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A Study On Investors Awareness Towards Investment In Post Office With Special Reference To Chitradura City

CHAPTER 1

INTRODUCTION1.1 IntroductionInvestment is the sacrifice of future reward. All Investment choices are at points of time in accordance with the personal investment ends in contemplation of an uncertain future. Investors in securities will, therefore, from time to time, reappraise and re-evaluate their various investment commitments in the light of new information changed expectations and ends.

The two key aspects of any investment are time and risk. The sacrifice takes place now and is certain, the benefit is expected in the future and tends to be uncertain. In some investment (like government bonds) the time element is the dominant attribute. In other investment (like equity shares) both time and risk are important.

It explores the broader economic environment in which the financial services industry operates and looks at how economic activity is determined and managed in different economic and political systems.

Almost everyone owns a portfolio as investment. The portfolio is likely to comprise financial assets [bank deposits, post office deposits or post office savings schemes, bonds, stock, and so on. And real assets (car, house, and so on)] the portfolio may be the result of a series of haphazard decision on may be the result of deliberate and careful planning.This qualification provides a comprehensive introduction to the financial services industry, with a specific focus on investments. It is the first step in the CISIs qualification pathway, and is taken by many practitioners as it is the foundation exam for higher level CISI qualifications.The qualification covers key, financial principles and products in depth including assets and markets, equities, bonds, derivatives, investment funds and taxation, investment wrappers and trusts.

1.2 Review of LiteratureKrishnamoorthy, C., (2008) has analyzed the profile and awareness P F salaried class investors and their attitude and satisfaction towards investment. In has been concluded that all salaried were aware of bank deposits public provident schemeness, insurance schemes. Post office saving schemes gold and however only few was aware of UTI.1Lakshmi Kumar, Jyothi prasad Mukhopadhyay, (2009) examined the Investors problems faced by mutual fund required complete understanding of the peculiarities of the India stock market and also the awareness of the small investors. The study has made an attempt to understand the financial behavior. Investors perception towards postal investments and the study would also be informative to the investors.2Pallavi Seth,G.N., Patel. K,. Krishnan K., (2010) examined the level of financial literacy among people residing in Delhi and National Capital Region(NCR) who invest in different financial instruments, like post office saving schemes. Providing familiarity with and understanding of financial market products, especially rewards and risks in order making informed choices. The study indicated that the financial literacy of investors in Delhi and NCR was different for different financial instruments.3

Gaurav kabra, Prashank Kumar Mishra, Manoj kumar Dash,(2010) focused ont knowledge about key factors that influence investment behavior and ways these factors impact investment risk tolerance and decision making process among men and women and among different age groups. Many individuals find investment to be fascinating because they can participate in the decision making [recess and see the of their choices. The trade because they think they have information, when in reality they make nothing but noise and trade only because trading brings them joy and pride.4Veena K, Pailwar, (2010) examined the Impact of membership of financial institutions on rural savings, has been undertaken with the objectives, to analyze the rural savings. Tamilnadu (India) analysis of the study was undertaken with the help of survey conducted. Investors are more aware about various investment conservative in nature and they prefer to investment in those avenues where risk is less like bank deposit, small savings. Post Office Savings etc.5Rotika Aggarwal (2012) India is one of rapidly growing Economies of Asia. Emergence of several significant trends such as liberalization and globalization; demographic shift towards urbanization monetization of the economy especially the agricultural sector giving rise to a corresponding demand for financial service by all sections of the society, many provides better returns, high interest rates, tax saving, high quality related services and much more benefits. It has positioned its postal saving products as different on the important attributes of safety.6 Senthil kumar kesavan, Vijayabanu Chidam baram, Amudha Ramachandran, (2012) examine that India is mainly characterized people who save money with a high confidence level. The aim of the study is to get more insight on investment behavior of individuals based on their demographic factors such as age, the retired persons opt for various investment avenue because they have fulfilled all their responsibilities in life and they also have proportionately reduced income at this level.7Pandiyan, L., Aranathan J., (2012) examine the status of attitude of the salaried people on savings or investment is evaluated in this article, from the factor analysis of the opinion date, seven underlying, dimensions of saving or investment. In this article the attitude of the salaried towards savings and investment is assed. Life style characteristics to different investors by the size and the nature of their investment holdings. He found that the failure to use lifestyle characteristics for further segmentation blurs some real difference between individual inventor and their financial device need.8Parimal Kanthi L., Ashok Kumar M.,(2013) mobilization of domestic financial resources has remained a major concern in many developing countries. In India, domestic savings originate from three principal sector. The study also aims to study the investment objectives, investment purpose and investment awareness of the small investors relating to post office savings schemes in the given socio-economic backdrop.9Palanivelu V.R., Chandra kumar K., (2013) analysed investment is the employment of funds on assets with the aim of earning income or capital appreciation. Investment is the most important things today people are earning more, but they do not know where, when and how to invest. This paper classifies Indian investors into different personality types and explores the relationship between various demographic factor, and the investment personality exhibited by the investors.10Anon, (2013) has focused on International money transaction and investment in India post office, present private sectors Bank in the 2013-14 budget they give performance for establishment. India post has a 151 years long history that why adopting the new scheme (technologic changes, internet banking and investment transaction.111.3 Objectives of the Study1. To examine the investors satisfaction about investment Schemes available in post office and banks.2. To study the investment avenues available in post office and banks.3. To identify the problems faced by investors while investing post office or banks.4. To give suitable suggestions based on identified problems.1.1. Need for the Study:

The Indian Economy is growing significantly and various investment options but the Government of India has provided the oldest investment option. In the present scenario the need for the investment is continuously being felt and hence to attitude and belief of the people have changed as compared to those, a few years ago, the new trends in investment trends among investors when they invest in various aspects. The present study seeks to examine investors satisfaction towards investment in post office and banks. This may help to understand the investment options in post office and banks and also it is needed by where they can invest their investments.An attractive feature of investment or savings schemes is favorable tax treatment, while contribution to certain schemes carries tax concession; return an almost all schemes have some tax exemption.

1.2. Scope of the Study:

The scope of this study is mainly confined to comparative study on investor satisfaction towards investment in post office and banks and also this study is restricted to Chitradurga city only. This study gives information in general, regarding how the investors satisfied to invest their money in post office and banks.1.1 Research Methodology

To conduct this study the following parts of research methodology are adopted they are:

Collection of Data

Data are collected through primary and secondary sources.

Primary SourcePrimary data are collected through questionnaire and direct interviews with the respondents for valuable information.

Secondary Source

Secondary data are collected with the help of text books, magazines, journals, newspapers and internet source.

Chart No. 1.1

Sources of Data

i. Sampling Size

To carried out present study 50 respondents are chosen by using random sampling technique.

ii. Tools and Techniques used

To make analysis and interpretation of data in every study use some statistical tools and techniques. To carried out analysis and interpretation of study percentage is

Used as tool.

1.2 Limitations of the Study

1. This study is limited to Chitradurga city only.

2. The data collected from the questionnaire will be made, on the assumption of the data are provided by the respondent are accurate.

3. Time constraint.

4. The analysis has been done on the basis of the value and information obtained from the respondents.

1.4 Chapter SchemeChapter 1: IntroductionThis chapter starts with Introduction about Investment, Review of Literature, Objectives of the study, Scope of the study, Need for the study, Research methodology, Limitation of the study, and finally ends with chapter scheme.

Chapter 2: Investment- A conceptual framework

This chapter deals with introduction of investment, meaning, definition, concepts of investment, factor influencing for selection of investment avenues, investment management and investment process.

Chapter 3: Post office V/s BanksChapter 4: Analysis and Interpretation: This chapter contains the analysis and interpretation of data.Chapter 5: Findings, Suggestions and Conclusion: This chapter deals with major findings, suggestions and conclusion of the study.

Table No.1.1References of Review of Literatures

Sl. No.References

2Pallavi seth, patel G.N.,Krishnana, K.K.April 2010, financial literacy and investment decisions of Indian investors, a case of delhi and NCR .

1Mrs Kanthi, K., Dr.Ashok kumar M ., Jan2013. post office savings and its relevance rural areas (wit. Parimala h reference to makukkarai block, Coimbatore district).internatational journal of scientific research .vol.2(1),p.p.27-29.

3Ritika Aggarwal, Dehradun., Dec2012., identifying factors influencing preference towards post office saving schemes.a research paper with reference to garhwal region in uttarakhand.international journal of research in management and technology. Vol.2(6). Issue 2249-9563.

