SUMMER TRAINING PROJECT

LOVELY PROFESSIONAL UNIVERSITY DEPARTMENT OF MANAGEMENT Report on summer training

THE LOAN PROCEDURE OF THE CENTRAL COOPERATIVE BANK LIMITED, JALANDHAR

A project submitted to Lovely Professional University, Phagwara in partial fulfillment of the requirement for the degree of MASTER OF BUSINESS ADMINISTRATION (MBA)

SUBMITTED BY Amit Kumar Reg. no. 11006923

SESSION: - 2010-12 LOVELY PROFESSIONAL UNIVERSTIY PHAGWARA, PUNJAB

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Certificate

This is to certify that Amit Kumar of M.B.A. (3rd semester) Registration number 11006923, section Q3003, roll number

RQ3003A18, School of Management, has successfully completed the summer internship project titled LOAN PROCEDURE AT COOPERATIVECENTRAL BANK, JALANDHAR as a part of partial fulfillment of the curriculums of MBA. This project had being done under my guidance for a period of seven weeks during the year 2011.

Mr. Vishal Chopra (Name and Signature of Faculty guide)

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DECLARATION

I, Mr. AMIT KUMAR hereby declare that this project is the record of authentic work carried out by me during the academic year 2011 2012 and has not been submitted to any other University or Institute towards the award of any degree.

Signature of the student

Amit Kumar

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CONTENTS
S. No. 1. 2. 3. 4. 5. 6. CHAPTER ACKNOWLEDGEMENT6 PREFACE.7 ABSTARCT..8 BANK PROFILE..9 LITERATURE REVIEW12 OBJECTIVE AND METHODOLOGY..15 - Objectives of Study....15 - Methodology..15 - Limitation of Study16 7. LOAN PROCEDURE OF THE CENTRAL COOPERATVE BANK LTD..17 - Meaning of Loan, Types of Loan...17 - Loan to Individual (Composite Loan, Vehicle Loan Personal Vehicle Loan SRTO, Consumer Loan)...19 - Loan to Industrial Units (Cash Credit Limit up to 10 lacks, Term Loan above Rs. 10 Lacks).28 - Loan to Trading Concerns...40 - Other Loans and NPA.41 8. 9. 10. 11. FINDING......44 SUGGESTIONS45 CONCLUSION.46 BIBLIOGRAPHY.48

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ACKNOWLEDGEMENT

I feel immense pleasure to give the credit of my Summer Training Project not only to one individual as this work is integrated effort of all those who concerned with it. I want to owe my thanks to all those individuals who guided me to move on the track. This report entitled to LOAN PROCEDURE OF THE CENTRAL COOPERATIVE BANK LIMITED.

I sincerely express my gratitude and lot of thanks to Mr. Vishal Chopra for helping me in completing my Summer Training Project and give me a ideas for doing my job and making it a great success. I would like to express my deep sense of gratitude to staff of District Central Cooperative Bank, Jalandhar who introduced me to the subject and under whose guidance I am able to complete my project.

Amit Kumar

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PREFACE
Lending or advancing loan is one of the two acid test function of banks. Lending is the very crux of the banking. Without lending the process of earning revenue or profit does not begin. The residual funds or deployable funds have to be used for lending very carefully, so that not only establishment and interest obligation etc. are met comfortably but reasonable return or funds is also earned. Obviously, the lending policy will always be under the monetary policy of the Reserve Bank of India. The basic function of bank as a lender is to afford short term accommodation when required for approved purpose. The source of the banks funds and extent of its other business emphasize the care which has always to be given to the liquidity of advances. Lending carries risks. A banker has to strive to earn profit without exposure to greater risks. Therefore, he has to keep in mind certain basic principles of lending. There are three basic principles behind all banks lending i.e. safety, liquidity and profitability. When a banker lends, he must feel certain that advance is safe, that is, the money will definitely come back. Liquidity refers to the readiness with which bank can converts its assets into cash with no or nominal loss. Bank should fix such lending rate that it can earn profit. Loans also promote the economic development of the country. All types of business activity including trade industry and agriculture have to depend on bank finance in one form or other. Banks by channeling accumulated savings of the nation into production uses help both the depositors and the borrowers. Bank assists in creating more employment and thus helps in raising the standard of living of the people. In this project report, I have tried to analyze the procedure followed by THE CENTRAL COOPERATIVE BANK LTD. while advancing various types of loan.

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ABSTRACT Introduction: - This study is about the loan procedure followed by The Cooperative Bank, Jalandhar. The major concern of this study is the types of loan provided and the procedure followed by The Central Cooperative Bank, Jalandhar. Objectives of the Study: - The main objective of this study is to explore the procedure followed by The Central Cooperative Bank, Jalandhar to sanction the loan. This study also cover the documentation for the loan i.e. what are the documents required for different type of advances and how they supervise, control and follow up the advances. Methodology: - This study is totally based on secondary data, interview of the bank employees and observation during the training period. Limitations of the Study: - The long period is required for this type of study 45 days are very short period for this study. Also The Bank does not provide the every data because to maintain the privacy of the customer. Finding: - The process for getting the loan from cooperative bank very tiring. On the paper the procedure is looking very easy but in practice it is very hard. The documents required for the loan is too much.

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CHAPTER-1 BANK PROFILE

THE CENTRAL COOPERATIVE BANK LTD. was registered under Cooperative Societies. Act in 1909 with the object to provide cheap and timely credit to the farmers though credit societies at the village level. Previously five unions were functioning as credit institution in the area of operation of the bank. In the years 1957, all these unions were amalgamated with the bank. In the very beginning total numbers of branches of the bank were two. After that with a view to provide service at the door stops of the branch, expansion program was taken up. In the year 1978, new branches were opened at focal points. Now it is providing service through its 72 branches. Out of these 72 branches, 22 are in the urban area 7 are in the semi-urban and 43 are in the rural areas.

OBJECT: - The main object of the bank is to act as a balancing center for all the affiliated cooperative credit and other societies. The bank provides financial assistance to all its members societies and also keeps surplus funds of these societies. The membership of the bank mainly comprises of societies registered in the area of operation of the bank. Earlier the individuals were also members of the bank. But with the amendment in the Cooperative Societies Act in 1969, the individuals member had been retired. Nominal membership is open to person or a class of persons, a society or a class of societies, an association, or a class of associations approved by the registrar.

