SUMMER TRAINING PROJECT REPORT ON CASH MANAGEMENT SYSTEM (CMS) PROJECTUNDERTAKEN AT

ALLAHABAD MAIN BRANCH SATNA (M.P.)

MAHATMA GANDHI COMPUTER COLLAGE

YEAR: 2010-2013

SUBMITTED BY:

GUIDED BY:

SUBMITTED TO :
JITENDRA KUMAR KUSHWAHA BBA VI SEM

Mrs. URMILA SEN

DECLARATION

I do hereby declare that the project entitled THE STUDY OF CASH MANAGEMENT SYSTEM (CMS) a bonafide record of the work done by me at ALLAHABAD BANK MAIN BRANCH, SATNA (M.P.) towards a partial fulfillment of requirement for Post graduate diploma in Management under the guidance of MR. and this report has not been submitted to any other university or institute for the award of any degree/diploma etc.

DATE: PLACE JITENDRA KUMAR KUSHWAHA

B. B. A. VI SEM.

A. P. S. UNIVERSITY REWA ( M.P.) M.G.C.C. COLLEGE SATNA (M.P.)

ACKNOWLEDGME NT

I would like to take this opportunity to express my gratitude and thanks to MR. .. ,ALLAHABAD BANK MAIN coBRANCH, SATNA (M.P.) for their great help, guidance and operation during the whole training.

The staff of ALLAHABAD BANK,SATNA was very cooperative helpful and gave their full support to me during my summer training. I would like to take this opportunity to thank them for their invaluable help and support.

I highly thankful to MRS.URMILA SEN HOD, BBA MGCC Satna, whose guidance has helped me to understand and complete my project in a timely and proper manner.

PREFACE
Allahabad Bank is the oldest public sector bank in India with branches all over India. Allahabad Bank India was established in the year 1865. Apart from serving to domestic customers, Allahabad Bank NRI section also provides a wide range of attractive Deposti Schemes to Non-Resident Indians. Allahabad Bank of India practices code on Lender's Liability. They are as follows:

To provide professional, efficient, courteous, diligent and speedy services in the matter of retail lending. Not to discriminate on the basis of religion, caste, sex, descent or any of them. To be fair and honest in advertising and marketing of Loan Products. To provide customers with accurate and timely disclosure of terms, costs, rights and liabilities as regards loan transactions. If sought, to provide such assistance or advise to customers applying for loans. To attempt in good faith to resolve any disputes or differences with customers through complaint redressal cells within the organization. To comply with all the regulatory requirements in good faith. To spread general awareness about potential risks in contracting loans and encourage customers to take independent financial advice and not to act only on representation from banks.

AllahabadBankLoans

Allahabad Bank has a wide range of loan product for everyone. Some of them are as follows: All Bank Saral Loan scheme Personal Loan for Pensioners Personal Loan for Doctors Loan against NSC/KVP Housin Finance Furnishing Loan AllBank Rent Car Finance AllahabadBankServices Allahabad Bank gives an exclusive service for outstation cheques. Bank of Allahabad guarantees 7 Days outstation cheques to be credited from its 180 locations. This service is exclusively given to a customer without any extra charge. Along with this service Allahabad Bank in India also provides the following services: All Ayushman Bima Yojana All Bank-Property Cash Management Services Kisan Credit Card ATM Flexi-Fix Deposit Gold Deposit SSI Finance Gold Card Scheme for Exporters Kisan Shakti Yojana Bancassurance & Mutual fund Visa Debit cum ATM Card

TABLE OF CONTENTS

Chapters CHAPTER 1.

Topics Covered REPORT INTRODUCTORY PAGES 1) TOPIC 2) OBJECTIVES OF SUMMER TRAINING 3) TRAINING METHODOLOGY

Page No.

CHAPTER 2.

2.1 COMPANY PROFILE OF ALLAHABAD BANK 2.1PROMOTERS 2.2BOARD OF DIRECTERS 2.3 VISION AND HISTORY OF ORGANISATION 2.4 MISSION AND VALUE 2.5 PERSONNEL DEPARTMENT 2.6 ACTIVITIES PERFORMED BY ORGANISATION OBJECTIVE OF STUDY

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CHAPTER3.

INTRODUCTION TO TOPIC AND CHAPTER 4. SUMMER TRAINING SUMMARY

4.1 WHAT IS CASH 4.2 WHAT IS CMS 4.3 CMS IN ALLAHABAD BANK 4.4 PROCESS OF CMS IN ALLAHABAD BANK 4..5 VARIOUSES SERVICE OFFERED BY ALLAHABAD BANK 4.6GENERAL ADVANTAGES OF CMS 4.7 ADVANTAGES OF ALLAHABAD BANKS CMS 4.8 FAQS FREQUENTALY ASKED QUESTION

CHAPTER 5

RESULT AND CONCLUSION 5.1 SUMMARY 5.2 SUGGESTIONS/ RECOMMENDATIONS 5.3 LIMITATIONS 5.4 SWOT ANALYSIS 5.5 BIBLIOGRAPHY

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Report Introductory Pages

1) a. Toppic=Cash Specialisation= Finance c. Organisation management system b. =Allahabad bank main branch satna 2)Objectives Of Summer Training
a) Partial fulfillment of BBA degree course curriculum. b) To know how Allahabad bank manages their cash system c) To gain some practical knowledge.

