The document provides details about an organizational study conducted at Lakshmi Vilas Bank's Karur West branch. It includes an executive summary, introduction to the banking industry and LVB. It describes LVB's history, profile, products and services offered including savings accounts, fixed deposits, loans, wealth management and online banking. It also provides details about the Karur West branch such as highlights and SWOT analysis. The document was submitted as part of an MBA program.

1. A REPORT ON THE ORGANISATION STUDY DONE AT
LAKSHMI VILAS BANK
KARUR WEST
Report submitted in partial fulfillment of the
requirements for the award of Degree of
MASTER OF BUSINESS ADMINISTRATION
By
T.SUMITHA
Register No: 13PBA053
Under the Guidance of
Mr.K.Ananth., BE., MBA.,
Head, Department of Management Studies.
Department of Management Studies (PG)
K.S.Rangasamy College of Arts and Science (Autonomous)
Tiruchengode - 637 215
July 2014

2. 2
CERTIFICATE
This is to certify that “A report on Internship at LAKSHMI VILAS BANK KARUR
WEST is a record of the work done by Miss.T.SUMITHA (13PBA053), submitted in
partial fulfillment of the requirement for the award of degree of Master of Business
Administration during the academic year 2013-14.
Faculty Guide Head of the
Department
Viva voce examination held on -------------------
Internal Examiner

3. 3
DECLARATION
I hereby declare that the internship report on LAKSHMI VILAS BANK , KARUR
WEST is my original work and that no part of this report has been submitted for the
award of any other degree, diploma, fellowship or any other similar titles and that the
work has not been published in any journal or magazine.
(T.SUMITHA)
Place:
Date:

4. 4
ACKNOWLEDGEMENT
It is my privilege and great pleasure to express my sincere and heartfelt
thanks to Lion Dr.K.S.RANGASAMY, MJF, Founder and Chairman of K.S.R.
group of institutions.
I extend my thanks to Smt.KAVITHAA SRINIVAASHAN., M.A., MBA.,
Executive Director, K.S.Rangasamy College of Arts and Science (Autonomous).,
for providing me an opportunity to undertake the internship.
I am indebted to Dr.N.KANNAN, M.Sc., Ph.D., Principal, K.S.Rangasamy
College of Arts and Science (Autonomous), for his constant encouragement and
valuable guidance throughout the study.
I extend my sincere and heartfelt thanks to Mr.K.Ananth, BE., MBA., Head,
Department of Management Studies (PG), for his encouragement and valuable support
throughout the internship
I feel immense happy to express my deep sense of gratitude to my esteemed
guide, Mr.K.Ananth., BE., MBA., Head, Department of Management Studies (PG),
for her valuable time bound discussion and for the internship report.

5. 5
CONTENT
Chapter
No.
Particulars Page no.
EXECUTIVE SUMMARY 7
Chapter-1 1 INDUSTRY
1.1 INDUSTRY PROFILE 8-13
Chapter-2 ORGANISATION
2.1 ORGANISATION PROFILE 15
2.2 HISTORY OF THE ORGANISATION 16
2.3 ABOUT THE ORGANISATION 17
2.4 COMPETITORS 18
2.5 VISION & MISSION 19
Chapter-3 2 PRODUCT AND SERVICE
PROFILE(LAKSHMI VILAS BANK)
3.1 FIXED DEPOSIT 20
3.2 SAVINGS BANK 21-22
3.3 LAKSHMI SAVINGS GOLD 23
3.4 LAKSHMI LAKHPATHY RECURRING
DEPOSIT
24-25
3.6 LAKSHMI SAVINGS YOUTH POWER 25-26

6. 6
3.7 WEALTH MANAGEMENT SERVICE 27-33
3.8 ONLINE SERVICES 34-36
Chapter-4 3 BRANCH(LVB KARUR WEST)
4.1 ABOUT THE BRANCH 39
4.2 HIGHLIGHTS OF THE BRANCH 40
4.3 SWOT ANALYSIS OF BANK 41
Chapter-5 ORGANIZATIONAL CHART 42
Chapter-6 LEARNINGINTERNSHIPEXPERIENCE 43
Chapter-7 KNOWLEDGE GAINED 44
Chapter-8 SKILLS DEVELOPED 45
Chapter-9 CONCLUSION 46
Chapter-
10
REFERENCES 47

7. 7
EXECUTIVE SUMMARY
As a first year MBA student in K.S. Rangasamy college of Arts & Science. I had to
undertake a one month internship as a part of my curriculum. I undertook my
internship at LAKSHMI VILAS BANK.
The internship is mainly concerned with the departmental study and the
overall working of the organization as a whole. The study mainly gives an idea about
the various functional departments in the company. The study covers all the major
departments of the company and helps in getting a clear view about the department. It
helps us to understand the department and shows an overall view of the functioning of
the company through its various departments.

