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cooperative bank.docx

  2. 2. CERTIFICATE I Certify that this Project “THE SANGRUR CENTRAL COOPERATIVE BANK LTD. SANGRUR BRANCH OFFICE: BHATTIWAL KALAN” Submitted to GURU TEG BAHADUR COLLEGE, BHAWANIGARH affiliated to Punjabi university, Patiala in fulfillment of the award of Bachelor of Commerce, is a record of in dependent research of and carried out by Jeevan Kumar under my supervision and guidance. JEEVAN KUMAR (Bank Manager)
  3. 3. DECLARATION I hereby declare that project report entitled “THE SANGRUR CENTRAL COOPERATIVE BANK LTD. SANGRUR BRANCH OFFICE: BHATTIWAL KALAN” submitted in the partial fulfillment of the requirement for the degree Bachelor of Commerce (B. Com) to Guru Teg Bahadur College, Bhawanigarh affiliated to Punjabi university, Patiala is my original work and has not been submitted for the award of any other degree, diploma or fellowship. SUBMITTED TO SUBMITTED BY Sonia B.COM 3th Sem ROLL NO.
  4. 4. PREFACE Cooperatives have played a vital role in improving the economic conditions of farmers and accelerating the pace of development in Punjab. Cooperative principles ensure harmonious development, through democratic management and governance. Cooperatives have brought both the services and resources at the doorsteps of villagers in Punjab. These have been enthusiastically serving the people of Punjab in areas such as agriculture, housing, sugar production and dairy etc. The performance of Cooperative Movement in Punjab, is very impressive. Cooperatives constitute the major source of institutional credit for agriculture. Cooperatives are playing a pivotal role in socio-economic development of the State. These are key instruments of the State to develop and sustain its rural economy, which is primarily agrarian. The Department of Cooperation has accelerated Cooperative movement in Punjab.
  5. 5. ACKNOWLEDGEMENT I sincerely record my appreciation to all, while contributing in preparing this report with suggestion and critical evaluation. I am extremely thankful to Mr. Jeevan Kumar who zestfully monitored the growth of this project. From time to time, he guided me in the right direction and took care that I had enough time to complete this project. As an amateur in this field, I am indebted to those who have readily responded to my request for expert guidance. Sonia
  6. 6. Mission Promotion and sustenance of economic interest & providing easy finance, cost effective and quality banking services ot customer & PACs History The Punjab State Cooperative Bank was established on 31st August, 1949 at Shimla vide registration No. 720 has a principle financing institution of the cooperative movement in Punjab. In 1951 its Head Office was shifted to Jalandhar from where it moved in 1963 to its present building at Chandigarh. In the cooperative Banking structure, the position of the Punjab State Cooperative Bank is extremely important as the whole credit system revolves around it. It has 19 branches and 3 extension counter in Chandigarh. There are 20 District Central Cooperative Banks having 808 branches/extension counters all over Punjab, mostly in rural areas of the State.
  7. 7. Contents CHAPTER 1: DEPOSIT ACCOUNTS: GENERAL.................................................................................................8 CHAPTER 2: SAVING BANK ACCOUNT.........................................................................................................19 CHAPTER 3: WITHDRAWAL.........................................................................................................................25 CHAPTER 4: CURRENT ACCOUNTS..............................................................................................................27 CHAPTER 5: JOINT ACCOUNTS....................................................................................................................31 CHAPTER 6: TERM DEPOSITS ......................................................................................................................33 CHAPTER 7: ANNUAL RETURN ....................................................................................................................36 CHAPTER 8: RECURRING DEPOSITS............................................................................................................38 CHAPTER 9: AMOUNT AND PERIOD OF DEPOSIT........................................................................................41 CHAPTER 10: REMITTANCE OF INSTALMENT..............................................................................................44 CHAPTER 11: PAYMENT OF CHEQUES ........................................................................................................47 CHAPTER 12: SCHEMES...............................................................................................................................52 CHAPTER 13: SETTLEMENT OF DEATH CLAIMS...........................................................................................63 CONCLUSION...............................................................................................................................................69 Bibliography ................................................................................................................................................70
  9. 9. ACCOUNT OPENING FORM Contract Opening of an account implies contractual obligations between banker and customer. Therefore, the account opening form and other prescribed forms should be checked by the officer concerned to see that these are correct and complete in all respect. Filling in Account Opening Form in the presence of bank official The first and most important thing in opening of an account is that account opening form (AOF) must be filled up only in the bank and that also in the presence of officials of the bank. Filling in details in Account Opening Form (AOF) Account opening form shall be filled up either by the customer or alternatively by the official of the bank. All columns of the AOF shall be filled up and no column shall be left blank. Struck off the column which is not applicable. Name. Parentage and address shall be taken on the AOF. Specimen of signature shall also be obtained in the requisite column. Any alternation or cutting in the AOF shall be authentication by the customer(s) with full signatures. A specimen of AOF is given at Annexure 1.1(a) and 1.1(b). Special Feature of filling up of AOF a. AOF shall be filled up in the presence of the official of the bank. b. Name: Full Name(s) of the person(s) desiring to open the account shall be obtained. In case of account of firm. company, institution etc., the nature of the firm etc. shall be obtained in detail. Bank shall also obtain full names of the persons authorised to operate upon such account.
