SUMMER INTERNSHIP REPORT

COMPANY: NAME : THAOUFIKA A

State Bank of India – Main Branch REG NO : 2201519253

15, Rue Suffren, COURSE : MBA (IB)
Pondicherry, DATE:
Pin - 608001

INTRODUCTION

State Bank of India (SBI) is an Indian multinational public sector bank and financial services
statutory body headquartered in Mumbai, Maharashtra. SBI is the 43rd largest bank in the
world and ranked 221st in the Fortune Global 500 list of the world's biggest corporations of
2020, being the only Indian bank on the list. It is a public sector bank and the largest bank in
India with a 23% market share by assets and a 25% share of the total loan and deposits
market. It is also the fifth largest employer in India with nearly 250,000 employees.

The bank descends from the Bank of Calcutta, founded in 1806 via the Imperial Bank of
India, making it the oldest commercial bank in the Indian Subcontinent. The Bank of Madras
merged into the other two presidency banks in British India, the Bank of Calcutta and the
Bank of Bombay, to form the Imperial Bank of India, which in turn became the State Bank of
India in 1955. Overall the bank has been formed from the merger and acquisition of nearly
twenty banks over the course of its 200 year history. The Government of India took control of
the Imperial Bank of India in 1955, with Reserve Bank of India (India's central bank) taking a
60% stake, renaming it State Bank of India.
History

The roots of 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 stock companies 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-organised banking entity took
as its name Imperial Bank of India. The Imperial Bank of India remained a joint-stock
company but without Government participation.
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. This made
eight banks that had belonged to princely states into subsidiaries of SBI. This was at the time
of the First Five Year Plan, which prioritised the development of rural India. The government
integrated these banks into the State Bank of India system to expand its rural outreach. In
1963 SBI merged State Bank of Jaipur (est. 1943) and State Bank of Bikaner (est.1944).
SBI has acquired local banks in rescues. The first was the Bank of Bihar (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.
There was, even before it actually happened, a proposal to merge all the associate banks into
SBI to create a single very large bank and streamline 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. On 19 June
2009, the SBI board approved the absorption of State Bank of Indore, in which SBI held
98.3%. (Individuals who held the shares prior to its takeover by the government held the
balance of 1.7%.)

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 approached ₹10 trillion. The total
assets of SBI and the State Bank of Indore were ₹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.
On 7 October 2013, Arundhati Bhattacharya became the first woman to be appointed
Chairperson of the bank.
Mrs. Bhattacharya received an extension of two years of service to merge into SBI the five
remaining associate banks.
Stamp dedicated to the State Bank of India in 2005

Share of the Bank of Bengal, issued 13 May 1876

 COMPANY PROFILE

State Bank Of India in 15, Rue Suffren Main Branch , Pondicherry

The leading public sector bank, State Bank of India in 15, Rue Suffren Main Branch ,
Pondicherry is one among the network of branches all over the city. Commonly referred to as
SBI, this financial institution is the India's largest bank and a Fortune 500 company that came
into existence in the year 1955. Headquartered in Mumbai, this government owned
corporation is a leading entity in the banking and financial services sector. This bank provides
financial services and products to individuals, micro, small and medium enterprises, large and
mid-sized corporates, and several agricultural, rural, and retail businesses. This bank takes
pride in its widespread presence that covers over 24,000 branches and 59,000 ATMs. Since
1973, it is actively involved in non-profit activity called community service banking. SBI has
received countless awards and accolades for its conscientious efforts in always putting the
customer first. Among the numerous branches spread out in Pondicherry. Locate it with ease
at No:15, on the Rue Suffren Main Branch . Contact this bank branch on any of the following
contact numbers: +(91)-413-2336151.
Services offered at State Bank of India
Customers can walk into State Bank of India in 15, Rue Suffren Main Branch to avail a
bouquet of services catering to their various financial requirements. The services are broadly
categorised into personal banking, agricultural/ rural banking, NRI services, international
banking, SME, and corporate banking. The personal banking section of this bank branch
assists customers in opening different types of bank accounts, such as savings, current,
pension, demat and salary. The other essential services include lending different types of
loans, applying for credit cards, debit card or pre-paid cards, mobile banking, demat services
and wealth management services. Use the 'Apply For Loan' tab above to know more about
the various loan facilities.
MY LEARNING IN SBI :

 Forex
 Nri
 Loans
 Insurances

1. FOREX:

Features of SBI FX Trade

 Competitive brokerage rates.

 Integrated platform of Bank Account and Online Trading Account.
 Provision for lien marking. The money continues to remain in the customer’s
account until the deal is done, thus earning him interest.
 Secure and Robust online platform.
 Product from India's most trusted and transparent Bank.

