CONSUMER AWARENESS & PERCEPTION TOWARDS HOME LOAN

A
Research Report
On
“CONSUMER AWARENESS & PERCEPTION
TOWARDS HOME LOAN”
Submitted For Partial Fulfillment Of Requirement For The
Award Of Degree
Of
Master of Business Administration
Of
GUJARAT UNIVERSITY
AHMEDABAD
Session 2015-17
Supervision By: Submitted
by:
Dr. jay desai Bhavesh Patel
Professor Roll No.11532
B.K School Of Business Management MBA 4

B. K. School of Business Management
Gujarat University
Ahmedabad
CERTIFICATE
This is to certify that Bhavesh Patel students of Full Time MBA (2015-17 batch) at B. K.
School of Business Management, Gujarat University, Ahmedabad have prepared a
Project Study Report on “CONSUMER AWARENESS & PERCEPTION
TOWARDS HOME LOAN” in partial fulfillment of two years full-time MBA
Programme of Gujarat University. This project work has been undertaken under the
guidance of ‘Dr. Prateek Kanchan’, core faculty at
B. K. School of Business Management, Gujarat University, Ahmedabad.
This is also to ascertain that this project has been prepared only for the award of MBA
degree and has not been submitted for any other purpose.
Director
DATE:4-05-2017
PLACE: Ahmedabad
DR. PRATEEK KANCHAN
Director, BKSBM

DECLARATION
I the undersigned solemnly declare that the report of the project work entitled “Consumer
Awareness & perception towards Home Loan”, is based my own work carried out during
the course of my study under the supervision of Prof. jay Desai
I assert that the statements made and conclusions drawn are an outcome of the project work.
I further declare that to the best of my knowledge and belief that the project report does not
contain any part of any work which has been submitted for the award of any other
degree/diploma/certificate in this University or any other University.
__________________
Bhavesh Patel
11532
Enrolment no -201512700059

CERTIFICATE BY GUIDE
This to certify that the report of the project submitted is the outcome of the project work entitled
“Consumer Awareness & perception towards Home Loan” carried out by Bhavesh Patel
bearing Roll No.:11532 & Enrollment No.: 201512700059 carried by under my guidance and
supervision for the award of Degree in Master of Business Administration of B.K School Of
Business Management, Ahmedabad, Gujarat, India.
To the best of the my knowledge the report
i) Embodies the work of the candidate him/herself,
ii) Has duly been completed,
iii) Fulfills the requirement of the ordinance relating to the MBA degree of the University
and
iv) Is up to the desired standard for the purpose of which is submitted.
_______________________
(Signature of the Guide)
Prof. Jay Desai
B.K SCHOOL OF BUSINESS MANAGEMENT
Gujarat University, Navrangpura, Ahmedabad,
Gujarat 380009
The research report as mentioned above is hereby being recommended and forwarded for
examination and evaluation.
.

CERTIFICATE BY THE EXAMINERS
This is to certify that the project entitled
“Consumer awareness & perception towards Home Loan”
Submitted by
Bhavesh Patel Roll No.:11532 Enrollments No.: 201512700059
Has been examined by the undersigned as a part of the examination for the award of Master of
Business Administration degree of B.K SCHOOL OF BUSINESS MANAGEMENT Gujarat
University, Navrangpura, Ahmedabad,
________________ __________________
________________ __________________
Name & Signature of Name & Signature of
Internal Examiner External Examiner
Date: Date:
Forwarded by
Director
B.K SCHOOL OF BUSINESS MANAGEMENT

ACKNOWLEDGEMENT
The success and final outcome of this project required a lot of guidance and assistance from
many people and I am extremely fortunate to have got this all along the completion of my
project work. Whatever I have done is only due to such guidance and assistance and I would not
forget to thank them.
I respect and thank Prof. Jay Desai, for giving me an opportunity to do the project work in
Consumer awareness & perception towards home loan and providing us all support and
guidance which made me complete the project on time. I am extremely grateful to her for
providing such a nice support and guidance though she had busy schedule.
I heartily thank our Final project guide, Dr Pratik kanchan, Director of B.K SCHOOL OF
BUSINESS MANAGEMENT, for his guidance and suggestions during this project work.
I am extremely thankful to all those persons who have positively helped me and customers who
respond my questionnaire, around whom the whole project cycle revolves.
.

EXECUTIVE SUMMARY
This report presents the research, findings and recommendations resulting from the project,
“Consumer awareness & perception towards Home Loan”, supported by Prof. Jay desai and
authored by the Director. The objective was to compile and synthesize information on the status
of Consumer perception. In so doing, it lays the foundation for the development of bank
resources management decision support system that will facilitate scientifically sound decision
making.
The involvement in this project reflects its long-term interest in Consumer perception towards
Home Loan management activities consistent with its mandate to “promote the orderly,
integrated and comprehensive development, use and conservation of the loan.
This report has benefitted from the significant input and collaboration of numerous partners that
comprised a Project Management Team (PMT). The findings and recommendations of this
report address data and information gaps and needs, and provide valuable information for
guiding the next steps in the process of developing a decision support system. This report, and
the project’s many associated components, provides a wealth of information about the bank
resources and associated policies.

