation because the practice of accepting money for safekeeping (and in some cases, even investment on behalf of the clients) by the indigenous bankers had not spread as a general habit in most parts of India. But, for a long time, and especially upto the time that the three presidency banks had a right of note issue, bank notes and government balances made up the bulk of the investible resources of the banks.The three banks were governed by royal charters, which were revised from time to time. Each charter provided for a share capital, four-fifth of which were privately subscribed and the rest owned by the provincial government. The members of the board of directors, which managed the affairs of each bank, were mostly proprietary directors representing the large European managing agency houses in India. The rest were government nominees, invariably civil servants, one of whom was elected as the president of the board. 31 Business The business of the banks was initially confined to discounting of bills of exchange or other negotiable private securities, keeping cash accounts and receiving deposits and issuing and circulating cash notes. Loans were restricted to Rs.one lakh and the period of accommodation confined to three months only. The security for such loans was public securities, commonly called Company's Paper, bullion, treasure, plate, jewels, or goods 'not of a perishable nature' and no interest could be charged beyond a rate of twelve per cent. Loans against goods like opium, indigo, salt woollens, cotton, cotton piece goods, mule twist and silk goods were also granted but such finance by way of cash credits gained momentum only from the third decade of the nineteenth century. All commodities, including tea, sugar and jute, which began to be financed later, were either pledged or hypothecated to the bank. Demand promissory notes were signed by the borrower in favour of the guarantor, which was in turn endorsed to the bank. Lending against shares of the

banks or on the mortgage of houses, land or other real property was, however, forbidden.Indians were the principal borrowers against deposit of Company's paper, while the business of discounts on private as well as salary bills was almost the exclusive 32 monopoly of individuals Europeans and their partnership firms. But the main function of the three banks, as far as the government was concerned, was to help the latter raise loans from time to time and also provide a degree of stability to the prices of government securities. Major change in the conditions A major change in the conditions of operation of the Banks of Bengal, Bombay and Madras occurred after 1860. With the passing of the Paper Currency Act of 1861, the right of note issue of the presidency banks was abolished and the Government of India assumed from 1 March 1862 the sole power of issuing paper currency within British India. The task of management and circulation of the new currency notes was conferred on the presidency banks and the Government undertook to transfer the Treasury balances to the banks at places where the banks would open branches. None of the three banks had till then any branches (except the sole attempt and that too a short-lived one by the Bank of Bengal at Mirzapore in 1839) although the charters had given them such authority. But as soon as the three presidency bands were assured of the free use of government Treasury balances at places where they would open branches, they embarked on branch expansion at a rapid pace. By 1876, the branches, agencies and sub agencies of the three 33 presidency banks covered most of the major parts and many of the inland trade centres in India. While the Bank of Bengal had eighteen branches including its head office, seasonal branches and sub agencies, the Banks of Bombay and Madras had fifteen each

SBI's Retail Banking 34 State Bank of India offers a wide range of services in the Personal Banking Segment which are indexed here. SBI Term Deposits SBI Loan For Pensioners SBI Recurring Deposits Loan Against Mortgage Of Property SBI Housing Loan Loan Against Shares & Debentures SBI Car Loan Rent Plus Scheme SBI Educational Loan

Medi-Plus Scheme SBI Personal Loan Rates Of Interest DEPOSIT SCHEMES All branches, are fully computerised, and realise the advantage of our vast network. Place funds in Multi Option Deposit Scheme, a term deposit which is not fixed at all and comes with a unique break-up facility which provides you full liquidity as well as benefits of higher rates of returns, through your savings bank account. Alternately, keep that deposit intact by availing an overdraft facility, to meet your occasional temporary funds requirements. PERSONAL FINANCE 35 State Bank of India has a variety of schemes under Personal Finance to satisfy varying needs of the banking public. The Bank offers the following schemes with attractive rates of interest: Loan For ESOPS * Housing Loan * Easy Travel Loan * Car Loan * Educational Loan * Personal Loan * Property Loan * Loan to Pensioners * Loan Against Shares/Debentures * Festival Loans * Medi-Plus Scheme * Teachers-Plus Scheme * Sainik-Plus Scheme * Tribal-Plus Scheme * EMI Calculator * Credit Khazana SERVICES 36 State Bank of India offers a wide range of services in the Personal Banking Segment which are indexed here. Click on each of them to access the details. eZ-trade@sbi SBI VISHWA YATRA FOREIGN TRAVEL CARD ATM SERVICES

