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33 views61 pagesProject Report
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/ 61
A PROJECT REPORT
ON
“A STUDY ON CUSTOMERS PERCEPTION TOWARD
PLASTIC MONEY IN DISTRICT KANGRA”
Submitted in partial fulfillment for Award of the Degree of.
BACHELORS IN BUSINESS ADMINISTRATION
(2020-2023)
UNDER THE GUIDANCE OF SUBMITTED BY
Mr. Mukesh Kumar Kajal Jaswal
Assistant professor (HOD) University Roll no. 5201530023
DRONACHARYA P.G COLLEGE OF EDUCATION
RAIT, KANGRA (H.P)
BBA DEPARTMENT
HIMACHAL PRADESH UNIVERSITY, SHIMLA
SUMMER HILL-171005 UNDERTAKING
This is to declare that research project report on “A STUDY ON CUSTOMERS
PERCEPTION TOWARD PLASTIC MONEY IN DISTRICT KANGRA” is a record of
authentic work carried out by me during the particular time period, under the guidance of
Assistant Prof. MUKESH KUMAR. Faculty of management in Dronacharya Post
Graduate College of Rait, for the partial fulfilment of the requirement for Bachelor of
Business Administration.
I declare that this project report is original and not submitted to any other university before
i
_\ se”
a
Signature of the Student :
‘Student Name. : Ms. KAJAL JASWAL
Roll No. : 5201530023 Certificate from Guide
This is certify that Ms. Kajal Jaswal Roll no. 5201530023 student of BBA 6"
Semester Himachal Pradesh University, has completed a project report title
topic “A STUDY ON CUSTOMERS PERCEPTION TOWARD PLASTIC
MONEY IN DISTRICT KANGRA” under my guidance and that no part this
has been submitted for the award of any other Degree or Diploma to any other
Board or University. The project done by her is accurate and authentic.
oh:
= \ a"
WG Av
Signature of student
KAJAL JASWAL
Roll no, 5201530023
Guide Name HOD
Mr. MUKESH KUMAR Mr. Mukesh Kumar
Assistant Professor
GUIDE SIGNATURE
Place Certificate from Guide
‘This is certify that Ms. Kajal Jaswal Roll no, 5201530023 student of BBA 6"
Semester Himzchal Pradesh University, has completed a project report title
topic “A STUDY ON CUSTOMERS PERCEPTION TOWARD PLASTIC
MONEY IN DISTRICT KANGRA” under my guidance and that no part this,
ma to any other
has been submitted for the award of any other Degree or Di
accurate and authentic.
Board or University. The project done by het
ay
ees
Signature of student
KAJAL JASWAL
Roll no. 5201530023
Guide Name HOD
Mr. MUKESH KUMAR Mr. Mukesh Kumar
Assistant Professor
GUIDE SIGNATURE
Date
Place PREFACE
Bachelor of Bi
ss Administration (B.B.A) program is one of the most reputed professional
‘courses in the field of management. This course ircludes both theory and its applications as
per contents of its curriculum, Research report is the an integral part of Bachelor of Business
Administration programmed of Dronacharya Post Graduate College of Rai
to our practical knowledge and also to get
ive Exposure
wract with the various aspects of present
financial conditions. Each student is required to undergo practical training after the
completion of fourth semester examination,
The Research project programmer are designed to give the managers the future of the
corporate happenings and work culture, The re
stimulated exercise enacted in an
jon is really different from the
I ervironment inside. The research project
programmers are designed. so that the managers or tomorrow do not feel when the time
comes to take responsibilities
The research
resented here is a result of my hard work
is project helps me to
Jeam about the financings new channel with re ing.
to the content Fins ACKNOWLEGEMENT
1, Kajal Jaswal, BBA Student in DRONACHARYA PG COLLEGE, is highly
grateful to all those who guided me in completing this project.
I am indebted to Mr Mukesh Kumar Assistant Professor of Dronacharya
College of Education, for his unfailing support throughout the study. His timely
suggestions and novel ideas provided a better insight for the study of the “A.
STUDY ON CUSTOMERS PERCEPTION TOWARD PLASTIC MONEY
IN DISTRICT KANGRA” | am hi
ly grateful to him for his valuable
guidance. Words can never express the deep sense of grat
ide, I feel for my
parents and friends, who have been a constant source of inspiration and
encouragement for me.
Last but not the least our class incharge Mrs. Vitika Mahajan for her beautiful
support right from the beginning of our graduation.
Karal “Jasviat
5201530023 S.no. Chapter Page no.
1 Introduction - — 1-15
2 | Review of Literature 16-20
3 Research methodology a [21-23 |
4 Limitations : 24-25
5 Analysis and Findings 26-47
6 Recommendations and Suggestions 48-50 |
7 Conclusion 51-52
8 References a 53-55
9 Bibliography 56-57
10 Questionnaires 58 - 62 LIST OF TABLE OF DATA ANALYSIS AND INTERETATION
S.no. Questions | Page no.