8. 8
1.1 INDUSTRYPROFILE
Banking in India in the modern sense originated in the last decades of the 18th
century. The first banks were Bank of Hindustan (1770-1829) and The General Bank
of India, established in 1786 and since defunct.
The largest bank, and the oldest still in existence, is the State Bank of India,
which originated in the Bank of Calcutta in June 1806, which almost immediately
became the Bank of Bengal. This was one of the three presidency banks, the other two
being the Bank of Bombay and the Bank of Madras, all three of which were
established under charters from the British East India Company. The three banks
merged in 1921 to form the Imperial Bank of India, which, upon India's independence,
became the State Bank of India in 1955. For many years the presidency banks acted as
quasi-central banks, as did their successors, until the Reserve Bank of India was
established in 1935.
In 1969 the Indian government nationalised all the major banks that it did not
already own and these have remained under government ownership. They are run
under a structure know as 'profit-making public sector undertaking' (PSU) and are
allowed to compete and operate as commercial banks. The Indian banking sector is
made up of four types of banks, as well as the PSUs and the state banks, they have
been joined since the 1990s by new private commercial banks and a number of foreign
banks.
Banking in India was generally fairly mature in terms of supply, product range
and reach-even though reach in rural India and to the poor still remains a challenge.
The government has developed initiatives to address this through the State Bank of
India expanding its branch network and through the National Bank for Agriculture and
Rural Development with things like microfinance.

9. 9
Indian Banking Industry currently employees 1,175,149, employees and has a
total of 109,811 branches in India and 171 branches abroad and manages an aggregate
deposit of 67504.54 billion (US$1.1 trillion or €840 billion) and bank credit of
52604.59 billion (US$890 billion or €650 billion). The net profit of the banks
operating in India was 1027.51 billion (US$17 billion or €13 billion) against a
turnover of 9148.59 billion(US$150 billion or €110 billion) for the fiscal year 2012-
13.
FORMS OF BUSINESS IN WHICH BANKING COMPANIES MAY ENGAGE:
In additional to the business of banking, a banking company may engage in any one or
more of the following forms of business, namely:
(a) the borrowing, raising, or taking up of money;
 the lending or advancing money either upon or without security;
 the drawing, making, accepting; discounting, buying, selling collecting and
dealing in bills of exchange, hoodies, promissory notes, coupons, drafts, bills of
lading, railway receipts, warrants, debentures, certificates, scrips and other
instruments, and securities whether transferable or negotiable or not;
 the granting and issuing of letters of credit, traveller’s cheques and circular
notes;
 the buying, selling and dealing in bullion and specie;
 the buying and selling of foreign exchange including foreign bank notes;
There is a growing need for banking facilities due to
nationwide growth, international trade and industrial
liberalization which have all contributed to changes in the
banking environment.

10. 10
 the acquiring, holding, issuing on commission, underwriting and dealing in
stock, funds, shares, debentures, debenture stock, bonds, obligations, securities
and investments of all kinds;
 the purchasing and selling of bonds, scrip or other forms of securities on behalf
of constituents or others,
 the negotiating of loans and advances;
 the receiving of all kinds of bonds, scrip or other forms of securities on deposits
or for safe custody or otherwise;
 the providing of safe deposit vaults;
 the collecting and transmitting of money and securities;
(b) – acting as agents for Government or local authority or any other person or
persons;
 the carrying on of agency business of any description including the clearing and
forwarding of goods, giving of receipts and discharges and otherwise acting as
an attorney on behalf of customers, but excluding the business of a [managing
agent or secretary and treasurer] of a company;
(c) contracting for public and private loans and negotiating and issuing the same;
(d) the effecting, insuring, guaranteeing, underwriting, participating in managing and
carrying out of any issue, public or private, of State, municipal or other loans or of
shares, stock, debentures, or debenture stock of any company, corporation or
association and the lending of money for the purpose of any such issue;
(e) carrying on and transacting every kind of guarantee and indemnity business;

11. 11
(g) acquiring and holding and generally dealing with any property or any right, title or
interest in any such property which may form the security or part of the security for
any loans or advances or which may be connected with any such security;
(h) undertaking and executing trusts;
(i) undertaking the administration of estates as executor- trustee or otherwise;
(j) establishing and supporting or aiding in the establishment and support of
associations, institutions, funds, trusts and conveniences calculated to benefit
employees or ex-employees of the company or the dependents or connections of such
persons; granting pensions and allowances and making payments towards insurance;
subscribing to or guaranteeing moneys for charitable or benevolent objects or for any
exhibition or for any public, general or useful object;
(k) the acquisition, construction, maintenance and alteration of any building or works
necessary or convenient for the purposes of the company;
(l) selling, improving, managing, developing, exchanging, leasing, mortgaging,
disposing of or turning into account or otherwise dealing with all or any part of the
property and rights of the company;
(m) acquiring and undertaking the whole or any part of the business of any person or
company, when such business is of a nature enumerated or described in this sub-
section;
(n) doing all such other things as are incidental or conducive to the promotion or
advancement of the business of the company;
(o) any other form of business which the Central Government may, by notification in
the Official Gazette, specify as a form of business in which it is lawful for a banking
company to engage.

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CURRENT BANKING TECHNOLOGY DEVELOPMENT:
In recent years there has also been considerable change in the functioning of
bank. There has been an increase in the amount of technology used by banks, e.g,
some banks use cash dispensers and offer twenty four hours cash withdrawal facility,
instant account details and money transfer through computer network. There is much
more competition in the banking sector. Services have to be sold in ways never done
previously.
From the regular banking operation, termed as ‘house keeping', balancing of
books and reconciliations of inter branch and intra branch entries of simple money
transactions, commercial banks are diversifying their priorities.
New financial institutions like merchant banks, leasing companies, mutual
funds and venture capital companies have come into existence. Commercial banks too
have joined the hub of capital market activity. Hence there has been a transformation
in the services offered by banks and this has led to considerable change in the type of
manpower recruited. Employment avenues in quasi financial institutions have shot up.
However, with demand on profit, in the banking industry, particularly in the
international banking sector the total concept of seniority and promotion has been
given a go-by and competence among juniors is recognised. ‘Smartest' people matter
and aggressive banking has taken over. With such professionalism pay scales have
gone up and the number of employees has gone down. Banks have set right their
organisational structure for efficient services.
Computers have taken over and recruitment pattern has been favourable to
more technical manpower. Management graduates, Chartered Accountants, Chartered
Financial Analysts are hence in greater demand in the banking sector. Presently,
emphasis is on specialisation and diversification. The field of capital markets requires
professional expertise.

