1

CONTENTS
Company Profile
Chapter 1.....................................................................................................2-15

Overview..2-3
History..3-11
Competitors..............11-12
Strength/Opportunity & weakness/Threats......12-13
Different Products.......14-15

Chapter 2.....................................................................................................16-48
Introduction to Advance Product....16
SBI Advance Product......17-47
Research objectives......48
Chapter 3.....................................................................................................49-50
Research Methodology49
Sampling Technique.49
Data Collection, analysis & interpretation...50
Chapter 4.....................................................................................................51-59
Analysis of data
Chapter 5.....................................................................................................60-63
Findings60-61
Suggestion & Recommendation.......61-62
Conclusion62-63
Annexure (Questionnaire)64 -67
Bibliography..67

CHAPTER- 1
COMPANY PROFILE

COMPANY OVERVIEW:State Bank of India (SBI) is a multinational banking and financial

services company based in India. It is a government-owned corporation with its
headquarters in Mumbai, Maharashtra. As of December 2013, it had assets of US$388
billion and 17,000 branches, including 190 foreign offices, making it the largest
banking and financial services company in India by assets.
State Bank of India is one of the Big Four banks of India, along
with ICICI Bank, Punjab National Bank and Bank of Baroda.
The bank traces its ancestry to British India, through the Imperial
Bank of India, to the founding in 1806 of the Bank of Calcutta, making it the oldest
commercial bank in the Indian Subcontinent. Bank of Madras merged into the other
two presidencies banksBank of Calcutta and Bank of Bombayto form the
Imperial Bank of India, which in turn became the State Bank of India. Government of
India owned the Imperial Bank of India in 1955,

with Reserve Bank of India taking a 60% stake, and renamed it the State Bank of
India. In 2008, the government took over the stake held by the Reserve Bank of India.

History of SBI:The roots of the State Bank of India lie in the first decade of the 19th century,
when the Bank of Calcutta, later renamed the Bank of Bengal, was established on 2
June 1806. The Bank of Bengal was one of three Presidency banks, the other two
being the Bank of Bombay (incorporated on 15 April 1840) and the Bank of Madras
(incorporated on 1 July 1843). All three Presidency banks were incorporated as joint
and were the result of royal charters. These three banks received the exclusive right to
issue paper currency till 1861 when, with the Paper Currency Act, the right was taken
over by the Government of India. The Presidency banks amalgamated on 27 January
1921, and the re-organized banking entity took as its name Imperial Bank of India. The
Imperial Bank of India remained a joint stock company but without Government
participation.

Seal of Imperial Bank of India

Pursuant to the provisions of the State Bank of India Act of 1955, the Reserve Bank of
India, which is India's central bank, acquired a controlling interest in the Imperial
Bank of India. On 1 July 1955, the Imperial Bank of India became the State Bank of
India. In 2008, the government of India acquired the Reserve Bank of India's stake in
SBI so as to remove any conflict of interest because the RBI is the country's banking
regulatory authority.
In 1959, the government passed the State Bank of India (Subsidiary Banks) Act, which
made eight state banks associates of SBI. A process of consolidation began on 13
September 2008, when the State Bank of Saurashtra merged with SBI.
SBI has acquired local banks in rescues. The first was the Bank of Behar (est. 1911),
which SBI acquired in 1969, together with its 28 branches. The next year SBI acquired
National Bank of Lahore (est. 1942), which had 24 branches. Five years later, in 1975,
SBI acquired Krishnaram Baldeo Bank, which had been established in 1916 in
Gwalior State, under the patronage of Maharaja Madho Rao Scindia. The bank had
been the Dukan Pichadi, a small moneylender, owned by the Maharaja. The new
bank's first manager was Jall N. Broacha, a Parsi. In 1985, SBI acquired the Bank of
Cochin in Kerala, which had 120 branches. SBI was the acquirer as its affiliate, the
State Bank of Travancore, already had an extensive network in Kerala.
The State Bank of India and all its associate banks are identified by the same blue
keyhole logo. The State Bank of India word mark usually has one standard typeface,
but also utilises other typefaces.
On October 7, 2013, Arundhati Bhattacharya became the first woman to be appointed
Chairperson of the bank.

Group Photograph of Central Board (1921)

BUSINESS OF SBI
The business of the banks was initially confined to discounting of bills of exchange
or other negotiable private securities, keeping cash accounts and receiving deposits and
issuing and circulating cash notes. Loans were restricted to Rs. 1Lakh and the period of
accommodation confined to three months only. The security for such loans was public
securities, commonly called Company's Paper, bullion, treasure, plate, jewels, or goods
'not of a perishable nature' and no interest could be charged beyond a rate of twelve per
cent. Loans against goods like opium, indigo, salt woolens, cotton, cotton piece goods,
mule twist and silk goods were also granted but such finance by way of cash credits
gained momentum only from the third decade of the nineteenth century. All
commodities, including tea, sugar and jute, which began to be financed later, were either
pledged or hypothecated to the bank. Demand promissory notes were signed by the
borrower in favour of the guarantor, which was in turn endorsed to the bank. Lending
against shares of the banks or on the mortgage of houses, land or other real property
was, however, forbidden.
Indians were the principal borrowers against deposit of Company's paper, while the
business of discounts on private as well as salary bills was almost the exclusive monopoly
of individuals Europeans and their partnership firms. But the main function of the three
banks, as far as the government was concerned, was to help the latter raise loans from
time to time and also provide a degree of stability to the prices of government securities.

Main Branch of SBI in Mumbai.

Operations:SBI provides a range of banking products through its network of branches in India and
overseas, including products aimed at non-resident Indians (NRIs). SBI has 14
regional hubs and 57 Zonal Offices that are located at important cities throughout
India.
Domestic presence:SBI had 14,816 branches in India, as on 31 March 2013, of which 9,851 (66%) were in
Rural and Semi-urban areas. In the financial year 2012-13, its revenue was INR
200,560 Crores (US$ 36.9 billion), out of which domestic operations contributed to
95.35% of revenue. Similarly, domestic operations contributed to 88.37% of total
profits for the same financial year.
International presence:As of 28 June 2013, the bank had 180 overseas offices spread over 34 countries. It has
branches of the parent in Moscow, Colombo, Dhaka, Frankfurt, Hong Kong, Tehran,
Johannesburg, London, Los Angeles, Male in the Maldives, Muscat, Dubai, New York,
Osaka, Sydney, and Tokyo. It has offshore banking units in the Bahamas, Bahrain, and

Singapore, and representative offices in Bhutan and Cape Town. It also has an ADB in
Boston, USA.
The Canadian subsidiary, State Bank of India (Canada) also dates to 1982. It has seven
branches, four in the Toronto area and three in the Vancouver area.
SBI operates several foreign subsidiaries or affiliates. In 1990, it established an
offshore bank: State Bank of India (Mauritius). SBI (Mauritius) has 15 branches in
major cities/towns of the country including Rodrigues.
In 1982, the bank established a subsidiary, State Bank of India (California), which now
has ten branches nine branches in the state of California and one in Washington,
D.C. The 10th branch was opened in Fremont, California on 28 March 2011. The other
eight branches in California are located in Los Angeles, Artesia, San Jose, Canoga
Park, Fresno, San Diego, Tustin and Bakersfield.