Currency Future :

A currency futures contract is a standardized form of a forward contract that is traded on

an exchange. It's an agreement to buy or sell a specified quantity of an underlying currency
on a specified date at a specified price. In India, currently four currency pairs are traded
(USD/INR,EURO/INR, GBP/INR and JPY/INR) with a lot size of 1000 units of the base
currency, except JPY where the lot size is 100,000. Settlement for the customer is, however,
done in Rupee terms and not in the foreign currency.

Advantage of Currency Futures

 Transparent & Efficient price discovery.

 Ease of trade.
 No paperwork required at branch level unlike forward contracts.
 Submitting proof of underlying is not a precondition.
 Since, no actual delivery of foreign currency is involved, clients may hedge their indirect.
 currency risks.

Contract Specifications of Currency Futures

Features Details

a) Symbol - USD/INR, EUR/INR, GBP/INR, JPY/INR.

b) Unit of trading - 1 (1 unit denotes 1000) except JPY (100000) .
c) Underlying - The exchange rate in INR for USD/EUR/GBP/ JPY .
 d) Tick size - INR 0.0025 .
e) Trading hours - Monday to Friday (9.00 am to 5.00 pm) .
f) Contract trading cycle - 12 month trading cycle.
g) Final settlement day - Last working day of the expiry month.
h) Position limits - Clients (per exchange): 6% of total open interest or USD 10mn,
whichever is higher.
i) Minimum-Initial margin - 4% of notional value of the contract.
j) Extreme loss margin - 1% of notional value of the contract .
k) MTM Adjustment - Daily debited/credited to the account .
m) Mode of settlement - Cash settled in INR .
n) Daily settlement price (DSP) - Calculated on the basis of last half an
hour weighted average price.
o) Final settlement price (FSP) - RBI reference rate. (Last working day of
the month)

2. NRI:
SBI offers NRIs banking relationships to manage personal finances and income from abroad
and in India.
There are 2 categories of NRE and NRO accounts, plus additional types of accounts for
insurance, foreign currency deposits and also returning NRIs.

Type of Account Purpose

NRE Account For income earned abroad and converting it to

Indian rupees.

NRE salary account For salary earned abroad and converting it to

Indian rupees
NRO Account For earnings in India for NRIs

Non- Resident ordinary (NRO) For salary earned in Indian while an NRI

NRO Tax saving scheme Intended to help save on taxes with 80C

FCNRB Account For foreign currency deposits

FCNRB Premium Account For foreign currency deposits and insurance

RFC Account For income earned Abroad when resettling in

India
NRI Family card For money transfers for family in India
Demat Account For NRIs wanting to invest in stocks and bonds
in India
SBI Cap gains plus account For NRIs with property sales in India

3) CENTRAL GOVERNMENT SCHEMES :

 INSURANCES SCHEME
 INVESTMENT SCHEME
 PENSION SHEME

INSURANCES:

a) PMSBY- Pradhan Mantri Suraksha Bima yojana

 Purpose- partial disability and death

 Rs 1 lakh for partial disability ( Loss of one eye or leg or hand)
 Rs 2 lakh for accidental death and full disability( Loss of both eyes or legs
and hands)
 Eligibility 18- 70 years
 Premium of Rs 20 per annum

b) PMJJBY - Pradhan Mantri Jeevan Jyoti Bima Yojana

 Eligibility 18 – 50 years
 Rs 2 lakh for any kind of death
 Premium of Rs 436 per annum
 Auto Debit facilities – Annual premium of Rs 436 will get
deducted from the bank account

c) PPF – Public Provident fund

 Purpose - Long Term Investment Scheme

 Eligibility – No age limit
 Intrest rate – 7.1%
 Deposit amount Rs 500 – 150000 p.a.
 d) Sukanya Samriddhi Account Scheme

 Betterment of Girl Child in India

 Age limit – 0 to 10 years
 Interest rate – 8%
 Deposit amount Rs 250 – 150000 p.a.
 Time period – 21 years

PENSION SCHEME:

e) Atal Pension Yojana

 Purpose – To provide Pension Benefits to individuals in the

unorganised sector
 Age limit – 18 to 40 years
 Age limit – 18 to 40 years
 Time period – Upto 60 years
4) FIXED DEPOSIT:

 A fixed deposit (FD) is a financial instrument provided by banks or non-bank

financial institutions which provides investors a higher rate of interest than a regular
savings account, until the given maturity date. It may or may not require the creation
of a separate account.

 A fixed deposit means that the money cannot be withdrawn before maturity unlike
a recurring deposit or a demand deposit.

SBI FIXED DEPOSIT:

 Minimum period of deposit – 7 days
 Maximum period of deposit- 10 Years
 Minimum deposit amount Rs. 1,000/-
 Maximum deposit amount: No Upper Limit
 A deposit of Rs. 2 crore and more is classified as bulk deposit
 Interest on a Term Deposit is payable to the depositor quarterly from the date of issue
 or at maturity along with principal. But on request from the depositor, interest may be
 paid at monthly, half-yearly or yearly intervals in case of Term Deposits fixed for a
 term of twelve months and above.
 Nomination available in favour of individual only
 Transferability allowed among our branches
 TDS is applicable as per Income Tax Rules. Form 15G/15H can be submitted by the
 depositor for exemption from tax deduction as per IT Rules
4) LOAN :

In finance, a loan is the transfer of money by one party to another with an

agreement to pay it back. The recipient, or borrower, incurs a debt and is usually required to
pay interest for the use of the money.