13. 13
To cater to the needs of a growing industry for marketing its shares and
debentures public sector banks and financial institutions have started their own
Merchant Banking divisions. Many industrial houses too have started their own
Merchant Banking companies, acting as lead managers for public issues of shares and
debentures, e.g., Times Guarantee, Tata Finance, etc.
Large share broking firms have also taken on the functions of finance and
investment companies and acted as managers for the issue of shares and also as
underwriters during public issues.

14. 14
2.1 ORGANISATION PROFILE
NAME : LAKSHMI VILAS BANK PVT LTD.
ADDRESS : The lakshmi vilas bank pvt ltd,
Registered & administrative office,
. Corporate Office LVB House,4/1,Sardar Patel Road,
guindy,Chennai - 600032. Tamil Nadu, INDIA
Salem road,
Kathaparai,
Karur-639 006.
Head quarters : chennai, India.
Founded : 1926
Area served : India
INDUSTRY : Banking, Financial services
WEBSITE : www.lvbank.com
PRODUCT : consumer banking.
KEY PERSON : Mr. Rakesh Sharma (MD & CEO)
NO.OF.BRANCHES : 274

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2.2 HISTORY OF THE ORGANISATION:
The Lakshmi Vilas Bank Limited (LVB) was founded eight decades ago. ( in
1926) by seven people of Karur under the leadership of Shri V.S.N. Ramalingam
Chettiar, mainly to cater to the financial needs of varied customer segments. The bank
was incorporated on November 03, 1926 under the Indian Companies Act, 1913 and
obtained the certificate to commence business on November 10, 1926, The Bank
obtained its license from RBI in June 1958 and in August 1958 it became a Scheduled
Commercial Bank.
During 1961-1965 LVB took over nine Banks and raised its branch network
considerably. To meet the emerging challenges in the competitive business world, the
bank started expanding its boundaries beyond Tamil Nadu from 1974 by opening
branches in the states of Andhra Pradesh, Karnataka, Kerala, Maharashtra, Madhya
Pradesh, Gujarat, West Bengal, Uttar Pradesh, Delhi and Pondicherry. Mechanization
was introduced in the Head office of the Bank as early as 1977. At present, with a
network of 290branches,1 satellite branch and 10 extension counters, spread over 15
states and the union territory of Pondicherry.
The bank focuses is on customer delight, by maintaining high standards of
customer service and amidst all these new challenges, the bank is progressing
admirably.

16. 16
2.3 ABOUT THE COMPANY
LVB has a strong and wide base in the state of Tamil Nadu, one of the
progressive states in the country, has a vibrant industrial environment. LVB has been
focusing on retail banking, corporate banking and banc assurance, is rendering high-
tech services which include:
 100 % CBS Branches.
 VISA Enabled International Debit Card.
 RTGS & NEFT enabled electronic funds transfer services.
 Internet Banking, Mobile Banking & SMS Alerts.
 Electronic Clearing Services (ECS).
 National Electronic Clearing Services (NECS).
 Payment through mobile phone.
Coupled with all our existing recently launched innovative and attractive
deposit schemes, and other loan schemes which suits large number of employees,
comparable only with best in the industry to-day.
Total business volume grew with the deposits level at around Rs.18573
Crores and the credit portfolio expanding to Rs.13038 Crores with a total
Business mix of Rs.31611Crores and registered growth at 15% on Y-o-Y March
2014.
The bank has a suite of products that are constantly innovated to suit the
changing needs of the customers.

17. 17
To facilitate all the financial services under one roof, the bank has tied up for a
bank assurance pact with Life Insurance Corporation of India for marketing life
insurance products, Bajaj Allianz General Insurance Co. Ltd for General Insurance
distribution business and arrangements for distributing the mutual fund products of 16
various reputed AMCs.
The Bank believes in cost effective service delivery powered by “appropriate”
technology to enhance value to customers. All our bank branches are in the state-of-
the-art core banking software viz. Flexcube.
The Bank has an ATM network of 636, in vital or Major locations. Consequent
to the tie-up with Cash Tree Network and NFS for ATMs, over 81000 & above ATMs.
In terms of service standards and operational efficiency, the bank has bench
marked its practices with the best in the industry. The bank has taken great strides in
reaching out to the various segments of the society through its innovative products
delivered through multiple channels woven around branches in different geographies.
2.4 COMPETITORS:
 HDFC Bank
 ICICI Bank
 Kotak Mahindra
 Axis Bank
 IndusInd Bank
 Yes Bank
 Federak Bank
 ING Vysya Bank
 Karur Vysya Bank
 JK Bank

18. 18
2.5VISION & MISSION:
VISION:
"To be a sound and dynamic banking entity providing financial services of
excellence with Pan India presence."
MISSION:
“To develop a range of quality financial services and products to create value
for customers, shareholders and the society; to motivate people to achieve excellence
in performance leading to sustained profitable growth and build a vibrant
organization.”
Focus areas:
 Productivity.
 Profitable revenue growth.
 Balance sheet & cash flow strength.
Goals :
 Customer satisfaction.
 Employee motivation.
 Increase in market share.
 Increase in return on assets.