  10. 10. c. Occupation: The account holder shall describe his occupation in detail. Description such as business, service trade or industry will not serve the purpose. It shall be described as Account Officer in Prem Chand Industries Ltd. or Prop. of Rama Trading Co. etc. i. If the account holder is in service all details such as his designation, home address along with telephone number, if any, he obtained. ii. In case of married women, name address and occupation of the husband may also be obtained. iii. In case of businessman, nature of his business and residential address shall be obtained Names of the other banks with whom he is dealing may also be obtained. iv. It is most important that all the above information may be gathered from the customer in a diplomatic way without making an impression that in inquisitorial inquiries are being made. d. Address: Address obtained shall be complete i.e., Name, House No., Floor No., Street No. Village and Post office (VPO) Name of District, City, Town and Pin code are to be recorded in the AOF to avoid the benami or fictitious accounts. If the account holder has telephone either at place of business or residence it shall be recorded. Branches are advised to obtain any of the following documents to ascertain the address of the account holders. 1) Permanent Account Number (PAN) 2) Driving License 3) Identity Card issued by Election Commission 4) Identity Card issued by the employer 5) Ration Card 6) Passport by Regional Pass Port Office
  11. 11. 7) Copy of the Electricity Bill or Telephone Bill showing residence address 8) Any other documentary evidence in support of his address given in the declaration e. Specimen of Signature of all account holders must be taken in the presence of not only the bank official but also the introducer. f. Special instruction with regard to operation and disposal of account, if any, must be recorded in the account opening form. g. Whether the account holder would like to avail himself of nomination facility should be ascertained and indicated in the AOF Account holder should be advised to avail nomination facility. If it is declined by account holder, it should be got recorded in account opening form. NOMINATION IN RESPECT OF DEPOSIT ACCOUNTS Under the Banking Laws (Amendment) Act of 1983 and as per the Cooperative Banks (Nomination) Rules, 1985 which have come into force since 29.3.1985, nomination facilities to banks' customers are available in respect of all types of deposit accounts.  Nomination facility available for all types of deposit accounts Nomination facility is available for current, saving and all types of term deposit accounts.  Nomination can be given to a single person only: A depositor or depositors jointly can nominate one person only.  Nomination form DA-1 a) Nomination is to be made by depositor or all the depositors together as the case may be in Form DA-1 only. All the depositors have to sign on DA-1 form. The specimen of DA-1 form is attached as Annexure 1.7. However. DA-1 form is printed on Account Opening Form. b) The nomination made by the depositor should be entered in the Nomination Register' as explained in para 1.7.12.
  12. 12. Nomination can be made only in respect of accounts held in individual capacity Nomination can be made only in respect of accounts held in individual capacity. Accounts held in representative capacities like secretary of an association/society, trustee of a trust or Karta of HIF, cannot make nomination of such accounts. Nomination facility not available for sole proprietorship account Even though sole proprietorship accounts are treated for all practical purposes as an individual account, nomination facility is not extended to these accounts. Hence branches should not obtain nomination from the sole proprietorship account holders. PASS BOOK The pass book is a small handy book issued by a hanker to his customer to record all dealings between them. In fact, it is an authenticated copy of the customer's account in the account books of the bank. The purpose of issuing a pass book to the customer is to acquaint him periodically with the state of affairs of his account with the bank. The pass book also contains rules and regulations governing the saving account. Issuing of pass books and periodical statements For all operative accounts i.e., Saving Bank/Current Account/Recurring Deposits accounts. pass book is issued for the use of the account holder. At the time of opening the account, a pass book should be prepared by the ledger keeper. The name, occupation, address of the account holder and the account number allotted to the account with the type of account() or S, etc.) should be boldly written in the space provided, which should be checked and signed by the officer. The branch should get an acknowledgment from the party for loving received the pass book, in a pass book issue register maintained for that purpose. In respect of current account if the customer desires, instead of issuing pass hook, periodical statement of account (weekly,
  13. 13. fortnightly or monthly as desired by the customer) may be furnished. Procedures for making entries in the pass books The customers should be advised to present the pass books for updating at frequent intervals. e.g., for saving accounts at least once in a fortnight. Before entering in the pass book the ledger keeper should verify that he is coping the particulars of correct account. Entries in pass book should contain sufficient particulars Pass book should be written in a neat and legible manner and cuttings and overwriting should be avoided. The Credits/Debits in each page should be totalled and such totals should be carried over to the next page. No entry in a pass book should be initialled by an officer unless he has satisfied himself that all previous entries have been entered in the pass book and that the balance of the account in the pass book agrees with the balance in the ledger account. Issue of continuation passbook When the original pass book is fully used up, a continuation passbook should be issued to the account holder. The account number and all other details should be written in the continuation passbook. The fact that a continuation pass book has been issued should be written boldly on the ledger folio also. MINOR'S ACCOUNT Generally speaking, minor is a person who has not attained the age of 18 years. But if guardian is appointed by a court, before he attains age of 18, he continues to be minor till he 21 years. Minor account can be operated upon only by the guardian of the minor because the minor has no power to contract under the Indian Contract Act. Guardian of the minor
  14. 14. a) Natural Guardian i) Natural guardian of Hindu child under Hindu Majority and Guardianship Act 196 as under: 1) Father during his lifetime is a natural guardian. RBI has permitted mothers a natural guardian. See para 2.6.2 2) In the case of death of the father, mother is a natural guardian. 3) In case of minor married girl. husband, if major, is a guardian. ii) In case of Parsis and Christians: 1) Father is a natural guardian. 2) After the death of father, mother is a guardian. iji) In case of Muslim child under Mohammedan Law. father is the guardian of minor After the death of father, following persons are entitled, in order mentioned below to be guardian of minor. 1) the executor appointed by father's will. 2) the father's father. 3) the executor appointed by will of father's father. It must be noted that in no event can the mother act a natural guardian of Mohammedan child. b) Guardian appointed by court In the absence of any guardian as explained above guardian will be appointed by court.
  15. 15. RBI guidelines a) RBI has permitted the mother to operate upon the account of the minor even when the father is alive. b) RBI has allowed that minor of the age of 12 years and above can operate their account themselves provided they are literate and can sign the documents. c) Overdraft or loan against deposit accounts should never be allowed to minor's. Date of birth of minor a) Date of Birth of minor should be as disclosed by the guardian. No proof should be insisted upon. b) Date of Birth shall be recorded in account opening form as well as in the ledger. Minor's account to be operated in representative form and on behalf of the minor with the following certificate: "Amount sought to be withdrawn is for the use and benefit of the minor who is alive this day." Operation of account at the time of majority When the minor attains the age of majority, he only should be allowed to operate upon the account himself. Specimen signature of the minor should be verified by the guardian who was operating the account. In case of death of minor's guardian after the minor attains majority but before he is allowed to operate upon the account, specimen signature should be attested and verified by a respectable member of family or society. A fresh set of application should be obtained and kept along with original application. A notice may be served to the guardian advising the ceasation of his operation of account on attainment of majority of the minor. (Annexure 2.2).