PERSONAL LOAN:
A personal loan (also known as a consumer loan) describes any situation in
which an individual borrows money for personal need, including making investments in a
company.

TYPES OF PERSONAL LOAN

 Pension loan
 X-press credit loan

SBI Pension Loan Highlights 2023

Interest rates 11.15% p.a. onwards

Loan amount Based on the monthly pension drawn

by the applicant

Repayment tenure SBI Pension Loan: 6 years

Insta Pension Loan scheme through

YONO: 3 years
Processing fee 0.50% of the loan amount + applicable
taxes (Minimum Rs. 250)
 SBI Xpress Credit Loan Highlights

Interest Rates 11%-14% p.a.

Loan Amount Up to Rs 20 lakh

Tenure 6 months-6 years

Minimum Monthly Salary Rs 15,000

SBI EDUCATION LOAN :

State Bank of India (SBI) offers a wide range of education loans with
interest rates that start at 8.55% . The flexible repayment tenures also include a
moratorium period after course completion. There are no penalty charges for
pre-payment of the loan, which can be done at any time during the loan tenure.
Some loans also offer interest concessions for girl students.

Features Details

Loan Studies in India: Maximum limit can

Amount be considered up to Rs.50 lakh
Medical Courses: Up to Rs.30 lakh
Other Courses: Up to Rs.10 lakh
Studies in Abroad: Up to Rs.7.50 lakh
Maximum limit is Rs.1.50 crore
under Global Ed-vantage scheme
Processing Loans up to Rs.20 lakh: Nil Loans
Charges above Rs. 20 lakh Rs.10,000 plus tax
 Repayment Up to 15 years after Course Period
period along with 12 months of repayment
holiday

Security Up to Rs.7.5 lakh: Only parent or

guardian as co-borrower. Above Rs.7.5
lakh: Guardian or parent as co-
borrower and tangible collateral
security
Margin No margin for amount up to Rs.4 lakh
For studies in India and abroad the
margin is 5.00% and 15%,
respectively, for amount above Rs.4
lakh
Courses India: UGC/ AICTE/IMC/Govt.
covered Approved graduation, post-graduation
including diploma courses, Regular or
degree courses by autonomous
Government approved teacher’s
training or nursing courses, Director
General of Civil Aviation or Shipping
approved regular degree or
diploma courses such as shipping, pilot
training, aeronautical, etc.
Abroad: Professional or technical
graduation degree courses, post
graduation degree and diploma courses
such as MCA, MBA, MS, etc.
Chartered Institute of Management
Accountants (CIMA) courses
London Certified Public Accountant
(CPA) courses- USA
institutions such as IITs, IIMs, etc.
Central government or the State
Expenses covered College, school, or hostel fees
examination, library, or laboratory
charges, Books, equipment,
instruments, or uniforms, Purchase of
computers, and other essential for
completing the course, which 20% of
the total tuition fees, Caution
Deposit/Building Fund/Refundable
 Deposit, which is maximum of 10% of
total tuition fees, Travel expense
for studies in abroad Two-wheeler cost
up to Rs.50,000, Other expenses
including study tour, project work, etc.

SBI HOME LOAN:

SBI Home Loans is the largest Mortgage Provider in the country. It has
successfully helped over 30 Lakh families achieve their dream of owning a
home.

"THE MOST PREFERRED HOME LOAN PROVIDER" voted in AWAAZ

Consumer Awards along with the MOST PREFERRED BANK AWARD in a
survey conducted by TV 18 in association with AC Nielsen-ORG Marg in 21
cities across India. SBI Home Loans come to you on the solid foundation of
trust and transparency built in the tradition of SBI. It includes options for
purchase of ready built property, purchase of under construction property,
purchase of pre-owned homes, construction of a house, extension of house and
repair/renovation.

SBI CAR LOAN:

  Competitive EMI and car loan interest rates.
 Repayment tenure of 7 years.
 Provides financing on the On-Road price.
 Interest is computed based on Daily Reducing Balance.
 No Advance EMI.
 Optional Life Insurance Cover from SBI.

SBI GOLD LOAN:

SBI Gold Loan is offered with loan amount up to Rs.50 lakh and interest
rate going up to 7.30% current but, it will fluctuate. The repayment tenure is up
to 3 years with processing fee charged at 0.50% of the loan amount.

 Flexible loan amount – One can avail loans between Rs.20,000 and
Rs.50 lakh.