19. 19
3.1 PRODUCTS:
3.1.1 Fixed Deposits:
Suitable for planned expenditure or savings
Salient Features
 Deposit period ranges from 15 days to 10 years with assured regular Monthly/
Quarterly income.
 Minimum Deposit amount is Rs. 100/- with no ceiling for the maximum
amount.
 Deposit account can be opened individually/ jointly and also in the name of
minors.
 Quarterly payment of interest or at discounted value at monthly rests.
 Loan facility and Nomination facility available.
3.1.2 Savings Bank:
LVB Savings Bank is intended to promote the healthy habit of saving and for the
steady growth of one's money in the bank.
LVB recognizes that Savings Bank customers are the pulse of all banking activity and
that a satisfied customer at the SB counter is the best advertisement to the bank.
Savings Bank is the landing ground for all deposits and its customers are the opinion
leaders. Hence LVB attaches a lot of importance to the efficient functioning of the
savings department.

20. 20
Salient features
 Minimum Deposit amount of Rs.100 with cheque book facility at Rural
branches
 Minimum Deposit amount of Rs.500/- with cheque book facility at Metro,
Urban and Semi-Urban branches
 Pass Book facility available
 Standing instructions facility is available on a nominal charge.
 No restrictions on the number or amount of deposits.
 Nomination facility is available.
Eligibility:
 Individuals in their own names.
 Two or more persons, payable to any of them/survivor/survivors.
 Two or more persons, payable to all of them jointly.
 A guardian on behalf of a minor.
 A minor himself/herself if he/she has attained the age of 12 years.
 Clubs, associations (Registered or unregistered). Charitable and religious
institutions trusts, local bodies etc., and other bodies of an identical nature.
 Illiterate persons.
 SB Accounts can also be opened in the name of the following organizations/
Agencies
 Primary Co-operative Credit Society which is being financed by the Bank.
 Small Farmers' Development Agency (SFDA)
 Marginal Farmers' an Agricultural Laborers Agencies ( MFAL)
 Drought Prone Areas Program (DPAP)
 District Rural Development Agency/Society (DRDA/DRDS)

21. 21
 District Development Authority (DDA)
 Integrated Rural Development Program ( IRDP)
 Integrated Tribal Development Agency (ITDA)
 Agriculture Produce Market Committees
 Khadi and Village Industries Board
 Societies Registered under the Societies Registration act, 1860 or any other
corresponding law in force in State or a Union territory
 Companies governed by the Companies Act, 1956which have been licensed
by the Central Government under section 25 of the said Act, or under the
corresponding provision in the Indian companies Act, 1913 and permitted,
not to add to their names the word "Limited" .
1.Savings Bank A/c
A. Domestic
Rate of
Interest
Minimum Balance to be
maintained
a. With cheque book facility 4% 4% 500 500 500 500
b. Without cheque book
facility 4% 4% 500 500 500 500
c. No frills account 4% 4% 10 10 10 10
B.Nonresident
a.NRO 4% 4% 100 500 500 500
b.NRE 4% 4% 100 500 500 500
Documentation:
All savings accounts need to be properly introduced by someone known to the bank
preferably other SB/CA account holders with the branch.
 Latest photograph of the applicant would be necessary to open an account.
 Proof of residence and identity should be furnished through any of the

22. 22
documents such as Passport, Driving License, Identity Card issued by income
tax authorities, voter’s identity card.
 The account opening process starts on submission of the duly filled in
application form along with the initial deposit amount in cash, suitable
introduction from a person known to the bank.
Interest Rate:
 Savings Bank account at LVB earns interest at 4% per annum at present. This
may change from time to time as per RBI directives. Such interest is paid to the
customer twice per year
 No T.D.S. is deducted in SB Accounts.
3.1.3 Lakshmi Savings gold:
Lakshmi Savings Gold account offers special privileges to our customers who
maintain an Average Monthly Minimum Balance of Rs. 10,000 and above.
Salient features:
 No limit for cash withdrawals at the base Branch (branch where account is
opened)
 Rs. 50,000 withdrawal per day at other branches (Self withdrawal only)
 No collection charges for Outstation cheques drawn on LVB Center
 Charges as per existing rules for collection of Outstation cheques drawn on non
LVB centre.
 For Inward Clearing, charges at Rs. 100 per cheque in case of cheque returned
due to Insufficient Funds
 For Outward Clearing, charges at Rs. 25 per instrument for Outward Clearing
cheques returned
 No charges for Demand Draft/ Pay Order up to any amount
 Charges for Collection of Outstation Cheques returned given at base and non-

23. 23
base branches as per existing rules
 Free Cash Remittance at base branch
 In case of Cash Remittance at non-base branches, free up to Rs. 25,000 and Re
1 per Rs 1000 there after
 A charge of Rs. 50 per month is applicable in case of non-maintenance of
minimum balance
 No charges for remittance through RTGS/ NEFT
 Instant credit up to Rs. 20,000 per occasion only at base branch. Out of pocket
charges if any collected.
 ATM Card – Free cash withdrawal at our ATMs as well as Cash Tree,NFS &
BANCS ATMs
 Free Net Banking facility
 Free multi-city cheques
 Free Monthly statement of account via e-mail
 Free SMS Alert
 Free Personal Accident Insurance Cover (Death Risk) of Rs. 1 Lac (renewable
every year) for the First person alone
Eligibility:
 As per our existing Savings Bank Account norms for Individuals
 Average Monthly Minimum Balance of Rs. 10,000
3.1.4 Lakshmi Lakhpathy Recurring Deposit
Deposit type: Recurring deposit with additional benefit of General insurance cover of
Rs. 1.20 Lacs on specified items.
Period of Deposit : Recurring deposit for 84 Months
Amount : Rs. 1,000/- per month
Rate of Interest : 9.00% p.a.* (No additional interest for senior citizen & Staff)