  16. 16. Cheque book to minor No cheque book should be issued to minor. He has to come in person in the bank for withdrawals. Opening of minor's account in ledge An account in the name of minor should be opened in the ledger in the following form: Baljit Singh (Minor) by father as guardian Sh. Kesar Singh Baljinder Singh (Minor) by guardian appointed by court Sh. Kartara Singh Baldev Singh (Minor) by himself The date of birth of minor should also be recorded in the ledger. ILLITERATE PERSON While opening account of illiterate person following procedure is the opted Explain rules All rules of operation and maintenance of account should be explained to the person in the Janguage he understands Cheque book The literate customer should be advised to come to the bank personally to operate upon the account and cheque book should not be issued to such person in any case
  17. 17. Thumb impression Left hand thumb impression for male and right-hand thumb impression for female should be chained on the account opening form in the presence of officer of the bank. The manner of asking impression, should, however, such as not to amudge the line in the impression and the impression should be up to the ridge and the thumb should not he rolled. Photograph Two copies of the passport size photograph should be obtained. One copy should be pasted the pass book and other copy on the account opening form. These photos should be attested in such a way that half the signature of the attesting person is on the photo and half on the passbook specimen cand, so that these photos cannot be changed subsequently Mode of payment Payment to illiterate person should always be made on the withdrawal form. It is preferred that withdrawal form of illiterate person should be filled in by ledger clerk and passing officer must the oral confirmation from the customer regarding the amount before passing such Payment Mark on ledger and AOP As shall be marked as illiterate account both on the ledger as well as account opening
  18. 18. the account of illiterate person with literate Opening of count of illiterate person with literate person should only be allowed with joint operation
  20. 20. INTRODUCTION Saving Bank accounts, as the very name suggests, are intended for saving for the future. This is the most common type of account which caters to the needs of vast section of people in the society. These accounts promote savings habit of people. Balances in this type of account earn interest by the depositor. This account is a form of demand deposit account. The term "saving bank accounts" referred to in this chapter includes both the categories of savings accounts, viz... savings accounts with cheque book facility and savings accounts without cheque book facility. Instructions in this chapter are equally applicable to both these categories of savings accounts unless the context indicates to the contrary. WHO CAN OPEN SAVING BANK ACCOUNT Individuals Saving bank account can be opened by the followings i. Single person in his own name. ii. Two or more person's in their joint names to be operated in the following manner. a. Either or Survivor. b. Jointly/Jointly or Survivor c. Any one or Survivors or Survivor d. Former or survivor (For detail instructions for dealing with these accounts, please refer to Chapter 2 'Opening and operation of deposit account.) Minor account
  21. 21. Minor accounts in the bank can be opened and operated in two ways i.e., either operated by minor himself/herself or operated by the guardian of minor. Operations by minor himself RBI has permitted that a minor who is above the age of 12 and who can understand the operations of the account and is literate (school going) can open and operate saving bank account in his/her own name. Such account can also be opened by two minors jointly with joint operations only. No overdraft is allowed in this account. Minor account operated by guardian Bank can also open a saving bank account in the name of minor by his guardian either jointly with the minor or singly to be operated upon by the guardian. Guardian can either be a natural guardian or as appointed by the competent court. For further details on opening and operation of deposit account of minor please refer to Chapter 2 'Opening and operation of deposit account' under heading "Minor accounts". Opening of account in the name of illiterate/blind persons Illiterate and blind persons are permitted to open saving bank account. For details on opening of account in the name of Illiterate/Blind person please see Chapter 2 'Opening and operation of deposit account heading "Illiterate and Blind persons". Opening of account in name of Club, Societies, Association Club, societies, association, schools, colleges, religious and other charitable institution are permitted to open saving bank account
  22. 22. with the bank subject to eligibilities as per instructions of RBI issued from time to time. For further detail to open such account, please refer to Chapter 2, Opening and operation of deposit account. Opening of account in the name of H.U.F. Executor/Administrator Etc. HUF. Executor, Administrator, Joint Stock Companies can open saving bank account for special purpose only but for not conducting their usual business with the prior permission of head office. Payment of interest is subject to the directions of RBI issued from time to time. For detail instruction please refer to Chapter 2 'Opening and operation of deposit account. Institutions which are eligible to open saving bank account In terms of RBI directive, saving bank accounts opened in the name of any trading or business concern, whether such concern is a proprietary or a partnership firm, a company or an association, would not be eligible for any interest. The RBI, however, has exempted certain agencies/institutions from this prohibition on account of their activities aiming towards service of the weaker sections of society. Accordingly, the following institutions organizations are eligible for earning interest on their savings bank accounts on the usual terms Primary Cooperative Credit Societies. Small Farmer Development Agency (SEDA) iii. Marginal Farmer and Agri-Labor Agency (MFAL)
  23. 23. iv. Drought Prone Area Programme (DPAP) v. Agricultural Produce Market Committee vi. District Rural Development Agency (DRDA) vii. Fish Farmer Development Agency (FFDA) viii. District Development Authority (DDA) ix. Integrated Rural Development Programme (RDP) x. Integrated Tribal Development Agency (TDA) xi. Khadi and Village Industries Board (KVIB) xii. Societies registered under the Societies Registration Act 1860 or any other corresponding law in force in a state or a Union Territory xiii. institution other than those listed below under head "Institutions which are not eligible to saving bank account" and whose entire income is exempted from payment of Income Tax under the Income Tax Act 1961.
  24. 24. xiv. Companies under Companies Act 1956, which have been licensed by Central Government under Section 25 of the said Act, or under the corresponding provisions in the Indian Companies Act, 1913 and permitted not to add to their names word "Limited" or "Private Limited" xv. Any other institution permitted by the RII from time to time.
