Comparative Customer Preference in Public and Private SectorHome Loans

8/20/2019 Comparative Customer Preference in Public and Private SectorHome Loans

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A

PROJECT REPORT ON

PUNJAB NATIONAL BANK

HOUSING FINANCE LIMITED

‘Comparative Customer Preference in Public and Private Sector: Home Loans’

Submitted in Partial Fulfillment of the Requirement of

Master of usiness !dminisuation "M!#

Submitted b$: Submitted to:

%ipul eni&al Mi !mit 'upta

Roll (o) *++,-.,.*/ Pro0ect Co1ordinatoi

M! M!2MS

Mahara0 a !3rasen 2nstitute of Mana3ement Studies

"!ffiliated to 'uru 'obind Sin3li 2ndraprastha 4niversit$#



ACKNOWLEDGEMENT

Success is an effort bounded activel$5 involvin3 the co1operation of all)

6o create and foimulate this pro0ect report5 2 &ould be than7fiil to the entire

individual &ho

Served me as a true 3uide and epitome of 7no&led3e)

2 &ould li7e to than7 Mr. AMIT GUPTA, M! Pro0ect 3uide for an$time and

evei$ time 3uidance and continuous support) His e8perience and methodolo3$ of

providin3 trainin3 helps me not to perfoim the desired activit$ but to accomplish

creativit$) 2 also li7e to than7 m$ parents and m$ famil$ members &ho are al&a$s

a support for me)

2n the last5 but not least5 9r) () a77ar and other facult$ members &ho are notonl$ the source of inspiration but a constant motivation)



DECLERATION

I, Vipul Bei!"l, here b$ declare that 2 have canied out summer trainin3 pro0ect

on the #$pi% &C$'p"r"Li(e CuE$ier Pre)ere%e i Pu*li% "+ Pri("Le

Se%E$r, H$'e L$"- in Pu/"* N"Li$"l B"0.

2 fuither declare that pro0ect &or7 is m$ ori3inal &or7 and no part of this report

have been published to or submitted to an$bod$ or universit$ for a&ard of an$

other de3ree or diploma)

Mr) AMIT GUPTA

F"%ulE12 MBA



TABLE OF CONTENT

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NATION

HOUSING

BANK



PROFILE

6he (ational Housin3 an7 "(H# &as established on th =ul$ ,F// under an

!ct of the Parliament viG5 the (ational Housin3 an7 !ct5 ,/. to fimction as a

principal a3enc$ to promote Housin3 Finance 2nstitutions and to provide financial

and other support to such institutions) 6he !ct5 inter alia5 empo&ers (H to:

>> 2ssue directions to housin3 finance institutions to ensure their o&th on sound

lines

>> Ma7e loans and advances and render an$ other form of financial assistance to

scheduled ban7s

and housin3 finance institutions or to an$ authorit$ established b$ or under an$

Cenual5 State or Provincial !ct and en3a3ed in slum improvement and

>> Formulate schemes for the puipose of mobiliGation of resources and e8tension

of credit for housin3



OBJECTIVES

NUB has been established to achieve, inter alia, the following objectives:

". T$ promote a sound, healthy, viable and cost e))e%#i(e 5$u-i6 )i"%e systemto cater to "ll sements of the population "+ to interate the housin !inancesystem "ith the overall !inancial system.

b. To promote a network of dedicated housing finance institutions to adeuatelyserve ("ii$u- reions and di!!erent income groups.

c. T$ aument re-$ur%e- for the sector and channelise them for housing.

+. T$ ma#e housing credit more a!!ordable.

e. T$ regulate the activities of housing finpnce companies *"-e+ $ re6ul"#$r1 and

supervisory "u#5$ii#1 +eii(e+ u+er #5e A%#

f. To encourage augmentation of supply of buildable land and also buildinmateiials !or housing and to uprade the housing stock in the county.

6. T$ encourae publicaencies

toemere as facilitators and suppliers of serviced

land, for housing.



BUSINESS ACTIVITIES

(H5 as the !pe8 level financial institution for the housin3 sector in the count$5

peifoims the follo&in3 roles:

"a# Promotion and 9evelopment:

(H operates as a multifunctional 9evelopment Finance 2nstitution "9F2# for the

housin3 sector) 6he an7’s policies are directed to&ards promotion and

development of housin3 finance institutions) (H has flamed 3uidelines for

HFCs &ith a vie& to promotin3 their development on sound and health$ lines)

6he 3uidelines are revie&ed and modified from time to time in the li3ht of

developments in the financial and housin3 sectors) !ll HFCs re3istered &ith the

(ational Housin3 an7 under sec) +! of the (ational Housin3 an7 !ct5 ,/.

and inter alia havin3 minimum net o&ned funds of Rs=;! crores are eli3ible for

refinance support) 2t has also contributed to the equit$ capital of five HFCs) (H

has a dedicated 6rainin3 9ivision &hich or3anises re3ular trainin3 pro3rammes in

areas relatin3 to housin3 and housin3 finance for development of mana3ement

capabilities of officials &or7in3 in the sector) (H’s promotional endeavours are

also directed to&ards capacit$ buildin3 for the housin3 finance s$stem besides

enlar3in3 the credit absorption capacit$)

"b# Re3ulation "+ Super(i-i$

(H e8ercises re3ulatoi$ and supervisoi$ authorit$ over the HFCs in the matter

of acceptance of deposits b$ them pursuant to the po&ers vested in it under the

!ct) !s per the amendments to certain provisions of the !ct5 &hich came into

effect from =une ,+5 +***5 (H is vested &ith po&ers to 3rant Certificate of

Re3istration to companies for commencin3>cari$in3 on the business of a housin3

finance institution) esides5 (H re3ulates the deposit acceptance activities in

accordance &ith the Housin3 Finance Companies "=H# 9irections5 +**,5

amended from time to time5 in the matter of ceilin3 on bono&in3s "includin3

public deposits5 rate of interest5 period5 liquid assets5 etc#) (H has also issued

9irections on prudential noims in re3ard to capital adequac$5 asset classification5

concentration of credit5 income reco3nition5 provisionin3 for bad and doubtful

debts etc) (H supervises the &or7in3 of HFCs throu3h on1site inspection and

off1site surveillance)



7%8 Fi"%i6

(H raises resouices for the housin3 sector to&ards increasin3 ne& housin3

stoc7 and provides refinance to a hu3e set of retail lendin3 institutions) 6hese

include scheduled commercial ban7s5 scheduled state cooperative ban7s5scheduled urban cooperative ban7s5 specialised housin3 finance institutions5 ape8

co1operative housin3 finance societies and a3riculture and rural development

ban7s) Refinance is provided b$ (H under various schemes5 &hich are

foimulated ta7in3 into account5 several aspects of the (ational Housin3 Polic$5

the constraints facin3 the sector etc) (H has also a &indo& for direct lendin3 to

Public !3encies such as5 State Level Housin3 oards and !rea 9evelopment

!uthorities for lar3e scale inte3rated housin3 pro0ects and slum redevelopment

pro0 ects) (H is also operatin3 a special &indo& for e8tendin3 financial

assistance to the people affected b$ natural calamities viG5 earthqua7e5 c$clone

"d# Re$ur%e $) NHB

(H raises resources from diversified sources5 both domestic and e8ternal b$

2ssuin3 onds> debentures5 bono&in3 from R2 and financial

institutions>or3aniGations etc) 4nder the !ct5 (H is authoriGed to issue and sell

onds &ith *,) &ithout the 3uarantee of the Central 'overnment for the Purpose

of caii$in3 on its functions)

7e8 Rur"l H$u-i6

(H launched the ‘S&arna =a$anti Rural Housin3 Finance Scheme’ to mar7 the

3olden 0ubilee of 2ndia’s 2ndependence) 6he Scheme see7s to provide improved

access to housin3 loans to bono&ers for construction>acquisitionI 4p13radation of

a house in rural areas of the counti$)

",# Re%e# Ii#i"#i(e-

SecuritiGation of mort3a3e loans of the retaillendin3 institutions facilitates for

canaliGin3 household savin3s into the housin3 sector is seen as a potentiall$ viable

mar7et oriented alternative) Support to Mort3a3e bac7ed securitiGation is a ma0or

polic$ initiative of the 'overnment as manifested in its (ational Housin3 and

Habitat Polic$ announced in ,/) 6his polic$ emphasiGes (H’s lead role in

mort3a3e1bac7ed securitiGation and development of a secondai$ mort3a3e mar7et

in the counfl$) !s the ape8 bod$ in housin3 finance sector in 2ndia5 (H has been

pla$in3 a lead role in the sector in matters relatin3 to polic$ environment as also

operational mechanism for the development of a secondai$ mort3a3e mar7et in

2ndia)



2n order to resolve the t&in problems of affordabilit$ and accessibilit$ affectin3

the 3ro&th of the housin3 finance business and the prospect of home o&nership5

(H has been entrusted &ith the responsibilit$ of launchin3 a Mort3a3e Credit

'uarantee Scheme for protectin3 the lenders a3ainst default)



ORGANISATION

(H is an ;fficer ;riented ;r3aniGation and has the follo&in3 departments)

,) Re3ulation and Supervision

+) Board and CM9 Secretariat

$. Le3al

-) 2nfoimation 6echnolo3$

J) <nablin3 Processes

K) Resource MobiliGation and Mana3ement

.) Refinancin3 ;perations

S) Pro0ect Finance

) 9evelopment and Ris7 Mana3ement



OFFICES

He"+ O))i%e

N"#i$"l H$u-i6 B"0

C$re J!5 2ndia Habitat Cenue5

id1Jth floor5 Lod)hi Road5

(e& 9elhi 1,,***

Phone (o1 *,,1+-K-*,1J

F!/ % *,,1+-K-K//5+-K-*-,

Re6i$"l O))i%e

N"#i$"l H$u-i6 B"0

Mumbai Life uildin35

-J5 %eer (ariman Road5

Fort Mumbai % -** *+

Phone (o % ++/J,JK*1K-

F!/ % *++1++/J,JJJ



PROCEDURES FOR AVAILING HOUSING LOANS

6he appraisal officer attends to the queries of a prospective borro&er)