3)Training Methodology
a) b) c) d) e)

Through Lectures. Presentation. By expert views. By reference books By vouchers

COMPANY PROFILE
INTRODUCTION OF THE ORGANIZATION PROMOTERS BOARD OF DIRECTORS VISION AND HISTORY OF ORGANIZATION MISSION AND VALUES PERSONNEL DEPARTMENT ACTIVITIES PERFORMED BY ORGANIZATION

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INTRODUCTION OF THE ORGANIZATION

This is a voluntary Code, which sets standards of fair banking practices for member banks of Indian Banks' Association to follow when they are dealing with individual customers. It provides valuable guidance to you for your day-to-day operations. The Code applies to:

current, savings and all other deposit accounts pension, PPF accounts etc. operated as agents of RBI/ Government collection and remittance services offered by the banks loans and overdrafts foreign-exchange services card products third party products offered through our network

About this Code

As a voluntary Code, it promotes competition and encourages market forces to achieve higher operating standards for the benefit of customers. In the Code, 'you' denotes the customer and 'we' the bank, the customer deals with. The standards of the Code are covered by the four key commitments found in section 2. Unless it says otherwise, all parts of this Code apply to all the products and services listed above, whether they are provided by branches across the counter, over the phone, by post, through interactive electronic devices, on the internet or by any other method. Commitments outlined in this Code are applicable under normal operating environment. In the event of force majeure, we may not be able to fulfill the commitments under this Code. Key words which are shown in bold print in the Code are defined in the Annexure at the end of the Code. 11

This Code comes into effect from 1st June 2004 unless otherwise indicated.

PROMOTERS
ALLAHABAD Bank has been promoted by the largest and the best Financial Institution of the country, UBI. The Bank was set up with a capital of Rs. 115 crore, with UBI contributing Rs. 100 crore, LIC - Rs. 7.5 crore and GIC and its four subsidiaries contributing Rs. 1.5 crore each. Allahabad Bank has reported strong growth in the operating levels in the quarter ended December 2010 with robust 56% jump in the Net Interest Income at Rs 1051.64 crore. NIM has improved to 3.44% in quarter under review against 2.97% a year ago. However 24% dip in the other income at Rs 257.64 crore coupled with 380 bps increase in the cost to income ratio coupled with 22% increase in the total provisioning, has restricted growth in the Net Profit by 20% to Rs 415.80 crore.

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BOARD OF DIRECTORS

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The members of the Board are:

ADVANCE MANAGER BRANCH MANAGER MANAGER OPERATION OFFICER OFFICER OFFICER SPECIAL ASSISTANT SPECIAL ASSISTANT SPECIAL ASSISTANT HEAD CASHIER

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HEAD CASHIER CLERK

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VISION AND HISTORY OF ORGANIZATION

VISION 2015:
To put the Bank on a higher growth path by building a Strong Customer-base through Talent Management, induction of State-of-the-art Technology and through Structural Re-organization.
.

HISTORY OF THE ORGANIZATION

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Allahabad Bank is one of the premier nationalized banks in India. It is also the oldest joint stock bank of India. It was incorporated by a group of Europeans at Allahabad on April 24, 1865. It was the time Indian economy had started shifting towards organized trade and business affairs. After some years in 1920, the P&O Bank brought Allahabad Bank and its headquarters at Kolkata. The Allahabad bank got an entirely new identity when it was nationalized in 1969 along with 13 other banks in India. Since then the Allahabad Bank had a smooth journey towards progress. Today it is one of the leading banks in India with a whooping business of over Rs.1, 00,000 crores.

Branches and Business Allahabad has adopted CBS (Core Banking Service) since 2006 and has developed 24 hours connectivity with its 2165 branches across the length and breath of the country. In 143 years of it existence the bank has come a long way by developing a wide grip over all the corners of India. At present the Allahabad Bank has 44 Zonal Offices 6 Staff Training Colleges and 3 Staff Training centers for imparting training centers in India.

Apart from general branches, the bank has also come up with specialized branches, like Industrial Finance Branches, International Branches, Finance Branches, Recovery Branches, NRI Branches Specialized Personal Banking Branches, Specialized Savings Bank Branches, Quick Collection Service Branches, Trading Finance Branches and Service Branches in many major cities of India. The businesses of the bank are thriving successfully. In the end of March 2007, the Allahabad Bank crosses a land mark of Rs.1, 00,000 cores. The bank's business also registered a 6.90% growth during April-Sept 2007, when its business increased up to Rs.1, 08,458 cores from Rs.1, 01,458 cores in merely 5 months. On Year17

on-Year basis, the business of the bank has grown at a rate of 19.87%. The bank also registered an immense growth in total deposit record when its business went up to Rs.65,896 at end of September 2007 cores from Rs.54,006 core in September 2006.

ProductandServices Deposit Products

Diamond Jubilee Deposit Scheme Rs. 5 Banking Gold Deposit Flexi-fix Deposit

Retail Credit Products

All Bank Housing Finance Scheme 18

Personal Loan Scheme for Pensioners All Bank Property Loan All Bank Saral Loan Scheme All Bank Educational Loan Scheme Overdraft Facility in Savings Bank Account Personal Loan Scheme for Doctors/ Medical Practitioners Loan against NSC/ KVP All Bank Mobile Scheme All Bank Rent Loan All Bank Gyan Dipika Scheme All Bank Car Finance Scheme All Bank Pilot Training Loan Scheme All Bank Furnishing Loan All Bank Gold Loan Scheme All Bank Reverse Mortgage Scheme All Bank Bussan Scheme All Bank Trade Scheme

Other Credit Products

Kisan Credit Card Kisan Shakti Yojana AllBank-Expo

Services

All Ayushman Bima Yojana Cash Management Services Depository Services Visa Cum Debit Card Services Real Time Gross Settlement National Electronic Funds Transfer Gold Card Scheme For Exporters Charter for MSME's Government Business Regional MSME care centers

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HeadOffice
AllahabadBank 2,NSRoad Kolkata700001 WestBengal Website: www.allahabadbank.com

MISSION AND VALUES

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Mission
To ensure anywhere and any time banking for the customer with latest state-of-the-art technology and by developing effective customer centric relationship and to emerge as a world-class service provider through efficient utilization of Human Resources and product innovation.

