Project Cooperative Bank
Project Cooperative Bank
Project Cooperative Bank
by
KALAIVANI.K
17UMAT136
DEPARTMENT OF MATHEMATICS
MAY 2019
1
DEPARTMENT OF MATHEMATICS
Certificate
KALAIVANI.K
17UMAT136
2
DECLARATION
3
ACKNOWLEDGEMENT
At first, I say my heartfelt thanks to the Almighty for the abundant blessings showered
on me and for giving a chance to reach here.
We are also bound to give our sincere thanks to our Dr. A. V. ARUNAKUMARI,
M.Com., M.Phil., NET., PGDHRM., M.B.A., Ph.D., Principal of Theivanai Ammal
College for Women, Villupuram for giving encouragement to carry out this report.
I want to thank Mr.Sridhar, Senior Manager, and all the employees of The Cuddalore
District Central Operative Bank for their co-operation in successfully completion of the
project work on C.D.C.B(Panruti).
At the outset, I extend deepest love and gratitude to My Parents and Family
members and My Friends and Well-Wishers helped me by their valuable suggestions in
completing this project successfully.
4
Contents
S.NO TITLE
1 INTRODUCTION OF BANK
2 BANK PROFILE
3 ORGANIZATION STRUCTURE
4 OBJECTIVES
6 BASICS OF BANKING
7 ESTIMATION
8 CONCLUSION
5
INTRODUCTION OF BANK
6
part of the institutional framework of community development and extension
services, which was assigned the important role of delivering the fruits of
economic planning at grassroots levels. In other words, they became a part
of the arrangements for decentralized plan formulation and implementation
for the purpose of rural development in general and agricultural
development in particular. Today co-operative banks continue to be part of a
set of institutions which are engaged in financing rural and agricultural
development. This set-up comprises the RBI, NABARD, commercial banks,
regional rural banks, and co-operative banks. The relative importance of co-
operative banks in financing agricultural and rural development has
undergone some changes over the years. Till 1969, they increasingly
substituted the informal sector lenders. After the nationalization of banks and
the creation of RBI and NABARD, however, their relative share has
somewhat declined. All the institutional Sources contributed about 4 percent
of the total rural credit till 1954. The contribution increased to 62 percent by
1990. The share of co-operative banks in this institutional lending has
declined from 80 percent in 1969 to about 42 percent at present. The
percentage of rural population covered by the agricultural credit co-
operatives was 7.8 in 1951, 36 in 1961, and about 65 percent at present.
7
BANK PROFILE
Year : 23.8.1969
8
FUNCTIONS OF A BANK
A tree is known by its fruits as well as Banks known by his works. Banks have done so
many other important functions instead of depositing & lending money. Banks functions are
divided into two parts: -
Primary & Banks function
Secondary & helping function
PRIMARY FUNCTIONS
Depositing Money
Lending Money
SECONDARY FUNCTIONS
Agency functions
Utility functions
Agency Functions:- Banks done many work to his customer as an agent. These are as
follows: -
Collection of cheques, bills & interest etc.
Payment of Insurance premium other Installments.
Purchase & sale of securities.
Transfer of funds
Acting as a trustee, executor or attorney.
9
UTILITY SERVICE:- Bank gave services to society. Those services are as follows:
-
Safe custody of valuables securities.
Issuing letter of credit, travelers’ cheques.
Accepting Bill of Exchange.
Providing Trade information.
Dealing in foreign exchange.
Advice on financial matters.
Giving information about credit worthiness of customers
Financing foreign trade
Credit creation
Underwriting of capital issues & loans.
IMPORTANCE OF A BANK
SAFETY OF MONEY:
The money with the bank remains in safe custody there is always risk in
keeping cash with one’s own self. It may be lost or stolen. Business man like to keep
money with a bank to avoid risks of money the customer need not keep large some of
money.