%aiious details) <35 eli3ibilit$ at al are discussed durin3 this meetin3)

Bou collect the application foim5 &hich is 3enerall$ available at the reception

counter)

Bou pa$ the processin3 fees5 &hich is about , of the loan amount) 6he fees are

non1refimdable) 'enerall$ $ou are as7ed to pa$ the fees onl$ if the chances of the

loan 3ettin3 sanctioned aer eall$ 3ood as per the ;fficer’s anal$sis)

6he date of the personal intervie& is fi8ed up as per mutual convenience)

6he appraisal ;fficer conducts the intervie&)

6he !ppraisal ;fficer prepares the file and discusses the case &ith the ranch

Mana3er) 6he ranch Mana3er should substantiate recommendations of the!ppraisal ;fficer) 6he file is then recommended for sanctionin3 b$ the competent

authorit$)

6he competent authorit$ concerned sanctions the loan proposal) 2n case there are

some quer es5 the same have to ans&er b$ the !ppraisal ;fficer to the satisfaction

of the sanctionin3 authorit$)

2f approved5 $ou collect the Loan ;ffer letter) Bou fill Propert$ 9etails foim and

!cceptance (ote and si3n the same) 6his si3nifies $our acceptance of the

proposal) 6hen5 $ou are required to collect the disbursement &ithin a month of the

acceptance of the offer letter failin3 &hich a Commitment Char3e of 3enerall$ ,

on the loan is levied)

6he Le3al and 6echnical fees is 3enerall$ , of the loan sanction is paid b$ the

borro&er) 6he file is then nansfened to the Le3al department) Bou submit the

le3al documents to the Le3al ;fficer) 6he Loan !3reement and the other

documents are si3ned) 6he Le3al ;fficer then prepares the Le3al report after

stud$in3 the le3al documents in depth)

6he 6echnical ;fficer visits the propert$ and submits the technical Report) 6he

6echnical officer as per the sta3e of completion recommends the amount fordisbursement)

6he 9isbursement Memo is prepared and is si3ned b$ the !ppraisal5 Le3al and

6echnical ;fficers5 and countersi3ned b$ the ranch Mana3er)

6he accounts department prepares the cheque &hich is then sent to the

authoriGed si3natories) 6he 9isbursement Memo is attached &ith important

documents li7e intervie& sheet5 Le3al Report5 6echnical Report5 P<M2 Status

Report applicable etc)



6he P<M2 cheque of the amount disbursed is collected before releasin3 the

disbuisement amount cheque) P<M2 is the interest char3ed on the amount ahead$

disbuised b$ the compan$

Consequent to the final disbursement of the <M2 starts &hich amortiGes the

inteiest and ad0ust the principle foi the tenuie allotted)

6he documents moit3a3ed ac released on closuie of loan)



PU JAB & ATIO AL

BA



HERITAGE

Established in '()* at +ahore, undivided India, un-ab ational Ban# /B0 has

the distinction o! bein the !irst Indian ban# to have been started solely "ith

Indian capital. The ban# "as nationali1ed in July ')2) alon "ith '$ other

ban#s. 3rom its modest beinnin, the bam# has ro"n in si1e and stature to

become a !ront%line ban#in institution in India at present.

4 5 pro!essionally manaed ban# "ith a success!iil trac# record o! over

''6 years.

4 +arest branch net"or# in India % 7628 branches and 779 E:tension

Counters spread throuhout the countiy.

4 Strateic business area covers the hue Indo%;anetic belt and the

metropolitan centers.

4 <an#ed as $8$rd biest ban# in the "orld by Ban#ers 5lmanac /Januaiy

86620, +ondon.

4 Stron conespondent ban#in relationships "ith more than 8'9

international bam#s o! the "orld.

4 =ore than *6 renovv lied international ban#s maintain their <upee

5ccounts "ith B.

4 >ell e?uipped dealin rooms@ 86 di!!erent !orein cunency accounts are

maintained at ma-or centers all over the lobe.

4 <upee dra"in ananements "ith =As 5E E:chane Centre, 5E, =As

5l 3ardan E:chane Co. oha, Datar,=As Bahrain E:chane Co, u"ait,

=is Bahrain 3inance Co, BaInain,=As Thomas Coo# 5l <ostamani

E:chane Co. ubai, 5E, and =A s =usandam E:chane, <u"i,

Sultanate o! Oman.



LOGIC OF THE LOGO

lished in ,/J at Lahore5 then undivided 2ndia5 Pun0ab (ational

an7 "P(# has the distinction of bein3 the first 2ndian ban7 to have been staited

solel$ &ith 2ndian capital) 6he ban7 &as nationaliGed in =ul$ ,K alon3 &ith ,

other ban7s) From its modest be3innin35 the ban7 has 3ro&n in siGe and statuie to

become a front1line ban7in3 institution in 2ndia at present) 2t has more than -***

branches and over -** e8tension counters) Stron3 conespondent ban7in3

relationship5 &hich it maintains &ith over +** leadin3 international ban7s all over

the &orld5 enhances its capabilities to handle transactions &orld&ide) More than

J* reno&ned international ban7s maintain their Rupee !ccounts &ith P()

Dith its presence virtuall$ in all the important centers of the counti$5 P( offers a

&ide variet$ of ban7in3 services &hich include corporate and personal ban7in35

industrial finance5 a3ricultural finance5 financin3 of trade and international

ban7in3) 6he hu3e presence and vast resource base have helped the ban7 to build

stron3 lin7s &ith trade and industi$) !t the same time5 the ban7 has been

conscious of its social responsibilities b$ financin3 a3riculture and allied activities

and small1scale industries)

6he ban7 is committed to maintainin3 the hi3hest standards of service and &ill be

coverin3 more offices under this qualit$ movement titled ‘!lliance &ith Aualit$’)



PROFILE

Dith its presence virtuall$ in all the important centres of the counti$5 Pun0ab

(ational an7 offers a &ide variet$ of ban7in3 services &hich include corporate

and personal ban7in35 industrial finance5 a3ricultuial finance5 financin3 of trade

and international ban7in3) !mon3 the clients of the an7 are 2ndian

con3lomerates5 medium and small industrial units5 e8porters5 non1resident 2ndians

and multinational companies) 6he lar3e presence and vast resource base have

helped the an7 to build stron3 lin7s &ith trade and industi$)

Pun0ab (ational an7 is servin3 over ,J crore customers throu3h -*K+ branches

and --. e8tension counters % hu3est amon3st (ationaliGed an7s) 6he an7 &as

recentl$ ran7ed +,st amon3st top J** companies b$ the leadin3 financial dail$5

<conomic 6imes) P(’s attempts at providin3 best customer service has earned it

th place amon3 2ndias Most 6iusted top J* service brands in <conomic

6imes!C (ielson Surve$) P( is also ran7ed K/ amon3st the top '666 ban7sin the &orld accordin3 to ‘6he an7er’ London)

!t the same time5 the ban7 has been conscious of its social responsibilities b$

financin3 a3riculture and allied activities and small scale industries "SS2#)

Considerin3 the importance of small scale industries ban7 has established ,

specialised branches to finance e8clusivel$ such industries)

Stron3 conespondent bam7in3 relationship &hich Pun0ab (ational an7 maintains

&ith over +** leadin3 international bam7s all over the &orld enhances its

capabilities to handle transactions &orld1vide) esides5 ban7 has Rupee 9ra&in3

!nan3ements &ith ,J e8chan3e companies in the 'ulf and one in Sin3apore)

an7 is a member of the SD2F6 and over ,J* branches of the ban7 are connected

throu3h its computer1based teiminal at Mumbai) &ith its state1ofart dealin3 rooms

and &ell1trained dealers5 the ban7 offers efficient fore8 dealin3 operations in

2ndia)

6he ban7 has been focussin3 on e8pandin3 its operations outside 2ndia and has

identified some of the emer3in3 economies &hich offer hu3e business potential)

an7 has set up representative offices at !lmat$: aGa7histan5 Shan3hai: China

and in London) esides5 an7 has opened a full fled3ed ranch in abul5

!f3hanistan)

eepin3 in tune &ith chan3in3 times and to provide its customers more efficientand speed$ service5 the an7 has ta7en ma0or initiative in the field of

computeriGation) !ll the ranches of the an7 have been computeriGed) 6he

an7 has also launched a33ressivel$ the concept of ‘!n$ 6ime5 !n$ Dhere

an7in3’ thou3h the introduction of CentraliGed an7in3 Solution "CS# and

over +*** offices have ahead$ been brou3ht under its ambit)

P( also offers 2nternet an7in3 services in the counti$ for Corporates as &en as

individuals) 2nternet an7in3 services are available throu3h all ranches of the

an7 net&or7ed under CS) Providin3 +- hours5 KJ da$s ban7in3 ri3ht from the

PC of the user5 2nternet an7in3 offers &orld class ban7in3 facilities li7e an$time5

an$&here access to account5 complete details of transactions5 and statement of



account5 online information of deposits5 loans overdraft account etc) P( has

recentl$ introduced ;nline Pa$ment Facilit$ for rail&a$ reservation throu3h

2RC6C Pa$ment 'ate&a$ Pro0ect and ;nline 4tilit$ ill Pa$ment Services &hich

allo&s 2nternet an7in3 account holders to pa$ their telephone5 mobile5

electricit$5 insurance and other bills an$time from an$&here from their des7top)

!nother step ta7en b$ P( in meetin3 the chan3in3 aspirations of its clientele is

the launch of its 9ebit caid5 &hich is also an !6M card) 2t enables the card holder to bu$ 3oods and services at over +.* merchant establishments across the

countl$) esides5 the card can be used to &ithdra& cash at more than ,,***

!6Ms5 &here the ‘Maestro’ lo3o is displa$ed5 apait from the P(’s over K**

!6Ms and tie up arran3ements &ith other an7s)