Index
Chapter Particular Page No
1
1.1 Introduction 1
1.2 Objectives 7
1.3 Scope and limitations of the study & scope Of the study 8
1.4 Review of literature 8
2 Product Profile 10
3 Research and Methodology 12
3.1 Research design 12
3.2 Data collection method 14
3.3 Measurement and scaling 14
4 Data Interpretation 15
5 Findings 38
6 Suggestions 39
7 Conclusion 40
Bibliography
Annexure
Attachment

- 1 - B.K SCHOOL OF BUSINESS MANAGEMENT| BKSBM2015-17
1.1 Introduction
Over the last few decades the role of loan sector has undergone a paradigm shift. It is
widely recognized as an important aspect of the source of loan for the people and considered
it as a short and long-term investment.
After zeroing down on my research area, I have collected information through only
primary. I had a constant discussion with consumer.
The objective of this report is to study “Customer Perception and Attitude towards home
loan”. For this survey was conducted through structured Questionnaire.
In today’s competitive business world every customer is significant for the lending
home loan. The customer expectations are very high so it should be kept in mind and offer
them best possible service.
The report deal with the conceptual background of home loan and over view of the
banks, the next part deals with research design of the study that is problem identification,
objectives and how the research was carried out. The outcome of the study shows that the
level of customer awareness towards Home Loan is good with the benefits and service what
they are giving and most of the people wants to go for investments.
Banks can start some good promotional activities to build its brand and to make
recognition by all the peoples in the market .The effective marketing channel with the
personal selling is an essential factor in influencing banks growth.
INDUSTRY PROFILE
The importance of financial institutions in the modern economy cannot be neglected. They
occupy a very important place in the field of commerce and industry of any country. They
are so important that modern business is certainly impossible without them and number
country can achieve commercial and industrial progress in the absence of sound financial
system.
These financial sectors have different products at different rates. The growing competition
between the financial institutions had made each of them to delight their customer rather than
satisfying them. The emergence of new generation private financial institutions has made the
entire financial sector tougher and much more competitive. They provide various services to
the customer to overcome the competition. Some of the major players in the sectors are:

1. CitiFinancial
2. ICICI bank
3. HDFC bank
4. PNB
5. SBI and many more…
Financial institutions and their services offered:
ICICI bank:
ICICI Bank offers wide variety of Loans
Products to suit the customer requirements.
Coupled with convenience of networks
branches/ATMs and facility of E-channels like Internet and Mobile Banking.
Home loan:
 Attractive interest rates
 Door-step service from enquiry stage till final disbursement
 Can transfer the customer existing high-interest rate loan
 Free personal accidental insurance
 Special 100percentage funding for select properties
HDFC Bank:
Home loan:
Anew home brings with it new hopes, joys and emotions. At HDFC, we have shared new
hopes, joys and emotions with over 26 Lakh customers. Every customer has a specific and
unique concern. Having earned an experience of 27 years in home loans, our home loan
product is customized to provide the customer solutions for the customer’s unique concern.
Features:
 Maximum loan 85percentage of the cost of the property (including the cost of the
land) and based on the repayment capacity of the customer. Maximum Term 20 years
subject to the customer’s retirement age.
 Applicant and Co- Applicant to the loan Home Loans can be applied for either
individually or jointly. Proposed owners of the property will have to be co-
applicants. However, the co-applicants need number be co-owners.

B.K SCHOOL OF BUSINESS MANAGEMENT| BKSBM2015-17 Page - 3 -
 Adjustable Rate Home Loan under Adjustable Rate is linked to HDFC's Retail Prime
Lending Rate (RPLR). The rate on the customer’s loan will be revised every three
months from the date of first disbursement, if there is a change in RPLR, the interest
rate on the customer’s loan may change. However, the EMI on the home loan
disbursed will not change*. If the interest rate increases, the interest component in an
EMI will increase and the principal component will reduce resulting in an extension
of term of the loan, and vice versa when the interest rate decreases.
 Fixed Rate without money market conditions- Rate of interest will not change. with
money market conditions- Rate of interest will not change due to money market
conditions for two years from the date of first disbursement of the loan.
Purchase of:-
 Flat, row house, bungalow from developers
 Existing freehold properties
 Properties in an existing or proposed co-operative housing society or apartment
owner's association
 First Power of Attorney purchases in Delhi for DDA flats allotted before 1992.
Self Construction
Features
 Purpose
 External repairs
 Tiling and flooring
 Internal and external painting
 Plumbing and electrical work
 Waterproofing and roofing
 Grills and aluminum windows
 Waterproofing on terrace
 Construction of underground/overhead water tank
 Paving of compound wall (with stone/tile/etc.)
 Existing Customer 100percentage of the cost of improvement
 New Customer 5percentage of the cost of improvement
Adjustable Rate Home Loan
Loan under Adjustable Rate is linked to HDFC's Retail Prime Lending Rate (RPLR). The rate
on the customer’s loan will be revised every three months from the date of first disbursement,
if there is a change in RPLR, the interest rate on the customer’s loan may change. However,
the EMI on the home loan disbursed will not change*. If the interest rate the interest
component in an EMI will increase and the principal component will reduce resulting in an
extension of term of the loan, and vice versa when the interest rate decreases.

Fixed Rate
With money market conditions- Rate of interest will not change due to money market
conditions for two years from the date of first disbursement of the loan*.
State Bank of India (SBI):
HOUSING LOAN:
Home is where the heart is! At SBI, we understand this better than most – the toil and sweat
that goes into building/ buying a house and the subsequent pride and joy of owning one. This
is why our Housing loan schemes are designed to make it simple for the customer to make a
choice at least as far as financing goes!
Unique features:
 Number cap on maximum loan amount for purchase/ construction of house/ flat
 Option to club income of the customer’s spouse and children to compute eligible loan
amount.
 Provision to club expected rent accruals from property proposed to compute eligible
loan amount
 Provision to finance cost of furnishing and consumer durables as part of project cost
 Repayment permitted up to 70 years of age
 Optional Group Insurance from SBI Life at confessional premium (Upfront premium
financed as part of project cost)
 Interest applied on daily diminishing balance basis
 Plus’ schemes which offer attractive packages with confessionals interest rates,
margins and processing fee to Govt. Employees, Teachers, Scientists, Employees in
Oil sector, Journalists (in select cities) etc.
 Special scheme to grant loans to finance Earnest Money Deposits to be paid to Urban
Development Authority/ Housing Board, etc. in respect of allotment of sites/ house/
flat
 Option for E-banking
Need for the study:
Assets are insured; because they are likely to be destroyed through accidental occurrences
such possible occurrences are called perils. Fire floods breakdowns, lighting, and earth
quakes etc. If such perils can cause damage to the asset the asset is exposed to that risk.