IT CULTIVATES HABIT OF SAVING:
Banks cultivates the habit of saving in the Bank on the one hand are safe and
on the other earned interest for the depositor who prompted to safe and deposit money in
their banks accounts.
FINANCIAL HELP TO CUSTOMER:
Banks allows overdraft facilities to their customer so whenever a customer
needs money he can even withdraw more money then the balance in his account. Bank
also grants loans and credit facilities to their customers.
SAFE CUSTODY OF VALUABLE ARTICLES:
Valuable articles deals security etc. can also be deposited in the bank for safe
custody. Safe deposit vaults are provided by bank for storing these valuables.
OTHER INFORMATION:
By opening an account with a bank, the customers may also take
advantages of various other services providing by the banks, such a purchase and sale of
securities, travelers cheque etc.
10
RELATIONSHIP BETWEEN BANKER & CUSTOMER
Instead of secondary functions banks gave some other important services to his
customers. The main function of banker & customer is as Debtor & Creditor. Banker
works as an agent & also a trustee of his customer.
KINDS OF BANKS
Commercial banks
Industrial banks
Agricultural banks
Exchange banks
Post office saving bank
Indigenous bankers
Regional rural bank
Import export banks
National bank to agriculture & rural development (NABARD)
State bank of India
Reserve bank of India
RESOURCES
11
The bank resources is collection of share capital, strengthening of its owned
funds, by topping deposits from the public and borrowings from NABARD,
TAMILNADU State Cooperative Bank Ltd., TAMILNADU.
The main resources of the bank as as under
Banks detail of funds is as under:-
a) Statutory Reserve
b) Bad & Doubtful debt fund
c) Agriculture credit stabilization fund
d) Building funds
e) Cooperative education and propaganda fund
f) Common good fund
g) Primary vikas fund
h) Cooperative development fund
i) Pension fund
j) Share transfer fund
k) Gratuity fund
The main resources of the bank is deposits. There are various schemes of deposits
namely :-
* Current Deposits
* Savings Bank Deposits
* Fixed Deposits
* Long Term Re-investment Deposits
* Recurring Deposits
12
Saving Bank 3.50% 3.50%
Fixed Deposits maturity period
5.50%
15 to 45 days 4.75%
5.50%
46 to 90 days 5.25%
7.25%
91 t0 179 days 7%
7.50%
180 days but less than 1 year 8%
8.75%
1 year but less than 2 year 9.50%
8.50%
2 year but less than 3 year 9.25%
8.25%
3 year and above 9%
Opening of bank account the bank has printed their own account opening form in
which the depositor has to fulfill all the data in account opening form. Account can be
opened and operated Self only jointly either or survivor former or survivor anyone or
survivor. Any other with the specimen signature and photo of each applicant bank has
allowed in these accounts. Nomination facilities on the prescribed form DA -1 under
section -45ZA of banking regulation Act 1949 after obtaining proper identification of the
customer & introduction of existing customer with address after obtaining the one photo
and document from below list of ID proof
Election ID card
ID card of reputed employer
Driving License
Electricity Bill
Pan Card
Telephone Bill
Pass port
Salary Slip
Government/ Defence
Income/ Wealth Tax
ID card
Assessment Order
13
In the ledger account opened under the serial no of the customer with his/ her
father’s/husband name with complete address. An account is allotted in the ledger, mode of
signature filled in the ledger . S.B account is opened with minimum amount of Rs 500 in
cash except no frills account which are opened with Rs 5. A pass book is issued to the
customer. If he wants a cheque book, the same is issued to the customer free of cost after
getting signature in the cheque book issue register. With drawl form bank has made facility
upto Rs 40000. On presentation of pass book must with the with drawl form duly signed by
the account holder.
14
September 5805.10 5800
Total Product 17370
Minimum Balance
The minimum balance of Rs 1000 is to be maintained in the account with no
maximum ceiling. Cheques issued on the account violating minimum balance
stipulation are liable to be dishonoured by the bank.