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*Condition apply
Amount payable on maturity: Rs.1,15,901 /- ** is the net amount payable on maturity.
Maturity value is subject to changes depending upon change in the interest rate and
insurance premium rates.
Nomination: Available as per the norms in force.
Loans against deposit : Available as per the existing norms
Tax benefit: Interest is exempted from TDS as per existing guidelines.
Premature Closure: Permitted before maturity as per the existing guidelines. The
premium paid towards insurance will be deducted from the proceeds. The insurance
coverage is valid upto the period for which the premium has been paid.
Insurance Coverage: Total insurance coverage to the tune of Rs. 1,20,000/- [as
detailed below] with M/s Bajaj Allianz General Insurance Co. Ltd is available to all
the active account holders of this scheme. Insurance premium will be paid out of the
accrued interest in the deposit.
Items covered under the insurance package :
 Fire (On house hold items) : Rs.50,000/-
 Burglary (on house hold items) : Rs. 50,000/-
 Baggage (Travel with in India) : Rs. 5,000/-
 Accidental Hospitalization (With in India) : Rs. 5,000/-
 Hospital Cash (Normal sickness Rs. 1000/- per day - Maximum 10 days) : Rs.
10,000/-
Simple procedure for insurance coverage and claim. Branches will issue the certificate
of insurance along with the LLRD passbook.
This package has been specially devised for the customers of our Bank by our

25. 25
proposed Banc assurance partner M/s Bajaj Allianz General Insurance Co Ltd.
3.1.5 Lakshmi Savings Youth Power
A savings account exclusively for children/youth.
Features Lakshmi Savings Youth Power
Eligibility Age Group Between 12 to 24
Mini. Balance Rs.100/-
Document to be
obtained
SB Opening form with Photo and Age Proof
Documents. All
Age Proof
Any one of the Following documents should be
obtained and attested after due verification of
Originals.
1. Birth Certificate from Competent Authority.
2. School/ College Certificate.
3.Passport.
Cash Remittance
charges
i) Base branch Free
ii) Non Base Branch Free - Upto Rs.50,000/- per
day there after Re.1 per 1000.
DD / PO Issue
For remitting of schoolFees, Hostel Fees and
School/ college fees will be paid without Service
Charges. ForOthers as per Ser.Charges.
TOD/Overdraft Not Allowed
Funds Transfer Free between LVB Branches.

26. 26
between LVB
Chq Book Facility
1. Age between 12-17 yrs: No Cheque Book
facility. Only Loose Leaf.
2. Age 18 & above: Normal Cheque Book is
permitted
VISA Debit card
Free for first Year with Daily Withdrawal Limit of
Rs.5000/- per day From 2nd year onwards Rs.75/-
charges applicable.
Internet Banking
1. Forthe age between 12-17 Yrs: No Internet
Banking facility.
2. Age 18 Yrs & above:Net Banking facility
available.
SMS/Mobile Banking
Charges Applicable (Will be debited by Data
centre).
Non Maintenance of
Minimum Balance
Charges of Rs.50/- per month for all the account
holders.

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3.2WEALTH MANAGEMENT SERVICE:
3.2.1 LIFE INSURANCE
The Lakshmi Vilas Bank Ltd. has entered into a tie up with the Giant in the Life
Insurance sector – LIC of India for soliciting Life Insurance policies for our
customers. All the products of LIC will now be available through our branches. It
opens up a reliable and trustworthy investment avenue, making LVB a one stop shop
for all financial requirements.
The core benefit of life insurance is that the financial interests of one’s family remain
protected from circumstances such as loss of income due to critical illness or death of
the policyholder. Simultaneously, insurance products also have a strong inbuilt wealth
creation proposition. The customer therefore benefits on two counts and life insurance
occupies a unique space in the landscape of investment options available to a
customer.
Various types of Life Insurance Products:
 Term Life Insurance
 Whole Life Insurance
 Endowment Policy
 Money Back Policy
 Annuities and pension
 Unit Linked Insurance Plans (ULIPs)
 Regular Premium Products .
 Single Premium Products.

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3.2.2 BAJAJ ALLIANZ GENERAL INSURANCE
The Lakshmi Vilas Bank Ltd. has business with M/s. Bajaj Allianz General
Insurance, one of the country's leading private insurance companies is a joint venture
between Bajaj Auto Ltd, India's largest 2 & 3 wheeler giant company and Allianz SE,
the world's largest Insurance Company with 700 subsidiaries across 70 countries.
A general insurance includes all insurance with an exception of a life insurance.
Broadly speaking, general insurance does not include any such part of investment and
can cover the risk of other economic, natural, political and individual risks. There are
general insurance products which are especially for the individuals and include travel,
motor, business, health, home, student and such accident insurance.
As a Corporate Agent, Lakshmi Vilas Bank has already started distributing various
general insurance products to the customers through its own branches.
 Health insurance
 Stock insurance
 Motor Insurance
 Personal accident
 Group Medical Policy
 Plant and Machinery Insurance
 Group Accident Policy
 Fire Insurance
 Society Insurance
 Marine Insurance

