A SYNOPSIS ON AN ANALYSIS ON RETAIL LOAN PROVIDED BY BANK OF INDIA SUBMITTED IN PARTIAL FULLFILLMENT OF MBA TO RASHTRASANT TUKDOJI MAHARAJ NAGPUR

UNIVERSITY, NAGPUR SUBMITTED BY CHIRAG GULATI GUIDED BY MRUGNA GUPTA

THROUGH CHAITANYA BAHU UDDESHIYA SANKSHTA G.H.RAISONI, NAGPUR 2011-12

SYNOPSIS
TOPIC: AN ANALYSIS ON RETAIL LOANS PROVIDED BY BANK OF INDIA

INTRODUCTION
Retail lending is done by banks, credit unions, and savings and loan association. These institutions make loans for automobile purchases, home purchases, medical care, home repair, vacations, and other consumer uses. Retail lending has taken a prominent role in the lending activities of banks, as the availability of credit and the numbers of products offered for retail lending have grown. Retail lending may take the form of installment loans, which must be paid of little over the course of years, or non- installment, loans, which are paid off in one lump sum. Most of the commercial banks have focused on retail lending by registering an increase of about 32 per cent with a subsequent reduction of 13.75 per cent in their NPAs on a y-o-y basis during the financial year 2006-07.

INTRODUCTION (COMPANY PROFILE): Bank of India was established in 1960, Mumbai. In the current context core banking system spread over more than 1000 branches all over India. It is the fourth largest Public Sector Bank in India as per the assets Profitability of this Bank ranks in first five. Service charge is lower and the scheme of the Bank is transparent.

CONCEPTUAL FRAME WORK:

Available Retail Loans at Bank of India 1) Star Education Loan 2) Star Home Loan 3) Star Holiday 4) Star Personal Loan

5) Star Pensioner Loan Retail strategy and volatility of the financial markets in the Indian n Banks need to be more cautious while making disbursement in the retail sector. Retail lending has increased by over 30 per cent year on year between March 2006 and March 2007

SCOPE OF THIS STUDY:

In current scenario the interest rates have been cut down rapidly due t o the severe competition so an individual can raise loan according to their needs and avail the benefits of low interest rates. One time premium is collected at the time of sanction of loan and is financed as part of the total education loan requirement. 1 % interest concession for Women beneficiaries. BASIC CONDITION FOR RETAIL LOANS

Educational Loan:

Eligibility
Student of Indian Nationality having good academic records who have secured admission to professional / technical courses in India or Abroad.

Repayment
In 5-7 years. Repayment will commence 6 months after getting a job or one year after completion of course, whichever is earlier.

HOME LOAN: Eligibility Salaried Employees/Professionals/Self employed/Corporate/Person of Indian origin/NRIs

Repayment Maximum 20 years highly flexible Progressive / step-up EMI permitted Mortgage Loan:
Eligibility People engage in trade /commerce/business/high net worth individuals. Repayment In accounts where regular overdraft facility is not proposed, maximum 8 years by way of EMIs

OBJECTIVES: To examine the retail loans given by BOI To assess the branch network for better reach To study the availability of Loan in the Small Town and Villages HYPOTHESIS:
1)

Competition is nothing up in the finance business with most of key player revising down their interest rate 0.5 to 1 % point across various slabs. This follows the reduction in the Prime Lending Rate (PLR) by banks.

Banks have a distinct edge in terms of high Availability of Short-Term Funds.

2) Bank of India increases the Volume and Volume of the order to boost the

bottom-line in the Low-Margin sector.

3) There is continuous growth in retail loan this industry has showed an

average annual growth of over 20%.

RESEARCH METHODOLOGY:
Research is the process of systematic & in depth study or search of any particular topic, subject by the collection, presentation & interpretation of relevant details or data. It is a careful search or injury info any subject or subject matter, which is an Endeavour to discover or to find out valuable facts which would be useful for further application or utilization. The study of the topic An analysis on Retail loan provided by Bank of India for the period of 2009-10 will be done through various sources.

METHOD OF DATA COLLECTION:

The method of collecting information would be Primary sources: It is the first hand information collected directly from the respondents. Employees of Bank of India. Survey among the existing Client along with the other investor Secondary Sources: It is collected through the literature review done from the material available: Brochures of the Bank Magazines Journal
ANALYSIS OF DATA:

DATA PROCESSING: In the data processing the data will be collected in the following parameter.

1) Risk Factor:
Loan Policy Credit Monitoring Policy 2)
Recovery Policy

Credit Management Policy

3) Operation Management Policy: Outsourcing policy Business continuing policy

4) Market Risk The reference about Retail Loan will be made on the basis of Policy undertaking through various material gathered.

CONCLUSION AND SUGGESTION:

Conclusion and suggestion will be drawn on the actual analysis of the data gathered in the process. Data analysis and sata processing will be the base of the conclusion and the suggestion.

CHAPTER SCHEME
1) INTRODUCTION

2) COMPANY PROFILE

3) METHODOLOGY

4) DATA ANALYSIS

5) CONCLUSION & SUGGESTION

BIBLOGRAPHY:
Internet Reference www.bankofindia.com www.google.com SUBMITTED BY CHIRAG GULATI DATE: PLACE: SUBMITTED TO