Net Banking (YONO)

State Bank of India is India's largest bank with a network of over 15000 branches
and 5 associate banks located even in the remotest parts of India. State Bank of India (SBI)
offers a wide range of banking products and services to corporate and retail customers.
OnlineSBI is the Internet banking portal for State Bank of India. The portal provides
anywhere, anytime, online access to accounts for State Bank's Retail and Corporate
customers. The application is developed using the latest cutting edge technology and tools.
The infrastructure supports unified, secure access to banking services for accounts in
over 15,000 branches across India.

Retail Internet Banking

The Retail Internet Banking offers a plethora of products and services, to cater to all your
banking demands online:

Transfer funds to own and third party accounts

A suite of completely online deposit products (Fixed, Recurring, Flexi, Tax Saving
etc.)
Airline, Rail, Bus and hotel ticket booking
Online Shopping and instant recharge features.
IMPS Funds Transfer
Western Union Service
Credit beneficiary accounts using RTGS/NEFT feature
Generate account statements
Setup Standing Instructions and Scheduling payments
Configure profile settings
E- Tax for online tax payment
E - Pay for automatic bill payments
Avail DEMAT and IPO services
Pay bill of Visa Credit Card issued by any Bank.
Other Value added Services

Corporate Internet Banking

State Bank of India offers world class Internet Banking services to its Corporate Customers
through the portal www.onlinesbi.com. The Corporate Internet Banking (CINB) facility of
SBI enables the corporate customer to carry out banking activities anywhere and anytime
aided with the power and convenience of the internet.
Convenience banking – Operate your account from the comfort of home or office.
Maker – Checker model to ensure security and integrity in the transactions.
Anytime Banking- Enquire/transact on your account on a 24 x 7 basis.
Save time and costs- No need to go to the bank branch for routine transactions.
 Promote Green Banking – No hassle of paper work
Pay your Bills, taxes and statutory dues online- Beat the queues.
File upload facility: Facilitates bulk payment of salary, tax, pre-paid card top up,
utility bills, remittances etc.
Transfer money to other bank and SBI accounts.
Supplier Payment - Make online, instantaneous payments to registered suppliers.
Merchant Payments by using Merchant pre-approved limit to different merchants like
telecom, electricity, municipal corporations etc.,
ASBA: Apply to IPOs online.
MIS / Reverse file: - Convenience of easy reconciliation.
State Bank collect – For collecting and remitting various fees, collections, etc.

YONO (YOU ONLY NEED ONLY)

YONO (You Only Need One) is an integrated digital banking platform offered by State Bank

of India (SBI) to enable users to access a variety of financial and other services such as flight,
train, bus and taxi bookings, online shopping, or medical bill payments. YONO is offered as
a smartphone app for both Android and iOS.
The launch of YONO had a code name project Lotus. The YONO is developed by IBM and
launched in around 13 months. The cost of development was expected around ₹4,000 crore.
Launch
YONO was launched on 24 November 2017
Features
YONO offers services from over 100 e-commerce companies including online shopping,
travel planning, taxi booking, train booking, movie ticket booking, online education and
offline retail with special discounts. YONO also offers conventional mobile banking services
such as bank account opening, fund transfers, cashless bill payments, and loans. The
smartphone app can be used to make ATM withdrawal.

References
1. ^ "SBI launches YONO, an integrated app for financial services". The Hindu.
23 November 2017. Retrieved 24 November 2017.
2. ^ "SBI's YONO allows instant digital savings accounts, online loans". The
Times of India. 24 November 2017. Retrieved 24 November 2017.
 3. ^ Dubey, Navneet (2019-04-05). "How to withdraw cash from SBI ATM
without using debit card or SBI YONO app

ACCOUNT OPENING
Account Opening Form means the Account Opening Form including the appendices, notes
and the statement thereto or, as the context requires, any amendments made thereto from time
to time pursuant to Clause 1.2(c) to be completed and signed by the Client, and, where the
Account Opening Form is to be accompanied by a statement of personal information of a
shareholder or other person, includes all such statements and any relevant statement of
personal information.
For customers that wish to save for the future and earn interest rate(Check Savings account
Interest Rate) on deposits, can open a State Bank of India Savings Account. With over 9,000
branches across the country, customers can choose to open a savings account closest to them
and enjoy the convenience that comes with a savings account.
Steps to Open SBI Savings Account
• Steps to Open SBI Savings Account at Branch
• Steps to Open a SBI Savings Account Online
• Eligibility
• Documents Required
• SBI Savings Account Helpline
Steps to Open a Savings Account with State Bank of India(SBI)
To open a SBI savings account at any SBI Bank branch, customers will have to follow the
steps mentioned below.
 Visit the SBI branch closest to you.
 Request the bank executive for an account opening form.
 On the account opening form, applicants will have to fill in both the parts.
 Form 1 - Name, address, signature, various other details and assets.
 Form 2 - Customers will have to fill in this part if they do not have a PAN
card.
 Ensure that all the fields have been entered and are correct. The details mentioned in
the application form should match those mentioned in the KYC documents that have
been submitted.
 The customer will now have to make an initial deposit of Rs.1,000.
 As soon as the bank completes the verification process, the account holder will be
granted a free passbook and cheque book.
  Simultaneously, customers can submit the internet banking form.