Customer Service and Product Innovation tuned to diverse needs of individual and corporate clientele. Continuous technology upgradation while maintaining human values. Progressive globalization and achieving international standards. Efficiency and effectiveness built on ethical practices.

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Core Values
Customer Satisfaction through o Providing quality service effectively and efficiently o "Smile, it enhances your face value" is a service quality stressed on o Periodic Customer Service Audits Maximization of Stakeholder value Success through Teamwork, Integrity and People Customer Centricity Ethics Transparency Teamwork Ownership

PERSONNEL DEPARTMENT

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The appointment of personnel in the organization is done by personnel interview. Advertisements are given in the newspapers if there is requirement of any employee. The selection is done on the basis of a thorough analysis of the applicants resume and performance in the personal interview. Persons having experience in the respective field and a good command over English are preferred. A proper training is provided to the candidate until he understands the work fully. The training is basically on the job and all efforts are done to make the candidate comfortable and adjust to the environment.

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ACTIVITIES PERFORMED BY THE ORGANIZATION

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PERSONAL BANKING:
Open Zero Balance Savings Account Get my account balance on mobile phone Transfer Funds Online Recharge my Prepaid Mobile Know about Offers on my Debit/Credit Card Remit money to India - Online Open an FD Online View Plus Points Catalogue for Debit Cards Apply for a Credit Card Register for Internet Banking Pay my Bills Online Get a Gold Debit Card Pay taxes online

CORPORATE BANKING:
Exclusive Banking Redefined - Club50 Current Account Various types of Current Accounts to suit your business requirements Fast track loans for SMEs Wide range of products for the SME segment Organized payment and collection solutions

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Pay your taxes online or through our vast branch network

NRI BANKING:
Remit money to India Open an NRI account online Refer a NRI Invest in shares in India Find Axis Bank's correspondent banking arrangements Compliment / Complain

PRIORITY BANKING:

Dedicated Relationship Manager Home Banking Banking Privileges Preferred Rates on Loan Products Investment Privileges
Lifestyle Privileges Gold Credit Card

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OBJECTIVE OF STUDY

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 To study the process of CMS in Allahabad bank under following points : Smoothen the process of collection Smoothen the process of payment Security Control Support Efficiency and Productivity

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RESEARCH METHODOLOGY
3.1 Research
Research in common parlance refers to SEARCH FOR KNOWLEDGE. Research may be define as the objective and systematic method of finding solution to a problem i.e. systematic collection, recording, analysis, interpretation & reporting of information about various facts of a phenomenon order study. In other words research refers to the systematic method consisting of enunciating the problem collecting facts or data. Analyzing the facts cortically and reaching conclusion based on them.

3.2

Research Methodology
Research methodology refers to the various sequential steps to be adopted

by research in studying a problem with certain object/objects in view. It would be appropriate to maintain that research projects are not susceptible to any one complete and inflexible sequence of steps and the type of problems to be studied will determine the particulars steps to be taken and their order too. However, the

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following steps provide a useful procedural guideline so for as research methodology is concerned. Tentative selection of the topic of research. Initial survey of literatures. Defining or selecting the research problem. Extensive literature survey. Specification of the information required: Formulating the hypothesis
Design of the research project.

Sample Design Collection of data Execution of the project. Analysis of Data Testing the hypotheses. Reviewing at generalizations. Preparation of the report.

Research is an academic activity & such the term should be used in technical sense.

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The manipulation of things, concept are symbols for the purpose of generalizing to extend, correct or verify knowledge about whether the knowledge aids in construction of theory are in practice of an art. Research implies search for knowledge about certain problem through statistical devices. These search yield data concerning the problem. Therefore research means investigation carried out by any person where in relevant data are collected and they are analyzed with the help of different statistical methods. The data thus collected enable investigator in arriving at certain conclusion.

INTRODUCTION TO THE PROJECT

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WHAT IS CASH WHAT IS CMS CMS IN ALLAHABAD BANK PROCESS OF CMS IN ALLAHABAD BANK VARIOUS SERVICES OFFERED BY ALLAHABAD BANK GENERAL ADVANTAGES OF CMS ADVANTAGES OF ALLABAD BANKS CMS FAQS FREQUENTLY ASKED QUESTIONS
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The report showcases the work done with the organization in the field of cash management services. The organizations Executive operator Mr. Gunjan pandey who has given the full exposure and knowledge about how to manage the cash of corporate clients (SMEs as well as large corporates). The project is basically related with day to day collections and payments at the end of clients and their management by Allahabad bank. There are so many transactions happens in routine working of a company such as collection of Cash, cheques, DD and payments to third parties, management of these activities is a tedious work and needs very much cautions, Allahabad bank provides them solutions by servicing through Cash management.
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In today's competitive market place, effectively managing cash flow can make the difference between success and failure. Allahabad bank offers a wide range of collection and payment services to meet companys complex cash management needs. Payments received from companys buyers and made to companys suppliers are efficiently processed to optimize companys cash flow position and to ensure the effective management of companys business' operating funds. The flow of receivables and payables can also be seen through Allahabad banks web solution, above all Allahabad banks quick adaptation of the latest technology differentiates Allahabad bank from the other competing banks.