4Gaurav Kabra, Prashant kumar Mishra, Manoj Kumar dash4 .2010. asian journal of management research. Factors influencing investment decision of generation in India; an econometric study. online open access publishing platform for management research. Issue 2229-3795.

5Senthil kumar ,vijayabanu Chidambaram, amudha ramachandran, 2012.,an evidence-based investigation into the implications of socio-economic factors for private investment decision-making in the context of India., investment management and financial innovation, vol.9(1).issue.1.

6Pandiyan, L., and Dr. Aranganathan, T., May-June 2012.,savings and investment attitude of salaried class in cuddalore district.jornal of business and management vol.1(1).p.p.40-49

7Mrs. Parimal kanthi, K.and Dr. Ashok kumar, M., Sep2013.,holding behavior of individual investors in Coimbatore district.India journal of research vol.2(9).p.p.27-30.

8Palanlvelu , V.R., and Chandrakumar, K. March2013.,a study on preferred investment avenues among salaried peoples with reference to namakkal taluk,tamil nadu,India.,international conference on business, economic, and accounting.

9Bruner, R.F.,2007, case studies in fincance, 5th , tata McGraw Hell, delhi-8.

10Lakshmi Kumar, Phd and Jyoti prasd Mukhopadhyay., patterns of financial behavior among rural and urban clients; some evidence form tamil nadu,, institute for money, technology and financial , inclusion., India.

CHAPTER - 2

HISTORICAL BACKGROUND OF INDIAN POST OFFICE2.1 Introduction

The Department of posts, trading as India post, is a government operated postal system in India; It is generally referred to within India as The Post Office. The India office was placed in India on 10 October 1854. As on 31 march 2011, the Indian Postal Service has 1, 54,866 post Offices, of which 1,39, 040 (89.78%) were in rural areas and 15,826 (10.22%) in urban areas. It had 25,464 Departmental post offices and 129,402 extra departmental branch offices(post).

At the time of Independence, it has 23,344 Post Offices, primarily in urban areas. On average, a post office serves an area of 21.23 square kilometers and a population of 7,114; it is the most widely distributed postal system in the world.

The network has registered a six fold growth since Independent, with the expansions focus primarily in rural areas. The Indian postal service is also involved in other services, such as,

Small savings banking, and

Financial services.

The postal service is under the Department of posts, which is part of the Ministry of Communications and Information Technology of the government of India. The apex body of the department is the postal service Board, consisting of a chair and six members. The six board members govern personnel, operations, technology, postal life insurance, human resource development and planning. The joint secretary and financial adviser is also a permanent invitees.The India has been divided into 22 postal circles, each circle headed by a chief postmaster general. Each circle is divided into regions, headed by a postmaster general and comprising field units known as divisions. These divisions are further divided into sub-divisions, headed by ASPs and IPSs.

Other functional units, such as,

Circle stamp depots

Postal store depots, and

Mail motor service.

May exist in the circles and regions. In addition to the 22 circles, there is a base circle to provide postal services to the armed forces of India . The base circle is headed by a Director General, Army Postal Service.

The highest post offices in the world is Sikkim, Himachal Pradesh, India at a height of 15.500 feet (4700metres).

2.2 HistoryNo other Institution ever has come closer to human lives as the Post Office. A Post Office, historically also a Post house, is a forming part of a postal for the posting, receipt, sorting, handling, transmission or delivery of mail, such as letters, small packages, and usually money.

Post Office reaches every corner of the country. This is one of the reasons why many of the government, non-government organization, when faced with difficulties of reaching the largest possible number of people, have thought of the agency of the post office for the purpose. The India post office not carved out of a single rock.

Since, time immemorial the Kings have maintained channels of communications for their exclusive use, for receiving and sending the news of political and economic importance.

The earliest references to transmission to massages are found in the sacred lore in the ancient scriptures of India. The earliest of these is in the? Atharvaveda? One of the four Vedas? The supreme and the first scripture. Later, Ramayana and Mahabharata, two of the greatest epic, mention of the transmission of messages.

322 BC

A large establishment for the transmission of messages is recorded for Mouryan Emperor Chandragupta..

1206 AD

The first Sultan of Delhi, Qitb-ud-din-aybak was sultan for only four years, but he created the messenger post system.

1296

In India a system of carrying messages was in existence during the reign of Allauddin Khilji in 1296.

1310

Ibn batuta, the Moraccan Traveller to India had detailed the Mail system of Sultan Mohammed bin Tughlaq.

1541-1545

Massive re-organisation of this system took place under Sher Shah Suri. It was developed and maintained under the Mogul and later rulers.

2.2.1 English East India Company, (1672-1857)

The English East India Company had a presence in India since the early 17th century. As it expanded its influence, there was a need to establish and maintain official and commercial mail system. 1672

In the south of India, in 1672 Raja Chuk Deo of Mysore began efficient postal services which were further improved upon by Haider Ali.

1688

The East India Company opened a post office in Bombay in 1688 under the name Company Mail, followed by similar offices in Calcutta and Madras.

1766

Lord Clive established a postal plan on 24 march 1766 in west Bengal.

1774

Warren Hastings made the services available to the general public. The fee charged was two annas per 100 miles. The post office Department of East India Company was first established on 31 March 1774 at Calcutta.

1778

The Madras presidencies established similar arrangements in their regionalism capitals.

1781

Postmaster-general was appointed in 1781 (situation needed).

1792

The Bombay presidencies established similar arrangements in there regional capitals.

1793

When Corn Wallis introduced the permanent settlement, Financial responsibility for maintaining the official post rested with the Zamindars.

2.2.1.a Post Office Act, 1837In 1835 a committee was set up unification of customs and postal system of the presidencies. The result was the first India post office act of 1837. October 1. It not only provided for uniform rates and routes but for the uniform designs and other specification of the post marks for each category of the post office. Post offices were established in major towns, and post master appointed.

2.2.1.b Post Office act, 1854 A commission was setup in 1850 by lord Dalhousie and submitted its report in 1851 that resulted the post office act of 1854. postage stamps were introduced, postal rates fixed by weight, and no longer dependent on distance. The provision of this act the monopoly of carrying mail in entire area of British possessions in India were granted to India post office and office of the director general of post offices of India was established.Mr. H P A B Riddle, till then the postmaster general of North West presidency, was appointed the first director general in May 1854. the adhesive stamps were issued on 1 October 1854 on all India bases.

2.2.1.c First Telegraph Act for India , 1854

East India Company government in India considered constructing signaling towers (Telegraph towers), each 100 feet high and 8 miles apart, from Calcutta to Bombay.

Public telegram service was begun in 1855, the charge was fixed at 1rs per each 16 words (including the address) for every 400 miles of transmission. Charges were doubled per telegrams sent 6.00p.m to 6.00a.m;2.2.2 Posts and the British Raj (1858-1947)

The British Raj was instituted in 1858. 1861 there were 889 post offices handling nearly 43 million letters and over 4.5 million newspapers annually. In 1865 the stamps were printed on paper water marked with an elephants head. In 1870 the first superintendent of the post officer was appointed.

In 1879 was post card was introduced. On April 1882, post office savings banks opened throughout India (2except in the Bombay Presidency). Postal life insurance began on first 1 February 1884 as a welfare measure for the employees of the posts and telegraphs department. The worlds first official airmail flight took place in India on 18 February 1911, a journey of 18kilometres lasting 27 minutes.

Telegraph and telephone made their appearance as part of the postal service before becoming separate departments. The post and Telegraphs departments are merged in 1914. Postal strikes of 1920, which lasted for about five months, caused complete dislocation of the postal service.

A major re-organization of the posts and Telegraph department took place.Indian postal order had its origin in 1930. Quit India movement, a number of post offices and letterboxes were set on fire mails could only be exchanged with great difficulty. It led to dislocation of postal lines in many.

2.2.3 Post Independence services

Since Indian independence in 1947 the postal service continues to function on a nationwide basis, providing a variety of services. The structure of the organization has the directorate at its apex; below it are circle offices, Regional offices, sub-post offices and Branch post offices.

In April 1959, the Indian postal department adopted the motto Service before Self; it revised its logo in September 2008.2.3 Postage-Stamp History2.3.1 First adhesive postage stamps in Asia

The first adhesive postage stamps in Asia were issued in the Indian district of seined in July 1852 by Bartle frre, chief commissioner of the region.

