Comparative Study of Credit Cards in Indian Market

8/9/2019 Comparative Study of Credit Cards in Indian Market

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A RESEARCH PROJECT REPORTON

(COMPARATIVE STUDY OF CREDITCARDS IN INDIAN MARKET)

Submitted in partial fulfillment for the award of the degree of

Master of Bus !ess A"# ! strat o! (MBA)(2010- 2012)

From ahamaya Te!hni!al "ni#er$ity% &oida '

Su$# tte" to%& Su$# tte" $'%&Prof S a#a *e Na$ & "* +* ,(Fa!ulty +uide) '.' ' / Sem' *oll &o'100 0003

+ +4T/ 54 6+6 4F 6&+/&66*/&+ &7 T658&4 4+9ffiliated to 'T'" "ni#er$ity% &oida

1% nowledge :ar;-//% +reater &oida 201


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Website: www.galgotiacollege.edu

2


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CERTIFICATE

Date%

TO +HOM SO EVER IT MAY CONCERN

Thi$ i$ to !ertify that $ & "* +* , i$ a bonafide $tudent of . 2 nd 9ear of thi$

/n$titute for the $e$$ion 2010-12 and 8e ha$ prepared Resear, Re-ort titled =54 : * T/ 6

ST"79 4F 5*67/T 5 *7S /& /&7/ & * 6T>> for partial fulfillment of Master of

Bus !ess A"# ! strat o! (MBA) affiliated to ahamaya Te!hni!al "ni#er$ity% &oida' 8e ha$

wor;ed under my $uper#i$ion and performan!e during the pro?e!t ha$ been $ati$fa!tory'

/ wi$h him all the be$t for her future endea#or$

:rof' S8 / 6 & ./(Fa!ulty guide)


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STUDENT DEC.ARATION

/ hereby de!lare that the re$ear!h report entitled =54 : *T/ 6 ST"79 4F5*67/T 5 *7S /& /&7/ & * 6T@ $ubmitted by me in partial fulfillment of

the reAuirement$ for the . (F B/T)% i$ my original wor; and that it ha$ not

pre#iou$ly formed the ba$i$ for the award of 7egree'

7ateC & "* +* ,

5andidate>$ $ignature


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ACKNO+.ED/EMENT

5ompleting a ta$; i$ ne#er a one E man effort' /t i$ often the re$ult of #aluable!ontributor$ of indi#idual$ in a dire!t or indire!t manner %whi!h in $haping and

a!hie#ing an ob?e!ti#e ' 8ere we !annot re$i$t the temptation of expre$$ing our

than;$ to tho$e who ha#e !ontributed greatly in a!!ompli$hing thi$ ta$;'

/ would li;e to pay my gratitude to r' Shamaile &abi for hi$ ;ind attention

$upport and gi#ing an opportunity to re$ear!h wor; on =5omparati#e $tudy of !redit

!ard$ in /ndian ar;et@' /% al$o greatly appre!iate the diligent $upport pro#ided byall the fa!ulty of + +4T/ 54 6+6 4F 6&+/&66*/&+ &7

T658&4 4+9 and my friend$ for their whole $upport and !o - operation'

& "* +* ,

'.' - / Sem'


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CONTENTS


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CONTENTS

1' /ntrodu!tion

2' 4rigin of 5redit 5ard$

$ 5redit 5ard

• Citi Bank Credit Cards

• ICICI Bank Credit Cards

• HDFC Bank Credit Cards

• Standard Chartered Bank Credit Cards

11' *e$ear!h ethodology

12' 7ata naly$i$ and 7ata /nterpretation

1


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INTRODUCTION


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INTRODUCTION

The !on!ept of K Bu' No01 Pa' .ater2 date$ ba!; to the late 1 30$ L 0$ with the

introdu!tion of pla$ti! money in the we$tern nation$' /t originated be!au$e the people

wanted a !on#enient and rapid mean$ of a!!e$$ing their ban; a!!ount$' l$o% the

exorbitant pri!e of money !hanging hand$ between the !on$umer% mer!hant$ and the

ban;$ led to the diffu$ion of thi$ !on!ept in the ban;ing $y$tem'

For $pendthrift$ and habitual borrower$ pla$ti! money indu!e$ $pontaneou$ and on-

the-$pur $pending' .ut it$ ad#antage$ in term$ of !on#enien!e% flexibility and $afety

far outweigh it$ pitfall$' :ro#i$ion$ for ea$y repayment gi#e the !ard the liAuidity of

!a$h along with the a!!ountability of !redit !ard'

/n the pa$t 20 year$ the$e !ard$ ha#e proliferated the world mar;et $o $u!!e$$fully that

they ha#e altered the fa!e of retail ban;ing' ,ith the power of pla$ti! ruling the

world% /ndia !annot remain behind' ,ith a $low and $teady mo#e toward$ $!rip le$$

trading the !ountry i$ mo#ing toward$ !a$hle$$ tran$a!tion$'

The pla$ti! money mar;et i$ bubbling with a!ti#ity with both /ndian and foreign

ban;$ #ying to expand their mar;et pre$en!e' ,hile the foreign ban;$ ha#e been

hogging the limelight /ndian ban;$ are the $lumbering giant$' The latter ha#e the

ad#antage of a large !u$tomer ba$e% bran!h networ; along with low $er#i!e !harge$'

The$e ad#antage$ need to be tapped to realiDe the full potential of the$e ban;$'

Thi$ pro?e!t i$ an attempt to under$tand the a!!eptan!e of !redit !ard$ by the

!on$umer$ and how it ha$ helped to in!rea$e the pur!ha$ing power of the !on$umer$'


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ORI/IN


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ORI/IN OF CREDIT CARDSThe !redit !ard ha$ it$ beginning in an embarra$$ing in!ident that too; pla!e in theearly 1 G0>$ in meri!a' The $tory goe$ that r' !&amaraM a &ew 9or;

bu$ine$$man too; hi$ friend$ out to dinner'

t the end of meal he di$!o#ered that he had forgotten hi$ wallet at home% the

proprietor wa$ ;ind enough to allow him a later $ettlement of bill' $ !&amara

$tepped out of the re$taurant he had the brainwa#e for the introdu!tion of !redit !ard$

$y$tem of a#ailing in$tant !redit upon !onfirming the identity of !ardholder' Thu$ wa$

born the 7iner$ 5lub 5ard$% the pioneer of today>$ multibillion dollar pla$ti! money bu$ine$$'

7iner$ !lub adopted a promi$ing approa!h by re!ruiting #ariou$ 8otel$ and

re$taurant$ to a!t a$ member e$tabli$hment for a!!epting the !ard$' &ot only did the$e

e$tabli$hment$ pay a !ommi$$ion on member$> pur!ha$e$ but the member$ al$o paid

an annual $ub$!ription fee' 7iner$ 5lub #etted it$ member$ for !redit worthine$$ and

guaranteed payment to parti!ipating e$tabli$hment' Thu$ wa$ born the fir$t KTra#el

and 6ntertainment 5ard>' /t wa$ followed by meri!an 6xpre$$ whi!h i$ now adominant for!e in the Tra#el and 6ntertainment !ard$ indu$try% and by 1 G by 5arte

.lan!he% after many #i!i$$itude$ i$ now a part of 5iti .an; 6mpire together with

7iner$ 5lub' /n the pre$ent time meri!an 6xpre$$ lead$ the tra#el and entertainment

(TL6) !ard indu$try'

The next great leap-forward !ame from .an; of meri!a% whi!h in other ban;$' Su!h

!ard holder$ !ould u$e their !ard 1 33 offered to li!en$e it$ $u!!e$$ful blue% white and

gold .an; meri!a !ard to at any a!!epting mer!hant e$tabli$hment$ around theglobe' ater in 1 all the national and international .an; meri!a li!en$e$ were

pulled together under the $ingle name of i$a'


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8/ST4*9


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8/ST4*9 4F 5*67/T 5 *7S

Sin!e the beginning of hi$tory man ha$ been in#ol#ed with trade and !ommer!e' $

thi$ area ha$ expanded and be!ome more important% different medium of ex!hangeha$ been de#eloped' .arter ga#e way to the ad#an!e of money% and money in turn ha$

fa!ed the ad#an!e of !he!;$' &ow both are feeling the ad#an!e of !redit !ard' /n thi$

age of rapid te!hnologi!al ad#an!e$ it i$ only natural that man $hould $ee; out a new

and more effi!ient $y$tem of !arrying on trade and !ommer!e' Thi$ $y$tem $eem$ to

be !redit !ard'

gain% !redit !ard$ are not new' They% or $ome eAui#alent% ha#e exi$ted $in!e the early

part of thi$ !entury' Sometime before1 20 $ome large department $tore$ began toi$$ue N!redit !oin$N' The$e !oin$ were a $mall pie!e of metal whi!h di$played the

name of the mer!hant and the $erie$ of mer!hant identifying the !u$tomer>$ a!!ount'

The$e !oin$ were i$$ued to good !u$tomer$ and allowed them to pur!ha$e

mer!handi$e on !redit in the $tore'

/n 1 G0% the 7iner$ !lub introdu!ed the fir$t independent !redit !ard plan' Thi$ plan

in#ol#ed a agreement between the !lub and the mer!hant$' The member$ agreed to

pay the !lub to obtain the !ard and then agreed to pay ea!h monthly billing a$ it !amein ' The mer!hant agreed to honor the !ard and then forward hi$ !redit #ou!her to

7iner$ !lub for payment on!e a month' The member there by were able to get $er#i!e

from many type of e$tabli$hment$ by !arrying only one !ard and were able to pay for

it at the end of the month' The mer!hant on the other hand% were relie#ed of ha#ing to

ha#e hi$ own plan and wa$ al$o li;ely to in!rea$e the #olume of hi$ bu$ine$$ $in!e

!ard holding member$ would find it more !on#enient to deal with him then with a

mer!hant who wouldnOt honor i$ !ard' The $u!!e$$ of 7iner$ !lub pan wa$ $u!h thatthe meri!an 6xpre$$ !ompany entered the field in 1 GI% while 8ilton 5redit

5orporation initiated the N!arte blan!heN plan the following year'

/n 1 G1% the fir$t &ational ban; of long i$land be!ame the fir$t ban; to offer it$

!u$tomer$ a !redit !ard plan' Thi$ area wa$ not #ery important% howe#er% until the late

1 G0$ when the ban; of meri!a and the 5ha$e anhattan ban; i$$ued there !ard$' /n

1 33% the idwe$t ban; !ard $y$tem wa$ $tarted'


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$.y at lea$t the beginning$ of the 1 0$ the per$onal !redit !ard had be!ome a fixture

in the nation>$ e!onomy' Today more than 30 million !redit !ard a!!ount$ exi$t in the