Steps to Open a Savings Account in State Bank of India Online:

 Visit the State Bank of India
homepage https://sbi.co.in/web/personal-banking/accounts/saving-account
 Click on “Apply Now”.

Eligibility for State Bank of India Savings Account

To be eligible to open a savings account in State Bank of India, customers need to meet
certain criteria.
Should be a citizen of India.
The individual should be 18 years and above to be eligible.
In the case of minors, the parents or legal guardian of the minor can open the account on
their behalf.
The applicant is required to have valid identity and address proof that is Government
approved.
Following approval from the bank, the applicant will have to make an initial deposit -
depending on the minimum balance requirement of that particular savings account he/she
has chosen.
Documents Required to Open SBI Savings Account:

To be eligible for the SBI Savings Account, customers will have to submit the following
documents along with account opening form.

Proof of identity Passport, Driving license, Voter’s ID card, etc.

Proof of address Passport, Driving license, Voter’s ID card, etc.

 PAN card
Other important documents  Form 16 (only if PAN card is not available)
 2 latest passport size photographs

SBI Savings Account Nomination Facility

Following the Government of India mandate, all savings account customers are required to
nominate a beneficiary that can operate the account on their behalf. When filling in the
application form, customers will be required to choose a nominee. If in case the nominee is a
minor, he/she will be allowed to operate the account only once they turn 18 years old.
Following the death of the account holder, the nominee can operate the account on his/her
behalf.
State Bank of India Savings Account Welcome Kit
Following approval of the bank, the customer will receive a savings account welcome kit.
The kit will contain:
 SBI ATM debit card
 The PIN will be sent in a separate post.
 SBI cheque book of 10 leaves.
 Pay-in slips
One will have to ensure that the welcome kit is sealed on arrival.
SBI Savings Account Helpline
For any help, grievance, or request related to SBI savings account, customers can contact the
helpline at - (1800) 112 211
SBI Savings Account Helpline
For any help, grievance, or request related to SBI savings account, customers can contact the
helpline at - (1800) 112 211
How to Open Joint Account in SBI
State Bank of India is the name that shines at the top when we talk about of India’s banking
sector. This bank has been enjoying the top-most rank for quite some time now. This trend
apparently speaks about services offered by this bank, and satisfaction of customers with it.
Since banking has become important need of today, I just hope you are updated with world
enough that you also have bank account. For those with ‘No’ as answer, or for those who are
looking to get yet another account in bank, my advice would be to opt for SBI.
SBI offers handsome interest rate, lucrative schemes, services. You will surely love banking
with SBI. This bank lets you open savings account as individual, and joint. In first case, read
our article on how to open current account in sbi. If you are looking forward to go with the
later, then this post is nothing less than a boon for you. It’s meant to teach you the complete
procedure to open Joint Account in SBI.
Procedure to Open Joint Account in SBI
Of course, one way is to go to nearest branch of SBI, fill the application there, complete the
formalities and to get your bank account. But, that’s too tedious, tiring. Best way is to go
through the online process. Just follow the below steps to open Joint Account in SBI.
 First of all, you need to head over to official website of SBI. In case you don’t know,
it’s www.onlinesbi.com.
 Look for the option that reads ‘Apply SB Account‘. It will bring drop down menu.
Select ‘For Resident Individuals‘ and then ‘Regular SB Account‘ option.
 The page to which you are taken, lies an option called ‘Apply Now‘. Click on it.
 The page contains two sections namely – ‘Customer Information Section‘ and
‘Account Information Section‘. Click on the former one.
 The page that follows, contains the application form which you need to fill. This form
is meant to get your details.

Filling the Customer Information Section

The Customer Information Section – just as the name says, is meant to get
your details. It contains several tabs asking you to enter your info.
Filling this section is nothing tough at all, as details asked by this are
something quite often ones we go through, e.g. Name, Father Name etc. So,
nothing to panic! Just fill out this section.
Of course, it’s wise to recheck whatever you entered before proceeding ahead.
You will be given Temporary Customer Reference Number (TCRN). Just note
it down. The said number is sent to registered mobile number as well.
In this section, there lies sub-sections. One such is ‘Additional Details‘ sub-
section. It seeks details like Religion, Educational Qualification, Category etc.
 After filling out info in the said sub-section, you finally need to provide your
IT Pan. If not, you are required to fill form 60 / 61.
Once you are done providing details in all tabs, you just need to click on ‘Save
and Proceed’ to proceed to ‘Identification’ sub-section.
Pretty obvious, as the name says, the last sub-section is meant to get your
identification details.
Select your ID Type (Passport / Ration Card / Voter ID etc). Enter ID No, and
provide details where it was issued at. In case of Minority, you need to submit
proof for that as well.
After providing all details, just click on ‘Save and Proceed’.
Filling Account Information Section
Done filling Customer Information section? You are now all set to go ahead and fill the
Account Information Section. Link to this lies on the same page where the link to Customer
Information Section is available. So, just check that page out again.
 In this form, the first thing you need to select is Type of Account. Check out the
options available in drop-down menu that follows this option and select the one that
suits you the most.
 Just enter the TCRN that you got after filling the Customer Information Form.

