SCOPE OF RETAIL LOANS OF BANK OF PUNJAB LTD.

OBJECTIVES OF STUDY
The present study was carried out with the objective to know Scope of retail loans of Bank of Punjab Ltd. So as to know strength and weakness of loan schemes of Bank of Punjab Ltd. so that strengths can be increased and weaknesses can be made ³the best´ in banking field.

OTHER PROJECT
Project Report on Credit Schemes of SBI and Other Banks Project Report on Retail Banking Services Research on Convergence of Banking Sector to Housing Finance

RESEARCH METHODOLOGY Research Methodology in a way is systematic representation of research or any other problem. It is a written game plan for conducting research. It tends to describe the step taken by a researcher in studying the research problem along with a logical background. It tends to describe methodology for solution of the problem that has been taken for the purpose of study this project focuses on the methodology for technique used for the collection, classification & tabulation of the data. This plan throws light on the research problem, the objective of study & limitation of the study. Therefore, in order to solve a problem, it is necessary to design a research methodology for problem as the same way differs from problem to problem. The Projects The project undertaken during the summer training at ³Bank of Punjab Ltd.´ was ³Comprehensive study of Retail loans.

The main aim of the study is to understand the ³Retail Loans´ provided by ³Bank of Punjab Ltd.´ It is the bank which understand the need of its customers & provides them best facility. Nature of study The nature of the study is that it has an applied base. The statement indicated that result obtained from the study, inference drawn from the study can actually be applied practically & can be of great help to the customer to know about Retail loans in more comprehensive way. Scope of Study The study is restricted to Panipat itself. It aims at getting an insight in to Retail loan. It also aims at familiarized with the customer during the market survey help me a lot in understanding the practical aspect of the loan as a whole . Objectives of Study The main objective of the study is to understand the Retail loans provided by bank of Punjab . the objective was successfully achieved by performing the detailed survey of 5 other banks. The questionnaire for survey study was prepared keeping in mind the following :y y y y

To give level of information to the customer.¶ To give satisfaction regarding services offered by bank To make out which bank provide services with best resources To know the awareness among the common man about loan which they want to take.

Type of Research Research methodology is a way to systematic solve the research problem. It is a procedure, which is followed step by step to solve a particular research problem. There are basically four types of researches
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EXPLORATIVE RESEARCH DESCRIPTIVE RESEARCH DIAGNOSTIC RESEARCH HYPOTHESIS TESTING RESEARCH

Explorative Research To gain familiarity with the phenomenon or to achieve an insight into it. Descriptive Research To poetry accurately the characteristic of the particular individual situation or a group. Diagnostic Research To determine the frequency with which something occurs or with which it is associate with something else. Hypothesis Testing Research. To test a hypothesis of casual relationship between variables. The present project is Descriptive in nature. It is done to poetry accurately the characteristic of a particular individual situation or a group. The major purpose is descriptive research is the description of the state of the affairs as it exits at presents. The main characteristics of this method are that the researcher has no control over the variables; he can only report what has happened or what is happening. Research Process There are Six steps of Designing A Research Report. 1 Specifying the Research objective As my research project is about the comprehensive study of retail loan & role of Bank of Punjab Ltd. providing them so first of all the various objectives of the project were specified. 2. Preference the list of needed information the second step in designing the project work is the preparation of list of need information. There is basic information on which the research project is to structure. In this project the various are handed in starting of the project. These are as follows:Q. What is the study about.? ANS: Comparative study of Retail loan.

Q. Why is the study being made? ANS: to understand retail loan provided by bank of Punjab Ltd. Q, Where will the study be carried out.? ANS: Panipat only. Q. What type of data is required ? ANS : Primary as well as Secondary. Q. Where can the required data be found? ANS : Primary data trough questionnaire from the bank & secondary data through magazines, newspaper. Etc. 3. Designing the data collection process During the data collection process a questionnaire was made for the collection of the data from the consumers personally. Because in the research project both primary as well as secondary data is required . so primary data was collected with the help of the questionnaire. The following type of question were asked from the consumers. Dichotomous A. question with two possible answers says yes or no. Multiples choice A question with three or more answer 4. Selection the sample size Taking the sample of the study was not easy task. The objective and the lamination of the study have to be kept in mind before decided about the sample type. In the sample type all level of its consumers have been covered. Basically the present customers as well as prospective customers were questioned with help of the questionnaires.