The Israeli branch of the State Bank of India located in Ramat Gan
In Nigeria, SBI operates as INMB Bank. This bank began in 1981 as the IndoNigerian Merchant Bank and received permission in 2002 to commence retail banking.
It now has five branches in Nigeria.
In Nepal, SBI owns 55% of Nepal SBI Bank, which has branches throughout the
country. In Moscow, SBI owns 60% of Commercial Bank of India, with Canara Bank
owning the rest. In Indonesia, it owns 76% of PT Bank Indo Monex.

The State Bank of India already has a branch in Shanghai and plans to open one in
Tianjin. In Kenya, State Bank of India owns 76% of Giro Commercial Bank, which it
acquired for US$8 million in October 2005.

Associate banks:SBI has five associate banks; all use the State Bank of India logo, which is a blue circle,
and all use the "State Bank of" name, followed by the regional headquarters' name:

State Bank of Bikaner & Jaipur

State Bank of Hyderabad
State Bank of Mysore
State Bank of Patiala
State Bank of Travancore
State Bank of India
Earlier SBI had seven associate banks, all of which had belonged to princely states until
the government nationalised them between October 1959 and May 1960. In tune with
the first Five Year Plan, which prioritised the development of rural India, the
government integrated these banks into State Bank of India system to expand its rural
outreach. There has been a proposal to merge all the associate banks into SBI to create a
"mega bank" and streamline the group's operations.

The first step towards unification occurred on 13 August 2008 when State Bank of
Saurashtra merged with SBI, reducing the number of associate state banks from seven
to six. Then on 19 June 2009 the SBI board approved the absorption of State Bank of
Indore. SBI holds 98.3% in State Bank of Indore. (Individuals who held the shares prior
to its takeover by the government hold the balance of 1.77%.)
The acquisition of State Bank of Indore added 470 branches to SBI's existing network
of branches. Also, following the acquisition, SBI's total assets will inch very close to the
10 trillion mark (10 billion long scale). The total assets of SBI and the State Bank of
Indore stood at 9,981,190 million as of March 2009. The process of merging of State
Bank of Indore was completed by April 2010, and the SBI Indore branches started
functioning as SBI branches on 26 August 2010.

Non-banking subsidiaries
Apart from its five associate banks, SBI also has the following non-banking
subsidiaries:
SBI Capital Markets Ltd

SBI Funds Management Pvt Ltd

SBI Factors & Commercial Services Pvt Ltd
SBI Cards & Payments Services Pvt.Ltd. (SBICPSL)
SBI DFHI Ltd
SBI Life Insurance Company Limited

SBI General Insurance

In March 2001, SBI (with 74% of the total capital), joined with BNP Paribas (with
26% of the remaining capital), to form a joint venture life insurance company named
SBI Life Insurance company Ltd. In 2004, SBI DFHI (Discount and Finance House of
India) was founded with its headquarters in Mumbai.

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Other SBI service points

SBI has 27,000+ ATMs and SBI group (including associate banks) has 32,752 ATMs.
SBI has become the first bank to install an ATM at Drass in the Jammu & Kashmir
Kargil region. This was the Bank's 27,032nd ATM on 27 July 2012.

Logo and slogan

The logo of the State Bank of India is a blue circle with a small cut in the bottom
that depicts perfection and the small man the common man - being the center of the
bank's business. The logo came from National Institute of Design(NID),
Ahmedabad and it was inspired by Kankaria Lake, Ahmedabad.

Slogans: "PURE BANKING, NOTHING ELSE", "WITH YOU - ALL THE WAY",
"A BANK OF THE COMMON MAN", "THE BANKER TO EVERY INDIAN",
"THE NATION BANKS ON US"

Employee
SBI is one of the largest employers in the country having 228,296 employees as on
31 March 2013, out of which there were 46,833 female employees (21%)

and 2,402 disabled employees (1%). On the same date, SBI had 43,550 Schedule
Caste (19%) and 16,764 Schedule Tribe (7%) employee. The percentage of Officers,
Assistants and Sub-staff was 35%, 48% and 17% respectively on the same date.
Hiring drive: The bank hired 20,682 Assistants in FY 2012-13, from over 3 million
applicants, for expansion of the branch network and to mitigate staff shortage,
particularly at rural and semi-urban branches. In the same year, it recruited 847
probationary officers from around 1.7 million candidates who applied for an officer
position.
Staff productivity: As per its Annual Report for FY 2012-13, each employee
contributed to revenues of INR 94.4 million and net profit of INR 0.65 million.

Recent awards and recognitions

SBI was ranked as the top bank in India based on tier 1 capital by The Banker
magazine in a 2014 ranking.

11

SBI was ranked 298th in the Fortune Global 500 rankings of the world's biggest
corporations for the year 2012.
SBI won "Best Public Sector Bank" award in the D&B India's study on 'India's
Top Banks 2013'.
State Bank of India won three IDRBT Banking Technology Excellence Awards
2013 for Electronic Payment Systems, Best use of technology for Financial
Inclusion, and Customer Management & Business Intelligence in the large
bank category.
SBI won National Award for its performance in the implementation of Prime
Ministers Employment Generation Programme (PMEGP) scheme for the year
2012.
Best Online Banking Award, Best Customer Initiative Award & Best Risk
Management Award (Runner Up) by IBA Banking Technology Awards 2010
SKOCH Award 2010 for Virtual corporation Category for its e-payment solution
SBI was the only bank featured in the "top 10 brands of India" list in an annual
survey conducted by Brand Finance and The Economic Times in 2010.
The Bank of the year 2009, India (won the second year in a row) by The Banker
Magazine.
Best Bank Large and Most Socially Responsible Bank by the Business Bank
Awards 2009
Best Bank 2009 by Business India
The Most Trusted Brand 2009 by The Economic Times.
SBI was named the 29th most reputed company in the world according to Forbes
2009 rankings
Most Preferred Bank & Most preferred Home loan provider by CNBC
Visionaries of Financial Inclusion By FINO
Technology Bank of the Year by IBA Banking Technology Awards
SBI was 11th most trusted brand in India as per the Brand Trust Report 2010.

COMPETITORS

Competitors and other players in the field:-

Top Performing Public Sector Banks

Andhra Bank

12

Allahabad Bank
Punjab National Bank
Dena Bank
Vijaya Bank

Top Performing Private Sector Banks

HDFC Bank
ICICI Bank
AXIS Bank
Kotak Mahindra Bank
Centurion Bank of Punjab

Top Performing Foreign Banks

Citibank

Standard Chartered

HSBC Bank

13

ABN AMRO Bank

American Express

SWOT ANALYSIS OF SBI:

Strength/ Opportunities:

The growth for SBI in the coming years is likely to be fuelled by the following factors:

Continued effort to increase low cost deposit would ensure improvement in NIMs and
hence earnings.

Growing retail & SMEs thrust would lead to higher business growth.

Strong economic growth would generate higher demand for funds pursuant to higher
corporate demand for credit on account of capacity expansion.

Weakness/ Threats:

The risks that could ensue to SBI in time to come are as under:

SBI is currently operating at a lowest CAR. Insufficient capital may restrict the growth
prospects of the bank going forward.

14

Stiff competition, especially in the retail segment, could impact retail growth of SBI
and hence slowdown in earnings growth.

Contribution of retail credit to total bank credit stood at 26%. Significant thrust on
growing retail book poses higher credit risk to the bank.

Delay in technology up gradation could result in loss of market shares.

Management indicated a likely pension shortfall on account of AS-15 to be close to

Rs50bn.

Slow down in domestic economy would pose a concern over credit off-take thereby
impacting earnings growth.