Important
Since you are looking to have Joint Account, so you need to provide second TCRN. Of
course, for that, you need to fill up the Customer Information Form again, but, with details of
second intended account holder this time.
Just enter Branch Code of the branch of SBI where you would like to get your Joint
Account opened.
Just tick the check boxes next to services that you wish to take.
You also need to select the Mode of Operation. Go with ‘Jointly‘ option available
there.
Click on ‘Proceed‘ button.
Now, eventually, you will get TARN number. Just note it down.
Final Steps
 You need to download the Completed Application form. For this, you need to head
over to section to which you went to get links to aforesaid sections. Click here to do
so.
 Enter TARN of first applicant and then enter his/her date of birth. Enter the text as
shown in image and then click on ‘Download’ to perform downloading of completed
application form.
 Take the printout of this completed application form.
Now you are done with online part. Next for you are the following steps:
 Affix passport size photograph(s) of first applicant and second applicant. You need to
affix that in section meant for it in Account Opening Application. Don’t forget to
enclose one addition photograph of each applicant.
 Just go through Account Opening Application form and mention place, date and affix
your signatures in the places meant for them.
 Note that those who are not visiting any branch in India, need to get their Account
Opening Application and documents for KYC attested.
 What’s next? Just visit the intended branch (that you wished to opt for while filling
out the form) along with application form whose printout you just took, plus other
required documents.
 That’s it. You will get your SBI Joint Account.

SBI zero balance savings account: Interest rates, free transactions and other details

SBI has clarified regarding charges collected from account holders on digital transactions in
BSBD accounts beyond four free transactions.
Known as zero balance savings account of State Bank of India (SBI), the Basic Savings Bank
Deposit (BSBD) account is designed as a savings account that offers certain minimum
facilities, free of charge, to the account holders.
These accounts primarily target at enhancing financial inclusion among the economically
weaker sections. SBI has clarified regarding charges collected from account holders on digital
transactions in BSBD accounts beyond four free transactions.
SBI zero balance savings account: At the time of opening the account, there is no need for a
minimum balance. Without any fees, customers are provided with an ATM-cum-debit card.
Deposit and withdrawal services are free of cost. For non-operation or activation of an
inoperative account, the bank cannot levy charges.

SBI zero balance savings account interest rate: Same interest on zero balance accounts
as on regular savings bank accounts is offered by SBI. On deposits up to and more than
Rs 1 lakh, the bank offers an interest rate of 2.70 percent per annum.
SBI zero balance savings account cash and ATM withdrawals: Maximum of 4 cash
withdrawals free of cost in a month is allowed, including ATM withdrawals at own and other
bank's ATMs by SBI zero balance savings account.
SBI zero balance savings account: At the time of opening the account, there is no need for a
minimum balance. Without any fees, customers are provided with an ATM-cum-debit card.
Deposit and withdrawal services are free of cost. For non-operation or activation of an
inoperative account, the bank cannot levy charges.

SBI zero balance savings account interest rate: Same interest on zero balance accounts as on
regular savings bank accounts is offered by SBI. On deposits up to and more than Rs 1 lakh,
the bank offers an interest rate of 2.70 percent per annum.

SBI zero balance savings account cash and ATM withdrawals: Maximum of four cash
withdrawals free of cost in a month is allowed, including ATM withdrawals at own and other
bank's ATMs by SBI zero balance savings account.

RISKS IN BANKING SECTOR:

Risks could be described as' losing opportunities,' which could be an economic failure or loss
to a reputation. Banks like any other business organization also plan to carry risks that are
intrinsic in any company. However, greater dangers can also lead to greater casualties. Banks
are, however, sufficiently prudent to define, assess, and retain adequate assets to ensure that
eventualities are covered (Chavan, 2017).
The most significant hazards in banking are mentioned below :

1. Liquidity Risk
2. Interest Rate Risk
3. Market Risk
4. Credit or Default Risk
5. Operational Risk

Banks liquidity threat originates from short-term receivables which are used for the funding
of long-term investments. Also definable can be the chance of an organization failing or only
lending money at prohibitive expenses or disposing of property at rock low rates by fulfilling
its mature obligations. The danger of liquidity in companies shows in various aspects.