SALIENT FEATURES OF THE BANK

Aggregate deposits are more than Rs. 410 crores. Aggregates Advances are above Rs. 200 crores. Different Schemes to cater to requirements of all types of customers. Moving towards computerization of all its branches. Facility for NRIs

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CAPITAL: - Although the bank was started with a very small capital but with the increase in the business, the share capital of the bank also increased. At present authorized share capital of the bank is Rs. 800 lacks. Against this Rs. 400 lacks have been subscribed by the member societies. At presents 923 members societies are affiliated with the bank as on 31/3/10 out of the total 246 societies are agricultural.

RESERVE: - The various types of reserves created out of the profits at present total reserves of the bank are Rs. 2765 lacks. The Bank are providing maximum dividend to the share holder societies.

DEPOSITS: - The internal resources of the bank are mainly raised from the deposits. The bank has made tremendous increase in taking deposits for the last three years.

2008 32710.97

2009 39021.85

2010 43258.43

The overall growth of the deposit of the bank during the year 2009-10 is 10.86%.

BORROWINGS: - Due to sufficient funds, the bank is not depending on the borrowings from the higher financing agencies. But the bank has borrowed under refinance scheme from National Bank for agriculture and Rural Development (NABARD).

LOAN AND ADVANCES: - I n the area of operations there are 246 Agriculturist service societies. Besides this there are two sugar mills are getting their working capital requirement from this bank. During the year 2009-10 these sugar mills have availed maximum limits. The maximum outstanding remained Rs. 3772.52 lacks during this year. During the last year the bank has advanced loans under different kinds as given here under: STA STNA CASH CREDIT : : : 11727.30 19307.65 15992.49 10 | P a g e

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MTA MTNA TOTAL

: : :

1.68 1973.12 49002.24

The Bank has diversified the present loan portfolio and issuing direct loan to Non Farm Sector, cash credit to traders, loan to consumers durables, overdraft facility to salary earner, vehicle loan under surplus fund scheme etc. due to diversification of loan portfolio, the loading of the bank has been increased. RECOVERY: - The Bank has made its all efforts to improve its recovery and to reduce its NPA. Almost all the old cases of the defaulters amounts in societies and individuals have been fully covered by the legal actions. The NPA %age of the bank is 1.13% of the total loan and advances.

COMPUTERISATION: - The Bank has introduced fully computerized system in the main branch, Civil line branch and NRI branch at head office. All the loans, deposits accounts have been computerized. The Bank has also developed its own software according to need and requirement of the bank.

ITNTERNAL CONTROL AND CHECKS: - At Head Office level an inspection cell under the supervision of deputy manager has been set up along with the subordinate staffs which ensure the regular internal inspection of the branches and compliance thereof. Further senior auditor of the Cooperative Audit department is also conducting the concurrent audit of the accounts of the bank.

AUDIT CLASSIFICATION: - On the basis of the guidelines issued by the NABARD the bank is being awarded A class audit classification since the last so many years.

BOARD: - The Management of the bank is vested in an elected board of Directors which was constituted in August, 1998.

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CHAPTER-2 REVIEW OF LITERATURE Application of Islamic banking instrument (Bai Salam) for agriculture financing in Pakistan (By, Ahmad Kaleem, Rana Abdul Wajid), 2009: Islam prohibits interest as a source of income or profit. The purpose of this paper is to explore the possible application of Bai Salam contract (forward sale agreement) as an alternative financial instrument in the agriculture sector of Pakistan. Empirical findings conclude that agriculture income represents only up to 60 percent of the income of an average farm household. About 70 percent of farmers participate in the credit market. They need money to purchase crops inputs, to pay the labour and to hire rental machinery. Farmers believe that they can save up to 25 percent in costs if they purchase inputs on cash. The survey also discloses that middlemen are the larger financers and buyers of crops in the rural economy whereby only 10 percent of transactions are conducted on a purely cash basis. Farmers usually return the money after the sale of the crop.

Agricultural financial market segments (By, Maud Roucan-Kane, Corinne Alexander) 2010: For agricultural bankers, agribusiness managers, and salespeople, understanding customers and their preferences and behaviors is crucial to success. The two goals of this paper are first to identify today's distinct market segments for financial products for US crop and livestock commercial producers, and second to predict segment membership based on observable characteristics. Although, traditionally, the financial services industry has segmented the market for commercial producers based primarily on sales/size categories; this research shows that this factor is not a significant predictor of behavior. Instead, this paper proposes segmentation based on buying behaviors and identify four distinct market segments for financial products and services for US crop and livestock commercial producers: balance, price, convenience, and service. The balance segment being by far the largest segment.

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Financial market development and corporate financing: evidence from emerging market economies (By, Godfred A. Bokpin), 2010: The purpose of this paper is to examine the effects of financial market development on corporate financing of emerging market firms to ascertain whether or not interactions in the financial market has any impact on the available choice of financing of firms. The findings of the research indicate significantly that the direction and magnitude of the impact of financial market development and macroeconomic variables on capital structure vary with the maturities of the security issue. It is also documented that firm level variables such as profitability, investment opportunity, asset tangibility and risk are equally important in predicting firms' capital structure decisions.

A Triple Hurdle Model of U.S. Commercial Bank Use of Guaranteed Operating Loans and Interest Assistance( By Dr. Bruce L. Ahrendsen, Dr. Bruce Dixon, Dr. Latisha A Settlage), 2011: Estimate a three-equation model of U.S. commercial bank usage of the Farm Service Agencys (FSA) guaranteed operating loan and interest assistance programs. Identify the key farm and banking variables that affect the decision to use loan guarantees and the volume of loans with interest assistance. Statistical selection is statistically significant so selection must be included in the models. Variables reflecting state-level characteristics such as farm debt servicing ratio, individual bank loan-to-asset ratio, bank size and the general guaranteed loan and interest assistance environment are significant in all three equations. Intensity of interest assistance use varies markedly across states.

The impact of decoupled payments on the cost of operating capital (By Jaclyn D. Kropp, James B. Whitaker), 2011: The purpose of this paper is to investigate how decoupled direct payments, paid to farm operators based on historical yields and base acreage, may lead to production distortions by altering a farmer's access to credit or enabling the farmer to receive more favorable credit terms. The authors estimate the impact of decoupled direct payments under the 2002 Farm Bill on the credit terms of farm operators, specifically the interest rate on short-term operating loans. If farm operators are able to obtain more favorable credit terms and reduce their operating cost, then this 13 | P a g e

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offers an additional mechanism through which decoupled payments may distort current production. As the proportion of base acres to total operated acres increases it is found that interest rates decline by a small but statistically significant amount. This implies that direct payments lead to lower operating costs through better credit terms.