Nomination Facility
This facility for deposit account is available and is restricted to one
individual only. Nomination shall be made preferably at the time of opening of the
15
account. Nomination can be cancelled or changed at any time. Nomination for
bank deposit and insurance scheme shall be the same.
As and when any member opens new account or existing member adopts the
scheme, his name shall be entered into the Sehkari Bank Bima Yojna Register
maintained at the bank/ branch.
Insurance Cover
Persons joining the scheme are provided with accident insurance cover
under the “ Group personal accident insurance policy “ of the General Insurance
Company and the following risks are covered.
a) Death Rs 100000.00
b) Permanent total disability Rs 100000.00
c) Loss of 2 eyes/feet/hands Rs 100000.00
d) Loss of 1 eye/foot/hand Rs 50000.00
16
depositor is maintaining the account and nearest branch of the
insurance company. Claim form can be obtained from the bank
branch or from the branch of the company and are to be submitted to
the insurance company through the branch.
b) In case of disablement
1. Photograph of the disabled showing disability.
2. Disability certificate issue by the doctor
3. Police report/ report from Sarpanch of village or Lambardar
4. Any other relevant document.
5. Premium remittances confirmation from the bank
Fixed Deposit
17
Fixed Deposit is a deposit scheme wherein a depositor agrees to receive
back the principal amount after a specified period agreed to at the time of
deposit. Interest may be received by him either periodically or at maturity. Fixed
Deposit can be opened for any amount subject to minimum of Rs1000/-
18
fill up pay-in-slip while depositing money writing wherein his Fixed deposit
account number or Long term deposit account number, as the case may be. In
this case account opening form will not be required to fill up again by the
customer.
19
The rate of Interest applicable for the period of deposit should be written
legibly in the space provided for. The latest circular from Head Office
regarding current interest rates should be refereed.
5. Due Date
Due Date should be correctly calculated and written. When due date
falls on bank holiday, the amount is to be paid on next working day. In all
such cases, interest for the holiday involved at the contracted rate should
also be paid. If the month in which the deposit becomes due does not have
the date corresponding to the date of deposit the last day of the month will
be the due date. Thus, the due date for Fixed Deposit Receipt for 18 months
issued on 31st August 1998 would be 29th February 2000. However, in case
the period of deposit had been expressed in terms of days and not months,
the due date should be calculated as per the following rule:
1) Calculated days and not months. If February of that year has 29 days,
calculate for 29 days (not 30days).
2) Include date of deposit
3) Exclude the date of payment, take the next date
Example: The due date for Fixed Deposit Receipt dated 04.10.1999 for 91
days should be calculated as under:
October 1999 (04.10.1999 to 31.10. 1999) 28 days (including date of
deposit)- Rule (2)
November 1999 30 days – Rule (1)
December 1999 31 days
89 days
20
6. Interest runs from
The column ‘Interest runs from’ shall be filled with the date on which
the deposit receipt is prepared. In case deposit is renewed from the back date,
the date in this column will be the due date of the overdue deposit.
The deposit receipt number should be written in account opening form and
also in the pay-in-slip.
21
term deposit receipt, the matured amount is mentioned therein which should
be written both in figures and words. Whereas, matured amount is not
written on fixed deposit receipt as the depositor has the option to receive the
interest monthly/ quarterly/ half yearly, i.e., before maturity.
22
b) Where the deposit is less then a year
If the fixed deposit is made for a specified number of days less than a year,
interest should be calculated by taking the actual number days in a month.
Discharge
To make payment of fixed deposit/ long term deposit on due date, if
the customer present himself to receive the payment, he may be asked to
discharge the fixed deposit/ long term deposit receipt on the back of it. His
signature on the fixed deposit/ long term deposit receipt shall be tallied with
specimen signature in record of the bank.
RECURRING DEPOSITS
A Recurring deposits is a form of term deposit in which depositor
deposits a fixed sum of money by way of monthly installments over a
stipulated period and on the expiry of this period. The accumulated amount
along with interest accrued is paid in lump sum.