GIFT CARDS GIFT CHEQUES INTERNET BANKING FOREIGN INWARD REMITTANCE LOCKER

ATM SERVICES STATE BANK NETWORKED ATM SERVICES State Bank offers you the convenience of over 8000 ATMs in India, the largest network in the country and continuing to expand fast! This means that you can transact free of cost at the ATMs of State Bank Group (This includes the ATMs of State Bank of India as well as the Associate Banks namely, State Bank of Bikaner & Jaipur, State Bank of Hyderabad, State Bank of Indore, State Bank of Mysore, State Bank of Patiala, State Bank of Saurashtra, and State Bank of Travancore) and wholly owned subsidiary viz. SBI Commercial and International Bank Ltd., using the State Bank ATM-cum-Debit (Cash Plus) card. KINDS OF CARDS ACCEPTED AT STATE BANK ATMs Besides State Bank ATM-Cum-Debit Card and State Bank International ATMCum-Debit Cards following cards are also accepted at State Bank ATMs: 1) State Bank Credit Card 2) ATM Cards issued by Banks under bilateral sharing viz. Andhra Bank, Axis Bank,Bank of India, The Bank of Rajasthan Ltd., Canara Bank, Corporation Bank, Dena Bank, HDFC Bank, Indian Bank, Indus Ind Bank, Punjab National Bank, UCO Bank and Union Bank of India.3) Cards issued by banks (other than banks under bilateral sharing) displaying Maestro, Master Card, Cirrus, VISA and VISA Electron logos4) All Debit/ Credit Cards issued by any bank outside India displaying Maestro, Master Card, Cirrus, VISA and VISA Electron logos 38

Note: If you are a cardholder of bank other than State Bank Group, kindly contact your Bank for the charges recoverable for usage of State Bank ATMs. State Bank ATM-cum-Debit (State Bank Cash plus) Card : Indias largest bank is proud to offer you unparalleled convenience viz. State Bank ATM-cum-Debit(Cash Plus) card. With this card, there is no need to carry cash in your wallet. You can now withdraw cash and make purchases anytime you wish to with your ATM-cum-Debit Card. Features: Withdraw cash from over 8000 ATMs of our group FREE and about 16000 ATMs of other banks under bilateral sharing viz. Andhra Bank,Axis Bank, Bank of India, The Bank of Rajasthan Ltd. Canara Bank, Corporation Bank, Dena Bank, HDFC Bank, Indian Bank, IndusInd Bank, Punjab National Bank, UCO Bank and Union Bank of India apart from ATMs displaying Master Card/ Maestro/Cirrus logo for a nominal fee as under: TransactionATMs of Sharing network banks Other banks under Maestro/ Master Card/ Cirrus network Cash Withdrawal Rs. 25/- *Rs. 50/-*Balance Inquiry Rs. 12/-*Rs. 12/-* Make payments for purchases by using the debit card at more than 2,39,000 shops, restaurants, shopping malls, hotels, petrol pumps and many other outlets which display Maestro logo Recharge pre-paid mobile phones of Vodafone, IDEA and BPL without any charges at any State Bank ATM. Recharge pre-paid mobile phones of AIRTEL of 11 Circles viz. Mumbai, Delhi, Gujarat, M.P., U.P. (East), U.P. (West), Karnataka, Kerala, Andhra Pradesh, Tamilnadu, and Chennai, through ATM/ SMS anywhere in India. Recharge mobile phones of AIRTEL, Vodafone, IDEA and BPL without any charges at all ATMs as well as by sending SMS (after registration at State Bank ATM).The text of SMS will be as under: Service Provider SMS TextSend SMS to