"nited State$% and $e#en out of ten hou$ehold$ po$$e$$ at lea$t one !redit !ard' .y1 1I3 out $tanding$ balan!e on !redit !ard a!!ount total more than PI0 billion


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FUNCTIONS


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CREDIT CARD AND ITS FUNCTIONS

For $tarter% a !redit !ard i$ a$ good a$ ban; behind it' form of Onear moneyO the$e

!ard$ are i$$ued by !ommer!ial ban; to people who$e !reditworthine$$ ha$ been

a$!ertained' /n$tead of !arrying unmanageable wed$ of !a$h% the !ard holder en?oy the

flexibility and $afety of pur!ha$ing anything from gro!erie$% !o$meti!$% petrol to high

#alue item$ li;e refrigerator$% tele#i$ion% and wa$hing ma!hine$ by u$ing hi$ !redit

!ard' .an;$ a$; for T7S !ertifi!ate or in!ome tax return$ do!ument before enrolling a

member'

5redit 5ard pro#ide$ the !ard holder with authoriDed line of !redit of $ome $pe!ified

amount' Su!h !ard$ may be u$ed for following purpo$e$C-

1'1'1 :ur!ha$e of air% rail and road ti!;et$ for tra#eling

1'1'2 Settlement of hotel bill$'

1'1'< 5a$h withdrawal$'

1'1' Settlement of !lub bill$'

1'1'G :ayment of pur!ha$e bill$'

1'1'3 :ayment of in$uran!e premium'

1'1' *efilling the fuel$ in #ehi!le$'

1'1'I :ayment of phone% water and ele!tri!ity bill$'

1'1' :ayment of $!hoolB edu!ation expen$e$'


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+HAT ARE CREDIT CARDS333

5redit 5ard i$ referred to a$ Opla$ti! moneyO' 5arrying a lot of !a$h on you !an be

!umber$ome% ri$;y and $ometime$% you run $hort of it% ?u$t when you mo$t need it'

(*emember the S 6 at your fa#orite ready-made$ $toreH)' 5redit !ard i$ the $mart

$olution to the$e problem$' /t i$ a !on#enient and $afe alternati#e for !a$h'

.e$ide$% it $ay$ thing$ about you' o$t people a$$o!iate a !redit !ard with a pre$tige%

whi!h it mo$t !ertainly be$tow$ on you% but more importantly% it $ay$ that you ha#e

ta;en the onu$ of being re$pon$ible - to be extended !reditQ So% when you get your$elf

a !ard% remember that% be!au$e your ban; doe$Q


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SA.IENT FEATURES OF CREDIT CARDS

ANNUA. FEE%

ll !redit !ard i$$uer$ !harge an annual fee whi!h i$ payable at the $tart of the year'

The $tart of the year% of !our$e% i$ your member$hip year% and not the !alendar year'

So% if you got your$elf a !ard in ar!h% you !an expe!t to be billed the annual fee

e#ery ar!h until you !an!el your !ard' $ a pri#ilege% thi$ fee i$ $ometime$ wai#ed

the fir$t time' ,hen the time !ome$ for renewal of your !ard% you !an e#en u$e the

reward point$ you ha#e a!!umulated from u$ing the !redit !ard o#er the year to $ettle

your annual fee'

FOR+ARDIN/ BA.ANCE (OR REVO.VIN/)%

The mo$t attra!ti#e feature of a !redit !ard i$ that you need not pay off your due$ in

whole' 9ou !an opt to pay GR of the total amount on or before the due date% e#ery

month% the re$t i$ !arried forward' .ut thereO$ a pri!e to pay for thi$ extended !redit -

intere$tQ &ormally% intere$t #arie$ between 2'GR and


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ADVANTA/ES OF HAVIN/ A CREDIT CARD

1' /f you pay by !redit !ard there i$ impli!it guarantee of $ati$fa!tion be!au$e a$ a

!u$tomer one !an $top payment'

2' /f a airline ti!;et i$ boo;ed on a !redit !ard and e$pe!ially if you are going

o#er$ea$% the tra#el in$uran!e i$ !o#ered% that !ould otherwi$e be a lot of money'


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DISADVANTA/ES OF CREDIT CARDS

1' There i$ a temptation to a!Auire more and more !ard$' Some ha#e more than their

$hare of !ard$' They !an lo$e tra!; of payment$ and be in diffi!ulty'

2' Some !redit !ard$ ha#e !ondition$ that may put you in diffi!ulty if you ha#e not

read the fine print'


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SOME TERMINO.O/Y USED IN CONCERN

+ITH CREDIT CARDS

.efore we go any further% why not be!ome familiar with the #ariou$ term$ and ?argon$

u$ed by the !redit !ard indu$try'

Cre" t Car" E !redit !ard i$ a finan!ial in$trument% whi!h !an be u$ed more thanon!e to borrow money or buy produ!t$ and $er#i!e$ on !redit' .an;$% retail $tore$ and

other bu$ine$$e$ generally i$$ue the$e'

,re" t * # t E The maximum amount of !harge$ a !ardholder may apply to the

a!!ount'

A!!ua* fee E ban; !harge for u$e of a !redit !ard le#ied ea!h year% whi!h range$

depending upon the type of !ard one po$$e$$e$' .an;$ u$ually ta;e an initial fixedamount in the fir$t year and then a lower amount a$ yearly renewal fee$'

Re4o*4 !5 . !e Of Cre" t - n agreement to lend a $pe!ifi! amount to a borrower

and to allow that amount to be borrowed again on!e it ha$ been repaid' o$t !redit

!ard$ offer re#ol#ing !redit'

Perso!a* I"e!t f ,at o! Nu#$er (PIN) - $ a $e!urity mea$ure% $ome !ard$ reAuire$

a number to be pun!hed into a ;eypad before a tran$a!tion !an be !ompleted' The

number !an u$ually be !hanged by the !ardholder'

Teaser Rate - 4ften !alled the introdu!tory rate% it i$ the below-mar;et intere$t rate

offered to enti!e !u$tomer$ to $wit!h !redit !ard$'

Jo !t Cre" t - /$$ued to a !ouple ba$ed on both of their a$$et$% in!ome$ and !redit

report$' /t generally re$ult$ in a higher !redit limit% but ma;e$ both partie$ re$pon$ible

for repaying the debt'


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TYPES OF CARD


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TYPES OF CARDS

MasterCar" E a$ter5ard i$ a produ!t of a$ter5ard /nternational and along with

/S are di$tributed by finan!ial in$titution$ around the world' 5ardholder$ borrow

money again$t a line of !redit and pay it ba!; with intere$t if the balan!e i$ !arried

o#er from month to month' /t$ produ!t$ are i$$ued by 2


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Se,ure" Car" E !redit !ard that a !ardholder $e!ure$ with a $a#ing$ depo$it to

en$ure payment of the out$tanding balan!e if the !ardholder default$ on payment$' /t

i$ u$ed by people new to !redit% or people trying to rebuild their poor !redit rating$'

S#art Car" E Smart !ard$% $ometime$ !alled !hip !ard$% !ontain a !omputer !hip

embedded in the pla$ti!' ,here a typi!al !redit !ardO$ magneti! $tripe !an hold only a

few doDen !hara!ter$% $mart !ard$ are now a#ailable with 13 of memory' ,hen read

by a $pe!ial terminal% the !ard$ !an perform a number of fun!tion$ or a!!e$$ data

$tored in the !hip' The$e !ard$ !an be u$ed a$ !a$h !ard$ or a$ !redit !ard$ with a

pre$et !redit limit% or u$ed a$ /7 !ard$ with $tored-in pa$$word$'

C ar5e Car" E Fall$ between a debit and !redit !ard' ,or;$ li;e the latter and youdonOt ha#e to be an a!!ountholder' u$t pay up in full when the bill arri#e$ with the

mail' &o out$tanding are allowed% in other word$% no re#ol#ing !redit fa!ility either'

meri!an 6xpre$$ and 7iner$ are pro#ider$'

Re$ate Car" E Thi$ i$ a !ard that allow$ the !u$tomer to a!!umulate !a$h%

mer!handi$e or $er#i!e$ ba$ed on !ard u$age'

Co&Bra!"e" Car" E Thi$ i$ a marriage of !on#enien!e between two $er#i!e pro#ider$ who want a trade-off with the otherO$ $trength$' Spe!ifi! fa!ilitie$ are made

to member$ through the$e tie-up$' So% Time$ .an; and 5itiban; ha#e a !o-branded

!ard that allow$ !on!e$$ional rate$ for add-on !ard$ or telephone ban;ing' Stan !hart

and 8indu$tan e#er imited ha#e a !o-branded !ard to $ell #ian!e beauty produ!t$'

S./-+6 5apital ha$ a !o-branded !ard for retail loan$'

Cas Car" E 5a$h !ard$% $imilar to pre-paid phone !ard$% !ontain a $et amount of

#alue% whi!h !an be read by a $pe!ial !a$h !ard reader' :arti!ipating retailer$ will u$e

the reader to debit the !ard in in!rement$ until the #alue i$ gone' The !ard$ are li;e

!a$h -- they ha#e no built-in $e!urity% $o if lo$t or $tolen% they !an be u$ed by anyone'


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Tra4e* Car" 8 The$e wor; mo$tly a$ debit !ard$ for the limited purpo$e of tra#el'

5itiban; 7ollar 5ard% meri!an 6xpre$$% .ob!ard +lobal and 8ongban; Thoma$

5oo; /nternational 5ard are among the player$ in thi$ $e!tion'

De$ t Car" E /t i$ the a!!ountholderO$ mobile T ' 4pen an a!!ount with a ban; that

offer$ a debit !ard% and payment$ for pur!ha$e$ are dedu!ted from your ban; a!!ount'

The retailer $wipe$ the !ard o#er an ele!troni! terminal at hi$ outlet% you enter the

per$onal identifi!ation number on a :/& pad and the money i$ immediately debited at

the ban;' 5itiban; and a few dome$ti! ban;$ li;e Time$ .an; offer thi$'


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THE NECESSITY OF CREDIT CARDS

/f it i$ for the !on#enien!e of not !arrying !a$h then a debit !ard !an $uffi!e' nd% if it

i$ for the free !redit that the !ompanie$ !laim they gi#e% then la$t wee; we had

highlighted the high !o$t of u$ing $u!h !redit where the !u$tomer end$ up paying

more than G per !ent intere$t per month depending on the amount of !redit due on the

!ard'