Rate of interest
The rate of interest on recurring deposit for various periods will be the rate
applicable on term deposits for the corresponding period. Interest is
compounded at quarterly rests.
23
Amount of deposit
A recurring deposit is accepted with a minimum monthly installment
of Rs 10/- in multiples of Rs 10/-.
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 (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.
Penal charges
24
In case the installment are not deposited in the respective calendar
month in which they due, Penal charges are to be recovered for the delay.
The penalty is charged at the rate mentioned below:
1) Rs 1.50 for every hundred rupees per month for deposits upto 5 years and
less
2) Rs 2 for every hundred rupees per month for deposits over 5 years.
CURRENT ACCOUNTS
WHO CAN OPEN CURRENT ACCOUNT?
1) Person in his own name
2) Two or more persons in their joint names with operations as either or
survivor, Jointly/Jointly or Survivor, Anyone or Survivors or Survivor.
3) Cooperative societies, Partnership firms, limited companies, joint stock
companies, ssclubs, religious institutions, associations, Local bodies.
25
---------------------------------------------------------------------------------
1) Declaration of sole proprietorship
26
b) Resolution
c) Certificate of registration from
charity Commissioner
7) Provident funds a) Trust deed
b) Rules of Provident fund
c) Resolution
8) Guardians appointed a) Court order or Guardianship
by court in respect Certificate of
minors
Minimum Amount:
Account shall be opened with minimum balance of Rs 5000/-.
27
To issue charge sheets of employees & maintain it.
To maintain Misc. files.
To maintain several records (with service book of employees)
Transfer of employees.
Increment concerned with employees.
Pass T.A. D.A. bill of employees
Salary of employees’ maintained.
28
FUNCTIONS OF LOAN SECTION
Sanction all types of loans; like as – Consumer Loan ,
Composite/integrated loan, Vehicle Computer loan -
staff member
Sanction all types of limits; like as – cash credit trader
Cash credit farmers, Loan against - property, Rural godown,
Mini dairy, Mai Bhago scheme.
Renewed cash credit limits.
Physical verification done before sanctions the limits or loans.
Vehicle loan – two wheeler, three wheeler, & S.R.T.O.
Maintain statements for refinance &send to NABARD.
MISCELLANCEOUS ACTIVITES
OFFICE TIME: - The C.D.C.B. has fixed the timing for all the
employees the timing of this company is 10a.m. To 6p.m. The recorded
of the arrival & departure was recorded through Attendance register
company maintenance the attendance registers. All the employees come
at 10a.m. Entered the time in the Attendance register in the first column
and at time of lunch. The entire employee entered. The departure time for
lunch at 2p.m. When they come after lunch they will entered the arrival
time 2.30p.m. Than duty was complete they will entered the departure
29
time 5.00p.m. And also entered the total working hours in the full day.
There is no extra system for recording the time.
30
7. Consumer Loan 14%
8. Personal Vehicle
- 200000 & above 13%
9. Commercial Dairy 11%
10. Cash credit traders 12%
11. Education Loan 11%
12. Self help group 11%
13. Medium term agriculture purpose 10%
14. Non agriculture purpose short term 10%
Conclusion
31
Overall, internship is really good recommended to all my fellow
friends. It helps to enhance and develop the skill, abilities and
knowledge.It was good experience and memories as not only I have
gained experience, but also new friends and knowledge C.D.C.B also a
good place to internship since it provides numerous benefits and
advantage to the practical trainees. They provide us our own places and
several accommodations such as laptops, access card, WIFI. The
treatment of the bank was just, equitable and professional. I have learned
from different unit and people. I am grateful and thankful to the bank
manager, Mr. Sridhar and the department of In-business control for
experience and tutoring. They also help me to handle some of my
weakness and provide guidance to me whenever I’m need. I think the
time duration of one month for the internship was not enough for me to
learn more details about the job. Here I conclude my report.
Picture as intern
32
33