AirtelRC (AMOUNT) PIN 535BPLRC SBI (AMOUNT) PIN 140VodafoneRC SBI (AMOUNT) PIN 147IDEARC SBI (AMOUNT) PIN 575 Pay MTNL, Mumbai bills through State Bank ATMs Payment of SBI Credit Card bills Payment of SBI Life insurance premium Pay fees of select colleges Donate to Temple Trusts: - (a) Vaishno Devi (b) Shirdi Saibaba (c) Gurudwara Takht Saheb, Nanded (d) Tirupati and (e) Sri Jagannath Temple, Puri Transaction Limits: 40 Daily limit of Rs 25,000/- at the ATM Daily limit of Rs 50,000/- at Point of Sale (POS) terminal for debit transactions Combined daily limit of Rs 75,000/Fees: There is no joining fee for State Bank ATM-cum-Debit (Cash Plus) card. Annual maintenance fee of Rs. 50/- p.a. will be recovered from the second year of issue. Apply for your card If you already have a Savings Bank or Current Account with us, apply for State Bank ATM-cum-Debit (Cash Plus) card at your branch. State Bank Cash Plus International Card : This is an International ATM-cum-Debit Card with which you can enjoy shopping atover 2,64,000 establishments in India and over 10.5 Million establishments worldwide displaying Maestro logo, wherein the amount you spend on your card is automatically debited to your account. Withdraw cash from over 8000 ATMs of our group FREE and over 16000 ATMs of other banks under bilateral sharing viz. Andhra Bank,Axis Bank, Bank of India, The Bank of Rajasthan Ltd. Canara Bank, Corporation Bank, Dena Bank, HDFC Bank, Indian Bank, IndusInd Bank, Punjab

National Bank, UCO Bank and Union Bank of India apart from ATMs displaying Master Card/ Maestro / Cirrus logo in India and more than 8,20,000 ATMs across the globe for a nominal fee.In India, it would function as the State Bank ATM-cum-Debit (Cash Plus) card. WITHDRAWAL LIMIT: 41 i) Cash Withdrawals (per day) : ii) Transaction at POS (per day) : IndiaAbroad MaximumRs. 1,00,000 US$1000 or equivalent Maximum permitted aggregate utilization in a day is Rs. 145000 in India and equivalent to US$ 2000 abroad (subject to compliance with the RBI and Exchange Control/ FEMA Regulations) TRANSACTION COSTS: The Card holder's account is liable to be debited with the following fees, if the transaction is made at an ATM owned by bank other than SBI and its Associates: 42 IndiaAbroad MinimumRs. 100Depends on the Bank whose ATM is being usedMaximumRs. 4500 Type of transaction Transactions at ATMs of Banks under arrangements for Bilateral Sharing of ATM Network(A) Transactions at ATMs of other Banks under Maestro / Master Card/ Cirrus network (In India) Transactions at ATMs under Maestro /Master Card/ Cirrus network (Abroad)(B)(C) Cash Withdrawal Rs. 25/- *Rs. 50/- *Rs. 150/- *Balance InquiryRs. 12/- *Rs. 12/- *Rs.15/- * Fees : The State Bank Cash Plus International Card is available for one time joining fee of Rs 200/-. Annual maintenance fee of Rs. 50/- p.a. will be recovered from the second year of issue. STATE BANK INTERNATIONAL ATM-CUM-DEBIT CARD

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

Card can be used at: More than 8,20,000 ATMs and 7 million POS, worldwide, displaying Cirrus logo