1 ‘Age | 27
2 Gender 7 28
3 Family monthly income. 29
4 | Category 30
5 Plastic cards is the most convenient way of 31
___ paying
6 | Which is the most convenient way to pay 33
7 Prefer plastic money — 35
| 8 ‘Types of plastic cards 36
9 | Prefer to pay your utility bills 37
10 | Travelling plastic money is the preferred way 38
Lo of payment.
[11 | Use of Plastic eard is safest mode of transaction 39
12 Credit Card are expensive as many other 40
charges are charged on it.
(13 | Carried and kept easy and has more life 41
[i ~~ Consider more reliable and secured ae
15 | Visit the bank for cash withdrawal B
— -
16 | SMS alert make your each transaction much 44
more secure
17 ictim of any credit/debit card fraud 45 CHAPTER:-1
INTRODUCTION Introduction
ion to other regulations intended to ensure I
‘minimum capital requirements based on an international
cities of Renaissance Italy but in many ways was a continuation of ideas and concepts of
credit and lending that had their roots in the ancient world.
Plastic Money
it cards in the form of
jomer while making the large
transactions so that they don't keep actual paper money with them.
Various forms of plastic money include debit cards, credit cards, Money access cards, client
cards, key eards, and Cash eards. The purpose of using these cards is only for the case of
customers so that they can make large transactions and also for their own safety
Store Value Card
jing cards that can usually only be used their own outlets. They are often
marketed with a range of offers such as instant free credit or discounted purchases but they
also tend to charge high interest rates. The purpose of these cards issued by retailers or a
company differs from that of bank and T &E cards. These are used by departmental stores
‘mainly as marketing tools to retain customers and increase turnover. The main features of
stores value card are as below: 1) These are issued by big departmental stores or retailers. 2)
‘The customer can use these cards only in that retailer’s outlets or for purchasing the
‘company’s products. 3) They cost a litle or no cost to the retailer. 4) These are usually
developed by the traders in partnership with banks or finance companies who undertake the
administration and sometimes the financing involved. Types of stored value card
Following are the different types of stored value cards that are available:
a) Budget card.
This card requires monthly payments on behalf of that holder. The cost of goods purchased is,
spread over a certain period
b) Option card.
Here, the payment can either be made in full or is at the cardholder's discretion. However,
option available is subject to a minimum repayment and interest is charged on the balance
outstanding amount,
©) Monthly card:
The cardholder is required to make the payment every month. No extension of eredit
beyond a month. Thi
settled in 30 mont
given
card differs from the budget card, where outstanding credit can be
iments
History of Plastic Money
With hundreds of millions of plastic cards in circulation today, these Plastic cards have
ia alone is home to millions of them. Initially positioned as a status
cards have caught on in a big way amongst the educated population of
heir customers has always been an extremely common
‘more and more difficult to afford credit to these patrons, financial institutions came into the
picture.
around a system of credit developed by John Bij
Bank, Brooklyn, New York. This "card
purchases. The merchant deposited the same
‘merchant and collected payment from the customer.
charge local retail
Biggins Bank. The bank reimbursed the
1951 -The Franklin National Bank in Long Island New York issued the fist official credit
card, In 1951, a Mr. Frank McNamara had just finished dinner in a New York restaurant
‘when, to his acute embarrassment, he discovered that he had left his wallet in another suit
While talking the restaurant owner into leting him pay the bill the next day,
‘card was already being concocted in his mind.
hs he formed a company called Diners Club and convinced 27 restaurants
1958 - American Express saw this as direct competition to its traveler's cheque division and
brought out its own charge card in 1958. Within three months they managed half 2 million
cardholders. 1960 - Bank of America introduced its own card called Bank Ameri card. Beginning with a
small group of cardholders and merchants, the bank began to license regional financial
institutes to act as Bank Ameri card for their region. Bank Ameri card grew and in the next
few years more and more communities across the US became serviced by a regional member.
1966 -Fourteen US banks in Buffalo, New York formed Interbank - a new association on the
same guidelines.
1967- Four California banks changed their name
Association. They opened membership to ol
-d Master charge. Eventual
the Western States Bankcard
‘benefited from this system and led to rapid growth in cardholder accounts, merchant accounts
and sales volumes.
1977 — Bank Ameri card became VISA and in 1979 Master Charge became MasterCard
International
th only two players in domestic card industry, HSBC and Citibank the number
‘over 25 in the year 2010.
1981 - Credit cards in India made their debut and are on the verge of an unprecedented boom.