1. Funding Risk
2. Time Risk
3. Call Risk
4. Interest Rate Risk

CREDIT RISK:

Credit risk by the type of its business is the bank's most evident danger. It is usually the
biggest form of danger when it comes to prospective damages. Credit risk is the danger that a
borrower fails and fails to fulfill his debt duty. It may happen if the counterpart cannot charge
or cannot pay on time. A departure may be due to several factors. A loan drop also happens
when a high quality borrower invests in a debt, which has worsened the threat picture. If the
debt is struck on the sector in cases of liquidation, the cost is smaller than the cost the bank
purchased the debt at, resulting in a total reduction. The default does not usually involve a
large penalty for the bank. Calculated risk management is to prevent big exposures of high
risk partners. The rehabilitation is based, among others, on equity and guarantee (Patra &
Padhi, 2016). Pre-settlement risk: Pre-settlement threat comprises of prospective losses
caused by a policy on the partner's partner during the existence of a contract. There may also
be a risk of pre-settlement under lengthy-term phases, often years, from
agreement to pay. Besides the counterparty default risk, the customer is also at risk of being
forbidden to compensate if his country of origin fails and prevents all overseas transfers. This
risk is known as the risk of sovereign transfer. Settlement risk: One will be subjected to
settlement risk since the payment or money flow transfer is not arranged immediately by the
partner but through one or more companies that may also rely on the return at the time
(Attigeri, et al. 2017). The risk occurs when an organization provides the necessary deposit
until the compensation has been obtained. The shorter the period between transactions is
known for greater risk. Higher settlement risk is associated with large transactions in distinct
timescales and various currencies. Netting is one method of reducing transaction danger. The
quantity is subjected to payment risk which is decreased by transmitting only direct
quantities. Credit risk usually involves three variables: risk of default, fear of failure and risk
of vulnerability.

RISK OF DEFAULT :

The default risk is the likelihood of a default event. This chance is referred to as the default
probability. The standard occurrence is defined in many ways. Default events are commonly
known to be at nearly three months' deposit delay. Specific occurrences could be added to
other terms. There are several variables to default risk. The probability of default is greater
for counterparts with a poor economic position, heavy debt load, small and volatile earnings.
In addition to qualitative variables such as data industry and leadership performance,
qualitative variables enable discrimination between elevated and small risk peers (Sensarma
& Jayadev, 2009). The default risk seems to be the probability that an event will be a default.
The default probability is every opportunity. Default occurrences are generally called a
payment wait of almost three months. In addition to other conditions, specific events could be
introduced. The default risk is determined by several factors. For comparison with a bad
financial situation, high debt, tiny, unstable income the probability of failure is higher. Apart
from qualitative factors like information sector and management, qualitative factors allow for
discrimination between high and low-risk peers.

LOSS RISK:

The risk of loss determines the slip in the contract as a proportion of the exposure. This
parameter is called the standard error in Basel II definitions. The LGD is equivalent to null in
the event of no loss. If the total exposure is lost, the LGD is equivalent to 100percent. An
adverse LGD is considered as a gain. In some cases, because of litigation cost, the LGD can
go over 100 per cent and the liquidated counterpart can retrieve almost null. The current drop
or retrieval speed is not resolved. These scores vary from one default item to another item.
Several counterparts can heal, default and reimburse all debts and late payments. An
arrangement between the bankrupt debtor and all investors can lead to an exchange contract
which is unstable and involves all the participating sides. In the worst-case scenario, the crash
will lead to a large loss bank failure process and an alternative to the banking-customer
relationship (Kanchu & Kumar, 2008). The registration type could have a large effect on the
actual loss, but cannot be recognized at the time of default or definitely at the time of
purchase. Banks must bring legal action in the event of a mistake. The schedule and sort of
measures can also influence the real rehabilitation.

EXPOSURE RISK :
Exposure may not be recognized in advance at standard time. The amount is fixed for
products such as a bond or a simple loan. The sum differs with the borrowers ' cash
requirements for credit cards or overdraft equipment. The counterparty can collect money to
an agreed loan threshold. Loan restriction limits the bank's engagement. There is no specific
restriction for other goods, but each extra sketch requires the bank's permission. At the very
time of a potential mortgage, the precise quantity at stake is uncertain. Private derivative
agreements agreed also carry the danger of vulnerability (Das & Ghosh, 2007).

IMPORTANCE OF CREDIT RISK:

The importance of credit risk has been presented in the following paragraph; Risks are the
uncertainties that can make the banks lose and become bankrupt. According to the Basel Accord, risks
can be classified as credit risk, market risk and operational risk. Credit risk is the risk of loss due to
obligator’s non-payment of an obligation in terms of a loan or other lines of credit. Credit risk is
defined as “the risk of loss arising from outright default due to inability or unwillingness of the
customer or counter party to meet commitments in relation to lending, trading, hedging, settlement
and other financial transaction of the customer of counter party to meet commitments” Credit risk is
refers to the possibility that a borrower or counter-party will fail to meet its obligations in
accordance with agreed terms. It is the probability of loss from a credit transaction.
FROMS OF CREDIT RISK:

Forms of credit risk are:

1. Non-repayment of the principal of the loan and/ or the interest on it.

2. Contingent liability like letters of credit or guarantees issued by the bank on behalf
of the client and upon crystallization – amount not deposited by the customer.

