Heskett, Sasser & Schlesinger (1997)

in their article, suggested that customers’

loyalty had a powerful impact on the performance of service firms
and serves as an important source of competitive advantage.
Clinton O. Longenecker, Joseph A. Scazzero, (2000)
16
in their article, indicated that a successful facility exhibited greater
attention to the human aspects of the quality process than the
unsuccessful facility. For example, a greater degree of management
support for TQM, communication and teamwork between managers
and workers, effective corrective action procedures and follow-up of
quality problems. While this study was limited in scope to two
operations within the same organization, lessons for the successful
implementation of service quality could
 A Field Project on
“Field Project
Title”

(CAPITAL LETTER WITH CENTER ALIGNMENT)

Submitted to
School of Commerce and Management
Yashwantrao Chavan Maharashtra Open
University, Nashik

In partial fulfilment for the

award of Master of
Commerce (M. Com-M117)
By: --------------------------------
PRN No: ---------------------------
Study Centre
Name: Study
Centre Code:

Under the Guidance of

Prof./Dr.

Year
 Declaration by the Learner
I hereby declare that the field project entitled
---------------------------------------------------

----------------------------- submitted by me for the Master of Commerce

programme of YCMOU, Nashhik is the record of work carried out by
me during the period from -------
to under the guidance of
and has not formed the basis for the award of any degree or diploma
in this or any other University. I further declare that the data obtained
from other sources has been duly acknowledged in this field project
report.

Date: Signature of the

Learner
Place:
 Certificate of the Field Project Guide

This is to certify that the work incorporated in the Field Project entitled
-------------------

Submitted by
of the Master of Commerce
programme of YCMOU, Nashik was carried out by the learner under my
supervision/ guidance.

Date: Research Supervisor/Guide

Place:

(Name and Signature)

CERTIFICATE OF THE STUDY CENTRE

This is to certify that the Field Project entitled

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submitted by Mr./Ms.
------------------------------------------ of the Master of Commerce
programme of YCMOU, Nashik was carried out by the learner as per
the University guidelines and two hard bound copies this field project
report has been submitted to our study Centre by the learner.

Signature of Study Centre CoordinatorSeal of the Study Centre

CERTIFICATE FROM THE COMPANY
(To be printed on company letter head)

This is to certify that Mr./Ms. RAKSHA MAHENDRA WALMIKI

(PRN ---------------------------------) FY (Semester –II) - M. Com (M117)
program of
YCMOU, Nashik registered with -------------------------------------------(Study
center Name and code) has successfully completed the field project
work entitled “------
“in our organization.
The involvement in this field project of the learner is highly appreciable.

We wish him/her all the best in his/her future endeavors.

Authorized Signature and stamp

 CHAPTER II
REVIEW OF LITERATURE
PART 1
INTRODUCTION
The Review of Literature is important steps in Research
Process to review the past work. It is systematic process to get
knowledge in detail related to former Research work and
Empirical Research Report. In Research process, the Review of
Literature is meant to address the identified issues, gain
knowledge and to find out research gap. Review of Literature
helps the Researcher to discover how Ideas, Thought and
Theories applicable to his/her present work. It is important to
note that the Review of Literature format may differ from study
to study and from one university to another. However, its
process is same in university.
In this chapter, the researcher as studied different
Literature related to Housing Loans & its services Offered by
Bank of Baroda

PART 2
THE DETAILED REVIEW OF LITERATURE RELATED
TO HOUSING LOAN OF BANK OF BARODA

1. Kishor bhoir (2000):

"Deals with the various aspects of non-performing assets
(NPA) in public sector banks," according to a study. The study
identified the primary factor that converts performing
advances into non-performing ones. The author suggests that
the public take corrective action.

sector institutions, and a compromise settlement is one way

to address the issue that the public sector banks face. The
author examined industrial disease from both the inside and
the outside. The researchers claim that non-performing assets
 (NPAs) have a variety of repercussions on how the Indian
banking system functions overall and that banks lose out on
additional investment opportunities. Additionally, the survey
highlighted various borrower groups

2. Balasubramaniam C.S. (2001):

highlighted that the level of NPAs is currently high with all banks,
and the banks would be expected to bring down their NPA. This
can be accomplished through their efforts to enhance the quality
of the assets on their balance sheets, as well as through efficient
internal control systems and sound credit appraisal practices.
Literature Research and Time Gaps There is a significant time
gap for the thorough investigation of the quality elements of
non-performing assets, although the various facets of the
literature on non-performing assets from researchers throughout
the years have been gathered and used for this study. The
majority of research and studies focus on the causes, effects,
and management facets of non-performing assets (NPAs).

3. V.K. Sudhakar (1998):

4. The Indian Banks Association, Mumbai, received a
dissertation from the Bank of Baroda titled "Policies and
Perspectives of NPA Reduction in Public Sector Banks"
between 1997 and 1998. This study tried to investigate the
policy-relate dissue.
and methods used in the field of reducing non-performing
assets. This survey also showed that while Public Sector
Banks' (PSBs') top management was aware of and
concerned about the extent of non-performing assets
(NPAs) in their institutions, perational
staffdidnotsharethissentiment. NPA decline as a result of
organizational objectives not being fully implemented. At
best, the majority of PSBs' systems and procedures fall
under the categories of conventional and crude.