DIFFERENT PRODUCTS OF SBI:

DEPOSIT

LOANS

CARDS

DIFFERENT
CREDIT
CARDS

Savings
Account

Home
Loans

Consumer
Cards

SBI
International
all cards

Life
Plus
Senior Citizens
Savings
Account

Loan
Against
Property

Credit Card

SBI
cards

Gold

Fixed
Deposits

Personal
Loans

Travel Card

SBI Gold
Master
cards

Security
Deposits

Car Loan

Debit Cards

Your City
Your Cards

Recurring
Deposits

Loans
against
Securities

Commercial
I Cards

Tax-Saver
Fixed
Deposit

Two
Wheeler

Corporate
Cards

Partnership
Cards

Salary
Account

Preapprove
d Loans

Prepaid
Card

Advantage
Woman
Savings
Account

Retail
Asset

Purchase
Card

SBI
Employee
Cards

Rural
Savings
Account

Farmer
Finance

Distribution
Cards

People's
Savings

Business

Business

SBI

Account

Instalmen

Card

Advantage

15

16

PASSBOOK:-

Introduction to Advance Product:

17

Now a day not all the people have the capacity to fulfil their requirement by
their own earning, thats why they need help from others. For this so many
government & private sector bank provide them money to fulfil their requirement,
thats call the Advance Product (loan product) of the bank. All the banks have so many
different types of advance product as per the requirement of the people or customers.
In Bhubaneswar also there are so many banks those provide loan to the people for
different causes.

Types of Advance Product

Home Loan
Educational Loan
Car Loan
Personal Loan
Property Loan
Loan Against Shares\Debentures
Etc.

Now a day a large no. of people are taking loan form different banks. It helps
people to full fill their need and it really easy to repayment the loan amount with a
longer repayment period.

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SBI Advance Product

SBI Home Loans:

Purpose
Purchase/ Construction of House/ Flat
Purchase of a plot of land for construction of House
Extension/ repair/ renovation/ alteration of an existing House/ Flat
Purchase of Furnishings and Consumer Durables as a part of the project cost.
Takeover of an existing loan from other Banks/ Housing Finance Companies.

Eligibility:
Minimum age 18 years as on the date of sanction
Maximum age limit for a Home Loan borrower is fixed at 70 years, i.e. the age by
which the loan should be fully repaid.
Availability of sufficient, regular and continuous source of income for servicing the
loan repayment.

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Welcome to SBI Home Loan Sanction

Attractive Features

A. Interest Rate (w.e.f.

20.12.2013)

Upto Rs.75 Lacs - 10.15% p.a.

B. Present EMI

Rs.889 (per lac for 30 years period @10.15%)

C. Processing Fee (w.e.f.

01.06.2013)

0.25% of the loan amount Min. Rs.1000/- and Max.

Rs.10000/-

D. Prepayment Penalty

Not chargeable

E. Margin

Above Rs.75 Lacs - 10.30% p.a.

Loan up to Rs.75 lacs - 15% for house/Flat ready for

possession ELSE 20%
Loan above Rs.75 lacs 20% for house/Flat ready
for possession ELSE25%

F. Maximum Period of Loan

30 Years

G. Any advance EMI recovery NIL

(at the time of disbursement of
Loan)

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CAR LOAN:

Purpose

You can take finance for:

A new car, jeep or Multi Utility Vehicles (MUVs)
A used car / jeep (not more than 5 years old). (Any make or model).
Take over of existing loan from other Bank/Financial institution (Conditions apply)

Eligibility

To avail an SBI Car Loan, you should be :

Individual between the age of 21-65 years of age.

A Permanent employee of State / Central Government, Public Sector

Undertaking, Private company or a reputed establishment or

A Professionals or self-employed individual who is an income tax assesse

or

A Person engaged in agriculture and allied activities.

Net Annual Income Rs. 100,000/- and above.

21

Welcome to SBI CAR LOAN

Attractive Features
A. Interest Rate
(w.e.f. 01.02.2014)

For any amount any tenor 0.95% above

base rate i.e. 10.95% p.a. (For Term
Loans and Overdraft) (Base Rate:
10.00% p.a.)

B. Present EMI

Rs. 1710 (Per lac for 7 years period @

10.95%)

C. Processing Fee

Rs. 500/- per application

D. Prepayment Penalty

Not chargeable

E. Other charges

No such charges

F. Margin

15% on Road Cost

G. Maximum Period of Loan

7 Years

H. Any advance EMI recovery (at the

time of disbursement of Loan)

NIL

Documents required
you would need to submit the following documents along with the completed
application form if you are an existing SBI account holder:
1. Statement of Bank account of the borrower for last 12 months.
2. 2 passport size photographs of borrower(s).
3. Signature identification from bankers of borrower(s).
4. A copy of passport /voters ID card/PAN card.

22

5. Proof of residence.
6. Latest salary-slip showing all deductions

7. I.T. Returns/Form 16: 2 years for salaried employees and 3 years for
professional/self-employed/businessmen duly accepted by the ITO wherever
applicable to be submitted.
8. Proof of official address for non-salaried individuals.
If you are not an account holder with SBI you would also need to furnish documents
that establish your identity and give proof of residence.
Prepayment Penalty:
Prepayment fee of 2% of the amount of the loan prepaid will be levied subject to
certain conditions
FLOATING RATES:
A. for Term Loans
1. New Vehicles (Term Loan) Floating

Repayment Period

All Centres (SBAR - 12.25%)

Upto 3 years (for loans Rs. 7.5 lac &

above)

0.75% below SBAR i.e. 11.50% p.a.

Upto 3 years (for loans below Rs. 7.5

lac)

0.50% below SBAR i.e. 11.75%p.a.

Above 3 yrs. up to 5 yrs. (for all loans) 0.50% below SBAR i.e. 11.75% p.a.
Above 5 yrs. up to 7 yrs. (for all loans) 0.25% below SBAR i.e. 12.00% p.a
2.Used Vehicles: Floating

Repayment Period

All Centres (SBAR-12.25%)

23

Upto 3 years

3.00% above SBAR i.e. 15.25% p.a.

Above 3 yrs. up to 7 yrs.

3.25% above SBAR i.e. 15.50% p.a

B. For Overdrafts: For New Vehicles

Repayment Period

All Centres (SBAR 12.25%)

Upto 3 years (for loans Rs. 7.5 lac & above)

0.25% below SBAR i.e. 12.00% p.a.

Upto 3 years (for loans below Rs. 7.5 lac)

At SBAR i.e. 12.25% p.a.

Above 3 yrs. up to 5 yrs. (for all loans)

At SBAR i.e. 12.25% p.a.

Above 5 yrs up to 7 yrs (for all loans)

0.25% above SBAR i.e. 12.50% p.a.

EDUCATION LOAN:
A term loan granted to Indian Nationals for pursuing higher education in India or
abroad where admission has been secured.
Eligible Courses
A. Studies in India:

24

Graduation, Post-graduation including regular technical and professional

Degree/Diploma courses conducted by colleges/universities approved by UGC/
AICTE/IMC/Govt. etc.
Regular Degree/ Diploma Courses conducted by autonomous institutions like
IIT, IIM etc.

Teacher training/ Nursing courses approved by Central government or the State

Government
Regular Degree/Diploma Courses like Aeronautical, pilot training, shipping etc.
approved by Director General of Civil Aviation/Shipping
Vocational Training and Skill Development Study Courses will not be covered
under the regular Education Loan Schemes. A separate scheme for Loans for
Vocational Education and Training has been launched which covers financing
for such Vocational courses.