9UALIT4 POLIC4

6o effectivel$ meet customers’ requirements and endeavor to achieve total

customer satisfaction)

6o 3ain consistent faith and confidence of customers and potential customers

re3ardin3 the qualit$ of services rendered)

6o puisue e8cellence throu3h continuous improvement in all areas and to

distin3uish ourselves b$ the qualit$ of our services)

6o achieve operational efficienc$ b$ attainin3 better productivit$ and

profitabilit$)

6o &or7 and act in such a manner that all services rendered in due course of

ban7in3 lead to e8cellence and improved credibilit$ and ima3e of the an7)



ORGANISATIONAL STRUCTURE

an7 has its Corporate ;ffice at (e& 9elhi and +J ?onal ;ffices &hich in turn

supervise -/ Re3ional ;ffices under &hich the branches fimction) 6he dele3ation

of po&ers is decenalised upto the branch level to facilitate quic7 decision ma7in3)

BOARD OF DIRECTORS

Sini sc) 'upta

Sini ) Ra3huraman

9r) () Ra0an

Sini P ) ( a$ar

Sini Mohan Lal a33a

Sini !S) !3ai&al

9r) Harsh Maha0an

Sini Mohan0it Sin3hSini Pra7ash !3ai&al

Chaiiman @ Mana3in3 9iiectoi

<8ecutive 9iiectoi

R2 (ominee 9iiectoi

;fficer <mplo$ee 9iiectoi

Doi7men <mplo$ee 9iiectoi

(on <8ecutive 9iiectoi

Shareholder 9iiectoi

Shareholder 9iiectoiShareholder 9iiectoi



%

CENTRALISED BANKING SOLUTION

Delcome to the ne& a3e of ban7in3 convenience &ith P()

P( no& brin3s to $ou CentraliGed an7in3 Solution "CS#) !n inter branch

net&or7in3 and data sharin3 platform5 &hich ma7es ‘!n$time !n$&here’ ban7in3 a

realit$) Dith over '666 branches to be net&or7ed in the near thture5 the status of

costumers is chan3in3 from ‘Customer of the branch’ to ‘Customer of the ban7’)

CS1 ‘<(<F26S’ TO CUSTOMERS

2nstant fimd transfers

Cheques collectionldeposit across cities)

Cheques can be deposited at the center &here it is dra&n

2nterconnected !6M’s

!ccess of accounts throu3h an$ CS connected branch

SD2F6 remittance facilit$2nstant 3eneration of statement of accounts

P( Puident S&eep1 Scheme for Savin3 Fund !>C Holders

P( Smart Roamer1 Scheme for Cunent !>C Holder "S&eep in and S&eep

out facilit$)

!t present CS facilit$ is available in ,++ Service ;utlets)



DIFFERENT T4PES OF LOAN PROVIDED B4 PNB

CONSL LWE]? LOAN

9. W5$ %" "("il C$-u'er L$":

!) !n$ 2ndividual &ith a monthl$ income of minimum RsJ***>1

9. Dhat t$pe of %$-u'er +ur"*le %" *e )i"%e+:

!) (e& consumer durable such as Refri3erator5 6elevision5 !ir conditioner5 Micro1

oven5 Coo7in3 Ran3e5 Dashin3 Machine5 Music S$stem5 Furniture5 Personal

Computer5 etc)

9. Ho& the l$" i +i*ure+:

!) 6he amount of loan shall be paid directl$ to the supplier of 3oods alon3 &ith themar3in of the bono&er)

9. Dhat &ill be the total loan amountN

!) * of the cost of consumer durable5 sub0ect to ma8imum of Rs)l lac) Ho&ever5

the minimum amount of loan shall be Rs)2****>1

9. Dhat i the repa$ment periodN

!) !mount of loan to3ether &ith 2nterest shall be repa$able ma8imum in K* equal

monthl$ installments)

9. Dhat i the rate of 2ntereil char3edN

!) !t present 2nterest rate is ,J "min0) 6his is sub0ect to chan3e)

9. Dhether 2ntereil applicable i at a flat rate or at reducin3 balancesN

!) 2nterest is char3ed on reducin3 balances)

9. Dhat formalities are to be completed for availin3 the facilit$N

Perfoima 2nvoice of consumer durable"s# to be purchased)

Proof of residence

Proof of 2ncome

9etails of 3uarantor)



CAI?LOAN

D W5$ %" "("il C"r L$":

!) 2ndividuals and usiness Concerns)

D Dhether finance i aho available for used carsN!) Finance is also available for puichase of used cars not older than $ears)

D Ho& much l$" %" *e "("ile+ u+er #5e -%5e'e:

! For individuals5 loan amount shall be +J times the (et Monthl$ Salai$ >2ncome5

sub0ect to ma8imum of Rs.M; lac or /;L of the cost of the vehicle &hichever is

less) 2n case of business concerns5 loan amount can be need based and is not

sub0ect to an$ ceilin3)

D Dhether the income of the poue i aho ta7en into account for determinin3the amount of loanN

! Bes5 income of the spouse can also be ta7en into account for deteiminin3 the

amount of loan) 2n such cases5 the spouse shall stand a 3uarantor)

D Dhat &ill be the repa$ment periodN

!) !mount of loan to3ether &ith interest shall be repa$able ma8imum in /- equal

monthl$ installments) Ho&ever5 for old car5 loan to3ether &ith interest is to be

repaid ma8imum in K* equal monthl$ installments)

D Dhat i the rate of intereil char3edN!)



D Dlie<her iEereE "ppli%"*le i 5"L r"Le $r "L re+u%i6 *"l"%e:

!) 2nterest is char3ed on reducin3 balance)

D W5"L )$r'";iLie "re L$ *e %$'pleLe+ )$r "("ili6 #5e )"%ili#1:

A. 6he follo&in3 documents "le required to be submitted:

Profoima 2nvoice of Cai to be puichased)

Proof of residence

Proof of 2ncome

9etails of 3uarantor)



PR OFES S JONAL LOAN

D. W5$ i eli6i*le #$ 6e# l$" u+er #5e -%5e'e:

A. T5e )$ll$!i6 %"#e6$rie- $) pr$)e--i$"l- "re eli6i*le #$ 6e# l$" u+er #5e

-%5e'e

Per-$- "5e"+1 pr"%#i%i6 *,) ne& enflants in various professionals5 havin3

licenses issued under Central or State Le3islations%

!ssociations of persons en3a3ed in a sin3le profession provided that eachmember of such an association is qualified and dul$ licensed to practice in the

professionO and

6he qualified professionals &ill be required to produce a certified cop$ of the

license for the record at the ban7)

D. W5"# i #5e purp$-e )$r !5i%5 "+("%e i -"%#i$e+:

!) Loans under this scheme ma$ be anted for the purpose of financin3 puichase

of equipment used b$ the bono&ers5 business premises5 consunction5 ma7in3

alterations or renovation of business premises>nursin3 homes or for &or7in3 capitalrequirements5 in their professions)

D. H$! '"1 l$"- %" *e "("ile+ u+er #5i- -%5e'e:

!) !mount of loan : (eed based on meiits &ithin the overall peimissible limits as

under: Meuo> 4rban S4rbanlRural !rea

2) Medical practitioners ,** lac '66 l"%

+) ;ther professionals ,** lac ,** lac

<. Mar3in: (il up to Rs,J***>1) +J !bove Rs,J***01

% W5"# i #5e r"#e $) I#ereil %5"r e+:

De#"il- R"#e O) I#ereil 7= P."

U #$ R-. > La7h ?W$r0i C" i#"l ;;;@

U #$l?>L"05?Tei'L$" ;L@

4pto R-. ; La7h )$r Me+i%"l ;L@

Practitioners

!bove Rs) ,* La7h for Medical ,,.J

Practitioners

;thers Dor7in3 Capital ,,J

;thers 6erm Loan ,.J

D. ‘SMiat ‘nih be the repa$ment period )$r the tenu loanN

!) Repa$ment &ill be in equal monthl$ installments &ithin the follo&in3

peiiods:1 Loans up to RS.50000/- 7( months Loans be$ond Rs.50000/- K*

months



!.Wi" i- the pr$%e+ure )$r disbursenien $) the l$":

A. Pa$ment &ill be made direct to the suppliers dealers) 2n case of construction

of the premises5 the loan ma$ be disbursed in phases after verii’in3 the end use in

teims of the plan as also at the spot)



EDUCATIONLOAN

D. W5"# "re #5e E1pe $) e+u%"#i$ )$r !5i%5 e+u%"#i$ l$"- "re 6i(e:

!) <ducation loans are 3iven for pursuin3 all t$pes of education viG) 3eneral5

professional5 technical and vocational courses)

D. Dhich cot are financed under the schemeN

!) 6he scheme enables the need$ students to meet the follo&in3 costs for studies in

2ndia as &ell as abroad: admission fees5 boo7s @ stationei$5 insunments required

for the course5 monthl$ fees5 e8amination fees5 insurance premium for polic$ on

life of the bono&in3 student5 caution deposit> buildin3 fiind>refimdable deposit

supported b$ bills> receipts5 e8penses li7e stud$ tours> pro0ect &or7 thesis etc)

required to complete the course5 boardin3 and lod3in3 e8penses5 and travel

e8penses> passa3e mone$ includin3 air fare for0oinin3 the course abroad)

D. Dho i eli3ible to 3et loan under the schemeN

!) 6he follo&in3 is the eli3ibilit$ criteria for 3ettin3 loan under the scheme:

2ndian nationals5 in the a3e 3roup of ,K1-* $ears) For part time computer

courses5 applicants in the a3e 3roup of ,K1-J $ears are eli3ible)

Students &ho have scored pass mar7s in their last qualif$in3 e8amination and

have secured admission in the courses mentioned above)

6he parents> 3uardian should have re3ular source of income to the e8tent that

the$ are able to repa$ the loan in case of need> unforeseen circumstances)

