Promotion March2016 Final Updated Upto 24-02-2016

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All India Oriental Bank Officers’ Association ___ .

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Study Material for Promotion Test /Interview - 2016 (updated till 24-02-2016) 2



ALL INDIA ORIENTAL BANK OFFICERS’ ASSOCIATION (AFFILIATED TO AIBOA)

Central Office:C/O Oriental Bank of Commerce

Corporate Office: Plot No. 5, Sector – 32,Institutional Area, Gurgaon -112 001

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BHOPAL/2016/ 29-02-2016

Dear Comrades,

It is indeed a splendid team work exhibited by members of Central Zone Committee,

Bhopal, in the preparation of this miniature presentation in the shape of booklet, for

promotion to higher grade. We have found that the contents included in the booklet

finds a wide coverage of latest/ current as well as basic banking know how. This finest

presentation in booklet form is going to help the candidates in updating their knowledge

as well as for facing the written exam/interview for promotions with confidence.

While we congratulate the Central Zone Team for their relentless efforts, we wish the

aspiring candidates all the success.

With best wishes,

Yours comradely,

(R.L. Grovar) (D.K. Pauddar) (S. S. Shishodia)

Chairman President General Secretary




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I N D E X

Sl.No.

T O P I CPageNo.

1 OBC at a Glance 6

2 Important Banking Indicators 10

3 Important point from Bank‟s Circulars 10

4 Retail Credit Products 24

4 Deposit Products (SB/CA/TD) 63

5 IT Products 80

6 Recovery & NPA Norms 100

7 Priority Sector 103

8 Legal Aspects (SARFAESI/Lok Adalat/ TDS etc) 116

9 Some Important Points / Questions 125




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OBC AT A GLANCEOur Bank's

1. VISION STATEMENT

“TO BE A CUSTOMER FRIENDLY PREMIER BANK COMMITTED TOENHANCING STAKEHOLDER VALUE”

2. MISSION STATEMENT

Provide quality, innovative services with state-of-the-art technology in line withcustomer expectations.

Enhance employees‟ professional skills and strengthen cohesiveness. Create wealth for customers and other stakeholders.

Managing Director & CEO Shri Animesh Chauhan

Executive Director Shri Raj Kiran Rai G.CFO of the Bank Shri S.S.Mallikarjuna Rao

Officer Director Shri Narendra Kotiawala

Workman Director Shri Kingshuk Bhattacharya

Foundation Day 19th February

No. of Region 34

No. of Branches 2351 as on 31-12-2015

No. of ATM 2592 as on 31-12-2015

Nationalized on 15 April 1980

Share holding (Central Govt.)Institutions

Non Institutions (Public etc.)

59.13%28.28%

12.59%

Merger of Global Trust Bank 14.08.2004

BANK’S PERFORMANCE: HIGHLIGHTS Figures in Rs. Crores

SN Parameter 31.03.15 30.06.15 30.09.15 31.12.15

1 Current Deposit 12810 11237 12818 13144

2 Savings Deposit 36526 36174 36909 37860

3 Total Deposits 204010 195947 199201 206471

4 Total Advances 148039 146752 150082 152512

5 Total Business 352048 342699 349283 358983




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NPAs

S. NO. PARAMETERS Mar-15 Jun-15 Sep-15 Dec-15

1 Gross NPA 7666 8577 8558 11825

2 Gross NPA as % of Gross Advances 5.18% 5.85% 5.70% 7.75%

3 Net NPA 4816 5358 5189 7359

4 Net NPA as a % of Net Advances 3.34% 3.76% 3.55% 4.99%

5 Provision Coverage Ratio 60.59% 59.55% 61.53% 56.34%

Parameters Dec-15(9M)

Net Profit 134.46

Cost of Deposit 7.30 %

Cost of Funds 6.52 %

Yield on advances 11.52 %

Yield on funds 8.88 %

Net Interest Margin (NIL) 2.66 %

CASA

Parameters Mar-15 Jun-15 Sep-15 Dec-15

Current 12,839 11,276 12,818 13144

Savings 36,526 36,174 36,909 37860

CASA 49,365 47,450 49,727 51004

(CASA % to Total Deposits) (24.20%) (24.21%) 24.96% 24.70%Retail Term Deposits (below ` 1 Cr.) 75,539 78,410 80,747 82605

Capital Adequacy of the Bank under BASEL III: 11.14% (Tier I: 8.17%, Tier II: 2.97%) as on31.12.2015

Capital Planning:

The Bank has raised Rs. 1000 crore on 26.10.2015 through issuance of UnsecuredRedeemable Non-Convertible Basel III Compliant Tier II Bonds on private placement

basis for inclusion in Tier II Capital of the Bank at a coupon of 8.34% p.a. with a maturity

of 10 years.

Bank has approached Govt. of India & LIC for infusion of equity capital through

preferential allotment




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BRIEF HISTORY OF THE BANK: 1943 – 2015

1943 Oriental Bank of Commerce was established on February 19, 1943 at Lahore

1950After the partition of the country, its Registered Office was shifted, first to

Amritsar and subsequently to Delhi in 1950. The owners were Thapars.

1980 The Bank was nationalised on April 15, 1980.At that time, bank had a network of 307 branches and total business was Rs 435crore comprising deposits and advances of Rs 282.61 crore and Rs 152.69 crore,respectively

1994 Public Issue of 60 Million equity shares of Rs.10/- each at a premium of Rs.50 pershare, aggregating Rs.360 crore; the issue got overwhelming response

1997Punjab Co-operative Bank Ltd. and Bari Doaba Bank Ltd. amalgamated with theour Bank

1999

Oriental Bank of Commerce rated "First" amongst Public Sector Banks on all

working parameters by the Financial Express – BRIS Survey and the EconomicTimes- CMIE Survey

2001

One of the first few Public Sector Banks having adopted US GAAP besides Indianaccounting standards. Committed to taking banking to international standards,Oriental Bank of Commerce's performance has proved its worth even whenevaluated as per the stringent US GAAP standards

2003

First Bank to declare Zero net NPA level, with more than 100 per cent provisions,as on September 2003.Rated as the "Best Bank for 2003" by Business India. Selected among "Best Under aBillion, 200 Best Small Companies for 2003" out of 19000 companies from Asia andEurope by Forbes Global

2004Global Trust Bank Ltd. a private bank amalgamated with the Oriental Bank ofCommerce with effect from August 14, 2004.Selected under the Forbes 2000 World's Biggest Companies

2005

Public Issue of 58 Million Equity Shares of Rs.10/-each at a premium of Rs.240 pershare aggregating Rs.1,450 crore raised in April 2005.One of the three Indian Public Sector Banks included in the list of World's Top 25Banks in terms of Return of Capital Employed (RoCE) as on July 31, 2005 accordingto the Banker. Improved its rank from 2000th in 2004 to 1811th in 2005 under theForbes 2000 World's Biggest Corporates.Referred as the Customer Friendly by NIBM in its study pertaining to Customer

Service in the Bank.

2006The Bank's total business crosses Rs.85000 crore mark as on March 31,2006 with anetwork of 1,148 branches.

2007We entered into an agreement with HDFC & Canara Bank for joint venture in LifeInsurance Products.We have brought under CBS system almost all the branches of the bank

2008

Total business reaches Rs.1,33,184 Crores, a growth by 22%.Bank achieves 100% CBS in all BranchesNew innovative products & services leveraging on Technology like Online EquityTrading, OBC e-Shopping, OBC e-Taxes etc launched




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Write off of amortised GTB losses advanced by a year, Dividend maintained at 47%

Joint Venture with Canara Bank and HSBC entered into for Life Insurance Business

2009

Business-mix has increased to Rs. 167434 crores, registering a growth of 25.72%.Bank has recently opened a Representative Office at Dubai - our first offshore

Office.In its Joint Venture for Life Insurance with Canara Bank and HSBC, the Bank issued12291 policies and booked a Gross Commission of Rs. 24.50 crores

2010

Our Bank crossed the landmark total business of Rs. 2,00,000 CroresOur Bank‟s Customer base crosses 13.5 million Our Bank's Branch Network crosses 1500, ATM network crosses 1000 markISO 27001 certification for implementation of Information Security ManagementSystem at PDC, Mumbai, DRS, New Delhi, NLS, Mumbai and Processes at DIT, HO &CBS Cell, HO

2011

The Bank was awarded the „Most Cost Efficient Operator‟ at FIBAC-2011 organisedby Indian Banks Association (IBA) & Federation of Indian Chamber of Commerce &Industry (FICCI).

100% system driven classification and provisioning of NPAs.The Bank has operationalised a Mobile Branch.The Bank has launched “ORIENTAL BANK MEDICLAIM POLICY” in collaboration withthe Oriental Insurance Company Ltd. for its customers.The Bank has launched a co-branded Credit Card in the name of SBI-Oriental Bankof Commerce Credit Card which is in collaboration with SBI Cards. The card isavailable in two variants - Platinum and Gold for customers as well as staff of theBank.The Bank has launched its First E-Lobby at Nehru Place, New Delhi. This State ofArt unmanned E-Lobby provides wide ranging 24x7 Banking facilities to itscustomers on a self-service basis.

2012 The Bank has shifted its Corporate Office to Gurgaon and became the only PublicSector Bank having its Corporate Office in the State of Haryana

2013Our Bank crossed the landmark total business of Rs. 3,00,000 Lac CroreOur Bank's Branch Network crosses 2000.

2015Our Bank crossed the landmark total business of Rs. 3,50,000 Crores.Our Bank's Branch Network crosses 2250.

31.12.15

Total Delivery channels of the Bank as on 31.12.2015 stood at 4943 (2351 Branchesand 2592 ATMs)

NEW INITIATIVESSelf user creation module has been made LIVE for registration for Internet

Banking.Bank has launched Special Saving Salary Accounts viz. Oriental Premium SalaryAccount (for Premium Salaried Class) and Oriental Salute Salary Account (Aspecially designed account for the Nation’s Armed Forces) with speciallydesigned personalised Debit Cards.A Special saving account - Oriental YUVA has been launched by Bank withspecially designed Rupay debit card for youngsters in the age group 10-18 Yrs




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Important Banking Indicators

Our Base Rate 09.70% (w.e.f 30/09/2015)

Our P L R 14.75 % (w.e.f.14/05/2012)

Bank Rate 07.75% (w.e.f. 29/09/2015)Repo Rate 06.75% (w.e.f. 29/09/2015)

Reverse Repo Rate 05.75% (w.e.f. 29/09/2015)

C R R 04.00% (w.e.f. 09/02/2013)

S L R 21.50% (w.e.f. 07/02/2015)

Marginal Standing Facility 07.75% (w.e.f 29/09/2015)

IMPORTANT POINTS FROM BANK'S CIRCULARS(FROM 01-06-2015 TO 24-02-2016)

1. Routing of perquisites to staff through salary account of the staff only (All payments/reimbursement of perquisites to staff be credited to their salary account only and in no case thesame be paid in cash. (HO Cir HO/I&C/65/15-16-931 dt. 06-02-2016)

2. Charging of Annual Service Fee (ASF) / Annual Guarantee Fee (AGF) at differentialrates depending upon NPA levels/ Claim Payout ratio of Banks (HO Cir RD & PS: 80:15-16 :929 dt. 24-02-2015) - It has been decided by the trust to introduce following risk premiumstructure in place of existing guarantee fee structure:

Risk premium on NPAs in Guaranteed portfolio Risk premium on claim payout ratio

NPA Percentage Risk Premium Claim payout percentage Risk Premium0-5% SR 0-5% SR>5-10% 10% of SR >5-10% 10% of SR>10-15% 15% of SR >10-15% 15% of SR>15-20% 20% of SR >15-20% 20% of SR>20% 25% of SR >20% 25% of SR

3. Launch of 3x3 Tri-umph account for all CASA schemes of the Bank ( HoCir/Mkt/57/15-16/919 dt. 23-2-16) – The Triumph account (as the name suggests) would behaving a bunch of 3 a/cs coupled with 3 features in a linked manner. The focus of TRI-umphaccount is to boost our Depository segment by increasing the no. of DEMAT a/cs. In Tri-umph a/ccustomer gets all the facilities related to investing through e channels without the need to visit thebranch. Linked Tri-a/cs would be opened as CASA A/C – DEMAT AC – TRADING AC

4. Legal Guardianship Certificates Issued under the Mental Health Act 1987 (HO CirOperations 32/ 15-16/910 dt. 15/20-02-2016) – RBI informed that it has become to theirnotice that banks are insisting on guardianship certificate from all mentally ill persons. In thisregard, it is clarified that paragraph 2(iii) of the RBI circular dated 13-01-2014 is not intended tomandate banks to insist on appointment of a guardian as matter of routine from every person “whois in need of treatment by reason of any mental disorder”. It would be necessary for banks to seekappointment of a guardian only in such cases where they are convinced on their own or based on




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documentary evidence, that the concerned person is mentally ill and is not able to enter into a validand legally binding contract.