B. Studies abroad:
Job oriented professional/ technical Graduation Degree courses/ Post
Graduation Degree and Diploma courses like MCA, MBA, MS, etc. offered by
reputed universities

Expenses considered for loan

Fees payable to college/school/hostel

Examination/Library/Laboratory fees

Purchase of Books/Equipment/Instruments/Uniforms, Purchase of computersessential for completion of the course (maximum 20% of the total tuition fees payable
for completion of the course)

25

Caution Deposit/Building Fund/Refundable Deposit (maximum 10% tuition

fees for the entire course)

Travel Expenses/Passage money for studies abroad

Cost of a Two-wheeler up to Rs. 50,000/-

Any other expenses required to complete the course like study tours, project work etc.
Amount of Loan

For studies in India, maximum Rs. 10 lacs

Studies abroad, maximum Rs. 30 lacs

Interest Rates
Base Rate 10.00 % w.e.f. 07.11.2013
EDUCATION LOANS
SBI Student Loan Scheme

Loan Amount

Rate of Interest*

For loans upto Rs.4 lacs

3.50% above Base Rate,

currently 13.50% p.a.

Above Rs.4 lacs and upto

Rs.7.50 lacs

3.75% above Base Rate,

currently 13.75% p.a.

Above Rs.7.50 lacs

1.75% above Base Rate,

currently 11.75% p.a.

*(0.50% concession in interest for girl students)

26

* (1% concession for full tenure of the loan, if interest is serviced promptly as and
when applied during the moratorium period, including course duration# )
SBI Scholar Loan Scheme
ROI

List A 100bps above base rate i.e., 11.00% p.a. at

present

Further concessions:

borrowers

25 bps - work experience of more than 2 years

50 bps - with parent/ spouse/ guardian as co-

75 bps - collateral security >= the loan amount

(effective rate of interest with all 3 concessions
above not to be lower than 25 bps above base
rate, presently 10.25 % p.a.)

List B

175bps above Base rate i.e. 11.75% p.a.

1% concession for full tenure of the loan, If
interest is serviced promptly as and when applied
during the moratorium period, including course
duration#

IT exemption under Section 80(E) in respect of interest paid in all Education

Loans
SBI Loan Scheme for Vocational Education and Training

27

3.50% above Base Rate, currently 13.50% p.a.

1% concession for full tenure of the loan, if
interest is serviced promptly as and when applied
during the moratorium period, including course
duration#

# Note: 1% interest concession for servicing interest is available if interest is

serviced promptly soon after application but not later than the following month.

Processing Fees

No processing fee/ upfront charges

Deposit of Rs. 5000/- for education loan for studies abroad which will be
adjusted in the margin money

Repayment Tenure
Repayment will commence one year after completion of course or 6 months after
securing a job, whichever is earlier.

Maximum Loan Limit

Repayment Period

Upto Rs. 4 Lacs

Upto 10 years

Above Rs. 4 Lacs and upto Rs. 7.5

Lacs

Upto 10 years

Above Rs. 7.5 Lacs

Upto 12 years

28

Security
Particular

Security

Upto Rs. 4 lacs loan amount

Only Parent/ Guardian as coborrower

Parent/ Guardian as co-borrower and

Collateral security in the form of
suitable third party guarantee*.
Above Rs. 4 lacs to Rs. 7.50 lacs loan
amount

*Third Party Guarantee can be

replaced with Parent/Guardian as coborrower provided the Gross Annual
Income of Parent/Guardian (co-

borrower) as given in latest Income

Tax Return is 3 times of the loan
amount.

Above Rs. 7.50 lacs loan amount

Parent/ Guardian as co-borrower and

tangible collateral security

In case of married person, co-obligator can be either spouse or the parent(s)/

parents-in-law

Margin
For loans up to Rs.4.0 lacs : No Margin
For loans above Rs.4.0 lacs:

29

o Studies in India: 5%
o Studies Abroad: 15%

Documentation Required
Completed Education Loan Application Form.
Mark sheets of last qualifying examination
Proof of admission scholarship, studentship etc.
Schedule of expenses for the specified course
2 passport size photographs
PAN Card of the student and the Parent/ Guardian
Borrower's Bank account statement for the last six months
Income tax Returns/ IT assessment order, of last 2 yrs. (If IT Payee)

Brief statement of assets and liabilities, of the Co-borrower

Proof of Income (i.e. Salary slips/ Form 16 etc. if applicable)

SBI SARAL PERSONAL LOAN:

Do you want funds readily available to you whenever you desire or need, be it a
sudden vacation that you plan with your family or urgent funds required for medical
treatment? SBI Saral - Personal Loan is the answer to your questions. Access this
facility from over 3000 branches across the country and confidently face the challenge
of meeting any kind of personal expenses!!
Enjoy the SBI Advantage :

Low interest rates. Further, we charge interest on a daily reducing balance!!

Low processing charges; only 2%-3% of loan amount

No hidden costs or administrative charges.

30

No security required which means minimal documentationsomething that you

had always wanted. No prepayment penalties. Reduce your interest burden and
optimally utilize your surplus funds by prepaying the loan (1% of the loan amount will
be charged if you repay the loan before 6 months)

Long repayment period of up to 48 months.

The Scheme
Purpose
The loan will be granted for any legitimate purpose whatsoever (e.g. expenses for
domestic or foreign travel, medical treatment of self or a family member, meeting any
financial liability, such as marriage of son/daughter, defraying educational expenses of
wards, meeting margins for purchase of assets etc.)

Eligibility
You are eligible if you are a Salaried individual of good quality corporate, self
employed engineer, doctor, architect, chartered accountant, MBA with minimum 2
years standing.
Salient Features
Loan Amount
Your personal loan limit would be determined by your income and repayment
capacity.
Minimum : Rs.24,000/- in metro and urban centres Rs.10,000/- in rural/semi-urban
centres
Maximum : 12 times Net Monthly Income for salaried individuals and pensioners
subject to a ceiling of Rs.10 lacs in all centres

31

Documents Required
Important documents to be furnished while opening a Personal Loan Account:

For existing bank customers

Passport size photograph

From salaried individuals

Latest salary slip and Form 16

Margin
We do not insist on any margin amount.
Interest Rates:
PERSONAL LOAN
Clean Public Loan

Type of Facility

Rate of Interest

Clean Overdraft

8.25% above Base Rate,

currently 18.25% p.a.

Personal Loans Scheme (SBI

Saral)

8.50% above Base Rate

floating, currently 18.50% p.a.

SBI Loan to Pensioners (All

variants)

4.75% above Base Rate,

currently 14.75% p.a.

32

Festival Loan Scheme

6.75% above Base Rate,

currently 16.75% p.a.

Loan against Bank Time Deposit

Loan against Bank Time
Deposits

0.50% over the rate paid on

Relative time deposit.

Rent Plus Scheme

For Loans upto Rs 7.50 Cr
in Metro Center and Rs
5.00 Cr in Non- Metro
Center

3.10% above Base Rate, currently

13.10% p.a.

In all other cases

3.25% above Base Rate, currently

13.25% p.a.