Loan portfolio performance and El Nio, an intervention analysis (By Benjamin Collier, Ani L. Katchova), 2011: - This paper illustrates that natural disasters can significantly threaten financial institutions serving the poor. The authors test the case of a microfinance institution (MFI) in Northern Peru, where severe El Nio events create catastrophic flooding. The results indicate El Nio significantly increased problem loans, specifically the level of restructured loans. While restructured loans averaged 0.5 percent of the total loan portfolio before the El Nio, the estimated cumulative effect of El Nio indicates that an additional 3.6 percent of the portfolio value was restructured due to this event.

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CHAPTER-3 OBJECTIVES AND METHODOLOGY

OBJECTIVES OF STUDY: To study the loan procedures follow by Cooperative Bank. To study the various form of documents to be filled by the bank while disbursing loan to borrower. To study about the various kinds of borrower to whom the bank makes advances. To study the supervision, control follow-up of the advances.

METHODOLOGY PERIOD OF STUDY: -

The study was undertaken during 45 days training at The Central Cooperative Bank Ltd. Jalandhar.

SOURCES OF DATA: -

The project report is based on information collected from both primary and secondary data. After a detailed study an attempt has been made to present a comprehensive analysis of loan procedure of Cooperative Bank.

PRIMARY RESOURCES: - Regular visits to bank were made to obtain the required information and learn about the routine working of the bank. Interviews were held with the Branch Manager, Staff and Clerks about the loan procedure followed by the bank. During visit to bank, silent observations of routine functioning were also made.

SECONDARY RESOURCES: - Pamphlets, Statements of Affairs of Bank and Books published for the bank only from time to time, constitute the secondary sources of information for the project report. 15 | P a g e

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LIMITATION OF THE STUDY

In attempt to make this project report authentic and reliable, every possible aspect on the topic was kept in mind. Nevertheless despite this fact, constraints were at play during the formulation of this project. The main limitations are: Despite best efforts, vital documents of the borrowers were not shown by the bank in order to maintain secrecy of the customers account. In-depth knowledge of loan procedure and follow up requires considerable time. 45 days period was not sufficient time to conduct such a study. The chances of biased responses cannot be eliminated though all necessary steps were taken up to avoid the same. Some of the officers of the bank could not be contacted due to their busy schedules. This is also restricted the scope of study.

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CHAPTER-4

LOAN PROCEDURE OF THE CENTRAL COOPERATIVE BANK LIMITED Management of advance is one of the most important aspects of banking. The main revenue of the bank is derived from the interest income on advances and at the same time, it is single important item which constitutes the major asset of the bank. It becomes imperative that the funds lent by bank as loan are received back in time for recycling and make it sure; bank has to follow certain principles not only per sanction stage but also at the post disbursement stage.

LOAN: -

In a loan account, the entire amount is paid to the debtor, at one time, either in cash or by transfer to his account by way of interest, incidental charges, insurance premiums, expenses incurred for the protection of the security etc. The security may be personal guarantee or collateral security in the form of Shares, Debentures, Government Papers, Immovable Property, Fixed Deposit Receipt, Life Insurance Policies etc.

TYPES OF LOAN: -

There are different kinds of borrowers who approach the bank for different kinds of loan: WORKING CAPITAL LIMIT: - The terms working capital refers to the funds

1).

needed for the normal operation of the business, i.e. raw material, work in progress, finished goods, debtors/receivables, overhead expenses. It means funds required by a unit to carry out its day to day operation. Working Capital limit is also known as Cash Credit Limit. A cash credit is essentially a drawing account for which the bank fixes a limit and drawing power is operated in the same way as in a current account but within the limit sanctioned to the borrowing unit. The main advantage of cash credit account to borrower are that, unlike the party borrowing on a fixed loan basis, he may operate the account within the stipulated limit as and when required he can save interest by reducing the debit balance. Cash credits are allowed against pledge or

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hypothecation of goods. Working capital loans are required by (1) industry, (2) traders/businessman.

2)

TERM LOANS: - These are required to acquire fixed assets like building, plant and

machinery, equipment, vehicles and consumer durables. Fixed Assets are those assets in which the loanee does not trade and whose life span is more than a year. In case of term loans, the bank will have to find out the repayment capacity of the applicant and the viability of the project and the borrower to adhere to the repayment schedule of interest and principal. The repayment period should match the life of the equipment financed.

TERM LOAN CAN BE CLASSIFIED AS: Composite Loan/Integrated Loan Loan to SRTO(Small Road Transport Operator) Vehicle Loan Individuals The Term Loans are required by following borrowers: Industry composite loans (up to Rs. 2 lacks), Integrated Loans (above Rs. 2 Lacks): - For construction of factory, building, purchase of plant and machinery, and other fixed assets. Traders/ Businessman: - For furniture and fixture, office equipments etc. Road Transport Operator: - For purchase of commercial vehicles. Individuals: - For purchasing personal assets like vehicles & consumer durables. The term loan requirement calculated by adding value of different assets required by the borrower. Composite loans are granted by the bank to rural industry.

TYPES OF BORROWERS WHO APPROACHE THE BANK FOR LOAN: The loans are required by following type of borrowers: Individuals Industrial Units Trading concerns 18 | P a g e

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PROCEDURE

LOAN TO INDIVIDUAL

Individuals may approach the bank manager for the following loans: Term loans (Composite Loan/Integrated Loan): - Rural Artisans, Handicraftsmans, Small entrepreneurs in rural area, craftsman, and individual engaged in village level industry. Vehicle Loan Personal use: - Individuals are having fixed monthly income. Vehicle Loan S.R.T.O: - Commercial drivers (up to a fleet of 10 vehicle are categorized as priority advance. Consumer Loan: - Individual having fixed monthly income (for purchase of consumer durable & personal loans for social function).

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MAXIMUM LOAN LIMITS & REQUIREMENTS

PARTICULARS

COMPOSITE VEHICLE LOAN PERSONAL Rs. 6.00

VEHICLE

CONSUMER

COMMERCIAL LOAN Rs. 6.00 Rs. 0.30

Amounts of Loan (in lacks) Period

Rs. 2.00

3 to 10 Years No Margin

4 Years

5 Years

4 Years 25%

20% (with two 15% sureties) 40% (without

Period Margin

sureties)

Guarantors Primary Security

2 Present

2 as Hypothecation

2 Vehicle

2 Consumer Durables

well as future of Vehicle assets Collateral Security 200% of loan Nil amount Nil

Nil

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FOLLOWING PROCEDURE IS FOLLOWED FOR GETTING LOAN

INITIAL INTERVIEW: - Branch Manager interacts with applicant to know his/her background, qualification, experience, the department in which serving, monthly salary, details of line of activity, investment in the business and the loan requirements.