5. Naidu and Nair (2003):

examined the technical effectiveness of commercial banks both
before and after the reform. They concluded that bank groups'
technical efficiency level had decreased during the previous
reform era, indicating increased competition between banks.
5. Report of the Fourth International Conference (2006): The
study focuses on Ethiopian commercial banks' non-performing
assets (NPAs). In every country's economic progress, banks are
crucial. A nation's banks are the primary engine of its economic
development. The provision for questionable loans is essentially
one of the main reasons why the bank's profitability is declining.
It also emphasizes how NPA is a two-edged sword that impacts
bank profitability because interest revenue is not recorded on
non-performing accounts and loan losses were once generated
from profits.
6. G.C. Goel (2008): To limit risk at the earliest stages of their
bearing capacity, Indian banks must manage their advances
portfolio. Alternate Dispute Resolution (ADR), which can involve
a fair arrangement for all parties involved without using illegal
means and pro-court bias, is what the author has turned to. The
articles have attempted to educate banks and customers on the
importance of immediately settling non-performing assets (NPA)
and other banking disputes in the best interests of both parties.
7. Naushad. M. Mujawar (2009): Due to the borrower's failure to
return the loan within the allotted time, lending has always been
linked to credit risk. Due to their inability to effectively manage
their non-performing assets (NPAs), some UCBs, primarily
involved in retail banking, have been subject to mergers and
stringent RBI action in recent years. If banks do not implement
improved credit monitoring procedures to stop additional NPA
slippage, the soaring bubble of non-performing assets (NPAs)
might damage their balance sheets. The issue of non-performing
assets (NPAs) has been attempted to be addressed in the case
study. Understanding the idea of non-performing assets (NPAs)
and asset classification is the study's goal.

8. Prasad and Veena (2011): NPA is a significant problem for

the Indian banking system. Public sector banks have a larger
NPA. The NPA should be reduced and managed to improve
banks' efficiency and profitability.
9. Pradhan (2012) discovered that the banks' increased PLR and
PLR-related loan costs were a result of the amount of non-
performing assets present. High-risk borrowers will be attracted
by this, potentially leading to a higher number of nonperforming
loans in the future. Large debtors are seen to be the most
common defaulters. Another major factor contributing to non-
performing assets (NPAs) is poor fund management. SBI, Bank of
India, Punjab National Bank, ICICI Bank, Andhra Bank, and Bank
of India are just a few of the six leading banks in Orissa state
that were the subject of the study.
10. Kumar (2013): A Comparative Study of NPA of Old Private
Sector Banks and Foreign Banks" was conducted. He discovered
that over the past few years, non-performing assets (NPAs) have
been a worry and annoyance for the Indian banking industry. The
accumulation of massive non-performing assets (NPAs) was one
of the main problems that negatively impacted commercial
banks' profitability in the late 1990s.
11. Selvarajan & Vadivalagan (2013): The rise of Indian banks'
lending to the priority sector is greater than that of all public
sector banks, according to a study on the management of non-
performing assets in priority. Indian Bank made mistakes in the
early years of the decade when it came to managing non-
performing assets. They proposed that banks must have
sufficient safeguards in place to establish pre-approval
responsibilities and an efficient post-disbursement oversight
system. To detect accounts that may become non-performing,
banks should keep a close eye on loans. Credit rating agencies
should frequently assess the financial health of their clients, and
each bank should have its independent credit rating agency that
assesses the borrower's financial capacity before granting a loan
facility.
12. Sankar Thappa (2007): has worked with the process of
securitization while lending and borrowing funds from banks and
other financial institutions. Globalization has led to a swift
transformation of the global financial system. As a result, the
debt, money, and capital markets are growing deeper and wider.
The five stages of asset securitization and the securitization
process were covered in the study. The author has also revealed
the future for securitization in India.
13. Henry James (2007): addresses issues with the growing
number of past-due loans in the banking sector, including those
from commercial banks and cooperative credit societies, as well
as other regulatory bodies, including the RBI, NABARD, and other
national policymakers. It also addressed the issue that a large
amount of past-due payments puts the bank in a difficult
situation when it comes to obtaining refinance facilities from
outside sources. Since the loan recovery tendency has been
becoming worse, the author has favored drought-prone locations
in his research. The real recovery was not as high as the need for
it.
14. Jain Vibha (2007) analyzed that the issue of non-performing
assets (NPAs) is a significant concern for the Indian banking
sector. The study was carried out to comprehend the movement
of NPA between 1997 and 2003. The primary cause of the issue
is an insufficient credit appraisal mechanism. Early detection can
mitigate the issue of bad loans to a certain degree, and bank
profitability is always correlated with alertness.
15. Dr Milind (2007): The paper's goal is to quantify the
productive efficiency of banks in emerging nations. The
measurement of efficiency in this paper is done using Data
Envelopment Analysis. According to the study, the average
efficiency score of Indian banks is in line with the global average,
and the efficiency of commercial banks in the private sector is,
ironically, lower than that of public and foreign banks in India. It
also sheds light on the current policy of lowering non-performing
assets.
16. Pankaj B. Trivedi (2000) explains the reasons and elements
that lead to decreased profitability as well as the effects of
inflation and price level fluctuations. It makes it very evident that
profitability and efficiency are correlated. To overcome the
negative impact, PSBs will need to implement the business
techniques that the author has attempted to recommend. To
increase PSBs' operational efficiency and profitability, the
research outlines the modifications that must be made to their
current structure and business policies. The author establishes a
correlation between profitability and efficiency. According to the
author, the RBI and Financial Restructuring Authority should
keep a close eye on the week bank. Public sector banks will be
able to become more profitable thanks to this reform.
17. Rajesh Chakrabharti and Gaurav Chawla (2004): To assess
the relative efficiency of Indian banks compared to foreign
banks, the authors proposed the increasingly used Data
Envelopment Analysis approach. According to the study's
findings, international banks have outperformed all other bank
groups in terms of efficiency on a value basis, with Indian private
banks coming in second. When it comes to quantitative
performance, private banks outperform the other bank groups.
According to the report, regulatory mechanisms can lead to poor
performance in areas such as poor product quality, which can
result in non-performing assets (NPAs), and performance and
profitability levels.
18. Uday S Bose (2005): Not much more needs to be said about
the rising NPA and its effects on the financial system. While
many programs have been implemented in the past to aid in the
recovery from non-performing assets (NPAs), their effectiveness
in reducing NPAs has been far from ideal. The SARFAESI Act is
very helpful to banks in their attempts to recover money from
non-performing assets. tries to give a preview of the Act in light
of this. In addition to citing specific Act limitations, the author
also included some information on the Supreme Court's historic
2004 ruling in the ordinance.
19.Abhinna Mohan Nanda (2006): Since no mortgage is
registered in the bank's favor in the Sub Registrar's office, the
fraudster obtained funds by establishing mortgages on
counterfeit title deeds to the property or properties and also
mortgages on nonexistent properties. In his essays, the author
proposed a well-balanced combination of registered and
equitable mortgages, with all the associated advantages of each
at a very small additional cost. The bank's charge under the
proposed method will be represented in the Encumbrance
Certificate, which will serve as a proper notice to the general
public and other banks/financial institutions, preventing fraud
and requiring additional recitals to be recorded at the bank's
branch.
20. S. Khasnobis (2006): The expansion of retail banking
reflects the fact that financing consumption has been a major
driver of the banking sector's growth. One of the growth drivers
would be funding the economy's new Small and Medium
Enterprise sector. The author has combined asset firms that
specialize in a certain area of the financial industry with the
assessment of non-performing assets. The author used these
pieces to highlight the effects of both pre- and post-
liberalization.
 HOUSING LOAN OF BANK OF
BARODA

