c


The c
  
          c was amongst the
first to receive an 
 approval from the Reserve Bank of India (RBI) to set up a
bank in the private sector, as part of the RBI¶s liberalization of the Indian Banking Industry
in 1994. The Bank was incorporated in August 1994 in the name of c   ,
with its registered office in Mumbai, India. HDFC Bank commenced operations as a
Scheduled Commercial Bank in January 1995.
^

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

 

 
HDFC Bank¶s mission is to be a World Class Indian Bank. The Bank¶s aim is to build, sound
customer franchises across distinct businesses so as to be the preferred provider of banking
services in the segments that the bank operates in and to achieve healthy growth in profitability,
consistent with bank risk appetite. The Bank is committed to maintain the highest level of
professional integrity and regulatory compliance. HDFC Bank¶s business philosophy is based on
four core values: (1) Operational Excellence, (2) Customer Focus, (3) Product Leadership, and
(4) People.

   
The authorized capital of HDFC Bank is Rs. 450 crore (Rs. 4.5 billion). The paid up
capital is Rs. 282 crore (Rs. 2.82 billion). The HDFC Group holds 24.2% of the Bank¶s equity
while about 13.1% of the equity is held by the depository in respect of the Bank¶s issue of
American Depository Shares (ADS/ADR Issue). The Indian Private Equity Fund, Mauritius
(IPEF) and Indocean Financial Holdings Limited, Mauritius (IFHL) (Both funds advised by J P.
Morgan Partners, formerly Chase Capital Partners) together hold about 5.5% of the Bank¶s
equity. Roughly 27.5% o the equity is held by FIIs, NRIs/OCBs while the balance is widely held
by about 2,14,000 shareholders. The shares are listed on The Stock Exchange, Mumbai and the
National Stock Exchange. The Bank¶s American Depository Shares are listed on The New York
Stock Exchange (NYSE) under the symbol c.

÷ 


In a milestone transaction in the Indian Banking Industry, Times Bank Limited (another
new private sector bank promoted by Bennett, Coleman & Co./Times Group) was merged with
HDFC Bank Ltd., effective February 26, 2000. As per the schemes of amalgamation approved by
the shareholders of both banks and the Reserve Bank of India, shareholders of Times Bank
received 1 share of HDFC bank for every 5.75 shares of Times Bank. The amalgamation added
significant value to HDFC Bank in terms of increased branch network, expanded geographic
reach, enhanced customer base, skilled manpower and the opportunity to cross-sell and leverage
alternative delivery channels.

  
 


HDFC Bank is headquartered in Mumbai. The Bank at present has an enviable network of
over 332 branches spread over 171 cities across the country. All branches are linked on an online
real-time base. Customers in 90 locations are also services through Phone Banking. The Bank¶s
expansion plans take into account the need to have a presence in all major industrial and
commercial centers, where its corporate customers are located as well as the need to build a
strong retail customer base for both deposits and loan products. Being a clearing/settlement bank
to various leading stock exchanges, the Bank has branches in the centers where the NSE/BSE
have a strong and active member base.
The Bank has a network of over 900 networked ATMs across these cities. Moreover,
HDFC Bank¶s ATM network can be accesses by all domestic and international Visa/Master
Card, Visa Electron/Maestro, Plus/Cirrus and American Express Credit/Charge cardholders.
 
Mr. Jagdish Kapoor took over as the Bank¶s Chairman in July 2001. Prior to this, Mr.
Kapoor was a Deputy Governor of the Reserve bank of India.The managing Director, Mr. Aditya
Puri, has been a professional banker for over 25 years, and before joining HDFC Bank in 1994
was heading Citibank¶s senior executive representing HDFC are also on the board.Senior
banking professionals with substantial experience in India and abroad head various businesses
and functions and report to the Managing Director. Given the professional expertise of the
Management team and the overall focus on recruiting and retaining the best talent in the industry,
the Bank believes that its people are a significant competitive strength.

÷


HDFC bank operates in a highly automated environment in terms of information
technology and communication systems. The entire bank¶s branches have connectivity, which
enables the Bank to offer speedy funds transfer facilities to its customers. Multi-branch access is
also provided to retail customers through the branch network and Automated Teller machines
(ATMs).

The Bank has made substantial efforts and investments in acquiring the technology
available internationally to build the infrastructure for a world class bank. In terms of software,


, supports the Corporate banking business while the Retail Banking business by
, both from 


  . The systems are open, scalable and web-enabled.

The Bank has prioritized its engagement in technology and the Internet as one of its key
goals and has already made significant progress in web-enabling its core businesses. In each of
its businesses, the Bank has succeeded in leveraging its market position, expertise and
technology to create a competitive advantage and build market share.

