A PROJECT REPORT ON

A STUDY ON CREDIT MANAGEMENT IN THE BANKING

SECTOR
SUBMITTED
TO THE UNIVERSITY OF MUMBAI
AS A PARTIAL REQUIREMENT FOR COMPLETING THE DEGREE
OF
B.COM (BANKING AND INSURANCE) SEMESTER V
SUBMITTED BY:
KONAR KAVITHA
ROLL NO.: 27

UNDER THE GUIDANCE OF

MS. SUGANDHI GUPTA

SIES COLLEGE OF COMMERCE AND ECONOMICS,

PLOT NO. 71/72, SION MATUNGA ESTATE
T.V. CHIDAMBARAM MARG,
SION (EAST), MUMBAI 400022.

CERTIFICATE
This is to certify that ___________________________________
__________________________________________________________
Of B.Com (Banking and Insurance) Semester V (academic year
2016-2017) has successfully completed the project on
______________________________________________________under the
Guidance of Ms. __________________________________________.

_________________
(Project Guide)

___________________
(External Examiner)

Place: _____________
Date: ___________

___________________
(Course Co-ordinator)

___________________
(Principal)

DECLARATION

I, __________________________________________________
Student of B.Com (Banking and Insurance) Semester V academic
Year 2016-2017 hereby declare that, I have completed the project on
______________________________________________________________.
The information presented in this project is true and original
to the best of my knowledge.

___________________
KONAR KAVITHA
Roll No.: 27

Place: _____________
Date:_____________

ACKNOWLEDGEMENT
I would like to thank the University of Mumbai, for introducing
Banking and Insurance course, thereby giving its students a
platform to abreast with changing business scenario, with the help
of theory as a base and practical as a solution.
I wish to express my gratitude to my guide Mr.Nitin Nitesham
Senior Branch Manager of Central Bank of India who gave me an
opportunity to take their interview and provide other information
and help.
I am indebted to the reviewer of the project Ms.Sugandhi
Gupta my project guide and Mrs. Shailshri Uchil our course coordinator for her support and guidance. I would sincerely like to
thank her for all her efforts.
I would also like to thank our Principal Dr.Kinnarry Thakkar
for her constant support to the students.
Last but not the least; I would like to thank my parents for
giving the best education and for their support and contribution
without which this project would not have been possible.

______________________
KONAR KAVITHA
ROLL NO.27

INDEX

SR.NO

TOPIC

PG.NO

CHAPTER 1.INTRODUCTION

INTRODUCTION OF CREDIT MANAGEMENT IN THE

BANKING SECTOR

OVER VIEW OF LENDING AND DEPOSITS OF BANK

7CS OF CREDIT ANALYSIS

PRINCIPLES OF CREDIT MANAGEMENT

CREDIT POLICY IN BANKS

CREDIT CYCLE

TYPES OF CREDIT FACILITY

TYPES OF BORROWER

CREDIT EVALUATION-WORKING CAPITAL FINANCE

CREDIT EVALUATION- TERM LOAN

CREDIT APPRAISAL

RECOVERY MANAGEMENT

1
2
6
8
10
12
15
17
19
22
25
28

CHAPTER 2. RESEARCH & METHODOLOGY

OBJECTIVES OF THE STUDY

LIMITATION OF THE STUDY
STATEMENT OF THE PROBLEM

33
34
34

CHAPTER 3. ORGANIZATIONAL PROFILE

PROFILE ABOUT CENTRAL BANK OF INDIA

35

CHAPTER 4. INTERVIEW AND FINDINGS

PERSONAL INTERVIEW
FINDINGS

CHAPTER 5. RECOMMENDATION AND CONCLUSION

RECOMMENDATION
CONCLUSION
BIBLIOGRAPHY

37
39

40
41
42