The scinde stamps became known as Scinde Dawks; these stamps with a value of anna, were in use until June 1866.the first all-India stamps were issued on 1 October 1854.2.4 Post life insurancePostal life insurance was offered to other department employees of all central and state government departments, nationalized banks, public sector and financial institution, local municipalities, district councils and educational institutions. It was extended to all rural residents on 24th march 1995.2.5 Project ArrowProject arrow was launched in April 2008. The project plans to upgrade post office in urban and rural areas, implemented in more than 15,500 post offices, and cosmetic improvement have been made in 1530 the department of posts received the prime ministers award for excellence in public administration during 2008-09 for Project Arrow Transforming India Post on 21st April 2000.

2.6 Technology and ComputerizationThe government has approved an information technology (IT) modernization project in the department of posts of computerization of all post and mail offices, administrative and other offices, establishment of IT infrastructure and software development.Multipurpose counter machines with computers were introduced in post offices in 1991. Because for the purpose of improve customer service and increase revenue staff productivity, 25,000 department post office (out of 25,464) have been computerized from 2006-07 to 2012-13. A plan (costing Rs 1877.2 crore) has been formulated to computerize Rural post office.

2.7 Postal Index Number Codes

The postal Index Number (PIN) is a six-digit code of post-offices numbering introduced on 15th August 1972. There are nine PIN regions in the country; the first eight are geographical regions, and the ninth reserved for the Army Postal Service.

First digit indicates the regions

First two digits indicates the sub- region

The first three digits indicates a sorting district, and

The last three digits indicate the delivery post office.

2.8 Controversy

India post was embroiled in controversy when a right to information queiry by Satyendra Singh revealed that a majority of post offices in Indias capital city are inaccessible to persons with disabilities.2.9 Postal Savings Schemes2.9.1 Recurring Deposits Introduced 1981Recurring Deposit (RD) and Time Deposit (TD) introduced. It is operated all Head and Departmental Sub Post Office.

Any individual (a single adult or two adults jointly) can open an account. Advance Deposits earn rebate.

Four defaults are allowed.

Rate of interest 8.30%

Maturity value of a 5 years RD account opened on or after 1-4-2013 with monthly deposit of INR.10% Shall be INR.744.53.

Defaults can be paid within two months.

Part withdrawal facility available Premature closure allowed after three years.

Pay Roll Savings Scheme is also available for employees of various Establishment.Table No.2.9.1Recurring Deposit Scheme

Type of AccountMinimum DepositMaximum Deposit

Individual AccountINR. 10/- and in multiples of INR. 5/- thereafterNo limit.

Source: secondary dataYear 1982

Monthly Income Deposit Scheme IntroducedMonthly Income Scheme (MIS) Account

Safe & sure way to get a regular monthly income.

Specially suited for retired employees/ Senior Citizens or any one with high sum for investment.

Rate of interest 8.40%.

Maturity Period - Five Years.

No Bonus on Maturity i.e. 01.12.2011. Auto credit facility to SB Account.Table No.2.9.2

Monthly income SchemeType of AccountMinimum limitMaximum limit

SingleINR 1500/-INR 4.5 lakhs

JointINR 1500/-INR 9 lakhs

Source: secondary data

Above scheme operates automatically, if you open a saving bank account and give a request for automatic transfer of Monthly Income Scheme interest to Recurring Deposit through Saving Bank account.

Year 1987

National Savings Certificates IntroducedNational Savings Scheme (1987) was introduced with effect from 1.4.1987 and discontinued from 1.10.1992). National Savings Certificates (NSC)

NSC VIII Issue

Scheme specially designed for Government employees, Businessmen and other salaried classes who are Income Tax assesses.

No maximum limit for investment.

No Tax deduction at source.

Certificates can be kept as collateral security to get loan from banks.

Investment up to INR 1,00,000/- per annum qualifies for IT Rebate under section 80C of Income Tax Act.

Trust and HUF cannot invest.


Maturity value of a certificate of INR.100/- purchased on or after 1.4.2012 shall be INR. 151.62 after 5 years. NSC IX Issue


INR. 100/- grows to INR 234.35 after 10 years.

Minimum INR. 100/- No maximum limit available in denominations of INR. 100/-, 500/-, 1000/-, 5000/- & INR. 10,000/-.

A single holder type certificate can be purchased by an adult for himself or on behalf of a minor or to a minor.


Maturity value of a certificate of INR.100/- purchased on or after 1.4.2012 shall be INR. 236.60 after 10 years.Buy National Savings Certificates (NSCs) every month for Five years Re-invest on maturity and relax - On retirement it will fetch you monthly pension as the NSC maturesYear 1988

Kissan Vikas Patras was introduced and it is operated at all Head and Departmental Sub Post offices. But now days this scheme closed.

Year 2004

Senior Citizens Savings Scheme IntroducedSenior Citizens Savings Scheme was introduced, of this scheme is 2.8.2004. Scheme will be operated through all Post Offices.

1. A new avenue of investment and return for Senior Citizen.

2. The account may be opened by an individual:

a. Who has attained age of 60 years or above on the date of opening of the account.

b. Who has attained the age 55 years or more but less than 60 years and has retired under a Voluntary Retirement Scheme or a Special Voluntary Retirement Scheme on the date of opening of the account within three months from the date of retirement.

c. No age limit for the retired personnel of Defense services provided they fulfill other specified conditions.

i. The account may be opened in individual capacity or jointly with spouse.

ii. Non-resident Indians (NRIs) and Hindu Undivided Family (HUF) are not eligible to open an account.

iii. The individual may open one or more account in the multiple of INR.1000/-, subject to a maximum limit of INR.15 lakh.

iv. No withdrawal shall be permitted before the expiry of a period of five years from the date of opening of the account. The depositor may extend the account for a further period of 3 years.v. Premature closure of account is permitted1. After one year but before 2 years on deduction of 1 % of the deposit.

2. After 2 years but before date of maturity on deduction of 1% of the deposit.

Premature closure allowed after three years.

In case of death of the depositor before maturity, the account shall be closed and deposit refunded without any deduction along with interest.

Interest @ 9.20% per annum from the date of deposit on quarterly basis. Interest can be automatically credited to savings account provided both the accounts stand in the same post office.

Interest rounded off to the nearest multiple of rupee one.

Post Maturity Interest at the rate applicable to the deposits under Post Office Savings Accounts from time to time is admissible for the period beyond maturity.

Nomination facility is available in the Scheme.

The investment under this scheme qualify for the benefit of Section 80C

SCSS and transfer interest into RD account through SB account through written of the Income Tax Act, 1961 from 1.4.2007.

Monthly Income Scheme (MIS) and Senior Citizen Saving Scheme (SCSS) are the best for Senior Citizens who desire monthly/quarterly interest. Invest in MIS request and earn a combined interest of 10.5 % (approx.).This is the safest investment option for the Senior Citizens

On June 2013 India Post and national airline Air India have launched a new Logistics post Air Service. The service links 15 airports including Agartala, Delhi, Mumbai, Kolkata, Nagpur, Bangalore, Hyderabad, Chennai, Pune, Ahmedabad,Imphal, guwahati, patna,Lucknow and Trivandrum. The alliance offers three kinds of service-delivery to an airport post office, city-to-city deliveries for additional charges and a third category of door-to-door delivery services for additional fees.

REFERENCES: http://www.indiapost.gov.in.

http;//Wikipedia.org./wiki/Indian-postal-services http;//www.stampsofindia.com/read room/508.htm

http;//www.indiapost http;//www.gov.in/saving account.aspx.

http;//www.indiapost.gov.in/recurring deposits schemes.aspx.

http;//www.indiapost.gov.in/monthly deposits schemes.aspx

http;//www.indiapost.gov.in/national savings schems.aspx.

http;//www.indiapost.gov.in/senior citizen schemes.aspx http;//www.indiapost.gov.in.

CHAPTER 3

PROFELE OF SUB POST OFFICE JAGALURU

3.1 IntroductionThis chapter describes detail information about sub post office, Jagaluru. Which includes evolution, organization structure, vision and mission of head post office, jagaluru.

3.2 Meaning

A Post:

Display (notice) in a public place

The official service or system that delivers letter & parcels.

Send (a letter is parcel) VTA the postal System.B. Service:

The action of helping as doing work for someone.

Supply and maintain systems for public utilities and transportation and Communication in the town is small but well service.

3.3 EstablishmentThe historical place Jagaluru thaluk is one among the 6 thalok in Davanagere district in Karnataka state. This thaluk located East post of the Davanagere district. This place has been recognized as one of the leading commercial centre in Eastern district of Davanagere.The historical place and late shri. I mam sahib. Member of parlement of Karnataka in 1960, birth in Jagaluru.