PROCESSING APPLICATION FORM FOR DIFFERENT LOANS: -

FOR COMPOSITE LOAN: Filling of application form: - The aspirant borrower is required to fill the requisite application form and submit necessary documents along with application form. Documents required with application: (1) Photographs, (2) Proof of residence of applicant and guarantor, (3) Documentary evidence in respect of business premises: Power connection (if any) List of existing and proposed machinery (if any) Age Proof Project Report Receipt of application and Managers Verification: The borrower will visit the branch to submit loan application with initial documents. Manager will verify the following particulars: -

Particular 1). Name of the Unit/Shop

: :

How to verify The branch manager will verify this from the attached document of registration with any government authority and in absence of any document, personal visit to the units is required.

2). Business Address (a) Office (b) Godown

From lease deed, rent deed (in case of rented property), title deed in case of owned property.

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3). About Applicant (age, fathers name, address, qualification experience, whether educated employee, whether SC/ST)

From ration card, identity proof, and certificate of appropriate authority.

4). Permanent account number

Verify from income tax returns.

5). Size and particulars of land holding 6). Present Income

From copy of land revenue.

Branch Manager will verify this from tax return available or he can have personal discussion with borrower.

7). Subsistence required per month

The Branch Manager will calculate the same on the basis of number of departments and estimated expenses.

8). Nature of existing business Activity and date of commencemnt of government of existing business.

From business statement submitted by the borrower.

9). How the activity financed so far : : - Own funds/borrowing

From financial statement.

10). Amount of loan required: Purpose and period for which required.

From comprehensive list attached and from personal discussion with borrowers.

11). Nature, Extent and particulars of collateral security offered.

From the copy of document attached and site visit.

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12). Name of two guarantees and their address with net worth.

Verify this by visiting the guarantors or calling them to bank.

13). Statutory Liabilities dues (if any):

From the latest assessment orders (if any).

14). Statement of assets and liabilities of the applicant.

The Branch Manager will verify the same by personal visit & discussion with borrowers.

COVERAGE BY THE BANK: Salary Earner: - Bank has guaranteed to salary earners 94 lacks 95 thousand loan. Salary earner includes government and semi government employees. They got loan on the basis of their salary in installments.

Gross Salary Before Deduction (Rs.) Up to 5000 5000-7500 7500 & above

Loan (Rs.) 25,000 75,000 50,000

Salary earners have to pay 25% of the total cost of consumer durable for which they acquire loan.

Other than Salary Earner: - Other than salary earner get loan up to Rs. 30,000. Bank has advanced 13 lacks 22 thousand loan to other than salary earner.

FOR VEHICLE LOAN PERSONAL USE: Filling the application form: - The relevant application form is given to the borrower to be filled and he is required to submit necessary documents along with it. 23 | P a g e

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Documents required with application: (1) Photographs, (2) Proof of residence, (3) Income proof of applicant, (4) Net worth of applicant and guarantors, (5) Copy of driving license of borrower and (6) Quotation of vehicle to be purchased. Receipt of Application and Managers verification: - On receipt of application form from applicant, manager will verify following particulars from following resources: -

Particulars 1). Name of the applicant, fathers name

: :

How to verify The Branch Manager will verify this from ration card /voter ID card/PAN no. /salary slip/ occupation, monthly/annual income. Balance sheet submitted/income tax return.

\husbands name, address, age of applicant,

2). Name and the vehicle and its cost 3). Name and address of the dealer

: :

From quotation submitted. From quotation submitted. From affidavit or the borrower or balance sheet submitted.

4). Details of the other loans taken from bank: or finance company. 5). Details of Immovable property. :

From application form-8.

AMMOUNT DISBURSED: Bank has granted Rs. 2.16 lacks as vehicle loans to individuals.

FOR SMALL ROAD TRANSPORT OPERATORS VRHICLE LOAN: Filling of Application Form: - The relevant application form is required to be filled by borrower for vehicle loans SRTO. Documents required: - (1) Photographs of applicant and guarantors. (2) Proof of residence of applicant and guarantors. (3) Income proof applicant. (4) Net worth of applicant and guarantors with necessary evidence. 24 | P a g e

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(5) Copy of driving license of borrower. (6) Quotation of vehicle to be purchased. (7) Documents of collateral title deed of property or any other paper security. Receipt of Applicant and Managers Verifications: The borrower will submit application from along with initial documents. Manager has to verify the following particulars from following sources.

Particulars 1). Name of the applicant/unit, business Address, name of the proprietor

: :

How to verify From Ration Card/PAN No. /Voter ID card/ Driving License Route permit or Balance Sheet etc.

2). Ready owing a vehicle - Type of Vehicle - Present Market value of vehicle - Year of manufacturing - Name of banker (if any) - Present position of loan 3). Data of vehicle proposed to be purchased. - Type and make - Fuel used - Dealers name and address - Cost 4). Verifying capacity of vehicle (persons/ load).

The manager will verify at the time of site verification.

From quotation submitted.

From route permit.

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FOR CONSUMER LOAN: Filling of Application Form: - The requisite application form for consumer loan is required to be filled by aspirant borrower. Borrower is required to submit the necessary documents with application form. Documents Required: - (1) Recent Photographs of Proprietor & guarantors. (2) Proof of residence of applicant and guarantors. (3) Income proof of applicant. (4) Net worth of applicant and guarantor. (5) Quotation of assets to be purchased. Receipts of Application and Managers Verifications: The borrower will visit the branch to submit loan application with necessary documents. The Branch Manager will verify the following particulars from following sources: -

Particular 1). Applicant Name Fathers Name Card/Driving

: :

How to Verify The Branch Manager will verify it from the rations card/PAN No. /Voter ID

License. 2). Whether Adhoc/Temporary or Permanent. Department/Organization. Full Official Address. Current Posting. Designation. Date of retirement. Net Pay. 3). Name and address (Residential and official) of two securities : The Branch Manager has to verify these from application form 7 and 8. : The Branch Manager will verify these Particulars from salary slip or income tax or Departmental card or from project report.