<mplo$ed persons intendin3 to better their prospects can also availl;an for

improvin3 their educational qualifications andI *,) receive trainin3 in modern

technolo3$ in 2ndia> abroad)

D. H$! much l$" "'$u# %" I "("il:

!) 6his is co1related to e8penses involved in ta7in3 up the course and the e8pected

earnin3s after qualif$in35 sub0ect to a ma8imum of:

For studies in 2ndia: Rs) 6J* lacs

For studies abroad: Rs!J** lacs

D. H$! much l$" "'$u# %" I "("il )$r pur-ui6 p"r# #i'e %$'pu#er

coureN

!) 2n case of part time computer courses5 the e8tent of loan should not e8ceed Rs)

J*5***> % per annum or fee fi8ed b$ the particular institution "as per prospectus less

concession5 if an$#5 &hichever is less)



D. Dhat i the securit$ required b$ the ban7N

!) 6he follo&in3 additional secuait$ in addition to the personal liabilit$ of the

bono&er is required:

Loan up to Rs) ,** lacs: Co1obli3ation of either or both parent"s# or

3uardian"s# and the L2C Polic$ for equivalent to the amount of loan)

Loan above Rs) ,** lacs: Co1obli3ation of parent"s# or 3uardian"s# and

Collateral Securit$ or third part$ 3uarantee acceptable to the ban7 equivalent to

,** of the amount of loan)

Loan above Rs) J** lacs: Co1obli3ation of parent"s# or 3uardian"s# and

Collateral Securit$ or third part$ 3uarantee acceptable to the ban7 equivalent to

,** of the amount of loan

D. Dhat i the rate of intereil char3ed in the loanN

!M;4(6 4(9<R FL;!62(' 4(9<R F2(!(C2!L

RATE OF INTEREST BASKET

OPTION 7= p)a#4pto Rs) - Lacs ,L.J ,,,J

!bove Rs) - Lacs @ 4pto ,,.J ,,,J

Rs) ,J Lacs

6he 2nterest rates are sub0ected to chan3e from time to time)

D. W5"# i the method of application of intereil in the loanN

!) 6he interest shall be char3ed at simple rate from the date of disbursement till the

commencement of repa$ment of loan) 6hereafter5 compound interest is char3ed on

reducin3 balance)

D. W5e does the repa$ment of loan commenceN

!) Repa$ment ‘Dill commence after t&o $ears of the completion of studies b$ the

bono&er or one month after his> her 3ettin3 emplo$ment5 &hichever is earlier)

D. W5"# i #5e rep"1'e# -%5e+ule:

!) Principal and interest is repa$able in /- monthl$ installments)

D. 2s #5ere "1 ilipul"#i$ about ceilin3 on annual income of parent>

6u"r+i":

!) (o5 there is no stipulation of ceilin3 on annual income of the parents> 3uardians)



KRJSHI CARD

D. C" I r"i-e l$" u+er #5i- -%5e'e )$r "%#i(i#ie-

other than !3ricultureN

!) Bes5 for other ruial household requirements such as education5 consumable

items5 medical e8penses5 etc) up to +J of the limit or Rs+J5ooo>1 &hichever is

lo&er)

D. 9o 2 need minimum qualification to be eli3ible under the schemeN

!) (o)

D. 2f 2 5"(e 5 acre of un irri3ated land5 am 2 eli3ible under the schemeN

!) Bes)

D. C" I #"0e #5e p"1'e# )r$' #5e $#5er *r"%5e- "5$:

!) Bes5 but &ithin the same district &hereas the illiterate cardholders &ill avail the

facilit$ from the issuin3 branch onl$)

D. D$ 2 5"(e #$ pa$ an$ "++i#i$"l )ee%5"r6e )$r !i#5+r"!i6 %"-5 )r$' $#5er

#5" #5e iui6 *r"%5:!) Bes5 if $ou &ithdra& cash from the branch other than the issuin3 branch a

commission "d+ is char3ed and the same is deducted from the cash &ithdra&n)

D. I) 2 !"# #$ ree! '1 Kri5i C"r+ !5"# )$r'"li#ie- "re reuire+:

!) Bou should approach the issuin3 branch one month before the e8pii$ of the card

&ith a &ritten request for the same)

D. 2s there an$ %$%ep# $) #5e '"r6i u+er the -%5e'e:

!) For limits up to Rs) +5**5***>15 the mar3in requirements are nil) For limits above

Rs+**5***>1 up to Rs) 5**5***>15 mar3in requirement is ,*)

D. I %"-e $) l$ $) %"r+p"*$$0 !5"# "re #5e )$r'"li#ie-:

!) 2nfoim the card issuin3 branch b$ quic7est means and a ne& card is re1issued on

pa$ment of nominal char3es of Rs+**>1)

D. H$! +$ $ou !$r0 $u# the eli3ible limitN

!) 6he limit is &or7ed out on the basis of $our total income from faim as &ell as

non1faim activities5 e8tent of land holdin35 acrea3e and avera3e $ield of crops

3ro&n5 price realiGations etc)



!. Ho& +$ I rep"1 #5e "'$uE r"i-e+ "6"iE the %"r+:

!) !33re3ate credits into the account duiin3 the ,+>iS months period as the case

ma$ be5 should at least be equal to the ma8imum outstandin3 in theaccount. 6he

cardholder &ill also have to maintain his>her cash credit account in credit balance

for at least one &ee7 once a $eal) Ho&ever5 the consumption loan portion shall be

ad0usted &ithin a period of three $ears) !n the repa$ments)deposits b$ the

cardholder shall be made at the caidQissuin3 branch onl$)



ACIIEVE E TS AD

A ARDS



P Chan3e Mana3ement for the $ear

(!SSC;M in partnership ‘Dith

6imes

2den Peacoc7 !&ard <8cellence in Corporate

ctors

CC2’s Rural 9evelopment !&ard hr <8cellence in Rural 9evelopment %

hr becomin3 a nioneer in Public an7

b$ 2nstitute of 9irectors

ed +nd for - consecutive $ears &

+**+5 +**5 +**- @

ointl$ !d0ud3ed b$ 2!5 Finacle @

r e8cellence in e8port perfoimance

i) consecutive

ears +**L +**+ @ +** b$ Federation

3aniGation "F2<;#

b$ the leadin3 Financial 9ail$ 6he

onomic 6imes5 =une

**J

C (ielson Surve$5 6he <conomic

he an7ers’ !lmanac5 =anuai$ +**K

hean7er London= +**J



PU JAB

ATIO AL BA

S

UB SD IA RIES

PNB Gu#- LTD

! Subsidia$ of Pun ab (ational an7 &hich &as amon3st the first ones to 3et the



license for underta7in3 activities in the 'overnment Securit$ mar7et5 as a primai$

dealer in ,K) 6he compan$ received 2S; **+ certification from r tish Standard

2nstitution5 ma7in3 it as the first primai$ dealer in 2ndia to achieve this certification



for its qualit$ s$stems and proceduies) 6his certificate has been anted to the

compan$ as a &hole includin3 its corporate and branch offices)

MISSION

BACKGROUND

2n the $ear ,K Reserve an7 of 2ndia introduced the s$stem of Primai$ 9ealers

&ith a vie& to stren3then the institutional infrastructure of 'overnment Securities

mar7et) Si8 entities &ere anted licenses of &hich P( 'ilts &as one) 6he

Compan$ &as established as a &holl$ o&ned subsidia$ of P4(=! (!62;(!L



!( &ith an initial paid up capital of RsJ* crores &hich is also the minimum

capital requirement for a Prima 9ealer)

"##

$##

6he net1&orth of the Compan$ has increased from RsJ* crs to RsJ-L crs in a

span of S $ears)

R25 (e& 9elhi5 anted its certificate of re3isuation vide its letter dated ,*th

Februai$ ,/5 to can$on the business of a (on1an7in3 Finance Compan$) 6he

Compan$ decided to e8pand its capital base @ came &ith an 2P; of RsJ crore

shares at an offer prce of Rs *>1 per share a33re3atin3 Rs=;J crore in =ul$ :&oo)

6his increased the paid up capital of the Compan$ to Rs ,,*, crores and reduced

the holdin3 of Pun0ab (ational an7 to .-!.)

;=<C62%<S



6he ob0ectives of the Compan$ are inline &ith ob0ectives laid do&n b$ R2 for the

Prima$ 9ealers:

Stren3then the infrastructure in the 3overnment securities mar7et in order to

ma7e it vibrant5 liquid and broad based)

<nsure the development of under&ritin3 and mar7et ma7in3 capabilities for

'overnment Securities)

2mprove secondai$ mar7et tradin3 s$stem5 &hich &ould contribute to price

discovei$5 enhance liquidit$ and turnover and encoura3e voluntai$ holdin3 of

'overnment securities amon3st a &ider investor base)

ecome an effective conduit for conductin3 open mar7et operations)

esides the above5 the Compan$ has been pioneer in retailin3 of 'overnment

Securities contributin3 to a deep and broad1based mar7et) 6he Mar7etin3

9epartment specificall$ caters to select se3ments viG) Provident Funds5 6rusts5

Re3ional Rural an7s5 Co1operative an7s5 Corporate @ 2ndividuals to create

a&areness and encoura3e health$ investment practices)

PRODUCTS ? SERVICES



ein3 a primal$ dealer in the 'overnment Secuiities Mar7et the compan$

underta7es more than * of its operations in 'overnment Securities) 6he ran3e of

product and services offered b$ the compan$ includes:

6reasui$ ills

Central 'overnment 9ated Securities

State 'overnment Securities

PS4 onds2nter1Corporate 9eposits

CS'L accounts

Mone$ mar7et instruments

Merchant an7in3

Mutual Fund 9istribution

2n addition to the above5 &e also offer advisoi$ services to our clients to mana3e

the 3overnment securities portfolio)

6he Compan$ has &ell1defined s$stems and procedures) 6he 2nternal Control @

Mana3ement s$stems are in place and are in accordance &ith the 3uidelines issued

$ the Re3ulator$ !uthorities)