1981 - 2010 The market has vit
compounded annual growth in new e:
money after 2010 mainly credi
nillions of credit cards in
substance have become a way
grown to over 4 million cards with over 25-30% of
growth in the use of plastic
There are hundreds of
rectangular pieces of polymerized
ns of them. Spending patem through plastic money has
dining and jewellery are some the top purchases that Indians
3s jewellery end apparel purchases that formed
the largest chunk of purchases through plastic money. Fuel accounts for a very small portion
of eredit card purchases as these are largely paid through debit cards,
This growing trend will soon rise up to the point where the plastic money
replace the need for carrying cash,
decide. Plastic Money business is definitely going bg time. In a country where a decade bac
people had hardly heard the word plastic money or credit card It has been estimated that there
are likely to be around half Potential card users in the near future. This forecasting
derives credibility from the fact that more and more local and international financial
institutions are exhibiting enthusiasm in this direction.
This in tum reflects prospects
(ors operating on the
the card-based usage few years. Payment by
cards is now becoming a much preferred mode for making retail payments in the country
(Report on trend and progress of banking in India 2006-07, RBI). Thus, plastic cards are such
payment tool which gives a customer an opportunity of non cash payment of goods and
services and are designed to facilitate small value retail payments by offering a substitute for
‘bank notes and coins and thus to complement traditional payment instruments.
Indian market in accommo
‘numerous credit card
4 ‘The recent growth in the use
phenomenal. After the Dem
emphasis on Cashless Trans
have caught on
plastic money mainly credit and debi
on by the Prime Minister Mr
are becoming very popula.
teasing reliance on cashless transactions is seen as sign
where there is a strong synergy between the ordinary consumers a
‘The plastic money in the form of cards was introduced by bank:
not very popular among Indian consumer at the time of its introduction. The change in
demographic features of consumers in terms of their income, marital status, educ al
ete, and upgradation of technology and its awareness has brought the relevant changes in
consumers’ preferences.
These changing preferences have also modified their outlook and decision regarding the
ance and non- acceptance of particular product and services in the market. Thus, the
plastic cards are gaining popularity among bankers as well as customers and getting accepted
in the market place. It can be well imagined from the discussion that no doubt, the plastic
cards market is growing ata large pace in India yet it has long way to go as it lacks behind if
compared to the usage trends of other countries. Hence, it has become important that the
payment system in India has to be modemized enough to be at par with the systems prevalent
in other countries, since our domestic financial markets are increasingly getting integrated
with markets abroad
which indicates the tremendous growth potential of this business.
‘So this can be considered as mere beginning which indicates the bright future prospects of
plastic card market lia. The plastic money can be in the form of Credit cards or Debit
cards, Debit and credit cards offer more than a way to access money without having to carry
around cash or a bulky check book. Debit cards are like digitized versions of check books:
they ate linked to your bank account (usually a checking account), and money is debited
(withdrawn) from the aecount as soon as the transaction occurs.
Credit cards are different; they offer a line of cred Joan) that is interest-free if the
monthly credit card bill is paid on time. Instead of being connected to a personal bank
account, a credit card is connected to the bank or financial institution that issued the card. So
when you use a credit card, the issuer pays the merchant and you go into debt to the card
issuer. Most debit cards are free with a checking account at a bank or credit union.
They can also be used to conveniently withdraw cash from ATMs. Credit cards have the
f rewards programs but such cards often require an annual fee to use. Financial
i ‘easy to overspend and then get buried in
jerest rates. This comparison provides @ detailed overview of what debit and credit cards are. their types, associated fees and pros and
cons.
Types of Plastic Money
Different types of cards on the basis of use are listed below:
Debit Card
Credit Card
Charge Card
ATM Card
Petro Card
Master Card
Visa Card
Debit Card:
‘Types of Debit Cards
agency to users who
cards can be used to make pi
rake purchases at participating reales
an ATM, depending on the type of program.
© PrNonly cards
Dual-use cards
© EBT cards
‘© Prepaid cards,
cash payments, Types of Credit Cards
© The standard ©
© Reward Credit Card
© Secured Credit Card
© Intemational Cre
Card
* Virtual Card
L.The Standard Credit Card:
These are general purpose cre
purchases
sminimum required criteria,
2.Reward Credit Cards: other tips abroad, you
to deal in foreign exchange in India, You can incur
card mainly for personal spending. You cannot use
e by the Reserve Bank of Inia
tural that you should own a
‘The answer to all
‘These cards are used to withdraw money from the Automated Teller Machine or ATM. ATM.
cards can be separately issued ora debit card can also be used as an ATM card.
* Petro Card:
‘These are cards issued by banks or other financial institutions to their customers to use as @
means of transaction.
© Master Card:
a leading global payments & technology company that connects consumers,
businesses, merchants, issuers.
MasterCard started in the late 1940's when banks in US issued special paper that could be
used like cash. In 1951 The Franklin National Bank in New York formalized the practice by
itroducing the first real Association of Membership
‘A visa cand is a payment card that uses the Visa network and is branded by visa. the
‘company began with just eredit cards, but it has since branched out to include debit, prepaid
and gift cards as wel
purchases by cheque or cash, They did not have an
ered the market. Payment cards over these 3 decades have
ing, you can use th
‘payment card opens up @
isa commercial cards and the Visa global ATM network in over 300 countries and
temitores that gives the consumer choice
Visa cards are the world's most widely used and accepted form of plastic payment, Between
numbers have increased, but even the types of cards on offer have seen a surge.