5. Staff Housing Loan (Quantum of Maximum Loan Amt. wef. 11-02-2016) (HO Cir NO.

HRD/ 73/ 84/ 2015-16/ 886 dated 11-02-2016)

Category Sub Staf Clerical Staff Officers Amt. in Lakh

Max HL Amt. 25.00 35.00 Upto Sc-IV 60.00

Sc-V & abofe 70.00

Loan for repair/ renovation/ furnishing 6.00 9.00 15.00

6. Staff Vehicle Loan – amendment in repayment period (HO Cir NO. HRD/ 73/ 86/ 2015-

16/ 885 dated 11-02-2016)

Car (Officers & Clerical Cadre only) Two wheeler (for officers and workmen)

Loan together with interest repayable in notmore than 180 monthly installments (principalin 126 months and interest in remaining 54months)OR65 years of age in case of Pension Optees only,whichever is earlier. However, Net Take HomePension should not be less than 50% of GrossPension (including the installment of proposedloan)

Loan together with interest repayable in notmore than 84 monthly installments (principalin 68 months and interest in remaining 16months)OR65 years of age in case of Pension Opteesonly, whichever is earlier. However, Net TakeHome Pension should not be less than 50%of Gross Pension (including the installment ofproposed loan)

7. Staff Clean OD – amendment in limit and ROI @BR wef 11-02-2016 ((HO Cir NO. HRD/ 73/

85/ 2015-16/ 884 dated 11-02-2016)

Cadre

Length of service in the Bank

6 Months & above and

less than 3 years

3 years and above

Subordinate Rs.1.00 Lakh Rs.2.00 Lakh

Clerical Rs.2.00 Lakh Rs.4.00 Lakh

Officer up to Scale – IV Rs.3.00 Lakh Rs.7.00 Lakh

Officer Scale-V & above Rs.5.00 Lakh Rs.10.00 LakhROI will be @BR (i.e. at present 9.70%) for both new as well as existing limits.

8. Non-disclosure of AADHAAR No./ prohibition of display of AADHAAR No. of residents

in public domain – Suprement Copurt Order dt. 11-08-2015 (HO Cir NO. Operations/31/ 2015-

16/ 880 dated 09-02-2016) – It has been directed/ clarified by SC

i. Protect the identity of Aadhaar Card Holder by maintaining the nece4ssary confidentiality

of his Aadhar No.; and

ii. To ensure that Aadhaar No. are not posted/ displayed or made available in public

domain, such as, internet, web, public notices, etc. In case there is a requirement to




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public a list of individuals by any department or any agency though public notice, such

list shall not contain Aadhaar No.

9. Review of ROI on Bills Purchased/ Discounted under Inland LC (HO Cir NO. RMD/

74/2015-16/ 878 dated 08-02-2016)

LC Type Tenor of Bill Revised ROIROI on Negotiating / Discounting of Bills underInland LC (DA)

Upto 90 Days @ BR+0.50% Above 90 Days &upto 180 Days

@ BR+1%

ROI on Negotiating / Discounting of Bills underInland LC (DP)

DP @BR+0.50%

10. FRESH NOTIFICATION FOR REGISTRATION OF SECURITY INTEREST ON CENTRAL

REGISTRY (CERSAI) (HO Cir NO. RMD/ 73/2015-16/ 878 dated 08-02-2016)

These rules may be called the Securitisation and Reconstruction of Financial Assets andEnforcement of Security Interest (Central Registry) Amendment Rules, 2016

In terms of notification dated 22.01.2016, the following transactions are required to be registeredwith Central Registry within 30 days of its creation, modification or satisfaction :

a) Particulars of creation, modification or satisfaction of security interest in immovable property byway of mortgage (all type of mortgage in addition to equitable mortgage).

b) Particulars of creation, modification or satisfaction of security interest in hypothecation of plantand machinery, stocks, debt including book debt or receivables, whether existing or future.

c) Particulars of creation, modification or satisfaction of security interest in intangible assets, beingknowhow, patent, copyright, trade mark, licence, franchise or any other business or commercialright of similar nature.

d) Particulars of creation, modification or satisfaction of security interest in any under constructionresidential or commercial building or a part thereof by an agreement or instrument other than bymortgage.

11. Revision of fees – CERSAI (HO Cir NO. RMD/ 72/2015-16/ 866 dated 03-02-2016)

Nature of transaction to be Registered Amount of fee payable

Particulars of creation or modification of securityinterest in favour of secured creditors

For creation and for any subsequentmodification of security interest in favourof a secured creditor for a loanUpto Rs.5.00 Lakh Abofe Rs.5.00 LakhRs. 50/- + Ser. Tax Rs.100/- + Ser. Tax

Any application for information recorded / maintainedin the Register by any person/ search of the property

Rs.100/- + Service Tax

Satisfaction or correction of any existing securityinterest

NIL

Schedule of additional Fee/ChargesRegistration on CERSAI afterthe date of transaction (EM)

Additional fee to be charged if the loan amt. isUpto Rs.5.00 Lakh Above Rs.5.00 Lakh

From 31st to 40t Day Rs.100/- + applicable Sr.Tax

Rs.200/- + applicable Sr. Tax

From 41

st

to 50

th

Day Rs.250/- + applicable Sr. Rs.500/- + applicable Sr. Tax




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TaxFrom 51st to 60th Day Rs.500/- + applicable Sr.

TaxRs.1000/- + applicable Sr. Tax

12. Levying of Charges to Staff Members on Using Other Bank ATM (HO Cir NO. ADC/

12/2015-16/ 865 dated 02-02-2016) – The Charges shall be recovered from the staff membersfrom the fourth transaction onwards (inclusive of financial and non-financial transactions) for

each transaction on other bank ATMs, as per the charges applicable to General Customers after

exhausting three free transactions.

13. Revised guidelines on Reclassification of Advances under Large & Mid Corporate (HOCir NO. CAD/2015-16/92/ 844 dated 28-01-2016) –

Large Corporate Advances: a) Borrowal accounts having full year turnover above Rs. 250.00crore. (estimated/ projected for projects under implementation)b) Advances to infrastructure (power -conventional and non conventional, port, road, highways,communication, social and commercial infrastructure, energy, etc.)

Mid Corporate Advances: a) Borrowal accounts having full year turnover upto Rs.250.00 crore.(estimated /projected for projects under implementation)b) Priority sector advances (including rice Sheller, food processing, renewable energy & socialinfrastructure such as educational institutions, hotels & hospitals, MFIs etc. falling under prioritysector)c) MSME Advances including non priority sector which otherwise falls under RAM.

14. Guidelines on mandatory obtaining of Aadhaar Number & Mobile Number fromIndividual Borrowers/ guarantors (HO Cir NO. RMD/68/2015-16/ 835 dated 27-01-2016)

a) The Branch Officials shall mandatorily obtain Aadhaar Number and Mobile Number of thefollowing at the time of sanction of Fresh/ Enhancement additional credit facilities as well asreview/renewal of credit facilities:a) Individual Borrower(s) b) Proprietor/Partners/Promoter Directors in case of Proprietorship,Partnership andLimited Liability Partnership Firms/Companies c) IndividualTrustee/member/Constituent in case of Trust, Society, AOP 4) Individual Guarantor(s) irrespectiveof the constitution of the Borrower

15. Payment of Agency Commission on pension accounts (HO Cir No. GBC 37/2015-16/835dated 27-01-2016) – A pensioner‟s account should not have more than 14 credit txns in acalendar year attributable to pension and related arrears payments, if any. Rate of commissionis Rs.65/- per txn. Some Govt. Deptt prefer to compute the pension figures on their own andpas them on to banks for payment. Such transactions may be included under non-pension

payments, on which agency commission is payable on a turnover basis as per the existingnorms (currently 5.5. paise per Rs.100/-)

16. Direct Benefit Transfer (DBT) Scheme- Seeding of Aadhaar in Bank Accounts-Clarification (HO Cir NO. RD& PS/77/2015-16/827 dt. 22-01-2016) -Aadhaar Card andseeding of bank accounts with Aadhaar numbers should be purely voluntary and not mandatory,therefore prior consent of the account holder should be obtained for seeding of Aadhaarnumber in their respective bank account.

17. Guidelines on Financing to AOP - (HO Cir NO. RMD/67/2015-16/825 dt. 21-01-2016) –




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1. The persons in the AOP must have an inter-se agreement/ MOU in writing outlining therights and liabilities of the constituent members.

2. There should be a specific ratio as regards sharing of profit and losses.3. The AOP shall approach the bank jointly for credit facilities or through a person in whose

favour specific POA has been given by all the constituent members.

4. PG of all the members constituent shall be obtained. In case it is not possible then PG ofminimum 75% of members contributing to capital fund in AOP shall be obtained.5. PG of all beneficial owners of the AOP shall be obtained.6. The maximum exposure to single AOP shall be capped at Rs.50.00 Crore in Real Estate

Sector and Rs.100.00 Crore in other Sectors.7. The credit facilities to AOP shall be considered by the HLCC-ED/CAC/MCB. BM & RLCC-RH

shall have no delegated powers to consider credit facilities to AOP.

18. DEPLOYMENT OF EMERGING CORPORATE MODEL - (HO Cir NO. RMD/66/2015-16/812 dt.-01-2016) – Bank has been deployed the Emerging Corporate (EC) Model on live server on14.01.2016

a) Bank has been deployed the Emerging Corporate (EC) Model on live server on 14.01.2016.b) Branches and ROs shall carry out the internal credit risk rating of the existing as well asfresh borrowers having average 3 years sales revenue of more than or equal to ` 100 Croreand up to ` 500 in EC model

c) Borrowers having average 3 years sales revenue of more than ` 500 Crore shall be rated inLC model.

d) The borrowers already rated under LC model shall be converted to EC model at the time ofreview/renewal of internal credit risk rating.