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PRE-SANCTION APPRAISAL AND ASSESSMENT: The Branch Manager will cover the following aspect in this part: -

The Borrower: - Name, Address, Age, Service (Govt., Semi Govt.), Monthly Salary, Carry Home Salary, Other Sources of Income, Designation, and any other loan outstanding, maximum amount of installment he can afford to pay.

The Supplier: - Name, Address, Sale tax no., Whether Registered Dealer, Whether trading in item those are proposed to be purchased. Assets to be purchased, specification, utility, model, brand.

DOCUMANTATION: The next important and logical aspect is to ensure creation of charges over the securities by getting proper documents executed from the borrower, guarantors and all other parties, so that proper contractual relationship comes into existence. This is important from the angle of enforcement of the securities at the time of need. After ascertaining the facts, a loan is considered by the bank no loan is sanctioned to individual unless he obtains the normal membership of bank. The Branch Manager must ensure that the applicant becomes the nominal member at the time of receipt of application. Branch Manager has to ensure that the application deposits the processing fee the loan amount applied for the time of receipt of application.

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LOAN TO INDUSTRIAL UNITS

Definitions: Tiny Unit: - A small industry unit is considered as a tiny sector unit if its original investment in plant and machinery does not exceed Rs. 5 lacks.

Small Scale Industry: - It is an industrial undertaking engaged in manufacturing processing and preservation activities, having original investment in plant and machinery, not exceeding Rs. 100 lacks, at original purchase price, whether held on ownership basis or by lease or by purchase and Rs. 75 lacks providing the units undertake to export at least 30% of its annual production after 3rd year from the date of consuming production.

Ancillary Industry: - It is an industry undertaking engaged in manufacturing of parts, Components, Sub-assemblies, tooling, intermediates or rendering of services and selling 50% of its total productions or services to one or more present units, having an investment in plant and machinery not exceeding Rs. 75 lacks, at original purchase price, whether held on ownership basis or by lease or by hire purchase.

Village & Cottage Industry: - Artisans or small industrial activity in villages and small towns with a population not exceeding 50000 involving utilization of locally available natural resources and license skills where individual credit requirements do not exceed Rs. 50000/-.

Constitution of Borrower & Maximum Loan Limit: Sole Proprietary Concerns, Partnership Firms, Cooperative Societies, company engaged in industrial activities requiring bank loan are as under: -

Borrower

Term Loan (in Lacks)

Cash Credit (in Lacks)

1). Proprietary Concern

15.00

10.00 28 | P a g e

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2). Partnership Firms 3). Corporate Body For Apex Bank For CCBs up to Rs. 300 Cr. Deposits For CCBs above Rs. 300 Cr. Deposits

15.00

10.00

100.00

200.00

25.00

50.00

50.00

100.00

PROCEDURE FOR PROCESSING THE PROPOSAL OF LOAN: -

(A) Initial Interview to Identify Constitution: - Manager has to well interact with the applicant(s) to know his/their background qualification/training, experience, details of line of activity, the entity of the enterprises, investment in the plant and machinery/equipment and the loan requirements. (B) Processing of the application from for cash credit limit up to Rs. 10.00 lacks: -

1). Filling of Application Form: - After classification the aspirant borrower as proprietary concern, partnership firm or company engaged in the industrial activity, relevant application form is requirement to be filled by borrower and he is informed to submit the necessary documents.

2). Documents Required with Application: In case of sole proprietorship

(1) Recent Photographs of proprietor & guarantor. (2) Proof of residence of applicant & guarantor. (3) Income proof of applicant. (4) Sale tax registration/Assessment order. (5) Net worth of applicant. (6) Net worth of guarantor. 29 | P a g e

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(7) Promises (a) if rented (b) if owned. (8) Copy of collateral security documents. 3). Receipt of Application and Managers Verifications: (In case of Proprietor firm/ partnership firm/company) The borrower will submit loan application along with initial documents. Manager has verify the following particulars from the following sources: -

Particular 1). Name of the Unit/Shop.

: :

How to Verify From financial statements and SSI registration no., from certificate of incorporation.

2). Sale Tax no. 3). Registration with any statutory body/authority. 4). Office/ Factory Address. : :

From sale tax registration/assessment order. Branch Manager will verify it from certificates from regulatory bodies like pollution board NPF/ESI. Branch Manager will verify it from financial statements and SSI registration no., rent deeds, title deeds.

5). Constitution.

The Branch Manager will verify it from financial statements and latest partnership deed articles, & memorandum of association, SSI registration no., sale tax no. From date of issue of sale tax no. or directors report, SSI registration no. or any other relevant document.

6). Date of Commencement Business :

7). Name of Sole proprietor/partner/ Directors : From capital account in the financial statement & from voter ID card & any other identity proof, Article and memorandum of association, partnership deeds. Others (a) Nature of activity : From sale tax registration and SSI registration no. 30 | P a g e

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(b) Main market for purchase

From latest purchase bill. From initial document related with premises.

(c) Whether the premises are rented : / owned (d) Last two years Balance sheet and profit and loss account & A/c next three years projected Balance sheet and profit and loss Account. (e) Permanent Account no. if any copy of last 2 years income tax return. (f) Arrears of income tax, sales tax : etc. 9). Existing/Proposed industrial activity with brief description 10). No. of persons 11). How the activity was financed so far. 12). If associated as proprietor/ partner/director/share holder with any other concern. 13). Credit facility required. 14).Employment. : : : : : : : :

From sales tax return and profit from income tax return.

From original PAN allocated by income tax department and assesses acknowledgement copy of income tax return. From latest assessment orders of income tax and sales tax. At the time of site verification.

At the time of site verification. From Balance Sheet/Bank Statement of previous banker. From Income Tax returns.

From project report. At the time of the verification. Branch Manager will verify this from the project report and at the time of site verification.

15). Project (Brief Description about : Project, name of the product, by Product, manufacturing process in stages, technical feasibility, schedule of completion of project, availability of technical know how number of working days is a month, number shift

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per day). 16). Land and Building. 17). Plant & machinery. : : Branch Manager will verify this from the enclosures From the annexure to application from Branch Manager will verify the existing machinery and cross tally it with the latest balance sheet fixed assets register. 18). Utilities (power, water, fuel etc.) : From electricity, water bills/correspondence with department at the time of site verification. 19). Security (a) Primary
(b) Collateral : At the time of visit to the land/building offered as collateral security. (c) Guarantors : Net worth of guarantor can be verified from application form. 20). Arrears of statutory payment (if any) (a) Income Tax (b) Sales tax (c) Excise : : : From latest income tax assessment orders. From the latest assessment order for sale tax. The Branch Manager will verify the excise record at the :

Manager will verify at the time of site verification.

time of site verification.