Overall the project can be classified into two phases

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ALLAHABAD BANKS CMS

PHASE-I

PHASE-II

COLLECTION SOLUTIONS

PAYMENT SOLUTIONS

PHASE I

Collection Solutions
With Allahabad banks Collection Service, companies can collect regular and recurring payments from their customers more efficiently. Allahabad banks centralized CMS solution enables quick access to the companys funds with matching MIS reports through emails/web solution. These deposits are directly credited to a designated account, regardless of where they are made.

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It includes: Power Speed-Local Cheque Collection Power Reach-Upcountry Cheque Collection Post Dated Cheque Collection Bulk Collections - Utility Bills or PDCs Management IPO Collections/Rights issue ECS Debit

PHASE II Payment Solutions

Allahabad Bank presents Payment Solutions. Save on effort, time and worry. Plus, Allahabad banks Electronic Clearing Services help serve corporates even better. It includes:

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 At Par Payment Dividend/Interest Payment Power Remote-Remote DD Printing Power Cheque-Customer Cheque Printing Electronic Clearing Service (ECS Credit) NEFT Real Time Gross Settlement (RTGS)

WHAT IS CASH
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MEANING OF CASH

There are two ways of viewing the term cash. In a narrow sense it includes actual cash in the form of notes and coins and bank drafts held by a firm and the deposits withdrawal on demand. And in a broader sense, it includes even marketable securities which can be immediately sold or converted into cash.

NEED FOR CASH:

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The need for holding cash by the corporate sectors arises from a variety of reasons which are as follows:
TRANSACTION MOTIVE:

A company is always entering into transactions with other entities .While some of these transactions may not result in an immediate inflow/outflow of cash (e.g.: credit purchases and sales), other transactions cause immediate cash inflows and outflows. So firms always keep a certain amount as cash to deal with routine transactions where immediate cash payment is required.
PRECAUTIONARY MOTIVE:

Contingencies have a habit of cropping up when least expected. A sudden fire may break out, accidents may happen, employees may go on strike, creditors may present bills earlier than expected or debtors may make payments later than warranted. The company has to be prepared to meet these contingencies to minimize its loses. For this purpose companies generally maintain some amount in the form of cash.
SPECULATIVE MOTIVE:

Firms also maintain cash balances in order to take advantage of opportunities that do not take place in the course of routine business activities. For example, there may be a sudden decrease in the price of raw materials which is not expected to last long or the firm may want to invest in securities of other companies when the price is just right. These transactions are of a purely speculative nature for which the firms need cash.

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WHAT IS CMS

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INTRODUCTION TO CMS:Cash Management is the process of optimizing receivable and payables while ensuring predictability in the cash flows. Efficient Cash Management is about getting funds in time, quick transfers, quick realization of local and outstation cheques, easy disbursements, account reconciliation, controlled processes and customized MIS. Thus Cash Management Services (CMS) eliminates the inherent delays of a funds transfer mechanism, thus enhancing liquidity and ensuring optimum planning and utilization of funds. Cash Management services is a new entrant in the Indian Banking Scenario. Cash Management Services (CMS) is a mechanism to efficiently manage cash flow in order to reduce risks, minimize costs and maximize profits. Generally Cash Management comprises integrated collection, payments, liquidity management, and receivables functions. Speedy collection of outstation instruments is one of the major products under CMS.

Cash Management Service is a service provided by bank to corporate clients for collection & payment of funds. CMS was introduced by corporation bank in 1982.

WHY OPT CMS.

. Many organizations who sells their products through their

depot network at various locations situated in all over India. . Against above sales, funds are collected in the form of Cheque/Demand Draft

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CMS IN ALLAHABAD BANK

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Allahabad bank provides cash management services to corporate clients from 496 collecting location across the country with pooling facility at different branches as per client choice, which is physically connected to out central hub at KOLKATTA. ALLAHABAD BANKs product is aimed at enhancing liquidity, reducing costs and providing opportunities for profit for their client. The product is technology-driven and the entire network is linked through VSATs / leased lines. Under ALLAHABAD BANK, funds are transferred directly to the client main account from various collection centers on the same day that they are cleared at the centers. ALLAHABAD BANK also offers disbursement / payment services through a separate debit transfer module to facilitate payment at various expenditure centers & plant location. On a daily basis detailed MIS reports, covering location-wise presentation, location-wise credit and cheque returns, are made available to corporate head offices as well as to the local offices / representatives at the various centers of the client through Email. Allahabad bank also customizes the MIS report to suit the clients requirements. Daily / monthly reports are sent to client through E-Mail. Full reconciliation support is provided centrally from Allahabad banks hub at Kolkatta through a dedicated team. With a huge volumes routed through this product, Allahabad bank is the acknowledged leader in the collection services, which basically at collection of sales proceeds electronically for companies having a wide market network spread all over the country.