Xpress Credit
Type

Facility

Rate of Interest

Term Loan

Check-off
from
Employer

5.00%- 7.00% above Base Rate

Floating, currently 15.00% 17.00% p.a. depending on the
Check off

Repayment

33

The loan is repayable in 48 EMI. You are allowed to pay more than the EMI if you
wish to, without attracting any prepayment penalty.
Security
NIL

Processing Fee
Processing charges are 2-3% of the loan amount. This is amongst the lowest fees in the
industry. Processing fees have to be paid upfront. There are no hidden costs or other
administrative charges.

PROPERTY LOAN:
A dream comes true. An ALL PURPOSE LOAN for anything that life throws up at
you!! Do you need funds for a Marriage ceremony, want to take your family to a welldeserved holiday or for a sudden medical emergency? you have some property, but
would rather not sell it? Then why not avail of this ALL PURPOSE LOAN from SBI?
SBI now makes it very much possible for you to only keep your property but also have
liquid funds.

Enjoy the SBI Advantage

Complete transparency in operations

Access this loan from our wide network of branches

Interest rates are levied on a monthly/daily reducing balance method

Lowest processing charges.

34

Long repayment period of 60 months, up to 120 months for salaried individuals

with check-off facility
No Hidden costs or administrative charges.
No prepayment penalties. You can have surplus funds at any time thereby
conveniently reducing your loan liability and interest burden.

Property Loan Scheme

Avail of an All-Purpose loan against mortgage of any of your property. We offer you
these loans at all our Personal Banking Branches and those branches having Personal
Banking Divisions amongst others.
Purpose
This is an all purpose loan, i.e., the loan can be obtained for any purpose whatsoever.
If amount of loan is Rs.25.00 lacs and above then purpose of loan will have to be
specified along with an undertaking that loan will not be used for any speculative
purpose whatever including speculation on real estate and equity shares.

Eligibility
You are eligible if you are:
A. An individual who is;
a. An Employee or
b. A Professional, self-employed or an income tax assesse or
c. Engaged in agricultural and allied activities.

B. Your Net Monthly Income (salaried) is in excess of Rs.12,000/- or Net Annual

Income (others) is in excess of Rs.1,50,000/-.

35

The income of the spouse may be added if he/she is a co-borrower or a guarantor.

C.

Maximum age limit: 60 years.

Salient Features

Loan Amount
Minimum:
Rs.25,000/Maximum : Rs.1 crore . The amount is decided by the following calculation:
24 times the net monthly income of salaried persons (Net of all deductions including
TDS) OR

2 times the net annual income of others (income as per latest IT return less taxes
payable)

Margin
We will finance up to 60% of the market value of your property.

Interest
Base Rate 10.00% w.e.f. 07.11.2013

Loan against Gold Ornaments

Size of Credit Limit

Rate of Interest

Upto Rs. 1,00,000/-

4.25% above Base Rate

Floating, currently 14.25% p.a.

Above Rs. 1,00,000/-

4.75% above Base Rate

Floating, currently 14.75% p.a.

36

Loan against Mortgage of Immovable Property

Size of Credit Limit (Term
Loan)

Rate of Interest

For Loans upto Rs 1 Cr

2.75% above Base Rate

Floating, currently 12.75% p.a.

For Loans above Rs 1 Cr

3.00% above Base Rate

Floating, currently 13.00% p.a.

*No Overdraft against Mortgage of Property

Repayment
Maximum of 60 equated monthly instalments, up to 120 months for salaried
individuals with check-off facility. You could opt to divert any surplus funds towards
prepayment of the loan without attracting any penalty.
Processing Fees
2% of the loan amount [inclusive of the service tax]. Max of Rs. 50,000/-

Security
As per banks extant instructions.

37

LOAN AGAINST SHARES DEBENTURES:

Eligibility
This facility is available to our existing individual customers enjoying a strong
relationship with SBI. This loan could be availed either singly or as a joint account
with spouse in 'Either or Survivor'/ 'Former or Survivor' mode. It is offered as an
Overdraft or Demand Loan. The facility is available at 50 select centres.
Salient Features:
Purpose
For meeting contingencies and needs of personal nature. Loan will be permitted for
subscribing to rights or new issue of shares / debentures against the security of existing
shares / debentures. Loan will not be sanctioned for (i) speculative purposes (ii) intercorporate investments or (iii) acquiring controlling interest in company / companies.
Loan Amount
You can avail of loans up to Rs 20.00 lacs against your shares/debentures.
Documents Required
You will be required to submit a declaration indicating:
Details of loans availed from other banks/ branches for acquiring shares/ debentures.
Details of loans availed from other banks/ branches against security of shares/
debentures
Margin
You will need to provide a margin amount of 50% of the prevailing market prices of
the shares/ non-convertible debentures being offered as security. (The market prices
refer to the prices in the Stock Exchanges as reported in the Economic Times.)
Interest
At SBAR Floating i.e. 12.25% p.a.
Repayment Schedule
To be liquidated in maximum period of 30 months through a suitable reducing DP
programme.

38

In case of a default or if the outstanding is over Rs.20.00 lacs, the shares/debentures

will be transferred in the name of the Bank.
Security:
Pledge of the demat shares/debentures against which overdraft is granted.
SERVICES: Internet Banking
Mobile Banking
ATM Services
Demat Services
INTERNET BANKING
www.onlinesbi.com, the Internet banking portal of our bank, enables its retail banking
customers to operate their accounts from anywhere anytime, removing the restrictions
imposed by geography and time. It's a platform that enables the customers to carry out
their banking activities from their desktop, aided by the power and convenience of the
Internet.

39

Using Internet banking services, you can do the following normal banking
transactions online:

Funds transfer between own accounts.

Third party transfers to accounts maintained at any branch of SBI
Group Transfers to accounts in State Bank Group
Inter Bank Transfers to accounts with other Banks
Online standing instructions for periodical transfer for the above
Credit PPF accounts across branches
Request for Issue of Demand Draft
Request for opening of new accounts
Request for closure of Loan Accounts
Request for Issue of Cheque Book

Apart from these, the other salient value-added features available are:

Utility bill payments

Online Ticket Booking for travel by Road, Rail and Air
SBILIFE, LIC and other insurance premier payments
SBI and other Mutual funds Investments
SBI and other Credit Card dues payments
Tax Payment Income, Service, State Govt
Customs Duty Payment
Online Share Trading (eZ-trade@SBI)

40

Online Application for IPO

Fee Payment to select educational institutions including IITs and NITs
Truly smart services to cover most of your banking transactions. All this and much
more, from your desktop.
All our branches are enabled for Internet Banking. Contact your branch for availing
this service. You can visit www.onlinesbi.com for downloading the registration
form

MOBILE BANKING:-

41

State Bank Freedom Your Mobile Your Bank

Away from home, balance enquiries can be made and/or money sent to the loved ones
or bills can be paid anytime 24x7!!! That is what State Bank Freedom offers convenient, simple, secure, anytime and anywhere banking.
1. Mobile Banking Service over Application/ Wireless Application Protocol
(WAP)
The Mobile Banking Application is available for java, Blackberry, Android, iphones and Windows mobile phones. The service can also be availed via WAP on
all phones with GPRS connection.
The following services can be availed through the Mobile Banking application and
WAP:
Funds transfer (within and outside the bank)
Immediate Payment Services (IMPS): Click here for details.
Enquiry services (Balance enquiry/ Mini statement)
Demat Account Services
Requests (Cheque book request/Generate OTP)
Bill Pay (Utility bills, credit cards, Insurance premium), Donations, Subscriptions
Top up / Recharge (Mobile /DTH /MobiCash wallet Top up)
M Commerce (Merchant payments, SBI life insurance premium)
Business Rules
a. All Current/ Savings Bank Account holders in P segment and proprietary
concerns in SME segment are eligible.
b. Transaction limit per day is Rs. 50,000/- with a calendar month limit of Rs.
2,50,000/c. Service available over all telecom service providers.
d. The Service is free of charge. SMS/GPRS cost will be borne by the customer.