Today the domestic card industry is flooded with different types of cards ranging from gold,
silver, global, co-branded credit cards, smart to secure ...the list is endless. Foreign banks
have shouldered the major responsibility of increasing the card base and adding value-added
services to the card products in the past. The scenario has changed drama
‘couple of years withthe entry of State Bank of India (SBI), a domestic
Bank are ageressively launching credit card with value odded features,
Indian consumers are also using the plastic money ‘or everyday spends such as pel
hospitals, telephone services and home fumishing. Consumers in India are also using credit
cards more and more to pay school dues for their kids. However,
‘money for recurring bills such as utilities, subscriptions and insurance. There is no doubt that
the domestic card industry has to yet to mature and offers significant long-term growth
potential, Most banks issue Visa or MasterCard, or both. Diners «proprietary brand
of Citibank in India 48 Sle “Ny
Piiwe | 0 .
eieiiicerrase™ VISA
E
State Bank Goll
DEBIT CARD
State Bank
DL) Features of Plastic Money
‘The features of plastic money are as follows:
Easy To Carry
Plastic money is very easy to carry as it i very light in weight. You can easily put
wallet or purse and take it with you wherever you go.
No Paperwork Required
Since plastic money does not require any paperwor
ayments. You simply need to swipe your c
completed.
a very convenient option for
the payment counter and the
Secure Transactions
Plastic money transactions are much more secure than cash transactions. This is because
plastic money is protected by a chip and pin system, which makes it
steal your information,
ficult for anyone to
Various Payment Options
‘Most credit and debit cards offer a number of different payment options, which allows you to
‘choose the one that best suits your needs. You can use your card to make payments online,
in-store, ot over the phone.
Flexible Credit Limit
jc money cards are generally much more flexible than those on
traditional credit cards. This means that you can use your card for smaller transactions as well
as larger ones.
Rewards and Benefits
Many credit and debit cards offer rewards and benefits such as cash back, airline miles, and
«discounts on purchases. These rewards can be very beneficial for regular shoppers,
Pros and Cons of Using Debit vs. Credit Cards
Most people carry and use both credit and debit cards because both types of cards have their
‘unique advantages. Acceptance by Merchants The vast majority of retailers accept both credit
and debit cards, and customers pay the same price irrespective of the payment method they
choose.
But merchants pay a fee called interchange fees to payment processo
MasterCard for every credit or debit card transaction. This
Percentage of the total ion. The fees charged for a debit card are much lower than
those charged for a c Security and card Theft Debit cards, which make use of a
PIN, are more secure cards in and of themselves.
2 However, credit cards are much more secure for consumers in a practical sense when fraud
occurs. If someone steals your debit card information, the thief has direct and immediate
‘access to the funds available in the bank account connected to your card,
time to investigate fraud, you will have little immediate recourse. Wors
and report the fraud soon enough (within two days), you may be on y
‘make paying bills that you would have otherwise had the mone}
impossible. In contrast, if your eredit card information is stolen, the thi
from your credit issuer.
roney that you will very rarely be held responsible for if you make a concerted effort
‘as soon as you are aware of it Risk of Overspending
ask your bank to offer overdraft protection or reject
nt funds in the account. There is some risk of overdraft
you generally cannot spend a lot more money than you have if you use a debit card.
(On the other hand, credit card debt ean become a nightmare very quickly if you fail to pay
your bills on time.
Most monthly credit card payment due and monthly
And since this interest is
adh
Credit History
important to
ensures you pay lo
Landlords and pote
history at all
and paying off credit card
history. Conversely, owning a er
card but falling behind on payments negatively impacts
‘your credit score
Rewards and Cashback
For yeats credit card issuers have been enticing customers to sign up by offering rewards
Programs for using the card. The more you spend, the more money card issuers make in
transaction fees and, late payments and interest if you fall behind in repayment.
il that can be redeemed for
rewards also require an annual fee for the use ofthe card,
Banks have also started offering some rewards forthe use of debit cards but these are not as
strong as credit card reward programs because banks get lower fees per transaction on debit
Fry 1 annual fees, nor do they charge interest, Some credit
i on the card's
terest on debs that are not repaid on time.
‘comes to debit cards is the overdraft fee
38 $30 or more per overdrawn tran
tion,
you make a charge that exceeds your available
000 in your acount, but spend Rs1200, you have
e program, your card wil
services fora price.
