A study on HOME LOANS with respect of STATE BANK OF INDIA Main Branch, Bellary.

A PROJCT REPORT SUBMITTED TO GULBARGA UNIVERSITY IN PARTIAL FULFULLMENT OF THE REQUIREMENT FOR THE AWARD OF BACHELOR OF BUSINESS MANAGEMENT GULBARGA UNIVERSITY GULBARGA

GULBARGA Submitted By: Miss.Rangamma.G REG.NO 0958905 Batch no. 2010-2011

UNIVERSITY

PROJECT GUIDE: Mr.R.H.GURUPRASAD BABU M.B.A, M.Phil S.G.T.COLLEGE, BELLARY

Department of Business Management

SREE GURU THIPPERUDA COLLEGE

BELLARY-583103

DECLARATION

I hereby declare that this project entitled HOME LOANS IN

SBI, MAIN BRANCH, Bellary. Is a record of independent

research work carried by me under the guidance of Mr.GuruPrasad Babu.M.B.A, M.Phil.

I further declare the findings in the project report are based on the independent study done by me and this project has not formed the basis for the award of any degree of any other university.

Place: Date:
Miss.Rangamma. G

ACKNOWLEDGEMENT
I take this opportunity to thank S.G.T. College, Bellary for giving me an opportunity to pursue my BBM studies. I thank Sri. S.N.Rudrappa CA Honorable Chairman, Sree Thipperudra Education Trust, Bellary for providing me an opportunity to carryout the project. I thankful to Mr.K.Ram Kiran MBA, Honorable Principal Sree Guru Thipperudra College, Bellary I convey my whole hearted thanks to Sri H.R.Bala Nagraj MBA, LLB (spl), Head of the Department for the opportunity and support. I am extremely thankful to internal guide Mr.R.H.

GuruPrasad Babu.M.B.A, M.Phil. for providing me excellent

guidance during the course of my project work. I am extremely thankful to external guide Mr.Srinivas Rao for providing me excellent guidance during the course of my project work. I am thankful to all the respondents who provided me with valuable information during my survey.

Date: Place:

Certificate
This is to certify that Miss.RANGAMMA.G has completed project work entitled HOME LOANS in State bank of India, Main Branch, Bellary as a partial requirement for the award of BBM.

This project was undergone for the period of 30 days and a copy of project report has been submitted to the institution.

H.R. BALA NAGARAJ, MBA, LLB (Spl) HEAD OF THE DEPARTMENT S.G.T COLLEGE, BELLARY

CERTIFICATE
This is to certify that the Ms. Rangamma. G. Student Bachelor of Business Management of this college has prepared her project report entitled HOME LOANS IN STATE BANK OF INDIA, MAIN BRANCH, BELLARY. Under my guidance is partial fulfillment of the requirement for the award of Bachelors Degree in Business Management of Gulbarga University, Gulbarga.

Place: Bellary Date:

Mr. R.H.Guruprasad Babu. M.B.A, M.Phil PROJECT GUIDE SGT College, Bellary.

EXCUTIVE SUMMARY

Purchasing and moving into a dream house would generally rank among the top three things on the wish list of most people.

Finance is referred as the provision of money at a time when it is require. Every enterprise needs finance to carry on its operations and achieve its targets. Finance is so indispensable, therefore it is defined as life blood of an enterprise without adequate finance no enterprise thinks of its existence.

The study entitled Home Loan is aimed at knowing the concept of Home Loan to learn the important features like eligibility, documentations, disbursement, interest rater, EMI etc.

A few decades ago finding a bank for financing Home Loan was not so easy. But now taking a home loan has become very simpler.

Earlier the Home Loan sector in India was solely dependent on nationalized and public sector banks, but the entry of public sector banks into the Home finance business marked the beginning of the first round of interest rates cuts. And this reduction in interest rates has enhanced the borrowing power of customers. Moreover, HFCs are offering incentives to attract investors

like, without taking pre-requisite for eligibility, free insurance, low interest rates and waving of processing fees etc.

SBI Home Loan is one of the most simple and customer friendly Home Loan across India. The Home Loan offers many facilities to the customer that help them materialize their dream Home plans better. The SBI Home Loan comes with attractive packages and exclusive benefits.

