Project on Banking and

Insurance
“Procedure for getting
entrepreneurial loan, opening of
current account, Procedure of
collection department.”

Submitted To: Prof. Rupal Desai

External Project Guidance By:
Mr. Prashant Modi( Manager, BCCB)
Mr. Jay Thacker(Recovery Officer, BCCB)
Mr. Suresh Joshi (Cashier, SBI)
Content of The Project
Bank Profile
Products of the Bank
Opening of Current Account
Comparison of Current Account
Entrepreneur Loan
Collection Process of Loan
Comparison of Loan
About BCCB
The Bhuj Commercial Co-operative Bank founded in 1973
by Mr. Ramji Narshih.
BCCB had opened its first branch at “Bhid Bazaar (Bhuj)”
in 1997 and another at “Nakhatrana city” in 1999.
BCCB was the first bank in Kachchh District which has
fully “computerized System and Safe –Deposit Lockers”.
BCCB played a major role in the development of Co-
operative bank sector in Bhuj city. Bank’s services are
increased in day to day and customer’s satisfaction also
increases. Under ICBA (international Co-operative bank
Association) bank was changed its product and services.
About SBI
State Bank of India is the largest and one of the oldest
commercial bank in India,
Reserve Bank of India (RBI) is the major share holder
of the bank with 59.7% stake.
 The bank has a branch network of over
14,000branches (including subsidiaries). Apart from
Indian network it also has a network of 73overseas
offices in 30 countries in all time zones, correspondent
relationship with 520International banks in 123
countries.
SBI group accounts for around 25% of the total
business of the banking industry while it accounts for
35% of the total foreign exchange in India.
The bank has 14 directors on the Board and is
responsible for the management of the Bank’s
business.
Products Of BCCB
BCCB
Fixed
deposit

Saving
Locker A/c.

Current
Loan A/c.
Franking
Products of SBI
SBI
ATM

Saving
Loan A/C.

Cross Current
Selling A/C.
Locker
Current Account
Current Account
Current Account is the account mainly used by
Business People . There is no limit of transaction from
Current Account. Banks are not giving any interest on this
type of Account.
 Procedure for Opening Of

Current Account
The person who wants to open an Account He/ She has to Fill the
Account Opening Form
The Person Should have to give the following documents:
1.Two Passport size Photographs
2. Proof Of Identity (Any One)
Passport
Voter ID Card
PAN Card
Govt./ Defense ID Card
ID Card Of a Reputed Employer
Driving License
Photo ID Card Issued by Post Office
3. Proof Of Address (Any One)
Credit Card Statement
Pay slip(With Address)
Income Tax/Wealth Tax assessment order
Electricity Bill
Telephone Bill
Bank Account Statement
Letter From A reputed employer
Letter From Any recognized Public authority
Ration Card
 Comparison of Current Account
BCCB SBI
Low opening charges Rs.1000. High opening charges Rs.10000.

Only local cheque books are given. Local and At Par cheque books are
available.

Stop payment charges are 56Rs.fix for Stop payment charges are 50Rs.fix for
each cheque. each cheque.

If there is minimum balance, the penalty If there is minimum balance, the

for each month will be Rs.56. penalty for each quarter will be
Rs.1000.
Entrepreneur Loan
Different Types Of Loans Provided By BCCB
1.Hypothication Loan
2.Personal Loan
3.Loan Against Shop
4. Loan Against FDR
5. Vehicle Loan(for Four wheeler)
6.Scooter Loan
7.STL
8.Demand Loan
9.Housing Loan
10.Construction Loan
11.Staff Loan
12.Transport Loan
Hypothecation Loan
Loan Limit:
Ordinary Balance Sheet- 100000 Rs.
Audited Balance Sheet - 300000 RS.
Ordinary Balance Sheet +Mortgage – Rs.500000 (50%
of Property Valuation)
Audited Balance Sheet + Mortgage – Rs.5000000 (50%
of Property Valuation)
Interest Rate : 13.5%
Process Fee: 0.50% of the amount of Loan Or
5000(whichever is less)
 Required Documents :
1. No. of Shares and Shareholder’s NO.
2. Current Account NO.
3. NAGARPALIKA Shop License
4. Balance sheet/ Stock Register (last 12 months)
5. Completion certificate
6. Proof Of ownership Of shop
7. Copy of PAN Card or Copy Of Return
8. Two Photographs
9.Partnership deed(If it is a partnership firm)
10.Two Guarantor, Photo of Guarantor and shareholder
No.
11.Sign of director In application form.
Collection Process:
• Hypothecation Loan Customer has to renew every year.
If the Customer is not Paying interest on HYP A/C. than Bank
will call to the customer and request him to pay the interest.
If the customer is not paying the interest till 3months than his
A/C. will go to the NPA Account.
Bank will send the Demand Notice to the customer within 15
days.
After the Judgment From the court Bank will take the mortgage
property in the ownership of bank.
Personal Loan
Loan Limit: Rs. 100000
Maximum installment :40
Interest Rate :13.5%
Process Fee: Rs.250
Required documents:
1. No. of Shares and Shareholder’s NO.
2. Proof Of ownership Of shop
3. Saving account And 40 Cheques as a
installment
4.Copy of PAN Card or Copy Of Return
5.One Photographs
6.Two Guarantor, Photo of Guarantor and shareholder
No.
7.Sign of director In application form.
Collection Process
• Personal Loan has to repay in monthly installment.
• If the customer is not paying the installment than
Bank will give him short term notice (one month).
• After that the Case will go the court .
Loan Against Shop
Loan Limit: Rs.750000
Maximum Installment :100
Interest Rate: 13.5%
Required Document:
1. No. of Shares and Shareholder’s NO.
2. Current Account NO.
3. NAGARPALIKA Shop License
4.Balance sheet/ Stock Register (last 12 months)
5.Completion certificate
6.Copy of PAN Card or Copy Of Return of 2 Years
7. Two Photographs
8. Saving Account And 5 Cheque
9.Two Guarantor, Photo of Guarantor and shareholder
No.
10.Sign of director In application form.
Collection Process