For tho$e who want to u$e the !redit fa!ility at a rea$onable !o$t then we $ugge$t that

they u$e fa!ilitie$ li;e o#erdraft again$t $alary a!!ount$ or loan again$t fixed depo$it$

or $hare$' *olling !redit on the !ard i$ not fea$ible a$ the intere$t paid on !redit !ard$

i$ phenomenally higher than what i$ !harged on o#erdraft fa!ilitie$'+oing a $tep further% in !a$e you donOt ha#e the !a$h to pay off your !redit !ard bill in

one month then it ma;e$ more $en$e to ta;e an o#erdraft for that amount to repay the

bill be!au$e the intere$t on the o#erdraft wor;$ out far !heaper than what the !ard

!ompany will le#y on you if the payment i$ not made in time'

lmo$t all ban;$ offer o#erdraft fa!ilitie$ at rea$onable rate$ to !u$tomer$ who ha#e

$alary a!!ount$ with the $aid ban;% a$ well a$ to the general publi!' Salary a!!ount

holder$ !an a#ail of the o#erdraft without any !ollateral% whi!h i$ !alled a !leano#erdraft' For the general publi!% ban;$ pro#ide o#erdraft fa!ilitie$ again$t !ollateral

li;e &S5$% $hare$% fixed depo$it$% et!' For o#erdraft again$t $alary a!!ount$ the rate$

being Auoted in the mar;et are #ery !ompetiti#e and are a$ low a$ 1R per month on a

redu!ing balan!e' Similarly% one !an a#ail an o#erdraft fa!ility again$t &S5$ at 1


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$an!tioned% he end$ up paying only *$ 1G00 per annum e#en if he doe$nOt u$e the

fa!ility' nyway$% the !redit !ard u$er will be paying thi$ mu!h amount a$ annual fee'

/t i$ time for !u$tomer$ to realiDe the amount of extra money they may end up $helling

out to !redit !ard !ompanie$ in the form of finan!e !harge$ and late fee$ when !heaper

$our!e$ of !redit are a#ailable to them'


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METHODO.O/Y IN CREDIT CARDS BUSINESS

Following methodology i$ u$ed for !redit !ard bu$ine$$C

• 5redit 5ard ban; ad#erti$e$ or approa!he$ the pro$pe!ti#e !ardholder'

• :ro$pe!ti#e !ard-holder$ apply for !redit !ard member$hip by filling the

pre$!ribed form whi!h normally !ontain$ per$onal and finan!ial parti!ular$'

• /$$uer of !redit !ard e#aluate$ the form and i$$ue$ the !redit !ard and fixe$ the

money limit for u$e of $u!h !redit !ard'

• 5ardholder put$ the $ignature on the pre$!ribed pla!e on the !ard before putting it

to u$e and $tart$ u$ing it'

• ember e$tabli$hment prepare$ a !harge $lip (for !o$t to be re!o#ered) get$ it

$igned by the !ard holder% tallie$ the $ignature% and return% on the !opy of !harge

$lip of !harge $lip to the !redit !ard holder' The $e!ond !opy i$ $ent to the i$$uer

for re!o#ery of money and he retain$ third !opy'

• 5ard i$$uer re!ei#e$ the bill and !harge $lip and ma;e$ payment to the member

e$tabli$hment'

• 5ard i$$uer prepare$ an a!!ount $tatement and $end$ it to !ard holder for payment

to ban; dire!tly or through it$ authoriDed !olle!tion !enter$'


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RISKS IN THE BUSINESS

TO THE BANKS:

.an;$ ex!ited at the pro?e!ted 0R growth rate 1 in the pla$ti! money indu$try are

apprehen$i#e about the potential !orre$ponding in!rea$e in fraud !a$e$' Some ban;$

regi$ter up to R fraudulent !a$e in a year'

1' Defau*t ! -a'#e!ts - 5urrently ban;$ ha#e huge amount$ of fund$ blo!;ed with

willful defaulter$' a!; of reliable data B infra$tru!ture to !he!; the !redit worthine$$

of indi#idual$ ha$ led to the $ituation where people without $uffi!ient re$our!e$ ha#e be!ome eligible for a#ailing !redit fa!ilitie$' The mar;eter$ in /ndia find it more !o$t

effe!ti#e to ?u$t right-off the unpaid amount in their balan!e $heet$% after trying to

re!o#er it for $ix month$% than to pur$ue it throughout the litigation labyrinth$'

2' Mu*t -*e I#-r !ts or Re,or" of C ar5e (ROC) Pu#- !5 - /t refer$ to the

expedient $y$tem by whi!h mer!hant$ ma;e multiple !harge $lip$ in$tead of the

rele#ant number when a !ardholder gi#e$ in hi$ pla$ti! !ard'


32/97

[Type text]

;nown a$ , ar5e $a,9 ru*es 4n!e a !ard holder ha$ informed the ban; of the lo$$ of

the !ard% he i$ $ub?e!t only to a minimum liability% whi!h mo$t ban;$ fix at *$'1000

regardle$$ of how mu!h the !ard i$ u$ed fraudulently' .efore the hot !ard date% the

fraud lo$$ i$ the i$$uer>$ re$pon$ibility' 8owe#er% if a mer!hant a!!ept$ a hot li$ted

!ard% the i$$uer i$ entitled to K!harge ba!;> the tran$a!tion to the mer!hant$% through

the a!Auirer' /f a mer!hant i$ found guilty of willful fraud% hi$ ban; i$ liable'

i$a offer$ it$ member$ a national mer!hant alert $er#i!e whi!h a!Auiring ban;$ !an

refer to in order to !he!; on the !redential$ of the mer!hant$ who$e bu$ine$$ they

woo' /t al$o ha$ it$ risk identification service whi!h monitor$ e#ery $ingle tran$a!tion

through i$a &et' Thi$ enormou$ databa$e help$ Dero in on !ardholder$ and lo!ation$

prone to fraudulent a!ti#ity'a$ter 5ard$ security and risk management team organiDe$ regular training

program$ for ban;$ and member e$tabli$hment$ on fraud pre#ention'

7eli#ering new !ard$ to member$ by !ourier ha$ dra$ti!ally !ut fraud ari$ing from

non-re!eipt of !ard$'

TO CARD HO.DERS%The main problem with !redit !ard i$ that it i$ ea$y to get in o#er the head' ma?ority

of !ard u$er$ utiliDe their maximum limit . 5redit !ard$ !harge higher intere$t than

$ome of the other form$ of borrowing' ,hile a !redit !ard offer$ !on#enien!e% that

!on#enien!e !an be expen$i#e if the !ard holder i$ $low in paying off hi$ out$tanding

due$' /n term$ of the annual per!entage rate that an indi#idual i$ !harged toward$

paying off hi$ debt% the figure range$ from anywhere between 22R to < R p'a'

depending upon the roll o#er period (


33/97

[Type text]

PARTIES INVO.VED IN CREDIT CARD

BUSINESS

There are fi#e partie$ in#ol#ed in !redit !ard bu$ine$$CA THE CARD ISSUER

,hen one applie$ and i$ i$$ued with the !ard'

B THE CARD HO.DER

,hen the !u$tomer$ apply to the ban; for a !redit !ard% the ban; !he!;$ the !redit

worthine$$ of the !u$tomer$ and on!e the appli!ation i$ appro#ed% the ban; i$$ue$

!redit !ard with a $pe!ified !redit limit' The !u$tomer$ then be!ome a !ard holder and !an u$e the !redit !ard to pur!ha$e good$ or $er#i!e$ from a mer!hant' 6a!h

month the !ardholder re!ei#e$ a bill from the !ard i$$uer for the amount the

!ardholder in!urred with the !redit !ard% a$ well a$ finan!e !harge$ if any'

C THE MERCHANT

,hen the !ardholder u$e$ the !redit !ard to pay for good$ and $er#i!e$ at retail

$hop$% re$taurant$% hotel$% airline$ or any e$tabli$hment$ that a!!ept the !redit

!ard% the e$tabli$hment i$ a mer!hant' mer!hant $hould be of good reputation

and be finan!ially re$pon$ible'

D THE AC:UIRER

/n order for an e$tabli$hment to be a mer!hant% it mu$t be a!!epted by a finan!ial

in$titution who i$ a member of a$ter !ardB or #i$a' There finan!ial in$titution$

are the a!Auirer' ,hen a mer!hant a!!ept$ #i$a or a$ter5ard a$ a mean of

payment% he i$ bound by a written agreement with the a!Auirer'

E THE ASSOCIATES

a$ter !ard international and #i$a international are ;nown a$ $$o!iate$' They are

owned or !ontrolled by a group of member in$titution$' For finan!ial in$titution$

to be a member of a$ter !ard or i$a% they ha#e to meet the !riteria $et by the

a$$o!iate$'


34/97

[Type text]

OVERVIE+


35/97

[Type text]

OVERVIE+ OF VARIOUS CARD ISSUERS

ISSUER BANK C.ASSIFICATION OF CARDS

AN; /RIND.AYS S/ 6* - ST6*5 *7+4 7- ST6*5 *7/S /&T6*& T/4&

AMERICAN E


36/97

[Type text]

CANARA BANK 5 &5 *7 /S B ST6* 58 *+6

5 *75 &5 *7 :*4:*/6T4* 58 *+6

5 *7

VIJAYA BANK / 9 +4 7 58 *+6

5 *7/ 9 5 SS/5 58 *+6

5 *7

ANDHRA BANK &78* +4 7 58 *+6

5 *7&78* 5 SS/5 58 *+6

5 *7


37/97

[Type text]

MARKET SHARE

+OR.D MARKET INDIAN MARKET

MASTER CARD


38/97

[Type text]

DIFFERENTBANK2SCARD

DIFFERENT TYPES OF CREDIT CARDS

$ the undi$puted leader in the 5ard$ bu$ine$$% 5itiban; ha$ more than million

!ard member a!!ount$ worldwide' +rowth ha$ !ontinued through the a!Aui$ition of

the TLT "ni#er$al 5ard Ser#i!e$ bu$ine$$% introdu!tion of the 7ri#erO$ 6dge and

Sony 5itiban; !ard$ % and expan$ion of the 5itiban;- meri!an irline$ partner$hip'

The merger add$ more than one million !redit !ard a!!ount$% prin!ipally with

http://www.citibank.com/http://www.citibank.com/us/cards/cgi-bin/topper.cgi?destination=/us/cards/cardserv/drivers/cmshttp://www.citibank.com/us/cards/cgi-bin/topper.cgi?destination=/us/cards/cardserv/sonycard/cmshttp://www.citibank.com/http://www.citibank.com/us/cards/cgi-bin/topper.cgi?destination=/us/cards/cardserv/drivers/cmshttp://www.citibank.com/us/cards/cgi-bin/topper.cgi?destination=/us/cards/cardserv/sonycard/cms