6he Compan$ has a lean staff of / emplo$ees spread over the Counn$ &ith ,

emplo$ees in the Head ;ffice in (e& 9elhi @ rest in our branches at Mumbai5

Chennai5 ol7ata5 !hmedabad and an3alore)

9urin3 the $ears the Compan$ has emer3ed as a leadin3 Primar$ 9ealer in the

countl$) De have to our credits

6he first stand alone Primar$ 9ealer to come &ith an 2P; @ 3et listed)

6he first P9 to achieve 2S; ** ,:+*** certification)

6he first to obtain a PH ratin3 from CR2S2L for its short1teim bono&in3

pro3ram) !t present the ratin3 from CR2S2L is for bono&in3 up to Rs +J* crore)

6he compan$ has achieved a turnover of Rs),,K-K/ crores durin3 +**1+**-5

ma7in3 it one of the lar3est debt traders in the countl$)



!bJO-IJ!lBOBJ-bJ-

‘€117

1 !""#

1$1101

!""7V O"%&

E'V( %")



6his is a &holl$ o&ned subsidiai$ of Pun0ab (ational an75 is en3a3ed in

providin3 housin3 loans for purchase5 consunction and up adation of a d&ellin3

unit) 6he compan$ offers Loans for construction or for purchase of house>flat from

development authorities and also from private builders> oup housin3 societies as

&ell as for renovation> repairs Lompan$ also provide finance for construction of

residential pro0ects) Loans to (R2s are also provided for purchase> consunction of

house> flat alon3 &ith a resident> non1resident co1bono&er)

PRODUCTS AND SERVICES



APNA GHAR YOJANA

GHAR SUDHAR YOJANA

LOANAGAINSTPROPERTY

LOAN FOR COMMERCIAL PROPERTY

FUTURE RENTAL SECURITISATION

LINE OF CREDIT FACILITY

!P(! '2=!RB;=!(!

De provide housin3 finance to individuals tbr consLucdon or tbr

ac8iuisidon> nuahase of house>tiat from develoonrnt authorities such



as99 !>P49 etc) andalsofromprivate

builders>3oups housin3 societies) De consider enhancenrnt in loan

ainiunt in the event of escalations in cosL

<H'2DHB:

a# 2ndividuals in penmnent service or havin3 their o&ibusiness

"Resident or non 1resident#)b0 !3e of the applicant should not be nvre than K* $ears in case

of service class and KJ $ears in case $) businessmin or self

emplo$edO

+O5. 5=Ou.TF

"8 loan amunt &ould be Rs.50,000/- and mi:inium loan

nunt depends entirel$$ the repa$ntnt capacit$ of the

bo,6o8&r#)

b# !ctual loan eli3ibilit$ shall be on the basis of repa$nrnt capacit$

as detnmined be P(HFL ialdn3 into account inconr5

a3e5 qinlification and occupation

c# 2ncont $) bono8&r" #0 co1bono8&r"s# shall be clubbed to3ether

for calculation of loan eli3ibilit$ > the level of financei case

of0oint applirntion

M-R'2(:

6he bono8&r’s conthbution shall be minimum +* of the total cost

of pro0ect5 includin3 stamp dut$ and re3isiration char3es)

6 R!6FS: "<ffective from ,)*.)+**K#

PERIOD FLOATING RATE OF <24EARL4 FIED

INTEREST7=8 RATE OF INTEREST

i %#

,1,* Bears ** ,*J*

,,Q,JBeais +J ,*J*

,KQ+* Bears J* LJ*

SECURIT4

Securit$ for the loan is first char3ed b$ &a$ of equitable>re3istered mort3a3e of the

propert$ to be financed andI or such other collateral securities as ma$ be necessar$)Loans to allottees of flats>houses of development authorities B;. 'e'*er- $) %$2$p.



5$u-i -$%ie#ie- $r re$u#e+ $ri("#e *uil+er- can *e %$-i+ere+ $ #5e *"-i- $)



tripartite a3reement andlor interim seculit$) Dith respect to propert$ &ider

construction5 interim seculit$ ma$ be required) Collateral>interim securit$ ma$ be

assi3nment of Life 2nsuiance Policies5 3uarantees from sound and solvent

3uarantors5 pled3e of mar7etable shares and such other investments acceptable to

P(HF)

L;!( 92S4RS<M<(6:For outri3ht purchase of house>flat5 the loan amount &ill be paid in lump1sum to

the vendor at the time of re3istration after satisi’in3 that the bono&er has

paidlprovided for the balance amount) For houses>flats under construction5 the loan

amount &ill be disbursed in sta3es based on the pro3ress of construction)

9isbursement &in be made after the propert$ has been technicall$ appraised and all

le3al documentation has been completed) 6he bono&er has to invest his

proportionate share of the cost5 prior to disbursement of loan)

6he loan can be disbursed either in lump sum or installments accordin3 to the

requirement of the development authorit$>societ$> private builder)

L;!( R<P!BM<(6:

Loan repa$ment shall noimall$ be in <quated Monthl$ 2nstallments "<M2#

comprisin3 of principal and interest over a ma8imum period of +* $ears) 6he table

belo& sho&s the <M2 for a loan of Rs) ,5**5***>1 at different rates of interest)

*J +*.K +*EE +,*, +,, +,+J +,E +,J* +,K+ +,.J

07 1609 1622 1635 1648 1661 1674 1687 1700 1713

10 1267 1281 1294 1308 1322 1336 1350 1364 1378

15 1015 1030 1045 1060 1075 1090 1106 1121 1137

20 900 916 933 949 966 982 999 1016 1033

SP<C2!L R<P!BM<(6 PL!(S

2n deseivin3 cases5 installments ma$ be fi8ed in incieasin3>decieasin3 order *,) in

lump sum or even lin7ed to Life 2nsurance Policies5 under P( Housin3 Finances

special repa$ment plans li7e:



'raduated repa$ment plan

9ecreasin3 repa$ment plan

L2C lin7ed repa$ment plan

alance pa$ment facilit$

GHAR SUDHAR 4OJANA



4nder ‘'har Sud)har Bo0na’5 &e ma7e available housin3 finance to individuals for

up adation5 renovation ;. repair of house>flat) 2t includes amon3 others5 internal

@ e8ternal repairs5 &ater proofin35 roofin35 floorin35 electrical5 &ood&or7 etc)

ELIGIBILIT4

2ndividuals &ho are in peimanent service or self emplo$ed or have their o&n business) !3e of the applicant should not be more than K* $ears)

LOAN DETAILS

L$" A'$u#

Minimum amount of loan is Rs) J*5***) Ma8imum amount of oan shall not e8ceed

Rs) ,*5**5***) ono&er’s minimum contribution &ill be +J of the estimated cost

of repairs>renovations) !ctual loan amount shall be calculated on the basis of

repa$ment capacit$ of the bono&er as deteimined b$ P(HFL)

2(6<R<S6 R!6<S "Dith effect from L*6+**K#

4pto ,J Bears ,L;;

4pto ,* BRS rate of interest is

SECURIT4

(oimall$5 the secuiit$ for the loan shall be first char3e b$ &a$ of

<quitable>Re3istered mort3a3e of the propert$) Ho&ever5 P( Housin3 Finance at

its discretion5 can sanction a loan on the basis of:

Paii1passulsecond char3e in the case of Central>State 'ovL>Public

Sector>(ationaliGed an7 emplo$ees and other similar bodies or

;ther securities such as assiiment of L2C policies "sunender value at least

equivalent to the amount of loan#5 pled3e of mar7etable shares and such other

investments acceptable to P(HF) esides this5 personal 3uarantee from sound

and solvent 3uarantors ma$ be as7ed for)

LOAN DISBURSEMENT

! loan &ill be disbursed in lump sum ;. in sta3es "not more than three# based on

the pro3ress of renovationlrepair) 9isbursement &ill be made after the propert$ has



, E.-K E.J. E.K E.E* /.+ //;- //,J //+. //F //J;

+ -JK -JE* -J+ -K* -K,J -K+. -K/ -KJ* -KK, -K.

,E* ,+ +*- +,J ++. + +J, +K +.- +/K

- +-E +J*, +J, +J+J +J. +J- +JK, +J. +J/J +J.

J +*.K +*EE 2101 2113 2125 213X 2150 2162 2175 21X7

6 1803 1815 1828 1841 1X53 1X66 1X7X 1X91 1904 1917

7 1609 1622 1635 1648 1661 1674 16X7 1700 1713 1726

8 1466 1479 1492 1505 iSiS 1531 1545 1SSX 1571 1SXS

9 1355 1368 1381 1395 140X 1422 1436 1449 1463 1477

10 1267 1281 1294 1308 1322 1336 1350 1367 137X 1392

been technicall$ appraised and all le3al documentation and other foimalities have been completed) 6he bono&er has to invest his share of the cost in!lu pror todisbursement of the loan) 6he bono&er is e8pected to complete the

repair>renovation &ithin si8 months)

REPA4MENT

Loan repa$mentshall noimall$ be

in <quatedMonthl$

2nstallments "<M2#comprisin3 of principal and interest over a ma8imum period of ,* $ears)

LOAN AGAINST PROPERT4



De provide loans to individuals a3ainst mort3a3e of their e8istin3 residential

immovable propert$ situated in urban>semi1urban>meno centies) Finance &ould be

made available for personal requirements of bono&ers such as education5 mania3e

of children5 famil$ function5 forei3n navel5 medical e8penses5 firniishin3 the house5

bu$in3 a computer *,) other consumer durables5 etc) b$ mort3a3in3 their e8istin3

immovable propert$)

ELIGIBILIT4

!n$ individual havin3 re3ular source of income can appl$ for the loan) !3e of the

applicant should not be more than JJ $ears)