5. Organizing and Carrying out the field work. After decided upon the sample size & preparing the questionnaire, the fieldwork has to be carried out. In the field work the place had to be chosen where you want to do your study. This project survey work was carried out in the Panipat city. 6. Analyzing the collected data & reporting the finding After the survey work was over & data had been collected the analyzing of the data must & its graphically representation was needed. So after the data collection process step by step analysis of data was done. On the basis of the analysis. OME LOANS PROCESSING FEES
File Charge Fees on BOP Loan Amount 1500/0.40% 1500/0.60% NIL Nil NIL Nil 1500/0.50% 1500/0.50% PNB OBC UCO HDFC ICICI

PRE-PAYMENT PENALTY
Penalty BOP Nil PNB 2% OBC 2% UCO Nil HDFC 3% ICICI 2%

RATE OF INTEREST ON PERSONAL LOANS IN PANIPAT BY DIFFERENT BANKS
Rate of Interest BOP 17% PNB 11% OBC 11% UCO 11% HDFC 15% ICICI 16%

MAX. AMOUNT OF PERSONAL LOAN GIVEN

Loan Amount

BOP 3 Lakhs

PNB 3 Lakhs

OBC 1.5 Lakhs

UCO 2.5 Lakhs

HDFC 10.00 Lakhs

ICICI 10 Lakhs

MAX.

TENURE

PERIOD

FOR

WHICH

PERSONAL

LOAN

IS

PROVIDED BY BANKS
Tenure BOP 60 PNB 60 OBC 60 UCO 48 HDFC 48 ICICI 60

ANALYSIS & INTERPRETATION The retail loan study bring the three type of loans. Which is of great help to customers. The home loan education loan & personal loan are various loan which makes life of easier of customers and make customer to afford that thing which he dream to have in future but can buy now when he wants.
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Home Loan Personal Loan Education Loan

The analysis of the questionnaire that was circulated to as certain the views & awareness is as follows :-1. The BOP has lowest rate of interest in Home Loan. 2. There is no pre-payment penalty in case of Home Loan. 3. Lowest processing fees in case of Home Loan 4. The processing fees charges in case of education loan 5. Far behind from competitor in case of personal loan The amount provided is lesser than other banks. LIMITATIONS OF STUDY

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It is very small research, which may be insufficient to give the real picture scope of the retail loan in Panipat and its catchments area. The research is based on collected data and the researcher is not responsible for any wrong inference drawn due to the incorrect filling of the questionnaire by the respondents. The method of result is also limited to the reliability of method of investigations, measurement and analysis of data. Auto loan are not included in the study of retail loans. Education loan are not providing by other banks like ICICI, HDFC, & IDBI. So, it cannot compared with other banks. People were not interested in filling questionnaire properly. Loan scheme has been revised very soon. Education loan is provided for some special customers. It is not possible for every customer to get Education Loans

SUGGESTIONS
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Interest rate, processing fees, tenure, margin money-all these are important in loans-housing loan, auto loans, personal loan, education loans etc. So bank should revise all above keeping in view all other banks. Bank should appoint some marketing executive for this purpose who can give information of market and other banks, revision of loan timely so that our bank can revise it very soon. These marketing executive should give report to Head Office directly for timely processing so that as early as possible, market can be fully captured. Loan limit of all loans should be increasing keeping in other view private sector banks and nationalized banks. One of the major weakness of bank of Punjab is processing timely. As today every person is very busy. He cannot more days for taking loan so. Processing time should be reduced. But this processing time can be reduced only when the sanction authority is necessary for branch offices. As in nationalized banks, there is not negative file, but in bank of Punjab but there is a list of negative profile. This is the main reason of the nationalized banks having more customers. So. Negative file should be reduced or eliminated. Other private sector banks like ICICI, HDFC etc. have lower interest rate than BOP. So the bank should reduce it interest rate for being in the competition with these banks. Bank of Punjab is lower loan amount than other banks, so it should increase its loans amount for attracting customer towards it products loans .

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The bank should give authority to all its branches for providing loans.

CONCLUSION Bank of Punjab such a great reputation that it can very well go out and sell it product to the out sides customers and be a winner. These are the responses from the people who knew about Bank of Punjab but those of them who did not know it felt very happy when the came to know that group. Bank of Punjab has come out with a new life insurance venture. The only points now is, that when the company enjoys such a great reputations. What it has got to do (to private its product to the people at very competitive price and make them sure that their investment in the company is absolutely secure. My project was based to retail loans The retail loan provided by BOP include Home loans Education loans Personal loans The home loans provided by BOP is less than other banks and having lowest processing fees. It comparison to other bank it has lower interest rate than same bank. The personal loan is having maximum tenure period and lower interest rate. It contain less amount of personal loans by the banks. Education loans is provided by only a few banks and services provided by bank for education loans is not so goods. BIBLIOGRAPHY
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www. Bankofpunjab.com Research methodology (C.R. Kothari) Business Magazines Brochures, pamphlets and Circulars of Banks Presentation by Trainers

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