29. 29
3.2.3 ECGC – EXPORT CREDIT GUARANTEE CORPORATION
The Lakshmi Vilas Bank has tied up with ECGC Ltd, as a Corporate Agent to market
their products, particularly Export credit insurance policy.
ECGC is a Corporation set up by the Government of India for providing export credit
insurance cover to India’s exporters and banks.
ECGC is essentially an export promotion organization, seeking to improve the
competitive capacity of Indian exporters by giving them credit insurance covers,
comparable to those available from their competitors from most other countries.
ECGC is offering various types of export credit insurance cover to the exporter. Some
of the tailor made policies are listed below for reference.
 Shipment Comprehensive Risk
 PolicySmall Exporters Policy
 Exports Turnover Policy
 Specific Shipment Policy
 Exports (Specific Buyers) Policy
 Buyer Exposure Policy
 Multi-Buyer Exposure Policy
 Consignment Exports Policy etc.
3.2.4 PORTFOLIO MANAGEMENT SERVICES (PMS)
Bank has tied up with UTI Asset Management Company for offering Port Folio
Management Services (PMS) products across the Branch Network.
Portfolio Management Services (PMS) is an investment portfolio in stocks, fixed

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income, debt, cash, structured products and other individual securities managed by
professional Money / Fund Managers that can potentially be tailored to meet specific
investment objectives of the investors.
Features & Advantages of PMS:
 PMS is a well established hassle free option compared to direct equity.
 Strong marketing and operational support from the service provider.
 Attractive long term additional revenue.
 No competition with other offerings of the bank which is debt based.
 More choice in terms of portfolios to suit individual client needs and risk
appetite
 Ability to structure products that meet specific investment objectives
 Increase in wallet share by cross selling to investor who is investing in direct
equity
3.2.5 DEMAT SERVICES
The Lakshmi Vilas Bank is offering Depository services for the benefit of its
customers. Through this facility, our customers can hold their securities in
electronic form with National Securities Depository Ltd (NSDL).Thus the
customers of the bank can now open Demat accounts with us through our
designated branches.
A Demat Account is an account which holds the Beneficial Owner's (BO's)
securities in electronic form. There are many advantages in opening a Demat
account and keeping the securities in dematerialized form.
Major advantages are
 It is a safe and convenient way to hold securities compared to holding
securities in physical form.

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 It eliminates damage, loss, theft and misusage of physical certificate
 No stamp duty is levied on transfer of securities held in Demat form.
 Change of address, registration of Power of Attorney etc can be effected
across companies by one single instruction to DP.
 Shares can be traded and transferred even in single number.
3.2.6.MUTUAL FUNDS
Bank is associated with 10 Mutual Fund Asset Management
Companies (AMCs) for promoting Mutual Fund Business over 6 years and Bank
has got Corporate ARN (AMFI Registration Number) - 20626.
A mutual fund is a professionally managed type of collective
investment that pools money from many investors to buy stocks, bonds, short-
term money market instruments, and/or other securities. Since their
creation, mutual funds have been a popular investment vehicle for investors.
Their simplicity along with other attributes provides great benefit to investors
with limited knowledge, time or money.
We are marketing various schemes which includes the New Fund offers,
on-going schemes of various mutual funds, SIP / MIP / STP / DIP etc., of the
below mentioned Mutual Fund associates,
 Franklin Templeton Investments
 Sundaram Asset Management Co Ltd.
 HDFC Asset Management Company Limited
 UTI Mutual Fund
 Tata Asset Management Ltd
 L&T Mutual Fund
 Kotak Mahindra Asset Management Co Ltd
 Reliance Capital Asset Management Limited
 Prudential ICICI Asset Management Co. Ltd

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 SBI Funds Management Pvt Ltd
3.2.7.PAN SERVICE
A new provision relating to tax deduction at source (TDS) under the Income Tax
Act 1961 will become applicable with effect from 1st April 2010. If the PAN is
not furnished to the bank, tax at the prescribed rate or 20%, whichever is higher
will be deducted, while paying or crediting interest on deposits. However, there
is no TDS on interest earned on NRE Deposits in Rupee or Foreign currency and
also on interest earned in domestic SB & RD A/cs. For domestic term deposits,
TDS will be deducted, only if the aggregate interest exceeds Rs.10,000 in a
financial year. As per the revised rules, Form 15 G / 15 H for non deduction of
tax in domestic term deposits will be valid or accepted, only if the customer
furnishes his PAN to the bank. Once the tax is deducted by the bank and paid to
the Govt. of India, (where PAN is not submitted) Bank cannot refund the
amount. Hence we advise you to obtain PAN at the earliest and communicate the
same to your bank branch before tax is actually deducted on interest payments.
PAN card has multifarious uses in our day to day life:
 It is a major identification document.
 For investments in primary and secondary markets.
 For opening Demat accounts and Trading accounts.
 For Mutual Fund investments.
 Mandatory for any depositor (including Non-Residents) whose receipts
are subject to deduction of tax at source
3.2.8.NEW PENSION SYSTEM ( NPS )
PFRDA has authorized The Lakshmi Vilas Bank Ltd. to act as Point of Presence