A five rupees stamp has been released in the year 2003 by the Indiasn post department of postal services. The Jagaluru town is well connected between southern and northern part of Davanagere district. The head post office is a central government organization has its own landmark. Identity in the history, culture of 52 years old which was upgraded as sub post office early on 1997 June1.

Further the Jagalur post office is managed by:

EmployeesNumbers

Post Master01

Deputy post master01

Assistant Post master 01

Post man10

Sorting postman01

Marketing executives01

Postal assistants 14

Group D04

Accountant01

Control organization SB02

Source: primary data.

Under the control of Jagaluru post office the following are the sub post offices are:

Chikkamallanahale

Kyasenahalli

Donehalli

Marenahally

Mustur

Sokke

Salahalli

Bharamasamudra

Hiremallanahale

Hosakere

Gadimakunte

Kanukuppa

Anaburu

Kechanahalli

Hucchavvanahally

Diddigi

Pallagatte

Marikunte

Siddainakote

Hanumanthapura

Basavanakote

Asagodu

Kalledevapura

Sangenahally

Now the sub post-office Jagaluru is performing efficient manner and providing valuable services to its customers from over 15 years.

3.4 Organization setup of sub post office Jagaluru

The chief executive of sub post office is designated as higher selection grade (1) who is assisted by assistant post master (2), deputy post master are assisted by accounts and Clerical staff and other supporting staff to carry out routine service of the department.

The sub post, office, Jagaluru has the following organization setup under its Jurisdiction.

24 sub post offices

18 Branch post offices.

In addition, the speed post, marketing business post, Media post retail post, logistic post etc., are looking by the speed post manager. In the same way, the clearance of letter boxes, timely delivery public grievances are being attended by public relation postal inspector, provide a best services including old services to its customers.

Chart No. 3.4.1

Organization chart structure of sub post office

Source: Secondary data

3.5 Vision and Mission:

A. Vision Statement:

India posts products and service will be the customers first choice as well as the same statement is performing sub post office, Jagaluru.B. Mission statement:

To sustain Its position as the largest postal network in the work touching lives of every citizen in the country.

To provide mail parcel, money transfer, banking, insurance and retail services with speed and reliability.

To provide savings schemes services to the customers on value for money basis.

To ensure that the employees are proceed to be its main strength and serve its customers with a human touch.

To continue to deliver social security service and to enable last mile connectivity as a government of India platform.

3.6 Modernization and Computerization

As a all the sub-offices, the Jagaluru sub post office play a very pivotal role for fulfillment the people needs. It provides all types of service available in the postal organization. Postal operation @ this post office is provided all the basic service which includes.

(a) Sale of stamps and stationary

(b) Booking of insured articles

(c) Booking of registered articles

(d) Remittance of money through money order and postal order

(e) Booking of parcels.

Traditionally, these services are being provided @ manually operated counters, considering the vital need for providing the benefit of technology to the customers the counter operations are now being progressively computerized to provide a wider range of innovative service to the customers.

In order to processing and delivery of mail department has embarked on a policy of computerization and modernization of the head post office in the year 2000 2001.

3.7 Commitments of head post office, Jagaluru:

Quality policy:

India post aims to provide high quality mail, parcel, and related service in India and throughout the world and to be recognized as an efficient and excellent organization exceeding the expectation of the customers, employees and to the society. Jagaluru post office would strive to serve the customers as for the quality norms.

1. All citizens of India and users of postal services all over the world.

2. Institutions and others who have significant mail related requirements.

3. Private business that requires document and parcel related mail services to facilitate their tradition business as well as e-commerce.

4. Government organization, commission, independent bodies public sector units and other public authorities.

5. Non-government organization.

Services of head post office Jagaluru:

The Jagaluru post office provides various services depending on customers requirements to extended the benefit of huge network in the area of communication services (letters; post cards, parcels, etc.,) financial service (Savings, bank, money order international money transfer service, public life insurance) and premium value added service (life, speed post, business post, retail post etc).

3.8. Available of savings schemes in Jagaluru post-office

Saving Account

Recurring deposit scheme 1981

Time deposit scheme 1981

Monthly Income Scheme 1982

Public provident fund

National Saving Certificate 1987

Senior citizen savings scheme 2-004

Sukanya smaruddi scheme 2015.

3.9. References www.mypostoffices.com/../16.aspxwww.xombom.com/../57541/www.locateindia.in/jagaluru-davanagerewww.postalpincodefor.com/../karnatakawww.onefivenine.com/../577528CHAPTER 4INVESTORS AWARENESS TOWARDS INVESTMENT IN POST OFFICE SAVINGS4.1 Small Savings schemes4.1.1 Saving Account

Saving bank is one of major agency function of the department of posts. The schemes and the rules relating to them are formulated by the Ministry of Finance (Department of economic Affairs). Government of India.

The collections under post office saving Bank Account given us long term loan to the respective state Government for development activities. The investors of post office savings Bank, thus partners in the Nation building as well.

Features Saving bank account may be opened by an Adult in his/her invidual capacity or 2 or 3 Adult jointly, a minor above 10 years of age, a guardian on behalf of a minor, by pensioners.

The minimum balance must be Rs 50 for ordinary account and Rs 500 per cheque Account

The maximum balance cannot exceed Rs 1,00,000 in case of single Account and Rs 20,000 in case of joint account

Rate of interest of 3.5% per annum.

A public Account may be opened by an Association or Institution. The account carries an interest of 3%

Security deposit account may be opened by an agent who is required to deposit security in his capacity etc. the account carries an interest of 2%

Cheque facility is available

Cheques are accepted by all banks

Nomination facility is available

Any number of account can be opened limited to one per post office.

Table No. 4.1.1.A Rate of interest

Type of account Rate of interest per annum

Single Account

Pension Account

Joint

Sanchayika Account3.5%

3.5%

3.5%

3.5%

Source: Secondary dataTable No. 4.1.1.B

Post office savings schemes

schemeInterest payable

Rates, periodicity etc.Minimum amount for opening of account and maximum balance that cane be retainedSalient features including tax rebate

Post office saving account4.0% per annum on individual / jointMinimum INR 20/- for opening account Account can be opened by cash

Minimum balance to be maintained in a non- cheque facility account is INR 50/-

Cheque facility available if an account is opened with INR 500/-and for this purpose minimum balance if INR 500/- in an account is to be maintained

Cheque facility can be taken in an existing account also.

Interest earned is tax free up to INR 3500/- per year in single and INR 7000/- IN Joint Account for 2012-2013

Nomination facility is available at the time of opening and also after opening of account.

Account can be transferred from one post office to another

Source: Secondary data4.1.2 Time Deposit Account (TD)

In Time Deposit Account the depositor makes one lump sum deposit of Rs200/- or in multiples of Rs 200/- for a fixed term of one(1) year, 2years, 3years or 5years, the interest is paid once in a year at the rate prescribed on completion of the period. The deposit amount is repaid premature closure is permitted after 6 months and within year and no interest will be paid procedural rules are as for saving account.

Features Any individual ( a single adult or two adults jointly ) can open an account.

The term of deposit shall be 1year, 2years,3years, or 5years.

There is no limit for deposit .

Interest is payable annually but calculated quarterly.

Group Account, institutional accounts and miscellouns account not permissible.

Trust, regimental fund or welfare fund not permissible to invest.

In case of premature closure of 1year, 2year, 3years or 5years account or after 01-12-2011, if the deposit is withdrawn after 6months but before the expiry of one year from the date of deposit simple interest at the rate applicable to from time to time to post office savings account shall be payable.

Rate of interest 8.20%,8.20% 8.30%, 8.40% compounded quarterly for 1,2,3,&5year to account respectively.

The investment in the case of 5years Time Deposit qualify for the benefit of section 80C of the Income Tax Act 1961 from 01-04-2007.

Table No. 4.1.2.A

The table shows post office time deposit scheme

SchemeInterest payable, rate,

Periodicity etc.Minimum amount for opening of account and maximum balance that can be retainedSalient features including tax rebate

Post office Time Deposit AccountInterest payable annually but calculated quarterly.

From 01-04-2013,interest rates are as follows period rate

1year,A/C 8.20%

2years A/C8.20%

3years A/C 8.30%

5years A/C 8.40%Minimum INR 200/- and in multiple there of, no maximum limit Account may be opened by individual.