  26. 26. WITHDRAWAL Withdrawals through specific form of the bank Withdrawals from the saving bank account are permitted only by cheque/withdrawal form provided by the bank. Bank rules provide that total number of withdrawals from the account shall not exceed 60 per half year. If the number of withdrawal exceeds to this number, it is not that account holder should not be allowed to withdraw, but service charges as decided by the bank, should be charged to the account when payment of interest is made to the account half yearly. The service charges so collected shall be credited to commission charges. Payment both by withdrawal form and cheque count for the number of withdrawals. Posting and passing of withdrawal form/cheque The withdrawal form/cheque is posted into the personal ledger by the ledger keeper/clerk and is passed for payment by the passing officer. For details of posting in the ledger and passing by supervisory officer please refer to Chapter 10 "Payment of Cheque"
  28. 28. INTRODUCTORY Current account is a running account which may be operated upon any number of times during a working day. It caters to the needs of business people who make use of the cheque facilities extensively and also receive cheques in their favour. However, there is no restriction that only a business people can open the current accounts WHO CAN OPEN CURRENT ACCOUNT? Person in his own name i) Two or more persons in their joint names with operations as Either-or Survivor. Jointly/Jointly or Survivor, Anyone or Survivors or Survivor. ii) Cooperative Societies, Proprietary concern. Partnership firms, Limited Companies. Joint Stock Companies, Clubs, Religious institutions. Associations, Provident funds societies. Executors and Administrators, Govt. Semi government departments. Local Bodies. Note: Instruction given at the time of opening of joint account will strictly be followed up in operation of account. However, these instructions can be altered varied by all the account holder at any time during the operation of the account. WHO CANNOT OPEN CURRENT ACCOUNT? Minor
  29. 29. Current Account should not be permitted in the name of minor in general. But account opened in name of minor to be operated upon by natural guardian/guardian appointed by court may be allowed by the bank. But under no circumstances, over draft shall be allowed in such cases. Pardanashin Ladies Pardanashin lady is a woman who observe parda and keeps secluded from the general public as per the custom of their community. As the parda woman remains secluded is very 64.12 Statement of Account/Pass Book A statement of account passbook should be issued to the account holder periodically. If the account holder desires to get it earlier, it must be issued Computerized branches may hue the statement on last day of the month. Where passbook is issued it must be completed whenever it is presented in the bank. Frequency of statements Where transactions in the account are large, frequency of the statement to be sent may be fortnightly weekly as is convenient Preparation of statement of Account/Pass Book Statement of account/passbook is the true copy of the account as maintained in the personal ledger of the bank. In case passbook is issued, all debit and credit entries as well as balance should be legibly written in pass book. All details such as cheque should also be mentioned, however payee of the cheque need not be mentioned. Statement of account/pass book prepared by the ledger keeper must be tallied by the passing officer and he should sign it also. If the account is overdrawn, debit balance in the
  30. 30. account must be shown in red ink Summations debit/credit entries shall be made on the statement of account and balance must be tallied before it is issued to the customer. Duplicate Pass Book Request for issue of duplicate pass book/statement of account must be considered as explained under the head "Issue of Duplicate Pass Book" in Chapter 3-para 3.14.
  32. 32. JOINT ACCOUNTS Meaning Account opened in the name of two or more individuals are known as joint accounts. Account opening form For opening current account in the name of two or more persons, account opening form meant for individual should be obtained duly filled in and signed by all the joint account holders. The specimen signature of all the joint account holders should be obtained on specimen signature card.
  34. 34. INTRODUCTORY ACCOUNT HOLDERS Who are eligible to open term deposits All persons discussed in the Chapter 2 are eligible to open term deposit account with the bank Special points to be observed while opening and conducting of term deposits Special points to be observed while opening and conducting term deposits for the account holders are detailed below: Minor Single name of minor Minors alone of the age of 12 years and above can open term deposits in their own name to he operated by them. Discharge given by the minor to the bank on the repayment of deposit to him is a valid discharge. Even repayment of this deposit before the due date can be made. if the discharge of the minor is properly obtained. In the single name of minor represented by guardian Term deposit in the name of minor to be operated by guardian can be opened. If the payment of maturity amount is made to the guardian, it will be payment in due course. But proper undertaking that the proceeds will be used for the benefit of the minor must be obtained while making payment to the guardian. He is to receive payment for the use and benefit of the minor, such payments made by the bank to the guardian of minor cannot be challenged by the minor
  35. 35. neither during his minority nor after attaining majority for not being utilized for his benefit. b) Joint account with clause either or survivor/anyone or survivor(s) In case the term deposit is either or survivor/anyone or survivor of survivors, loan/foreclosure is entertained when all the joint account holder applies for it. In the event of death of one of the account holder, request shall come from all the surviving joint account holder(s) along with their legal heirs of the deceased. In order to remove such disability on the part of surviving joint account holder(s), the following enabling clause shall be included in the account opening form itself. "We agree that the clause repayable to either or survivor/anyone or survivors includes the right to the survivor(s) to apply before the date of maturity for repayment or for credit facilities against the security of the deposit." If the either-or survivor deposit account is to be renewed, renewal can be made only if all the depositors agree in writing. However, the branches may face practical difficulties in obtaining signatures from all the joint deposit holders for renewals.
  37. 37. ANNUAL RETURN (RULES 37, 37AA) An annual return of tax deducted at source from interest is to be submitted by the branches to the Assessing Officer under whose jurisdiction the branch/office is situated. The return will be subject to scrutiny by the Income Tax Department. They may call for the necessary details/books for this purpose. The following forms for filing annual returns are to be used: Particulars Form No. (Specimen enclosed) Annual Return Latest by 1. Annual Return (Where tax is deducted) 26A (Annexure 7.15) 30th June 2. Where interest is paid without deduction of tax at source after obtaining declaration in Form 15H/15AA 27A (Annexure 7.16) 30th April The above annual returns are to be furnished directly by the branches (i.e., they need not send the same to H.O. for onward transmission to Income Tax Office) to the concerned Income Tax Office within the time stipulated above.
  39. 39. INTRODUCTORY Recurring Deposit, commonly known as RD, is a unique term- deposit that is offered by Indian Banks. It is an investment tool which allows people to make regular deposits and earn decent returns on the investment. Due to the regular deposit factor and an interest component, it often provides flexibility and ease of investments to users/individuals. However, it is essential to know that RDs are different from Fixed Deposits/FDs. RDs are flexible in most aspects. An RD account holder can choose to invest a fixed amount each month while earning decent interest on the amount. RDs are an ideal saving- cum-investment instrument. Most major banks in India offer Recurring Deposit Accounts, with a term that often ranges between 6 months to 10 years, also providing individuals with the opportunity to choose a term according to their needs. However, the interest rate, once determined, does not change during the tenure; and on maturity, the individual will be paid a lumpsum amount which includes the regular investments as well as the interest earned. Features of a Recurring Deposit Account Recurring Deposit schemes aim at inculcating a regular habit of saving in people The minimum amount for deposits often varies from one bank to another. You could invest with an amount as small as Rs. 1000. The minimum period of deposit is six months, while the maximum period of a deposit is 10 years The rate of interest is equivalent to that offered for a Fixed Deposit. Therefore, the interest rates are higher than Savings Account.
  40. 40. Premature withdrawals are However, depending on the bank, they may allow you to close your account before the maturity period on certain conditions. A Recurring Deposit can be funded periodically through Standing Instructions that are usually instructions given by the customer to the bank, to credit the RD account every month from his/her Savings or Current Account.