The risk only means that there is a possibility of loss or damage. The damage may or may not
happen. Insurance is done against the contingency that it may happen. There has to be an
uncertainty about the risk. Insurance is relevant only if there are uncertain. In the case of a
person who is terminally ill the time of death is not uncertain though not exactly known.
Insurance does not protect the asset. It does not prevent its loss due to the peril .The peril can
sometimes be avoided, through better safety and damage control management. Insurance only
tries to reduce the impact of the risk on the owner of the asset and those who depend on that
asset.
It only compensates the loose and that too, not fully. Only economic consequences can be
insured. If the loss is not financial insurance may not be possible.
Panjab national Bank
Home Loan
"to position pnb as the `most preferred bank` for customers, the `best place to work in` for
employees and a `benchmark of excellence` for the industry"
punjab national bank, india’s first swadeshi bank, commenced its operations on april 12, 1895
from lahore, with an authorised capital of rs 2 lac and working capital of rs 20,000. the far-
sighted visionaries and patriots like lala lajpat rai, mr. e c jessawala, babu kali prasono roy,
lala harkishan lal and sardar dyal singh majithia displayed courage in giving expression to the
spirit of nationalism by establishing the first bank purely managed by the indians with indian
capital.
TATA Capital
Tata Capital Limited was established in 2007 with the
sole aim of providing focused and transparent
financial solutions to help people realize their dreams. Being a subsidiary of the legendary
Tata Sons Limited, we strive hard to make this happen.
Our pursuit gave birth to Tata Capital Financial Services Limited, a one-stop financial service
provider that caters to the diverse needs of retail, corporate and institutional customers across
businesses.
Registered with the Reserve Bank of India as a Systemically Important Non Deposit
Accepting Non Banking Financial Company (NBFC), the company operates across various
areas of business namely the Commercial Finance, Infrastructure Finance, Wealth
Management, Consumer Loans and distribution and marketing of Tata Cards.
Today, Tata Capital Financial Services Limited is 100 branches old and counting.

The Tata Capital Advantage
 Attractive home loan interest rates
 Competitive interest rates on home loans for you so that you can buy your dream
home with lowest possible EMI
 Flexi EMIs with Higher Home Loan Eligibility
 Our Flexi EMIs with higher Home Loan eligibility makes your dream of buying a
house that meets your current and future needs come true. Step Up and Bullet
repayment for Home Loan EMIs.
 Faster processing & doorstep service
 Get an in-principle conditional online pre-approval with minimum documentation for
your Home Loan. Our executives will visit your residence and complete the KYC and
other documentation process.
 Approved Projects
 You can choose from our list of Approved Projects online and get a feel of your
dream home before applying for a housing loan with us
 Multiple repayment options on your Home Loan
 Step Up Flexi Home Loan EMI plan
 This plan allows you to increase your fixed monthly EMIs every year to match the
increase in your annual income. This gradual annual increase helps you repay your
home loan without taxing you financially.

1.2 OBJECTIVES
PRIMARY OBJECTIVE:
1) Analyzing the customer’s PERCEPTION on home loans offered by banks.
2) To understand consumer AWARENESS towards Home Loan
3) To understand SATISFACTION LEVEL after using Financial services(Home
Loan)
SECONDARY OBJECTIVES:
1) To find out various types of loan availed by customers in market.
2) To identify various branches of banks from where customer have availed loans.
3) To evaluate the turnaround time for customer in availing their loans from banks.
4) To identify whether any procedure problem were faced by the customer in availing
the loan.
5) To find out the preferred mode of repayment of customer with regarding their loans
availed from banks.
6) To find out the most attractive features that attracted the clients to avail loan from
banks.
7) To evaluate the customer satisfaction regarding various services offered at banks.

B.K SCHOOL OF BUSINESS MANAGEMENT| BKSBM2015-17 Page 8
1.3 SCOPE AND LIMITATIONS OF THE STUDY SCOPE OF
THE STUDY
The scope of the study is to analyze the satisfaction level of home loan customers in and
around India. The study gathers information about rating the effectiveness of bank services,
rating and ranking the different features and services offered by the bank.
Primary data was collected from the existing loan customers and also non existing
customers; secondary data was collected from book manuals, magazines and websites. The
study has come out with valuable suggestions on basis of concrete facts, which help to frame
its plan and strategies to increase satisfaction level of the loan customers.
LIMITATIONS OF THE STUDY
1) The study is limited to all over India.
2) Because of the limited time, research is conducted with only 80 customers.
3) The data collected from the customer are qualitative in nature i.e., views, perception,
satisfaction, opinion etc., may change from time to time.
4) The data collected are primary in nature. Hence there is chance for a biased of
misleading respondent from the customer.
5) On few occasions customer were reluctant to give information, because they were
busy.
1.4 REVIEW OF LITERATURE
The researcher has to refer few books and magazines to refer few books and review for
obtaining and understanding. The relationship in customers satisfaction and quality of
services. It was also useful for knowing the customer satisfaction versus quality of service
offered by the concern.
The ICFAI journal of Monetary Economics, Numberv’2004 it is studied that “greenwood and
Jovanovich (1990) in their study analyzed the role that financial institutions play in collecting
and analyzing information and use this information for utilizing funds by investing in such
projects that are high-risk while at the same time yield highest return.
The ICFAI Journal of Service Marketing Dec’2004 “It is important to note that whatever
financial products are put in the market, it can only be successful if customer has a need for
it. Thus the need to study customer behavior becomes paramount. This flows naturally from
the marketing concept that emphasis the idea of looking at the product from the consumer’s
point of view,”
In Indian Journal of Marketing, May’04 Marketing of Banking Services in the Globalize