BANK OF BARODA - A JOURNEY

THROUGH TIME

Early Beginnings: Establishment and Vision (1908)

Bank of Baroda, one of India's leading public sector banks, was

founded in 1908 by Maharaja Sayajirao Gaekwad III, the
ruler of Baroda (now Vadodara, Gujarat). The bank's creation
was motivated by the need to serve the financial needs of the
people of Baroda, and it was initially envisioned as a regional
financial institution to support the growth of industries and
businesses in the region.

Maharaja Gaekwad’s vision was to build a modern and efficient

bank that would provide credit to local industries and promote
economic development. The bank, initially named The Bank of
Baroda Ltd., started its operations with a modest office in
Vadodara. Over the following decades, the bank expanded its
branch network within India and began offering services beyond
the region.

Expansion Across India (1940s-1960s)

After its establishment, Bank of Baroda gradually expanded its

operations, opening branches in several parts of India. The bank
played an active role in supporting small and medium-sized
businesses, promoting trade, and fostering the industrial
development of the country. During this period, the bank
introduced products like savings accounts, current accounts,
and small-scale loans, making banking more accessible to the
public.

In the post-independence period, India saw an economic shift

towards industrialization and modernization. This created new
opportunities for financial institutions like Bank of Baroda to
grow. By the 1950s, the bank was already beginning to build a
strong reputation as a key player in the Indian banking sector.

Nationalization and Growth under Government

Ownership (1969)

In 1969, the Indian government nationalized 14 major

commercial banks, including Bank of Baroda. This decision aimed
to give the government greater control over the banking sector
and to ensure that financial services were available to all
segments of society, especially in rural and underserved areas.

Post-nationalization, Bank of Baroda witnessed rapid growth in

its operations. The government’s focus on increasing financial
inclusion and expanding credit facilities led to the opening of
numerous branches across India. Bank of Baroda began to
actively support agricultural financing, rural development, and
small-scale industries. The bank’s role in fostering economic
growth became even more significant as the country embarked
on a path of planned economic development.

International Expansion (1970s-1980s)

In the 1970s and 1980s, Bank of Baroda’s growth trajectory took

an international turn. Recognizing the growing number of Indian
expatriates in the Middle East, Africa, and Southeast Asia,
the bank expanded its footprint by opening branches in several
countries. The first of its international branches was established
in Kenya in 1953, followed by others in places like Uganda,
Tanzania, Mauritius, and the United Kingdom. This
international presence allowed the bank to cater to the financial
needs of Indians living abroad and also established Bank of
Baroda as a key player in global banking.

By the end of the 1980s, Bank of Baroda had a solid network of

international branches, and its operations were no longer
confined to India. The bank provided a wide range of services,
including remittances, foreign exchange, and international trade
finance, bridging the gap between India and the global financial
system.
Technological Transformation (1990s-2000s)

The 1990s brought significant change to India’s banking

landscape, with the liberalization of the economy and a wave of
technological advancements. Bank of Baroda, ever keen on
adapting to new trends, began modernizing its services to meet
the needs of a rapidly evolving customer base. The advent of
ATMs in the early 1990s was one of the first major technological
changes implemented by the bank.

By the late 1990s and early 2000s, Bank of Baroda introduced

internet banking and mobile banking, allowing customers to
perform transactions from the comfort of their homes or offices.
This modernization not only improved convenience but also
made the bank more competitive in a growing market where
digital banking was becoming increasingly important.

Mergers and Consolidation (2000s-2010s)

As India’s banking sector became more competitive, Bank of

Baroda continued to expand its offerings and strengthen its
market position. A key moment in the bank’s history came in
2019, when it merged with Dena Bank and Vijaya Bank. This
merger created one of India’s largest public-sector banks, with a
network of over 9,500 branches and a global presence.