39/97

[Type text]

member$ of profe$$ional a$$o!iation$ and other affinity group$% in!luding Salomon

Smith .arney !lient$'

The 5itiban; d#antage !ard% now in 13 !ountrie$% i$ the mo$t $u!!e$$ful !o-branded

!ard in the indu$try'

5itiban; ha$ 1 million !ard$% in!luding affiliate$% in for!e in atin meri!a% $ia%

5entral and 6a$tern 6urope% and the iddle 6a$t' /n mo$t of the$e mar;et$ we ha#e

double-digit $hareC < per!ent in :uerto *i!o% 11 per!ent in rgentina and 5hile% and

more than 20 per!ent in 8ong ong and Taiwan' /n :oland% where 5itiban; laun!hed

a !ard in late 1 % we ha#e 20%000 !ard holder$ today'

/n the "nited State$% 5itiban; i$ $trongly !ommitted to maintaining 5ard$ a$ one of

the great $u!!e$$ $torie$ of the ban;' !Aui$ition of the TLT "ni#er$al 5ard

in!rea$ed our mar;et $hare of total "'S' !ard re!ei#able$ from 11 per!ent to 1G

per!ent'

http://www.citibank.com/us/cards/cgi-bin/topper.cgi?destination=/us/cards/cardserv/aadvant/cmshttp://www.att.com/ucshttp://www.citibank.com/us/cards/cgi-bin/topper.cgi?destination=/us/cards/cardserv/aadvant/cmshttp://www.att.com/ucs


40/97

[Type text]

CITIBANK CREDIT CARDS

DINERS C.UB CREDIT CARD

7iner$ 5lub wa$ the fir$t !ard in the /ndian mar;et' aun!hed in 1 30% ?u$t after 10

year$ it wa$ laun!hed in the mar;et of "nited State$' /t wa$ the fir$t !harge !ard in the

world' The early eightie$ $aw the laun!h of !redit !ard$ in /ndia by $ome /ndian

ban;$% #iD' 5entral ban;% ndhra ban; 6T' % with i$a and a$ter 5ard affiliation$'

The $iDe of the !redit !ard mar;et wa$ around


41/97

[Type text]

De*a'e" Ba55a5e

/f your baggage i$ not deli#ered within 12 hour$ of arri#al of a flight% you will be

reimbur$ed for pur!ha$e of e$$ential !lothing of up to *$'G%000B- in /ndia and *$'

10%000B- when abroad'

De*a'e" F* 5 t

/f you mi$$ an onward flight due to late arri#al of an in!oming flight% and if there i$ no

alternati#e flight within 3 hour$ (of a!tual arri#al time) or the airline do not pro#ide

a!!ommodation% you will be entitled to *$'1G%000 reimbur$ement for hotel

a!!ommodation'

.oss of Pass-ort6T ,9et

/f you lo$e your pa$$port in a foreign !ountry% you !an !laim up to *$'2G%000B-

toward$ the !o$t of obtaining a fre$h :a$$port' /f you lo$e your air ti!;et$ you will be

reimbur$ed for it up to *$'G%000B-

Pur, ase Prote,t o!

"nder /nternational :ur!ha$e :rote!tion% pur!ha$e$ on your !ard are in$ured again$t

lo$$ or damage due to fire or theft% for a period of 1I0 day$% from the time of pur!ha$e

up to a #alue of *$' G0%000B-


42/97

[Type text]

C*u$ Re0ar"s & 0 t Fast Tra,9 o-t o!

,ith 7iner$ 5lub 5ard% you al$o get the mo$t powerful reward$ program in the

!ountry' For e#ery *$'100 $pent on the 7iner$ 5lub 5ard% you earn one 5lub *eward$

:oint' 9ou !an redeem the *eward$ :oint$ you ha#e earned for fabulou$ tra#el

pa!;age$ and delightful gift$' oreo#er% the$e :oint$ are Oe#ergreenO% whi!h mean$

you !an en!a$h them whene#er you want'

.e$ide$ 7iner$ 5lub ha$ tied up with Flying *eturn$% /ndiaO$ &o'1 freAuent flyer

program from /ndian irline$ and ir /ndia' ,hi!h mean$ you !an now redeem your

:oint$ for free mile$Q

Finally% your 5lub *eward$ :oint$ !an al$o be !on#erted to 4beroi Top :oint$ and

,el!ome ward Star$ - the reward$ program$ of the 4beroi +roup and ,el!ome

group re$pe!ti#ely'

C*u$ Per9s

5lub :er;$ i$ a uniAue promotional offer ex!lu$i#ely for 7iner$ 5lub ember$' 5lub

:er;$ gi#e$ you $pe!ial di$!ount$ at your fa#orite re$taurant$% hotel$% !ar rental$ and

retail$ a!ro$$ the !ountry' /t al$o gi#e$ you !omplimentary into $ome of the mo$t

pre$tigiou$ di$!otheAue$ in the !ountry' ll you ha#e to do i$ !harge your bill to your

7iner$ 5lub 5ard e#ery time you #i$it any of the$e pla!e$'

C*u$ .ou!5es

*elax between flight$'

9ou !an now relax in plu$h airport lounge$% de$igned ex!lu$i#ely for 7iner$ 5lub

ember$' There are more than $u!h lounge$ lo!ated at #ariou$ international

airport$' /n /ndia% you ha#e !omplimentary a!!e$$ to airport lounge$ lo!ated at the

dome$ti! departure area$ in umbai% &ew 7elhi% 5hennai and .angalore'

C*u$ Cas

The 7iner$ 5lub 5ard gi#e$ you the !on#enien!e of drawing !a$h in an emergen!y% 2

hour$ a day% day$ a wee;Q 9ou !an a!!e$$ up to *$'20%000 through 5lub 5a$h

through our exten$i#e networ; of utomated Teller a!hine$'


43/97

[Type text]

C*u$ Pr 4 *e5es&P o!e Ho#e1 /*o$a* O!e Ca** !5 Car"

Finally% 7iner$ 5lub offer$ you an ex!lu$i#e range of international pri#ilege$'

The +lobal 4ne 5alling 5ard% the international !alling !ard whi!h enable$ you to !all

from 30 !ountrie$ to o#er


44/97

[Type text]

Free De*a'e" F* 5 t I!sura!,e

/f you mi$$ an onward flight due to late arri#al of an in!oming flight% and if there i$ no

alternati#e flight within 3 hour$ (of a!tual arri#al time) or the irline$ doe$ not

pro#ide a!!ommodation% you will be entitled to *$'1G%000B- a$ reimbur$ement forhotel a!!ommodation'

Free Pass-ort .oss I!sura!,e

/f you lo$e your pa$$port in a foreign !ountry% you !an !laim up to *$'2G%000B-

toward$ !o$t of obtaining a fre$h pa$$port' 4n lo$$ of an air ti!;et% you will be

reimbur$ed for up to*$'G000B-'

Free /*o$a* Pur, ase Prote,t o!

"nder /nternational :ur!ha$e :rote!tion% pur!ha$e$ on the 5ard are in$ured again$t

lo$$ or damage due to fire or theft for a period of 1I0 day$ from the time of pur!ha$e

for a #alue of up to *$' 0%000B-'

U! ue re0ar" -ro5ra#

6#ery time you u$e your 5ard you earn 5itiban; *eward$ :oint$ that !an be

ex!hanged for many ex!lu$i#e pri#ilege$ li;e Free A r M *es1 free Hote* N 5 ts1

*eat er a,,essor es a!" #u, #ore ' 9ou !an ex!hange your 5itiban; *eward$

:oint$ for mile$ on airline freAuent flyer program$ and fly free to your dream

de$tination and $tay free at hotel propertie$ parti!ipating in our *eward$ :rogram'

9ou !an al$o !hoo$e to pay your 5ard *enewal Fee (in part or full) u$ing your

*eward$ :oint$ a$ well' ,hatO$ more% your 5itiban; *eward$ :oint$ are e#ergreen

and ne#er lap$e'

Re4o*4 !5 Cre" t Fa, * t'

,ith 5itiban;O$ powerful Re4o*4 !5 Cre" t Fa, * t' you !an !hoo$e to buy high-

#alue item$ now and pay later in part$' nd pay a$ little a$ of your total

out$tanding e#ery month'


45/97

[Type text]

Free /*o$a* O!e Ca** !5 Car"

The next time you ma;e an international !all from o#er$ea$% you do not need to u$e

pre!iou$ foreign ex!hange or hunt for loo$e !hange' The /*o$a* O!e Ca** !5 Car"

ma;e$ international !alling a$so*ute*' eas' ' The +lobal one 5alling 5ard !harge$will be !on#eniently billed later to your 5itiban; /nternational +old 5ard and

itemiDed !all detail$ will appear on your monthly $tatement'

S-e, a* D s,ou!ts o! Tra4e*

/ndiaO$ leading tra#el management !ompany Tra#el 8ou$e (a member of the /T5

+roup) bring$ you off o! $as , "o#est , a r fares and off o! $as ,

I!ter!at o!a* a r fares when you buy ti!;et$ on your 5itiban; /nternational +old

5ard' /n fa!t your ti!;et$ will be deli#ered to you at no extra !o$t'

Free P o!e Ho#e fa, * t'

/n !a$e of an emergen!y or for any urgent !larifi!ation on your 5ard% while you are

o#er$ea$% you !an u$eFREE P o!e Ho#e Fa, * t' '

? & Hour ATMs

,hile tra#elling o#er$ea$ 'ou ,a! a,,ess ,as (up to 30R GGGG of your 5redit imit)

at o#er %G0%000 i$aB a$ter5ard T $ a!ro$$ the globe' There are ? &Hour ATMs

in A #e"a$a"1 Ba!5a*ore1 Ca*,utta1 C e!!a 1 De* 1 H'"era$a"1 Mu#$a and

Pu!e too' 9ou !an al$o draw !a$h from any 5itiban; bran!h'

? & Hour C t P o!e

5iti:hone% the re4o*ut o!ar' - o!e $a!9 !5 ser4 ,e en$ure$ that 5itiban; i$ ?u$t a

phone !all away from you' From the minute you dial in% the world-!la$$ /ntera!ti#e

oi!e *e$pon$e (/ *) Ser#i!e will guide you right through' 5all our !ourteou$

5iti:hone 4ffi!er$ $tanding by to a$$i$t you' ? ours a "a' % and "a's a 0ee9 '


46/97

[Type text]