Scenario – Emerging Challenges- By Dr. V. GOPALAKRISHNAN.
Banking services largely depends upon customer demands and their perceived performance.
In urban and metropolitan sectors customers are more knowledge and demand more facilities
than offered. They are looking for services that are cheaper, faster and qualitatively better”
The Marketing Management -By PHILIP KOTLER, which is one of the masterpieces in the
field of marketing, has given an excellent coverage in the various fields of marketing. The
author has very elaborately examine the various issues in designing the marketing strategies
for various companies, tactical marketing and also the hurdles that arises in the
administrative side of marketing which were all very much useful in analyzing the various
problems of this research study and finally in also putting forth various feasible
recommendation and suggestion for this research work. This book has also presented various
frameworks for analyzing certain recurrent problem in the field of marketing, which were
also effectively used in this research work.
The RESEARCH MARKETING, By McGauran L.L. gives more stress on the various
categories of information that should be collected for carrying out the preliminary
investigation for the various research studies. The author McGauran L.L. gives importance to
six categories of information that re to be used for preliminary investigation namely .
1) the product
2) the company, industry and competition
3) the market
4) the channel of distribution
5) the sales
6) the sales promotion policies.
Further this book also stresses on the pilot survey that should be conducted before starting the
original survey. Hence taking all this into account, a preliminary questionnaire was drafted
and it was tested among five customers. The flows found in the questionnaire were later
rectified after consulting few experts too in this field and finally the original questionnaire
was drafted.

2. PRODUCT PROFILE
The different services provided by Banks:
1. Home loan
Home Purchase Finance
Fund the customer’s dream home. Get the maximum loan up to a 95percentage of Agreement
Value + 100percentage of Stamp Duty. Loan up to Rs. 1 Crore*.
Home Loan Refinance with top-up
Free the customer’s money! Have the customer’s existing Home Loan bought over and enjoy
extra cash up to 80percentage of market value of the customer’s home. Loan up to Rs. 75 Lakh*.
Home Improvement Finance
If the customer is looking to renovate the customer’s home, get up to 95percentage of the cost
estimate (subject to 50percentage of market value). Get a loan up to Rs. 12 Lakhs*.
Home Extension Finance
Thinking of expanding the customer’s home? Get up to 95percentage of the cost estimate
(Subject to 60 percentage of market value). Get a loan up to Rs. 30 Lakhs*.
The features of Home Loans:
The advantages of dealing with banks, one of the largest financial conglomerates of the world
are plenty:
 Highest recognition of income in the industry
 Specially designed for businessmen
 Flexibility in procedural requirements
 Easy income and property documentation criteria
 Flexible property norms
 Approved plans are not mandatory
 Funding for Builder Flats
 Hassle-free and fast service

2. Home return:
The customer’s home is more than just four walls and a roof that provides shelter for the
customer and the customer’s family. It is also a valuable asset, which the customer can put to use
while continuing to occupy it. The banks Home Returns Plan offers the customer the opportunity
of getting a loan against the customer’s house/residential property for practically any purpose.
With our friendly, flexible and fast service, it is simply the best way to free the wealth locked up
in the customer’s property.
"Home Returns now brings the customer Mortgage Loans for Education. This zero hassle loan
helps the customer fund the customer’s children's higher studies. Want to know how the
customer’s children can follow their dreams”
Unmatched benefits of Banks Home Returns:
The advantage of dealing with banks one of the largest financial conglomerates of the world, is
plenty?
 Amount of loan from Rs. 2 Lakh to Rs. 1 Crore*.
 Loans against rented, vacant and self-occupied residential properties. Loan up to 60
percentage of the market value of the customer’s residential property. Term of loan up to
a period of 15 years.
 Flexible income criteria. Special schemes for businessmen.
 Easy income and property documentation criteria.
 Repayment on Equated Monthly Installments (EMIs) basis.
 Loans can also be availed on property belonging to the customer’s family members.
3. Mortgages loan for education:
If money is what is standing between the customer and a world-class education, worry not! Now
banks help the customer to fund the customer’s education by giving the customer a loan against
the customer’s home. So if the customer wants to pursue the customer’s studies in India or
overseas, the customer can do so now without any financial worries.

3. RESEARCH METHODOLOGY
3.1 RESEARCH DESIGN
The formidable problem that follows the task of defining the research problem is the preparation
of the design of the research project, popularly known as “Research Design”. Research design is
a plan, structure and strategy of investigation conceived to obtain answers to research questions
and to control variance.
A research design can be defined as “Arrangement of condition for collection and analysis of
data in the manner that aims to combine relevance to the research purpose with economy in
procedure.” It consists of the blue print for the collection measurement and analysis of data. The
research used here is descriptive research
DESCRIPTIVE RESEARCH
The researcher is interested in knowing the proportion of people in a given population who has
behaved in a particular manner, making projections of certain thing and determining the
relationship between two or more variables in some areas. As the set up has been well structured
and is a rigid one, which could not be changed by giving sufficient thought in frail-ling question,
deciding type of data to be collected and procedure that has been used gives the, proof of using
description research. In descriptive research also there has been use of cross sectional studies
just because the researcher has taken only a sample of elements from the given population. In the
cross sectional study the survey research has been selected, as a detailed study has to be obtained
from a sample of large population.
3.2 DATA COLLECTION METHOD
The data that is used in study in collected by two methods.
1. Primary data
2. Secondary data
Primary Data
The primary data does not exist already in records and publications. The researcher has to gather
primary data a fresh for a specific survey. The primary data can be gathered by way of
observation method where the research mix with the people concerned with the use of particular
product and not important clauses by observing the respondents. The second method of
collection of primary data is by way of experimentation method where some variables are
allowed to vary under a controlled environment and its cause and effect relationship is studied.
The third method of collection of data is by way of conducting a survey. This method is used for