The merger helped Bank of Baroda achieve economies of scale,

expanding its footprint in India and enhancing its customer
service capabilities. It also allowed the bank to consolidate its
assets, improve its risk management practices, and focus on
more strategic investments.

Challenges and Recovery Post-Global Financial

Crisis (2008)

The global financial crisis of 2008 had a significant impact on the

banking sector worldwide. Like many financial institutions, Bank
of Baroda faced challenges during this period, particularly
related to the quality of its assets and non-performing loans.
However, the bank’s prudent risk management strategies,
combined with the Indian government’s fiscal measures, allowed
it to recover quickly.
Despite the pressures of the global economic slowdown, Bank of
Baroda maintained its financial strength and capital adequacy
ratios. The bank continued to lend to priority sectors, including
infrastructure, agriculture, and small businesses, helping to keep
the Indian economy moving forward during a time of global
uncertainty.

Digital Banking and Innovation (2010s-Present)

In recent years, Bank of Baroda has focused on embracing

cutting-edge technology to stay relevant in an increasingly
digital world. The bank has invested in blockchain technology,
artificial intelligence (AI) for customer service, and
advanced data analytics to better serve its customers.

Bank of Baroda’s efforts in digital banking and financial

inclusion have been well-recognized. The bank has launched
several initiatives to increase access to banking services in rural
areas and promote the use of digital platforms for banking
transactions.

As of 2025, Bank of Baroda stands as one of India’s largest and

most trusted public-sector banks, with a network of over 9,500
branches across the world. Its services include everything from
retail banking, corporate banking, and international
banking to advanced digital banking solutions. The bank
continues to innovate and strengthen its presence both
domestically and globally, cementing its place as a leader in the
banking sector.

Key Milestones:

 1908: Founded by Maharaja Sayajirao Gaekwad III in

Vadodara, Gujarat.
 1969: Nationalized by the Government of India.
 1970s-1980s: Expanded internationally, establishing
branches in Africa, the Middle East, and Southeast Asia.
 1990s: Introduced ATMs, internet banking, and mobile
banking.
 2019: Merged with Dena Bank and Vijaya Bank, becoming
one of India’s largest banks.
 2025: Continues its global growth and technological
transformation, embracing innovations like blockchain and
AI.
 TYPES OF HOME LOANS
Housing loans, also known as home loans or mortgage loans, are financial
products offered by banks or financial institutions to help individuals
purchase, construct, or improve a property. These loans typically come with
a repayment schedule and an interest rate, and they are generally secured
against the property itself. There are several types of housing loans
designed to meet the specific needs of individuals, each with unique
features, eligibility requirements, and terms. Understanding these loan
types can help prospective borrowers choose the one that best fits their
financial situation and goals.

1. Home Purchase Loan

A home purchase loan is the most common type of housing loan.

As the name suggests, this loan is intended for individuals who
wish to buy a new or existing home. The loan amount is
generally based on the property's market value and the
borrower’s repayment capacity.

 Features:
o Repayment tenures typically range from 10 to 30
years.
o The borrower can choose between fixed-rate or
floating-rate interest options.
o The loan amount is usually up to 80-90% of the
property’s value, depending on the bank’s policies.
 Eligibility:
o Individuals must have a stable income and a good
credit score to qualify for a home purchase loan.
o Some banks also offer pre-approval facilities where the
borrower can get an estimate of the loan amount they
are eligible for.

2. Home Construction Loan

Home construction loans are specifically designed for individuals

who wish to build a new house from scratch rather than buying
an existing one. These loans are disbursed in stages or tranches,
depending on the progress of construction.

 Features:
 o Funds are released in installments based on the
construction milestones, such as laying the foundation,
completing the structure, etc.
o The loan amount is typically based on the estimated
cost of construction.
 Eligibility:
o Borrowers must provide detailed construction plans
and timelines.
o They should also have access to the required permits
and clearances from local authorities.

3. Home Improvement Loan

Home improvement loans are ideal for homeowners looking to

renovate, repair, or upgrade their current property. Whether it’s
remodeling the kitchen, adding a new bathroom, or installing
new flooring, this loan helps cover the cost of such
improvements.

 Features:
o The loan amount is generally lower than that of a
home purchase or construction loan, depending on the
extent of the improvements.
o It may be secured or unsecured, depending on the
lender’s policies and the borrower’s creditworthiness.
o Some banks offer flexible repayment options for
borrowers undertaking minor repairs.
 Eligibility:

Similar to home purchase loans, eligibility is based on income

and credit history.

4. Home Extension Loan

A home extension loan is meant for borrowers who want to

extend their existing property. This could involve adding rooms,
floors, or expanding the overall living area. It's an ideal loan type
for homeowners who want to increase the value of their property
without buying a new one.

 Features:
 o The loan amount depends on the cost of the extension
and the value of the existing property.
o Like home improvement loans, these loans might be
disbursed in stages, based on the completion of
different extension phases

5. Balance Transfer Home Loan

A balance transfer home loan allows borrowers to transfer their

existing home loan from one lender to another, typically to take
advantage of lower interest rates or better loan terms. This is an
attractive option for borrowers who feel that their current loan's
terms are no longer favorable.

 Features:
o The borrower can transfer the balance of their existing
loan to a new lender who offers better terms, which
might include lower interest rates or longer repayment
periods.
o Many banks also offer a "top-up" loan along with a
balance transfer, providing extra funds over and above
the outstanding loan amount.
 Eligibility:
o The borrower must have a good track record with the
current lender, with no major delinquencies or
defaults.