All State Bank Group and tie-up banks ATMs, and ATMs & POS in India displaying Master Card/ Maestro / Cirrus logo COMPANY PROFILEPROFILE PUNJAB NATIONAL BANK PROFILE With over 37 million satisfied customers and over 4589 offices, PNB has continued to retain its leadership position among the nationalized banks. The bank enjoys strong fundamentals, large franchise value and good brand image. Besides being ranked as one of India's top service brands, PNB has remained fully committed to its guiding principles of sound and prudent banking. Apart from offering banking products, the bank has also entered the credit card & debit card business; bullion business; insurance business; Gold coins & asset management business, etc. Since its humble beginning in 1895 with the distinction of being the first Indian bank to have been started with Indian capital, PNB has achieved significant growth in business which at the end of March 2008 amounted to Rs 2,85959 crore. Today, with assets of more than Rs 1,99,000 crore, PNB is ranked as the 3rd largest bank in the country (after SBI and ICICI Bank) and has the 2nd largest network of branches (4589 including 322 extension counters).During the FY 2007-08, with 43% share of low cost deposits, the bank achieved a net profit of Rs 2,049 crore, maintaining its number ONE position amongst its peers. The banks Return on Assets at 1.15% was also the highest. During the FY 2007-08,its ratio of priority sector credit to net bank credit at 44.11% & agriculture credit to net bank credit at 18.94% was also higher than the respective national goals of 40% & 18%. PNB has always looked at technology as a key facilitator to provide better customer service and ensured that its IT strategy follows the Business strategy so as to arrive at Best Fit. The bank has made rapid strides in this direction and achieved 100% branch computerisation. A pioneering effort of the bank in the use of IT is the implementation of Core Banking Solution (CBS) which facilitates any time, any where banking. PNB has implemented CBS in 3503 service outlets at around centers to facilitate "anytime, anywhere" banking to its clients. The bankhas also been offering Internet banking services to the customers of CBS branches like booking of tickets, payment of bills of utilities, purchase of airline tickets etc.Towards developing a cost effective alternative channels of delivery, the bank has installed more than 1516 ATMs and entered into ATM sharing arrangement with other banks & IDRBT, making available a pool of additional 21,500 ATMs throughout the country to its customers.Backed by strong domestic performance, the bank is planning to realize its global aspirations. In order to increase its international presence, the bank has already set up representative offices at Almaty (Kazakhstan), Dubai (UAE) & Shanghai (China) ; a branch at Kabul (Afghanistan) and a subsidiary at London (UK) and a branch at Hongkong. Work on assessing potential at other international centers is progressing. The bank also has a joint venture with Everest Bank Ltd. (EBL), Nepal, with 20 per cent equity participation. With PNBs management,

EBL has become one of the leading banks in Nepal. As a tribute to its consistent business growth, improved assets & attractive returns to shareholders in the joint venture, PNB has won Bank of the Year Award in Nepal (2006) by The Banker, a publication of the London based Financial Times.Amongst Top 1000 Banks in the World, The Banker listed PNB at 255th place. Further the leading international Credit Rating index provider, Standard & Poors (2006) listed PNB, amongst the 300 World companies & 7 Indian companies, which are expected to emerge as challengers to the worlds leading blue chip companies. Financial Performance: 49 Punjab National Bank continues to maintain its frontline position in the Indian banking industry. In particular, the bank has retained its NUMBER ONE position among the nationalized banks in terms of number of branches, operating and net profit in the year 2006-07. The performance highlights of the bank in terms of business and profit are shown below: (Rs Crore)Parameters March 05 March 06 March 07 CAGR (%) Gross Profit 24042917 3231 15.91Net Profit 1410 1439 1540 4.50Deposits 103167 119685 13986016.43Advances60413 74627 9659726.45Business163580 194312 236457 20.23 Awards 50 Awards & Achievements of Punjab National Bank in Recent Times "Best IT Team of the Year Award" at the IDRBT Banking Technology awards for the year 2005-06.SKOTCH Challenger Award for Change Management for the year 2005-06Best IT User in Banking & Financial Services Industry - 2004 by NASSCOM in partnership with Economic TimesGolden Peacock Award for Excellence in Corporate Governance - 2005 by Institute of DirectorsFICCI's Rural Development Award for Excellence in Rural Development - 2005 Skotch Challenger Award for Exemplary use of Technology for becoming a pioneer in Public Banks - 2005 Golden Peacock National Training - 2004 & 2005 by Institute of DirectorsNational Award for Excellence in SSI Lending Ranked 2nd for 4 consecutive years - 2002, 2003, 2004 & 2005Banking Technology Awards 2004 Runner up in 'Best IT Team of the Year Award 2005' Jointly Adjudged by IBA, Finacle & TFCIMoney Outlook Award - 2004Runner up in 'Best Bank (public Sector) of the year