collection of primary data. The primary data was collected from customers in India city. For this
research study, data was collected from various account holders of the CitiFinancial. Data
collection was carried out using personal interview method guided by questionnaire as follows:
 Open-ended questions
 Closed ended questions
 Dichotomous questions
 Multiple-choice questions
 Ranking questions
 Rating questions
SECONDARY DATA
It is needed for conducting this research work collected from the various business magazines,
bank brouchers, statistical and management book, market research books etc. which are
presented in the literature various in details
SAMPLING DESIGN
The precision and accuracy of survey results are affected by the manner in which the sample has
been chosen. The first thing for a sample plan is definition of the population to be investigated.
Defining the population is often one of the most difficult things to do in sampling. Although
ideal conditions might indicate threat the census would be preferable, such ideal conditions
rarely exist in the real world. A census is not feasible practically, therefore sample is used.
Two of major advantages of using a sample rather than a census are speed and timeliness. A
survey based on sample takes much less time to compete than based on census. In this particular
research study sample survey is done. Sample design is the most important heart of sample
planning. Sample design includes type of sample to use and the appropriate sampling unit.
3.3 Measurement and Scaling
Likert scale has been used in this study to acquire the degree of agreement and disagreement
from the respondent about a particular category of decision that he makes while seeking loan.
This scale has been calibrated on the range of 1 to 5 where 1 indicates strong agreeability and 5
denotes strong disagreeability with a certain category of decision.

Entire questionnaire of 25 questions uses the same scale to acquire data. And 17 question’s are
from Likert scale The advantage of using Likert scale in this study is that it is very easy to
construct and administer. Another important advantage is the convenience for respondents to
understand the procedure to respond to the questions. Likert scale has a drawback that each
question is formed by 1 or 2 sentences. But in this study the customers won’t mind listening
these 1 - 2 sentences to rate a category of decision which expresses their agreeability or
disagreeability for an issue while seeking loan.
Quantitative Methods
A sample design is a definite plan for obtaining a sample from a given population. It refers to
the techniques or procedure the researcher would adopt in selecting item for the sample.
Sample design may as well lay down the number of items to be included in sample.
Types of Sampling Simple random sampling
Sampling unit City Level (SURAT)
Sample size 153
Research Design Descriptive
Types of data: Primary data
Secondary data
Sources of data Primary data collected through questionnaire, observation.
personal interview
Secondary data collected through websites,

143
10
Do you use Financial services ?
Yes
No
Q:1 Do you use financial services ?
No Particular Response Percentage Cumulative
Percentage
1 Yes 143 93.46% 93.46
2 No 10 6.53% 6.53
153 100 100
Interpretation:
The graphical representation of the table shows that out of the 153 Respondents,143 respondents
are use financial services. And 10 are not using any financial services. That shows a good
consumer awareness about financial services.

Q:2 Which kind of financial services do you use ?
Percentage
1 Banking Services 143 100%
2 Foreign exchange
services
3 2.09%
3 Investment services 10 6.99%
4 Insurance 110 76.92%
Interpretation:
The graphical representation of the table shows that out of the 143 Respondents shows opinion
about which financial services they would prefer most. so the most of the respondent use
banking services which is 100% out of 143 respondent 143 financial service user choose
banking services. 3 respondent use foreign exchange services . and 110 respondent choose
insurance services.
0
20
40
60
80
100
120
140
160
Banking Service Foreign exchange
service
Investment Services Insurance
total3
Total2
Total

Q:3 Do you ever took loan from bank or NBFC ?
Percentage
1 Yes 120 78.43% 93.46
2 No 23 21.56% 6.53
143 100 100
Interpretation:
The graphical representation of the table shows that out of the 143 Respondents,143 respondents
had took loan from NBFC Or bank that shows the consumers have good impression about loan
taking form the NBFC and Bank Loan.
120
23
Do you ever took loan from bank or NBFC ?
Yes
No

Q:4 (If Yes) for which purpose you had took loan ? (120 Respondent)
Percentage
1 Home Loan 70 58.33%
2 Vehicle Loan 90 75.00%
3 Education Loan 10 8.33%
4 Business Loan 30 25%
5 Personal Loan 20 16.6%
Interpretation:
The graphical representation of the table shows that out of the 120 respondent most of financial
service users use Home loan services and vehicle loan services . and after personal loan ,
business loan, and education loan. Around 75% respondents are use to take vehicle loan.
0
10
20
30
40
50
60
70
80
90
100
Home Loan Vehicle Loan Education
Loan
Business Loan Personal Loan
(120 Respondent)
(120 Respondent)

Q:5 Would you like to take Home Loan ?
Percentage
1 Yes 90 75.00% 93.46
2 No 30 25.00% 6.53
120 100 100
Interpretation:
The graphical representation of the table shows that out of the 120 respondent 75% Of respondents are
willing to take home loan form financial service providers. And 25% respondents don’t like to take home
loan from NBFC or Banks.
90
30
30
Would you like to take Home Loan ?
Yes
No

Q:6 From which financial institution you would like to get Home Loan ?
Percentage
1 Government Bank 120 100%
2 Private bank 50 41.66%
3 NBFC 40 33.33%
Interpretation:
The graphical representation of the table shows that out of the 120 respondent 100% response towards
form the government bank loan. 50 responses also willing to get loan from the Private Banks, and 40
response towards the NBFC.
0
20
40
60
80
100
120
Government Bank Private Bank NBFC
Percentage
Percentage