19. Removal of maximum 6 free txns limit in SB Basic Deposit Accounts - (HO Cir NO.CS&P/50/2015-16/808 dt. -04-01-2016) – The cap of maximum 6 free of cost withdrawalstaking place through Micro ATMs in BSBDAs account has been removed. There is no restrictionon number of withdrawals taking place in BSBDAs ACs through our ATM i.e. txn through ourbank ATMs will not be charged.

20. INCOME TAX PROVISIONS REGARDING QUOTING OF PAN ON VARIOUSTRANSACTIONS (HO Cir NO. CS&P/50/2015-16/808 dt. -04-01-2016)1. Opening of Time deposit exceeding fifty thousand rupees or aggregating to more than

five lakhs rupees during a financial year2. Opening an account (other than a time deposit account specified at Sr No 1 above and

Basic Savings Bank Deposit Account) 3. Payment in cash for purchase of Banks draft or pay order or Bankers cheque for an amount

exceeding Rs 50,000/- during any one day

4. Payment in cash for purchase of Banks draft or pay order or Bankers cheque for an amountexceeding Rs 50,000/- during any one day

5. Deposit in cash with bank exceeding fifty thousand rupees during any one day 6. Making an application to the bank for issue of Debit or Credit Card7. Opening of a Demat account with a Depository ParticipantREVISION IN FORM NO 60 / 61 - CBDT have revised Form No 60 as well as 61. Impact ofrevised formats are as under-1) Declaration can be made only in Form No 60 by any person whether having agriculturalincome or non-agricultural income. Making declaration in Form No 61 have been dispensedwith.2) New Form No 61 relates to filing half yearly return which will be filed centrally at Head Office.




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Revised guidelines of Income Tax Act provides that, in case a person does not have PAN andentering into the transactions listed above, he can submit a declaration in Form 60 (revisedformat enclosed ) giving therein the particulars of such transactions. The said declaration mustbe supported by the valid proof of address and identity. It is obligatory on the part of bank toensure that the PAN is correct or the declaration in Form 60 has been duly furnished with

complete particulars. Bank is also required to retain Form No 60 for a period of 6 years from theend of the financial year in which the transaction was undertaken (i.e. effectively seven financialyears). Income Tax Act further requires to furnish half yearly return in Form No 61 (throughelectronic mode) of Form 60 received by the bank. The said return will be furnished centrally atHead Office level

21. Our bank has launched „Co-branded payment gatewa y‟ under revenue sharingarrangement with existing I-Banking payment aggregator M/s. PayU Payments Pvt. Ltd (PAYU)an IBIBO Group company, to facilitate the co-branded payment gateway facility under RevenueSharing Model (HO Cir NO. MARKETING/50/2015-16/799 12th JAN‟2016)

22. Our Bank is introducing a new Mobile App for customers as well as potentialcustomers by the name – ORIENTAL SAATHI which shall offer the following facilities tothem:- (HO Cir NO. HO/ADC/10/2015-16/796 11th Jan‟2016) i. Branch and ATM Locator : – The App will route to the nearest ATMs and branches usingGoogle Maps from the customer‟s Location. Also, the App will show the route to any OBC branchusing Google Maps through PIN Code or current Location.ii. Online Complaint registration can be done by the user and the status of the complaintthrough the App can also be tracked.iii. Online Suggestions can be given by the user on any products or services of the Bank.iv. Online Loan Application User will be able to select the type of Loan required (Education/ Car / Home etc.)v. EMI Calculator for loans is also available in the App.vi. Interest Rates for Term Deposits and Retail Loans has been displayed. Also, the calculatorfor Interest on Deposits and EMI for Loans is linked to these rates.vii. Alerts for customers for keeping them cautious of various frauds.viii. Contact Us – Contact numbers of the customer care centre alongwith other services likeSMS Banking, Missed call banking and Mail Us has been provided in the Tab

23. CGTMSE has decided to restore the interest rate cap of 4% over the Base Rate i.e. any creditfacility which has been sanctioned by MLI, under the Credit Guarantee Scheme (CGS), to aneligible borrower, with interest rate more than 4% over Base Rate will not be eligible forcoverage under the CGS. (HO Cir No. HO:RD & PS:73:2015-16:793 11th January, 2016)

24. REVISED GUIDELINES ON VERIFICATION & AUTHENTICATION OF THE DOCUMENTSSUBMITTED BY THE BORROWER/ APPLICANTS-1. Applicability of the Guidelines for verification and authentication of the

documents - In addition to the existing guidelines, the guidelines shall be applicable incase of review/renewal of credit facilities

2. Exemptions in case of Consortium accounts with regard to obtaining ofStatements of all accounts with all the Banks - In case of borrowers availing creditfacilities under Consortium/JLA/Multiple Banking Arrangement, the Branches need not obtainstatement of accounts maintained by the borrower from the banks/Financial Institutionssubject to meticulous compliance of the guidelines on Exchange of Information among themember banks circulated vide Circular No. HO/ RMD/22/2014-15/208 dated 17.06.2014.




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However, in case where the borrower is maintaining current account with a non-lenderbank, the statement of current account shall be obtained and scrutinized on quarterly basis.Besides, an undertaking/declaration shall be obtained from all the borrowers certifying thedetails shall be obtained from all the borrowers certifying the details of the bank accountsmaintained with different banks at the time of – a) Sanction of Fresh/ enhancement/

additional credit facilities b) Renewal/review of the credit facilities3. Confirmation from the Statutory auditor seeking confirmation that the FinancialStatements submitted to the Bank are true as per auditors‟ record - The Branchshall seek confirmation from the Statutory auditor of the Company/Limited LiabilityPartnership/ Firm (as per the Audited Balance Sheet) that the Financial Statementssubmitted to the Bank are true as per auditors‟ record particularly confirming the following:a) Capital b) Net profit c) Turnover d) Sundry Debtors e) Sundry Creditors f) Stock g)Fixed Assets

4. Verification of the Income Tax Return (ITR) - The Income Tax Return (ITR) of theborrower/ Sole Proprietor/ Partner/ Promoter Director /Directors/ Guarantors, in case of allcredit proposals including retail credit proposals, shall be verified by generating the Income

Tax Return (ITR) in the presence of the Bank‟s authorized official, wherever applicable.The name of the authorized Bank official and details of place, IP address, date and timewhere Income Tax Return (ITR) was generated shall be kept on record

25. Introduction of ADC Day in Branches on 1st Saturday of Every Month. In case the IstSaturday is holiday then the ADC Day shall be observed on the preceding day if it is in the samemonth else on the following Monday. (HO cir ADC/9/2015-16/782 Dt 04-01-2016)

26. OBC Turant Demand Loan (OBC-TDL) – New scheme for contingency CAPEX requirementsof existing all Borrowers having investment in P&M upto Rs.100.00 Crores (Borrowers which are notcovered under MSME Plus scheme are also eligible). (HO cir CAD/84/2015-16/781 Dt 28-12-2015)

27. New Life Insurance Products by CHOICe – Smart Future Plan and Smart One PayPlan – (1) Smart Future Plan, is a specially designed customized solution that will take care ofimmediate and future financial needs of the customers and their families, in case of his/herunfortunate death or total & permanent disability (2) Smart One Pay Plan is a single premiumunit linked non-participating endowment insurance plan. It gives the opportunity to pay only once,that is, a single premium at the beginning of the policy and provides life cover throughout the policyterm. (HO Cir TPP/INS/41/2015-16/774 Dt. 31-12-2015)

28. INCOME TAX PROVISIONS IN RESPECT OF APPLICABILITY OF FORM 15G/15H (HOCir ACT/18/2015-16/779 Dt. 02-01-2016) - Submission of Form 15G/15H to the Income Tax

Department has been dispensed with. Accordingly, henceforth, the branches are advised notto file 15G/15H with Income Tax Department. However, they should keep full record of5G/15H received by them for verification by Income Tax Authorities.Branches are required to allot a Unique Identification Number (UIN) to each declaration (i.e. Form15G/ 15H) received by them during the financial year. The said Unique identification numberallotted to each form 15G/15H is also required to be mentioned in the TDS return. Bank is in theprocess of devising IT platform for generating UIN through CBS system. Detailed instructions in thisregard shall be issued separately. Till then, branches are advised to allot UIN manually inchronological order. UIN shall consist of the following 3 fields :i) Running Sequence number (i.e. for Form 15G is G000000001 and for form 15H H000000001)ii) Financial year for which declaration is being furnished.

iii) Tax Deduction Account Number (TAN) of the branch.




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UIN shall be allotted to all Forms 15G/15H received after 01.12.2015

29. Modification in SB219 (Unnati) & CA113 (Pragati) Schemes (HO Cir CS&P/49/2015-16/773 Dt. 31-12-2015) – It has been decided to discontinue the accidental insurance cover forall accounts opened under above schemes wef 01-02-2016. In case of existing customer the

insurance cover will cease after completion of existing validity period.

30. Revised exposure sub-ceiling based on the constitution of borrower within theoverall exposure ceiling of single borrower (HO Cir RMD/62/2015-16/771 Dt. 01-01-2016) –

Constitution Exposure Ceiling (amt inCrores)Other thanReal Estate

Real Estate

Individual borrowers for personal loans for non-business(otherthan schematic loans) on secured basis only

5.00 5.00

Sole Proprietary Concerns, HUF* 50.00 30.00Partnership Firms/ Trusts / Regd. Societies/ Associations / LLP 100.00 50.00 AOP 100.00 50.00Pvt. Ltd. Co. ( which is not a subsidiary or holding co. of aPublic Ltd. Co.

750.00 200.00

Closely held Public Ltd. Co. owned by Central/ State Govt. 1000.00 250.00Closely held P. Ltd. Co. 1000.00 200.00Widely held Public Ltd. Co. / Statutory Bodies / Pvt. Ltd. Co./Closely Held Public Ltd. co. * which is a subsidiary or holdingco. of a widely held pub ltd. co.

15% ofcapital fund

400.00

Note : 1. CAC/MCB shallb e competent authority to relax the above norms.

2. No loans to be granted to Partnership / proprietorship concerns against the primarysecurity of shares and debentures.

31. Interest on FDR‟s made in the name of Registrar General of the Court or the depositor of thefund on the directions of the court will not be subject to TDS till the mater is decided by the court. (HO Cir ACT/17/2015-16/769 Dt. 31-12-2015)

32. The last date for enrolment under PMJJBY (without certificate of good health) has beenextended from 30-11-2015 to 31-05-2016. (HO Cir MKT/INS/49/2015-16/765 Dt. 23-12-2015)

33. Introduction of Direct Menu Codes on *99*53#By NPCI (Mobile Banking )(Ho Cir ADC/8/15-16/732) – NPCI has introduced Direct Menu in NUUP service with short code suffixedwith individual banks for the customers. The Direct Code have become operational from 15-12-2015. The Directo Menu Code for OBC is *99*53#.