Debit Card PNB INTRODUCES ADD-ON DEBIT CARD :Share the convenience of PNB Debit card with your loved ones .Simply gift them add-on card .PNB Customers of CBS branches can get two add-on cards alongwith his own Debit card for free.The person you are gifting the card to does not necessarily has to be an account holder with PNB. The add-on card can be issued in the name of spouse, dependent parents,and dependent children not below 18 years.The add-on cardholders like the main cardholder will also be covered for accidental death insurance of Rs. 1 lac subject to certain terms and conditions. The tranasactions done by add-on cardholders will automatically get debited to the account of the primary cardholder who shall be responsible for all the transactions made by Add On card holder/s. Issuance of Debit Card from Call centre :- "CBS branches customers of our Bank may also get PNB Debit Card simply by contacting our All India Call Center over phone at the following no's :1800 180 2222 Toll free 0124-2340000 Accessible from mobile also . 52 ATM Sharing Arrangements PNB Debit Card is purely an on-line product. It is ATM-cum-Debit card having Maestro branding which is sub-brand of MasterCard International. PNB Debit Card bears Maestro logo on the front and Cirrus logo (for ATM usage) on the back. Debit Cards can be used to withdraw cash through ATMs as well as used by the customers at over 45000 merchant establishments accepting Maestro Debit Card for shopping purposes. It is thus an ATMcum-Shopping Card. Personal Identification Number (PIN) is the key security feature of the Debit Card. It is a four digit numerical number.A few aspects of Banks Debit Card are highlighted as under: Valid in all Maestro and Cirrus Acceptance Marks. Acceptance in India at over 32,000 Maestro Merchant locations and over 4200 MasterCard ATMs across 70 cities. Wide acceptance at both Merchant Locations (including Utility bill payment) and ATM locations across India A PIN (Personal Identification Number) based magnetic Stripe Card which provides the safety and security to customers, while accessing their funds with the bank PIN can be changed at all PNB networked ATMs

Initially available to account holders of CBS branches that are networked 53

It is offered absolutely FREE No pre-set limit on the card. Limit is equal to the available funds in the customers account. Initially Rs.15,000 cash withdrawals and Rs.25,000 by way of point of sale (POS) transactions per day are permitted Card validity - Till the customer holds the account Bank has tied up with Reputed Corporate and Local Merchants to provide discounts on usage of card for payment through Debit Card. Corporate from the entire spear are covered, to quote few are like Escorts, Max Health Care, Apollo, Travel Gin, Cox and Kings, Holyday INN, Hans, Park. A list of tie-ups is available All POS transactions (shopping transactions) are also free PNB Debit Card is an International card. It can be used all over the world on ATMs displaying Cirrus Logo and merchant establishments displaying Maestro logo.The charges for International transactions are as follows:Cash Withdrawal - Rs. 150/- per transactionBalance Enquiry- Rs. 15/- per transaction ATM Sharing Arrangements MITR Shared ATM Network: The list of members under this arrangement:1. Oriental Bank of Commerce 54 2. Indian Bank3. Karur Vysya Bank Ltd.4. IndusInd Bank5. UCO Bank Charges applicable: Cash Withdrawal - Rs. 17/- per transactionBalance Enquiry- Rs. 5/- per transaction Revised charges applicable to Debit Card w.e.f. 01.02.2008 NFS ATM Sharing Arrangement: The list of member banks under this arrangement: 1. Allahabad Bank 2. Andhra Bank 3. Bank of Baroda 4. Citi Union Bank 5. Corporation Bank 6. Dena Bank 7. Development Credit Bank 8. ICICI Bank 9. IDBI Bank 10. Oriental Bank of Commerce 11. Tamilnadu Merchantile Bank 12 .The Dhanalakshmi Bank 13. The Jammu & Kashmir Bank 14. The Karnataka Bank 15. The Karur Vysya Bank 16. The South Indian Bank 17. The United Western Bank 18. YES Bank