Q: 7 The Application from of home loan is easy to understand?
No Response
Rate
Response Percentage Cumulative percentage
1 1 10 12.5% 12.5
2 2 25 30.0% 42.5
3 3 31 37.5% 80.0
4 4 12 13.8% 93.8
5 5 6 6.3% 100
Total 120 100
Interpretation:.
From the 120 respondents nearly 12.5% responses generated shown strong agreeability, 30.0%
responses are generated agree,37.5% responses generated natural, 13.8% responses generated
disagree and remaining 6.3% indicate that the customers strongly disagree that application of
Home Loan easy to understand.
10
25
31
12
6
Response
1- Strongly Agree
2-Agree
3-Netural
4-Disagree
5-strongly Disagree

Q.8 The mortgage process has been explained thoroughly.
No Response
Rate
1 1 21 25% 12.5
2 2 30 36.3% 42.5
3 3 20 23.8% 80.0
4 4 9 10.0% 93.8
5 5 4 3.8% 100
Total 120 100
Interpretation:.
From the 120 respondents nearly 25% responses generated shown strong agreeability, 36.3%
responses are generated agree, 23.8% responses generated natural, 10% responses generated
disagree and remaining 3.8% indicate that the customers strongly disagree that mortgage process
explain thoroughly.
21
30
20
9
4
Response
1- Strongly Agree
2-Agree
3-Netural
4-Disagree
5-strongly Disagree

Q:10 You like to prefer EMI fixed by bank?
No Response
Rate
1 1 60 50% 50.0
2 2 26 31.3% 81.3
3 3 20 5.0% 86.3
4 4 4 7.5% 93.8
5 5 6 6.3% 100
Total 120 100
Interpretation:.
From the 120 respondents nearly 50% responses generated shown strong agreeability, 31.3%
responses are generated agree, 5.0% responses generated natural, 7.5% responses generated
disagree and remaining 6.3% indicate that the customers strongly disagree that EMI fixed by
bank is correct.
60
26
20
4
6
Response
1- Strongly Agree
2-Agree
3-Netural
4-Disagree
5-strongly Disagree

Q:11 How do you rate the service received?
No Response
Rate
1 1 32 26.3% 26.3
2 2 30 25.0% 51.3
3 3 35 28.8% 80.0
4 4 14 11.3% 91.3
5 5 9 8.8% 100
Total 120 100
Interpretation:.
From the 120 respondents nearly 26.3% responses generated shown strong agreeability, 25.0% responses
are generated agree, 28.3% responses generated natural, 11.3% responses generated disagree and
remaining 8.8% indicate that the customers strongly disagree that they service received.
32
30
35
14
9
Response
1- Strongly Agree
2-Agree
3-Netural
4-Disagree
5-strongly Disagree

Q:12 How do you rate the Interest rates charged by Bank?
No Response
Rate
1 1 34 28.8% 26.3
2 2 38 31.3% 51.3
3 3 35 16.3% 80.0
4 4 20 20.0% 91.3
5 5 5 3.8% 100
Total 120 100
Interpretation:.
disagree and remaining 3.8% indicate that the customers strongly disagree that interest charged
by bank is correct.
34
38
35
20
5
Response
1- Strongly Agree
2-Agree
3-Netural
4-Disagree
5-strongly Disagree

Q:13 Do you favor in Home Loan?
No Response
Rate
1 1 41 33.8% 26.3
2 2 49 41.3% 51.3
3 3 15 12.5% 80.0
4 4 11 8.8% 91.3
5 5 5 3.8% 100
Total 120 100
Interpretation:.
disagree and remaining 3.8% indicate that the customers strongly disagree that how much
people are in favor of home loan.
Response
1- Strongly Agree
2-Agree
3-Netural
4-Disagree
5-strongly Disagree

Q:14 How do you rate the Documentation Procedure of Bank?
No Response
Rate
1 1 21 17.5% 26.3
2 2 45 37.5% 51.3
3 3 33 27.5% 80.0
4 4 12 10.0% 91.3
5 5 9 7.5% 100
Total 120 100
Interpretation:
disagree and remaining 7.5% indicate that the customers strongly disagree that document
procedure is correct.
41
49
15
11
Response
1- Strongly Agree
2-Agree
3-Netural
4-Disagree

Q:15 How do you rate the Processing Fees of Bank?
No Response
Rate
1 1 6 7.5% 26.3
2 2 16 20.0% 51.3
3 3 27 32.5% 80.0
4 4 26 31.3% 91.3
5 5 7 8.8% 100
Total 120 100
Interpretation
disagree and remaining 8.8% indicate that the customers strongly disagree that processing fees
is true.
6
16
27
26
7
Response
1- Strongly Agree
2-Agree
3-Netural
4-Disagree
5-strongly Disagree

Q:16 How do you rate the Sanctioning Procedure of Bank?
No Response
Rate
1 1 3 3.8% 26.3
2 2 13 15.0% 51.3
3 3 19 22.5% 80.0
4 4 24 28.8% 91.3
5 5 25 30.0% 100
Total 120 100
Interpretation
disagree and remaining 30.0% indicate that the customers strongly disagree about sanctioning
time.
3
13
19
24
Response
1- Strongly Agree
2-Agree
3-Netural
4-Disagree

Q:17 How do you rate the Sanctioning Time of Bank?
No Response
Rate
1 1 8 8.8% 26.3
2 2 9 7.5% 51.3
3 3 26 31.3 80.0
4 4 16 18.8% 91.3
5 5 28 33.3% 100
Total 120 100
Interpretation
disagree and remaining 33.8% indicate that the customers strongly disagree about Fore Closure
Charges.
8
9
26
16
28
Response
1- Strongly Agree
2-Agree
3-Netural
4-Disagree
5-strongly Disagree