. which usually involves signing up for lots of different credit
is usually known as "churning."
known, churning has become popular enough over time to have an
unity and. gamer the mn of financial advice sites and the credit
rom their efforts,
and chuming — particularly any and all
ly affect your credit score.
f you are looking to take out a mortgage any time
connected to a bank account that it withdraws funds
re are no further payment processes to consider. Credit cards, however,
i imum amount, as set
them at the end of each billing cycle 1e knowledge that
bbe charged on any balance carried over into the next month — the loan left
1 be charged on any balance carried over into the next month — the loan left aqui FANLVAALIT AO MATATaA ofliterature?
to the topic as under: Mania
re relating leep Kaur and Kamal Pr
reet Kaur (2005
in
cot of Plat Cards Market Past, Present and
at ‘Indian banking sector is accepting the chal
ett of bankers have now recognize
Future Despite the strong advances in e-pa
get ion expenditure in India is stil oe — eee eect
esl js growth potential of this business. So this can be co ee
ne the bright future prospects of plastic card market
saan 2013) in his research paper “Plastic Moy
‘uture Scenario in Indian Banks”
Challenge of information technology as
sential requirement for their survival
mney a way for cash Less Payment
card was measured a luxury, and
classes T nae
: S are also start using the plastic
' ctronic payment systems and particularly Credit cards. In this el aa
sampt has been made to study an overview ofthe development of banking inthe pase
sas sage trends since these have been introduced in Indian banking sector.
roe study also highlights the role of these cards as electronic payment tol to be used by
comers and discusses the penetration of these cards in replacement of cash and paper
rnoney. The factors for adoption of plastic money in replacement of cash and paper money
tne teen identified which shows the preference of the customers for plastic cards over the
cashand paper money.
Anumber of studies have been done regarding the Plastic Card usage. Following are 2
fe of them :-
| Hiischman( 2013):- We complement our analysis of payment behaviour with qu
‘tu on payment attribute perceptions. Perceptions - or perceived differences in payment
atribates- have been found to be important determinants of consumer payment behaviour
inberg Richard (2015). It was found that consumers prefer plastic money over paper
y andthe major benefit that the card provides to the customers isthe convenience and
‘The major problem according to them is the inreased transactional costs and
‘trary formalities to procure the cards from the financial institutions. They felt that the
faze of plastic money is bright and according to them, the next thing ¢0 come vis
‘ology would be the use of digital signatures
3. Brito and : indi paying interest on credit card debt is
Hartley (2011) indicate that the cost of paying 9c foen Bak OF
ly jag
> '0 be lower than the transaction costs associated with arranging
financial
intgrt”® and Wright (2011) and Zinman (2012)
‘interest-bearing bank accounts for |
v ¢, Manicep Kaur
casts Mal
ares, Cliford (2020) The article reports on the problem regarding fake currency i
le against fake currency is not getting easier and
also stated that counterfeiters hitherto had restricted print
iscover fakes. According o chief economist Soumendra K.
to provide people incentive to use plastic cards and make
facilities which made
Dash the solution to the probles
cashless transactions.
In this Project, we revisit the contents and method of Keynes's Indian Curency and
Finance ale of his proposal for 8 new international monetary
tgntem combining cheapness with stability, we argue that Keynes's analysis of
developments in Asia in the frst years of the twentieth century
inking of the major faults of today’s Bretton Woo
‘conducted a study on ‘Plastic Money/Credit Cards Charisma for Now
9, Subhani in (20
‘money, its usability and
and Then’, The study was based to find out the charisma of
affordability and its impact on its preference to se. The researt
‘se of plastic money/ credit card has its pros and cons
According tothe consumer behaviour, plastic money is form of conditioning and acts as @
‘The study shows thatthe preference to go for
with the easy use of plastic money because the
ced with a psychological phenomena that people are
iy to spend less with ereit ard and spend more with the same amount of eash on hand in
the same budget and this precept also linked with the consumer self convenience, i.
convenience and easy use which delves into spending.
today’s busy world, nobody has the
rested in carrying
10. Khurana, Sunaynal, Singh, S. P. (201 7.
and Hafalir in (2012) conducted a study on
‘study focused on {wo types of custom
do not carry debs), and! measured the imy
jth cash by an insurance
reste
conver
garda compared Wi
employees spending on lunch in a ¢
spay
te ror payment medium fom cash 0 ee
card was Bi i
a Me red cards has diferent impact on spending
the volver spend less when induce fo spend witha credit eard, whereas convenience
ay the opposite patter.
1p, Bans Patel and Urvi_ Amin 20
Fowards Cash Less Society”
tecomes inevitable part of 1
fevelopment would take better place and
jundry and eff
in their research paper “Plastie Mone:
in_any ‘transaction Pla
‘becomes more easy and
mg with the plastic money it becomes possible
tion of financial system would become
ion.