Account can be opened by cash/cheque and in case of cheque the date of realization of cheque in govt.account shall be date of opening of account

Nomination facility is available at the time of opening and also after opening of account

Account can be tr4ansferred from on post office to another

Any number of account can be opened in any post office. account can be opened in the name of minor and a minor of 10 years and above age can open and operate the account.

Joint account can be opened by two Adults.

Single account can be converted into joint the vice versa.

Minor after attaining majority has to apply for conversion of the account in his name.

The investment under 5years TD qualifies for the benefit of section 80C of the Income Tax Act,1961 from 01-04-2077

Source: Secondary dataTable No. 4.1.2.BTable shows rate of interest of Time Deposit schemes

Period during which openedRate of interest per annum

FromTo1 year2years3years5years

01-01-199914-01-20009%10%11%11.5%

01-03-200128-02-20027.5%8%9%9%

01-03-200228-02-20037.25%7.5%8.25%8.25%

01-03-200328-02-20066.25%6.5%7.25%7.5%

01-03-200704-04-20138.20%8.20%8.30%8.40%

Source: Secondary data4.1.3 Recurring Deposit (RD)Recurring deposit accounts provide for monthlh deposit maturing at 5years. The depositor opens RD account with a definite denomination, goes on depositing every month for a period of 5years and gets a sizeable amount at the end of the team, since the deposit is recurring is mature every month, the scheme is named as recurring deposit premature closure is permitted after one year on SB rate of interest. This scheme is very popular among salaried people.

Recurring Deposit Account

Any individual (a single adult or two adults joints can open an account)

Advance deposits earn rebate

Four defaults are allowed.

Rate of interest 8.30%

Maturity value of a 5 years RD account open on or after 01-04-2013 with monthly deposit of INR. 10% shall be INR 744.53

Defaults can be paid within two months

Part withdrawal facility available

Premature closure allowed after three years.

Pay roll saving scheme is also available for employees of various establishment.

Table No 4.1.3.A

Table Shows post office recurring deposit scheme

SchemeInterest payable, rate, periodicity etc.,Minimum amount for opening of account and maximum balance that can be retainedSalient features including tax rebate.

5year post office Recurring deposit accountFrom 01-04-2013 interest rate are as follow

8.30%per annum (quarterly compounded)

On maturity INR 10% Account fetches INR 744.53.can be continued for another 5years on year to year basis,Minimum INR 10% per annum month or any amount in multiple of INR 5/- no maximum limit Account can be opened by cash/cheque and in case of cheque the date of deposit shall be date of presentation of cheque.

Nomination facility is available at the time of opening and also after opening of account


Any number of accounts can be opened in any post office.

Account can be opened in the name of minor and a minor or 10 years and above age can open and operate the account

Joint account can be opened by two adults.

Subsequent deposit can be made up to 15th day of next month if account if account is opened up to 15th of a calendar month and up to last working day of next month if account opened between 16th day and last working day of a calendar month.

There is rebate on advance deposit of at least 6 installments.


One withdrawal up to 50% of the balance allowed after one year.

Full maturity value allowed on RD A/C restricted to that of INR 50/-denomination in case of death of depositor subject to fulfillment of certain condition

Source: Secondary data Table No. 4.1.3.BTable Shows maturity value from time to time (for denomination of Rs 10)

Period during which opened

FromToAmount repayable for an account of Rs 10

15-01-200028-02-2001789.60

01-03-200128-02-2002758.53

01-03-200228-02-2003748.49

01-03-200330-02-2007728.90

01-03-2007On words744.53

Source: Secondary data4.1.4 Monthly Income Scheme (MIS)

In the monthly Income Scheme accounts depositor make one lump sum deposit for a period of 6 years of 1,00/- as multiples of Rs 1000. The depositor gets monthly interest from the very next month of the deposit. After maturity, he will get back the deposit amount with an additional 10% as bonus. Premature closure is permitted after one year. The procedural rules are as for savings accounts there is no concession for income tax.

Features An account be opened by an individual adult 2 or 3 adults jointly or a guardian on behalf of a minor.

Minimum deposit an account must be Rs 1000/-

Maximum deposit an single account is Rs 300,000 and in a joint account it is Rs600,000

Rate of interest 8%

10% bonus on maturity, (withdrawn i.e. 13th Feb 2006)

Auto credit facility to SB account

Maturity period 6 years

Income by means of interest up to Rs 12,000 is exempted for payment of income tax under section 80L of Income Tax Act.

Table No .4.1.4.ATable shows safe and sure way to get a regular monthly income

Post office monthly income scheme (MIS)

SchemeInterest payable rate, periodicity etc.Minimum amount for opening of account and maximum balance that can be retainedSalient features including tax rebate.

Post office monthly income account schemeFrom 01-04-2013 interest rates areas follows. 8.40% per annum payable monthlyIn multiples of INR 1500 Maximum investment limit is INR 4.5 lakhs in single account and INR 9 lakh in joint account

An individual can invest maximum INR 4.5 lakh in MIS (including his share in joint accounts)

For calculation of share of an individual in joint account, each joint holder have equal share in each joint account Account may be opened by individual.

Account can be opened by cash(cheque and in case of cheque the date of realization of cheque in government account shall be date of opening of account.

Nomination facility is available as the time of opening and also after opening of account.


Any number of accounts can be opened in any. Post office subject to maximum investment limit by adding balance in all accounts.

Account can be opened in the name of minor and a minor and a minor of 10 years and above age can open and operates the account.

Joint account can be opened by two or three adults.

Single account can be converted joint and vice versa.


Maturity period is 5 years from 01-12-2011

Interest can be drawn through auto credit into savings account standing at same post office, through PDCs or ECS.

Can be prematurely encashed after one year but before 3 years at the discount of 2% of the deposit and after 3 years at the discount of 1% of the deposit (discount means deduction from the deposit)

A bonus of 5% on principal amount is admissible on maturity in respect of MIS accounts opened on or after 08-12-2011, no bonus is payable on the deposit made on or after 01-12-2011.

Source: Secondary dataTable No: 4.1.4.BTable shows monthly income scheme accounts

Period during which opened

Minimum amount of deposit (Rs)

Maximum amount in case of single account

Rate of interest per annum (Rs)

Interest payable on minimum deposits (Rs)

FromTo

02-09-199331-12-19986,0002,04,0001365.00

01-01-199914-01-20006,0002,04,0001260.00

18-07-200028-02-20011,000300,000119.167

01-03-200128-02-20021,000300,0009.57.917

01-03-200228-02-20091,000300,00097.5

01-03-200628-02-20091,000300,00086.66

01-04-2011On wards15,000900,0008.404.3.6

Source: Secondary data4.1.5 Public Provident Fund Scheme (PPF)

Public provident fund scheme is a statutory scheme. Under this scheme self employed person, like doctors, agriculturists, lawyers, merchants can avail the facility of provident fund with effect from 01-07-1968.

PPF account can be opened in the state Bank of India and its subsidiaries, Head post office and certain authorized branches of National banks and post office which are authorized to open PPF account by head of circles regional PMCs.``

Features The account carries an interest at the rate of 8% per annum

Investment up to 70,000/- per annum qualified for IT rebate under section 80C of IT Act.

A minimum deposit of Rs 500/- is compulsory in a financial year.

12 deposits can be made in a year.

Deposit by cheque/ cash including outstation cheque may be opened.

Account will be retreated as discontinued if the minimum deposit of Rs 500/- is not made in financial year.

Surcharge at the rate of Rs.50/- will be livid on discontinued accounts.

Deposits made on behalf of wife or minor children will be treated as deposit made by the investor himself.

Only one account, either in post office or in bank only may be opened.

Table No: 4.1.5.ATable shows post office public provident fund

SchemeInterest payable rate,

Periodicity etc.Minimum amount for opening of account and maximum balance that can be retained

Salient features including tax rebate

Post office public provident fund accountFrom 01-04-2013 interest rates are as follows

8.70% per annum

(compounded yearly)Minimum INR.500/-Maximum INR.1,00,000/- in a financial year.

Deposit can be made in lump sum or in 12 installments. An individual can open account with INR 5% but has to deposit minimum of INR 500/- in a financial year and maximum INR 1,00,000/-

Joint account can not be opened.

Account can be opened by cash/ cheque and in case of cheque, the date of realization of cheque in government accounts account shall be date of opening of account.

Nomination facility is available at the time of opening and also after opening and also after opening of account. Account can be transferred from one post office to another.

The subscriber can open another account in the name of minors but subject to maximum investment limit by adding balance in all accounts.