The bank offers some unique SBI Home Loan facilities like free personal accidental insurance cover and optional group insurance form SBU Life. The SBI Home Loan offers you the facility to club your income with the income of your spouse and children to get the maximum loan amount. You can also club the expected accountable rent from the mortgaged property to get the correct loan amount. There are special facilities for the teachers, government employees and for the employees of public sector oil companies. Attractive EMI facilities and application of interest in the daily diminishing balance basis make the SBI Home Loan more desirable.

Housing Loan in SBI, Bellary.

HOME LOAN IN SBI

Introduction
Owing a piece of land or property is a lifetime dream for every individual. There are many Home Loans provider in the market to make your dream come true. But before opt for any home loan provider, need to consider certain factors related to property that interested in buying and also about the salient and also study some home loans in applying a home loan in India. Purchasing and moving into a dream home would generally rank among the top three things on the wish list of most people. A few decades ago finding a bank for financing Home Loan was not so easy. But now taking Home Loan has become very simpler. The RBI has been regularly stashing interest rates, with the result that Home finance loans that came at an interest rate of 16.5% to 18% four years ago are now available at 11.5% to 13% or lower. Each year the finance ministers generosity during the budget seems to be slowly concentrated for the Home sector and construction sector. In their quest for attracting more and more customer for Home Loans most of the banks have sanctioned loans without taking applicants capacity to repay loan into consideration. The result: banks have to initiate legal process under securitization act. To avoiding legal complication a few private banks have embarked on to create awareness among the prospective application for Housing Loans.

Housing Loan in SBI, Bellary.

HOME LOAN IN SBI

Introduction
Owing a piece of land or property is a lifetime dream for every individual. There are many Home Loans provider in the market to make your dream come true. But before opt for any home loan provider, need to consider certain factors related to property that interested in buying and also about the salient and also study some home loans in applying a home loan in India. Purchasing and moving into a dream home would generally rank among the top three things on the wish list of most people. A few decades ago finding a bank for financing Home Loan was not so easy. But now taking Home Loan has become very simpler. The RBI has been regularly stashing interest rates, with the result that Home finance loans that came at an interest rate of 16.5% to 18% four years ago are now available at 11.5% to 13% or lower. Each year the finance ministers generosity during the budget seems to be slowly concentrated for the Home sector and construction sector. In their quest for attracting more and more customer for Home Loans most of the banks have sanctioned loans without taking applicants capacity to repay loan into consideration. The result: banks have to initiate legal process under securitization act. To avoiding legal complication a few private banks have embarked on to create awareness among the prospective application for Housing Loans.

Table of contents:
Page no. CHAPTER-1: INTRODUCTION...................................................................... TITLE OF THE STUDY OBJECTIVES OF THE STUDY METHODOLOGY. LIMITATIONS.. 1 2 2 3 3

CHAPTER-2:
PROFILE OF REGION UNDER STUDY INDUSTRY PROFILE.. COMPANY PROFILE.. 4-8 9-12 13-21

CHAPTER-3:
CONCEPTUAL FRAMEWORK OF HOUSING LOA.. RBI NORMS TOWARDS HOUSING LOAN .. 22-35 36-43

CHAPTER-4:

CREDIT APPRAISAL 44-45 HOUSING LOAN PRACTCIES IN SBI 46-73

CHAPTER-5:
DATA ANALYSIS AND INTERPRATION.. 74-79 CHATER-6: FINDINGS 80-81 SUGGESIONS. 82 CONCLUSION 83 BIBLIOGRAPHY

CHAPTER-1 INTRODUCTION TITLE OF THE STUDY OBJECTIVES OF THE STUDY METHODOLOGY LIMITATIONS

CHAPTER 2 PROFILE OF REGION UNDER STUDY INDUSTRY PROFILE COMPANY PROFILE

CHAPTER-3

CONCEPTUAL FRAMEWORK OF HOME LOANS RBI NORMS TOWARDS HOUSING LOANS

CHAPTER-4

CREDIT APPRAISAL OF HOME LOAN

HOME LOAN PRACTICES IN SBI

CHAPTER-5 DATA ANALYSIS AND INTERPRETATION

CHAPTER-6: FINDINGS SUGGESIONS CANCLUSION