6. Top-Up Loan

Top-up loans are additional loans offered on top of an existing

home loan. These loans are typically provided to borrowers who
have a good repayment history with their current loan.

 Features:
o The top-up amount can be used for various purposes,
including home renovations or personal needs.
 o The interest rate on a top-up loan is usually higher
than that of the original home loan but may still be
lower than personal loan rates.
 Eligibility:
o Borrowers must have a strong credit history and
regular repayment records with the primary home
loan.

7. NRI Home Loan

Non-resident Indians (NRIs) who wish to buy property in India

can apply for an NRI home loan. This loan helps NRIs purchase or
construct a residential property in India while earning a living
abroad.

 Features:
o NRIs can avail home loans for up to 80-90% of the
property value.
o These loans come with flexible repayment terms,
considering the NRI's income earned abroad.
o The repayment can be made in Indian Rupees or
foreign currency, depending on the lender’s policies.
 Eligibility:
o NRIs need to provide proof of income from overseas, a
valid passport, and other standard documents.

8. Government-Backed Housing Loans

In many countries, governments offer subsidized housing loans

to make homeownership more affordable for low-income groups,
first-time buyers, or senior citizens. These loans are often
available under specific government schemes.

 Examples:
o Pradhan Mantri Awas Yojana (PMAY): A
government initiative in India aimed at providing
affordable housing to low-income and economically
weaker sections of society.
o MUDRA Loans: In India, these loans help individuals
in the lower-income groups build or buy homes.
 Features:
o Subsidized interest rates.
 o Flexible eligibility criteria.

9. Fixed-Rate Home Loan

A fixed-rate home loan comes with an interest rate that remains

the same for the entire loan tenure. This provides stability to
borrowers as their monthly repayments do not fluctuate,
regardless of changes in the market interest rates.

 Features:
o Borrowers know exactly how much they will be paying
every month for the entire tenure of the loan.
o Fixed-rate loans usually have slightly higher interest
rates compared to floating-rate loans.

10. Floating-Rate Home Loan

A floating-rate home loan comes with an interest rate that

changes based on market conditions or a benchmark rate set by
the lender. This means the borrower’s monthly repayments can
vary throughout the loan tenure.

 Features:
o Initially, floating-rate loans tend to have lower interest
rates compared to fixed-rate loans, but they can
increase if the benchmark rate goes up.

These loans offer the possibility of paying less if interest rates

decline.

11. Bridge Loan

Bridge loans are short-term loans that are typically used to

"bridge" the gap between purchasing a new property and selling
the existing one. These loans are often used in cases where the
borrower needs quick funds but hasn’t yet sold their current
home.
  Features:
o The loan is usually repaid once the sale of the old
property is completed.
o Bridge loans tend to have higher interest rates due to
their short-term nature.

12. Reverse Mortgage Loan

A reverse mortgage loan is available for senior citizens who wish

to unlock the equity of their home to fund their retirement.
Instead of the borrower making monthly repayments, the loan is
repaid when the borrower passes away or sells the property.

 Features:
o The borrower receives a lump sum or periodic
payments, and the loan amount is secured by the
value of the property.
o The loan balance increases over time, but the
borrower does not have to make any repayments
during their lifetime.

‘
 CHAPTER VI
RESEARCH METHODOLOGY

3.1 INTRODUCTION

Research Methodology is a way to solve the research problem in a systematically

way. The research strategy which forms the basic structure of the entire research
project is methodology which helps in identifying the methods to be used.
Research methods and Research Methodology are two different concepts which
has to understood research methods can be understood as all the methods or
techniques that will be used in the research project, various research types have
various methods and techniques.

Research Methodology forms the base of every research, and the scope of
research methodology is much wider than that of research methods because
research methodology also means specifying the logic behind the methods or the
techniques, we use to conduct research. Research Methodology also explains how
to conduct research, how to find the information and how to present the collected
data. For example, how an architect designs a building he has to specify every
single detail and has to evaluate every single decision that he has taken and
specify the result. Research Methodology can be different for every research
problem.

CONCEPTUAL FRAMEWORK OF HOUSING

LOAN SERVICES BY BANK OF BARODA
4.1 INTRODUCTION
Bank of Baroda offers a range of housing loan services to help individuals and
businesses finance their dream homes. Their Baroda Home Loan is designed for
purchasing, constructing, or renovating houses, with flexible repayment options of
up to 30 years. The Baroda Max Savings Home Loan allows borrowers to reduce
interest costs by linking their loan with a savings account. For those looking to
transfer their existing home loans, the Baroda Home Loan Takeover Scheme
provides competitive interest rates. The Home Improvement Loan helps
homeowners renovate or repair their properties. Additionally, the bank offers
home loans to corporates and non-individuals for employee housing projects. With
attractive interest rates, minimal processing fees, and doorstep services, Bank of
Baroda ensures a hassle-free loan experience. Customers can apply online or visit
a branch for more details.
4.2 HISTORY AND DEVELOPMENT OF BANK OF BARODA
4.2.1 History of Bank of Baroda

Bank of Baroda (Bob) was founded on July 20, 1908, by Maharaja Sayajirao
Gaekwad III in Baroda (now Vadodara), Gujarat, with the vision of providing
financial services to businesses and individuals. Over the years, the bank
expanded its operations across India and opened its first international branch in
Mombasa, Kenya, in 1953, marking the beginning of its global presence. In 1969, it
was nationalized by the Government of India, along with 13 other major banks, to
enhance financial inclusion. Bob continued to grow, establishing branches in
countries like the UK, USA, UAE, and Africa, making it one of India's leading
international banks. During the early 2000s, it embraced digital banking by
introducing Core Banking Solutions (CBS) and expanding its online services. A
major milestone was achieved in 2019 when Bob merged with Vijaya Bank and
Dena Bank, making it India’s third-largest bank. With the launch of BOB World, the
bank has further strengthened its digital banking services. Today, it operates in
90+ countries with over 8,000 branches, offering a wide range of banking and
financial services. Bob continues to focus on innovation, financial inclusion, and
customer-centric growth, striving to become a global leader in the banking sector.
4.2.2 Organization Details of Bank of Baroda
Bank of Baroda (Bob) is one of India’s leading public sector banks, headquartered
in Vadodara, Gujarat, with its corporate office in Mumbai, Maharashtra. It was
established on July 20, 1908, and later nationalized in 1969 by the Government of
India. The bank operates as a state-owned financial institution, offering a wide
range of banking and financial services to individuals, businesses, and corporates.