34. IBA Model Educational Loan Scheme - A Common Portal Vidya Lakshmi ElectronicPlatform (Ho Cir Retail:48:2015-16:715 Date : 10.12.2015) - NSDL has developed a portalnamely “ Vidya Lakshmi Electronic Platform” , the features of which are as under:1. Single window for students about information of government scholarships and education loans ofbanks.2. Single loan application for students for all banks connected to the portal.3. Linkages of portal to banks‟ systems




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4. Dashboard for students to track status of loan applications5. Mechanism for students to communicate with banks.

35. Modification in Flexi period (SB211 & CA 109) (Ho Cir CS&P/41/2015-16/691 Date :01.12.2015)

Revised Flexi PeriodScheme Individuals Non IndividualsCurrent AccountPremium Gold(CA-109)

45 days to 1 yearDefault period 45 days a) 46 days to 90 days

Default period 46 daysb) 91 days to 179 days

Default period 91 daysSaving Smart Save

(SB-211)

91 days to 59 Months

Default period 91 days

91 days to 179 days

Default period 91 days

36. WAIVER OF PROCESS FEE IN SCHEME FOR LOAN AGAINST WAREHOUSE RECEIPTS /NEGOTIABLE WAREHOUSE RECEIPTS (NWR) (HO Cir RD&PS: 62:2015-16:68918.11.2015) - Waiver of process fee for proposals sanctioned up to 31st March, 2016. The revisedguidelines shall be applicable on the proposals sanctioned/ renewed/ enhanced on or after the dateof approved by CRMC

37. CHIEF PUBLIC INFORMATION OFFICER UNDER THE RIGHT TO INFORMATION ACT 2005 (HOCir HRD&PS: 73/66/2015-16/681 30.11.2015) - Shri E.J. Jerome John, Asstt. GeneralManager, Recovery & Law Department, Corporate Office, Gurgaon has been designated as Chief

Public Information Officer under the Right to Information Act, 2005 at Head Office

38.Overdraft in PMJDY a/cs to be classified under PS (HO Cir NO.RD&PS/61/ 2015-16/660dt. 20-11-2016) – The OD in PMJDY a/cs will be classified under MSME instead of others categoryunder PS advances, provided the borrowers household annual income does not exceed Rs.1.00 Lacfor Rural Areas and Rs.1.60 Lac for non-rural areas. These ODs will also be qualified for target forMicro Enterprises and Weaker Section under PS Lending.

39.Board has approved that BCA/BF shall be paid Rs.3/- per account for Aadhaar Seeding inexisting saving bank accounts through Micro ATMs or submitting Aadhaar details in branches for Aadhaar Seeding. (HO Cir NO. RD&PS/60/ 2015-16/659 dt. 19-11-2016)

40. Education Loan – Bos must not seek collateral for EL uptp 4.00 Lacs as pwer extantregulatory guidelines. Also note that Service Area Approach is not applicable to EL. (HO Cir NO.Retail/42/ 2015-16/655 dt. 17-11-2016)

41. Sampoorna Kavach Plan – Micro Insurance Product by Canara HSBC OBC LifeInsurance(CHOICe) – (HO/MKT/INS/ 38 /2015-16/ 653 16.11.2015)Product Type: Annual renewable Group Term Insurance productEntry Age: 18Coverage Term: One year renewable cover 59 Years (as on last birthday)Premium Mode: One-time (renewable every year)Premium Amount: Rs. 100/- p.a. inclusive of Service Tax.




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Sum Assured: Rs.50,000/-Maturity Benefit: No maturity / surrender benefit payableRisk Covered: The Scheme covers natural death and death due to accidentMaster Policyholder: It is issued to Group Administrator (OBC) and individual members will beissued the Certificate of Insurance

Premium mode: Annual premium to be deposited in CHOICe collection a/c online, cash paymentnot to be acceptedProduct offered to: all saving bank a/c holders except nonresident accountsDocuments required: The customer is required to provide only the duly filled enrolment form. IDproof or address proof is not required under this scheme

42. Govt. of India vide its notification number 22/2015 – service tax dated 06-11-2015 has imposed “Swatch Bharat CEss” @0.50% wef 15-11-2015 for all the branches accept the branches located inthe State of Jammu & Kashmir. (HO Cir No. ACT/13/15-16/ 632/ 07-11-2015)

43. New Missed Call service for Minin Statement (Ho Cir No. DIT/SMS/20/15-16/523 dt

30-09-2016) – Customers who have registered for SMS facility need to give a missed call toBank‟s no. (8067205767), the system will send a SMS of the balance and mini statement for lastthree txns. Of the most recently transacted accunt lined with the mobile no.

44. Opening of CA by Banks – Need for Discipline (HO Cir Operations/03/2015-16/0512 dt.30-09-2016) – Keeping in view the importance of credit discipline, especially for reduction in NPAlevel in banks, banks are advisd to make use of the information available in CRILC and not limithteir due diligence to seeking NOC from the Bank with whom the customer is supposed to beenjoying the credit facilities as per his declaration. Banks should verify from the data available inCRILC atabase whether the customer is aviling of credit facility from another bank.

45. Addition of Mobile No. in all Retail Loans Accounts (HO Cir: Retail:33:2015-16: 493dated 24-09-2016) – It has been decided that mobile no. be captured in all fresh account and inexisting a/c the latest mobile no. should be updated.

46. Home Loan – PS Targets (Ho cir NO. Retail:31:2015-16:472 Date:18.09.2015)-Following housing loans shall be eligible under Priority Sector subject to classification guidelines/directives issued by RBI from time to time. (i) Loans to individuals up to Rs.28 lakh in metropolitancentres (with population of ten lakh and above) and loans up to Rs.20 lakh in other centres forpurchase/construction of a dwelling unit per family provided the overall cost of the dwelling unit inthe metropolitan centre and at other centres should not exceed Rs.35 lakh and Rs.25 lakhrespectively. The housing loans to banks‟ own employees will be excluded.(ii) Loans for repairs to damaged dwelling units of families up to Rs.5 lakh in metropolitan centres

and up to Rs.2 lakh in other centres.(iii) Bank loans to any governmental agency for construction of dwelling units or for slum clearanceand rehabilitation of slum dwellers subject to a ceiling of Rs.10 lakh per dwelling unit.(iv) The loans sanctioned by banks for housing projects exclusively for the purpose of constructionof houses for economically weaker sections and low income groups, the total cost of which does notexceed Rs.10 lakh per dwelling unit. For the purpose of identifying the economically weakersections and low income groups, the family income limit of Rs.2 lakh per annum, irrespective of thelocation, is prescribed.Staff loans granted to the employees of the bank including loans granted underconsumer banking (home loan granted under general public scheme) are not to be classified as priority sector.




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47. Loan Application, Process Note & Internal Rating for Loans upto `50,000/- underMSE Sector to be Covered under PMMY (HO Cir No. RD & PS:48:2015-16:453 11-09-2015) – (1) Fiield functionaries are advised to use One Pager Loan Application & Processing Notefor the MSE loan upto `50,000/-.(2) Internal Rating- Internal rating is not required for the MSE loan sanctioned upto `50,000/-.

(3) Clarification on Collateral Security/Third Party Guarantee-We clarify that as per RBIguidelines, no collateral security is to be obtained for MSE loans sanctioned upto `10.00 lakh.(4) MUDRA Card -In order to provide hassle free credit to Micro Entrepreneurs where workingcapital requirement is upto `20,000/-, this facility may be allowed through Over Draft and MUDRADebit Card may be issued for withdrawal of cash.

48. Classification of Industries under Thrust, Restricted & General Area of Lending (Hocir No.RMD/38/2015-16/414 dt. 31-08-2015 – 1. Engineering shall be classified underGeneral Area of Lending for all pruposes including NBG approval.

49. FIR to be lodged with local police/state CID and CBI in Fraud Cases - (HO Cir I&C/

33/2015-16/407) -Sl.NO.

Criterial Bank‟s Authoritywho wouldlodge theFIR

Officer of the polic/ CBI withwhom the FIR is to be lodged

1 Fraud with value above Rs.10000/-but below 1.00 lac

BranchIncumbent

Local Polic Station

2 Rs.1.00 lac & aboge involvedoutsiders and bank staff

Regional Head To be lodged with State CID/Economic Offence Wing (EOW) ofthe State concerned

2.1 Fraud with value Rs.300.00 Lac andabove but below 2500.00 Lac wherethe staff involvement is prima facieevident

Regional Head To be lodged with Anti CorruptionBranch (ACB) of CBI

2.2 Fraud with value Rs.300.00 Lacs andabove but below Rs.2500 lacs, wherethe staff invomvenent is prima facienot evident

Regional Head To be lodged EOW of CBI

2.3 Freaud with value Rs.2500.00 lacsand upto Rs.5000.00 Lacs

Regional Head To be lodged with Banking Securityand Fraud Cell (BSFC) of CBI(irrespective of involvement of apublic servant.

2.4 Morethan 5000.00 Lacs Regional Head To be lodged joint director (policy)CBI, HQ New Delhi

In case of amt. involved Rs.300.00 Lacs and above, the draft of the FIR should be got vetted fromthe Law Department at HO. The draft may be routed through Vigilance Department where the draftwould be scrutinised and be sent to the Law Department for vetting.

50. Preparation of Standarized MIS Code sheet (part of process Note and sanction ofloan accounts) (HO Cir MIS/ 03/2015-16/385 dt. 18-08-2015) - 1. The Mis Sheet shall beintegral part of all renewal and fresh sanction at all sanctioning level.




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3. Verification of MIS sheet and correction of data shall be integral part of BCC closure. SuitableColumn/Row be incorporated in BCC Format.

51. Alignment of Saakshar Bharat with Pradhan Mantri Suraksha Bima Yojana (PMSBY)(HO Cir No. MKT/INS/25/2015-16/381 18.08.2015) - The “Saakshar Bharat Mission” is

operational in rural areas of 410 districts of the country, where adult female literacy rate was 50percent or below as per 2001 Census. The principal focus of the Mission is on women besides SCs,STs, Minorities and other disadvantaged groups. A good number of accounts were mobilized frombeneficiaries of Saakshar Bharat Mission under Pradhan Mantri Jan Dhan Yojana (PMJDY). As partof the Financial Literacy, it is now proposed to promote the Pradhan Mantri Suraksha Bima Yojanain a major way among the nearly 35 million learners who have successfully passed the assessmenttests and certified as literate

52. Revised ROI in Case of Loan Agains Bank‟s Own Deposi t (Ho Cir RMD/29/2015-16/377 dt. 14-08-2015) - (1) Advance against self deposit – 1% over the applicable rates ofinterest on deposits. (2) Advance against 3rd party deposit – 2% over the applicable ratre of interest

on deposits with a floor of base rate.

53. Udyog Aadhaar for MSME Registration (HO Cir RD & PS:37:2015-16:362 05-08-2015)We have been informed by Indian Banks‟ Association (IBA) that Kamath Committee Report onFinancial architecture of MSME sector has given several recommendations includingrecommendation for universalization of registration. In consonance with the recommendation of theKamath Committee, and to improve ease of doing business, the Ministry of MSME through NIC hasdeveloped a web portal (http://em.msme.gov.in) for online filing of Entrepreneurship MemorandumI and II – required for obtaining MSME registration. In addition to simplifying the registrationprocess, the MSME registration form has also been simplified. Under one page simplifiedRegistration form "Udyog Aadhaar", the MSME‟s will self -certify its existence, bank account details,business activity details, promoter/owner‟s Aadhar, employment and ownership details and otherinformation required. Based on the simple form submitted, the business would be issued, a uniqueidentifier or Udyog Aadhaar making the unit formally registered as a SSI or MSME. Udyog Aadhaarregistration will enable the units/enterprises to seek information and apply online for variousservices being offered by various ministries and Departments. It will also help in creation of a database for MSMEs.