42

2. Mobile Banking Service over SMS:

The service is available on all phones. You can send keywords as SMS to 9223440000.
Click here for the list of keywords. Ordinary SMS charges are applicable. The following
services can be availed through SMS:
Enquiry Services (Balance Enquiry/Mini Statement)

Prepaid Mobile / MobiCash wallet Top up

DTH Recharge
IMPS Fund transfer (Mobile number & MMID and
Account Number & IFS Code)
Change MPIN
IMPS Merchant payments

Business Rules

a.

All Current/ Savings Bank Account holders in P segment are eligible.

b.

Transaction limit per day is Rs. 1,000/- with a calendar month limit of Rs.
5,000/- . However, customers desiring to transact up to Rs. 5000/- per day or Rs
25,000/- per month may do so after obtaining a One Time Password (OTP).

c.

Service available over all telecom service providers.

d.

The Service is free of charge. SMS cost will be borne by the customer.

e.

As a precaution, Customers are requested to delete all the messages sent to the
number 9223440000, once the response for their request has been received.

3.

Mobile Banking Service over USSD (Unstructured Supplementary Service

Data)

43

The service is available on all phones except CDMA phones. Downloading of

application is not required. Subscribers have to dial *595# to avail the service.
The following services can be availed through USSD:
Enquiry Services (Balance Enquiry/Mini Statement)
Mobile Top up
Funds Transfer (within Bank)
Business Rules
All Current/ Savings Bank Account holders in P segment are eligible.
a. Transaction limit per day is Rs. 1,000/- with a calendar month limit of Rs.
5,000/- .
b. The Service is available for subscribers of select telecom operators only.
c. The Service is free of charge. USSD session charges will be borne by the
customer.
d. The service is session based and requires a response from the user within a
reasonable time.
ATM SERVICES:-

STATE BANK ATM SERVICES

44

State Bank offers you the convenience of 43,000+ ATMs in India, the largest
network in the country and continuing to expand fast! This means that you can
transact free of cost at the ATMs of State Bank Group using any State Bank ATMcum-Debit Card (This includes the ATMs of State Bank of India as well as

the Associate Banks - namely, State Bank of Bikaner & Jaipur, State Bank of
Hyderabad, State Bank of Mysore, State Bank of Patiala and State Bank of
Travancore.)
KINDS OF CARDS ACCEPTED AT STATE BANK ATMs
Besides all debit cards issued by State Bank of India, following cards are also
accepted at State Bank ATMs:
1) State Bank Credit Card
2) Cards issued by other banks displaying Maestro, Master Card, Cirrus, VISA,
VISA Electron, and Rupay logos
3) All Debit/ Credit Cards issued by any bank outside India displaying
Maestro, Master Card, Cirrus, VISA and VISA Electron logos
State Bank ATM-cum-Debit Cards:
India's largest bank is proud to offer you a range of debit cards to suit your needs.
Apart from access to our ATM network these cards can be used at merchant
establishments. Click here to know about card offerings.
ATM Access and enhanced convenience
v Get a State Bank ATM-cum-Debit card and transact for FREE at any of our
43,000+ ATMs in India. Click here for the list of ATMs in India or to find the
nearest ATM you are looking for!
v You can also transact at over 1 lakh ATMs of other banks linked to the
National Financial Switch. As per RBI guidelines, you are entitled to 5 FREE
transactions (Financial and Non-Financial) in a calendar month (for Savings
Bank account holders only).
v You can also use your debit card to make payments for purchases at more
than 6 lakh merchant establishments viz. shops, restaurants, shopping malls,
hotels, petrol pumps and many other outlets.

45

ATM Features:
Use the Banking option on State Bank ATMs and enjoy a host of services:

Cash Withdrawal
The most popular service on our ATMs enables customers to withdraw up to a daily
limit of Rs. 40,000/- (limit on Classic Debit Card. Higher value cards permit daily
withdrawal limits of up to Rs. 1 lakh per day)
Fast Cash
A service which enables you to withdraw your preferred amounts with just a touch.
The options in the denomination of 100, 200, 500, 1000, 2000, 3000, 5000, 10,000 are
available.
Pin Change
Use this service to change your password at regular intervals.
Balance Enquiry
Expecting an inflow of funds in your account? Use this service to check the current
available balance in your account. This service is also available on the main option
screen after swiping your card. You can also Go Green by selecting the view option
as the balance is displayed on the screen else get a transaction receipt by selecting
print.
Ministatement
Keep track of the transactions in your account by availing this service. Mini- statement
gives you an insight into the last 10 transactions in your account.

Use the Transfer option on State Bank ATMs and avail of:
Card to Card Transfer

46

Send cash in a flash from one SBI Debit Card to the other. Using this free and easy
service, you can transfer up to Rs. 30,000/- per day instantly to your loved ones. All
you need is your SBI debit card, your pin and the beneficiarys debit card number. (Per
transaction limit of Rs. 15,000/-).

Credit Card Payment (Visa)

Use this service to pay the bill of any Visa credit card.

Use the Services option on State Bank ATMs and avail of:
Credit Card Payment
Make a paperless payment of your SBI credit card bill.
SBI Life Premium Payment
Pay your SBI Life insurance premium payment using any of our ATMs.
Mobile Top-up
Talk non-stop and recharge your mobile prepaid connection from any of our 43000+
ATMs. A popular service amongst customers, it ensures you never run out of time to
catch up with your dear ones over the mobile network.

Cheque Book Request

Order your cheque book without visiting the branch or filling in any transaction slips.
Remember to update your registered address in the branch as the cheque book will be
delivered at the address registered in the branch.

Trust Donation

47

Make a donation to your favourite charity. For example, (a) Vaishno Devi (b) Shirdi
Saibaba (c) Gurudwara Takht Saheb, Nanded (d) Tirupati (e) Sri Jagannath Temple,
Puri (f) Palani, Tamil Nadu (g) Kanchi Kamakoti Petam, Tamil Nadu (h) Ramakrishna
Mission, Kolkata (i) Mantralaya, Andhra Pradesh (j) Kashi Vishwanath, Banaras (k)
Tulja Bhavani, Mumbai (l) Mahalakshmi, Mumbai and many more.....
Bill payment
Use our ATMs to pay your utility bills viz. Bangalore/Hubli/Chamundeshwari
Electricity Supply Company, Karnataka and Chattisgarh State Electricity Board.

Use the Mobile Registration option on State Bank ATMs to:

Mobile Banking Registration

Register/Deregister your mobile banking application using our ATMs.

Inter-mobile Mobile Payment System

You can register for the IMPS service at all our ATMs. This service allows you to
transfer money to any other person with a registered IMPS number instantly.

You can also create a Term Deposit using our ATMs. Just click the TDR/STDR
option:

Minimum amount of Rs. 10,000/- (valid in singly owned accounts only)

Overview
(i)

With effect from 01.04.2011, all the new demat accounts and Online Trading
accounts will be opened in the books of SBI Cap Securities Ltd.

