14. Aim of the study
“To know about interest rates on loan products
and to analyse which player is most competent”
Objective of the study
To have a comparative study of INTERST RATES
To know CUSTOMER PREFERENCES
To know excellence of loan products of INDIAN
BANK
16. Indian bank is good in fixed rate of interest for higher
credit limit i.e. 11.50 % which is constant with respect
o tenure of loan period.
A new monetary stimulus declared by the Reserve
Bank of India include further cut in home loans, auto
loans and other loan rates.
Lending rates on homes are changing very quickly
because as the market is not stagnant.
Period of recession has upset the whole market and to
meet the demands and to won back old economy
Government of India is taking steps with respect to
home loans.
17.
18. INDIAN BANK has constancy in this rate at 12
% which slightly changes by 0.25% in higher
amount of loan.
Different bank has different way of setting
loan interest.
Rate of interest on higher education is higher
than other loan products.
19. Car loan is moderate and near to 11% approx.
Indian bank is good in long term and high
finance amount.
Indian bank ranks 3rd in the row of car loan
preference by the customers while comparison
with the other players.
Indian bank deals at high scale and have
contacts with big players in this corporate
world.
20.
21. Aim of the study
“To know how bank analyse the financial
position of the company while sanctioning loan”
Objective of the study
• To know about analysis of the company by bank
• To acquaint to the working of loan department in
a Bank branch
• To know the bank’s policies to sanction loan
22.
23. i. By Gross sale method
ii. Computation on the basis of 20% of sales
iii. Computation with STBC Method
24. Hence past trends of financial years of the firm have
analysed and show positive results thereof. This all
justifies that the projected sales and balance sheet is
true and fair and requests need for limit of Rs. 40 crores
is genuine. Thus, limit is enhanced to Rs. 40 crores. Issue
the sanction ticket stipulating the securities and other
terms as per HO guidelines.
Assistant General Manager
25. • Know about the areas in which bank is weaker and in which
they have to improve upon.
• To rank itself this report is beneficial.
• Off loading burden of the existing employees of the Indian
bank.
• It made clear to bank that which bank has good in what so
that to follow their strategy to make own goals for future
years.
• Bank likely to accrue the benefit of summary of latest interest
rates and current position of the Indian bank industry for
increase in knowledge.
• While helping through the project norms and rules are
reviewed by the bank officials which make them upto date.
26. • Analysis is only a means and not the end. The analysis
has been done on the basis of my own interpretations
and upto best of my knowledge but every analyst have
his or her own interpretations and suggestions.
• Only quantitative factors are taken into account while
making the project not qualitative.
• The non-monetary factors are not taken into
consideration
• The stipulated time was not sufficient to understand
each and every aspect of the system but I have tried to
balance and cover each aspect within the stipulated
time.
• Restricted finance was also one of the limitations.
• As to have an real life practical experience everything in
real and original is required which is not available due
to confidential norms and rules which limits the study.
27. • Return on equity has been declined from 20.9% in 2007-08 to
18.63% in 2008-09 to which bank has to work upon to retain
its efficiency in working.
• As comparison with other banks INDIAN BANK’s developing
rate is much lesser than other players. Expenditure on
infrastructure is also less. Bank management have to taken
under this problem so that progress should be in right order
and direction.
• INDIAN BANK has also to spend money on advertisement.
Commonly bank requires nominal or no advertisement
because customers come to place of their convenience. But
INDIAN BANK is not well known brand so it has to give
advertisement as a tool of promotion.