“plastic Money a way for cash Less Payment
of Credit card was measured a luxury, and
Jectronic payments was and used by only
s, but
15, Manivannan (2019) in his research paper
hat Plastic Money ie. usage
ese plastic money and el
‘aelity extended not only to customers in urban areas 0
rural area. However, ‘today, with development of ig and
come group or salaried classes are also start using the P
ems and particularly Credit cards.
trading
‘money and electronic payment syst
stressed on the Usage and perception of plastic
vel, perception and
14, Vimala V. and Dr. Sarala K.S., (20
money among the customers of BO!
usage of new innovative services in repards to plastic money
her research paper
Jhanism” have thrown
c cards asin case of plastic card
services as they have to bear
cost especially the indirect
-é consumer liability and
prudent use of the new
15. Sushma Pati, (2014) Anupama Sharma (2016)in “Plastic card frauds
and the countermeasures: towards a safer payment mec it on the
umber offauds inreased considerably in the usage of plastic
frauds the most affected partes are the merchants of goods and
th fil iability for losses due to frauds, the banks also bears some
cost whereas the cardholders are least affected because of
Concluded that all these losses can be dealt with by making
‘echnology and taking the respective counter measures. .” Consumer response towards the usage of plastic
chy enphas cof shift of plastic money in India by consumers from
7 vi Debit cards ~The distribution of plastic money has
card oor has become more aggressive, Moreover, duplication of users is an
wo! ea sr soncern forthe industry Which can exaggerate the number of active uses.
int ax makes an attempt to understand the aftereffects of recession on plastic
si nis mpl om consume preferencs, The paper dy ives the
sine cards among the Indian consumer and the factors infuencing the card
00
soci
toile CHAPTER:- 3
RESEARCH METHODOLOGY
| >
esearch Methodology
Or
Research problem :-
frame of this study c i
she sampling t ly comprises plastic money holder of district Ke
fandom sampling technique has been adopted for this study. The data for this study
single md using survey questionnaires,
oe gare
primary ata has been collected from 85 respondents. selecting a respondent , due to
Forant was even 10 various féstrs such age, gender, income, etc primary data tas been
ved from the respondents through structured questionnaires the secondary data for the
sy 828 collected from the published journals, magazines and other periodical, books on
ezrch WOTKS
nema services were also used to gain the latest information various websites website,
Objective
+ To identify the different types of plastic money available with customers in district
Kangra.
«To study the customer's satisfaction level from plastic money.
« Tostudy of advantage and disadvantage plastic money.
+ Research design
Itis the framework of research methods and techniques chosen by the researcher.
+ Nature of study
The nature of study states as descriptive eum analytical.
+ Nature of data
The study is based on primary data and secondary data.
* Source of data
rnnaire which is suitable for this study and
Primary data is collected through qu ‘
secondary data are collected from different websites.
2 =
sample design
gis a fundamental part of s
fa population because
ssamplin
ding of
a n.
ie
Methods and Technique of sampling
convenience sampling is used for sampling here, because Plastic money uses ee
inthe erea
sed was Non probability Convenience sampling because the
ing the questionnaire were chosen convenienty from the area of SNOLLVLIAIT gor the study
ye shortage
eis very small compared to population of the study.
y the scope ofthis study is limited to district Kangra only.
G cop apical
say covers only seven types plastic cards,
sepresent st
ais ollected from secondary sources
online dat
nd Technique of sampling
ethods #
camenience sampling is used for sampling here, because Plastic money users are
segs ow it the area
ramping, method used Was Non probability Convenience sampling Peeause the
Tie Sa hosen for filing the questionnaire were chosen conveniently from the area of
e ie ich was entire im Kangra district.
pata source =
primary Sources:-
im nce both qualitative and quantitative data, Data were generated through
duesionnaire asa research instrument
jeearch Approach: Survey method
Research Instrument Questionnaire
Types of Questionnaire: Structured
+ Size of sample
Sample size is limited upto 85.
* Tools of analysi
Percentage analysis is used as a tool in this study. SONIGNIA GNV SISATVNV 5 respondents by means of Questionnaires/Schedules and then
were as follows :-
page
ae"
Not —— 5
1 Kee one NO. Ye
IO 63 7411765
10 11.7647
[50-40
40-50 8 9.411765
50 above 4 4.705882
_—— Total 85 100
nn
chart no.
Chart Title
: oo-
—
nee 1820 2030 30-40
series
terpretation
fr
at eae table itis clear that 74.11% of respondent opine that the number of age 18-
teyare te ofthe respondents opine that they are 30-40. 9.41% of the respondents opine that
1.50. And 4,70% of the respondents opine that they are 50 above. No. %
a 48.23529 |
44 51.76471
100.
Chart
male female total
series
Interpretation
Frm the above table above it is clear that 48.23% of respondents opine that the number of
\hle. 51.76% ofthe respondents opine that the number of Female. %
0
1.176471
44.70588—_—|
3411765
100
Chart Title
»
—_ —
1 2 0
mSeriest
Interpret
ion
a pare table it is clear that 0% of respondents opine that the number of less than.
aa 17% of the respondents opine that they are 10,000-20,000. 44.70% of the
ey lents opine that they are 20,000-50,000. And 54.1 1% of the respondents opine that
‘te 50,000 above. %
5.882353
1882353
54.11765
“21.17647
100
series
Interpretation :
fhe number of Farmer.