54. TDS ON TERM DEPOSITS INCLUDING RECURRING DEPOSITS AND VARIABLEPROGRESSIVE DEPOSITS (HO CIR CS&P/19 /2015-16/332 July 22, 2015) -The bank isliable to deduct TDS on various payments made to the depositors, vendors and professionals etc.Reference is invited to Circular No. HO/ACT/05/2015-16/195 dated 01.06.2015 on “Income TaxProvisions in respect of Tax deducted at source (TDS)” vide which detailed updated guidelines

relating to tax matters (TDS) to be strictly followed at branches/Regional Offices/Head Office levelhave been issued.As per Income Tax Act the meaning of the word “time deposits means depositsincluding recurring deposits repayable on the expiry of fixed periods. Earlier, TDS was not deductedon Recurring Deposits and Variable Progressive Deposits but with effect from 1st June 2015 – TDSon Recurring Deposits would be deducted @ 10% under Section 194A if the interest credited orpaid (likely to be credited or paid) during the Financial year exceeds Rs 10000/- for bank as awhole.

55. Rights of transgender persons – Changes in bank forms/applications etc ( CircularNo. HO/CS&P/18/2015-16/331 July 22, 2015) - It has been brought to RBI notice thattransgender persons face difficulties in opening accounts as there is no provision for them in the

account opening and other forms. In this connection, RBI has advised the banks to refer to the




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judgement dated April 15, 2014 of the Supreme Court in the case of National Legal Services Authority v. Union of India and others [AIR 2014 SC 1863: (2014) 5 SCC 438] on treating alltransgender persons as third gender. The Supreme Court, in that case, upheld transgenderpersons right to decide their self -identified gender and directed the Centre and State Governmentto grant legal recognition of their gender identity such as male, female or as third gender. RBI vide

their Circular No. RBI/2014-15/572 DBR.No.Leg.BC.91/09.07.005/2014-15 dated 23.04.2015 hasdirected the banks to include third gender in all forms/applications etc. prescribed by the ReserveBank or the banks themselves, wherein any gender classification is envisaged. Keeping in view theRBI instructions/ guidelines on accepting the third gender “Transgender” has been developed andimplemented in CBS. Now user can opt any code amongst as per the help message available inCUMM: - “Enter customer Gender. M - Male, F - Female, T - Transgender, O – Other” All branches are advised to include the third gender “Transgender” on all existing customerIdentification Forms (OF- 1A) and on all other forms lying at the branch till the time revised AOF/forms with the third gender incorporated is made available at the branches.

56. FUNCTIONING OF RETAIL CREDIT PROCESSING CENTRES(RCPCs) (Circular No.

HO:Retail:24:2015-16:327 Date: 23.07.2015) - In order to expedite the processing of theproposal under Housing loan and Oriental Mortgage Loan Scheme and to reduce the turnaroundtime (TAT) 23 dedicated Retail Credit Processing Centres (RCPCs) have been made operational from01.07.2015

57. REDUCTION OF TURN AROUND TIME(TAT)( Circular No. HO: Retail:22:2015-16:315Date: 16.07.2015) This is in reference to the deliberations of the Top Management for reviewingthe strategy of FY 2015-16 held on 4th April‟2015 at Corporate Office Gurgaon. As an outcome ofthe deliberations for the growth of Retail Credit, it was decided that TAT should be reduced asunder: Housing Loan-7 days Vehicle Loan- 24 hours for existing clients & 3 days for newcustomers.

58. Clarification with regard to classification of an enterprise as women entrepreneurs‟ (HO CirRMD/24/ 15-16/308 dt 14-07-2015) – An Enterprise shall be classified as Women Entrepreneurs‟Enterprise where – One or more women entrepreneurs have not less than 51% financial holding. Incase of partnership concerns, one or more women partners have not less than 51% profit/losssharing ratio as per the Registered Partnership Deed. (for concession in ROI to women enterprises)

59. Framework for dealing Fraud in Large Borrowal Accounts of `50.00 crore and above – Identification and reporting of Red Flagged Accounts (RFA) (Ho CirCMC/RFA/17/2015- 16/300 Dated 04.07.2015) -a) Concept of Red Flagged Account (RFA), on the basis of signals reflected by EWS is importantstep in fraud risk control, Identifying Early Warning Signals (EWS), suspicion of fraudulent activity.

b) Thresh hold limit for RFA & EWS is an exposure of Rs.50.00 Cr or more at the level of bank,irrespective of the lending arrangement.c) All the Fraud classified as RFA must be reported on the CRILC (CentralRepository of Information on Large Credit) data platform.d) CRILC platform is being enabled to accept the RFA and Fraud categories shortly.Formation of Fraud Monitoring Group (FMG), for the purpose of classifying the accountunder RFA as per alert observed in EWS.a) The Officer responsible for the operation in the account shall report any manifestation of theEWS, promptly to Fraud Monitoring Group (FMG) constituted by the bank, such officer may be heldresponsible for non- reporting or delay in reporting of fraud. b) The FMG should report the details of loan accounts of Rs.50.00 Cr and above to the MD &CEO

every month where EWS are observed.




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c) A report on Red Flagged Account (RFA) shall be put up to the Special Committee of the Board formonitoring and follow up of Frauds (SCBF).

60. Levying of Penalty of 1% on Premature Withdrawal; for Individual Term Deposits(including NRO and NRE Deposits) Above Rs. 15 Lakhs and for Non-Individuals

irrespective of amount; issued/renewed on or after 10.07.2015 (HO CirHO/CS&P/15/2015-16/290 July 09, 2015) (a) It has now been decided to levy penalty on Premature withdrawal of Term Deposits ofIndividuals (including NRO and NRE deposits) above Rs. 15 Lakhs.(b) It has now been decided to levy penalty on Premature withdrawal of Term Deposits of NonIndividuals irrespective of amount.

61. As per I&C Circular no. HO: I&C: 2015-16:12:136 dated 11.05.2015 on Frauds in Vehicle loan accounts, Branches are advised that in case of Tractor loans, paymentshould be made directly to the manufacturing company (HO Cir RD & PS:31:2015-16:27703.07.2015)

62. Keeping in view the high Gross NPA in the Edible Oil & Vanaspati Industry in our Bank‟sportfolio, Edible Oil & Vanaspati shall be classified under Restricted Area of Lending.”




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Considered under Priorit

RETAIL CREDIT PRODUCTS

Oriental Education Loan Scheme (studies in India & Abroad)

Eligibility Student who is an Indian national, meritorious student and has secured admission in aninstitute recognized by a statutory body or abroad through entrance test/ merit basedselection process after completion of HSC (10+2 or equivalent).

Assessment of loan will be bases of employability and earning potential of the studentupon completion of the course ensuring repayment of loan through future installments.

In case of admission under Management quota, meritorious student who qualified for aseat under merit quota for reason of convenience or choice of courses shall be consideredeligible.

MoratoriumPeriod

Repayment Holiday / Moratorium Course Period + 1 year Grace period – 12 Months after completion of course RLCC-RH is empowered to allow for moratorium taking into account spells of under-

employment/unemployment two or three times (maximum of 6 months at a time) during

the life cycle of the loan. Simple interest is to be charged during this moratorium period. Moratorium period for working persons may be considered upto study period only. Banks may also encourage student borrower who wants to set up start-up units by giving

moratorium on repayment of principal and interest during incubation period which may beconsidered upto 2 years(apart from the original moratorium). RLCC-RH is the designatedauthority for this.

Regional Heads are empowered to permit extension in study period upto a maximum oftwo years, in cases where the student is not able to complete the course/study for reasonsbeyond his/her control after examining the facts and genuineness of the case. In case thestudent discontinues the course midway appropriate repayment schedule will be workedout in consultation with the student/parents.

Loan Amt Term LoanIndia – Rs.10.00 Lac

Abroad – Rs.20.00 lac-Higher loans can be sanctioned by HO/RO authoritiesCategory A Category B Other institution

` 25.00 Lacs WithoutCollateral Security

` 10.00 Lacs WithoutCollateral Security

Actual as per fee structureof Institution

In case higher loan limit is requested (from the above mentioned limit) for category A & Binstitutions, 100% tangible security with value equivalent to loan amount is required. Higheramount can be sanctioned by Head Office/ Field functionaries as per Discretionary power chart)

Margin /ProcessFee

P/Fee- For study in India – NilFor study abroad – Up to ` 4.00 Lacs – Nil; Above ` 4.00 Lacs - 1% of loan amount to berecovered upfront, subject to minimum of Rs. 10000.00 plus service tax, if any.

If the student applies through Vidya laxmi Portal, he/she will be required to pay fee/charges, if any levied by NSDL.

Scholarship/assistantship can be treated as margin.

Category A Category B Other Institutions

NIL NIL Up to ` 4.00 Lacs NIL

Above ` 4.00 Lacs 5% For studies in India

15% For studies Abroad

Rate ofInterest

Institutions Rate of InterestFor Category A Base RateFor Category B BR+0.50%Others- General &

working Professionals

Up to ` 4.00 Lacs BR + 2.50%

Above ` 4.00 Third Party Guarantee BR + 3.00%




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Lacs & Upto `7.50 Lacs

Immovable Property orTangible Assets

BR + 1.75%

Above ` 7.50 Lacs BR + 1.75%

For VocationalEducation

BR+2.50%

Simple interest till moratorium period. If the monthly interest is serviced during moratoriumperiod, concession of 1% in ROI is allowed. 0.50% concession on ROI for women beneficiary.SC/ST & disabled students. However, the 0.50% concession will be available for only onecharacteristic

Security Co-obligation of Parents / Guardian. In case of married person, co obligator can be eitherspouse or parent or parent in law. Parental co-obligation can also be substituted by a suitablethird party guarantee, power vested with RLCC-RH. (Circular No. HO:Retail:39:2014-15:764 dated 19.12.2014)For category A & B institution:Institutions Loan Limit Collateral SecurityFor Category A institutions Upto ` 25.00 Lacs NILFor Category B institutions Upto ` 10.00 Lacs NIL

For other Institution:Up to Rs. 4 lac –Nil, > Rs.4 Lac to Rs.7.50-Lac:- One Guarantee.> Rs. 7.50 :Mortgage /Extension of Charge or NSC/ UTI / LIC / FDR/Bonds along with assignment of all future income( For serving professionals/Executives & Defence Personnels: One personal guarantee and postdated cheques from salary account)

Repayment Irrespective of loan limit – Upto 15 YearsDiscretionery POwer

Category For study India/ Abroad(Rs. In lacs)

Scale I 7.50Scale II 10.00Scale III 15.00Scale IV 20.00

AGM & RLCC AGM 25.00DGM & RLCC DGM 30.00GM & RLCC GM 40.00HLCC ED & ABove 100.00

Points to remember for interview purpose: Normally the loan shall be disposed off within 15 days of receipt of duly completed

application with supporting documents. Rejection of loan application, if any, shall be done byreferring the matter to the next higher authority with valid reasons for declining the proposaland obtaining their permission.