  42. 42. 9.4 AMOUNT AND PERIOD OF DEPOSIT Amount of deposit A recurring deposit is accepted with a minimum monthly installment of Rs 100- and in multiples of Rs. 10/- thereafter. Period of deposit the minimum period of recurring deposit is 6 months and maximum period is 120 months with multiples of 3 months. Maturity value The maturity value (i.e., the amount payable at the end of the period of deposit, comprising the principal and interest accrued thereon) can be calculated from the Interest Charts supplied to the branches (Annexure 9.1). OPENING OF RECURRING DEPOSIT ACCOUNT Account opening form Account opening form available with the branches for this purposes should be used for opening the account. See Annexure 1.1 (a) and (b). All particulars such as name, parentage address, occupation, amount of monthly installment, period of deposits, as the case may be should be properly filled up in the columns provided for. Please refer to para 1.1 of Chapter 1 for detail Introduction of account Introduction is required in recurring deposit account. For detail, please refer to para 1.2 in Chapter 1. Photograph Photograph is obtained in recurring deposit account in certain cases. For detail, please refer to para 1.3 in Chapter 1.
  43. 43. Opening account in personal ledger When the account opening form is complete in all respect and proper introduction of the account is obtained as well as the 1st installment is deposited by the depositor, the ledger keeper should open the account in the account opening register (see para 3.1) and allot account number to the customer. Once the account number is allotted, he should open the account in the personal ledger (Annexure 9.2) of the customer. All particular i.e., Name Parentage, Address, Amount of Installment, Period of Deposits, Maturity value and rate of interest should be noted on the ledger folio. For other details please refer to Chapter "Maintenance of Deposit Accounts".
  45. 45. REMITTANCE OF INSTALMENT Date of instalment Instalments are to be deposited every month on or before the last working day of each month to which it relates. Instalment deposited in the calendar month to which it relates is treated as instalment paid in time. Suppose a recurring deposit account is opened on the 1st January. The next instalment is due in the month of February of that year. If it is deposited even up to 28 February, it is taken as paid in time. Thus, instalment when paid on any date from 1st of day of that month till last day of the month deemed as instalment deposited in time. Mode of remittance of instalment Instalment can be paid in cash, by cheque or by giving standing instructions to the Bank to transfer the monthly installments from the depositor's Saving Bank or Current Account or from the interest earned on Fixed Deposit. The depositor may issue instruction to the bank to transfer the monthly instalment out of his account. In such case it will be the duty of the bank to transfer the amount on due date. The customer would not be held liable for any fault for delay in transferring of money on the part of the Bank. However, if the customer does not maintain sufficient balance on due date, then he/she is liable for penalty. Remittance by cheque
  46. 46. Cheques drawn in favor of the depositor may also be accepted for credit to his/her recurring deposit account, but the credit to the account should be given only after realization.
  48. 48. INTRODUCTION Obligation of bank to honor cheques While opening an account of the customer, the banker takes a statutory obligation on itself to honor the cheques drawn by the customer on his account. The cheque issued by the customer on its banker is a written order to the bank to pay the amount from his account as per instructions of the cheque. Scrutinize the cheque presented for payment Before making the payment of the cheque the banker must scrutinize the cheque properly. This chapter deals with the points to be observed while scrutinizing the instruments/cheques. FORM OF CHEQUE Cheque must be drawn on the printed forms only supplied by the bank. The bank has right to refuse the payment of cheques drawn otherwise. In case of saving bank account withdrawal form is also used to withdraw money from the account. In some exceptional cases the bank may consider the request of the customer in written form too. Refusal of cheques containing extraneous matter Cheque should not contain any extraneous matter like 'towards premium on policy etc. The branches should refuse the payment of such cheques, Writing of cheque 1) Cheque should be written with non-delible ink. Ball point pen can also be used for writing of cheque. But customer may be
  49. 49. discouraged to issue typed cheque as these cheque are more prone to alteration. a) Cheque e can be written in two different languages. Such cheque can be paid provided it is in order otherwise. BRANCH DRAWN ON CHEQUE Cheque can be presented for payment only on the branch where the customer is maintaining the account. Only the branch which is maintaining account of the customer can make payment of the cheque. So, it should ensure that it is drawn on our branch DATE OF CHEQUE Date Date of the cheque is a material part of it. An undated cheque should not be paid as it does contain complete order of the drawer. A cheque presented for payment should not only be dated but must bear the proper date. For this purpose, following point should be consider a) Date of presentation: The cheque presented for payment may bear the date of presentation or a date prior to the date of presentation or a future date. The bank can safely pay the cheque which bear the date of presentation or a date prior to presentation but not prior to six months. Cheques bearing featured date will not be honoured b) Postdated cheque
  50. 50. A cheque which bears the date which is subsequent to the date of presentation is a post-dated cheque. For example, a cheque bearing date 21.11.2000 is called post dated cheque if it is presented for payment on 11.11.2000. Such cheque should not be paid before the date is bears. The order of the drawer is to pay the amount of the cheque on the date of cheque. So, any payment made by the bank before the date of the cheque is not authorised by the customer and bank cannot debit the account before that date. c) Stale or antedated cheque Antedated is the cheque which bears the date which is prior to date of presentation. If a cheque bears the date which is six months prior to the date of presentation, is called stale or out of date cheque. The banks do not make payment of cheque which are stale or out of date le cheque which is presented for payment after more than six month from the date of issue of the cheque. A cheque dated 1.1.2000 cannot be paid after 1.7.2000. So, bank should refuse payment of such cheque which is having date more than six months prior to the date of presentation. However, such cheques can be paid after revalidated by the drawer under his signature as in the record of the bank. PAYEE Writing of payee's name The name of the payee should be clearly and unambiguously written in the cheque Payment of cheque to the joint payees/any one of the payees A cheques drawn in favour of two or more persons (i.e., Shamash Chand and S6, Gian Chand) should be paid to them jointly. Where the cheque is in favour of alternative payees (i.e., Shamash Chand or Sh. Gian Chand) payment can be made to either anyone of them.
  51. 51. Fictitious name If an order cheque is made payable to a fictitious person i.e., Lord Krishna, or Lord Rama, it may be treated as payable to drawer. Such cheques should be paid to the drawer only when they are discharged by the drawer himself. Payment of cheques in favour of limited companies/trust account etc. No cheque drawn in favour of companies, trust, school, colleges etc. should be paid to the third party because it is the usual practice to credit the cheque to their account. Specific payee A cheque drawn 'pay to A only shall be paid to A only. The word only restricts the negotiability and transferability of the cheque. So, the bank should pay such cheque to the payee only. AMOUNT OF CHEQUE Amount written in words and figure differs Amount of the cheque has very great significance. Amount of cheque is written both in figures and words. Both the amount expressed in words and figure must tally otherwise the bank will refuse the payment of the cheque. Section 18 of Negotiable Instrument Act, 1881 states that if there is a discrepancy in the amount expressed in words and figures, the amount expressed in words should be taken as amount ordered to be paid.