+or*"0 "e Ass sta!,e

The V sa6MasterCar" /*o$a* Ass sta!,e Ser4 ,es !an be u$ed for reporting lo$t or

$tolen 5ard$% reAue$ting for an emergen!y 5ard repla!ement or for emergen!y 5a$h

d#an!e$' wide range of mi$!ellaneou$ information i$ al$o a#ailable for your benefit'

A"" t o!a* Car"

9ou !an $hare the power of your 5itiban; /nternational +old 5ard with your family'

9our 5itiban; /nternational +old 5ard ember$hip entitle$ you to dditional 5ard$

for two member$ of your family% o#er 1I year$ of age% at a $pe!ial pri!e of *$'1000B-

p'a' per 5ard'

C t $a!9 s *4er ,ar"

E7, t !5 5 fts 0 t C t $a!9 Re0ar"s

6#ery time you u$e your 5ard% you earn #aluable C t $a!9 Re0ar"s Po !ts that !an

be ex!hanged for fa$u*ous 5 fts ' 5hoo$e from a wide range of gift$ - !o$meti!$ to

!amera$% 57$ to wallet$' 9ou !an al$o ex!hange your 5itiban; *eward$ :oint$ to payyour 5ard *enewal Fee (in part or full)' ,hatO$ more your 5itiban; *eward$ :oint$

are e#ergreen and ne#er lap$e'


47/97

[Type text]

ICICI BANK CREDIT CARDS

BANDHAN ma?or fir$t for /ndia% the :re-$et imit$ fa!ility allow$ you to empower your family

with the flexibility and !on#enien!e of a !redit !ard with the option of !ontrolling the

$pend le#el$'

9ou !an pre-$et their monthly $pending limit$ and any tran$a!tion$ o#er thi$ $pe!ified

Spend imit will be de!lined'

ThatO$ not all' 9ou !an !hange thi$ limit whene#er you need to in!rea$e or de!rea$e

the limit' Simply !all the /5/5/ 2 -hour 5u$tomer 5all 5enter and pla!e your reAue$twith the 5all 5enter 6xe!uti#e' Thi$ monthly $pending limit !an be re$et e#ery billing

!y!le'

&ow you !an freely pre$ent V your wife% your $i$ter% your brother % your parent$ or

!hildren abo#e 1I year$ of age% with N.andhanN% the uniAue dd-on 5ard from /5/5/

.an;'

BA.ANCE TRANSFER FACI.ITY

/f you own !redit !ard$ i$$ued by other ban;$ and wi$h to apply for a Sterling

Sil#erBSolid +old /5/5/ .an; 5redit 5ard% be!oming a part of the /5/5/ family i$ not

?u$t ea$y but al$o #ery attra!ti#e'

9ou !an tran$fer the out$tanding on your other !ard($) on to the /5/5/ .an; 5redit

5ard and thi$ tran$ferred out$tanding will attra!t an intere$t rate of ?u$t for the

Sterling Sil#er 5ard and @ in !a$e of a Solid +old 5ard' nd what>$ more% thi$

benefi!ial rate of intere$t i$ appli!able for a fu** #o!t s of your be!oming a part of

the /5/5/ .an; family'

Thi$ $pe!ial intere$t rate will not be appli!able for new pur!ha$e$' 9ou !an tran$fer

any amount from a minimum of *$'2% 000 to a maximum GR of the a#ailable !redit

limit on your /5/5/ .an; 5redit 5ard'


48/97


49/97

[Type text]

SE.F SET .IMIT

The /5/5/ .an; 5ard en$ure$ that you are in !harge at all time$' Thi$ i$ the only !ard

that allow$ you to pre-define your own !redit limit$

9ou !an a!tually reAue$t for a limit lower than what you are eligible for and your

5ard gi#e$ you the !hoi!e of de!iding the limit that you wi$h to en?oy'

Simply !all our 5all 5enter 6xe!uti#e and ma;e your reAue$t' 9our !redit limit !an be

!hanged on-line and will !ome in to for!e from the next billing !y!le'

Thi$ in!redibly powerful feature ha$ been de#eloped ;eeping your need$ in mind% and

it help$ you manage your finan!e$ prudently% without !ompromi$ing on your need$'

+IDE ACCEPTANCE

9our /5/5/ .an; 5redit 5ard i$ affiliated to /S and i$ wel!omed at all i$a

er!hant 6$tabli$hment$ ( oo; for the /S logo 1%10%000 e$tabli$hment$ a!ro$$

/ndia and &epal)' The Sterling Sil#er and Solid +old 5ard are a!!epted globally by

o#er 1I million /S !ard - a!!epting e$tabli$hment$ worldwide'

9ou now ha#e the flexibility of u$ing your 5ard to pay for e#eryday pur!ha$e$ on one

hand and large #alue pur!ha$e$ on the other'

? & HOUR CUSTOMER CARE

,e under$tand your need$ and appre!iate that you may need a$$i$tan!e around the

!lo!;' For your !on#enien!e% we ha#e $et-up the /5/5/ 2 -hour 5u$tomer 5all 5enter

Thi$ i$ eAuipped with a $tate-of-the-art $y$tem that en$ure$ that your Auerie$ get

handled effi!iently and promptly

CASH ADVANCE FACI.ITY

,ith n /5/5/ .an; 5ard in your wallet% you will ne#er be $trapped for !a$h' 9ou !an

withdraw !a$h on your 5ard% 2 -hour$ a day% from any i$a parti!ipating member

ban; T '

7uring ban;ing hour$ you !an al$o withdraw !a$h% o#er-the-!ounter% from any /5/5/

.an; bran!h a!ro$$ the !ountry'

For your prote!tion we ha#e limited the maximum withdrawal to *$'1G%000 in a

$ingle day' Tran$a!tion !harge$ a$ appli!able will be !harged'


50/97


51/97

[Type text]

-.alan!e Tran$fer at 1' GR 5omprehen$i#e Tra#el .enefit$ :ur!ha$e prote!tion of

*$' 20%000 ---5redit Shield of *$' 2G%000 6arn while you $pend - /5/5/ :lu$ - *eward

:rogram'

-.andhan% dd on 5ard with $elf $et limit$'

-/ndiaO$ fir$t #alue for money !ard' !!epted a!ro$$ 1%10%000 mer!hant e$tabli$hment$

in /ndia and &epal' !!ident /n$uran!e of up to *$ 3 a;h$'

- irline$ and *ailway .oo;ing$ a!!epted at $ele!ted petrol $tation$'

SO.ID /O.D CARD

-/nternational #alidity at o#er 1I million mer!hant e$tabli$hment$ globally'

- owe$t annual fee of *$' 1200 ,eb ba$ed a!!e$$ to get detail$ about your $tatement$%

payment $tatu$ and reAue$t$'

-2 8our 5u$tomer 5all 5enter and a!!e$$ to all /S appro#ed T $'

-7ial- -7raft free' .alan!e Tran$fer fa!ility at 1'GR Wero lo$t !ard liability'

-5omplimentary +lobal 4ne 5alling 5ard' !!e$$ to +lobal 5u$tomer $$i$tan!e

Ser#i!e$'

-:ur!ha$e :rote!tion of *$' 0%000'

-5redit Shield of *$'G0%000' 5omprehen$i#e Tra#el benefit$'

-.andhan% dd on 5ard with $elf $et limit$' 5omprehen$i#e /n$uran!e for both

:rimary and add-on !ard$'

- irline$ and *ailway .oo;ing$ a!!epted at $ele!ted petrol $tation$ hou$ehold and

baggage -/n$uran!e' 6arn while you $pend - /5/5/ :lu$ - *eward :rogram'

-:er$onal a!!ident% hou$ehold and baggage in$uran!e'

E#er5e!,' Ass sta!,e Ser4 ,es

The multilingual /S 6mergen!y $$i$tan!e Ser#i!e$ program offer$ worldwide

emergen!y referral a$$i$tan!e to /S +old 5ardholder$' The$e in!lude a wide range

of legal% medi!al and other $er#i!e$' /S 6mergen!y $$i$tan!e Ser#i!e$ are

a#ailable to you pla!ing a !all to the 6mergen!y a$$i$tan!e 5enter$ in SingaporeC 1-

I00-< G-1< G% " C 0I00-I -1 2G% "S C 1-I00-


52/97

[Type text]

E#er5e!,' Messa5e Ser4 ,e

9ou !an !all toll free or !olle!t on the 2 -hour telephone $er#i!e and lea#e me$$age$

that will be forwarded in the $horte$t po$$ible time'

Me" ,a* Ass sta!,e

/n medi!al emergen!ie$% you get a$$i$tan!e and referral $er#i!e$% emergen!y

tran$portation a$$i$tan!e to a ho$pital% repatriation to your !ountry of re$iden!e and

a$$i$tan!e in !a$e you need a pre$!ription filled or a lo$t pre$!ription repla!ed'

.e5a* Ass sta!,e

For legal emergen!ie$% /S will refer you to lo!al legal ad#i$or$'

Tra4e* Ass sta!,e

The i$a 6mergen!y a$$i$tan!e 5entre !an arrange for boo;ing emergen!y ti!;et$ and

al$o a$$i$t you with lo$t ti!;et reimbur$ement pro!edure$' /n !a$e your luggage i$ lo$t

while tra#elling% the /S 6mergen!y $$i$tan!e 5entre !an arrange for the $hipment

of repla!ement item$ and obtain any appli!able in$uran!e'

Tra!s*at o! Ser4 ,e

9ou get foreign language a$$i$tan!e $er#i!e$ in all ma?or foreign language$ o#er the

telephone% and a$$i$tan!e in lo!ating lo!al interpreter$'

Pa'#e!t for V sa E#er5e!,' Ser4 ,es

ll expen$e$ for $er#i!e$ rendered under the /S 6mergen!y $$i$tan!e

programme$ if appli!able will ha#e to be borne by the 5ardholder'

ll $er#i!e$ pro#ided are $ub?e!t to Term$ L 5ondition$ of the /S 6mergen!y

$$i$tan!e Ser#i!e$ program'


53/97

[Type text]

HDFC CREDIT CARDS

INTERNATIONA. /O.D CARDS

/ntrodu!ing the 87F5 .an; /nternational +old 5redit 5ard% !u$tomiDed to $uit your

!on#enien!e$ and ma;e your life$tyle a truly !heri$hable golden experien!e'

Find out all the feature$ that are offered by thi$ !ardC

-*e!ogniDed the world o#er

- 5a$h d#an!e

- *e#ol#ing !redit fa!ility

- /ntere$t Free 5redit :eriod

- 5omprehen$i#e /n$uran!e

- Tra#el ade 6a$y

- +lobal Tra#el *elated /n$uran!e

- /nternational .u$ine$$ Tra#eler$> 5lub (/.T5) ember$hip

- 6x!lu$i#e irport ounge Fa!ilitie$

- o$t 5ard iability

- 2 -8our 5u$tomer 5all 5enter

- *eward$ :rogram

- Finan!ial Tra!;er

- "tility .ill :ayment$ ade 6a$y

- .alan!e tran$fer option

- :ri#ilege :ri!ing

- 5ard$ for your entire family- +lobal 6mergen!y $$i$tan!e $er#i!e$ from /S

INTERNATIONA. SI.VER CARDS

The 87F5 .an; /nternational Sil#er 5redit 5ard offer$ you the be$t feature$ a !ard

!an pro#ide along with the !on#enien!e$ offered by a ban;' .e it low intere$t balan!e

tran$fer fa!ility or !omprehen$i#e in$uran!e !o#er% ea!h of it$ feature$ will help you

manage your finan!e$ better and lea#e you free to li#e a better life .