Q: 18 How do you rate the Fore Closure Charges of Bank?
No Response
Rate
1 1 16 18.8% 26.3
2 2 9 10.0% 51.3
3 3 22 26..3% 80.0
4 4 16 16.3% 91.3
5 5 24 28.8% 100
Total 120 100
Interpretation
disagree and remaining 28.8% indicate that the customers strongly disagree that should interest
charged by bank should be different on the basis of income level.
Response
1- Strongly Agree
2-Agree
3-Netural
4-Disagree
5-strongly Disagree

Q:19 How do you rate when loan sanctioning is going online?
No Response
Rate
Frequency Percentage Cumulative percentage
1 1 51 42.5% 26.3
2 2 14 11.3% 51.3
3 3 27 22.5% 80.0
4 4 8 6.3% 91.3
5 5 20 16.3% 100
Total 120 100
disagree and remaining 16.3% indicate that the customers strongly disagree that home loan is
going online.
Online
1- Strongly Agree
2-Agree
3-Netural
4-Disagree
5-strongly Disagree

Q: 20 Do you think the interest charged by bank should be different on the
basis of income level?
No Response
Rate
1 1 23 18.8% 26.3
2 2 12 10.0% 51.3
3 3 32 26.3% 80.0
4 4 20 16.3% 91.3
5 5 33 28.8% 100
Total 120 100
disagree and remaining 28.8% indicate that the customers strongly disagree that should interest
charged by bank should be different on the basis of income level.
INTRST AS INCOME LEVEL
1- Strongly Agree
2-Agree
3-Netural
4-Disagree
5-strongly Disagree

Q:21 Seize of asset facility by bank is the right step, in case of nonpayment of
EMI?
No Response
Rate
1 1 26 21.3% 26.3
2 2 32 26.3% 51.3
3 3 21 17.5% 80.0
4 4 17 13.8% 91.3
5 5 24 20.0% 100
Total 120 100
disagree and remaining 20.0% indicate that the customers strongly disagree that Seize of asset
facility by bank is the right step, in case of nonpayment of EMI is true.
SIZ WHL NNP EMI
1- Strongly Agree
2-Agree
3-Netural
4-Disagree
5-strongly Disagree

Q:22 Are you satisfy with facility provide by the bank?
No Response
Rate
1 1 18 15% 26.3
2 2 18 15.00% 51.3
3 3 27 22.5% 80.0
4 4 47 38.8% 91.3
5 5 10 8.8% 100
Total 120 100
disagree and remaining 8.8% indicate that the customers strongly disagree that they satisfy with
facility provide by the bank.
18
18
27
47
10
FACILITY PROVIDE BY BANK
1- Strongly Agree
2-Agree
3-Netural
4-Disagree
5-strongly Disagree

Q:23 Would you like to prefer public sectors bank for home Loan?
No Response
Rate
1 1 53 43.8% 26.3
2 2 28 23.8% 51.3
3 3 8 6.3% 80.0
4 4 21 17.5% 91.3
5 5 11 8.8% 100
Total 120 100
disagree and remaining 8.8% indicate that the customers strongly disagree that how much
people like to prefer public sectors bank for home Loan.
1- Strongly Agree
2-Agree
3-Netural
4-Disagree
5-strongly Disagree

Q:23 Would you like to prefer private sectors bank for home Loan?
No Response
Rate
1 1 38 32.5% 26.3
2 2 30 25.0% 51.3
3 3 11 8.8% 80.0
4 4 18 15.0% 91.3
5 5 23 18.8% 100
Total 120 100
disagree and remaining 18.8% indicate that the customers strongly disagree how much people
like to prefer public sectors bank for home Loan.
1- Strongly Agree
2-Agree
3-Netural
4-Disagree
5-strongly Disagree

FINDINGS & SUGGESTIONS
Among the various loans offered the research found that most of the customer availed home
loan whereas the takers for Mortgages and Housing loan are relatively less i.e. 58.33 percentages
have availed home loan. 75 percentages are auto loan and 16 percentages are of consumer
durable loan respectively. 4 percentages are of personal loan and 16 percentages are of mortgages
respectively. Hence it is recommended for the company to aggressively advertise these loan
facilities in both newspapers and television channels so that many people may be aware of the
same.
a. From the market research study it has been observed that 90% of the respondents
are aware of home loan
b. 62% of the respondents are aware of home loan through agent
c. It was founded that 75 % of the respondents are rate the service of home loan as
very good
d. 90% of the Existing Customers are Happy with the Benefits of home loan
e. In my research every customer wants to take loan from nationalized bank. But 23
percent response with go with private bank. And around 19 response go with
NBFC.
f. In research I found that the 78.43 percent customer had took loan from NBFC or
Private bank.
g. Most of the customer willing to take loan sanctioning through online.

 SUGGESTIONS
 The home loan company should concentrate heavily on attractive advertisements and
various Promotional Strategies like, giving Pamphlets, put the hoardings and banners at
important locations
 In Loan documentations procedure is very lengthy, and most of financial service
providers use traditional technique, so they have to use online documentation technology
 Most of the customers are satisfied with sanctioning loan time but financial service
providers reduce sanctioning time
 People should be educated by giving seminar in Business Conferences, installing stalls in
Business Exhibitions. And Company should conduct seminars in Educational Institutions
to provide information about company and its products
 Company has to create a sense of security among the customers. Because most of the
people fear about security

CONCLUSIONS
The results and findings of this research study exemplifies the fact that an in- depth market
research has been conducted and all research work has been conducted and all the objectives set
for the research work has been fully accomplished and the analysis is also performed to the
maximum extent possible.
An in-depth study has been made on the aspect that influences the banks to be the best private
financier. Customer satisfaction is the core element in the business. For customer satisfaction the
services have to be an edge over the other banks, which banks have achieved. Banks is aptly
targeted potential customers among the various levels of people in India. The banks overall
performance and services seems to be highly satisfied.
From the analysis it is found that some customers have faced some procedural problem, for
which the researcher has given some suggestions and recommendations.
Banks has got goodwill and reputation among the public and this can be used for promoting it
services. If new promotional activity and services introduced, it will help very much the
organization to increase the business.