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Allahabad banks Collection & Disbursement products enable corporates to reduce the interest cost on their borrowings by getting access to their funds faster there-by reducing the borrowings. Additionally, it helps corporates to improve the liquidity position by realizing cheques earlier, there-by improving the Balance Sheet and Financial Ratios. Corporates Banking and Treasury functions can be managed with far less number of people as most of the funds and liquidity management functions get outsourced to Allahabad bank as corporates Bank and in addition will require lesser manpower for performing various payment related activities. Allahabad Banks CMS products allows corporates to maintain better control over the various Banking and Treasury related activities, improve speed and ease of reconciliation and reduces the risk of fraud.

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PROCESS OF CMS IN ALLAHABAD BANK

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CARD| VISA ATM CUM DEBIT CARD|ALLAHABAD BANK| ADVANTAGES| FEATURES| Application process
Allahabad Bank the oldest bank in India is offering ATM Services to its customers in 110 cities & towns spread all over the country. The ATMs (Automated Teller Machines) offer the convenience of banking 24 hours a day, 7 days a week, 365 days a year. Bank is a member of VISA & NFS Networks thereby enabling customers to access a wide network of ATMs in India and abroad. Allahabad Bank International Debit Cum ATM Card Advantages: With this card, there is no need to carry cash in your wallet and you need not fear of overspending on your credit card! You can now withdraw cash and make purchases anytime you wish to. Network: Allahabad Banks own ATM Network comprises 211 ATMs. You can also access the ATM infrastructure of other NFS Member banks at free of Cost. Total ATM Coverage under this network is more than 42000+ ATMs. In addition, the bank is already connected to the VISA network hereby enabling its International Debit-cum-ATM Cardholders to access large number ATMs / Merchant Establishments (POS Delivery Channel) deployed in India & world wide. Transactions done on VISA ATMs in India are free of cost. Features:AT ALLAHABAD BANKS ATMs AT OTHER VISA ATMs AT NFS AT VISA POINT OF SALES MEMBER (POS) BANKS ATMs Withdraw Cash Make payments for purchases up to Rs. 25000 per day subject to balance available in the account Balance enquiry

Withdraw Cash (Maximum limit Withdraw Rs. 15000/- per day subject to Cash Balance in your account) Fast Cash withdrawal Balance enquiry Change PIN Fund Transfer from one account to another linked to card up to Rs. 15000 per day Operate multiple accounts with a single card Deposit cheque/cash Balance enquiry

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Request for a cheque book/statement of account Mini Statement

Free Personal Accident Cover All international Debit Cardholders would be covered under Free Personal Accident Insurance for Rs 1.00 lac. In the unfortunate event of loss of life in a mishap, the customers nominee will receive the benefit of accident insurance up to Rs. 1.00 lac How to apply:-

All customers having Savings Bank or Current Account other than Minors including joint holders (with mandate either/survivor) are eligible for ALLAHABAD BANKs International Debitcum-ATM Card. If you dont have a Savings or Current Account, first open your account in any of the networked branches of the bank. Submit the application form to the Branch along with your recent photograph. Within a short period, you will receive your personalised ATM-cum Debit Card. Collect the PIN from your Branch on receipt of the Card. Change the PIN at any Allahabad Bank ATM at the first opportunity. Loss or Damage of the card:In case of loss or damage of the card, please inform the branch as well on the toll free no 180022-0363 immediately so that the card will be blocked, to ensure safety of your funds. Terms and Conditions:-

The validity of the card will be 5 years from the date of issue. The Card will be issued free of cost to primary and joint holders with no annual charges for the first year. From the second year onwards Bank will charge an annual fee of Rs. 100/- only for renewal of the card every year. For issuance of duplicate cards our charges will be Rs. 100/-. Transaction Charges: All transactions on any Allahabad Bank ATMs and other Banks ATMs under VISA/NFS in India are free of cost for our banks cardholders. Our charges for transactions on other ATMs are as under.

Summary of Transaction Charges

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Other VISA ATMs Cash Withdrawal Balance Enquiry Point of Sales transactions(POS) In India : NIL Abroad : Rs. 140 per transaction In India : Rs. NIL per enquiry Abroad: Rs. 34/- per enquiry

NFS Member Banks ATMs Rs. NIL Rs. NIL per enquiry

No Service charge is levied on POS transactions except for transactions made at petrol pumps, railway reservation counters as per Visa Regulations where service charge levied as per industry standard practices 2.50% service charge or Rs. 10/- minimum for transactions at petrol pumps.

** Please note that above charges levied on ATM transactions are inclusive of Service Tax applicable Security:Complete Security through your own special PIN (Personal Identification Number). Only you can operate your account through the ATM along with the PIN. For further security change your PIN to another number combination any time you want. 24-Hour Customer Service:You can call our Toll Free No. 1800-22-0363 round the clock for any assistance regarding your ATM-cum-International Debit Card Apply for your ATM-cum-Debit Card now and enjoy free access to any of our banks ATMs all 365 days in a year. The NFS Member Banks S. No. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 NAME OF BANK ALLAHABAD BANK ANDHRA BANK AXIS BANK BANK OF BARODA BANK OF INDIA BANK OF MAHARASHTRA CANARA BANK CATHOLIC SYRIAN BANK Central Bank of India CITY UNION BANK CORPORATION BANK COSMOS CO-OPERATIVE BANK LIMITED DENA BANK DEVELOPMENT CREDIT BANK DHANLAKSHMI BANK LTD. HDFC ICICI BANK IDBI BANK

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19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37

