Study of Problem Related to Loan Granting and Recovery on SBI Banks

Abstract

This research work was undertaken to assess the Loan granting and its recovery problems on SBI Banks. The research was intended to achieve the following objectives: To find out the several problems facing loan recovery, the effects of loan default on SBI banks and the measures that will be used in reducing the incidence of loan default. Relevant data were collected from both primary and secondary sources. And also, customer’s attitude towards loan payment. Questionnaires were the main primary data collection instrument employed while data from various relevant publication constituted the sources of secondary data. Also, before granting loan, they should examine critically the project statement submitted by the customer or borrower which will help them to find out the realistic repayment pattern and also help them in knowing if the projects are realistic based on the customer’s past performance.