Bob has a strong domestic and international presence, with over 8,000 branches
and 11,000+ ATMs in India and operations in 90+ countries. It provides services
such as retail banking, corporate banking, wealth management, foreign exchange,
and digital banking. In 2019, Bob merged with Vijaya Bank and Dena Bank, making
it India’s third-largest bank in terms of assets and branch network.

The bank has introduced BOB World, a digital banking platform, to enhance
customer convenience with online services. Bob actively participates in financial
inclusion programs, supporting rural banking, MSMEs, and agricultural financing. It
also focuses on sustainable banking, promoting green initiatives and eco-friendly
financial products. With a customer base of over 150 million, Bank of Baroda
continues to expand, leveraging technology, innovation, and global banking
expertise to strengthen its position as a premier financial institution.
4.2.3 Directors’ Details of Bank of Baroda
As of March 2025, the Board of Directors of Bank of Baroda comprises
distinguished professionals with extensive experience in banking and finance:

Managing Director & CEO:

Shri Debadatta Chand: Appointed as Managing Director & CEO, Shri Chand has
held various leadership roles within the bank, contributing significantly to its
strategic growth and operational excellence.
Executive Directors:

Shri Lalit Tyagi: With a rich background in international banking and corporate
credit, Shri Tyagi oversees international territories, subsidiaries, joint ventures,
and corporate banking services.

Shri Sanjay Vinayak Mudaliar: Shri Mudaliar brings extensive experience in

retail banking, digital channels, and wealth management, focusing on enhancing
customer experience and expanding digital services.

Shri Lal Singh: Overseeing human resources, ethics, and operational services,
Shri Singh plays a pivotal role in shaping the bank's internal policies and customer
service strategies.

Ms. Beena Vaheed: Ms. Vaheed contributes her expertise in banking operations
and compliance, ensuring adherence to regulatory standards and enhancing
operational efficiency.

Directors:

Dr. M.P. Tangirala: Serving as a Director, Dr. Tangirala brings valuable insights
into financial management and policy formulation, strengthening the bank's
governance framework.

Shri Manoranjan Mishra: With a background in regulatory affairs, Shri Mishra

provides guidance on compliance and risk management, contributing to the bank's
stability and integrity.

Shareholder Directors:

Smt. Nina Nagpal: As a Shareholder Director, Smt. Nagpal offers perspectives on

shareholder interests and corporate governance, ensuring transparency and
accountability.

Shri Ravindran Menon: Shri Menon brings expertise in financial services and
strategic planning, aiding in the bank's growth initiatives and market positioning.

Shri Vijay Dube: With extensive experience in banking, Shri Dube contributes to
policy development and strategic decision-making, enhancing the bank's
operational effectiveness.
 4.4 OVERVIEW OF BANK OF BARODA

How are services of bank of Baroda home loan, all

detailed services, profit and losses?
 Overview of Bank of Baroda
Bank of Baroda (BoB) is one of India’s largest public sector banks, offering a
wide range of banking products, including retail, corporate, international
banking, and digital services. It operates in over 20 countries and has a
strong domestic presence with over 8,200 branches and 11,000+ ATMs.

 Bank of Baroda Home Loan Services

BoB offers various home loan products to cater to different borrower needs:

1. Types of Home Loans

1. Baroda Home Loan – For purchasing a new/old house or constructing a

house.
2. Baroda Home Loan Advantage – Linked to a savings account to reduce
interest liability.
3. Baroda Pre-Approved Home Loan – Loan approval before property
selection.
4. Baroda Top-Up Loan – Additional funds for home-related expenses.
5. Baroda Home Improvement Loan – Financing for home renovations and
repairs.
6. Baroda Home Suvidha Loan – For borrowers with informal income
sources.
7. Baroda Home Loan Takeover Scheme – Transfer of home loans from
other banks to BoB with lower interest rates.

2. Key Features & Benefits

 Interest Rates: Starting from 8.15% per annum, varying based on

borrower profile.
 Loan Tenure: Up to 30 years for easy repayment.
 Loan Amount: Covers up to 90% of the property value.
 Processing Fees: 0.25% - 0.50% of the loan amount (minimum ₹7,500;
maximum ₹20,000).
 Prepayment Charges: No prepayment or foreclosure charges for
floating-rate loans.
 Eligibility: Salaried and self-employed individuals with a minimum credit
score of 701.
  Bank of Baroda Profit & Loss Overview
1. Financial Performance (FY 2024-25)

 Total Income: ₹127,101.31 crore (up 27.59% from the previous year).
 Interest Earned: ₹112,605.95 crore (from loans, investments, inter-bank
funds).
 Interest Expended: ₹67,884.41 crore (on deposits and borrowings).
 Operating Profit: ₹30,266.39 crore (grew by 15.23%).
 Net Profit: ₹4,837 crore in Q3 FY 2024 (up 6% YoY).
 Gross NPA (Non-Performing Assets): 3.5%, showing improved asset
quality.