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(PoP) under New Pension System (NPS) for all Indian citizens except
Government Employees Covered by NPS.
 It is voluntary- NPS is open to every Indian citizen. Subscriber can choose
the amount they want to set aside and save every year.
 It is simple- all Subscriber have to do is to open an account with any one
of the POPs and get a PRAN.
 It is flexible- Subscriber can choose their own investment option and
Pension Fund Manager and see their money grow.
 It is portable- Subscriber can operate their account from anywhere in the
country, even if you change their city, job or their pension fund manager.
 It is regulated- NPS is regulated by PFRDA, with transparent investment
norms and regular monitoring and performance review of fund managers
by NPS Trust.
3.3.ONLINE BANKING SERVICE
3.3.1.National Electronic Fund Transfer (NEFT):
Lakshmi Vilas Bank is proud to offer the National Electronic Fund Transfer
system (NEFT) facility. NEFT enables an efficient, secure, economical and
reliable system of transfer of funds between accounts of customers of different
Banks.
Eligibility:
Any individual above 18 years - singly or jointly
Features and Benefits:
 Electronic payment system in which payment instructions between banks
are processed and settled on deferred net settlement (DNS) basis at fixed
times during the day.

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 There is no minimum or maximum stipulated transaction value for using
this facility.
 NEFT facility is available in all the branches of our Bank.
 Funds transferred under NEFT will be credited to the beneficiary’s
account on the same day or next day.
 Inward remittance is free.
 No courier/postal charges payable by customers.
 Secured Transfer of funds across the Banks.
 Information required for Transfer of funds
Charges:
Inward remittances: No Charge
Outward Payments:
Value Band Customer charges
upto Rs. 10,000 2.5%
from Rs.10,001 to 1 lakh 5%
above Rs.1 lakh to 2 lakhs 15%
above Rs. 2 lakhs 25%
Transaction hours:
The NEFT service is available from 9.00 hours to 19.00 hours on week
days(Monday-Friday) and from 9.00 hours to 13.00 hours on Saturday
NEFT system work on all days except on Sundays and common Holidays across
the states.
The request for NEFT will be accepted up to 15 minutes before the cut off

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timings at our Branches
3.3.2.Online Shopping
Shopping at your fingertips. Lakshmi Vilas Bank facilitates you to buy variety
of products online from various shopping websites. Shop for anything with just a
click of the mouse. Bid and Buy products across various categories and be rest
assured with safe and secure payment. Payment can be made conveniently using
your Lakshmi Vilas Bank Account. Visit our partner websites, choose your
product and pay using Retail internet Banking Facility
Pay via Mobile
Lakshmi Vilas Bank in association with PayMate offers you the convenience of
paying for mobile recharge, movie tickets, online purchases, retail
shopping and much more at over 15,000 merchants directly from your mobile.
Lakshmi Vilas Bank’s mobile payment service is independent of the handset
model
and service providers and works on even the most basic handsets and across all
telecom operators (GSM or CDMA)
How it works ?
It lets you link your mobile to your Lakshmi Vilas Bank account enabling you
to make secure payments directly from your mobile. You authorize every
payment
with your PIN and the amount gets charged directly to your account.
Simply register and start paying via mobile.

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Rupay ATM Card
The advent of technology in Banking Industry paved the way for introduction of
safe, secured and hassle-free electronic payment products. The spending pattern
of consumers has boosted the growth of Indian Payment Card market including
credit, debit and prepaid cards. Banks have tied up with internationally
acclaimed networks like VISA Worldwide, Master Card and American express
to improve their retail banking space and bottom line.
Using RUPAY card our customers can access all ATMs under NFS network for
cash withdrawal, balance inquiry, mini statement and PIN change across our
nation.
Advantages of RUPAY card:
Suitable for customers who needs card only for ATM operations.
Using RUPAY card customer can access all ATMs under NFS
network/CashTree network. ( The Rupay card can be used in 98000 + ATMs of
66 members Banks across the country. )
Card renewal charges will be waived for RUPAY cards.
Other Points:

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1. Rupay card will be issued to new account holder who are not having any cards
of our bank. will not be issued as replacement for our ATM/VISA Debit Cards.
2. Rupay card issuance will not support migration from other cards like VISA
Classic, VISA Gold etc.
3. All dispute management related to Rupay Card is as same as VISA Cards
Remit2India offers exclusive benefits to Lakshmi Vilas Bank's customers
Remit2India is a pioneer in online remittances since the last 12 years.
Trusted by over a million NRIs globally, Remit2India offers multiple ways
to send & receive money in India along with a convenient secure & hassle
free platform.
As a first time user of this service, you will need to
 Register by filling in the form to the right
 Add your overseas bank account that you want to send money from and
also the address book of receivers in India
 Complete a one-time verification process for the safety of your account
 Enter the amount and send money online
Inter Bank Mobile Payment Services (IMPS) on ATM
Interbank Mobile Payment Service (IMPS) is an instant interbank electronic fund
transfer service through mobile phones. This service is provided by National
Payment Corporation of India (NPCI) to the NFS members banks. IMPS
facilitate customers to use mobile instruments as a channel for accessing their
banks accounts and remitting funds there from. Using this service, customers of
any banks can do fund transfer or payment instantly using his/her mobile phones

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on 24x7 basis.
Considering the real time process round the clock and more secured, ATM is
considered as one of relevant channels and useful for customer to do IMPS fund
transfer securely. Our customers can send money to other bank customers
through LVB ATMs using his/her Debit cards.
Advantages:
 IMPS on ATM available all time 365x24x7.
 Fund transfer using IMPS is instant and secured.
 IMPS on ATM will support both inter-bank (beneficiary having account in
other bank) and intra-bank (beneficiary having account in our bank) fund
transfer.
 Mobile phone not required for initiating IMPS transaction.
 SMS alert will be sent to the remitter for debit of his/her account debit and
credit of his/her beneficiary’s account.