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54/97

[Type text]

5hoo$e whi!h of the$e feature$V you would benefit from the mo$t'''

- .alan!e Tran$fer at a lower intere$t rate

- 8a$$le-free tra#el

- "tility bill payment$ made ea$y

- *epaying loyalty with intere$t

- ,ide a!!eptan!e

- 5a$h at your fingertip$

- dd-on 5ard$

- Sa#e while you $pend (*eward :oint$)

- :ri#ileged :ri!ing on oan$

- *epayment$ made ea$y

- &o liability on lo$t !ard

- :rote!ting you through in$uran!e

The 87F5 .an; 8ealth :lu$ 5redit 5ard i$ a feature ri!h !redit with uniAue feature$

li;eC

Cas *ess Me" ,*a #

The !ard offer$ free medi!laim !o#er for *$'G0%000B- plu$ a !riti!al illne$$ !o#er of

*$'1'G la;h$' The !riti!al illne$$ !o#er in!lude$ open-heart $urgery L 5 .+% 5an!er%

idney Failure and a$!ular Stro;e' ,ith thi$ !o#er you !an a#ail !a$hle$$ medi!laim

fa!ility at any of the networ;ed ho$pital$ of the Third :arty dmini$trator (T: ) in

any !ity'

? D s,ou!ts at -art , -at !5 os- ta*s

,ith thi$ !ard% the be$t of medi!al !are would !o$t you le$$' +et fabulou$ di$!ount$

on annual health !he!;-up$% outpatient and inpatient in#e$tigation$ in the parti!ipating

ho$pital$ in ea!h !ity'

Preferre" -art!ers for a ea*t ' * fe

87F5 .an; 8ealth :lu$ 5redit !ard offer$ uniAue di$!ount$ and offer$ from leading

health and fitne$$ related brand$'

http://hdfcbank.com/creditcard/cardfeatures/cc_highlights.asp#tb%23tbhttp://hdfcbank.com/creditcard/cardfeatures/cc_highlights.asp#ht%23hthttp://hdfcbank.com/creditcard/cardfeatures/cc_highlights.asp#ubpme%23ubpmehttp://hdfcbank.com/creditcard/cardfeatures/cc_highlights.asp#rlwi%23rlwihttp://hdfcbank.com/creditcard/cardfeatures/cc_highlights.asp#wa%23wahttp://hdfcbank.com/creditcard/cardfeatures/cc_highlights.asp#cauf%23caufhttp://hdfcbank.com/creditcard/cardfeatures/cc_highlights.asp#ac%23achttp://hdfcbank.com/creditcard/cardfeatures/cc_highlights.asp#swys%23swyshttp://hdfcbank.com/creditcard/cardfeatures/cc_highlights.asp#ppol%23ppolhttp://hdfcbank.com/creditcard/cardfeatures/cc_highlights.asp#rme%23rmehttp://hdfcbank.com/creditcard/cardfeatures/cc_highlights.asp#nlflyc%23nlflychttp://hdfcbank.com/creditcard/cardfeatures/cc_highlights.asp#pyti%23pytihttp://hdfcbank.com/creditcard/cardfeatures/CC_health_highlights.asp#tpa%23tpahttp://openwindow%28%27/creditcard/cardfeatures/partners.htm','PARTNERS','height=380,width=616,status=no,scrollbars=yes,toolbar=no,menubar=no,location=no,top=50,left=100'),void('');http://hdfcbank.com/creditcard/cardfeatures/cc_highlights.asp#tb%23tbhttp://hdfcbank.com/creditcard/cardfeatures/cc_highlights.asp#ht%23hthttp://hdfcbank.com/creditcard/cardfeatures/cc_highlights.asp#ubpme%23ubpmehttp://hdfcbank.com/creditcard/cardfeatures/cc_highlights.asp#rlwi%23rlwihttp://hdfcbank.com/creditcard/cardfeatures/cc_highlights.asp#wa%23wahttp://hdfcbank.com/creditcard/cardfeatures/cc_highlights.asp#cauf%23caufhttp://hdfcbank.com/creditcard/cardfeatures/cc_highlights.asp#ac%23achttp://hdfcbank.com/creditcard/cardfeatures/cc_highlights.asp#swys%23swyshttp://hdfcbank.com/creditcard/cardfeatures/cc_highlights.asp#ppol%23ppolhttp://hdfcbank.com/creditcard/cardfeatures/cc_highlights.asp#rme%23rmehttp://hdfcbank.com/creditcard/cardfeatures/cc_highlights.asp#nlflyc%23nlflychttp://hdfcbank.com/creditcard/cardfeatures/cc_highlights.asp#pyti%23pytihttp://hdfcbank.com/creditcard/cardfeatures/CC_health_highlights.asp#tpa%23tpahttp://openwindow%28%27/creditcard/cardfeatures/partners.htm','PARTNERS','height=380,width=616,status=no,scrollbars=yes,toolbar=no,menubar=no,location=no,top=50,left=100'),void('');


55/97

[Type text]

/ 4e 'our fa# *' t e e7tra -rote,t o!

a) A""&o! F*oat Co4er

9ou ha#e the option of extending the *$'G0%000 medi!laim plu$ a !riti!al illne$$ !o#er

*$'1'G la;h$ !o#er to the add-on !ardholder$% be it your $pou$e% !hildren% brother$ or

$i$ter$ ',hat>$ more% the add-on !ardholder$ !an a#ail the di$!ount$ at parti!ipating

ho$pital$ a$ well a$ with preferred partner$'

$) Pur, ase a"" t o!a* #e" ,*a #

:ro#ide extra !o#er for your family whi!h in!lude$ your $pou$e% !hildren% parent$%

brother$ or $i$ter$ by pur!ha$ing additional medi!laim at fabulou$ di$!ount$ of more

than G0R' ,hat>$ more% you !an get tax brea; under Se!tion I0 7 of the /n!ome Tax

!t'

,) . fe I!sura!,e Co4er

To o#er!ome the un!ertaintie$ of life you need to plan ahead and !reate a !ir!le of

prote!tion for your family' ,ith the 87F5 .an; 8ealth :lu$ 5redit !ard you !an get

your life in$uran!e !o#er from .irla Sun ife /n$uran!e at ex!lu$i#e premium rate$'

1' Sa4e 0 *e 'ou s-e!" (Re0ar" Po !ts)

"$e your !redit !ard and earn reward point$' For e#ery *$'100 $pent u$ing your !redit

!ard earn 1 reward point' 9ou !an redeem the reward point$ for hou$e-holderO$

in$uran!e whi!h in!lude$% fire in$uran!e% burglary in$uran!e and brea;down in$uran!e

or for ex!iting gift$' ,hatO$ more - you !an $a#e the reward point$ up to 1I month$'

2' Prote,t !5 t rou5 !sura!,e

The 87F5 .an; 8ealth :lu$ 5redit 5ard offer$ you the mo$t !omprehen$i#e

in$uran!e pa!;age at no additional !o$t' /n !a$e of death in an a!!ident if the!ardholder lo$e$ hi$ life in an air a!!ident% the nominated ;in will re!ei#e a

!ompen$ation of *$'10 la;h$' /n the !a$e of a rail or road a!!ident the nominated ;in

will re!ei#e a !ompen$ation of *$'2 la;h$'


56/97


57/97

[Type text]

STANDARD CHARTERED CREDIT CARDS

THE NE+ STANDARD CHARTERED VISA MINI

1' The Standard 5hartered /S ini 5ardholder may terminate the !ard $er#i!e

if heB$he doe$ not a!!ept any amendment to the Standard 5hartered /S

ini 5ardholder greement propo$ed B made by the .an;' The Standard

5hartered /S ini 5ard will be automati!ally terminated if

a' The Standard 5hartered /S ini 5ardholder terminate$ the !ard

$er#i!e in re$pe!t of hi$ 5ard or

b' The :rin!ipal 5ardholder terminate$ the 5redit 5ard a!!ount with the.an;'

2' The Standard 5hartered /S ini 5ardholder $hall $tri!tly follow the

operating in$tru!tion$ i$$ued by the ban; from time to time regarding the u$e

of Terminal$ and the Sy$tem' /n parti!ular% Standard 5hartered /S ini

5ardholder$ $hould note the following C

Standard 5hartered /S ini 5ard$ !annot be u$ed at T fa!ilitie$

and their Terminal$ whi!h reAuire the 5ard to be in$erted rather than

$wipedM

Standard 5hartered /S ini 5ard$ !annot be u$ed at mer!hant$

reAuiring a manual imprint of a !ard to !omplete a tran$a!tion'

CARD FEE DETAI.S Pr #ar' Su--*e#e!tar' Mu*t -*e6ntran!e fee &/ &/ &/nnual fee (9r'

1)*$'< *$'1 *$'<

*enewal fee

(9r' 2 onward$)*$' *$'1 *$'<

CARD FEATURES%


58/97

[Type text]

XBa*a!,e Tra!sfer O-t o!

