BANKING- MICROFINANCE- COMPARING UJJIVAN AND SPANDANA

1. PRESENTED BY,
GOWRI BALAH G
A COMPARISON BETWEEN UJJIVAN AND
SPANDANA

2. OPERATIONS UJJIVAN SPANDANA
Site Target population
CRM survey
Bangalore
No of branches: 552
No of States: 24
Target population
CRM survey
Hyderabad
No of branches: 694
No of States: 15
Security Deposit NIL
For higher loans more than
15000/- 10% SD collected.
Providing interest for SD
NIL
Interest rate 1.25% 1.25%
Group strength 20-60 5 and 10

4. SPANDANA

5. UJJIVAN SPANDANA

7. GEOGRAPHICAL PRESENCE

9. PRODUCTS OF UJJIVAN
 Savings Account
 Regular
 Privilege
 Senior citizen
 Minor savings
 Basic savings bank deposit account
 Digital savings account
 Deposits
 Regular fixed deposits
 Tax saver fixed deposits
 Regular recurring deposits
 Digital fixed deposit

10.  Loans
 Sampoorna Family Banking
 Loans
 Savings Account
 Deposits
 Insurance
 Third Party Product (Insurance)
 Life Insurance Partners
 General Insurance Partners
 Health Insurance Partners

11. AFFORDABLE HOUSING LOANS
Construction and Purchase Loan
 Purpose: For construction and purchase of houses.
 Loan Amount: 2,00,000 - 75,00,000.
 ROI: 13.75% - 15.75% p.a
Composite Home Loan
 Purpose: For purchase of a vacant plot and constructing on it.
 Loan Amount: 2,00,000 - 30,00,000.
 ROI: 13.75% - 15.75% p.a.
Home Improvement Loan
 Purpose: Loans for Home Improvement/Renovation/Extension.
 Loan Amount: 2,00,000 - 25,00,000.
 ROI: 15.75% p.a.
Home Equity Loan (Non Housing Loan)
 Purpose: Debt Consolidation, Extended Refinance for building constructed or purchased, mixed usage of loan and funding of
mixed properties.
 Loan Amount: 2,00,000 - 35,00,000
LOANS

12. PERSONAL LOAN
Loan Amount
 Minimum: 50,000, Maximum: 15,00,000
Tenure
 Minimum: 1 year, Maximum: 5 years
 Flexible Repayment Options: Easy EMI option available on your loan tenure varying from 12 to 60 months.
 Minimum Paperwork/Documentation: Last 3 month's/6 month's bank statement showing salary credits and Latest Salary Slips
required.
VEHICLE LOANS
Ujjivan Bank Two Wheeler Loan: To provide hassle free processing along with simplified
documentations and faster decisioning of Loan.
Ujjivan Bank Electric Three Wheeler Loan: To cater the financial requirements of Electric
Three Wheeler buyers.

13. MICRO LOANS
Ujjivan Bank Group Loans:
• These are purpose based loans given at moderate rates under Joint Liability Group (JLG) model.
It includes following products:
 Business Loan, Family Loan, Agriculture and Allied Loan.
 Education Core Loan, GL Top-up Loan, Emergency Loan.
 Education Loan (Top up), Loyalty Loan.
Ujjivan Bank Individual Loans:
• Purpose based loans given on an individual basis to our customers without any group guarantee.
It includes following products:
 Individual Business Loan (IBL), Individual Bazaar Loan (IBZL)
 Individual Livestock Loan (ILL), Higher Education Loan (HEL)
 Home Improvement Loan (HIL), Individual Agriculture Loan (IAL)
 Open Market Home Improvement Loan (OMHIL)

14. • Abhilasha stands for “Aspiration”. This unique loan is designed especially for low-income households
who aspire to improve their financial well-being.
• The primary objective of this loan is to empower women in setting up and expanding income generating
activities
• The loan size is up to 65,000 with tenure of 1 to 3 Years.
• The interest rate of this product is 24% with 1% upfront processing fee exclusive of GST
Phinix
PRODUCTS OF BANDHAN- LOANS
Abhilasha (JLG Loans)
• All the products are designed for the welfare and economic upliftment of the rural population majorly
women. These Loans are given exclusively to women in the state of Andhra Pradesh who already have an
income generating source.
• The loan amount is up to 52,000 with tenure of 1 to 2 years.
• The interest rate of this product is 24% with 1% upfront processing fee exclusive of GST.
Loan Against Property (LAP)
• Loan size is up to 50,00,000 with tenure of 1 to 10 years.
• The interest rate of this product is 22% to 24% with 2% upfront processing fee exclusive of GST.