Education loan for diploma/ degree courses simultaneously may also be considered for two/

dual courses provided by the educational institution. Sanctioning authority can consider co-obligation of one parent where it is not feasible, as in

the case of widow/ widower/ divorcee/ separated/ estranged parents/ single parents/ oneparent as NRI etc.

Sanctioning authority, on merit, can accept two alternate joint borrowers of sound means, incase of student whose parents are having adverse remarks in their credit history (CIBIL etc.)and adverse feature of loan account standing in their name.

For category A & B Institutions: The nodal branch located nearby to Category A & Binstitutions shall sanction education loan proposal at their branch, however they mayforward the application to the branch situated nearest to the residence/ native place ofstudents, if opted by the students. The sanctioning branch shall comply with other due

diligence and pre sanction visit with the help of branch located nearby residence/ native




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place of student. For other institutions: The loan shall be allowed preferably at the placeof domicile. The Regional Heads may consider/ allow education Loan at a place other thanthe place of domicile on merits. The branches have been allowed to sanction education loanto the students belonging to the same district irrespective of the distance. However, if theloan is to be disbursed by the branch located outside the district of domicile of the student,

the discretion shall lie with the Regional Head. (Circular no. HO:Retail:09:2015-16:121dated 13.05.2015) It is mandatory to obtain life insurance policy on the students availing education loan. (Cir

No. HO/Mktg/JV/10/2013-14/424 dated 31.07.2013) Under component of finance, College bus fare in case of study in India and travel expenses/

passage money for studies abroad are also covered. (Circular No. HO:Retail:39:2014-15:764 dated 19.12.2014)

Repayment of loan is generally accepted via Equated Monthly Installment method. However,after moratorium period (study + grace period), many times the salary level at start of thecareer of the student may not facilitate comfortable payment of EMI, in such a situation,Telescoping / Stepped-up installment method can be adopted. However, the Regional

Head is authorized to permit such Telescoping / Stepped-up installment option afterexamining the repaying capacity of student. In this method, installment amount will be oflesser amount (but shall be more than accrued monthly interest).

Existing Education Loan borrowers, who had availed Education Loan with a repaymentperiod upto 10 years shall have the opportunity of getting the repayment period extendedupto 15 years, as the case may be, and the same shall not be treated as restructuring.The powers for allowing such extension in repayment period under Education LoanScheme to the existing Education Loan borrowers have been vested with respectiveSanctioning Authority.

NSDL has developed a portal namely “ Vidya Lakshmi Electronic Platform” , whichprovides a single window for students about information of government scholarships andeducation loans of banks and single loan application for students for all banks connected tothe portal. (Cir No. HO: Retial:48:2015-16:715 dated 10.12.2015)

Takeover of Education loan is not permitted. Interest switch over option fee 0.50% of outstanding loan amount as on date (Circular no.

HO:Retail:19:2014-15:442 dated 29.08.2014) As payment of interest is optional during the moratorium period, education loan cannot be

classified as NPA during the moratorium period. (Circular No. HO:Retail:35:2014-15:650 dated 10.11.2014)

In case the education loan becomes NPA there shall not be any reversal of interest accruedduring the repayment holiday/moratorium period. (Circular no. HO:Retail:47:2013-14:1182 dated 28.03.2014)

Under follow up monitoring, branches need to contact college/University to obtain progress

report on the student. In case of foreign study loan Branches shall obtain SSN/Uniqueidentification number/ ID card and note the same in Banks record. PAN card is notmandatory for availing student loan, however, student may be asked to submit PAN duringthe course of studies, if not available at the time of sanctioning. UIDAI may also becaptured in system. For recovery of dues practices such as displaying names andphotographs of defaulting students be stopped herewith. (Circular no.HO:Retail:32:2013-14:841 dated 14.12.2013)

Financing to more than one member of the family will be considered as separate. Educationloan is not a loan for a family as a unit but it is individual wise.

Education loan to the students of study centers/ distance learning mode by someuniversities such as Punjab Technical University/ Manipal University etc is not permissible.




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Medical courses offered by Institutions in Nepal, approved by Medical Council of India onlyare eligible for granting education loan. Any Indian Citizens who intend to obtain primarymedical qualification from any foreign country on or after 15th May‟2013 are not required toobtain Eligibility Certificate from Medical Council of India. (Circular no.HO:Retail:42:2013-14:1035 dt: 07.02.2014)

Caution deposit, Building fund/ refundable deposit supported by Institution bills/ receipts,subject to the condition that the amount does not exceed 10% of the total tuition fees forthe entire course. (An undertaking to be obtained from the student that refund will bedeposited in the deposit/ loan account with the Bank)

Purchase of computers-essential for completion of the course*. Purchase of books/equipments/ instruments/ uniforms*. Any other expenses required to complete the course-like study tours, project work, thesis, etc*. * A realistic assessment may be made for therequirement under these heads, however the maximum amount under these heads becapped at 20% of the total tuition fee payable for completion of course

Discretionary power to consider loan for Commercial Pilot Licenses and Air Hostess ispresently vested with Head Office. In case of commercial pilot course, Life Insurance Cover

shall be obtained. Tuition fee for first semester may be released to the institution without insistingfor visa from the student, subject to the condition that in case the visa is not granted,the parents of the students will deposit the loan amount with up to date interestimmediately.

Service area approach is not applicable to education loan. (Circular No. HO:Retail:42:2015-16:655 dated 17.11.2015).

In all cases, an appropriate affidavit from all joint borrowers need to be obtained containingassignment of future income of the student on getting employment after completion ofcourse for payment of installment.

Padho Pradesh – Scheme (Circular HO: Retail:25:2014:417 dt. 29.08.2014)

Objective The objective of scheme is to award interest subsidy to meritorious studentsbelonging to economically weaker section of minority communities. Studentshould have secured admission for Masters, PHD, M. Phil. Scheme isapplicable for higher studied abroad.

Incomeceiling

From all sources ` 6 Lac (to applicant and his /her parents)

Interestsubsidy

Interest shall be borne by the Govt of India till the moratorium period of eduloan (course period+1years or six month of getting job)

Education Loan – Oriental Skill Loan Scheme(Circular No. HO:Retail:36:2015-16:538 dated 07.10.2015)Objective Oriental Skill Loan Scheme aims at providing a loan facility to individuals who

intend to take up skill development courses as per the Skill Loan EligibilityCriteria

EligiblePerson

The applicant should be an Indian national. There is no minimum age.Minimum qualification as required by institution/ organisation as per NQSF(National Skill Qualification Frameworks)

EligibleInstitute

Any individual who has secured admission in a course run by IndustrialTraining Institutes (ITIs), Polytechnics or in a school recognised by Central orState Education Boards, training partners affiliated with National Skill

Development Corporation (NSDC), State skill mission, state skill corporation




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leading to a certificate/degree/diploma issued by such organisation as perNQSF. There is no minimum course duration.

Loan Limit Rs. 5,000.00 to Rs. 1,50,000.00, Component of finance Tuition/Course fees/ Assessment fees/Examination fees/Library

Charges/Laboratory Fee/ Caution Deposit/ purchase of Books,

equipments and instruments Any other reasonable expenditure found necessary for completion of

the course (As such courses are localised boarding, lodging may notbe necessary based on cost of living in the particular area) however,wherever found necessary, the same shall be considered on merits).

Life Insurance Premium of students, if obtained.ROI BR+2.50%, Scheme: TL646

0.50% concession to women beneficiary, SC/ST & disabled Students.However, the concession will be available for only one characteristic.

Security No collateral or third party guarantee. Parents / guardian to be joint borrower(s) (irrespective of their means and age of student). In case of married

person, co-obligator can be spouse or the Parent(s) / Parent(s)-in-law.MoratoriumPeriod

For Course of duration upto 1 year 6 month from the completion ofcourse

For courses of duration above 1 year 12 month from the completioncourse

Repayment Loans upto Rs. 50,000.00 Upto 3 yearsLoans between Rs. 50,000.00 to Rs.1,00,000.00

Upto 5 years

Loans above Rs. 1.00 Lac Upto 7 yearsThe above repayment period is exclusive of moratorium period.

Process fees Nil, prepayment penalty: NIL

Oriental Car/Vehicle Loan Scheme for General PublicEligibility For two Wheelers - ` 10,000/- per month gross

For Four Wheelers: ` 20,000/- per month gross

For existing Large and Mid corporate borrower Rs 40000 per month

a) Salaried Individuals with confirmed / minimum 1 year of service. The length of

previous employer‟s service(s) may also be taken into consideration for the

criterion of 1 year service.

b) Professionals (including doctors)

c) Business entities Established business for not less than two years.

d) Agriculturist based on their land holding and repayment capacity.

e) Non-Resident Indians- Jointly with Resident Indians (close relative)

OPEN CAR LOAN: Existing Large & Mid Corporate Borrowers (Firm/Company)- Exposure LimitRs. 10.00 crores and above

Loan Amt Two Wheelers - ` 10.00 Lac &Four Wheelers- ` 100.00 Lac (For 2nd Hand car loan – 25 Lac) In case of salaried person 30 month gross salary/ pension subject to take home criteria basedupon gross monthly income as below:

Upto ` 50000/- pm 40% Above ` 50000/-pm 30%




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ROI

For 2nd hand car loan – BR+3.00%* Additional concession of 0.25% in rate of interest for captive/ loyal customers

Tenure NORMAL / CARD RATEUp to 3 years BR+0.50% Above 3 years BR+0.75%

Reimbursementof finance

1. Reimbursement of finance for new four wheelers purchased out of own funds from theauthorized Car dealer.

2. The reimbursement shall be within 3 months of purchase and shall be treated as newvehicle loan

Margin / ProcessFee

15% on on-road cost Old Car: True value(TVS): 20%, Others (Non TVS): 30% Process Fee: 0.50% Max. Rs.7000Prepayment Penalty / documentation charges/ upfront fee- NIL

Repayment New Car 84 Months ;For salaried(pension)

For non pensionersalaried

Business/professional Agriculturist

60 Years 65 Years No age bar Duration of cropFor 2nd Hand car loan:

Age of Vehicle Repayment PeriodIf car is older than 3 yrs & upto 4 yrs. 36 MonthsIf car is older than 2 yrs & upto 3 yrs. 48 Months

If car is upto 2 yrs old 60 Months

Security Hyp. Of New Two wheeler / Four wheeler purchased out of Bank FinanceFor Two wheelers If borrower gross monthly income is below

`30000.00 One personal guaranteeFor Cars/MUVs If borrower gross monthly income is below

`40000.00 One personal guarantee

Incase of 2nd

hand car One third party guarantee acceptable toBank

Show room price + one time road tax + Registration Charges & First year‟sinsurance costOPEN CAR LOAN: Hyp. Of new CAR/ MUV, Collateral :NIL

Discretionery Power Scale For Two wheeler For New Car 2n Hand Car Loan

I ` 1 Lac ` 6 Lac ` 2 LacII ` 2 Lac ` 10 Lac ` 5 LacIII ` 2 Lac ` 20 Lac ` 5 LacIV ` 2 Lac ` 30 Lac ` 10 Lac V ` 2 Lac (As RH 10

Lac)` 50 Lac (As RH ` 100Lac)

` 15 Lac (As RH samepower)

VI ` 2 Lac (As RH 10

Lac)

` 100 Lac (As RH ` 100

Lac)