Tran$fer your out$tanding balan!e from your other !redit !ard$ to the global Standard

5hartered !redit !ard at only 1' GR p'm' in$tead of the 2' GR p'm' that you are

!urrently paying'

X /*o$a* A,,e-ta!,e

The mo$t widely a!!epted and re$pe!ted !redit !ard in o#er 1 million /S and

a$ter5ard e$tabli$hment$ worldwide o#er 1'1 la;h e$tabli$hment$ in /ndia and

&epal'

XRe4o*4er Fa, * t'

Flexible payment option u$ing re#ol#ing !redit allowing you to pay ?u$t GRof the

out$tanding amount e#ery month'

X Cas A"4a!,e Fa, * t'

"p to


59/97

[Type text]

X Cre" t Free Per o" - up to G2 day$

X? our He*- * !es at umbai% 5hennai% .angalore% &ew 7elhi% ol;ata and

8yderabad

X !on#eniently pla!ed , e ue ,o**e,t o! $o7es for repayment a!ro$$ !enter$

XSu--*e#e!tar' Car" for family'

XMu*t -*e Car" to $egregate your per$onal and bu$ine$$ expen$e$

E* 5 $ * t'%

X For indi#idual$% inimum age limitC 21 year$% aximum i$ 30 year$ ($alaried) and

3G year$ ($elf-employed)

X /$$ued to /ndian *e$ident$ only

I!,o#e Cr ter a

Pro"u,t (Sa*ar e") /ross I!,o#e (Per

A!!u#) INR Rs

(Se*f&e#-*o'e") /ross I!,o#e

(Per A!!u#) INR Rs

+old 1%G0%000 1%G0%000

6xe!uti#e 1%00%000 1%00%000

5la$$i! 30%000 2%000

Sapnay 30%000 2%000


60/97

[Type text]

CARD FEES

The member$hip fee$ for the global !ard i$

/o*" E7e,ut 4e C*ass , Sa-!a'

6ntran!e Fee 1000


61/97

[Type text]

HO+ TO CHOOSE A CREDIT CARD

,ith the !redit !ard truly be!oming an international !itiDen% i$$uer$ ha#e begun

highlighting the #alue added feature$ offered along with the ba$i! produ!t' ,hile$ome of them are offering attra!ti#e intere$t rate$% other$ are luring !u$tomer$ by their

reward $!heme$' ,ith a plethora of !hoi!e$ on offer it i$ not ea$y to !ome to a

de!i$ion on any parti!ular !ard' 8owe#er% a !ompari$on on the ba$i$ of a few ba$i!

parameter$ i$ will help u$ ma;e an informed !hoi!e'

Fir$t% thereO$ the !redit limit' ll ban;$ ha#e different limit$ $et for !u$tomer$

depending upon the type of !ard in their po$$e$$ion' 6#en within a parti!ular type of

!ard% limit$ may #ary depending upon the !redit worthine$$ of the indi#idual' Thi$

depend$% among other thing$% on the gro$$ in!ome of the indi#idual and the period for

whi!h heB$he i$ u$ing the !ard' 8owe#er% $ome ban;$ li;e 5itiban; and meri!an

6xpre$$ ha#e !ard$ whi!h ha#e no $et !redit limit' mex% for e'g'% ha$ a !harge !ard

whi!h ha$ no upper limit and allow$ one to $pend a$ mu!h a$ one li;e$ (pro#ided the

holder repay$ the amount at one go)'

Se!ond !riteria !ould be the lo$t !ard liability' /f one i$ tra#elling and ha$ lo$t hi$Bher!redit !ard then reporting the lo$$ will not be mu!h of a problem' 8S.5% 5itiban;%

Stan!hart and mex !an be rea!hed from any !orner of the world for information on

oneO$ !ard a$ well a$ for reporting the lo$$' 8owe#er% ex!ept for mex% all other$ will

mail a repla!ement !ard to the holderO$ mailing addre$$' mex will repla!e the !ard

within I hour$ free of !o$t' iability for a lo$t !ard i$ nil for 5itiban;% 8S.5% mex

(on!e the ban; i$ informed about the lo$$) and the Stan!hart photo !ard' 8owe#er% the

non-photo !ard !arrie$ a liability of *$1%000'

&owaday$% almo$t all !ard$ !ome with #ariou$ goodie$ atta!hed' The$e in!lude airline

ti!;et boo;ing and in$uran!e benefit$ on lo$t luggage and a!!idental death$' 8S.5%

for e'g'% offer$ di$!ount$ of


62/97

[Type text]

abroad) for one point' 8S.5% on the other hand% only allow$ point$ !olle!ted to be

$Auared again$t a di$!ount on the annual fee$' minimum of


63/97

[Type text]

holder get$ a GR di$!ount on all 54 and 6xide ma;e batterie$ from authoriDed

dealer$ and *$1%000 off at $ele!t outlet$ for *F auto !oat !ar painting !harge$'

There i$ al$o the Time$ !ard and .harat :etroleum .4. !ard' The$e !ard$ gi#e you

di$!ount$ at $e#eral outlet$' For example the ahindra Stan !hart !ard gi#e$ you

priority !he!;-in and !he!;-out fa!ilitie$ at +ue$t line hotel$ (run by ahindra$)'


64/97


65/97

[Type text]

4. 65T/ 6S 4F T86 ST"79

' To under$tand the impa!t of !redit !ard$ in the pur!ha$ing power of !on$umer$'

.' To determine whether !on$umer$ are aware of !redit !ard and it$ ad#antage$'

5' To determine the !on$umer$ a!!eptability and li;ene$$ toward$ !redit !ard'

7' To find out the feature$ whi!h attra!t !on$umer$ toward$ !redit !ard$ and the parameter$ they u$e to !ompare the !redit !ard$ in /ndian mar;et'


66/97

[Type text]

RESEARCH METHODO.O/Y

SAMP.IN/ C n integral !omponent of re$ear!h de$ign i$ the $ampling plan'

Spe!ifi!ally it addre$$e$ three Aue$tion$C

( ) Sa#-* !5 u! t (0 o# to sur4e') - 7e!iding whom to $ur#ey reAuire$ that the

uni#er$e or boundarie$ of the mar;et from whi!h data i$ $ought% data i$ defined $o

that an appropriate $ample !an be $ele!ted' /n my $tudy the people $ur#eyed are

the $er#i!e !la$$ and bu$ine$$ !la$$ people who u$e !redit !ard$ in &5*'

(.) Sa#-*e s e ( o0 #a!' to sur4e') - /t depend$ both on the $iDe of the budget

and the degree of !onfiden!e that the mar;eter want to pla!e in the finding$' The

larger the $ample the more li;ely the re$pon$e$ will refle!t the total uni#er$e

under $tudy' The $ample $iDe in thi$ $tudy in!lude$ @ per$on$'

(5) Sa#-* !5 -ro,e"ure E To !arry out thi$ pro?e!t / ha#e u$ed non- probability

$ampling where the re$ear!her $ele!t$ the mo$t a!!e$$ible population member$ from

whom to obtain information and the re$ear!her u$e$ hi$ or her ?udgment to $ele!t the

population member$ who are good $our!e for a!!urate information'


67/97

[Type text]

DATA CO..ECTION 8

PRIMARY DATA&

The primary data !olle!ted i$ through a Aue$tionnaire !on$i$ting of all type$ of

Aue$tion$ li;e ran;ing% di!hotomou$ and open ended Aue$tion$' The Aue$tionnaire$

were $upplemented by an inter#iew to rea!h to better !on!lu$ion$'

SECONDARY DATA 8

The Se!ondary data i$ !olle!ted through internet and #ariou$ bro!hure$ !olle!ted from

the ban;$ it$elf $ome of the information reAuired wa$ al$o !olle!ted from the #ariou$

magaDine$'


68/97

[Type text]

DATA ANA.YSIS


69/97


70/97

[Type text]

n$-2

The di$tribution$ of #ariou$ ban; !redit !ard$ out of the 30 people areC

BANK NAME NUM BER OF PEOP.E5/T/ . & G2

/5/5/


71/97

[Type text]

n$-<

The number of year$ $in!e when people ha#e been u$ing the !redit !ard$ minimum

being one year and maximum greater than three year$ C

NUMBER OF YEARS NUMBER OF PEOP.E1 9ear 32 9ear I< 9ear 2I

U < 9ear 1I


72/97

[Type text]

n$-

The di$tribution of whether people are $ati$fied with the !urrent !redit !ard $er#i!e

they are u$ingC

SATISFIED NOT SATISFIED1


73/97

[Type text]

n$-G

The ran;ing of #ariou$ parameter$ a$ per preferen!e of people while !hoo$ing a !redit

!ard $er#i!e of any ban;C

FEATURES RANK RANK ? RANK RANK RANK RANK nnual fee$ 2 1G 35on#enien!e 1 I 12 1 < 3Forward .al 21 1< 35a$h d#an!e 1I 1 G 12.rand &ame 13 1I G 10:* (intere$t)


74/97

[Type text]

n$-3

The influen!e of media in affe!ting the pur!ha$e de!i$ion of !on$umer$ for !redit

!ard$ !an be depi!ted a$C

MEDIA NUMBER OF

PEOP.E &ew$paper$ 22

,ord of outh


75/97


76/97

[Type text]

A!s&

The people had different opinion$ a$ to whether the !redit !ard in!rea$e$ the

pur!ha$ing power of !on$umer$ or not they are $tated a$C

OPINION NUMBER OF PEOP.E9e$


77/97


78/97

[Type text]

A!s& @

,hen the people were a$;ed to !ompare debit !ard$ and !redit !ard$ the people had

different opinion they are $tated a$ follow$C

OPINIONS NUMBER OF PEOP.E.oth are eAually good 17ebit !ard$ are better 15redit !ard$ ha#e more ad#antage$ 205annot be !ompared


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A!s&

*ea$on$ why $ome people find the u$e of !redit !ard$ a$ a di$ad#antage are C

REASONS NUMBER OF PEOP.Ei$u$e if lo$t or mi$pla!ed 2<

Finan!ial burden t be u$ed at all pla!e$ 1ll of the abo#e 1


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FINDIN/S

FINDIN/S


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[Type text]

The finding$ of the pro?e!t through primary data !olle!tion $our!e are $ummariDed a$

follow$ C

• 4ut of the 30 people $ur#eyed GR people u$e the !redit !ard$ and 2GR

people were not u$ing the !redit !ard$ but were aware about the $er#i!e$ of the!redit !ard$'

• 5itiban; ran;$ highe$t in popularity out of the people $ur#eyed followed by

/5/5/ and then S5.'