 ^


 HDFC Bank caters to a wide range of banking services both commercial and
investment banking on the wholesale side and transactional/branch banking on the retail side.
The Bank has three key business areas:

’ £
 

The Bank¶s target market is primarily large, blue chip manufacturing companies in the Indian
corporate sector and to a lesser extent, emerging midsize corporate. For these corporate, the bank
provide a wide range of commercial and transactional banking services, including working
capital finance, trade services, transactional services, cash management, etc. The Bank is also a
leading provider of structured solutions, which combine cash management services with vendor
and distributor finance for facilitating superior supply chain management for its corporate
customers. Based on its superior product delivery/service levels and strong customer orientation,
the Bank has made significant inroads into the banking consortia of a number of leading Indian
corporate including multinationals, companies from the domestic business houses and prime
Public Sector companies. It is recognized as a leading provider of cash management and
transactional banking solutions to corporate customers, mutual funds, stock exchange member,
and banks.

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

The HDFC bank preferred program for high net worth individuals. The HDFC Bank Plus
and the Investment Advisory Service programs have been designed keeping in mind the needs of
the customers who seek distinct financial solutions, information and advice on various
investment avenues. The bank also has a wide array of retail loan products including Auto
Loans, Loans against marketable securities, Personal Loans and Loans for Two-wheelers. It is
also a leading provider of Depository Services to retail customers, offering customers the facility
to hold their investment in electronic form.
 HDFC Bank was the first bank in India to launch an International Debit Card in
association with VISA (VISA Electron) and issues the Master Card Maestro Debit Card as well.
The debit card allows the user to directly debit his account at the point of purchase at a merchant
establishment, in India and overseas. The Bank launched its credit card in association with VISA
in November 2001. The Bank is also one of the leading players in the    !"

business with over 25,000 Point-of-Sale (POS) terminals for debit/credit cards acceptance at
merchant establishments. The Bank is well positioned as a leader in various net-based B2C
opportunities including a wide range of Internet banking services for Fixed Deposits, Loans, Bill
Payments, etc.

(c) ÷    


Within this business, the Bank has three main product areas±±Foreign Exchange and Derivatives,
Local Currency Money Market and Debt Securities, and Equities. With the liberalization of the
financial markets in India, corporate needs more sophisticated risk management information,
advice and provided through the bank¶s Treasury team. To comply with statutory reserve
requirements, the bank is required to hold 25% of its deposits in government securities. The
Treasury business is responsible for managing the returns and market risk on this investment
portfolio.

 
HDFC Bank has its deposit programs rated by two rating agencies±±Credit Analysis and
Research Limited (CARE) and Fitch India Private Limited. The Bank¶s Fixed Deposit program
has been rated !#$!!! [Triple A] by CARE, which represents instrument considered to
be     "

 %& % 

     . CARE has also rated the Bank¶s
Certificate of Deposits (CD) program '#(), which represents 
  % % 
       % 
  * Fitch Ratings India Private Limited (100% subsidiary of
Fitch Inc.) has assigned the !!! rating to the Bank¶s deposit program, with the outlook on
the rating as  
* This rating indicates    "

 % where      %
 .

÷cc
^

HDFC commenced operations as a mortgage bank; it raised large wholesale resources (domestic

and international) and lent primarily to individual households. In mid 1991, HDFC entered the

retail deposit market by offering savings and investment opportunities to households.

 Started in 1977 as a public limited company with a share capital of Rs.10 cores.

 Leading housing finance company in the private company

 To specialize in provision of housing finance to individuals, co-operative societies & the

corporate sector

 Strong Brand ±customer base of over 2 million ±HOUSEHOLD name

 First private sector retail housing finance company

 HDFC is listed on both BSE and NSE

 The corporation has had a series of share issues raising its capital to Rs120crores. The net

worth of the corporation is Rs.28, 000crores.

 India¶s best managed company by Asia money magazine-1995 and 1996

 Most competitive Indian company by Euromoney-1997

 One of the 5 best Indian Boards by Business Today-1997

HDFC Group of Companies :-



SUBSIDIARY COMPANIES

HDFC Standard Life Insurance:-

HDFC Standard Life Insurance Company is a joint venture between India¶s largest housing

finance provider, HDFC, and the Europe¶s largest mutual life assurance Company, the Standard

Life Assurance Company (U.K).

c
  
  


HDFC promoted a wholly owned subsidiary company; HDFC Developers Limited, to undertake

housing projects on a selected basis in various regions of the country. HDFC Developers Limited

has also undertaken a number of projects for the office premises of the corporation. It is also

being engages as a consultant to a number of residential and commercial projects.

c
    


HDFC promoted a wholly owned subsidiary company; HDFC Investments Limited (HIL), to

undertake investments in stocks, shares, debentures, and other securities. The Reserve Bank of

India under the category of investment Company has registered HIL as a Non- Banking

Insurance Company (NBFC). HIL was set-up with an intention of being the investment arm of

HDFC.

 c
  


 c
c

 


 c
  
 



 c
÷  
 


 c

 


HDFC has broadened its service range by entering into strategic associations with some of the

best organizations, both Indian and international, which include:

HDFC Bank Limited: Initially promoted in strategic alliance with Nat West Group, U.K. With

Nat West diverting it¶s holding. HDFC Bank has signed a MoU for strategic business
collaboration with The Chase Manhattan Bank. Chase Capital Partners through their

various investment funds in India have acquired 15% stake in HDFC Bank.