Collection Process of Loan Against Shop

is the same as of Hypothecation loan.
Different Types Of Loans Provided By SBI
1.Home Loan
2.Loan Against Property
3.Car Loan
4.Two Wheeler Loan
5.Farmer Finance
6.Education Loan
7.Agriculture Loan
Business Loan
Business loans are provided to all kinds of enterprises
like sole proprietorships, partnerships and private
limited companies.
Loan Limit: Rs.25000-Rs.5crore
Maximum tenure of the loan can be 7 years including
moratorium period.
Required Document:
1. Current Account NO.
2. NAGARPALIKA Shop License
3. Balance sheet/ Stock Register
4. Completion certificate
5. Proof Of ownership Of shop
6.Copy of PAN Card or Copy Of Return
7. Two Photographs
8.Partnership deed(If it is a partnership firm)
Collection Process:
Loan can be repaid in monthly or quarterly, even half
yearly installments - as may be suitable to the
borrower – in a period up to 5 years.
Personal Loan
Loan Limit:
Metro cities: Up to to Rs. 5 lakhs.
Non-metro cities: Up to Rs. 2.5 lakhs
If salary account with SBI, then cap increased to Rs. 10
lakhs
Maximum loan amount cannot exceed 12 times net
monthly income
Interest Rate:16% Fixed
Process Fee:2 to 3% Of Loan Amount
Loan Tenure:1 to 4 year
Guarantor Requirement: Guarantor is mandatory

Minimum Income Requirement

Rs.24,000/- in urban centers. Rs.10,000/- in rural centers
 Required Documents:
Proof of Identity : (Any One)
Passport
 Voter's card
Driving license
 PAN card
photograph
 Proof of Residence(Any one)
 Ration card
passport
 latest electricity bill
 latest telephone bill
latest credit card bill bank statements,
 last 6 months bank statements
 Income proof :
 Latest salary slip and Form 16 (Salaried)
 Income Tax Returns of last 2 years(Self employed) of
applicant and guarantor.
 Small Medium Enterprise
Loan Limit:
Upto Rs. 50,000- 8.50%
Above Rs. 50,000 to Rs. 2 lakhs- 9.50%
Above Rs. 2 lakhs to Rs. 5 lakhs- 10.25%
Above Rs. 5 lakhs to Rs. 25 lakhs- 11.00%
Above Rs. 25 lakhs- based on credit assessment
-
General Purpose Term Loans
Loan Limit:
Upto Rs. 50,000 -9.00%
Above Rs. 50,000 to Rs. 2 lakhs -10.00%
Above Rs. 2 lakhs to Rs. 5 lakhs -10.75%
Above Rs. 5 lakhs to Rs. 25 lakhs -11.75%
Above Rs. 25 lakhs -based on credit assessment
Small Business Credit Cards
Repayable in 3 years and
Size of Credit limit
Rate above
Upto Rs. 50,000 8.5 9.00
Above Rs. 50,000 to
9.5 10.00
Rs. 2 lakhs
Above Rs. 2 lakhs to
10.25 10.75
Rs. 5 lakhs
Above Rs. 5 lakhs to
11.00 11.75
Rs. 25 lakhs
Above Rs. 25 lakhs
based on credit - -
assessment
 Comparison Of Loan
BCCB SBI
Low limit of loan amount for e.g. High limit of loan for
Personal loan up to Rs. 50,000 only e.g.
Personal loan –Metro cities up to
500000Rs.and in non metro cities
250000 Rs.

  Low interest rate than BCCB

High interest rate than any other Bank  
Approx.13.50%. Approx.8.25%
 

In some loan processing fees like, In some loan processing fees like,
Home loan-Rs.250. Home loan-Varies by loan amount
Mortgage loan -0.50%of loan from Rs.1000 to 20000 Rs.
amount.
 BCCB provides loan only to its SBI provides loan to any person
Shareholders. who demand for the loan.

Capacity of providing loan is less.  Capacity of providing loan is

more than BCCB.
 
 ANY
QUESTIONS????
SUBMITTED BY:

Nilesh Majethia
Mital manek
Bhurabhai Mali
komal Joshi