INDIAN BANK INDIAN OVERSEAS BANK INDUSIND BANK JAMMU KASHMIR BANK LTD. KARNATAKA BANK KARUR VYSYA BANK LAXMI VILAS BANK ORIENTAL BANK OF COMMERCE PUNJAB NATIONAL BANK SOUTH INDIAN BANK Standard Chartered Bank STATE BANK OF INDIA Syndicate Bank TAMILNADU MERCANTILE BANK UCO Bank UNION BANK OF INDIA UNITED BANK OF INDIA VIJAYA BANK YES BANK

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OFFERS BY ALLAHABAD BANK

Guaranteed transfer of collection proceeds on the same day the funds are cleared at CMS collection center located all over the country to the central account of corporate at a designated pooling center. No accounts need to be maintained at the collection centers. Day-end-Balance sweep of balance in operative account maintained at CMS centers to facilitate local disbursement. Transfer of Day-end-Balance in collection accounts maintained at various CMS centers to main account. Customize credit to clients account at Mid-day and end-of-theDay. Customize MIS on collection across the country, including forecast of expected credit, through E-Mail on the same day. Centralized Reconciliation Statement.

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VARIOUS SERVICES OFFERED BY ALLAHABAD BANK

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Collection Solutions (Power Collect: Managing Receivables Collections)

Allahabad banks Power Collect products are designed and developed to meet all of corporates Collection needs, Cheques, Cash and Electronic Transfer. Whether corporates do business locally or throughout India, Allahabad bank can provide them with innovative, integrated cash management solutions customized to their specific needs. Allahabad Bank's Cash Management Services is based on an extremely robust technology capable to cater to collection or payment requirements of: Large Corporate Small and Medium Segment Banks NBFCs Mutual Funds Financial Intermediaries Allahabad Bank facilitates faster collections by enabling quick realization of local and upcountry cheques and pooling the funds in a central account. Allahabad bank provides the following collection products:
Power Speed-Local Cheque Collection

LCC enables corporates to realize funds (on an assured day) through local cheques payable within the purview of local clearing. Allahabad bank provides these services at Allahabad Bank Network: 426 locations with courier pickup facility

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Co-ordinator Network: Locations with courier pickup facility can be added as per corporate business requirements. Allahabad Bank locations: With Allahabad banks large network of branches, bank is able to collect corporates locally payable cheques across the country. Allahabad banks branches are equipped to handle large volume of instruments and ensure that the funds are pooled as per the agreed timelines even before the same are realized Non Allahabad Bank locations: Currently Allahabad bank has Correspondent Banking arrangement with multiple Banks to use their branch network. Allahabad bank has appointed its Co-ordinators at various locations to facilitate corporates cheques pick-ups and ensure that they are immediately processed in the local clearing through a Correspondent Bank. Power Reach-Upcountry Cheque Collection UCC enables corporates an assured credit for outstation cheques on a designated day in any of their account across the country (at any of the Allahabad Bank branch) with a customized MIS. In addition to Allahabad Bank and correspondent bank centers (3000 locations), all the locations are being covered under Remote Cheque Collections, offering corporates a one-stop-solution for all their outstation cheques across the country. Allahabad Bank locations: Allahabad banks wide network of Branches ensures that most of corporates outstation cheques would be covered within Allahabad Bank network. This would result in faster realization of funds. Further, funds can be pooled into their account even before the instruments are realized as per the arrangement. Non Allahabad Bank locations: To further extend its offering to process corporates Outstation Cheques at Non Allahabad Bank locations, Allahabad bank have tied up with other banks to act as its Correspondent Bank and ensure that all their Outstation Cheques are collected and immediately presented for clearing.
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Remote Locations: There could be a possibility wherein the location where the outstation cheque is drawn on is not covered under Allahabad banks extended network with correspondent banks. Allahabad bank still can offer corporates to collect the same and send it directly to the Drawee location for realization .

Post Dated Cheque Collection Allahabad bank handles the complete life cycle of the Post Dated Cheques till they are realized. All the activities like maintaining PDC inventories, retrieval and depositing the cheque for payment, representation of a bounced cheque and exception handling (stop payment etc.) are conducted by the Bank on behalf of its customers. Bulk Collections - Utility Bills or PDCs Management Allahabad Bank offers solutions to meet Bulk Collection Requirements i.e., Post Dated Cheques (PDCs), Bulk Collections through Cheque clearing or ECS debit services, etc. The Bank processes collections in a convenient and efficient way to avoid any reconciliation issues. Bank have required infrastructure, technology and capability to manage and handle PDCs through its dedicated team that manages inventory of cheques and timely presentation of the same, well supported with MIS ensuring maximum benefits to the organizations. Utility bill collection: Allahabad bank offers ease & convenience to its customers and utility subscribers in their bill payment by facilitating bill payments via online & offline modes for various utility service providers. The various popular channels offered by Bank for bill payment are: Online Mode: Electronic Clearing Services (ECS) Collection through Internet and ATM for common customers
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Collection through Bill payment Kiosks Offline Mode: Drop boxes at branches of Allahabad bank/Departmental stores/Mobile Galleries Onsite and Offsite ATMs Pick up from customer service centers and other authorized outlets Presently the bank has tied up with utility service providers like MTNL, BPL Mobile, AIRTEL, Reliance Energy, Mahanagar Gas, NDPL and more in the pipe line. The Allahabad bank's extensive network & prominently placed ATMs provide reach and access for customers to pay their bills. Bill payment service from Allahabad bank has a robust and proven technology to ensure reliability, security.and performance and is aptly supported by a dedicated desk for efficient functioning and customer service. IPO Collections/Rights issue As collecting bankers, Bank provides services relating to: Public or Rights Issues Private Placements Buyback offers Bank provides Collecting or Escrow Banker services for Initial Public Offer (IPO) and for Further Public Offer (FPO) to handle collections of application forms and instruments received. Its extensive branch network of 236 locations, robust processes and systems and an experienced team across the country enable it to act as a leading collecting banker. The bank endeavors that Companies, Merchant Bankers, Registrars, and Syndicate Members receive high quality service and satisfaction. Banks wide network of Branches facilitates IPO collection across the country. Thus all the activities like collecting the Application Forms and the Instrument, Processing the Instruments, Pooling the funds to the designated Account and Consolidated Report/MIS generation form part of its end to end solution for IPO Collection. ECS Debit ECS Debit is an electronic clearing system that facilitates paperless debit transaction. Allahabad Bank facilitates ECS Debit on all the locations that

