LOAN PROCEDURE SUBMIT THE APPLICATION: First of all the loan borrower should submit application to the particular

bank. The borrower is required to fill out a common application form, which seeks comprehensive information about proprietors and loan borrowers back ground and his business network and as well as his cost of project and economic consideration APPRAISAL OF LOAN: The bank follows good appraisal system for effective lending and to make easy repay in future way. The main task of the lending bank is to make sure that the income generated from the loan is sufficient to repay the loan installments according to the terms and conditions of amortization. The risk involved in term lending is much more than the risk in short-term lending DOCUMENTATION: After completing the step of submit the application and appraisal system of loan. Then loan applicant should collect the document for borrowing loan, every documents and requirement are needed according to the co-operative bank rate. CONVENE TO LOAN APPLICATION: After collecting the necessary documents, an officer of the recipient bank review it to ascertain whether it is complete for processing, when the application is considered complete. Then the co-operative bank held meeting of his loan applicant and sanctioned the particular loan. . TO ISSUE DRAFT OR PAY ORDER: At the last stage is that, after convening of loan applicant and sanctioning loan, borrower should pay its stamp duty, margin

and one installment of loan, then in the stamp document or stamp procedure. Then bank gives to them pay order or draft.