• The a$$o!iation of the people with the !redit !ard$ for mo$t of the people i$ <

year$ whi!h $how$ that !redit !ard$ had gained popularity ling time ba!; in

/ndia'

•

4ut of the 30 people $ur#eyed IR people were $ati$fied with the !urrent$er#i!e$ of !redit !ard$ they were u$ing and 22R people were not $ati$fied

with the $er#i!e$'

• The $tudy al$o re#eal$ that mo$t of the people ran;ed annual per!entage rate

or intere$t paid to be the mo$t important fa!tor before going in for any !redit

!ard followed by the annual fee$ and #alue of forward balan!e'

• For mo$t of the people the influen!e wa$ the repre$entati#e$ of the ban; or the

word of mouth that in!lude$ friend$ L relati#e$'• &ew$paper al$o played an important role in influen!ing the pur!ha$e de!i$ion

of the !on$umer$'

• For mo$t of the people the u$e of !redit !ard$ wa$ gaining importan!e be!au$e

of rea$on$ li;e they are !on#enient to !arry% there i$ freedom from !a$h% then

due to fa!ilitie$ li;e !a$h ad#an!e% for $ome it wa$ al$o a mean$ of $tatu$

$ymbol'

•

30R people $ay that !redit !ard$ ha#e in!rea$ed their pur!ha$ing power whileR people $ay that it ha$ not affe!ted the pur!ha$ing power mu!h and 13R

people are indifferent to thi$ Aue$tion'

•


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[Type text]

i$ that they get in#ol#ed in impul$e pur!ha$e and for around 2GR of the people

the rea$on i$ that u !an buy today n pay later'

• ,hen a$;ed to !ompare the !redit !ard$ and the debit !ard$ the < R of people

$aid that !redit !ard$ ha#e more ad#antage$ while 2IR $ay that debit !ard$ are better while around 2GR are of the #iew that both are eAually good re$t are of

the opinion that they ha#e different feature$ and benefit$ $o !annot be

!ompared'


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[Type text]

REVIE+S


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[Type text]

REVIE+S OF PEOP.E ABOUT CREDIT CARDS

• /t$ pla$ti! money' 9ou ?u$t ;now when you u$e it and being ea$y to !arry and

u$e% you do not thin; twi!e before $pending' ,owQ ,onderful again to find

that you ha#e to ma;e the payment after almo$t 20 day$ after the arri#al of the

$ame and if you $pend in the beginning of the month% you end up ma;ing

payment$ after almo$t G0 day$' +reatCCCCC i$n>t itH / would $ay it would rather

be !ruel to ta;e money through !redit !ard$ from the per$on who doe$ not

e#en earn the amount% whi!h he i$ now $pending' /f he goe$ ban;rupt or doe$

not get a monthly $alary% imagine the le#el of mental di$order the per$on !ould

go through e$pe!ially when he ha$ the entire family to handle too' /t>$ diffi!ultto !hange a habit and u$ing a !ard would then be a habit for the one who $tart$

u$ing it regularly' gain in a habit you alway$ rai$e the le#el of wrong

!on$umption% whi!h i$ the $ame when you $tart u$ing a !ard' "$ing a !redit

!ard !ould be a$ dangerou$ a$ probably !ommen!ing to $mo;e or falling for

one $ingle female who doe$ not e#en want to ;now you' $ !ompared to a

!redit !ard% the better option would be to go for a 7ebit 5ard% where you ?u$t

need to ta;e !are of the fa!t that you ha#e enough amount$ in your ban; a!!ount to u$e it' ,hene#er you u$e it'

• 5redit i$n>t your wor$t enemy' 9ou are' u$t li;e anything el$e in moderation i$

good% $o i$ !redit' "$e your di$!retion before you de!ide to pull out the pla$ti!'

/f you de!ide to $plurge% do it within your mean$' ll !redit doe$ i$ gi#e you

the le#erage o#er your !urrent finan!ial $ituation to $pend more than you !an

with your own money' .ut the bu!; (literally) $top$ there' "nle$$ you ha#e a

!ompelling rea$on to buy whate#er it i$ you need% / would re!ommend goingea$y on your extra !apital'

• t the temptation$ of a !redit !ard' The more you ha#e the ri!her you areHH

The glory i$ $o painfully $hort li#ed' 4ne !arele$$ extra#agant moment and

you !ould $pend the re$t of your life paying for it' So ;eep tho$e urge$ down'

imit your$elf to 4&6 !redit !ard that you u$e in !a$e of emergen!ie$ or in

!a$e$ where the only payment method i$ your !redit !ard .


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• 8a#ing $aid all the abo#e% here>$ the parting $hot' 5redit !an be your ma;er or

brea;er' ,hat you !hoo$e to do with it i$ entirely up to you' Tempting a$ it

might be% there>$ a huge down$ide to !redit% whi!h i$ you 4,6 money to

$omeone el$eQ nd if you ;now you !an>t pay ba!; what you owe% don>t pay

in the fir$t pla!e' There>$ nothing li;e buying what you want with your hone$t

hard earned money' t the end of the day tho$e are the thing$ that ma;e you

$mile be!au$e they are truly your$'


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[Type text]

CONC.USIONS


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[Type text]

CONC.USIONS

,ith re$pe!t to the primary data and information$ !olle!ted / ha#e rea!hed to the

following !on!lu$ion$ in my pro?e!t' y primary data that i$ the $ur#ey help$ me to

pra!ti!ally analyDe the data whi!h / !olle!ted through internet and magaDine$

e$pe!ially the re#iew$ and !riti!$ !omment$ about the u$e of !redit !ard$C

( ) oo;ing at the !urrent $!enario we !an well identify that the !redit !ard i$ ta;ing

a upper trend in /ndia due to whi!h more and more !u$tomer$ getting attra!ted

toward$ it'

(.) The $tudy lead$ to mixed re$pon$e$ be!au$e out of 30 people $ur#eyed half of

them were in fa#our of the fa!t that !redit !ard$ in!rea$e their pur!ha$ing power

while the other half were of the #iew that it doe$n>t be!au$e people ha#e

under$tood and realiDed the fa!t that although they ha#e to pay later but they

ha#e to pay from their po!;et'

(5) Thu$ a$ per the $ur#ey !ondu!ted and the $tudy made through the analy$i$ it wa$

found out that !redit !ard$ do in!rea$e the pur!ha$ing power of the !on$umer$

but to a !ertain extent be!au$e it gi#e$ them the liberty to pay later but the!on$umer$ are be!oming $marter and ha#e under$tood the $!enario Auite well $o

we !annot $ay that it altogether affe!t$ the buying habit$ be!au$e they ha#e

realiDed that will ha#e to fa!e the finan!ial burden later on'

(7) Sin!e many !u$tomer$ are in!rea$ing and $o the number of defaulter$ al$o' 7ue

to the in!rea$e in tenden!y of non repayment$ the bad debt$ of ban; ;eep on

in!rea$ing'

(6) To add the popularity of the !ard and to in!rea$e the number$ of u$er$ the ban;$are more liberaliDed in attra!ting new !on$umer$'

(F) The media play$ a #ery important role in attra!ting the !u$tomer$ to !hoo$e a

parti!ular ban; and it$ $er#i!e$ and it !an al$o help to retain the a!Auired

!u$tomer$ al$o'


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[Type text]

RECOMMENDATIONS


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[Type text]

RECOMMENDATIONS

• !!ording to analy$i$ the annual fee rate and :* rate i$ the mo$t preferred

!riteria for the $ele!tion of the !redit !ard$ a$ per the preferan!e of the

re$pondent$ $o ban;$ $hould ta;e effort$ to ma;e the$e rate$ more affordable

in order to in!rea$e the !u$tomer ba$e'

• .an; $hould try to !on#inen!e their !u$tomer to u$e !redit !ard fa!ilitie$ to

$a#e time and for !on#enien!e'

• The ban; $hould i$$ue $u!h type of !redit !ard$ whi!h !an be ea$y to u$e by

the middle in!ome group$'

• 6ffort $hould be ta;en to a#oid the !a$e$ of double dipping in order to ma;e

the u$e of !redit !ard$ more tru$t worthy'

• 5redit 5ard pro#ide$ more ad#antage$ a$ !ompared to 7ebit !ard$ li;e later on

payment$ without any !harge$ for the $pe!ified period$ and many other$

whi!h in!rea$e$ the pur!ha$ing power of the !on$umer$% $o ban;$ $hould ta;e

mea$ure$ to !reate more awarene$$ among the !on$umer$ regarding the

ad#antage$ of the !redit !ard$ to in!rea$e it$ u$e'

• Sin!e the ban; pro#ide added benefit$ with the pur!ha$e$ through !redit !ard$

to the !ardholder$ $o ban;$ $hould in!rea$e it$ a!!e$$ibility to the larger

$e!tion of the $o!iety'


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.IMITATIONS

OF THE STUDY


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[Type text]

. # tat o!s Of T e Stu"'

• The Aue$tionnaire wa$ filled by 30 people$ of different de$ignation$' So the

point of #iew of people differ a$ per their de$ignation$'

• /n my $tudy / found that the ;nowledge of the people about the !redit !ard i$

limited'

• $imple Aue$tionnaire ha$ been adopted $o that the per$on !an ea$ily re$pond

to the Aue$tion$ about the !redit !ard e$pe!ially the middle !la$$ people'

• Sample i$ limited to a parti!ular area $o the #iew$ !an differ on the region

ba$i$'


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[Type text]

BIB.IO/RAPHY


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[Type text]

BIB.IO/RAPHY

1- iller lex C Strategi! anagement C Third 6dition'year 2011

2- a;er C ar;eting *e$ear!h'


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[Type text]

:UESTIONNAIRE


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[Type text]

Mar9et Sur4e' to stu"' ,o!su#er $e a4 or

For ,re" t ,ar"s

DISS6CC%

J'1) 7o you u$e a !redit !ard

9e$ [ ] &o [ ]

/f ye$ go to J'2

/f &o go to J'G

J'2) &ame of the ban;Bban;$ who$e !redit !ard you are u$ingC

J'


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J'3) *ate the following parameter$ on the ba$i$ of $ignifi!an!e while

!hoo$ing a !redit !ard of any ban; (1 for highe$t and 3 for lowe$t)

PARAMETERS RANK nnual fee$5on#enien!e

Forwarding balan!e5a$h d#an!e.rand &ame

nnual :er!entage *ate

J' ) ,hat influen!ed you to u$e or will influen!e you to u$e a !redit !ardC

a' &ew$paper [ ]

b' ,ord of mouth [ ]

!' *epre$entati#e from ban;$ [ ]

d' Tele#i$ion [ ]

e' /nternet [ ]

J'I) ,hi!h of the following fa!tor$ attra!ted you mo$t or will attra!t you

mo$t for u$ing a !redit !ardC

a' Spending Flexibility [ ]

b' :erfe!t for emergen!ie$ [ ]

!' dded benefit$ [ ]

d' Statu$ Symbol [ ]

e' 5on#enient to !arry [ ]

f' ll of the abo#e [ ]

J' ) 7o you thin; u$ing a !redit !ard ha$ in!rea$ed or !an in!rea$e (if not

u$ing) the pur!ha$ing power of !on$umer$C

a' 9e$ [ ] b' &o [ ] !' !an>t $ay [ ]


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J'10) ,hy do you thin; !redit !ard$ ha#e in!rea$ed your pur!ha$ing powerC

a' ,ith !redit !ard$ you get at lea$t

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Comparative Study of Credit Cards in Indian Market

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