Maturity period is 15 years but the same can be extended within one year of maturity for further 5 years and so on.

Maturity value can be retained without extension and without further deposits also.

Premature closure is not allowed before 15 years.

Deposits qualify for deduction from income under sec.80C of IT Act.

Interest is completely tax free.

Withdrawal is permissible every year from 7th financial year from the year of opening account.

Loan facility available from 3rd financial years.

No attachment under court decree order.

Source: Secondary dataTable No: 4.1.5.BTable shows post office public provided fund scheme accounts.

PeriodMinimum AmountTotal

AmountInterest Rate

FromTo

01-04-198614-01-200010060,00012%

15-01-200028-02-200110060,00011%

01-03-200128-02-200210060,0009.5%

01-03-200214-11-200310060,0009%

15-11-200228-02-200750070,0009%

01-03-200328-02-200750070,0008%

01-03-2008On wards 5001,00,0008.70%

Source: Secondary data4.1.6 Senior Citizen Savings Scheme (SCSS)

Any person who is of 60 years and above person who has attained the age of 55 years or more but loss than 60 years who has retired under VRS on the date of opening the account. He can open the account within three months from the date of retirement. Person should attach the certificates along with application for opening the accounts from the employee.

Indicating the fact of retirement under such VRS retirement benefits, employment held long the with period of such employment..

Features NRI and HUF cannot open the account.

Joint account can be opened only with spouse .

Depositor should produce certificate for age proof PAN and two photographs while opening the accounts.

Deposit can be made by cash or cheque if the amount of deposit is more than one lakh deposit should be made only by cheque.

Depositor may operate more than one account in multiples of Rs 1,000/- subject to the condition that the balance in all the accounts taken together shall not exceed the maximum limit Rs 15,00,000 not more than one account opened in the same post office in the same calendar month.

The account carries interest of 9% per annum interest shall be payable quarterly on March 31,june 30, September 30, and December 31. Unclaimed interest will not earn any interest Rs 2,250/- will be paid at the end of each quarter on a deposit of Rs 1,00,000/-

Interest can be automatically credited to SB Account if the SB Account is also opened in the same post office Senior Citizens Savings SchemeTable No: 4.1.6

Table shows interest table showing the amount of interest to be paid for complete quarter at the rate of 9 percent

Amount of deposit interest per quarter Rs.Interest per quarter amount of deposit Rs.Amount of deposit interest per quarter Rs.

1,00022.5030,000675.00500,00011,250.00

2,00045.0040,000900.00600,00013,500.00

3,00067.5050,0001,125.00700,00015,750.00

4,00090.0060,0001,350.00800,00018,000.00

5,000112.5060,0001,575.00900,00020,250.00

6,000135.0070,0001,800.0010,00,00022,500.00

7,000157.5080,0002,025.0011,00,00024,750.00

8,000180.0090,0002,250.0012,00,00027,000.00

9,000202.501,00,0004,500.0013,00,00029,250.00

10,000225.502,00,0006,750.0014,00,00031,500.00

20,000450.003,00,0009,00,00015,00,00033,750.00

50,000500.005,00,000No limit20,00,000No limit

Source: Secondary data4.2 Cash Certificates4.2.1 National Saving Certificate (NSC)

NSCs are encashable only on maturity. As the name itself indicates. The period of maturity is 6 years. The amount payable to the investor is printed on the back side of NSC. One of the cardinal features of NSC is that the investment made under these qualities for rebate of Income Tax under Section 88. Even the interest earned every year is deemed have been reinvested an thus qualifies for Tax rebate.

Features Scheme specially designed for Government employees. Business men and other salaried class who are IT assesses.


No tax deduction at source.

Certificates can be kept as collateral security to get loan from banks.

Investment up to Rs 1,00,000/- per annum qualifies for IT rebate under Section 80C of IT Act.

Trust and HUF cannot invest.

Interest is compounded 6 month. The following interest accurse on a certificate of Rs 1,000/0 denomination after the period mentioned.Table No. 4.2.1

National Savings Certificate interest rateYearsRs.

1 year81.60

2 years88.30

3 years95.50

4 years103.30

5 years111.70

6 years120.80

Source: Secondary data Certificates nature in a period of 5 years, the maturity value of certificate of different denomination is as follows:Table No. 4.2.2

Maturity value of certificate of different denomination

Denomination Rs.Marketing value Rs.

100160.10

500800.50

1,0001,601.50

5,0008,005.00

10,00016,010.00

Source: Secondary data The interest occurring annually deemed to be re-investment will also qualify for tax rebate under Section 88 of IT Act. Such interest is deductable under section 80-l of IT Act.

Loan can be taken from Banks on security of the certificates.

Deposits qualify for tax rebate under section. 80C of IT.References

http://www.indiapost.gov.in. http;//Wikipedia.org./wiki/Indian-postal-services http;//www.stampsofindia.com/read room/508.htm

http;//www.indiapost http;//www.gov.in/saving account.aspx.

http;//www.indiapost.gov.in/recurring deposits schemes.aspx.

http;//www.indiapost.gov.in/monthly deposits schemes.aspx

http;//www.indiapost.gov.in/national savings schems.aspx.

http;//www.indiapost.gov.in/senior citizen schemes.aspx

http;//www.indiapost.gov.in.

CHAPTER 5

ANALYSIS AND INTERPRETATION5.1. IntroductionThe data is processed in an understandable and meaningful manner. In tables and percentages are taken to respondents and then come to the conclusion as the overall performance of each sector as mentioned by the sample as a whole.

To gather required information on A STUDY ON INVESTORS AWARENESS TOWARDS INVESTMENT IN POST OFFICE SAVINGS research has been carried out. The survey has been conducted in Jagaluru city. The respondents were surveyed. information has been gathered by well-structured questionnaire. This chapter gives detailed view about survey data and also helps to find proper findings of the study. Based on results drawn in this chapter in the next chapter findings, suggestions are drawn. Information which collected from survey is represented tables and graphs.Table No: 5.1

Table shows classification of the Respondents based on Age Group

Sl. No.Age GroupNo. Of RespondentsPercentage (%)

1Below 20 years015

220-30 years1050

330-40 years0630

4Above 40 years0315

Total20100

Source: Field SurveyGraph No.5.1 Graph shows classification of the Respondents based on Age Group

Source: Field SurveyTable 5.1 shows that, out of 20 respondents, 50 percent of the investors age group exists between 20-30 years, 30 percent of the investors age between 30-40 years, 15 percent age is 40 years and above, remaining 5 age is below 20 years.The analysis shows that, 50 percent of post office saving schemes investors age lies between 20-30 years.Table No: 5.2

Table shows: classification of the Respondents based on Group of Gender.Sl. No.GenderNo. of RespondentsPercentage (%)

1Male1470

2Female0630

Total20100

Source: Field Survey

Graph No.5.2Graph shows classification of the Respondents based on Group of Gender.


Interpretation:

Table 5.2 shows that, out of 20 respondents, 70 percent of the investors are male and remaining 30 percent are female.The analysis shows that, 70 percent of male investors using post office savings schemes.

Table No: 5.3

Table shows classification of the Respondents based on marital status.Sl. No.Marital statusNo. of RespondentsPercentage (%)

1Married1470

2Unmarried0630

Total20100


Graph No.5.3Graph shows classification of the Respondents based on marital status.


Table 5.3 shows that, out of 20 respondents, 70 percent of the investors are married and remaining 30 percent are unmarried

The analysis shows that, 70 percent of married investors are invested in post office saving schemes.

Table No: 5.4

Table shows Educational classification of the Respondents based on Qualification.Sl. No.EducationNo. of RespondentsPercentage (%)

1Up to SSLC0630

2PUC0315

3Graduate0630

4Post Graduate0210

5Any other0315

Total20100


Graph No.5.4 Table shows classification of the Respondents based on Educational Qualification


Table 5.4 shows that, out of 20 respondents, 30 percent of the investors were upto SSLC and graduate, , 15 percent were PUC and others, and remaining 10 percent were post- graduate.