3. In the case of treasury operations, default by the counter-parties in meeting the

obligations. For example, in case of derivatives dealing, on the due date the contract is not
settled.

4. In the case of security trading, settlement not taking place when it is due. For
example, due to non-availability of funds or due to short selling, on the due date the claim is
not settled.
 5. In the case of cross-border obligations, any default arising from the flow of foreign
exchange due to restrictions imposed on remittances out of the country. For example, the
counter party might have made the payment but the country in which the counter party is
residing does not allow the settlement.

The Reserve Bank of India came out with its first set of guidelines on risk management
during 1999. In these guidelines, it has been suggested that the banks should put in place
proper credit risk management system. Some banks initiated the process of formulating credit
risk policies in the year 2000 and have implemented these policies while a few are still in the
process of developing such policies. It has been emphasized in credit risk management
guidelines that while the credit risk strategy of a bank should give recognition to the goals of
credit quality, earnings and growth, it is also essential that the lender must determine the
acceptable risk/ reward trade-off for its activities, factoring in the cost of capital. 20 The
Bank for International Settlements (BIS) says that “Granting Credit involves accepting risk as
well as producing profits”. The credit operations in banks, by nature involve an element of
credit risk. But if such risks are within predetermined ceilings, properly assessed and
calculated ones, loan loss to the bank can be restricted.

CREDIT RISK MANAGEMENT INDICATORS:

In response to recent corporate and financial disasters, regulators have increased
their examination and enforcement standards. In banking sector, Basel II has established a
direct linkage between minimum regulatory capital and underlying credit risk, market risk
and corporate risk exposure of banks. This step gives an indication that Capital management
is an important stage in risk mitigation and management. However, development of effective
key risk indicators and their management pose significant challenge. Some readily available
sources such as policies and regulations can provide useful direction in deriving key risk
indicators and compliance with the regulatory requirement can be expressed as risk
management indicators. Amore comprehensive capital management framework enables a
bank to improve profitability by making better risk based product pricing and resource
allocation. The purpose of Basel II is to create an international standard about how much
capital banks need to put aside to guard against the types of risk banks face. In practice, Basel
II tries to achieve this by setting up meticulous risk and capital requirements aimed at
ensuring that a bank holds capital reserves appropriate to the risk the bank exposes itself to.
These rules imply that the greater the risk a bank is exposed to, the greater the amount of
capital a bank needs to hold to safeguard its solvency. The soundness of the banking system
is important because it limits economic downturn related to the financial anxiety. Prudential
regulation is expected to protect the banking system from these problems by persuading
banks to invest prudently. The introduction of capital adequacy regulations strengthen bank
and therefore, enhance the resilience of negative shocks. However, these rules may cause a
shift of providing loans from private sector to public sector. Banks can comply with capital
requirement ratios either by decreasing their risk weighted assets or by increasing their
capital.
 TAKE AWAY FROM INTERSHIP

Overall, internship is of help to enhance and develop my skills, abilities and

knowledge.
 It was a good experience and memories as not only have gained experience, but also
new knowledge.

State Bank of India also a good place to do the internship since it provides numerous
benefits and advantage to the practical trainees.

I am grateful and thankful to my supervisor and several departments of the Bank and
controlling for the experiences and tutoring.

I learned how to fill the form in Opening Account, Deposit slip, Withdraw slip,
NEFT/RTGS slip, Multipurpose (statement) slip, signature from slip and cheque leaf
fill etc.

I learned different loan observe

I also learned how to register the YONO SBI registration by using Internet Banking.

I think the 4 Week internship duration was not enough for me to learn more in detail
above the jobs.

CONCLUSION

The institutional training at State Bank of India was undertaken to fulfil the requirement for
the partial completion of the degree of MBA(IB). The institution State Bank of India is a
multinational corporation which was chosen by us to undergo the institutional training. A
period of 30 days was taken for this training, during which the following enumeration was
made:
 The 15, Rue Suffren, branch of SBI is the only manufacturing unit in India.
 The bank gives due regard to its culture, code of conduct, ethics, values,
integrity, accounting and innovation.
 The officers of the bank takes at most care in customers the officials and
follows a unique policy in providing schemes and maintaining records.
 The training function of the bank is conducted to provide a complete
orientation to its employees at regular intervals.
 They committed to providing a safe and healthy working environment
 They focus on implementing and improving processes and controls for
preventing work-related accidents, injuries and illnesses.
 They are protecting the personal data of employees, customers and others.
 They also committed to show respect to corporate relation and good
governance by giving its employees security and safety in their jobs.
 They provides guidance to its employees on a wide range of ethical issues,
such as reporting unlawful or inappropriate conduct, respecting and protecting
intellectual property, training in securities and complying with governmental
relations.