Charges applicable: Cash Withdrawal - Rs. 24/- per transaction Balance Enquiry- Rs. 12/- per transaction PNB~SBI Bilateral ATM Sharing arrangement:Charges applicable: Cash Withdrawal - Rs. 22/- per transactionBalance Enquiry- Rs. 10/- per transaction PNB-EBL (Everest Bank Ltd) ATM Sharing Arrangement: PNB will charge Indian Rupees 50.00 only for cash withdrawal and Rs. 15.00 for Balance Enquiry from our customers for making ATM transactions in EBL's ATMs in Nepal. Branches eligible to issue Debit Cards: Initially Debit Cards are issued to the customers of CBS branches only. All the CBS branches are eligible to issue Debit Cards to their customers Who is eligible for PNB Debit Card :All existing customers who are maintaining minimum balance and who regularly operate their account shall be eligible for the issuance of Debit Card. New customers who open their accounts after introduction of the Debit Card shall also be eligible for the issue of Debit Cards at the time of opening the account itself.Existing ATM Cardholders who have done at least one transaction during the immediately proceeding quarter.Debit Card facility shall be extended to the individual customers only, having Savings Bank Account and Current Account. Debit cards shall also be issued to individual customers having overdraft facility, which is in the nature of a personal loan. This shall mean and include personal loans extended to individual customers in the form of a regular overdraft limit such as clean overdraft facility or overdraft facility against FD/NSCs/LICs etc. where operations through cheques are permitted.Debit Card can be issued in Joint Accounts with Either or Survivor/Former or Survivor mandate. In Either or Survivor accounts cards can be issued to both the account holders whereas in Former or Survivor accounts card can be issued only to the Former. In joint Accounts where account has to be jointly operated 57 Debit Card shall not be issued unless mandate for operation of account is changed to Either or Survivor or Former or Survivor basis. FINDING &FINDING & ANALYSIS

Finding and Analysis Q1. Do you have account in Table 1 State Bank of India 38 Punjab National Bank 22 Both 19 Others

21 State Bank of India Punjab NationalBank Both Others Interpretation 59 Q2. Do you have ATM Services with your account Table 2 Yes 68 No 22 Yes No Interpretation

Q3.Which of these is the most important reason for possessing ATM card/s? Table 3 Bank offered Free 55 For emergency purpose 60 Availability of many ATM centres 40 24 hour accessibility 20 31%35% 23% 11% Bank offered Free For emergencypurpose Availability ofmany ATM centres 24 houraccessibility Interpretation

Q4How frequently do you use ATM card in a week? Table 4 Less than 3 times 12

3-5 times 18 5 to 8 17 More than 8 times 21 24%22%28% 26% 3-5 times 5 to 8 More than 8 times 24 hour accessibility Interpretation 62