The analysis shows that, 30 percent investors are using saving schemes are completed SSLC and graduate. Table No: 5.5 Table shows classification of the Respondents based on Occupation Sl. No.OccupationNo. of RespondentsPercentage (%)

1Agriculturist015

2House wife0420

3Business0945

4Labour000

5Student0210

6Other0420

Total20100

Source: Field survey

Graph No.5.5Graph shows classification of the Respondents based on Occupation Source: Field Survey

Table 5.5 shows that, out of 20 respondents, 45 percent of the investors are businessman, 20 percent are house wife and others, and remaining 10 percent are students. The analysis shows that, 45 percent of businessmans are using post office saving schemes.Table No: 5.6

Table shows classification of the Respondents based on Monthly incomeSl. No.Monthly incomeNo. of RespondentsPercentage (%)

1Below 10,0001155

210,000-20,000630

320,000-30,000315

4Above 30,000000

Total20100

Source: Filed survey

Graph No.5.6Graph shows classification of the Respondents based on Monthly income


Table 5.6 shows that, out of 20 respondents, 55 percent of the investors exists income below 10,000 and 30 per cent income is 10000 - 20000 and remaining investors income is 20000-30000.From analysis clear that majority i.e., 55 per cent of investors income lies below Rs 10,000.

Table No: 5.7 Table shows classification of the Respondents based on using Indian postSl. No.No. Of yearsNo. of RespondentsPercentage (%)

1Less than 5 years1260

25-10 years735

310-15 years15

4More than 150000

Total20100


Graph No.5.7Graph shows classification of the Respondents based on using Indian post


The table 5.7 shows that, out of 20 respondents 60 per cent as invested less than a year, 35 per cent of invested between 5-10 years and remaining 5 per cent between 10-15 years. From analysis it is clear that majority i.e., 60 per cent of investors were invested less than 5 year.Table No: 5.8

Table shows classification of the Respondents based on new services introduced by Indian post

Sl. No.ContentsNo. of RespondentsPercentage (%)

1Yes1050

2No1050

Total20100


Graph No.5.8 Graph shows classification of the Respondents based on New services introduced by Indian post


The Table 5.8 evident that, out of 20 respondents 50 per cent of respondents have awareness of new services and schemes and 50 per cent are not having awareness of new services and schemes.From analysis it is clear that 50 per cent of investors are awareness about new savings schemes.

Table No: 5.9Table shows classification of the Respondents based on which factors influenced to using saving schemes Indian post

Sl. No.Influenced factorsNo. of RespondentsPercentage (%)

1Advertisement15

2Wide coverage000

3Faith630

4Newness000

5User friendly000

6Security/safety1365

Total20100

Source: Field SurveyGraph No.5.9Graph shows classification of the Respondents based on which factors influenced to using saving schemes Indian post

The Table 5.9 shows that, out of 20 respondents 65per cent of respondents invested for security or safety purpose and 30per cent invested for faith and remaining 5per cent for advertisement.

From the above analysis its clear that. Majority of the respondents i.e.,65per cent investor invested for security or safety purpose.Table No: 5.10Table shows classification of the Respondents based on regularly using schemes Sl. No.Types of servicesNo. of RespondentsPercentage (%)

1Saving account1050

2Recurring deposit scheme1050

3Time deposit scheme00

4Monthly income scheme00

5Senior Citizen savings scheme00

6Public provident fund00

7National saving certificate00

8Other00

Total20100


Graph No.5.10Graph classification of the Respondents based on regularly using schemes


Table 5.10 shows that, out of 20 respondents 50per cent of each investor invested in savings scheme and recurring deposit.

From analysis it is show that, 50per cent of investors invested in savings scheme.Table No: 5.11Table shows classification of the Respondents based on using postal saving schemeSl. No.ParticularsNo. of RespondentsPercentage (%)

1Regularly630

2Regular intervals945

3Occasionally525

Total20100


Graph No.5.11 Graph shows classification of the Respondents based on using postal saving scheme


Table 5.11 shows that, out of 20 Respondents 45per cent are invested by regular intervals, 30per cent are regularly and remaining 25per cent are occasionally.

The analysis shows that, majority i.e.45 per cent are regular intervals. Table No: 5.12Table shows classification of the Respondents based on investment objective in postal saving schemeSl. No.ParticularsNo. of RespondentsPercentage (%)

1Return1365

2Safety630

3Liquidity15

4Tax benefit00

Total20100


Graph No.5.12Graph shows classification of the Respondents based on investment objective in postal saving scheme


Table 5.12 shows that, out of 20 respondents 65per cent respondents are invested for the purpose of return, 30per cent for safety and remaining 5per cent for liquidity. From analysis shows that, majority i.e.65 per cent of respondents are invested for return.Table No: 5.13Table shows classification of the Respondents based on level of satisfaction about recurring deposit in postal saving schemeSl. No.ParticularsNo. of RespondentsPercentage (%)

1Excellent945

2Good315

3Average525

4Any other315

Total20100


Graph No.5.13Graph shows classification of the Respondents based on level of satisfaction about recurring deposit in postal saving scheme


Table 5.13 shows that, out of 20 respondents 45 per cent of investors satisfied excellent 25 per cent average and remaining 15 per cent satisfied by both good and poor.

From the analysis it is clear that, Majority i.e., 45 per cent of investors satisfied as excellent.

Table No: 5.14

Table shows classification of the Respondents based on drawback found in postal saving scheme Sl. No.ParticularsNo. of RespondentsPercentage (%)

1Market risk420

2Scheme risk210

3Flexibility210

4Any other1260

Total20100


Graph No.5.14Graph shows classification of the Respondents based on drawback found in postal saving scheme

Source: Field SurveyTable 5.14 shows that, out of 20 respondents Table, 60 per cent of investors not found any drawback, 20 of respondents found market risk and remaining 10 per cent found flexibility and scheme risk.

From the analysis it is clear that, Majority i.e., 60 per cent of investors not found any drawback.

.Table No: 5.15Table shows classification of the Respondents based on satisfaction of present saving schemesSl. No.ParticularsNo. of RespondentsPercentage (%)

1Yes20100

2No000

Total20100


Graph No.5.15

Graph shows classification of the Respondents based on satisfaction of present saving schemes

Source: Field SurveyTable 5.15 shows that out 20 respondents 100 per cent of respondents of satisfied with present savings schemes.

From the analysis shows that 100 per cent respondents satisfied with present savings schemes.Table No: 5.16

Table show classification of the Respondents based on feeling of Indian postal saving schemes

Sl. No.ParticularsNo. Of RespondentsPercentage (%)

1Excellent00 00

2Moderate1 5

3Good1995

4Poor0000

Total20100


Graph No.5.16Graph shows classification of the Respondents based on feeling of Indian postal saving scheme

Table 5.16 Shows that, out of 20 respondents 95per cent of investors as good remaining 5 per cent investors feeling as moderate.

From the analysis shows that majority i.e, 95 per cent investors feeling good.

Table No: 5.17Table shows classification of the Respondents based on Awareness about upcoming saving schemes by Indian postal Sl. No.ParticularsNo. of RespondentsPercentage (%)

1Yes0000

2No20100

Total50100

Source: Field surveyGraph No.5.17Graph shows classification of the Respondents based on Awareness about upcoming saving schemes by Indian postal

Source: Field Survey Table 5.17 shows that out 20 respondents 100 per cent of respondents are dont have an idea about upcoming saving schemes.

From the analysis shows that 100 per cent respondents dont have an idea about saving schemes. Table No: 5.18Table shows classification of the Respondents based on satisfaction towards promotional activities used by Indian postal saving scheme Sl. No.ParticularsNo. of RespondentsPercentage (%)

1Excellent210

2Better1155

3Good735

4Bad0000

Total20100

Source: Field SurveyGraph No.5.18Graph shows classification of the Respondents based on satisfaction towards promotional activities used by Indian postal saving scheme

Source: Field Survey5.18 Shows that, out of 20 respondents, 55 per cent of investors satisfied promotional activities as better, 35 per cent as good and remaining 10 per cent as excellent.

From the analysis it is clear that, Majority i.e., 55 per cent of investors satisfied with promotional activities as better.

CHAPTER 6

FINDINGS, SUGGESTIONS AND CONCLUSION6.1. Findings 50 per cent investors age lies between 20-30 years.

70 per cent of investors are male.

70 per cent of investors are married.

30 per cent of such investors are SSLC and Graduate.

45 per cent of investors occupation as business.

55 per cent of investors are invested of Rs below10, 000. 60 per cent of investors are invested less than 5 year. 50 per cent of investors are awareness about new savings schemes. 65per cent investor invested for security or safety purpose. 50per cent of investors invested in savings schemes. 45per cent of investors are regular intervals. 65per cent of investors are invested for the purpose of return. 45 per cent of investors satisfied as excellent. 60 per cent of investors not found any drawback. 100 per cent respondents satisfied with present savings schemes. 95 per cent of investors are feeling as good. 100 per cent respondents dont have an idea about saving schemes. 55 per cent of investors satisfied with promotional activities as better. 6.2 Suggestions The post office savings of India should be improved and need to growing because competition has been enhancing rapidly.