Initial Documents Required With Application Form (In case of Partnership firm): -

1). Recent Photograph of all partners of the firm and guarantors. 2). Copy of partnership deed duly signed by all the partners along with copy of registration certificate issued by registrar of firms and societies. 3). Proof of residence of partners and guarantors. 4). Income proof of firm in the shape of copy of income tax return for the last two years, along with copy of balance sheet for the last two years. 5). Sales tax registration/assessment order. 32 | P a g e

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6). Net worth of guarantors. 7). Net worth of partners. 8). A copy of lent deed/title deed in case the premises are rented. A copy of proof of ownership/power of attorney in case the premises are owned. 9). Quotation for assets to be purchased. 10). Copy of collateral security documents.

Initial documents required with Application (in case of public/private company): -

1). Recent photographs of all directors of the company and guarantors. 2). Certificate of incorporation dully attested as true copy by managing director/director. 3). Certificate of commencement and articles of associations. 4). A copy of memorandum business in case of public company only. 5). A copy of resolution of borrowing passed at meeting of Broad of Director of the company. 6). Proof of residence of Directors and guarantors. 7). Income proof of company. 8). Sales tax registrations/Assessment order. 9). Net worth of directors. 10). Net worth of guarantors. 11). A copy of rent deed/lease deed in case the premises is rented. 12). A copy of proof of ownership/power of attorney if premises is owned. 13). Copy of collateral security documents.

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For Term Loan/Term Loan with Cash Credit Above Rs. 10 lacks: Filling of Application Form: - After classifying the aspirant borrower as company engaged in trading, manager will hand over correct form to borrower and inform him to submit the necessary documents. Receipt of Application and Managers Verification: - After receipt of application, branch manager must verify of application particulars from the following sources: -

Particulars

How to Verify

1). Name of the unit

The branch manager will verify it from financial statements and certificate of incorporation.

2). Business address with (a) Registered office (b) Factory

The Branch Manager will satisfy telephone/telex /fax no. by verifying it from financial statements.

3). Constitutions (Private/Public ltd. :

Manager will verify this financial statements and Sale tax no., articles and memorandum of association along with certificate of incorporation.

4). Registration no. & date of incorporation. 5). Date of commencement of business.

It will verified from certificate of incorporation.

From financial statements and directors report Pertaining to the year in which the production was started and from date of issue of sale tax no. in case of public company, from the certificate of commencement of business.

6). Whether the connection with this : Is new/switch over from other bank 7). Name of the statutory auditors :

From balance sheet, bank statement of previous banker. From the balance sheet, directors report or copy of resolutions passed at the latest held annual general meeting of the company.

8). Name of the promoters/directors :

From articles and memorandum of association. Net

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& net worth

worth of directors/promoters should be verified as written in application.

9). Share holding (holding of equity : in excess of 2% of the paid up capital. 10). Name of the product(s) Including bye product and its use :

The branch manager will verify this from the return of allotment from registrar of the company

From the project report and site verification. Here product means foods in which the company is dealing.

11). Name of the major customers

It will be verified from the orders in hand and from sale ledger at the time of site verification.

12). Region/area where the product : Is/will be sold 13). Extent of competition & no. of : Units engaged in similar line of activity in the area. 14). How does the unit meet/ propose to meet competition :

From the project report and from sale ledger at the time of site verification. The Branch Manager will verify this after discussion with the applicant.

The Branch Manager will satisfy himself as to due correctness of particulars regarding quality price, competition and marked acceptability of the goods sold by the company.

15). Nature and volume of orders/ Enquiries on hand.

From the orders in hand and executed orders.

16). In case of export oriented units :

From the importer/exporter code no. issued by Director General of foreign trade.

17). How the activity was financed so far

The Branch Manager will verify it from the balance sheet/return of allotment form filled by registrar of companies, bank statement of previous banker.

18). Working Results of the unit for : past two years. 19). Arrears in statutory payments (a) Income Tax (b) Sales tax : : :

It will be verified from sales tax return and profit from income tax returns.

From latest income tax assessment orders. From latest assessment orders of sales tax. 35 | P a g e

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(c) Excise (d) Provident fund

: :

From excise record at the time of site verification. From provident record at the time of site verification.

(e) E.S.I.

From the employees state insurance record at the time of site verification.

20). Details associated/under same management/group companies or unit. 21). Financial assistance 22). Details of securities to be offered. (a) Primary Securities (working capital & term loans to be indicated separately). (b) Collateral Securities

From the list provided by the applicant along with annual returns of the companies or income tax returns and financial statements.

: :

From project report.

At the time of site verification. Here only the nature of the primary security such as types of stock/fixed asset to be hypothecated to be given.

At the time of visit of the land/building offered as Collateral Securities.

(c) Guarantor

The Branch Manager will satisfy himself as to the correctness of net worth of the guarantor by verifying the particulars given.

NOTE: - No loan will be granted by the bank unless the following conditions are fulfilled: -

1). Nominal Membership: - The Branch Manager should ensured that the applicant nominal member of the bank and be allocated the membership no. at the time of receipt of application viz. All partners, all directors and the company.

2). Processing Fee: - The Branch Manager ensured that the applicant deposit the processing fee for the loan amount applied for at due time of receipt of application.

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Pre-sanction Appraisal & Assessment of Loans: Loan proposals may be appraised by account or by project manager and appraisal of loan covers the following areas: -

1). Borrower and His Managerial Competence: - It could be judged from the past performance, knowledge, experience, motivation, labor management marketing and finance. The entrepreneur should be technically qualified. 2). Technical Feasibility: - The examination of this item consists of an assessment of the various requirements of the actual production process. 3). Economic Feasibility: - An economic feasibility has reference to the leaving capacity of the project. 4). Financial Feasibility: - Data from the borrower should be analyzed to ensure that the project meets the estimated cost, cash availabilities as and when needed. Borrowers repaying ability is judged from the project operation. 5). Sources of Finance: - The analysis of funds of entrepreneur reveals whether the unit is able to provide sufficient margin for borrowing. The banker should satisfy as to the conduct and operation of the account in case of existing unit dealing with other bank. 6). Purpose of Advance: - A unit requires borrowings for two purposes i.e. to acquire capital assets and to meet working capital requirements. 7). Repayment Obligations of the Borrower: - The units should be able to generate adequate surplus to meet net working capital stipulations, payment of interest and installments in case of term loan and reduce dependence on borrowed funds to ensure the debt serving. 8). Security: - The security in case of any loan account could be principal security or the collateral security. (a) Primary Security: - In case of cash credit limit, it is in the shape of stock of the unit hypothecated with the bank. In case of term loan, it is in the shape of fixed assets created the bank. In case of term loan, it is in the shape of fixed assets created the bank finance. (b) Collateral Security: - It is in the shape of immovable property. The collateral security is in addition to primary security and the manager should insist for it in case of loans exceeding Rs. 25000/-