BIBLIOGRAPHY
E-REFERENCES:
 https://onlineapply.sbi.co.in/personal-banking/home-loan
 https://www.m-icicibank.com/home-
loan/index.aspx?utm_source=google&utm_medium=search&utm_campaign=icicibank-r2-
rx_search_icici_hl_home-loan-generic-desktop-bmm&utm_content=home-loan-
eligibility&utm_term=%2Bhome%20%2Bloan%20eligibility%20icici&utm_info=r2-hl-sem-
icicibank-r2-rx_search_icici_hl_home-loan-generic-desktop-bmm-home-loan-eligibility-
%2Bhome%20%2Bloan%20eligibility%20icici&gclid=CjwKEAjwlpbIBRCx4eT8l9W26igSJAA
uQ_HG6eAv4CAJ85U0JU6aQPjX1mn_nPBVx5sP4NIVbhZgSBoCy6Hw_wcB
 https://www.sbi.co.in/portal/web/personal-banking/home-loans
 https://www.pnbindia.in/housing-loan.html
 https://www.tatacapital.com/home-loans/interest-rates.htm
 www.citifinancial.co.in
 https://home-loans.hdfc.com/home-loan/compare-interest-
rates.html?WT.mc_id=Metier_82287387~34285851~6696370.1&gclid=CjwKEAjwlpbIBRCx4e
T8l9W26igSJAAuQ_HGexagrg-XIuaf3b80DaDvKmVkW2VMSz5nPRkLuqrEzxoCT9jw_wcB
 https://www.bankbazaar.com/homeloan.html?variant=slide&variantOptions=mobileRequired&he
adline=HEADLINE_HL_Savings&WT.mc_id=bbcampaign_sem_HL|HL_Compare|HL-
CompareMainExact|comparehomeloan|c|Exact|H_Save|60346691119&gclid=Cj0KEQjwuZvIBR
D8Z6B2M2Sy68BEiQAtjYS3G5YuiQ9mffx--
_RzoE4G6BQxcngWbuJYslFbqnqgIaAgJK8P8HAQ
 https://www.bankbazaar.com/home-loan.html
BOOK REFERENCES:
 S.P GUPTA, Statistical Methods, New Delhi, Sultan Chand & Sons Publications,2002
 KOTLER PHILIP, Marketing Management, New Delhi, Prentice-Hall of India Pvt.Ltd.,1971
 C.R. Kothari, 1997, “Research Methodology, methods& techniques”, VishwaPrakashan. Davar
S.R “Law and practice of banking and its problems”, Progressive corporation Pvt. Ltd. Desai
Vasant, “Indian banking: nature and problems”, Himalaya publishing house, Bombay 1991.
JOURNAL REFERENCES:
 ICFAI, Journal of Service Marketing, December 2016
 ICFAI, Journal of Monetary Economics, November 2016
 Indian Journal of Marketing May 2004

Research Questionnaire For A Study On
“CONSUMER AWARENESS & PREFERENCE TOWARDS HOME LOAN”
THANK YOU IN ADVANCE
Thank You for your willingness to participate in this survey. We value your precious time and assure you
that this will not take more than 10 minutes of your time. Your responsiveness to the questionnaire are
highly valued and considered extremely vital for this research.
NAME : AGE :
Occupation: Contact No:________________________
1. Do you use financial services?
Yes No
2. Which kind of financial services do you use?
Banking services foreign exchange services
Investment services Insurance
3.Do you ever took loan from Bank or NBFC ?(If No directly go through Question no 5)
Yes No
4.(If Yes) for which purpose you had took loan ?
Home loan Vehicle loan
Education loan Personal loan
Business Loan
5.Would You like to take Home Loan ?
Yes No
6.From which financial Institution you would like to get Home loan ?
Government Bank Private Bank
NBFC
7. Reason to choose the financial institution. (Optional)
_____________________________________________________________________________________

Share your views by putting ✔a mark in the boxes against each question. To maintain confidentiality.
How satisfied are you, about Home Loan???
1- Strongly Agree, 2- Agree, 3-Neutral, 4- Disagree, 5-Strongly Disagree
Q.25 Give priority You refer First to Last ? (Optional)
. Other___________
Thank You
Sr.
No.
Particulars 1 2 3 4 5
7 The application form of Home Loan is easy to understand.
9 The mortgage process has been explained thoroughly.
10 You like to prefer EMI fixed by bank?
11 How do you rate the service received?
12 How do you rate the Interest rates charged by Bank?
13 Do you favor in Home Loan?
14 How do you rate the Documentation Procedure of Bank?
15 How do you rate the Processing Fees of Bank?
16 How do you rate the Sanctioning Procedure of Bank?
17 How do you rate the Sanctioning Time of Bank?
18 How do you rate the Fore Closure Charges of Bank?
19 How do you rate when loan sanctioning is going online?
20 Do you think the interest charged by bank should be different on the
basis of income level?
21 Seize of asset facility by bank is the right step, in case of nonpayment
of EMI?
22 Are you satisfy with facility provide by the bank?
23 Would you like to prefer public sectors bank for home Loan?
24 Would you like to prefer private sectors bank for home Loan?

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