LOAN AMOUNT

Minimum loan amount &ould be Rs) J*5***,1) Ma8imum Loan !mount &ould be

J* of the mar7et value of the propert$ as certified b$ P(HF’s approved valuer

;R actual loan eli3ibilit$ as deteimined on the basis of repa$ment capacit$ of the

bono&er5 &hichever is less) 2n case other eaitin3 famil$ members are offered as

co1bono&ers5 their income can also be clubbed &ith that of the bono&er for

computation of eli3ible loan amount)

2(6<R<S6 R!6<S: "Dith effect from ,)*.)+**K#

2nterest rate for individuals &ill be ,,)J* and for builders "floatin3 rate# &ill be

,,**

SECURIT4

De shall require <quitable 2 Re3istered Mort3a3e of propert$ a3ainst &hich loan is

bein3 sou3ht) 'uarantee of one> t&o persons &ill be required as per e8istin3

3uidelines of the compan$)

L;!( 92S4RS<M<(6

6he loan &ould be disbursed directl$ to the bono&er in lump sum throu3h his ban7

account) 9isbursement &ill be made after the propert$ has been technicall$ and

le3all$ appraised and le3al documentation has been completed)

L;!( R<P!BM<(6

6he loan &ould be repaid b$ &a$ of <quated Monthl$ 2nstallments"<M2J#

consistin3 of principal and interest &ithin a ma8imum period of ,J $ears)

Repa$ment &ill commence in the month subsequent to the month in &hich loan

has been disbursed)

LOAN FOR COMMERCIAL PROPERT4



De provide loans to individuals a3ainst mort3a3e of their e8istin3 residential

immovable propert$ situated in uiban)semi1uiban)metro centers) Finance &ould be

made available for personal requirements of bono&ers such as education5 mania3e

of children, !amily function5 forei3n travel5 medical e8penses5 furnishin3 the house5

bu$in3 a computer or other consumer duiables, etc. b$ mort3a3in3 their e8istin3

immovable propert$)

ELIGIBILIT4

A1 individual havin3 re3ular soulce of income can appl$ for the loan5 !3e of the

applicant should not be more than JJ $ears)

LOAN AMOUNT

Minimum loan amount &ould be Rs) J*5***>1) Ma8imum Loan !mount &ould be

J* of the mar7et value of the propert$ as certified b$ P(HF’s approved value

OR actual loan eli3ibilit$ as deteimined on the basis of repa$ment capacit$ of the

bono&er5 &hichever is less) 2n case other earnin3 famil$ members are offered as

co1bono&ers5 their income can also be clubbed &ith that of the bono&er for

computation of eli3ible loan amount)

INTEREST RATE "%ith effect from ,)*.)+**K# 2nterest rate both fbi individuals

and builders &ill be ,+)**)

SECURIT4

De shall require <quitable>Re3istered Mort3a3e of propert$ a3ainst &hich loan is

bein3 sou3ht) 'uarantee of one))’ t&u persons vill be required as per e8istin3

3uidelines of the compan$)

LOAN DISBURSEMENT

6he loan &ould be disbursed directl$ to the bono&er in lump sum throu3h his ban7

account) 9isbuisement &ill be made after the propert$ has been technicall$ and

le3all$ appraised and le3al documentation has been completed)

LOAN REPA4MENT

6he loan &ould be repaid b$ &a$ of <quated Monthl$ 2nstallments"<M2J#

consistin3 of principal and interest &ithin a ma8imum period of ,* $eals)

Repa$ment &ill commence in the month subsequent to the month in &hich loan

has been disbursed)



FUTURE RENTAL SECURITISATION

For the convenience of o& bono&ers5 &e have started innovative scheme &herein

&e provide loan a3ainst assured rental receivable for their o&ned propert$ &hich

has been let out to reputed> 3ovt) companies)

ELIGIBILIT4

Propert$ o&ners havin3 properties at Metro>4rban>Semi1uiban areas &ho have let

out their properties to Public Sector 4nderta7in3s>'overnment>Semi 3overnment

and reputed corporate5 ban7s5 financial institutions and multinational companies

can avail loan a3ainst thture rental receivable)

L;!( !M;4(6:Ma8imum Loan !mount &ould be S; of the total thture rent receivable &ithin

the un1e8pired period of lease deed sub0ect to a ma8imum per od of ,* $ears) Loan

amount &ill be restricted to a ma8imum of /* of the mar7et value of the

propert$)

INTEREST RATE 7Wi#5 e))e%# )r$' L*6+**K# 6he rate of interest &ill be

,LJ*)

MARGIN

Minimum contribution of the bono&er &ould *e >= $) #5e thtuie rent receivable

&ith the loan period)

SECURIT4De shall require <quitable Re3istered Mort3a3e of the propert$ a3ainst the rental

of &hich the loan is bein3 sou3ht)

L;!( 92S4RS<M<(62n case of puichase of the propert$5 the loan &ould be disbursed directl$ to the

bono&er5 in lump sum ;. as pci demand there from) 2n case of consunction5 the

loan &ould be disbursed in sta3es "ma8imum bein3 # based on the pio3iess of

construction) 9isbuisement &ill be made after the propert$ has been technicall$

appiaised and all le3al documentation has been completed) 9isbuisement &ould be

made onl$ after bono&er contribution has been invested in fill)

L;!( R<P!BM<(6



The loan would be repaid by "ay of E?uated =onthly Insti IIment /E=G0%$-i-#i6 of principal and interest within a ma&imum peiiod of '# years.<epayment "ilH commence in the month subse?uent to the month in which loanhas been disburse(n case of constraction repayment will commence "ith e!!ect from the monsubse?uent to the month in which last inst((ment of loan is released and till thtime re%E=E Interest will be charged.

+IE OF C<EIT FACILIT4



De offer corporate bodies a special facilit$ of Line of Credit "LoC# facilit$ &hich

facilitates Home ;&nership amon3 its emplo$ees) 6he scheme facilitates a

compan$ to build its human resouice b$ providin3 financial assistance to its

emplo$ees for o&nin3 a house) 6he compan$ can also save the ftnds other&ise

required for buildin3 accommodation for their staff <mplo$ees &hen the$ 3et an

accommodation oftheir choice &ould contribute a 3reat deal to&ards buildin3 an

or3anisation) 6he loans sanctioned are liberal and disbuisements under this facilit$

faster) <mplo$ees are assisted in evei$ &a$s and need not ta7e time off from &or7

for compl$in3 &ith various formalities) ! L;C facilit$ 3ranted to a compan$ can

be utilised to 3ive loans to their emplo$ees for the purchase5 construction$r

e8tension of residential units an$&here in 2ndia) ! compan$ can appl$ in the

prescribed Corporate !pplication Form available at our offices alon3 &ith the

information>documents mentioned in the application form) !fter a L;C is

sanctioned and the offer accepted5 disbursement &ill be made after completion of

le3al and technical formalities)

!M;4(6 OF LOC

! compan$ can appl$ for an L;C under both the schemes based on the anticipated

demand for housin3 loans from its emplo$ees &ithin the ne8t one $ear) Dhen this

L;C is fill$ utiliGed5 the Compan$ can appl$ for another L;C as and &hen

additional demand for housin3 loans arises)

2(92%294!L L;!(S 4(9<R THE LOC

6he ma8imum individual loan per emplo$ee is /* to * of the cost of the

d&ellin3 unit sub0ect to a ma8imum of Rs) * lacs) 6he amount of loan available

for bono&ers is the amount recommended b$ the compan$ and as determined b$

P(HF)

R!6< OF INTEREST

6he compan$ is requested to confirm oui current applicable rate of interest) 2nterest

is calculated on the basis of annual rests) P(HF reserves the r3ht to vai$ the rate

of interest at an$ time in response to chan3es in mone$ mar7et conditions oi if a

lev$5 ta8 on inteiest ; an$ othei char3e oi burden is imposed oi levied b$ an$

'overnment !uthorit$)

FEES AN8 CHARGES

"a# Processin3 and administrative fee is ,)J of the L;C applied for and is pa$able

at the time of submission of the application)

"b# ! commitment char3e of , pci annum on the undra&n amount of the L;C

sanctioned is pa$able commencin3 si8 months from the date of acceptance of offer)

"c# ;n prepa$ment of the loan5 in part oi fun5 P(HF mi3ht char3e an earl$

redemption char3e of + of the amount bein3 prepaid)

L;!( R<P!BM<(6



6he compan$ shall deduct the <quated Monthl$ 2nstalments "<M2s# from the

monthl$ salai$ of each of the emplo$ee bono&ers and remit a consolidated

cheque>draft of <M2s comprisin3 principal and interest) Pendin3 final disbursement

ofloan5 interest on the disbuised portion of the loan caned Pre1<M2 interest is

pa$able evei$ month from the date of each disbursement upto the date of

commencement of <MI) 6he details on securit$5 disbursement5 repa$ment teims

and commencement of repa$ment are 3iven under respective t$pes of L;C)

T4PES OF LOC

Our %$'p"1 $))er- LOC u+er #5e )$ll$!i6 #!$ schemes:

LOC TO LOC THRU

4nder this scheme finds are provided to

the compan$ for on&ard lendin3 to its

emplo$ees)6he securit$ for the loan is

mort3a3e of d&ellin3 units financedand>or an$ other securit$ as acceptable

to P(HF5 includin3 ban7 3uarantee)

Since the compan$ is the bono&er and

the emplo$ees of the compan$ obtain

loans from the compan$5 the L;C is a

direct liabilit$ of the compan$)

4nder the scheme loans are sanctioned

to individual emplo$ees nominated b$

" %$'p"1 &ith the compan$

3uaranteein3 the loans) 6he securit$ for the loan is a 3uarantee from the

compan$ and mort3a3e of d&ellin3

units financed) 2ndividual emplo$ees

recommended b$ a compan$ are the

bono&ers) 6herefore5 the compan$ has

a contin3ent liabilit$ to the e8tent of

the 3uarantee provided)