  52. 52. CHAPTER 12: SCHEMES
  53. 53. Special Settlement Scheme-2006 Objectives: -  Opportunity to the borrower defaulters in ST Agri. loans and RCC loans.  Opportunity to the borrower defaulters for more than five years to clear.  Opportunity to clear Non-Performing Assets (NPA).  Reduction in cost and time for recovery.  Interest up to principal amount is to be reversed.  To encourage and assist genuine defaulters.  To facilitate mutually accepted reconciliation and settlement of dormant loan accounts.  To provide Buy Back facility for decreed property.  Members/Ex-employees involved in embezzlements.  Members whose land has been purchased.  Short term loans converted into medium term loan due to natural calamities. Duration & Eligibility: - Duration: The Special Settlement Scheme is valid from up to 30- 06-08. Eligibility: All overdue cases for more than five years in case of CCBS/PACS and six years in case of PADBS as on 31.01.2000 even if arbitration, awards have been obtained and execution of proceedings have been initiated. Operational Guidelines: - Preparation and submission of list of eligible borrowers to block and District Level Review Committees. Eligible borrowers or legal heirs (in case of death) can apply on prescribed form for the scheme. After review block level, Default Review Committees (BLRC) recommends to district Level Default Review Committee (DLRC)
  54. 54. After hearing the applicant DLRC recommends the case. DLRC recommends to Provisional Authority (RA) and copy to applicant. BLRC would meet on every 1st and 3rd Tuesday whereas DLRC would meet on 2nd and 4th Monday. RA after considering the recommendations of DLRC and facts, pass specific order of settlement amount and amount to be written off. RA should seek a proof of payment of settlement amount before passing final order. CCB/PSCB would debit the difference amount as per RA's order without further sanctions from RCS and also liquidate outstanding amount from records. The above procedure shall be followed for buy back facility of land purchased by the PACS/CCBS/PADBS, no relief of interest to the farmers under buy back facility. The above procedure shall be followed for embezzlement cases even after taking legal measures for cases older than six years. Relief: - DLRC, on merits, decide about the charging of simple interest from date of account turned bad, provided that: Amount reclaimed shall not be less than the principal amount plus 100% thereof. Amount received is principal amount plus 50% where the borrower has no asset or source of income. In case of buy back facility, the original owner shall pay the total outstanding amount.
  55. 55. Any other action initiated earlier under IPC shall continue unabated, also the proceedings under the scheme shall not be prejudiced to on longing legal proceedings. The amount of net loss to PACs/CCBs/PADBs shall be charged to reserve for Bad Doubtful Debts available with CCBs PADBs. There are no such reserves with PACs. Revolving Cash Credit In 1998, the cooperative banks launched a new scheme of revolving cash credit for the farmers. The scheme envisages to provide Cash credit limit to the farmers against the mortgage of their land for all credit requirements of the farmers. It aims at freeing them from the clutches of traditional money lenders. A cash credit limit of Rs. 1.00 lac per acre subject to the maximum of Rs. 6.00 lac is provided to the farmers for fulfilling their socio-economic liabilities. So far, Limits worth Rs 2192.03 crore has been sanctioned to 152207 farmers in the state since inception of the scheme. Key Observations Made by Experts: - The Revolving cash credit scheme has proved beneficial to the farmers its contribution has been multi directional. It has helped the farmers in the purchase of production inputs, farm investments, consumptions and social requirements and reduced their dependence on high interest loans. The recovery under the scheme has been excellent and more than 70% of the credit availed under the scheme has been spent for productive purposes, whereas remaining was provided for socio- economic needs. Nabard is providing refinance facility for the scheme. The scheme has covered medium, large farmers small and marginal farmers as well.
  56. 56. The rate of interest on credit facility under the scheme is also low. Revolving cash credit has supplemented inadequate availability of production credits besides creating provisions for consumption credit. Therefore, its role is complementary to the institutions credit available to farmers from different sources. Sehkari Bima Yojna The Cooperative Banks in Punjab are pioneers of starting the Sehkari Bima Yojna w.e.f. 01.06.1999 in the country. Under this scheme, every depositor who opens a Saving Bank Account with Rs.1000/- or more is provided Personal Accidental Insurance cover for Rs. 1 lakh, during the period he keep s the account with the bank, at a very nominal premium. The scheme has benefited the under privileged rural masses, particularly those who have no access to the insurance companies. Kisan Credit Card Scheme A new scheme namely ‘Kisan Credit Card Scheme’ has been implemented by the bank for the benefit of farmers. The Scheme improves upon existing scheme of Crop Loans by allowing the farmers flexibility and freedom of choice to avail and repay loans as per their requirements. Under the scheme, Total Limits worth Rs. 6116.28 crore have been sanctioned to 900230 KCC holders in the state. 1) Non-Farm Sector Loan With a view to diversify and benefit the small industrialists & businessman, the cooperative bank has started non-farm sector loan depending upon the requirements of the projects. These loans are given to the rural youth for self-employment. The Central Cooperative Banks have advanced Rs.4950.81 lacs from 1-4-2007 to 31-3-2008 to 8013 beneficiaries. During 2008-09, Rs. 4232.21 Lacs have been disbursed under this scheme. During 2009-10 (up to Aug), a sum of Rs. 15.17 crore have been advanced.