Q5.What is the purpose/s for using ATM? (Tick one or more) Table 5 Cash Withdrawal 45 Balance Inquiry 13 Balance Transfer 2 Others 8 51%15% 2% 9% 23% Cash Withdrawal Balance Inquiry Balance Transfer Others 24 houraccessibility Interpretation Q6.How much time do you spend waiting in queue at ATM? Table 6 SBI (38/100 Customers)PNB(22/100 Customers)Less than 5 min8125 min to 10 min28610 min or more24 8 282 12640

5 10 15 20 25 30Less than 5min 5 min to 10min 10 min ormore SBI (38/100Customers) PNB(22/100Customers) Interpretation Q7.How long does it take to process your transaction at the ATM centre? Table 7 SBI (38/100 Customers)PNB(22/100 Customers)Less than 5 min25185 min to 10 min10410 min or more30 25103 18400 5 10 15 20 25 30Less than 5min 5 min to 10min 10 min ormore SBI (38/100Customers) PNB(22/100Customers) Interpretation Q8. Have you ever been cheated our your ATM has been misused without permission Table 8 SBI (38/100 Customers)PNB(22/100 Customers)Yes20No3622 20 36220 5 10 15 20 25 30 35 40SBI (38/100Customers) Your

PNB(22/100Customers) Yes No Interpretation 66 Q9. Did you complaint for the fraud and any action taken by Bank Authority Table 9 SBI (2/38 Customers)PNB(0/0 Customers)Yes20No10 20 100 0.5 1 1.5 2 2.5SBI (2/38 Customers)PNB(0/0 Customers) Yes No Interpretation 67 Q10.What are the additional services provided by your bank at ATM centres?(Tick one or more) Table 10 SBI (38/100 Customers)PNB(22/100 Customers)Cash Deposit00Cheque Deposit00Bill Payments3822Phone bank00Other2012 00 380 2000 220 120 5 10 15 20 25 30 35 40 Cash DepositCheque DepositBill PaymentsPhone bankOther SBI (38/100Customers) PNB(22/100Customers) Interpretation 68

11.How much satisfied are you with your ATM service? Table 11 SBI (38/100 Customers)PNB(22/100 Customers)Highly Satisfied42Very Satisfied62Satisfied1810Less Satisfied56Not Satisfied52 4 6 185522 10620 2 4 6 8 10 12 14 16 18 20 Highly SatisfiedVery SatisfiedSatisfiedLess SatisfiedNot Satisfied SBI (38/100Customers) PNB(22/100Customers) Interpretation

Q12.How much secured do you feel to use ATM card? Table 12 SBI (38/100 Customers)PNB(22/100 Customers)Highly Secured82Very Secured102Secured1514Less Secured44Not Secured10 8 10 1541 22 14400 2 4 6 8 10 12 14 16 Highly SecuredVery SecuredSecuredLess SecuredNot Secured SBI (38/100Customers)

PNB(22/100Customers) Interpretation Q16.Do they run out of cash frequently? Table 16 SBI (38/100 Customers)PNB(22/100 Customers)Always185Sometimes1810Never27 18182 5 1070 2 4 6 8 10 12 14 16 18 20AlwaysSometimesNever SBI (38/100Customers) PNB(22/100Customers) Interpretation 71 FINDING AND CONCLUSION FINDINGS AND CONCLUSION This project was a great experience for me and I really learnt a lot of things from this project. This project gave us the knowledge and information about ATM machines, banks offering ATM services and also about the people and their attitudes and perceptions towards ATMs.I have found, People want the ATM centers to be very close to their houses or place of work. People want that they should not be made to wait in queues in front of ATM centers. They want that the bank should go ahead and bring all its functions and activities on the ATM machine. The bank should provide services like balance transfer, balance inquiry etc. and that too at a cheap rate. The ATM machines sometimes take a lot of time to process a transaction and therefore the customers have to wait for a long time in front of the machine and which is irritating according to some respondents and if possible the