LINE OF CREI8IT TOL$" "ppli%"#i$ can *e '"+e *1 " %$'p"1 &hich has an approved H!scheme and is en3a3ed in an$ *u-ie-- e%ep# i re"l e-#"#e pr$'$#i$and development)

a# Period6he terms of the L;C &ould be sub0ect to the &ei3hted avera3e

repa$ment terms offered b$ the compan$ under its housin3 loan scheme

)$r emplo$ees covered under this facilit$ sub0ect to a ma8imum term of ,J $ears)

b# Securit$

6he main seculit$ is mort3a3e of the d&ellin3 units financed) ;urcompan$ can also as7 for a ban7 3uarantee and> or an$$#5er securit$ asma$ be mutuall$ acceptable) 6he title deeds ma$ be held either b$P(HF $r b$ the bono&er compan$ on behalf $) P(HF)

%8 Di-*ur-e'e#

9isbursement &ill be made to the compan$ on the basis of a statement indicatin3

peiiodic disbursements of housin3 loans made)



d# Repa$ men

! compan$ availin3 of an L;C &ould start pa$in3 <quated Monthl$ 2nstalments

in the month follo&in3 the month in &hich final disbursement of the L;C is made

to the compan$) Pendin3 final disbuisement5 the compan$ is required to pa$

interest on the disbursed portion of loan5 called PreQ<M2 interest and is pa$able

evei$ month from the date of each disbursement up to the date of commencement

of <M2) 2n the event of an emplo$ee’s superannuation5 resi,ation5 dischar3e from

services or death5 the amount of the housin3 loan outstandin3 in his account shallimmediatel$ be repaid b$ the compan$ to P(HF)

L2(<S ;F CR<9,6 6HR4

!s stated in the fore3oin3 paia3raphs5 loans &ill be sanctioned to

individual emplo$ees nominated b$ the compan$)

7"8 Peri$+6he loans availed under this scheme &ill be repaid in over a ma8imum period of

+* $ears or up #$ #5e "6e $) re#ire'e# $) #5e e'pl$1ee-, &hichever i- e"rlier.

/b0 Securib’6he L;C &ill be secuied b$ mort3a3e of the d&ellin3 units financed) 6he

mort3a3e &ill be created b$ the deposit of the title deeds) 6he title deeds &ill be

held b$ P(HF) 6he repa$ment of the loan &ill also be 3uaranteed b$ the

compan$) 6he Corporate od$ &ill therefore have a contin3ent liabilit$ to the

e8tent of the 3uarantee provided) 6he loan aeement shall be e8ecuted b$ the

emplo$ee bono&er and countersi3ned b$ the emplo$er 3ualanteein3 repa$ment)

P(HF mi3ht as7 the emplo$er compan$ to provide an$ $#5er -e%uri#1 "+

ee%u#e an$ other documents as required in this behalf)

"c# 9isbursements

9isbursements to individuals under this )"%ili#1 !ill *e '"+e on the basis of

the recommendation made b$ the compan$)

"d# Rep a$men

6he emplo$er shall deduct loan installments from the emplo$ees salai$ and

remit to P(HF on a monthl$ basis) <M2s for individual emplo$ees &ould

commence from the month follo&in3 the month in &hich the loan is full$

disbursed) Pendin3 final disbursement5 the individual is required to pa$ intereston the disbuised portion of the loan called PreQ<M2 interest &hich is pa$ableevei$ month from the date of each disbursement up to date of commencement of

<M2)



RESEAR CI

ETI ODOLO*&



INTRODUCTION

6he procedure adopted for conductin3 the research requires a lot of attention as it

has direct bearin3 on accurac$5 reliabilit$ and adequac$ of results obtained) 2t is

due to this reason that research methodolo3$5 &hich &e used at the time of

conductin3 the research5 needs to be elaborated upon) Research Methodolo3$ is a

&a$ to s$stematicall$ stud$ @ solve the research problems) 2f a researcher &ants toclaim his stud$ as a 3ood stud$5 he must clearl$ state the methodolo3$ adopted in

conductin3 the research so that it ma$ be 0ud3ed b$ the reader &hether the

methodolo3$ of &or7 done is sound or not)

6he research method here inc,ude:1

,) Meanin3 of research

+) Research problem

) Research desi3n

-) Samplin3 desiiJ) 9ata collection method

K) 9ata anal$sis and interpretation

.) Recommendations



Me"i6 $) Re-e"r%5Research is defined as ‘a scientific @ s$stematic search for pertinent intbrmation

on a specific topic) Research is an art of scientific investi3ation) Research is a

s$stematiGed effort to 3ain ne& 7no&led3e) 2t is a careflil investi3ation or inquii$

especiall$ throu3h search for ne& facts in an$ branch of 7no&led3e)

Research is an academic activit$ and this term should be used in a technical sense)

Research coin prices definin3 and redefinin3 problems5 formulatin3 h$pothesis or

su33ested solutionsO ma7in3 deductions and reachin3 conclusions to determine

&hether the$ fit the formulatin3 h$pothesis) Research is thus5 an ori3inal

contribution to the e8istin3 stoc7 of 7no&led3e ma7in3 for this advancement) 6he

search for 7no&led3e throu3h ob0ective and s$stematic method of findin3 solution

to a problem is research)

Re-e "r%5 Pr$*le'

6he first step &hile conductin3 research is careflil definition of research problem)

Research desi3n

! research desi3n is the anan3ement of conditions for collection and anal$sis of

data in a manner that aims to combine relevance to the research purpose &ith

econom$ in procedure) Research desi3n is the conceptual structure &ithin &hich

research is conducted) 2t constitutes the blue print for the collection measurement

and anal$sis of data) Research desi3n includes an outline of &hat the researcher

&ill do from &ritin3 the h$pothesis and its operational implications to the final

anal$sis of data)

! research desi3n is a frame&or7 for the stud$ and used as a 3uide in collectin3

and anal$Gin3 the data) 2t is a strate3$ specif$in3 &hich approach &ill be used for

3atherin3 and anal$Gin3 the data) 2t also includes the time and cost bud3et since

most studies are done under these t&o constraints)

Re-e"r%5 +e-i6 %" *e %"#e6$rie+ ",

<8ploratoi$ research9escriptive

9ia3nostic research

<8perimental research

S"'pli6 De-i6Samplin3 is necessa$ because it is almost impossible to e8amine the entire parent

population "Le) the entire universe# various factors such as time available5 cost5

purpose of stud$ etc ma7e it necessai$ for the researchers to choose a sample) 2tshould neither be too small nor too bi3) 2t should be mana3eable)



D"#" C$lle%#i$ Me#5$+!fter the sample has been ta7en the t$pe of infoimation to be sou3ht &as decided

upon5 the ne8t step is to collect the data) !s the data collected is to be the base of

&hat &e plan to find out5 the relevant care should be ta7en that the enors in

methods of collection of data involved are minimiGed) 6he factors of availabilit$ of

time5 cost and human involvement come to effect the reliabilit$ of the data

collected) roadl$ there are t&o t$pes of data:

Prima$ data

Secondai$ data

Secondai$ data means the statistics not 3athered for the immediate stud$ at hand

but for some other data) 2t is the data collected b$ some one for purposes other than

solvin3 the problem bein3 investi3ated) ;n the other hand primal$ data are

3enerated in a stud$ specificall$ desi3ned to accommodate the data needs of the

problem at hand)



ANAL4SIS AND INTERPRETATION OF DATA AND

RECOMMENDATIONS

The data collected in the atbresaid manner have been tabulated in condensed !oim

to dra" the meanin!iil result. The di!!erent techni?ues are adopted to analy1e a

data.

5ll the data and the material is ananed throuh internal resources and the last part

o! the pro-ect consist o! the conclusions dra"n !rom the report, a brie! summaiy

and recommendations and ivin the !inal touch to the reports by statin a

conclusion.



CO PA TIVE

C USTO ER

PREFERE CE

A AL&SIS

10 ELOA

SECTOR



T5e LiEle $) E5i rep$rE i &COMPARATIVE CUSTOMER PREFERENCE

ANAL4SIS IN HOME LOAN SECTOR. T5e u*/e%E &a %Ii$e L$ 6"#5er

i)$r'"Li$ "*$uL the per%epLi$ $) pe$ple E$!"r+ 5$'e l$" e%E$r.

Mar7etin3 is essential for each and evei$ or3aniGation for its successful operation)

2t forms the basis of all other functions)

Mar7etin3 is human activit$ directed at satisi’in3 needs and &ants throu3h

e8chan3e processes)

6herefore mar7etin3 is a social and mana3erial process b$ &hich individuals and

3roups obtain &hat the$ need and &ant throu3h creatin35 offerin3 and e8chan3in3

products of value &ith others is an act or operation or service b$ &hich ori3inal

pro0ect and the final consumers ale lin7ed to3ether in bet&een these t&o points i)e)

producer and consumer) Hence evei$ activit$ facilitatin3 the movement of 3oods

and services5 includin3 mar7et and mar7etin3 research e covered under the term

mar7etin3)

Mar7etin3 of a product involves a variet$ of activities of &hich sellin3 is merel$

one of them)

6his pro0ect provided the important data re3ardin3 the demand and a&areness of

2C’2C’2 an7in3 home loan sector)



SAMPLE SELECTION

6he universe of the stud$ as mentioned belo& in scope of the pro0ect is 7ept to the

people in Del5i cit$)

6he sample siGe &as chosen to be ,**)

Sample &as chosen based on Convenience method of samplin3 but all care &as

ta7en to ma7e it more representative b$ includin3 people of different occupation)

SCOPE OF THE STUD4

6he present stud$ &as conducted b$ the researcher in 9elhi coverin3 some main

and popular mar7ets of 9elhi because of consflaints of time and mone$ stud$ could

not be e8tended to other cities) !s 9elhi bein3 a popular and amon3 the 3ood cities

of 2ndia is a 3ood mar7et of financial products @ also here customers of different

classes li7e business se3ment5 service se3ment5 and professional se3ment are in

e8cess) Since the report aims at findin3 the potential for financial products at 9elhi

itself ta7in3 into consideration certain limits and problems5 the area &as chosen on

the basis of covera3e of product no) of respondents)