Fum the above table it is clear that 5.88% of respondents orn Cot the respondents opine
188% ofthe respondents opine that they are House wife. 54.1 1"
. other.
tutgy ae student. And 21.17% of the respondents opine that they are secards ste most convenient way of paying,
ow Plast
a
8.23529
B.50041
8.235294
0
100
Chart Title
2
a
>
a
a
H
: oo -
it 2 3 4 s
seriest
laerpretation
fam the above table tt is clear that 48,23% of respondents opine that the number of strongly
3% of the respondents opine
‘es 43.52% ofthe respondents opine that they are agreed. 8.2:
strongly disagreed.
tet
‘hey are disagreed, And 0% of the respondents opine that they are %
tn AR ARARS
No:S(a)
Chart Title
lc
{48.48% of respondents opine that the number of ur
pine that they are lack of knowledge 12.12 rthe
ick of trust misuse by other. And 3.03% of 38.87353
29 | ¥%—
85 100 |
ato
Chart Title
a
®
8
od Both Total
tetpretation
Frm
'etable itis clear that 27.05% of respondents opine that the number o
9% of the respond
‘espondents opine that they are card. A\
te both, tt)
Chart Title
eo
AM Cedteard—Oebitcard other
Tout
laerpretation
Clear that 70.88% of respondents opine tha the number of ATM
S opine that they are credit card, 13.92% of he respondents opine
‘Debit cards, And 0% ofthe respondents opine that they are other,
34 ~$8.82353
Chart Title
Total
ieepeetation
reel «clear that 58.82% of respondents oP!
the respondents opine that they are No-
ine that the number of Yes: javeany Pes oF plastic cardye
wn
yo
Chart Title
No Tol
is clear that 91.76% of respondents opine thatthe numberof Yes
ts opine that they are No.
36 a jogo preter PAY YOUE Uy gy
or
Chart Title
.
s
o 8 fl -_ |
as Card Cheque ther Total
Series
ipetation
mee ‘uble it is clear that 12.94% of respondents oping thatthe number ie
rine espondents opine that they are card, 62.35% ofthe respondens opi
‘ofthe are cheque, And 1.17% of the respondents opine that they are ote —
Findings.
nan po0Ok above and 0% of the
1.000.
196 respondents of S en's 5.8% respondents of Famer
Jae £82396 respondents of erongly agreed an Og *sPondents ofthe strongly
disagreed,
Bee ie ee icc TACRM ee oF the number of cards,
27.05% respondents ofthe number of cash, .
z
Z
i
z
3
q
g
3
3
ze
3
a
E
z
2
that 62.35% of respondents pay bills by cheque. And 12.9495
* Te ubl clear that 48.23% of respondents opine tha the number of agreed to
Pefed way f payment, And 12.94% respondents ‘ine that they are disagreed
* Thetable is clear that 47, 05% of respondents opine that the number of strongly agreed
tobelieved the plastic Money is safest mode of transaction, And 0% of respondents
‘Postal the numberof strongly of disagreed,
* Fone ables clear tha 54.119 OF the respondents opine tha they are disagreed to
Secret card are expensive. And 3.52% of the Tespondents opine that they are
“ely disagreed,
"hh
7 he table ig Clear that 74.119% of respondents opine that the number of paper
"caried. And 25 g904 ofthe respondents opine that they ae plastic money.
ae isa
ans ear that $4.1 1% of respondents opine that the are plastic money to
the 0% of the espondents that they are both.
= r
var that 47.05% of the respondents opine that once in a month for cash
e table is cles
1.17% of the respondents opine that they are never.
withdrawal. And
76.47% of the opine that the number of yes to SMS alert. And
pe table is clear that
dents that the number of no.
73.52% ofthe respon
Jear that 89.4% of the respondents opine that n0 f0 fraud of credit
.m the table is ¢
8% of the respondents opine that yes.
«Fro!
gebit card. And 10:5 CHAPTER:-6
RECO
MMENDATIONS AND SUGGESTIONS 7 ee
F neon
A ittee appointed b
svlevel comm yy the Res
ane! +e in Indi erve Bank of
: wncies in India on Tuesda ank of India
ak cae electron y recommended th: dia
voi and elect nic means of payment. fat the central bank shi
. + . should ence
report, the committee head purage
E rt notes detected at ar a deputy governor Usha Th
wv gst in 2008-09. The numb: es and RBI offices incre rat said the number
in a age oh er of counterfeits detected ased from 102,687 in 2a.
wurde the installation of not ae een tone eae pieces in the "
6 te detectors at places where large v et RBI take steps to
lume cash transact
tions
(RBI) to counter the mena
lace
ge conducted”.