  57. 57. 2) Cash Credit to Traders & Businessmen With a view to provide the cash credit facility to traders and others for meeting the working capital requirements of the business, a cash credit limit up to Rs.25.00 Lacs can be sanctioned to small businessman and traders depending upon their business turnover on easy terms at a normal rate of interest. During the year 2007- 08, the central cooperative banks have sanctioned Rs.29091.28 lacs under the scheme up to March 2009, limits worth Rs. 30649.64 lacs have been sanctioned under this scheme since inception. During 2009-10 (up to Aug), total limits worth Rs 314.35 crore have been sanctions. 3) Personal Loan A specially designed personal loan scheme has been framed which aims at providing credit facility for meeting out social needs of employees, such as children education, furnishing home, buying a computer, sons/ daughter marriage, holiday tour with family or any other basic requirement without giving any purpose for the loan. Under the scheme, every govt / semi govt employees is provided loan up to Rs.2.00 Lac repayable in 5 years in easy monthly installment. During the year 2007-08, the Central Coop.Banks have advanced Rs.12164.46 Lacs under the scheme. During 2008- 09, Rs.13389.00 Lac have been disbursed in the state. During 2009-10 (up to Aug), a sum of Rs. 4643.05 lac have been advanced. 4) Consumer Durable Loan With a view to provide credit facility to their customers, the cooperative banks have introduced a scheme of loan for purchase of consumer durable. Under the scheme, every employee is provided loan up to Rs.1.00 lac and non-salary person is provided loan up to Rs. 1,00,000 repayable in 5 years in easy monthly installments. The loan can be utilized for purchase of T.V.,
  58. 58. refrigerator, scooter, furniture etc. A significant section of the salary class has benefited from the scheme. During the year 2007- 08, the Central Coop. Banks have advanced Rs.7695.31 lacs under the scheme. During 2008-09, Rs. 7150.00 Lacs have been disbursed under this scheme. During 2009-10 (up to Aug), a sum of Rs. 27.93 crore have been advanced. 5) Urban Housing Loan Scheme With a view to provide the housing loan to individual and members of house building society the Bank can advance a loan up to Rs.25.00 Lacs for the purchase of plot, purchase of built-up house, construction of house, repair, addition, alteration etc. in the existing house. Loan shall also be given for acquiring a plot, flat, house in an existing cooperative house building society and approved scheme of PUDA, HOUSEFED, Improvement Trust or any other govt. agency. During the year 2007-08, the Central Coop.Banks have advanced Rs.3961.62 Lacs under the scheme. During 2008-09, Rs. 3674.63 Lacs have been disbursed under this scheme. During 2009-10 (up to Aug), a sum of Rs. 1347.76 lac have been advanced. 6) Rural Housing Loan Scheme With a view to provide housing facility to the masses which is a basic need of human need the Central Coop. Banks has designed a scheme particularly for rural people, where other financial institutions are reluctant to advance. Under the scheme, maximum loan up to Rs.15.00 Lacs can be advanced for purchase of built-up house, construction of a new house or repair/ renovation / addition/ alteration of existing house in rural areas. During the year 2007-08, the Central Coop. Banks have advanced Rs.5959.08 Lacs under the scheme. During 2008-09, Rs. 5157.48 lac have been disbursed under this scheme. During 2009-10 (up to Aug), a sum of Rs. 21.11 crore have been advanced.
  59. 59. 7) Mini Dairy Loan Scheme The Central Coop.Banks through its branches are extending loan facility to the farmers for dairy development/ mini dairy for purchasing 25 milch cattle. Under the scheme, a maximum loan up to 5 Lacs can be advanced with a ceiling of Rs.25000 for each animal. During 2007-08 Rs. 275.54 Lacs have disbursed by CCBs in the state. During 2008-09, Rs. 285.27 Lacs have since been disbursed. During 2009-10 (up to Aug), a sum of Rs. 84.04 lac have been advanced. 8) Vehicle Loan Scheme With a view to provide the vehicle loan to individuals, firms, HUF, companies, trust and cooperative societies etc. a financial assistance up to Rs.10 Lacs is provided for the purchase of new vehicle. During the year 2007-08, the Central Coop. Banks have advanced Rs.6128.29 under the scheme. During 2008-09, Rs. 8408.00 Lacs have been disbursed under this scheme. During 2009-10 (up to Aug), a sum of Rs. 31.27 crore have been disbursed. 9) Two-Wheeler Loan to farmers Under the scheme the bank can grant loan to the farmers for purchase of two-wheeler up to Rs.50000/-. During the year 2007- 08, the Central Coop.Banks have advanced Rs.3962.62 Lacs under the scheme. Similarly, during 2008-09, Rs. 3442.00 Lac have been disbursed under this scheme. During 2009-10 (up to Aug), a sum of Rs. 12.61 crore have been disbursed. 10) Second hand vehicle loan scheme
  60. 60. In the modern era there is a heavy demand of second-hand vehicles and the banks have surplus loan-able funds to diversify the loan portfolio and to provide financial assistance to the borrowers for purchase of second-hand vehicle, this scheme has been devised. Under the scheme loan up to Rs 5 Lacs can be sanctioned for purchase of second-hand vehicle. 11) Education loan scheme With a view to provide the education facility to the children of the employees a loan up to Rs. 10 Lacs can be sanctioned under the scheme. During the year 2007-08, the Central Coop.Banks have advanced Rs.234.73 Lacs under the scheme. Similarly, during 2008-09, Rs.426.43 Lac have been provided under this scheme. During 2009-10 (up to Aug), a sum of Rs. 173.47 lac have been advanced. New schemes launched by the Bank 1) Loan against property The scheme is for providing finance against mortgage of immoveable property & is designed to offer instant solutions relating to socio economic and business needs such as children higher education travel / daughter marriage, medical emergencies etc. Under the scheme maximum loan up to Rs.25 Lacs can be advanced. During 2007-08, CCBs have disbursed Rs. 325.14 Lacs in the state. During 2008-09, Rs.1768.12 Lac have been disbursed. During 2009-10 (up to Aug), a sum of Rs. 723.65 lac have been advanced. 2) Loan scheme for earnest money In order to meet the requirements of the public the bank has launched a loan scheme known as Loan scheme for earnest money
  61. 61. to meet the financial requirements towards the earnest money deposit to book residential plot/ built up house, flats being sold by govt. housing agency, urban development authority like; PUDA, HUDA and Housing Board etc. 3) Loan against rental income scheme For meeting business/ personal needs a new scheme for property owners having their property situated it the area of operation of the bank and who have let out or proposal to let out such property to PSUs, reputed govt/ semi govt/ corporates, banks, financial institutions, cooperative societies, insurance companies etc. is launched. The minimum amount under the scheme is Rs.1 lac, there is no upper limit but it must be within prudential exposure norms. During 2008-09, Rs.90.54 Lac have been sanctioned under this scheme. During 2009-10 (up to Aug), a sum of Rs. 14.63 lac have been advanced. 4) Commercial Dairy Development scheme To increase the income of milk producers by helping them to purchase high yielding milch cattle and to purchase necessary equipment’s for the purpose, a new scheme known as commercial dairy development scheme has been launched for the central cooperative banks. Under the scheme the bank can provide maximum loan up to Rs. 25 Lacs. During 2007-08, CCBs have disbursed Rs. 21.64 Lacs in the state. During 2008-09, Rs.71.49 Lacs have since been disbursed. During 2009-10 (up to Aug), a sum of Rs. 21.36 lac have been advanced. 5) Dairy Loan Scheme for purchase of a cow Under the scheme a member of the Milk Producers Society can be advanced up to Rs.0.50 Lacs for the purchase of a cow. During
  62. 62. 2007-08, CCBs have disbursed Rs. 27.84 Lacs in the state. During the year 2008-09, Rs. 255.00 Lac have since been disbursed by CCBS in the state. During 2009-10 (up to Aug), a sum of Rs. 48.97 lac have been advanced.