DELHI M!R<6 S<'M<(6

6he mar7et of 9elhi mainl$ compr ses of the rural @ urban people &ith population

of around ,J million) 6he literac$ rate is fairl$ hi3h and there are around KJ

males @ J females)

6his data clearl$ indicates the emer3enc$ of a middle class at 9elhi) !s is

else&here5 this class is the harbors of modern facilities) !pait from other

contribution5 it is this class for its mone$) 6hese demands e8hibits a vi3ilant

customer @ financial products have been on their toes to return them to pa$ the

least if not attract the other ones)

esides 9elhi also boasts of a lar3e financial mar7et) 2t has an upcomin3 phaimac$

distribution net&or7 @ lots of 'ovt) institutions) 6here is increasin3 use of C$bei

Cafe 2nternet @ cable connection) 6he mar7et siGe of the cit$ is around + lac7s5 a

si3nificant chun7 of &hich is occupied b$ the upcomin3 middle classes)

esides5 there is 3ood number of industries)

!part from this5 there are man$ mana3ement and en3ineerin3 cone3e’s and

universities) 6he much roamin3 3ro&th of such institutions sho&s the presence of

man$ hi3h nets &orth individual is 9elhi)



For the puip$-e $) the stud$ the respondents &ere selected from all cornersoil

9elhi min(y popular colonies and for gathering infonnation about the trendsdemands ? *r"+- "("il"*le i finpncial products)

T5e +"#" &as %$lle%#e+ #5r$u65 questionnaires) T5e question %$-i-#e+ $) ;

questions alon3 &ith #5e i)$i'"#i$ re3ardin3 #5e $%%up"#i$ $) #5e re-p$+e#.T5e u'*er $) re-p$+e#- !ere 0ep# #$ '##. T5e 3raphs $) "ll #5e )i+i6-question &ise are 3iven *el$! alon3 &ith #5e #"*le- $) #5e +"#" %$lle%#e+.

The quecthin nic efindingv !ee"#ecn$%dn!



!D!R<(<SS !;46 H;M< L;!(S

ES

O

A!"ree "*$u# 5$'e ;$" Per%e#" e

4e- >

(o S

INTERPRETATI N

T5e "*$(e Pie chart depicts that + of total sample siGe is a&are about the home

loans and onl$ / are una&are)



<!S< ;F '<662(' H;M< L;!(

<ase ;f Ge##i H$'e L$" Per%e#" e

Bes J,

(o -

INTERPRETATION

J, of the sample siGe finds eas$ to 3et the home loan &hile - finds it difficult

6he ratio is more or less same)



Pre)ere%e $) a7in H$'e L$" Per%e

Bes .K

(o +-

PR<F<R<(C< ;F 6!2(' H;M< L;!(

#" e

INTERPRETATION

6he above aph depicts that ma8imum percenta3e of the sample siGe prefers to 3o

for home loan)



L;!( R<C<2%<9

L$" Re%ie(e+ Per%e#" e

Bes K.

(o

INTERPRETATION

2t has been found from the aph that K. of the sample siGe has 3one for the

home loan)



BANK PREFERENCE

PREFERENCE OF BANK PERCENTAGE

ICICI $2B3 l:

+IC3 '6

3C $*

OTE<S '

INTERPRETATION

6he above 3raph depicts that oni$ iS of the sample siGe has prefened to ta7e

home loan from P( and ma8imum percenta3e of the sample siGe prefened to ta7e

home loan either from ICICI *,) H9FC and vei$ fe& that is onl$ one percent has

the preference of othei financial institutes)



PROVISION OF OPTIMALECONOMICAL INTEREST RATE

*+,-(

Pr$(i-i$ O) Op#i'"lE%$$'i%"l

I#ereil R"#e

Per%e#"6e

ICICI 32

PNBHF 24

LICHF 13

HDFC 89

OTHERS 4

INTERPRETATION

6he above 3raph sho&s that accordin3 to the + percenta3e of total sample siGe5

2C2C2 provides the optimal>economical interest rate) 6he ne8t preference is 3ivento H9FC and P(HFL has received the third preference for providin3 the optimalinterest rate) !nd onl$ , percent of the sample prefened L2CHF)



SUITABLE EM

Pre)ere%e $) *"0 i %"-e $) Per%e#"6e

ui#"*i;i $) EMI ICICI $8

B3 87+IC3 '$

3C 89

OTE<S 7

INTERPRETATION

6he above 3raph sho&s that accordin3 to the + percenta3e of total sample siGe5

2C2C2 provides suitable <ML 6he ne8t preference is 3iven to H9FC and P(HFLhas received the third preference for providin3 suitable <ML !nd onl$ , percent

of the sample prefened L2CHF)



LONG TERM PREFERENCE

L$ Ter' Pre)ere%e

ICICI

Per%e#" e

+.B3 87+IC3 8*3C 86

OTE<S 7

INTERPRETATION

6he above pie chart depicts that ma8imum number of people has prefened 2C2C2

ban7 for lon3 teim loans and onl$ +- percent of sample siGe has 3iven preference

to P(HF and onl$ - has 3iven preference to other financial institutes)



U/T,0)+ 1+()N23(N)//

.ustomer 1riendliness *ercenta e

ICICI 82,B3 l:

+IC3 873C '9

OTE<S '*

INTERPRETATION

6he above pie chart sho&s that ma8imum number of people finds 2C2C2 more

customer friendl$ than other ban7s)



*+,0*T /)+-(.)

B4N5 (

*rom t /erviceICICI

Per%e#" e

7*

B3 '$

+IC3 8$

3C '7

OTE<S *

INTERPRETATION

2C2C2 ban# has !ound to be ?uic#est in sanctionin3 the loan amon3

other financial institutes b$ ma8imum number of people)



*,/(T(-) 4/*).T 1,+ /U..)// ,1 *NB61

*,/(T(-) 4/*)T 1,+

/U)// ,1 *NB61

S5+CS <O=OTIO KB<5

CSTO=C< 3<IC+JO=C +O5 SCJC=CS

C5S S5CTIOI; O3TJC JO=C +O5S

+O>C< ITC<CST <5TCS

+O>C< C=rS

ositive 5spect 3or Success O! ercentaeB3

S5+ES ,<O=OTIO K B<5 8*Customer 3riendly ome +oan $*Schemes

Easy Sanctionin O! The ome '6

+oans

+o"er Interest <ates '*

+o"er EmiHs '*

INTERPRETATION

6he above 3raph depicts that customer friendl$ home loan schemes are the main

aspect for the success of P(HF)



LAGGING AREA

3a in 4rea *ercenta e

Con!ined Oni In rban 5reas '8on E!!ective 5dvertisements 9Lela In rocessin '6

INTERPRETATION

6he above Pie chart sho&s that (on effective !dvertisement is the la33in3 area of

P(HFL in comparison to other home loan ban7s)



CO CL S%O

AD

SOT

A AL&SIS

AD

LI ITATIO S



SD;6 !(!LBS2S

STREN*T+S

rand name of Pun ab (ational an7 "P(# is established over the $ears)

Sin3le &indo& clearance % a sin3le emplo$ee provides &ide variet$ of

facilities to the bono&er5 minimiGin3 the hassle of &asta3e of time)

!ppraisal techniques are used)

SpecialiGed soft&are’s are bi3 assets)

6here is no penalt$ for prepa$ment from bono&ers o&n service)

WEA,NESSES

Hi3h interest rates as compared to other housin3 finance institutions)

6op mana3ement ta7es hu3e amount of time to approve hi3h valuesee7in3 loan bono&ers) (o publicit$)

(o mar7etin3 mana3ers &or75 onl$ throu3h dsa’s "direct sales a3ent#)

People are not a&are of &ide variet$ of schemes offered b$ the compan$Otend to thin7 the compan$ as onl$ providin3 home loans)

6here is the shorta3e of staff at almost all branches &hich does not ensure

eas$ addressable of the customers problems)

9ele3ation of authorit$ and responsibilit$ is not proper)

OFF OR TUNITIES

Special rates of interest are offered durin3 e8hibitions)

Special rates of interest can be introduced for emplo$ees of PS4’S @

reputed national or multinational companies’

Product life c$cle is to be revie&ed)

6he 3ro&in3 cate3or$ of the builders ensure that 3ood5 hi3h value

@ qualitative pro0ects5 providin3 them home loans &ith the ne& and

innovative schemes can lead to over all development of the compan$)

THREATS

6he competition in mar7et is vei$ hi3h due to the private pla$ers)

6he rates of interest of other pla$ers are quite lo&)

2nnovative schemes &ith home loan from other pla$ers)

6he processin3 process is quite slo& &hich leads to lo& housin3 finance)

! fraud case involvin3 + cases &orth Rs) crores at the one branch of P( Housin3 Finance Limited in $ear +**+ leads decreasin3 brand name)



%

L2M26!62;(S ;F 6H< S649B

6here are al&a$s present some limitations under &hich researcher has to &or7)

Here follo&in3 are some limitations under researcher had to &or7:

SAMPLE SIZE

6he sample siGe surve$ed &as limited over ,** respondents &hich not ma$ be

fill$ representative of the universe) ! lar3e sample siGe could not be ta7en due tu

time @ cost consflaints)

NON- COVERA*E OF CERTAINASPECTS

6here is &ide ran3e of perimeters affectin3 consumer behavior but onl$ a fe&

questions relatin3 to those deteiminants have been endorsed in schedule)

TIME CONSTRAINT

De had limited time for conductin3 this surve$ report) 2n this short period of all

the respondents had to be personall$ contacted for the purpose of surve$ @ then

their responses had to be anal$sed So5 some shoitfalls ma$ be present)

LIMITATIONS OF SAMPLING TECHNIQUES

Limitations @ biasness of convenience @ 0ud3ment samplin3 used in the present

stud$ to some e8tent)

ONE&

!vailable &ith the researcher also imposed a limitation on the comprehensive of

this research)



APPE DI



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Documents

Comparative Customer Preference in Public and Private SectorHome Loans