‘he committee Was formed on 26 At
ugust after a lar;
jeces worth. Rs4.02 crore ‘ge cache of fake
f Ae aiesh. sani in recovered at the Domariaganj re around 75,000
ote the use of plastic eo management welcomed this at bark
5 ey. managing director jendation to
e-payment infrastruct lees 1 of Venture Infc
switched to eee provider, its time Inia reduc s prem ae ne aa
ayment systems as ¢é rds ‘ ‘on cash and
ahsolutely welcome step in the right a a and electronic payments. “This is an
Suggestions.
Lt was found that i
Ehetcity Bill ete ra Fi as don’t prefer to pay their utility bills like Telephone Bill.
cal 9 Pls ic cards. In the changing scenario of today where everything is
ess, there is a great need to educate and motivate the people to pay
their utility bills by Plastic money.
nt way of payment. Gone are the days
| With the P.M
to make their payments
departmental Stes.
his new was oF
2M
2 I as Found that people find cards as a conveniel
quired people to carry huge amount of cash
Mr Nare i
arocery ent Modi’s emphasis on Cashless transactions in banks,
jets, Apparel stores etc, now the people in Kangra are adapting 10 #
transaction.
restriction of the ints of
fund transler need w be
11 algo lead 10 the
ining 10 the
3. Reducti
eduction i
ction in Cashless transactions i
Duplica
“ale e
eee ae road. Safety measures PEN :
encourage and assure people $° that the use of Paste money inereases
age. Multiple level of
that induces US usa = i secure
rant factor
yrp (One Hime assworl >
4 Safety j
secutity ce Plastic money is an impe!
sites) ould be insured like Password,
instead of http etc.
) FF
pansaction charges on online transactions should be waived off to induce the people to
a plastic cards more.
u ‘ 5
: subsidy 0” Electronic Transactions can also lead to increased usage of Plastic cards.
people should be motivated to make more use of Plastic cards while travelling. Travel
Ci mpanies can IVE discounts to lure the customers to make the use of Plastic cards.
g, Plastic money can play a very important and in fact a major role in the eradication of
coruption in India. These are the reasons that how are it possible:-
«Every money transfer or transaction is maintained and recorded and also the transactions
of crores and crores of money cannot go unrecorded. Each official can have only that much
ofamount that he eams or has saved through his or her earnings.
None of the money transactions are illegal. As, all the money transfer and transaction
happens through bank accounts, none of the illegal money can be transferred.
« All the conversions of the Indian currency into dollars or Swiss dollars are recorded and
also their amount is recorded if a lot of money is converted.
© The number of fraudulent money practises are reduced as no fake paper notes can be
printed as they are not usable.
© All the transactions will be recorded and also payments made in this manner are billed out
in order to maintain a proof of the transaction made, Hence this will eradicate the problem of
lack of evidence when it comes to transactions made. Many a times, we do not 43 take a cash
memo from the shopkeeper although it is the only record or proof that says that we have
purchased an item from that shop.
9, Thumb scanning facility can be incorporated with plastic money usage > that the safety is
insured and people get assured to use plastic cards. Thus, this study has tried to throw some
light on the factors affecting the usage , prospects and growth potential of Plastic card usage
in Kangra along with some suggestions to increase the usage. lf
CHAPTER:-7
CONCLUSION —
onclasion-
plastic money has been helpful in many ways but if we do not manage our plastic cards in a
r0net way will lead to overspending, financial burdens, and financialstress. Plastic money
Meonvenient, less risky, and safer than paper money, but it's important to remember that it is
“x compulsory that you should use plastic money especially if you are not able to manage
four money while using the plastic cards. When we spend cash, there is emotional pain
re ciated with handing over our money ‘and concretely knowing we now have less in our
wallets. Like every coin has two sides, this initiation also has its own advantages and
‘eadvantages. Availability of POS Machines and Security of transactions is a major concer
for people which is hindering to get more inclined towards plastic money. Thus banks needs
to take steps to build better and safer payment gateways with high security programmed
software which does not give a lead to data theft or hacking of monetary details of the users.
Banks should educate people through awareness programs briefing about the uses of plastic
and the usage directions to the financially illiterate population as well as the existing -
fustomers. At last it is concluded that plastic money hhas avery bright future in the coming
years because of the increasing trend of e-commerce.
plastic money is getting the acceptance from consume™ ue to the convenience and life style
symbol. The banks are targeting the card seamen to penetrate into unexplored areas and
mance the alternative revenue steam. The launch ‘of Rupees provides the opportunity for
indian banking system to reduce the dependence on foreign card providers. The flexibility
and cost effectiveness of Rupees cards Will vahanee the penetration of cards in India in rural
and semi urban areas. The supportive Policy framework of BJP government may also
artpanee the financial inclusion and adoption of cards with schemes like Jan Dhan Yojana.