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Sanction of Loan: - After satisfying unit, repaying capacity etc. the banker may sanctions the proposal subject to normal terms and conditions. The usual terms and conditions put forth in the sanction letter along with the steps to be taken by branch in charge are as under: 1). Facility Sanctioned: - The sanction letter specifies the nature of the limit sanctioned, rate of interest to be charged along with the period when it should be charged i.e. monthly/quarterly or half yearly. 2). Duration of Facility: - The moratorium period is to be specified. The start of moratorium period should also be mentioned i.e. viz. (1) Starting from first disbursement (2) Starting from last Disbursement. The mode of recovery of moratorium period interest should also be mentioned. (3) Equated monthly installments or 3 to 6 months. (4) Or to be converted in loan amount and to be recovered along with main loan account. (5) To be recovered as and when due.

3). Financial statement should be submitted at the close of financial year. 4). Proper books of accounts to be maintained and quarterly select data to be submitted. 5). The bank should obtain an understanding from the borrower to deal exclusively with bank. 6). Comprehensive insurance of primary security with bank clause. 7). Periodic inspection of primary security at the cost of borrower. 8). Collateral security and mortgage. 9). Two good guarantees. 10). Necessary documents execution before disbursement of loan. 11). Banks right to cancel and recall the loan amount. 12). Banks right to set off balance in other accounts. 13). Displaying banks name at borrowers premises. 14). Borrower to abide by laws of the bank. 15). Mortgagor, guarantors to become nominal members of the bank. 16). Letter for acceptance of conditions. 17). The sanction letter should mention rate and the circumstances under which penal interest is to be changed. 18). Borrower to introduce fresh capital to meet the margin requirement, if necessary.

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19). Only for Cash Credit: - Stock register to be maintained. - Periodic submission of stock statement. - No drawing power against unpaid/unsalable stock. 20). Only for Companies: - Increase of authorized capital. - Registration of charge with registrar of companies within 30 days of agreement. - All directors to give personal guarantees in addition to two outside guarantees. - Right to appoint nominal director on the broad.

Documentation: - The next aspect into ensure creations of charges over the securities by getting proper documents executed from the borrower all other parties, so that contractual relationship comes into existence.

Disbursement: - After the documentation of loan, the amount is to be disbursed before which the bank manager will ensures that mortgage formalities are completed. At the time of first disbursement the existing stock is physically verified by the banker and treated as borrowers margin for calculating the initial drawing power.

Follow-up: - Immediately after disbursement of the loan the next step is to check actual utilization of loans for the purpose for which it was sanctioned and disbursed.

1). Periodic visit to borrower. 2). Check that all the assets which formed part of the project cost have been purchased. 3). The utilization of previous disbursement should be checked before next disbursement to see whether or not the borrower is regularly paying the loan installments. 4). The insurance cover is regularly renewed with bank clause. 5). The borrower is submitting the stock statements regularly from which the drawing power is being calculated. 6). Intimation to the guarantors, to mortgagors. 7). Information in detail relating to most of the financial areas concerning the bank. 39 | P a g e

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8). Verify and ensure that there are no concurrent borrowings. 9). Ensure that the borrowers are complying with statutory obligations like sale tax, income tax EST & EPF dues factory act, labor lanes or any other relevant fact.

LOANS TO TRADING CONCERN Trading concern are those which trade in goods or services and can be broadly classified as under: A. Small business finance: - small business finance covers finance for meeting working capital requirements as well as for purchase of equipments/machinery of small trading enterprises under trading and services activities. The borrowers under small business as under: Trading activities: i. ii. Private retail traders dealing in essential commodities via running fair price shop. Other private retail in running a general provision stores, retail cloth shops, stationery mart, and auto spare parts etc. iii. iv. Retail traders in fertilizers. Retail traders in mineral oils i.e. (LPG) gas, kerosene, petroleum products. Services activities i. Business enterprise (small business). a) The individuals and firms are eligible. b) The enterprises are rendering services other than professional services e.g. hotel, cinema house etc. ii. Professional and self employed persons. a) A person who is qualifies and trained in rendering professional services like qualified medical practitioners, dentist etc. b) Or a person trained in art and craft and holds, either a degree or diploma from an institution established and recognized by a government.

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c) Or he is considered by the bank as technically qualifies and skilled in the files in which he is employed. B. Wholesaler / distributor: these concern traders in goods in bulk quantity i.e. they

normally purchase the goods in bulk from manufacturer producers and sell it to the retailers for inward supply to consumer. CONSTITUTION OF BORROWER & MAXIMUM LOAN LIMITS Sole proprietor concerns, partnership firms, co-operatives and companies engaged in trading of goods are eligible for the bank finance as under: -

Borrower

Term loan (Rs. In Lakhs)

Cash credit (Rs. In Lakhs) 10.00 10.00 200.00

1) Proprietor concern 2) Partnership firm 3) Company

15.00 15.00 10.00

The same procedures for processing the followed as in case of sole proprietor, partnership firms and companies as these are engaged in industrial units. Loan granting to trading concern at the rate of @ 15%P.A. cash credit limit is for 1 year. After that it has to be renewed and immovable property is taken by the bank as security on the name of any person other than borrower coverage of loan by bank to traders in 89.04 lakhs.

OTHER LOANS AND NPA AGRICULTURIST LOAN This is also known as Crop Loan System. The limit under this scheme will be available to the formers, who have cultivable agriculture land in his name. The loan will be granted up to Rs. 30000/ - per acre and maximum Rs. 300,000 only. The purpose of granting loan is for agriculture consumption and needs if the farmers.