The Housing Development Finance Corporation and HDFC BANK have promoted HDFC

SECURITIES LIMITED. HDFC Securities has already acquired BSE and NSE membership.

Infrastructure Leasing and Financial Services Limited: Co ± promoted jointly with the Unit Trust

of India and Central Bank of India.

Mission

"to provide superior, proactive banking services to niche markets globally, while
providing cost-effective, responsive services to others in our role as a development
bank, and in so doing, meet the requirements of our stakeholders".



]

 London based Euro-money gave HDFC Bank the award for   in 1999,
    in 2000, and   in 2002.

 Hong Kong based Finance Asia magazine rated HDFC Bank     

+ in 1999, 2000 & 2001 respectively and   
 in 2000.

 Asia money magazine has named HDFC Bank   

 in 2002.

 The Economic Times has conferred ÷ $  ÷! for Corporate Excellence
Year for 2000-2001.
 Outlook money awarded  '   .

 Business Today awarded it as ,  % in 2003.

 Business Today gives the ,  in 2003.

 Economictimes.com and Nasscom call it as   - 2003.

Finance Asia awards Best Local Bank ± India in the year 2004

c 
 Profits after tax up by 30.6% to Rs. 665.6 crores.

 Earning per share increased from Rs. 17.95 to Rs. 22.92.

 Dividend per share increased from Rs. 3.50 to Rs. 4.50.

 Branch network up from 312 to 467 outlets.

 ATM network up from 910 to 1147.

 Phone banking coverage from 99 cities to 120 cities.

 Point of Sale (POS) terminals at merchant outlets up from 26,400 to 41,685 terminals.

 Geographic reach expanded from 163 to 185 cities.

 Balance sheet size up from Rs. 42,307 crores to Rs. 51,429 crores.

 Saving deposits up from Rs. 7,804 crores to Rs. 11,418 crores.

 Retail assets up by 35.4% to Rs. 9,918 crores.

 Advances up from Rs. 17,745 crores to Rs. 25,566 crores.




  


 Mr. Jagdish Kapoor (Chairman)

 Mr. Aditya Puri (managing Director)

 Mr. Keki Mistry

 Dr. (Mrs.) Amla Samanta

 Mr. Anil Ahuja

 Dr. Venkat Rao Gadwal

 Mr. Vineet Jain

 Mrs. Renu Karnad

 Mr. Arvind Pande

 Mr. Anjan Kapoor

 Mr. Bobby Parikh

 Mr. Ashim Samanta

*^ 
 
   
 Mr. Sanjay Dongre




 M/s P. C. Hansotia & Co. (Chartered Accountants)






^÷*÷

Banking should be effortless. With HDFC Bank, the efforts are rewarding. No matter
what a customer's need and occupational status, we have a range of solutions that are second to
none. Whether you're employed in a company and need a simple Savings account or run your
own business and require a robust banking partner, HDFC Bank not only has the perfect solution
for you, but also can recommend products that can augment your planning for the future
TODAY

*÷

÷hese accounts are primarily meant to inculcate a sense of saving for the future,
accumulating funds over a period of time. Whatever your occupation, we are confident
that you will find the perfect banking solution. Open an account in your name or register
for one jointly with a family member today.

Regular alary
avings Plus Classic
No Frills Payroll
Retail Trust Regular
Kids Advantage Premium
Pension avings Defence
Family avings Reimbursement

÷÷

Now, with an HDFC Bank Current Account, experience the freedom of multi-city banking! You
can have the power of multi-location access to your account from any of our 535 branches in 228
cities. Not only that, you can do most of your banking transactions from the comfort of your
office or home without stepping out. We make it our business to help you with your business by
offering you a Current Account with all the benefits you need to stay ahead of your
competitionAt HDFC Bank, we understand that running a business requires time and money,
also that your business needs are constantly evolving. That's where we come in. We provide you
with a choice of Current Account options to exclusively suit your business - whatever the size or
scope.
Open an HDFC Bank Current Account & control your business operations centrally

Plus Trade Premium

 Regular RFC Domestic

  ^÷

Vong-term investments form the chunk of everybody's future plans. An alternative to
simply applying for loans, fixed deposits allow you to borrow from your own funds for a
limited period, thus fulfilling your needs as well as keeping your savings secure