48

(ii)

The existing demat accounts in the books of the Bank will continue to be
maintained by the Bank.

Therefore, in new 3 in one facility, Savings/Current account will be held with SBI
while Demat and Online Trading account will be held in the books of SBI Cap
Securities Ltd.

However, existing demat customers of SBI will continue to get the services from SBI
as before. SBI is a Depository Participant registered with both National Securities
Depositories Limited (NSDL) and Central Depository Services Limited (CDSL) and is
operating its DP activity through more than 1000 branches. Our Power Demat Account
offers you the following features:

Features & Benefits of a Demat Account

As opposed to the earlier form of dealing in physical certificates with delays in
transaction, holding and trading in Demat form has the following benefits:

Account Maintenance & Safe custody: Facilitates Maintaining Security Balance

in electronic form

Dematerialization: Facilitates converting physical share certificate into electronic

balances.

Rematerialization: Facilitates converting the electronic balances to physical

(share certificate) form.

Account Transfers: Facilitates delivery/receipt of electronic balances consequent

to market / off-market trades.

Pledge/Hypothecation: Facilitates blocking securities balance of borrowers in

favour of lenders for obtaining Loans / advances against shares.

Initial Public offer: Facilitates faster and direct credit of security balances into DP
account on allotment through public issue of companies

49

Disbursement of corporate benefits: Facilitates faster and direct credit of

security balance into DP account on account of non-monetary corporate benefits as
bonus and rights issues.

Security Lending: Facilitates earning extra income on your dematerialized

holdings by the way of securities lending.

A Demat account with SBI provides you the following benefits:

Customer Care: You can now call our dedicated Customer Care 24X7 and rest
assured that all your queries are taken care of.

Transact Anywhere: Now operate your Demat account from any of the 1000 plus
Demat enabled branches of SBI.

Statements by e-mail: Receive your account statement and bill by email.

Demat Services Online Facility This convenient and paper free facility lets you
operate from the comfort of your home or office through SBIs Internet Banking
Facility - www.onlinesbi.com

Online Demat Statements: You can now view your Demat account details, statement
of holdings, statement of transactions and statement of billing online.
Order Delivery Instruction Booklet online: No queues at branches anymore as you
can now order your Delivery Instructions Booklet online and the same would be
delivered at your doorsteps.
Check ISINs, Settlement Calendar and Status of Requests online
eZ - Instructions: You can transfer or pledge/unpledge securities online anyplace,
anytime.
Mobile Alerts: Receive SMS alerts for all debits/credits as well as for any request
which cannot be processed.

50

eZ-trade@sbi: In case you want an Online Trading Facility, you can have it with
SBICap Securities Limited. This service provides you with a 3-in-1 account which is
an integrated platform of Savings Bank A/c, Demat A/c and Online Trading A/c to
give you a convenient and paper free trading experience.

RESEARCH OBJECTIVES

First and foremost objective is to find out the reasons for using of Advance Product from
SBI.
To find out the services that other bank gives to their customer.
To generate the leads through the survey.
To sort out the prospective leads from the data I have collected through the survey.
To find out the customer awareness on booming Advance Product market and to find out the
using patterns of the people

51

To make the customer aware of the benefits of the product.

RESEARCH METHODOLOGY

Research methodology is a methodology for collecting all sorts of information & data
pertaining to the subject in question. The objective is to examine all the issues
involved & conduct situational analysis. The methodology includes the overall
research design, sampling procedure & fieldwork done & finally the analysis
procedure. The methodology used in the study consistent of sample survey using both
primary & secondary data. The primary data has been collected with the help of
questionnaire as well as personal observation book, magazine; journals have been
referred for secondary data. The questionnaire has been drafted & presented by the
researcher himself.

Sample Size:
Sample of 100 people was taken into study, and their data was collected.

52

Sampling Technique:
To study the Project, a Simple Sampling technique is used.

Data Collection:
Collection of data is done by Secondary Data & through Questionnaire i.e.,
Primary data was collected through Questionnaire.

Data Analysis:
After data collection, I analysed customers views, ideas and opinions related to
Advance Product and about SBI Advance Product and from this, SBI will come
to know the customer requirements.

Data Interpretation:
Interpretation of data is done by using statistical tool i.e. Bar graphs, and also
using quantitative techniques (by using these techniques) accurate
information is obtained.
Classification & tabulation of data:

53

The data thus collected were classified according to the categories, counting
sheets & the summary tables were prepared. The resultant tables were one
dimensional, two dimensional.
Statistical tools used for analysis:
Out of the total respondents, the respondents who responded logically were
taken into account while going into statistical details & analysis of data. The
tools that have been used for analysing data & inference drawing are mainly
statistical tools like percentage, ranking, averages, etc.

GRAPHICAL REPRESENTATION OF DATA

AND INTERPRETATIONS:

As per questionnaire and market surveys I have find out different responses from
different people. According to their responses I analyse the findings and draw certain
remarks.
QUESTIONNAIRE

Q1.In which bank , you have an account?

a) SBI
b) ICICI
c) HDFC
d) OTHER

54

PARTICULARS

PERCENTAGE

SBI

60 %

ICICI

33 %

HDFC

5%

OTHER

2%

TOTAL NO. OF PEOPLE

100

RESPONSES OF PEOPLE IN %
70%

60%

60%

50%

40%

% OF CUSTOMER RESPONSES
33%

30%

20%

10%

5%
2%

0%
SBI

ICICI

HDFC

OTHER

55

INTERPRETATIONS:
It has been observed that approximately 60% of correspondents are using the service
of SBI for their daily transaction, around 33% of people are using ICICI Bank for their
transaction and only 5% & 2% of people are using HDFC & other Bank service
respectively in Bhilai. It also shows that SBI have the highest market position in
Bhubaneswar as per my sample.

Q2. Are you aware of products & services provided by SBI?

a) YES
b) NO
YES

85%

NO

15%

Total No. of People

100

56
90%

YES; 85%

80%
70%
60%
50%
40%
30%
20%

NO; 15%

10%
0%
YES

NO

INTREPRETATION:From the above data it is clear that most of the customers (around 85%) of
Bhubaneswar have the idea about the product & services of SBI, the rest 15% have the
idea about the product they are using. In this 15% most of the people are from typical
rural area (Farmers).

Q3. If yes are you aware of the advance products (Loan segments) of SBI?

YES

95%

NO

5%

TOTAL NO. OF PEOPLE

100

57

% OF PEOPLE
95%

100%
90%
80%
70%
60%

% OF PEOPLE

50%
40%
30%
20%
5%

10%
0%
YES

NO

INTREPRETATION:-

It is clear that most of the people have the idea about the advance product of SBI.
Almost all the 95% people who have the idea about the advance product are the user
of SBI product& service.

Q4. Which bank you prefer for taking loans?

SBI

62%

ICICI

12%

HDFC

2%

OTHER

24%

58

TOTAL NO. OF PEOPLE

100

SALE
70%

62%

60%
50%
SALE

40%
30%

24%

20%

12%

10%

2%

0%
SBI

ICICI

HDFC

OTHER

INTREPRETATION:According to my sample size 85% of people prefer SBI for loan product, but some
people prefer ICICI, HDFC or OTHER Bank for loan because they are working with
that bank & it is easier for them to get loan from their bank & it easier for them to pay
the interest because it is less as compare to other bank because they are the employee of
that bank

Q5. If you prefer SBI for taking loan than what influence you to take Loan from
SBI?
Most of the people said that they prefer SBI for taking loan because of the
transparency and the lowest interest rate for any kind of loan product. And it is easy to

59

get loan from SBI as compare to other bank because less paper work is require and as
it is the largest govt. bank in India and having partnership with RBI (Reserve Bank of
India) and other association, it is easier for SBI to give loan to people with a longer
repayment period.