` 15 Lac (As RH ` 25

Lac) VII ` 2 Lac (As RH 10

Lac)` 100 Lac (As RH ` 100Lac)

` 15 Lac (As RH ` 25Lac)

Points to remember for interview purpose:1. The payment to car dealer will be made on case to case basis i.e. condition of sourcing 10

cars is waived. (Circular no. HO:Retail:39:2014-15:764 dated 19.12.2014)2. Income of spouse,Father,Mother, Brother, Son, Daughter in law & Unmarried daughter can

be co-applicant in the account. (Circular no. HO:Retail:34:2014-15:649 dated11.11.2014)

3. Close relative in case of NRI for considering Retail Loan are Spouse, Father, Mother(including step mother), Son (including step son), Son‟s wife, Daughter (including step

daughter), Daughter‟s husband, Brother (including step brother), Brother‟s wife, Sister




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(including step sister), Sister‟s husband. HUFs are not eligible. (Circular no.HO:Retail:32:2014-15:610 dated 27.10.2014)

4. In case the vehicle is financed in the name of company, there is no need to register thecharge with ROC as specify charges or vehicle is already registered with RTO forhypothecation of charge. (Circular no. HO:Retail:14:2014-15:217 dated 19.06.2014)

5. In built sanction of four wheeler loan to borrowers availing regular loan credit facilities fromBank for last one year. Validity of sanction upto one year/ date of renewal whichever isearlier. Loan limit Income upto Rs. 50000 p.m. – Rs. 5.00 Lac and And Above Rs. 50000p.m. – 10 Lac. Equivalent to 20 times of gross annual income. Process fee shall be chargedat the time of disbursement only. Clause of per car sub limit is removed for RLCC. (Circularno. HO:Retail:14:2014-15:217 dated 19.06.2014)

6. Classification of advance will be as per activity of borrower. Same chassis no. & Engine no.Be mentioned on Vehicle; Invoice & RC Book.

7. POA (Loan Doc -35/5.1) waived for Vehicle Loan Account, however, in order to mitigate therisk, the content of the POA be taken in the form of Undertaking/affidavit from the obligantsalongwith Form no. 29 and Form no. 30 (RTO form). (Circular no. HO:Retail:40:2015-

16:638 dated 09.11.2015)

Housing Loan (Oriental Home)

Eligibility Salaried employees , Self Employed. Professionals, Businessmen, Farmers ,HUF.(including Staff, NRIs & PIOs) having assured source of income.

Loan Amt

For Business man- 40 times Gross monthly Income and for salaried person-60 times Gross monthly IncomeRs.15.00 lac(Furnishing) (restricted to 30% value of present realizable value ofhouse / flat)

Priority

Sector

Population Loan Amount Overall cost of house

10 Lac and above 28.00 Lac 35.00 LacOther Center 20.00 lac 25.00 Lac

Loans for Repairs to damaged dwelling unit of families upto Rs. 5.00 Lac inmetropolitan centres and up to Rs. 2.00 Lac in other centres. Loans granted forconstruction of toilet in the house qualify for classification under priority sector

ROI Irrespective of loanlimit

Base Rate

For 3rd houseonwards

BR + 0.50%

Margin /Process

Fee

Net Take home CriteriaUpto ` 5 Lacs 50% Relaxation under RLCC by

5% Above ` 5 Lacs & Upto ` 10Lacs

40% Relaxation under RLCC by5%

Above ` 10 Lacs 30% Relaxation under RLCC by5%

Margin:Loan Amount Margin LTV ROI≤ 30.00 Lac ≥ 20% ≤ 80% BR

≥ 10% to < 20% > 80% to ≤90%

BR+0.10%

> 30.00 Lac to Rs. ≥ 25% ≤ 75% BR




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75.00 Lacs ≥ 20% to < 25% ≥ 75% to <80%

BR+0.10%

> Rs. 75.00 Lacs ≥ 25% ≤ 75% BRFor Home Furnishing 25% of total cost of renovation/ furnishing Prepayment penalty is Nil.

0.50% of loan amount subject to maximum of Rs. 20000/- plus service tax, ifany. 100% concession under Festival Bonanza Offer (Circular noHO:Retail:40:2014-15:771 dated 29.12.2014)

Age Minimum Age: 18 years as on date of applicationMaximum Age:For salaried (with pension) & otherIndividuals

upto 70 years

For Salaried (Non Pensionable) upto 60 years or superannuation,whichever is earlier

Repayment For Home Loan –Upto 360 months, including the moratorium period of 18months subject to age of dwelling unit as under:

Age of Dwelling unit less than 10 Years Maximum 30 Years Age of dwelling Unit Older than 10 Years Maximum 25 Years For Home Furnishing Loan Maximum of 120

Months

Security Primary Equitable/ Registered Mortgage of financed property/property proposedto be furnished; Collateral- Nil

Powerchart(Scale Vto VII – as RH

or BI)

w.e.f. 15.11.2014Scale Purchase/construction Repair/ and (Oriental Personal loan

home loan scheme for existingborrower)

I ` 10 Lac ` 3 Lac

II ` 25 Lac ` 5 LacIII ` 50 Lac ` 10 LacIV ` 100 Lac ` 10 Lac V ` 150 Lac ` 15 Lac (As RLCC RH ` 15 Lac) VI ` 300 Lac ` 15 Lac (As RLCC RH ` 15 Lac) VII As RLCC RH ` 500 Lac ` 15 Lac (As RLCC RH ` 15 Lac)HLCC-ED

Full Full

Points to remember for interview purpose: The criteria for assessing MPBF by Gross Income is removed. MPBF be assessed on the basis

of Margin & Net Take Home Criteria only, whichever is less. (Circular No.HO:Retail:48:2014-15:980 dt: 17.03.15

As per RBI guidelines, In cases where the cost of the house/dwelling unit does not exceed `10.00 Lacs, stamp duty, registration and other documentation charges may be added to thecost of the house/dwelling unit for the purpose of calculating LTV ratio. (Circular No.HO:Retail: 46:2014-15:952 dt: 07.03.15)

In case of professionals, Self Employed person and business man, two years averageincome be considered for arriving MPBF under home loan scheme. However, it must beensured that two IT returns not to be filed together in same financial year .However, RLCC-RH is permitted to relax this condition on merit of the case. (Circular No.HO:Retail:44:2015-16:680 dated 30.11.2015)




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The interest switch over option shall be available to existing borrower on any occasion,irrespective of loan limit 0.50% of outstanding as on date of switch over subject tomaximum of Rs. 50,000.00. Borrower can exercise Interest Switch Over any number oftimes. It shall be also available to Fixed Interest rate home Loan scheme. (Circular no.HO:Retail:16:2015-16:258 dated 29.06.2015)

For non salaried(self employed /small business/ Traders) where ITR are not filed: subject tocomplete satisfaction of the sanctioning authority as regard to the earning/income vis-s-visrepayment capacity of the borrower in this category by subjective/objective means availableat his command. Housing loan to this categoryof borrower with a maximum limit of Rs. 5.00lacs is permitted. As per IT rule, IT return upto Rs. 2.50 lac is not mandatory to file.(Circular no. HO:Retail:16:2015-16:258 dated 29.06.2015)

Home loan shall be allowed for purchase of flat/ house after obtaining the following:o Certified copy of approved construction plan/ map (wherever applicable)o An affidavit cum undertaking the the house / flat has been constructed as per

sanctioned plano Building byelaws and as far as possible has a completion certificate. A registered

architect appointed by the Bank must also certify before disbursement of loan thethe built up of property is strictly as per sanctioned plan and/or building bye laws.(Circular No. HO:Retail:44:2015-16:680 dated 30.11.2015)

No loan shall be given in respect of properties meant for residential use but which theapplicant intends to use for commercial purposes.

Service tax paid by Builders to be treated as component of finance. (Circular No.HO:Retail:44:2015-16:680 dated 30.11.2015)

State Govt. of Bihar has passed Bye Laws through notification dated 29.01.2015 wherein theconditions of pre-approved map plan upto plot size not more than 300 sq meters has beenexempted subject to compliance of terms & conditions stipulated in Bihar Extra OrdinaryGazette notification dated 29.01.2015. Hence, the branches in the State of Bihar need notinsist for sanction plan by the competent authority subject to condition that the plot is notmore than 300 sq meters. The above relaxation is subject to above mentioned conditions.However, loan disbursing branches shall keep copy of such Bihar Govt. notification along-with loan documents. (Circular No. HO:Retail:10:2015-16:206 dated 10.06.2015)

Value to loan ratio should be kept at 150% (or Loan to Value Ration to be kept at 66.67%)in case of extension of charge in other loan account. (Circular no. HO:Retail:32:2014-15:610 dated 27.10.2014)

ROI for 3rd House onwards is BR+0.50%. Along with GLPP premium, Purchase price &installation charges of rooftop Solar PVs and non solar lighting, wiring and other such fittingsshall also constitute component of finance. (Cir/HO: Retail:39/2014-15:764 dated19.12.2014).

Power to Takeover of HL is delegated to BM provided account should be classified as

standard Regular by the other Bank and there should not be any rephasement/reschedulement in the account in the last 3 years. Certificate from Bank/ FIs waived.(Circular No. HO:Retail:44:2015-16:680 dated 30.11.2015)

Loan amount for purchase of plot should not exceed 50% of the eligible loan amount. Sanctioning of Home loan to borrower who defaults in CIBIL reports other than Credit card

account lies with HLCC-ED. (Circular no. HO:Retail:40:2013-14 dated 23.01.2014) Banks charge of mortgage shall be noted in the Central Registry System within 30 days of

creation of such charge Tie up arrangement with Builders for housing loans should be made at initial stage of

launching of the project. Tie up with the builder is also beneficial for borrower‟s point ofview since expenses on NEC are saved and delivery of credit facilities is speedy. (Cir No.

HO/Retail/61:2015-16:873 dated 04.02.2016)




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The clause regarding first right to refusal by our Bank be invariably incorporated in thesanction letter of housing projects financed by the Bank. (Circular no. HO:Retail: 06:2014-15:18 dated 09.04.2014)

Power of Concession in ROI to RH To captive/loyal customers who are having annualaverage balance in their saving account Rs. 1.00 Lacs or in current account Rs.5.00

Lacs and above. As well as to Directors, Partners or Proprietor of all Cash Credit accountholders having Credit Rating upto “4” for last 24 months The penal interest shall be charged at the rate of 2% over and above the normal rate of

interest on irregular amount of loan and for the period of irregularity Oriental Home Loan Point is launched at New Railway Road branch (0071) Gurgaon with the

objective of marketing of Retail Loans, expeditious sanctions and disbursement within 5working days. (Circular no. HO:Retail:37:2014-15:705 dated 27.11.2014)

All home loan account to be reviewed annually. (Circular no. HO:Retail:31:2014-15:589 dated 17.10.2014)

Wherever Registered/Equitable mortgage cannot be created in case DDA, HUDA etc.Undertaking as per annx 14, security documents such as Annx 17 & 18, Power of

attorney as per annex. 6 and letters from borrowers to reinforce the right of the Bank torecover its dues. (Circular HO:Retail:30:2014-15:588 dated 17.10.2014) Maximum limit of eligible housing loans under CRGFS has been enhanced from the present

ceiling of Rs. 5 lac to Rs. 8 Lac. (Circular no. HO:Retail:33:2014-15:619 dated01.11.2014)

No home loan to be considered for HUF entities or to partnership firms where HUF is apartner. (circular no. Retail:22:2013-14:578 dated:17.09.2013)

Terms of Repayment EMI; or servicing of interest during moratorium period (Max 18 months) Payment of only interest for first five years and thereafter EMI Request for preponement of repayment period can be considered once during

currency of loan Repayment of agriculturist may be by way ofmonthly/quarterly/half yearly instalments.