Regular Fixed Deposit uperaver  eep-In

5 Year Tax aving Fixed Deposit

LOANS:





Personal Loans
Home Loans

T o Wheeler Loans

Ne Car Loans

Used Car Loans

Overdraft Against Car

Express Loans

Gold Loan

Loan Against ecurities

Loan Against Property

Commercial Vehicle Finance

 Vehicle Working Capital Finance

Construction Equipment Fin




÷÷÷

When a customer open a fixed deposit with HDFC Bank. The interest is calculated on a quarterly

basis for deposits of 6 months and above. For those deposits with tenure of below 6 months,

customer interest is calculated at maturity as Simple Interest. The period of Fixed Deposit is

calculated in number of days .Interest for re-investment is calculated every quarter, and the

Principal is increased to include interest earned during the previous quarter..


 Interest rates are subject to change from time to time. Applicable interest rates will be

announced as on the date of receipt of the funds by the bank.

÷÷ ^÷

Interest Rate **Senior Citizen

Period Amount Effective From
(per annum) Rates (per annum)
 Below Rs.15
7 - 14 days 3.00% 3.50% March 3, 2007
Lacs

Below Rs.15
15 - 29 days 5.50% 6.00% March 3, 2007
Lacs

Below Rs.15
30 - 45 days 5.50% 6.00% March 3, 2007
Lacs

Below Rs.15
46 - 60 days 5.50% 6.00% March 3, 2007
Lacs

Below Rs.15
61 - 90 days 5.50% 6.00% March 3, 2007
Lacs

Below Rs.15
91 - 99 days 6.00% 6.50% March 3, 2007
Lacs

Below Rs.15
100 - 101 days 7.50% 8.00% March 3, 2007
Lacs

Below Rs.15
102 - 180 days 6.00% 6.50% March 3, 2007
Lacs

6 months 1 day - Below Rs.15

6.75% 7.25% March 3, 2007
6 months 14 days Lacs

6 months 15 days
Below Rs.15
- 6 months 16 8.00% 8.50% March 3, 2007
Lacs
days

6 months 17 days Below Rs.15

6.75% 7.25% March 3, 2007
- 1 year Lacs

1 year 1 day - 1 Below Rs.15

8.00% 8.50% March 12, 2007
year 14 days Lacs

1 year 15 days - 1 Below Rs.15

9.00% 9.50% March 12, 2007
year 16 days Lacs

1 year 17 days - 2 Below Rs.15

8.00% 8.50% March 12, 2007
years Lacs

2 years 1 day - 2 Below Rs.15

8.25% 8.75% March 12, 2007
years 14 days Lacs

2 years 15 days - Below Rs.15

9.50% 10.00% March 12, 2007
2 years 16 days Lacs
2 years 17 days - Below Rs.15
8.25% 8.75% March 12, 2007
3 years Lacs

3 years 1 day - 5 Below Rs.15

8.25% 8.75% March 12, 2007
years Lacs

5 years 1 day - 8 Below Rs.15

8.25% 8.75% March 12, 2007
years Lacs

Õ Interest rates are subject to change from time to time. Applicable interest rates will be
given as on the date of receipt of the funds by the bank.
Õ Only Senior Citizens / Retired Personnel (60 years and above) who are Resident Indians
are eligible. The special rates are applicable only for INR deposits.
Õ The FD rate applicable for a monthly interest option will be a discounted rate over the
standard FD Rate. Please contact the nearest Branch for further information.
Õ For interest rates on Fixed Deposits for Rs. 15 Lacs and above, please contact your
nearest HDFC Bank branch.
Õ Effective 01st Dec'06, the interest rate applicable for premature closure of deposits will
be lower of :
 The original rate at which the deposit has been booked OR
 The base rate applicable for the tenure for which the deposit has been in force with the
Bank.
Detail of both the Bank HDFC Bank Ltd. Bank Of India

Minimum balance required Rs.5000 1000

for saving account
Time period for the 90 Days 90 Days
maintainence
Panality for non Rs. 750 Rs.
maintainence
Anyn other services Sweep in
provided by the bank
Payment charges Rs. 50 per instruction

Co
m
pa
rat
iv
e
St
udy
Now when we have understood the product of HDFC BANK LTD and BANK OF INDIA. In
this table we will make comparison of both banks.
Statement through fax Free in all Free So

Cheque book charges 1. firstr Cheque book Rs. 50 on

free there after Rs.2
per leaf the
2. All local Cheque are
free basi
Cash withdrawal at not base Up to fifty thousand free for
branch all self Cheque there after s of
charges of 2.9/1000 in all
cases. com
ATM Facility Good Average
pari
Phone banking Yes Yes
son
Net banking Yes Yes
of
Loan Facility Very good Average
BA
Customer relations Very good Average
NK
Waiting Time Less More
OF

INDIA as a representative of national bank & HDFC representative of private bank