2. Growth Strategies

 Expansion into digital banking and fintech collaborations.

 Increased focus on retail lending, including home loans.
 Strengthening international banking operations in UAE, UK, and Africa.

 Conclusion
Bank of Baroda has a strong home loan portfolio with competitive interest
rates, flexible repayment, and minimal charges. The bank is financially
stable, with rising profits and asset growth, making it a reliable option for
home loans.

4.5 MARKETING OF HOME LOAN SERVICES BY BANK OF

BARODA
1. Digital Marketing Strategies

BoB uses digital channels to attract and engage potential home loan
customers.

1.1 Website & Online Presence

 Dedicated Home Loan webpage with loan calculators, FAQs, and

application forms.
 Instant digital approvals for faster loan processing.
 AI-based Chatbot (BOB Assistant) for 24/7 customer support.

1.2 Social Media Marketing

 Facebook, Instagram, LinkedIn, Twitter campaigns to promote

interest rates and special offers.
 Posts featuring customer success stories and expert home-buying tips.
 Live Q&A sessions and interactive polls to engage potential borrowers.
1.3 Google & YouTube Ads

 Targeted Google Ads highlighting low-interest rates and easy

application process.
 YouTube video ads showcasing customer experiences and benefits of BoB
home loans.

1.4 SEO (Search Engine Optimization) & Content Marketing

 Blog articles on home buying tips, tax benefits, and home loan
comparisons.
 Optimized keywords like "best home loan in India" and "lowest home
loan interest rates" for higher Google ranking.

1.5 Mobile App & Digital Banking

 BoB World App allows users to apply for loans, track applications,
and manage EMIs.
 SMS & Email marketing to promote exclusive offers for existing
customers.

2. Traditional Marketing Strategies

BoB still relies on offline methods to capture a wider audience.

2.1 In-Branch Promotions

 Flyers, posters, and dedicated home loan desks at all branches.

 Home loan officers provide personalized consultations.

2.2 TV, Radio, and Newspaper Advertisements

 TV commercials aired on leading national and regional channels.

 Newspaper ads in Times of India, Hindustan Times, and Economic
Times.
 Radio ads targeting commuters in major cities.

2.3 Billboards & Outdoor Advertising

 Large billboards in high-traffic areas (metros, highways, shopping

centers).
 Branding at railway stations, metro stations, and airports.

3. Partnerships & Collaborations

3.1 Tie-Ups with Real Estate Developers & Builders

 Special home loan schemes for buyers purchasing from partnered BoB-
approved builders.
 Discounted processing fees for partnered real estate projects.
3.2 Real Estate Portals & Aggregators

 Listing BoB home loan products on 99acres, MagicBricks, Housing.com,

and Paisabazaar.
 Integration of instant home loan eligibility checks with property listings.

3.3 Banking Correspondents & Local Agents

 Appointing agents in semi-urban and rural areas to promote home

loans.
 Conducting door-to-door financial awareness campaigns.

3.4 Tie-Ups with Corporates & Employers

 Exclusive home loan offers for employees of large corporates and

government organizations.
 Salary account-linked loan schemes for easy repayment options.

4. Customer-Centric Marketing Strategies

4.1 Pre-Approved Loans for Existing Customers

 Special pre-approved home loan offers for existing customers with a

strong credit history.
 Instant loan eligibility confirmation via SMS & Email.

4.2 Home Loan Melas & Property Expos

 Organizing “Home Loan Melas” in collaboration with builders and real

estate agents.
 Special discounts on interest rates during property expos.

4.3 Referral & Cashback Programs

 Cash rewards & discounts for existing customers who refer new home
loan applicants.

4.4 Flexible Repayment & EMI Plans

 Step-up EMIs (lower EMIs initially, increasing over time).

 Balance transfer options for customers looking for lower interest
rates.

5. Competitive Loan Features as a Marketing Tool

BoB highlights its attractive home loan benefits as a key marketing

strategy:

5.1 Attractive Interest Rates & Charges

 Low-interest rates starting at 8.15% p.a.

 Zero prepayment/foreclosure charges for floating-rate loans.
5.2 High Loan Amounts & Flexible Repayment

 Loan amounts up to ₹10 crore for premium properties.

 Loan tenure up to 30 years for affordable EMIs.

5.3 Special Festive Offers & Discounts

 Processing fee waivers during Diwali, New Year, and festive seasons.
 Exclusive home loan rates for first-time home buyers.

6. Impact of Marketing Strategies on BoB’s Home Loan

Growth
 Increased loan disbursements due to multi-channel marketing.
 Higher customer engagement through digital marketing and property
expos.
 Improved brand reputation as a top home loan provider.

4.6 DETAILS ABOUT THE OTHER SERVICES OFFERED BY

BANK OF BARODA

OTHER SERVICES OFFERED BY BANK OF BARODA (BOB)

Bank of Baroda offers a wide range of financial products and services

catering to individuals, businesses, and corporate clients. Below is a
detailed, numbered breakdown of BoB’s key services:

1. Retail Banking Services

BoB provides various banking solutions for individual customers.

1.1 Savings & Current Accounts

 Baroda Savings Account: Regular savings account with competitive

interest rates.
 Baroda Premium Savings Account: Higher benefits, free ATM
withdrawals, and preferential services.
 Current Account for Businesses: Multiple variants based on business
needs.

1.2 Fixed Deposits & Recurring Deposits

 Baroda Fixed Deposit: Secure investment with attractive interest rates.