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are activated by the respective local clearing houses. Bank accepts the electronic file centrally for all the locations and arranges to upload it at the RBI site. The realized funds gets pooled to a centralized account. In this current scenario of cut-throat competition, Allahabad Bank has designed its products to minimize the issues faced by corporates in the area of fund management and reconciliation. Its aim is to reduce the cost, time and efforts faced by corporate in collection and payment issues. Bank provides corporates complete solutions to all their CMS needs to enable them to devote more time and effort towards improving their business

Payment Solutions (Power Pay :Managing payables)

Allahabad banks Power Pay products are designed to take maximum benefit of the Anywhere Banking through its large network of branches with centralized database. Allahabad Bank not only provides a clearing platform to process corporates payments but also has taken a step ahead by enabling them to outsource their cheque writing and other time-consuming and routine manual payment processes. The Centralized Payment system, connecting its entire branch network, is capable to process any type of payment- physical instrument (with or without facsimile signature) as well as electronic payment, bulk DD payment to vendors, salary payment or dividend/ interest payments of large corporate houses.

At Par Payment Bank issue At Par payable cheque book to its Current Account customers. At Par facility enables corporates to maintain only one Account and issue cheques that would be payable at any Allahabad Bank location as a local cheque. Further each cheque, if needed, can be

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validated against an issue file before clearing the instrument to avoid fraudulent encashment.

Dividend/Interest Payment Bank undertakes Bulk dividend and interest payment of corporate houses through an At Par facility. A central account, maintained by corporates with Allahabad Bank, needs to be funded and bank would ensure that the dividend/interest warrant presented at any Allahabad Bank location is cleared under respective local clearing. A validation process ensures that each warrant is paid after matching with the issue file and thereby avoids fraudulent payment.

Power Remote-Remote DD Printing To cater to corporates need for issuing bulk demand draft (DD) at various locations, bank offer its remote printing services wherein corporates fund a central account and bank would print the DD at different Allahabad Bank
locations and arrange for the dispatch of the same. Validation against the issue file keeps a check on fraudulent payment.

Power Cheque-Customer Cheque Printing Payment by Cheque still remains a popular payment method but involves time-consuming and laborious manual processes. Payments outsourcing to Allahabad Bank would enable corporates to get the cheques and the cover note printed as per the payment file with the facsimile signatures of the authorized signatories of their company. The cheques can be printed centrally or at various remote locations as per corporates requirement.

Electronic Clearing Service (ECS Credit)

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ECS Credit is an electronic clearing system that facilitates paperless transaction through an offline system. Allahabad Bank facilitates ECS Credit at all ECS designated locations. Bank accepts the electronic file and arranges obtention of settlement date (date of credit to beneficiary account) from RBI/SBI/Local Clearing House as the case may be. The funds get debited from a centralized account and credit is accorded to the respective beneficiaries as per settlement cycle. A detailed MIS about the transactions is provided to the customer.

NEFT To establish an Electronic Funds Transfer System to facilitate an efficient, secure, economical, reliable and expeditious system of funds transfer and clearing in the banking sector throughout India. The customer willing to avail the NEFT facility offered by Allahabad bank shall submit an "NEFT Application Form" authorizing the sending bank to debit the sender's account and transfer funds to the beneficiary specified in the NEFT Application Form. The Beneficiary's account will be credited on the same day by crediting the specified account of the beneficiary or otherwise placing funds at the disposal of the beneficiary.

Real Time Gross Settlement (RTGS)

RTGS System is a payment settlement system that minimizes the credit risk in the prevalent cheque clearing system. Under RTGS the funds are settled on a near real time basis across Banks in different locations. Bank offers this immediate electronic fund transfer facility to RTGS enabled bank branches across the country through its designated RTGS enabled locations.

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GENERAL ADVANTAGES OF CMS

Quick cash at hand. Planning of cash flow. Bank interest is saved as instruments are collected faster. MIS reports to meet customers requirements. Single point inquiry for all queries. Customer's designated account will be credited as per customers choice. Funds credited on any day from the date of deposit of instruments as per customer's choice.

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Services charges are competitive and negotiable according to volume of business.

Eliminating idle cash balances. Monitoring exposure and reducing risks. Ensuring timely deposit of collections. Properly timing the disbursements.

ADVANTA GES OF CMS

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OF ALLAHABAD BANK

Extensive Network

Allahabad Bank has its own branches in various locations. Above this its arrangement with reputed correspondent banks covering more than 900 locations ensures that most of corporates cheques are covered under its network and the realization status can be known at the earliest.