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4.1ABOUT THE BRANCH( LVB KARUR WEST)
Sections ofbranch:
 Clearing
 Jewel loan
 Credit
 Foreign exchange
 Teller
 Statement
 Cash
 Deposit
Credit
department
Foreign
exchange
department
Operation
department
Departments of LVB west branch
 Deposit
 Cash
 Teller
 clearing

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4.2. HIGHLIGHT OF BRANCH PERFORMANCE 2012-2013
 Deposits increased to Rs 62.91 Cr as on 31.03.2014 from 50.12 Cr as on
31.03.2012 registering a growth of 23%
 Advance increased to Rs 114.34 Cr as on 31.03.2014 from Rs98.58 Cr as on
31.03.2013 registering a growth of 16%
 Percentage of CASA as on 31.03.2014 was 38.38%.
 Operating Profit as On 31/03/2014 was Rs 8.29 Cr for the FY 2013-14.
 Forex turn over as on 31/03/2014 was 200 Cr for the FY 2013-14.
 The Branch achieved the status of Bima Bank branch by collecting Life
Insurance Premium of Rs 22.46 Lakhs comprising of 76 policies for the FY
2013-14.
 NPA Recovery of 35 Lacs is closed upto 31.03.2014.
Stood at 3.94 %
 Total Deposits increased by 12.79 Cr
 CASA increased by 6.16 Cr.
 Advances increased by 15.76 Cr.
4.3. Corporate Business Target FY 2015
SAVING DEPOSITS 2800 Crs
DEMAND DEPOSITS 1376 Crs
CASA 4176 Crs

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TERM DEPOSITS 17974 Crs
BANK DEPOSITS 1050 Crs
TOTAL DEPOSITS 23200 Crs
ADVANCE(NET) 16800 Crs
BUSINESS 40000 Crs
OPERATING PROFIT 444.45 Crs
GROSS NPA Below 3%
4.4.SWOT ANALYSIS FOR THE BANK(LVB)
Strength
1. Focus on Strong robust financial products
2. Social inclusiveness through schemes for all sectors
3. Diversified approachtowards wealth management
4. Gives employment to over 1600 people
Weakness
1. Moderate presence across India as it is predominantly present
in South India
2. Minimal marketing causes less visibility
Opportunity
1. Upcoming SME banking
2. International banking
3. Focusing on retail banking, corporatebanking and bank
assurance
Threats
1. Economic slowdown
2. Highly competitive environment
3. Stringent Banking Regulations

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5.ORGANIZATIONAL CHART
ASSISTANT GENERAL MANAGER
DEPUTY GENERAL MANAGER
GENERAL MANAGER
EXECUTIVE DIRECTOR
CHAIRMAN
CHIEF MANAGER
SENIOR MANAGER
MANAGER
ASSISTANT MANAGER
CLERK
SUB STAFF

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6.LEARNINGINTERNSHIP EXPERIENCE
 I learnt new type of working skills in different departments
 At the first day the organization placed me at “May I help you“ service desk
for attending customer
 From that I learnt how to guide the customer in the organization
 With the help of my guide I learnt what is clearing section and what are
process are in it
 I learnt what are process of credit department and foreign exchange are with it
 With my internship experience gives me the confident to work in the banking
sector

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7. KNOWLEDGE GAINED:
 The bank process is fully computer based systems, so I learnt how to check the
 balance for the account and the transactions
 How to fill the application forms for saving and current account
 How to create the new account number for the new customers
 How to create ID for the customers
 With the help of ID we can take enormous information about the account
holder of specific ID holder
 Inward clearing and outward clearing of cheques
 cash deposit process for the account
 NEFT and RTGS payment process in the system
 In the foreign exchange I learnt PCL and LC(letter of credit)
 PCL means Provisions for Credit Loss, is an estimation of potential losses that
a company might experience due to credit risk
 In the credit department I learnt in which criteria they are lending loans to the
customers
 DEMAT account meaning and features of it
 What are different types of Insurance policy and etc..,

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8.SKILLS DEVELOPED
 Checking the “STOCK HYPOTHECATED FOR LAKSHMI VILAS BANK”
if any persons failed to submit the stock statement i need to call to them and
remind them to submit it, where i learnt patience
 While filling up the application form i need to verify the documents correctly
and be carefully
 Working in May I help you service desk many customers want to avail the
information of their transactions and queries, i need to guide and answer them
properly where my approaching and responding skills developed
 RTGS & NEFT payment we need to be knee in typing the account number and
amount correctly
 Self confidence is developed by working in an organization.

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9. CONCLUSION
My experience with Lakshmi Vilas Bank Private limited is outstanding. While
working in Lakshmi Vilas Bank Private limited. I found that this bank has developed
due to facilities and services provided to their customer and his growth rate can be
keep it up if they start to go in semi-urban areas. In last couple of years they have
opened new many branches and they should open many more. The working staffs are
very co-operative in nature and due to that the bank will also get good benefit. Bank
has provided their customer net-banking facilities and due to that transaction are done
fast. Charges at Lakshmi Vilas Bank private limited are on the lower side when
compared with other nationalised and scheduled Bank.

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10. REFERENCES
www.lvbank.com
www.wikipedia.com