 Tax Saving Fixed Deposit: Eligible for tax deductions under Section 80C.
 Recurring Deposits: Small monthly savings with cumulative interest
benefits.
1.3 Debit & Credit Cards

 Baroda Debit Cards: Available in Visa, Mastercard, and RuPay variants.

 Baroda Credit Cards:
o BoB Easy Credit Card – Low interest rates, cashback offers.
o BoB Premier Credit Card – Rewards on shopping, dining, travel.
o BoB ICAI Credit Card – Special card for Chartered Accountants.

2. Loan Products

BoB offers loans for personal and business needs.

2.1 Home Loans

 Multiple home loan schemes with interest rates starting at 8.15% p.a.
 Pre-approved home loans and balance transfer facilities.

2.2 Personal Loans

 Loans up to ₹20 lakh with easy EMIs.

 Special personal loans for salaried employees, pensioners, and self-
employed individuals.

2.3 Vehicle Loans

 Car Loans for new and used cars with flexible repayment options.
 Two-Wheeler Loans for motorcycles and scooters.

2.4 Education Loans

 Baroda Vidya Loan: For school students (up to Class 12).

 Baroda Gyan Loan: Higher education in India and abroad.
 Baroda Scholar Loan: Special scheme for students in top international
universities.

2.5 Business & MSME Loans

 Baroda SME Loan Pack: Working capital and term loan options.
 Baroda Mudra Loan: For small businesses and startups under the PM
Mudra Yojana.
 Trade Finance & Export Loans: Support for import-export businesses.

2.6 Gold Loans

 Quick loans against gold at competitive interest rates.

 Minimal paperwork with same-day disbursal.

3. Digital Banking & Payment Services

3.1 Internet & Mobile Banking

 Baroda Connect: Online banking platform for fund transfers, bill payments,
and investments.
  BoB World App: Mobile banking with UPI payments, card services, and
instant loans.

3.2 UPI & Digital Wallets

 BoB UPI App for seamless QR code payments and money transfers.
 Integration with Google Pay, PhonePe, Paytm, and Amazon Pay.

3.3 Fastag & Bill Payments

 BoB Fastag for toll payments across India.

 BBPS (Bharat Bill Payment System) for utility bill payments.

4. Investment & Wealth Management

4.1 Mutual Funds & SIPs

 Offers investment in debt, equity, and hybrid mutual funds.

 Systematic Investment Plans (SIPs) for long-term wealth creation.

4.2 Stock Market & Trading

 Baroda E-Trading platform for equity, derivatives, and commodity trading.

 Demat & Trading Accounts with competitive brokerage rates.

4.3 Insurance Services

 Life Insurance (with IndiaFirst Life Insurance).

 Health & General Insurance (in partnership with leading insurers).

4.4 NPS (National Pension Scheme) & PPF

 BoB is an authorized bank for NPS investments.

 Open Public Provident Fund (PPF) accounts with tax-saving benefits.

5. Corporate Banking & Treasury Services

5.1 Corporate Loans & Syndicated Finance

 Large corporate funding for infrastructure, manufacturing, and IT

sectors.
 Syndicated loans for businesses expanding globally.

5.2 Forex & Trade Finance

 Foreign Exchange (Forex) Services for exporters/importers.

 Letters of Credit (LCs) & Bank Guarantees for global trade
transactions.

5.3 Merchant Banking & Capital Markets

 Advisory on IPOs, mergers, and corporate restructuring.

 Debt and equity financing for businesses.
6. NRI Banking Services
6.1 NRI Accounts

 NRE (Non-Resident External) & NRO (Non-Resident Ordinary)

Accounts.
 FCNR (Foreign Currency Non-Resident) Deposits with interest in
multiple currencies.

6.2 NRI Loans & Investment Services

 Home loans and personal loans for NRIs in select countries.

 Investment in mutual funds, stocks, and real estate in India.

6.3 Remittance Services

 BoB Remit Express for quick international money transfers.

 Tie-ups with Western Union, MoneyGram, and SWIFT for global fund
transfers.

7. Government & Social Banking Services

7.1 Jan Dhan Yojana & Financial Inclusion

 Zero-balance accounts under PM Jan Dhan Yojana (PMJDY).

 Direct Benefit Transfer (DBT) Accounts for government subsidies.

7.2 Pension & Senior Citizen Banking

 Pension Accounts for government retirees.

 Senior Citizen Fixed Deposits (SCFDs) with extra interest rates.

7.3 Agricultural & Rural Banking

 Kisan Credit Card (KCC): Credit facility for farmers.

 Agri Loans & Dairy Loans: Financing for tractors, irrigation, and rural
businesses.
 Self-Help Group (SHG) Loans: Financial aid for rural women
entrepreneurs.
 CHAPTER V
DATA ANALYSES AND
INTEPRETATION
Questtionnaire
A} Demographic Profile Of Home Loan Services
Name
Interview
Q.1} Gender
Male Female
Sr.no Gender No. of (%)
Respondents
1. Male 18
2. Female 12
Total 30 30

Chart Title
60

60

50 40
12
40
18
30

20

10

0
female male

Q.2} Age
i. Less than 18
ii. 19-30 Age
iii. 31-40
iv. 41-60
v. Above 50
Sr.no Age No. of (%)
Respondents
1. Less than 18 0
2. 19-30 5
3. 31-40 14
4. 41-50 8
5. Above 50 3
 Chart Title

50
45
40 19-30 - 5
35 31-40 - 14
41-50 - 8
30
Above 50 - 3
25
Less than 18 - 0
20
15
10
5
0
Total

Q.3} Marital Status

Married