73 banks should improve the software they use and reduce the time required by the customers. PNB and SBI ATM centers do not provide additional services like cash deposit, cheques deposit, bill payments etc.at all its centers, which many people want but they dont get it and leads to their dissatisfaction and where ever it is available it is charged. I have also found in this survey that many of the respondents felt that they were feeling secured using the PNB and SBI ATM card services and this has led to increased satisfaction level of these respondents which is a good sign. I also conclude from this survey that the almost 70% people are satisfied with the number and location of the PNB and SBI ATM centers. But they still insisted that the number should be increased to give enhanced service and satisfaction to its customers. People were happy to say that the PNB and SBI ATM center provides the currency in the denomination they want and this was as good as dealing with the cashier of the bank where you can tell him which denomination you want. Another good finding from this survey was that the ATM centers of PNB and SBI bank rarely run out of cash even though it is one of the largest used ATM centers. About 49% of the respondents said that it never runs out of cash. 74 RECOMMENDATIONS RECOMMENDATIONS The findings and the conclusions reveal that there is a lot of changes which can be brought about to improve the perception and satisfaction of the customers towards PNB and SBI banks ATM centers.I recommend that, PNB and SBI bank should increase the number of ATM centers and at strategic positions. Software used by the bank should be updated and fast so that people are not made to wait in the queue. PNB and SBI bank can bring all its services on the ATM machines. Facilities like cash deposit should also start at the ATM centers. To increase the customer base and the customer satisfaction the ATM facility should be made as secured and safe as possible. PNB and SBI ATM is one of the safest but still there is scope for improvement.

76 ANNEXURE BIBLIOGRAPHY QUESTIONNAIRE Name___________________________________________________________Address___ ______________________________________________________Age __________________________ Profession ________________________Q1. Do you have account in a) PNB b) SBI c) Both d) Others _______________ (specify)Q2. Do you have ATM Services with your account a) Yes b) NoQ3.Which of these is the most important reason for possessing ATM card/s?(Tick one or more)a.) Bank offered Freeb) For emergency purposec.) Availability of many ATM centres d.) 24 hour accessibilitye) Others (specify) ________________Q4How frequently do you use ATM card in a week? a.)Less than 3 timesb.)3 5 timesc.)5 8 times d.)More than 8 times Q6.What is the purpose/s for using ATM? (Tick one or more)a)Cash withdrawalb)Balance enquiryc) Balance Transferd) Other (Specify)______________Q7.How much time do you spend waiting in queue at ATM? Less than 5 mins 5 mins to 10 mins10 mins or moreQ8.How long does it take to process your transaction at the ATM centre? Less than 5 mins 5 mins to 10 mins10 mins or moreQ9. Have you ever been cheated our your ATM has been misused without Your permission Yes No 79 Q10. Did you complaint for the fraud and any action taken by Bank Authority Yes NoQ11.What are the additional services provided by your bank at ATM centres? (Tick one or more)a) Cash Deposit b) Cheque Deposit c) Bill Payments d) Phone banke) Other (specify)_____________Q12.How much satisfied are you with your ATM service?Highly Satisfied - Very satisfied Satisfied-Less satisfied - Not Satisfied - Q13.How much secured do you feel to use ATM card?Highly secured - Very secured Secured -Less secured - Not secured - Q14.Are you satisfied with the number of ATM centres provided by the bank?Highly Satisfied - Very satisfied Satisfied-Less satisfied - Not Satisfied - Q15.Are you satisfied with the locations of ATM centres provided by your bank?Highly Satisfied - Very satisfied Satisfied-Less satisfied - Not Satisfied Q16.Do the ATM centres provide the denominations of currency you require?a) Alwaysb) sometimesc) neverQ17.Do they run out of cash frequently?a)Alwaysb) sometimesc)neverQ18.What according to you are the shortcomings of your bank ATM centre?__________________________________________________________Q.19. What extra facilities do you expect from an ATM centre?Please specify____________________________________Q20. Which face comes closet to expressing how you feel about your ATM service? 80

Signature of respondent Thank You