Lower Interest Costs & Improved Liquidity

A dedicated HUB ensures that corporates receive funds in their designated account within transit time thereby reducing interest costs and improving their liquidity position.

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Centralized Service Desk

A dedicated service desk has been started at its Centralized Collection and Payment HUB (CCPH) to ensure that customers queries are resolved quickly and efficiently. The Customers can contact CCPH regarding any query about the MIS or the process flow.

Web CMS

Web CMS provides corporates with all the information at a click. Detailed MIS like location wise collection and return, product-wise pooling, pooling in pipeline (due credit report) etc. can be viewed and downloaded from web interface through internet.

Comprehensive MIS

Allahabad bank provides comprehensive MIS reports like daily report, transaction report future credits reports and cheque returned unpaid report. On the payments side it provide daily paid - unpaid status for the demand drafts, cheques or warrants issued by Organizations.

Mobile Alert Service

The CMS clients availing Allahabad banks collection products now have the facility to subscribe to Mobile Alert Service for receiving alerts on registered mobile phone numbers instantly after the funds are pooled.

Cash flow management

Allahabad bank Provides better management and forecasting of cash flow through its host of services.

Optimized Returns

Through the coordinated management of payments, receivables and cash balances, corporates are able to reduce interest charges and optimize returns on their deposits and investments.

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Increased efficiency and productivity

Offers easy and convenient means to perform online banking (such as cheque services and fund transfer), bulk payments and collections etc.leaving companys staff with more time for other tasks.

Better control

Empowered by Allahabad banks CMS, corporates now enjoy greater control over their transactions, funds placement and the management of their various bank accounts.

Enhanced security

Advanced security features are built into Axiss systems to ensure end-toend security and confidentiality, as well as control over payment processing.

Support

Banks dedicated team of product and implementation consultants will provide expertise and support to assist corporates in the usage of its present services, as well as continually enhance its product offerings to serve their needs even better.

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FAQs Frequently Asked Questions

What would be the charges? The charges depend on case to case basis. To find the most appropriate charges for your company please send an e-mail to cash.management@allahabad bank.com How long does it take to start with the CMS from Allahabad Bank? After the receipt of complete documentation it takes only 2-3 working days to begin with Cash Management Services. What is the documentation required? Individual products require different documentation. Specially designed documents to reduce corporates executive time spent on the

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documentation. One can send an cash.management@allahabad bank.com for any query.

email

to

What constitutes Bulk Payments? How does it work? Bulk Payments are essentially payments involving large number of cheques payable at multiple locations across the country. The payments are effected through central uploading and issuing DD/Pay orders, directly at the payable locations. Can the collections/ payments and central current account be linked? With Allahabad Bank, collections, payments and the current account can be effectively linked giving a total control on the receivables and payment requirements. Can the MIS be customized according to the specific needs? All the specific requirements across business models can be incorporated in the MIS provided for all Products. Are the reports available on the internet? By using Allahabad banks highly secured WEB CMS and iconnect Modules one can access detailed information about financial transactions. Can the information about instruments be known which was collected on previous dates? By using Allahabad banks Web CMS one can drill down to 6 months old history of the cheques collected and routed through its CMS channels.

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CONCLUSION

Smoothen the process of collection:

Allahabad Bank facilitates faster collections by enabling quick realization of local and upcountry cheques and pooling the funds in a central account.

Smoothen the process of payment:

The Centralized Payment system, connecting its entire branch network, is capable to process any type of payment - physical instrument (with or without facsimile signature) as well as electronic payment, bulk DD payment to vendors, salary payment or dividend/ interest payments of large corporate houses.

Security:
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Allahabad banks systems ensure end-to-end security and confidentiality.

Control:
Allahabad banks CMS ensures greater control over corporates transactions, funds placement and the management of various bank accounts.

Support:
Dedicated team of bank provides expertise and support to assist in the usage of its present services.

Efficiency and Productivity:

Allahabad bank offers easy and convenient means to perform online banking, bulk payments and collections.

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LIMITATIONS OF STUDY

There are certain limitations that I have faced during my project. Some of these are as followsI. Time factor was a major limitation. This is not possible to have knowledge of the whole inverse of organization in a short period of time. II. Since the executives as well as the non-executives were loaded with busy work schedules. They could not give more time. III. The Bank had some limitation regarding data. It was found difficult to collected secondary data because organization kept it as confidential.
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IV. Employees unwillingness to give information. V. The daily business of employees debarred from paying full attention towards my study. Yet, with all the hindrances, I made an honest attempt to make this report fairly and comprehensive

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SWOT ANALYSIS

STRENGTHS:

The bank is having a rich experience in this field, which is the biggest strength of the bank. Internal staff is very well trained and efficient. Bank gives utmost attention on making personal relations with the clients, which helps them in making goodwill in the market in the long run. Services offered by bank No. of branches Consistent market growth WEAKNESS:

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 System complexity Charges are higher than other players.

Opportunities:
growing market industrial area expansion of CMS network

THREATS: Competition from private players Competition from public players

SUGGESSIONS
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Bank should increase its CMS network to all its branches. This time it is available only on 496 branches from 896 branches all over India

Separate batch system must be there for vocational training which saves the time of both students and staff.

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BIBLIOGRAPHY
INTERNAL SOURCES: Data provided by the bank EXTERNAL SOURCES: Research Methodology, C.R.Kothari Financial Management, ICFAI Financial Management, Shashi K.Gupta

WEBLIOGRAHY

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www.google.com www.allahabad bank.com www.wikipedia.com www.investopedia .com

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