INTRODUCTION TO THE STUDY:The main aim of the study conducted at South Indian Bank on credit appraisal of term loans was to get an idea on the various procedures followed by the banks for the sanctioning of the Term loans. The study was also aimed to know about the various criteria of the banks in order to assess the Term loan finance of the applicants who approach the banks.
Credit appraisal means an investigation/assessment done by the bank prior before providing any loans & advances/project finance & also checks the commercial, financial & technical viability of the project proposed its funding pattern & further checks the primary & collateral security cover available for recovery of such funds.
To study “The Credit Appraisal of Term Advances/Loans ” at South Indian Bank (SIB),
To study the Credit Appraisal Methods in Term Advancing.
To understand the commercial, financial & technical viability of the project proposed & it’s funding pattern.
To understand the pattern for primary & collateral security cover availa ble for recovery of such funds.
Analytical in nature
Informal interviews with Branch Manager and other sta ff members at SIB bank.
E- circulars of SIB
Personal studying of various Files and Reports on Term Loans at SIB, Regional office.
Books and magazines
Database at SIB
Internal reports of the banks
Expected contrib ution of the study:
This study will help in understanding the credit appraisal system at SIB & to understand how to reduce various risk parameters, which are broadly categorized into financial risk, business risk, industrial risk & management risk associated in providing any loans or advances or project finance. Beneficiaries:
This report will help the researcher in improving