TIPS FOR PERSONAL SEGMENT LOANS If not designated as F.O, get yourself designated for the post. 1.

Ensure KYC Compliance by obtaining: 2 Latest passport size photographs. Id proof i.e. D/ License/ Pan Card/ passport/any authorized identity card. Residence proof & verify all the documents with originals...

Income proofs. Regular salary certificate for the last three months to avoid fabrication. Income tax returns for the last 2-3 years scrutinize on the I/tax dept stamp & diary receipt number. Form -16, if government employee.

3. Quotations. Only original quotations accepted(verifiable) 4. Pre- sanction survey.

from

authorized

dealer/agency

to

be

Must Visit the house /workplace of the customer& mention the name of his right & left neighbors in the pre sanction survey report. Obtain his mobile & land line phone number if available. Discuss the loan proposal. Make a roadmap of the location mentioning H.N, sector, Mohalla, lane, gali,& landmark i.e. any temple, school, big shop, pond etc near to his house or place of work & record your observations at above points ,while recommending for sanction. If income tax returns are submitted for the previous years in this year, make it a point to verify these from ITO office and narrate it in the pre sanction survey report. Discuss the TIR with the advocate and must identify the property on the spot and mention it in the pre sanction report. Pre sanction survey report example: sh.xyz s/o sh.abc r/o has approached us for a loan of Rs. For. He is a permanent employee of . & his designation is../ he is the prop/partner of M/s.. Pre sanction survey was conducted on.along with (if any) and visited his house/factory/shop/proposed property. He is enjoying good respect in the area & his creditability is beyond doubt as per market reports. His financial credential is acceptable as per banks lending norms. Keeping in view of his credit needs and eligibility underscheme. I recommend a term loan for Rs. (Rs) repayable in months by PDCs/CHECKOFF/SI system/ on demand.

5. Documentations Ensure that appropriate documents format is used. Appropriate value stamp papers are used. No cuttings or alterations are made in the documents, if there is any; it should be duly authenticated by the maker. Revenue records must be scruitinised, Title deeds must be verified through the banks lawyer. EM should be created at the earliest followed by dispatch of annex A OR B by the borrower, as the case may be. In case of HL, ensure to get the lien noted in the revenue records of municipal council / development authorities etc. it can be done after paying a nominal fee.

6. DISBURSEMENT Must Open a SB/CA of the customer & deposit the margin money in it. Issue draft/ bankers cheque favoring the supplier & send it by regd. Post or deliver it to the authorized person of the supplier against the receipt. Ensure that Hyp/pledged to SBI clause must be written on the bills/invoices. 7. Post sanction/Disbursement: Ensure end use of funds by immediately inspecting the assets purchased out of banks funds and proper remarks must be entered in the inspection register. Regular stipulated inspections must be conducted & recorded in the inspection register. In car loans for standard assets accounts, periodical inspections are waived after initial inspection after disbursement. However if there is a default of two installments, inspection is required (HY inspections are required in NPA accounts) vide Master circular No: NBG/PBU/AL/CAR LOAN/26/2010-11 DT 29.01.2011. In Housing loans for standard assets accounts, inspections are required after every disbursement during construction thereafter once in a three year. However if there is a default of two installments, inspection is required immediately. (HY inspections are required in NPA accounts) vide Master circular No: NBG/PBU/AL/HOME LOAN/45/2010-11 DT 24.01.2011.

Adverse features and irregularities may be advised to the higher authorities/controllers immediately and steps to be initiated for regularizing the position under advice to controllers.

PDCs obtained must be presented for payments and if remain unpaid, action under section 138 of N I Act 1881, must be initiated immediately.

For government employees, irregularity must be intimated to the HOD/DDO immediately.

For the vehicle loans RC with banks charge noted therein must be obtained.

8. INSURANCE Insurance wherever applicable must be obtained with banks hypothecation clause with renewal annually. 9.CONTROL REPORT/ IRREGULARITY REPORT Send the control report to higher authorities/controllers. Send a irregularity report as and when the account becomes SMA (IRAC RATING -2) . Start rigorous efforts to regularize the account. Telephone the borrower and discuss the irregularity ,make a entry about this call in the inspection register. 9. MISC . Never recommend under pressure. Get yourself satisfied & satisfy the sanctioning authority. Never act in haste. Never become over ambitious. Keep all type of allurement away. Honesty is the best policy.

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