The Indian post office necessary to be introduce more and more new savings schemes.

Indian postal savings should giving more and more promotional activities and rural areas.

Indian postal savings providence yet not reaches to rural areas up to the mark. Even though post office developing rapidly but not aware about new post office schemes in rural areas people. Therefore, necessary to more concentrate on promotional activities. The India post should introduce fast service like ATM, money transfer and internet-transaction in rural areas all over India. All banks are providing ATM service in cities because for withdrawn the money in convenient way. Need to improve the rural area post offices, In these post offices they didnt provide all India postal savings because they need to investors awareness about rural people.6.2. Conclusion

Though, tried to incorporate the learning from global postal reforms and have provided comprehensive recommendations covering all aspects based on our understanding of the Indian postal scenario. But this is a very old institution, perhaps one of the oldest and thus it has developed many faces along with the course of its evolution. The goal of this study is to gain some insights into innovation in the postal sector. Some institutions are more investment oriented but some are not.

In earlier years India post is the only one institution providing postal schemes. Post office savings bank in India differentiates its offer by building a unique bundle of competitive advantage. It has positioned its postal saving schemes as differentiating on the important attributes of safety, security and risk free. POSBs are still preferred by investors awareness as it is fully backed by government and functioning for long. The trust is high in investors where safety of deposit money is more important issue than the return on investment. The only problem lies is that it is not taking strong steps to deliver and communication the desired position to target customers.

One of the important challenges towards Indian post office is the evolution in IT (computerization, networking, automation, process reengineering). Which has provided automation technology to the banks and other financial institutions.

Many investors and employees are satisfied with new changes adopted by India postal savings. But still few customers are not aware about savings schemes.

Therefore, in future India Postal Savings is needed to think about the same thing that is how to satisfy unaware about investors with its Investors awareness toward investment in post office savings and innovation and technology of post office.

QUESTIONNAIRE

Dear Respondent, Myself NAGARAJA .R a student of Fourth Semester M.Com, P. G. Centre, Chitradurga. I have undertaken a Project report on A STUDY ON INVESTORS AWARENESS TOWARDS INVESTMENT IN POST OFFICE SAVINGS (A Case Study on Post Office, Jagaluru) under the guidance of Mr. RAMESH .R. In partial fulfillment of the requirement of the M. Com degree. Therefore, I request you to fill this questionnaire.I assure you that the information collected from you will be utilized only for the academic purpose, your response in very helpful in making this project a success.

Thanking You

Yours faithfully,

(Mr. NAGARAJA .R)

1) Name:

2) Address:

3) Age a. Below 20 years

[ ] b. 20 -30 years [ ]

c. 30 -40 years

[ ] d. 40 years and above [ ]4) Gender a. Male

[ ] b. Female [ ]5) Marital Statusa. Married

[ ] b. Unmarried

[ ]6) Education:a. Up to SSLC

[ ] b. PUC

[ ]

c. Graduate

[ ] d. Post Graduate

[ ]e. Other, Specify .. 7) Occupation

a. Agriculturist

[ ] b. House Wife

[ ]

c. Business

[ ] d. Labour

[ ]

e. Student

[ ] f. Others specify

8) Monthly income (Rs.)a. Below 10,000

[ ] b. 10,000-20,000 [ ]

c. 20,000 30,000

[ ] d. Above 30,000 [ ]9) From how long you are using Indian postal service?

a. Less than 5 years

[ ] b. 5 10 years

[ ]

c. 10 15 years

[ ] d. More than 15 years [ ]10) Do you have awareness about the new saving schemes introduced by Indian post office?

a. Yes [ ]

b. No [ ]11) If yes, which type of savings you may know?

a. Saving Account

[ ] b. Recurring Deposit scheme [ ]

c. Time Deposit Scheme

[ ] d. Monthly Income scheme [ ]

e. Senior Citizen savings scheme [ ] f. Public Provident Fund [ ]

g. National Saving Certificate [ ] h. Sukanya samruddi scheme[ ]

12) Which factor influenced on you to use saving schemes of Indian post office?

a. Advertisement

[ ] b. Wide Coverage [ ]

c. Faith

[ ] d. Newness [ ]

e. User friendly

[ ] f. Security/safety [ ]13) Which saving scheme is regularly using by you?

a. Savings Account

[ ] b. Recurring Deposit scheme[ ]

c. Time Deposit Scheme

[ ] d. Monthly Income scheme [ ]

e. Senior Citizen savings scheme [ ] f. Public Provident Fund [ ]

g. National Savings Certificate [ ] h. Others specify

14) How do you use postal saving schemes?

a. Regularly

[ ] b. Regular Intervals [ ]

c. Occasionally

[ ]15) What is your investment objective in postal saving schemes?

a. Return

[ ] b. Safety

[ ]

c. Liquidity

[ ] d. Tax benefit

[ ]16) According to your opinion, which saving scheme is most effective one

17) According to you what is your opinion about Time Deposit Scheme?a. Excellent

[ ] b. Good

[ ]

c. Average

[ ] d. Poor

[ ]

18) How do you feel about Public Provident Found (PPF)?

a. Excellent

[ ] b. Good

[ ]

d. Average

[ ] d. Poor

[ ]19) What is your level of satisfaction about Recurring Deposit Scheme in Post Office?

a. Excellent

[ ] b. Good

[ ]

c. Average

[ ] d. Poor

[ ]20) What is main drawback you found in postal saving scheme?

a. Market risk

[ ]

b. Scheme risk

[ ]

c. Flexibility

[ ]

d. Any other, Specify

21) Are you satisfied with present saving schemes?a. Yes

[ ]

b. No

[ ]22) How do you feel about Indian Post office saving Schemes?

a. Excellent

[ ] b. Moderate

[ ]

c. Good

[ ] d. Poor

[ ]23) Do you have an idea about upcoming saving schemes?a. Yes

[ ] b. No

[ ]24) What is your opinion about promotional activities used by India post when it introduces new saving schemes?

a. Excellent

[ ] b. Better

[ ]

c. Good

[ ] d. Bad

[ ]25) Please give your suggestions to India post?

..................................................................................................................26) What is your opinion about Head Post Office, Jagaluru?

.

..

27) What is your opinion about India post?

Date:

Place:

SignatureThanks for your co-operationBIBLOGRAPHY

BOOKS:

James Francis , Investment analysis and management, TATA McGraw-Hill edition publishing co.ltd., New Delhi

Fischer Donald E., and Ronald J., Jordan, Security Analysis and portfolio management, PHI publication, New Delhi.

Ravi .M. Kishore, Financial management ,Taxman publication.

Punithavathi pandian, Security analysis and portfolio management, Vikas publishing house.

ARTICLES:

V.R.Palanivelu, k. Chandrakumar, March 2013, International conference on business Economics and Accounting.

Kannada prabha kannada news paper,23rd October 2013, International money transfer and investment,3rd page in the additional sheet.REPORTS:

Sub post office,JagalureSS,annual reports of 2013-14.

INTERNET SOURCE:

http://www.indiapost .govt.in.

http://en.wikipedia .org/wiki/India-Post

http://en.wikipedia .org/wiki/Indian-Postal Service

http://www.stampsofindia.com/readroom/508.htm

http://en.wikipedia.org/wiki/postage-stamps-and-postal-history-of-india http://www.indiapost.gov.in/savingaccount.aspx http://www.indiapost.gov.in/recurring deposits schemes.aspx http://www.indiapost.gov.in/timedepositschemes.aspx http://www.indiapost.gov.in/monthlydepositsschemes.aspx http://www.indiapost.gov.in/public providentfund.aspx http://www.indiapost.gov.in/national savingscertificate.aspx http://www,indiapost.gov.in/senior citizen scheme.aspxSaving Bank

Publication Inspector

clerk

Cashier

peons

Peons

Attender

Attender

Group D official

Speed post man

Accountant

Department Staff vendors

Speed net in charge

Account officer

Post man

Speed Marketing Executive

supervisor in section grade

cashoversees

Speed Post Manager

supervisor MT mail treasury

Head post man

sub post office

Sources of Data

Secondary

Primary

Questionnaire and direct interview, Personal interview etc

Journals, textbook, internet, and news papers etc

D.O.S. in Commerce,P.G.Centre,Jnanagangotri , Davangere University, Chitradurga.Page 7

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