Q.6 Which loan product of SBI you have used?

HOME LOAN

47%

EDUCATIONAL LOAN

20%

CAR LOAN

15%

PERSONAL LOAN

10%

OTHER

8%

TOTAL NO. OF PEOPLE

100

60

Chart Title
50%
45%
40%
35%
30%
25%
20%
15%
10%
5%
0%

47%

20%

15%

10%

8%

Series 2

INTREPRETATION:From the sample size 85% of people are using the SBI loan product. From the 1800
people 47% of people took home loan from SBI. 20% of people took education loan for
their children, 15% of people took car loan from SBI. Some of the customer took 2 type
of loan from SBI like both car & educational loan and home & car loan. 10% of people
took personal loan.

Q7. What do you feel about the services providing by SBI in advance product?

Not satisfied

0%

Satisfactory

2%

Good

55%

Excellent

43%

TOTAL NO. OF PEOPLE

100

61

CUSTOMER PERCEPTION TOWARDS THE SERVICE PROVIDE BY SBI IN ADVANCE PRODUCT

500%
450%
400%
350%
300% CUSTOMER PERCEPTION TOWARDS THE SERVICE PROVIDE BY SBI IN ADVANCE PRODUCT
250%
200%
150%
100%
50%
0%
NOT SATISFIED

SATISFACTORY

GOOD

EXCELENT

INTREPRETATION
From this it is clear that the service provide by SBI in its advance product is good in
between the customer. All of them satisfy with the product provide by SBI. 55% of
people said that the service provide by SBI is good & 43% said it is excellent & just 2%
of people said that it is satisfactory

62

Q8. Which features you like most in Loan segments of SBI?

LESS PAPER WORK

3%

ATTRACTIVE INTEREST RATE

35%

TRANSPARENCY

20%

SIMPLE AND FAST PROCESSING

2%

LONGER REPAYMENT PERIOD

40%

TOTAL NO. OF PEOPLE

100

FEATURES LIKE BY CUSTOMER

45%
40%
35%
30%
25%
20%
15%
10%
5%
0%

63

INTREPRETATION
Most of the people like the attractive interest rate & longer repayment period. Its
easier for people to repay the whole loan amount with its interest with low interest rate
and with longer repayment period.

PROJECT FINDINGS:

From this project it is found that SBI advance product having the 1st place in the
market at Bhilai, there is a great opportunity to compete with ICICI Bank & to
retain its customer by fulfilling the requirement of customer in SBI advance
product.
It has been observed that approximately 85% correspondents are using advance
product of SBI and 15% are not using any type of advance product of SBI in
Bhubaneswar.
All of SBI customers are satisfied with the services provided by the bank.
Many of these customers satisfied with the low interest rate and longer repayment
period of the advance product.
Most of the customers at Bhilai prefer to take loan from SBI.
Approximately 43% of advance product users said that the service of SBI in
advance product is excellent.
A response from customer care is so clear & good.
Many customers have no time to call customer care so that they are not able to
know about the service & features of SBI advance product.
Most customers are shifted from other banks advance product to SBI because of
hidden charges, high interest rate, less repayment period.
Government employees are more concern than private employees for advance
product.

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REASONS FOR HIGHLY USE OF SBI ADVANCE PRODUCT:

LESS PAPER WORK

ATTRACTIVE INTEREST RATES
TRANSPARENCY
SIMPLE & FAST PROCESSING
LONGER REPAYMENT PERIOD
QUICK PROCESSING

SUGGESTION & RECOMMENDATION

Recommendation :
Customer awareness programme is required so that more people should attract towards
advance product.
If there are any kind of hidden charges than that must disclose to customer before
giving loan to them.
SBI must take some steps so that customers can get their loan in time. Like phone
verification by customer care that one customer is got their loan on time or not .It must
be before a certain date so necessary steps can be taken.
SBI should more concern about physical verification rather than phone verification so
it will avoid fraud or cheating.
Advance product selling agents must not give any type of wrong information
regarding advance product.
For the better service new offers would be require.
SBI customer care should more concern about the fastest settlement of customer
problems.
Before deducting or charging any monetary charge SBI must consult with customer.
Agents should be trained, well educated & proper trained to convince the people about
different advance product.
It is the duty of the bank to disclose all the material facts regarding advance product,
like interest charged, repayment period, other types of charges, etc.

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Special scheme should be implemented to encourage both customer and agents.

The bank should increase the period for repayment of loan.

SBI should more focus on Retaining existing customers.
SBI must focus on Segmentation based on customer knowledge Product offering based
on customer demand.
SBI must take feedbacks of customers regarding features & services.

Suggestions given by the consumers at the time of survey:

There is more time period for repayment of education loan.
Education loan should be providing to private college also which is not under AICTE
or any kind of University.
SBI should take steps to solve customer problems immediately.
Agents should be trained, well educated & proper trained to convince the people about
different advance product.
Loan sanction date should be according to customer convenient.
A customer awareness programme should be taking place in rural area.

CONCLUSION
From the analysis part it can be conclude that customers have a good respond towards
SBI advance products in Bhilai. SBI is in 1st position having large number of
customers & providing good services to them. The bank has a wide customer base, so
the bank should concentrate on this to retain these customers.

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In present scenario SBI is the largest advance product issuer in India. Within a very
short period of time the achievement made by SBI is excellent, what a normal bank
cannot expect, but it is being done by SBI. It happens due to employee dedication
towards the organization, fastest growing Indian economy, & brand image.

To be the largest advance product issuer, SBI should focus on Launch Innovative product
Customized advance products
Better customer services
Fastest customers problem solving techniques
Customer retention
Apart from all the above, SBI believe in providing good customer services to their
customers which is a key factor for success in future.

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Questionnaire
Name - _____________________________________

Occupation-__________________________________

Contact Detail -_______________________________

Q. On which bank you depend for your regular transaction?

a) SBI
b) ICICI Bank
c) HDFC Bank
d) Other Bank, Specify (_____________)
Q. Are you aware of products & services provided by SBI?
a) YES
b) NO
Q. If yes are you aware of the advance products (Loan segments) of SBI?
a) YES
b) NO

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Q. Which bank you prefer for taking loans?

a) SBI
b) ICICI Bank

c) HDFC Bank
d) Other Bank, Specify (_____________)
Q. If you prefer SBI for taking loan than what influence you to take Loan from

Q. Which loan product of SBI you have used?

a)
b)
c)
d)
e)

Home Loan
Education Loan
Car Loan
Personal Loan
Other Loans, Specify ( ______________ )

Q. What do you feel about the services providing by SBI in advance product?
a)
b)
c)
d)

Bad
Satisfactory
Good
Excellent

Q. Which features you like most in Loan segments of SBI?

a)
b)
c)
d)
e)
f)
g)
h)

Less paper work

Attractive interest rate
Transparency
Simple & fast processing
Flexibility to choose an EMI base loan or an overdraft
Longer tenure lone for ease of repayment
Specially design product for self employed
Any other feature, specify ( _____________ )

SBI?

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Q. Any suggestion you want to give for the betterment of SBI advance product.
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________