  64. 64. INTRODUCTORY Death of account holder-Contract is risked Upon the death of an account bolder, the authority given by him to the harkway either drawn by him or his agent stands revoked. Mandates and Power of Any third party to operate upon the account is automatically terminated on the holder. So, all cheques signed by the account holder or his agent shall with the remarks "Depositor Deceased." Noting of notice of death in ledger As soon as the bank gets the notice of death of the account holder, the fact he both on the account opening form as well as the personal ledger of the deposit is red mentioning the date and source of information. Notice of death of the comm holder newspaper, a report from reliable sources: production of death certificate, notice to the bank about the death of the account holder. If an oral information is about the death of the customer the Branch Manager shall confirm this information from reliable sources before acting upon it. Payment made after the death of customer but earlier to the receipt of death All payments made out of the account after the death of the customer hut before the rig an information of the death are valid payments in due course. Ascertainment of legal representative
  65. 65. According to 'will' or 'personal law Upon the death of the customer the balance in the account shall be paid only to the legal representatives of the deceased. In no case payment is to be made to any other person. The question of legal representative(s) of the deceased depends upon whether the deceased had during his life time, recorded his wishes stating as to who should take his assets in the event of his death. If the deceased had executed a valid will, the assets of the deceased in the hands of the bank will be paid/delivered in accordance with the provisions of the will. On the other hand, if the deceased constituent had not made any will, legal representative(s) will be ascertained on the basis of the personal law applicable to the deceased. Each religious group DOCUMENTS REQUIRED IN SETTLEMENT OF CLAIM UNDER NOMINATION FACILITY The following documents are to be obtained for settlement of claim of deceased accounts in which nomination has been made: i) Claim form duly filled in by claimant (Annexure 11.10) ii) Affidavit from the nominee duly attested by the Notary Public/Magistrate (Annexure 11.11) iii) Indemnity bond from nominee and the sureties indemnifying the bank. iv) Death certificate in usual form. PERIOD OF PRESERVATION OF RECORDS RULES, 1998 the Co-operative Banks (Period of Preservation of Records) Rules, 1998
  66. 66. The Co-operative Banks (Period of Preservation of Records) Rules, 1998 1. Short title and commencement. — (1) These rules may be called the Co-operative Banks (Period of Preservation of Records) Rules, 1985. (2) They shall come into force on the date of their publication in the Official Gazette. 2. Every Co-operative Bank shall preserve, in good order, its books, accounts and other documents mentioned below, relating to a period of not less than five years immediately preceding the current calendar year. Ledgers and Registers: (1) Cheque Book Registers (2) Delivery Liability Registers (3) Demand Liability Registers (4) Demand Remittances Dispatched Registers (5) Demand Remittances Received Registers (6) Vault Registers Records other than Registers: (1) Telegraphic Transfer Confirmations (2) Telegrams and Telegram Confirmations 3. Every Co-operative Bank shall preserve, in good order, its books, accounts and other documents mentioned below, relating to a period of not less than eight years immediately preceding the current calendar year. Ledgers and Registers: (1) All personal ledgers
  67. 67. (2) Loans and Advance Registers or Ledgers (3) Call, Short or Fixed Deposit Registers or Ledgers (4) F.D. Interest Registers (5) Draft, T.T. and Mail Transfer Registers (6) Remittance Registers (7) Bills Registers (8) Clearing Registers (9) Demand Loan Liability Registers (10) Draft and Mail Transfer Advices Dispatched Registers (11) Draft and Mail Transfer Advices Received Registers (12) Draft Payable Registers (13) Drawing Power Registers (14) Stock Registers of Goods Pledged (15) Stock and Share Registers (16) Government Securities Registers or Ledgers (17) Registers Showing Collection of Dividends and Interest on Securities on behalf of Constituents. (18) Registers or Ledgers of Bank’s own Investments (19) Branch Ledgers (20) Overdrafts and Loan Registers (21) Safe Custody Registers (22) Equitable Mortgage Registers (23) Trust Registers
  68. 68. (24) Clean Cash Books Records other than Registers: (1) Bank Cash Scrolls (2) Bank Transfer Scrolls (3) Remittance Schedules (4) Paid Cheques (5) Paying in slips (6) Vouchers relating to DDs, TTs, MTs, Fixed Deposits, Call Deposits, cash credits and other deposit and loan accounts including vouchers relating to payment to nominees (7) Account opening forms, inventories prepared in respect of articles in safe custody and safety locker and nomination forms (8) Standing Instructions regarding Current Accounts (9) Applications for TTs, DDs, MTs and other Remittances (10) Applications for Overdraft, Loans and Advances (11) Press-copy books.
  69. 69. CONCLUSION In this project report the summary of the whole project has been covered how the whole project was carried out and the analysis was made. This project is based on the "Comparative study of home loans provided by different banks". This topic covers the objective of studying the customer satisfaction level and comparative study of disbursement of home loans. The Housing Loan is a loan taken by a borrower from the bank issued against the property/security intended to be bought on the part by the borrower giving the banker a conditional ownership over the property. There are some advantages and disadvantage of availing bank loans. In this project study, first of all objectives were received to carry out this project. To study the topic under research the secondary data was collected. Such banks are emerging at higher position due to that public sector banks on ground of professionally managed services, reliable & transparent system, easy query handling etc. The problem faced by customers while availing home loans also reviled by this project. Finally the whole research was carried out in a systematic way to reach at exact results. The whole research and findings were based on the objectives. However, the study had some limitations also such as lack of time, lack of data, non-response, reluctant attitude and illiteracy of respondents, which posed problems in carrying out the research. But proper attention was made to carry out research in proper way which may beneficial for banks to enhance their customer base.
  70. 70. Bibliography www.google.com https://www.punjabcooperation.gov.in/html/pscb_history1.html