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Rate of interest on limit up to Rs. 1.50 lakhs & 15% Above Rs. 1.50 lakhs & 15% The farmer shall have to mortgage at least two acres of irrigated land in favor of the bank. The operation period of cash credit limit shall be one year in the first instance which shall be revered yearly if the operations are satisfactory. Recovery of loan is made on the basis of crop produced. Loan is given two tunes in a year. Crop loan system is of two types: Kharif crop loan system: - in this system, loan is given from 1st march to 30th September each year to Zamindar and its recovery is made within 1st October to 18th February of next year. Rabi crop loan system: - advance is gives from 1st October to 28th February of next year. Recovery of loan is made from 1st March to 30th June. Bank has granted almost Rs. 5.33 lakhs as short term Agriculture loan.

LOAN AGAINST FIXED-DEPOSIT The bank also gives loans against its own Deposits. i) Quantum of loan = 85% of the value of the fixed deposit. ii) Rate of interest = 1% over the applicable rate of deposit receipt. iii) Repayment = on or before maturity of the said deposit. Documents that are required with application form: (1) Promote (2) Lien letter on deposit receipt. (3) Fixed deposit receipt duly discharged kept under bankers lien. (4) Security: - the advances are fully secured against security of banks own fixed deposits. In case the borrower does not repay back the loan, the bank adjusts its loan on maturity of the said fixed deposit. (5) Purpose: - one can avail this facility for any type of personal or business requirements. It is a safe advance. 42 | P a g e

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NON-PERFORMING ASSET: - The concept of income recognition and asset classification as per the recommendations of the Narsimhan committee constituted by the RBI is also applicable to the advances of the bank. Of a loan falls in NPA category the bank doesnt charge interest on such advances rather makes provision from its profitability as per guidelines. If interest and loans installments remains for six months, than loan has to be categories as NPA.

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CHAPTER-5 FINDINGS: 1) Bank follows a proper procedure for granting loans and its follow up, whether the loan is granted to individual, industrial units or to a trading concern. 2) For individuals, bank grants composite / integrated loan, vehicle loan for personal use, vehicle loan to small Transport Operated, Consumer loans for purchasing consumer durables, agricultural loan etc. 3) For industrial units or trading concerns, bank grants cash credit limit up to Rs. 10.00 lakhs and term loan with or without cash credit up to Rs. 10 lakh or above it. 4) Bank also grants loan against fixed deposit, against NSE / KVP / IVP. 5) A new scheme of self help group has recently been introduced by the bank.

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CHAPTER-6 SUGGESTIONS: 1) Many of the branches if co-operative banks are still to be computerized. In order to compete with new generation private sector banks which are technology savvy, the bank should get its branches computerized as early as possible. It is the need of the hour and the management gets all type of information at the press of key in order to function more effectively and efficiently. 2) The bank should further strengthen the post disbursal, supervision of loans so that the borrowers do not fall in to the non-performing category which will have beating on the banks profitability. 3) The bank has not provided finance for infra-structure development and big industrial units due to resource constraints. Bank must introduce new schemes to tap this sector also.

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CHAPTER-7 CONCLUSION Of all the functions of a modern bank, lending is by far the most important functions which have been provided by this project report to some extent. Advances comprise a very portion of a banks total assets, and form the backbone of the banks structure. The strength of a bank is thus primarily judged by the soundness of its advances. A wise and prudent policy in regard to advances is considered an important factor inspiring confidence in the depositor and prospective customers of a bank. A bank must lend the deposits or make advances to the public directly or indirectly. Lending must be on the grant on credit by banks comprises filling in the application form by the borrower, scrutiny of particular furnished by him in the application assessment of his credit worthiness, sanctions of limit either by the branch agent or by higher authorities on his recommendation and following action on the advances after they have been availed of by the borrower. Every bank whether commercial or co-operatives, has to follow proper procedure in granting loans. Moreover the main function of co-operative bank is to cater to the needs of rural areas and small borrowers and is concerned more with the financing of agriculturists.

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CHAPTER-7 BIBLIOGRAPHY BOOKS: Aggarwal, Monika and Ranganadhachary, A.: Banking Theory and Practice, Kalyani Publishers, New Delhi, 2007. Bhatia, R.C.: Banking Structure and PerformanceA Case Study of the Indian Banking System, Ph.D. Thesis, West Virginia University,1978. Brar, S.S.: Dynamics of Agricultural Production Pattern under Varying InputOutput Prices in Punjab, Ph.D. Thesis, Punjab Agricultural University, Ludhiana, 1998. Chopra, Kiran: Managing Profits, Profitability and Productivity in Public Sector Banking, ABS Publications, Jalandhar, 1987. Datt, R. and Sundram, K.P.M.: Indian Economy, S. Chand & Co. Ltd., New Delhi, 1996. Desai, Vasant: Indian BankingNature and Problems, Himalaya Publishing House, Bombay, 1991. Gill, Manohar Singh: Agricultural Cooperatives, Vikas Publishing House Pvt. Limited, New Delhi, 1983. JOURNALS: Afolabi, M.: The Review of Related Literature in Research, International Journal of Information and Library Research, Vol. 4, No.1, 2006. Balishter, Singh and Vishwajit: A Study of Overdues of Loans in Agriculture, Indian Cooperative Review, April 2007. Balishter: Estimation of Repayment Capacity of Farmers, Indian Cooperative Review, 21(i), 90, 2007. Bedback, H.K.: Cooperatives in Tribal Development in Orissa, Indian Cooperative Review, Vol. 20, October 2008. Bhat, Nassullah and Ahmed, Rais: Impact of Credit for Agricultural Development-A Case Study of Jammu and Baramulla District, Banking Finance, January 2009. 47 | P a g e

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Bhatt, P.: Banking in India, Yojana, August 2010. Bhattacharyya, Sudipta: Rural Credit, Market Reforms and Interventionist InstitutionsA Micro Study of West Bengal, The ICFAI University Journal of Agricultural Economics, Vol.V, No.3, July 2010

WEBSITES: http://agricoop.nic.in: Department of Agriculture and Cooperatives, Ministry National Informatics Computer Centre, Govt. of India. http://ncdc.nic.in: National Cooperative Development Corporation, National Informatics Computer Centre, Govt. of India. http://ncui.nic.in: National Cooperative Union of India, National Informatics Computer Centre, Govt. of India. http://Punjabgovt.nic.in: Government of Punjab, National Informatics Computer Centre, Govt. of India. www.banknetindia.com www.cmie.com: Centre for Monitoring Indian Economy Pvt. Ltd. www.coop.org: International Cooperative Alliance. www.icssr.org : Indian Council of Social Science Research. www.nafscob.org : National Federation of State Cooperative Banks Ltd. www.punjabenvironment.com of Agriculture,

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