15. Shree Loan
• Shree stands for “Good Beginning”. Offered in the state of Andhra Pradesh, this loan is given to low/lower-middle-
income people with clear credit history.
• The loan amount is up to 52,000 with tenure of 1 to 2 years.The repayment frequency is Weekly/Bi-Weekly/Monthly.
• The interest rate of this product is 24% with 1% upfront processing fee exclusive of GST.
Gold Loans (Keertana)
• Gold Loans are given against the mortgage of Jewellery. Indian housewives hold 11% of the world's gold.
• Our loan size is up to 50,00,000 with tenure up to 1 year. The repayment frequency is flexible/Monthly. The interest
rate on this product varies between 16% to 24%.
• Loans are given for Agriculture, Business and short term liquidity needs. This loan is currently offered in the states of
Andhra Pradesh and Telangana
Interim Loans
• To assist borrowers who are struggling to meet short-term liquidity requirements. These are top up loans given to
existing borrowers to meet their working capital needs, business expansion, children’s school fees, health care or any
other emergency needs.
• This loan is offered to an individual on a group guarantee. The loan amount is up to 18,000 with loan tenure of 1 to 3
years. The repayment frequency is Weekly/Bi-Weekly/Monthly.
• The interest rate of this product is 24% with 1% upfront processing fee exclusive of GST

16. UJJIVAN

17. m
FINANCIAL PERFORMANCE OF SPANDANA

19. Financial performance
Ujjivan Spandana
2019 2018
Y-o-y Percentage
Growth 2019 2018
Y-o-y Percentage
Growth
Total Income 2038 1579 29.07 1041.71 587.5 77.31
Total Cost 1729 1260 37.22 572.33 304.78 87.78
Profit/Loss Before Tax 268 9 2877.78 469.38 282.72 66.02
Profit After Tax 199 7 2742.86 308.75 187.97 64.25
Roa 1.7 0.1 1600.00 6.3 4.99 26.25
Roe 11.5 0.4 2775.00 1.56 9.5 -83.58

20.  Uniqueness of Spandana
 The logo represents 'our vibrancy' through our ever expanding endeavors in 'Reaching out' to a large number of
Fnancially excluded households and to reach out to the under-served hinterlands of India. SCNL's motto is to
empower, be compassionate, humane, kind and promote our borrowers. The adherence to this philosophy is
followed at all levels.
 SCNL has a mission to provide Fnancial assistance to a large number of households
 To be a Fnancial service power-house with a range of Fnancial products designed and suited for the Fnancially
excluded community.
 Cashless Disbursements Strategy
 Core values
TRICS-Transprency,Responsiveness,Integrity,Commitment,Team Sprit
 Spandana is a public limited company registered with Reserve Bank of India (RBI) as an NBFC MFI.
 Started in 1998, within five years, by 2003, it grew to the largest Micro finance Institution in India and 6th largest
across globe.
 In its peak, Spandana had 1,856 Branches with presence in 10 states and work force of over 13500 employees
 This NGO used to help poor people to build their houses, provide safe drinking water, sanitation, health education
etc.
 The NGO used to raise grants from different funding agencies and implement these activities.
 The inherent strength of meeting its cost by which the business is sustainable with no dependency on grants and
therefore can be scaled up to boundless limits.

21. Uniqueness of Ujjivan Bank
Helping & Serving 2.77 million customers across 469 branches in 24 different states.
First MFI to focus on financially excluded & underserved urban poor
Top in MFI credit products for education, housing, emergency
First MFIs in the world to be certified by 'Smart Campaign' for customer protection practices
History of voluntary interest rate reductions, to uphold philosophy on affordable finance
Group lending customers to higher-value individual loans to scale up their own businesses, support housing &
higher education needs
High use of market research and customer surveys as key inputs for product development and business planning
High Dedicated Service Quality department for customer service and grievance redressal
First-in-industry to introduce monthly repayment options based on customer feedback