If borrower makes bullet payment, EMI can be reset according to residual period.

Rajeev Rinn Yojna (RRY)(Circular No. HO:Retail:27/2014-15:500 dated 19.09.2014)

Eligibility Below Poverty Line(BPL): person holding BPL card issued by StateGovernmentEconomically Weaker Section (EWS): Person having an average

annual income upto ` 1 Lac Low Income Group (LIG): Household average annual income between` 1 Lac and uptp ` 2 Lac

IncomeCertificate

IT Return/Form16, if available Income certificate issued by the competent authority as

notified by the respective State Govt. Notified competentauthority is available onhttp://mhupa.gov.in/RRY/RRY_page.htm

Self declaration form along with income certificateLoan limit For EWS For LIG

` 5.00 Lac ` 8.00 Lac

Interest subsidy Interest subsidy is available for loan amount upto ` 5 lac

http://mhupa.gov.in/RRY/RRY_page.htm

http://mhupa.gov.in/RRY/RRY_page.htm




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Calculation of rate of interest for beneficiary would be net of subsidy fromGOI.

Margin 10%Security Mortgage of unencumbered dwelling unit standing in the name of

borrower

Loans under the scheme are covered under Credit Risk GuaranteeFund Trust for Low Income housing

ROI BRRepaymentperiod

20 Years (maximum)

MoratoriumPeriod

24 months (maximum)Interest charged in the account need to be serviced and can not becapitalizedSubsidy is provided by HoHUPA during the period of moratorium

Process Fee NilRs. 500.00 is provided by Ministry and same may be treated as

process feeSize of dwellingunit

Size of dwellingunit

EWS LIG

Minimum Size 21 sqm 28 sqmMaximum Size 60 sqm 60 sqm

Points to remember: In case of NPA accounts, subsidy will be suspended. Cost of advocate, valuer, mortgage, insurance shall be borne by the applicant. Location of land should be in urban areas where total population should not be less that 1

Lac as per 2011 census.

Housing for All (Urban)-Credit Linked Subsidy Scheme(Circular No. HO:Retail:51:2015-16:780 dated 04.01.2016)

Purpose To provide housing loans to Economically Weaker Section (EWS) /Low Income Group (LIG) in Urban Area. The beneficiary familyshould not own a pucca house (an all weather dwelling unit)either in his/her name or in the name of any member of his/herfamily in any part of India.

Eligibility Criteria For EWS For LIG` 3.00 Lac as householdincome per annum and

house size of 30 sq mtr

` 3.01 to Rs. 6.00 Lac ashousehold income per

annum and house sizeupto 60 sq mtr

Construction of new house can be undertaken as per the schemeguidelines without any restriction on carpet area. The carpet arearestriction shall be applicable only for extension/ repair of house.Preference under the scheme should be given to ManualScavengers, Women (with overriding preference to widow),persons belonging to SC/ST/other Backward classes/Minorities,persons with disabilities and transgenders.

ROI, Loan Limit BR, No limitHowever, interest subsidy has been restricted on first Rs. 6.00




_________________________________________________________________________________


lacs of loan, additional loan will be at unsubsidized ratesSecurity Criteria The house constructed/acquired under the scheme should

be in the name of the female head of the household or inthe joint name of the male head of the household and hiswife, and only in cases where there is no adult female member in

the family, the house can be in the name of male member of thehousehold.

Subsidy Amount Beneficiaries of EWS and LIG would be eligible for an interestsubsidy at the rate of 6.5% for tenure of 15 years or duringtenure of loan whichever is lower. The Net Present Value ofthe interest subsidy will be calculated at a discount rate of9%.

Under the mission Beneficiaries can take advantage under onescheme out of following four: Slum rehabilitation of Slum Dwellers with participation of

private developers using land as a resource

Promotion of Affordable Housing for weaker sectionthrough credit linked subsidy Affordable Housing in Partnership with Public & Private

sectors Subsidy for beneficiary-led individual house construction

Therefore, in order that beneficiaries do not take advantage ofmore than one scheme, Primary lending Institutions should takeNOCs quarterly from State/UT Governments or designated agencyof State/UT Governments for the list of beneficiaries being givenbenefits under credit linked subsidy. For enabling this process, thebeneficiaries should be linked to his/her Aadhaar/Voter IDCard/Any other unique identification Number or a certificate ofhouse ownership from Revenue Authority of Beneficiary‟s nativedistrict and State/UT Government or its designated agency shouldfurnish the NOC within 15 days of receipt of such request

Process fees Nil, However, Rs. 1000.00 a flat fee will br reimbursed to Bank byCAN i.e. NHB. The same shall be governed by the existingHousing Loan Scheme.

Oriental Personal Loan Scheme for Existing Home Loan Borrower (Circular No. HO:Retail:34:2015-16:494 dated 25.09.2015)

Purpose Purchase of consumer durables, kitchen equipments and furnishingitems such as TV, Fridge, AC, Collers, curtains including the insurancethereof

For purchase of GLPP For any personal use, which is not speculative Loans for travels, tour, pilgrimage purpose by himself, herself, family

members (domestic or international) to cover travel cost. Hotel stay aswell as foreign related expenses

Nature of facility Overdraft (Reducing Balance), and period of loan will be upto 60 EMIs orresidual period of home loan whichever is less.

Eligibility Existing standard regular housing loan borrower(s)

Construction of house is completed and mortgaged




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Loan Amount Min - ` 1 Lac ; Max: ` 10 Lac OR15% of sanctioned limit under HL ; whichever is lowerNet take home will 35% of their gross annual incomeMargin – 25%

Security Extension of charge or declaration stating

The Bank can extend mortgage as and when required The borrower will not create any other charge Title deed will remain with the Bank till the currency of loanOther conditions: Home loan should be standard regular with minimum 24 EMIs served. Fresh valuation as per valuation policy to be obtained if loan is over Rs.

5.00 Lacs. Collateral coverage in Home Loan (Outstanding) + fresh personal loan

should be 120%.ROI BR+1.50% rProcess fee 0.50% of the loan amount of Rs.500, whichever is maximum

Scheme Code OD501DiscretioneryPower

Sanctioning Authority Discretionary powersRLCC-RH ` 10.00 LacsBM Scale IV & above ` 10.00 LacsBM Scale III ` 7.50 LacsBM Scale II ` 5.00 LacsBM Scale I ` 3.00 Lacs

*Discretionery power as same as renovation/repair of Housing loan scheme.Points to remember:

1. Irrespective of the fact that home loan has been sanctioned under RO/HO power, BI canconsider the personal loan under the scheme as per vested power. (Circular No.

Ho:Retail:34:2014-15:649 dated 11.11.2014)2. Staff members now onwards will not be permitted to avail this facility either under Staff

Housing Loan Scheme (SHL) or under General Public Scheme (GPS). (Circular No.HO:Retail:34:2015-16:494 dated 25.09.2015)

Oriental Mortgage Loan Scheme (OMLS)

Purpose The loan can be used to meet any legitimate need basedInvestments / expenses except speculative & prohibited purposesas restricted by Law

Types of

facility

A) For Business Entities

a. Term Loanb. Overdraft limitc. Term Loan + Overdraft Limit (COMBO OFFER)

B) For Salarieda. Term Loanb. Overdraft limit

Loan limit Max ` 5 Cr (under MPBF calculation)Mortgage (Registered or Equitable) of self-occupied Residential /Commercial / Industrial Land & Building standing in the name of individual / joint owners / close relatives who will also stand as Guarantors

In case of let out properties, RLCC-RH & above is empowered to permit for




_________________________________________________________________________________


accepting let out property as security. Branches shall not have any power foraccepting let out properties.(The Loan/Overdraft limit will be repayable upto maximum age of75 years of Guarantor.)Loan against agricultural land / plot of land (plot in isolation)

partially constructed property shall not be granted.Properties let out to our bank for premises shall be considered asself occupied. Loan against agricultural land / plot of land (plot inisolation) partially constructed property shall not be granted.

Assessmentof loan limit

50% of the realizable value of the property (overall maximum limit). 36 months of gross income in case of salaried persons. 4 times of average net annual income of last 2-3 years in case of persons

other than salaried ones. Whichever is less.Net Take Home: For individual : 30%;ROI BR+2.25%; Process fee

Term Loan- 0.50% of Term Loan + Service Tax, if any (One Time Fee)Overdraft- 0.10% of loan amount + Service Tax, if any (Recurring Fee).Documentation chargesUp to ` 2.00 lacs NilOver ` 2.00 lacs to ` 10.00 lacs ` 1000/-Over ` 10.00 lacs to ` 25.00 lacs ` 2500/-Over ` 25.00 lacs to ` 50.00 lacs ` 5000/-Over ` 50.00 lacs to ` 100.00 lacs ` 10000/-Over ` 100.00 lacs ` 15000/-

Period ofloan

A) For Business Entitiesa) Term Loan: Maximum upto 84 months repayable on EMI basis

b) Overdraft limit: 84 months subject to annual review withprogressively reducing limit at 15% p.a. of the original sanctionedlimit, so as to liquidate the facility within the maximum period of 7years.

(The loan shall be reduced in equated manner on yearly basis).c) Term Loan + Overdraft Limit (COMBO OFFER): 60% of loan

amount will be in the shape of Term Loan repayable in 84 months &40% in the shape of Overdraft limit (Non-reducing) to be renewedannually.

B) For Salaried

a) Term Loan: Maximum upto 84 months repayable on EMI basis.b) Overdraft limit: Overdraft facility will be renewed on yearly basis.

The 15% reduction shall commence 7 years prior to date ofsuperannuation in case of Non-pensioner employees. In case ofpensioners, the 15% reduction shall commence once the employeereaches the age of 63 years.

HLCC-ED may consider to increase the tenure of the loan to a maximum of10 years

Discretionerypower

Scale Power of sanctionI NilII ` 20 Lac (to use judiciously)

III ` 25 Lac




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IV ` 50 lac V ` 75 Lac (As RH – 100 Lac) VI ` 75 Lac (AS RH – 500 Lac) VII ` 75 Lac (As RH 1000 Lac)HLCC ED Ind – ` 7500 Lac Group – ` 15000

LacPoints to remember:

1. Sanctioning of staff under OMLS scheme power vested with RLCC-RH (for the staff workedat branches/STC (other than STC Noida) etc and staff posted at HO power vested withHLCC-ED. (Circular HO:Retail:39:2014-15:764 dated 19.12.2014)

2. Property already mortgaged in any existing loan account of same borrower can be extendedfor the loan availed under OMLS/OBLS scheme provided value to loan ratio need to bemaintained at 150% (minimum). (Circular no. HO:Retail:32:2014-15:610 dated27.10.2014)

3. Criteria for net take home are not applicable for Firm/company. Income as declared in theincome tax returns / assessments and / or supported with financial statements and / or

certificate from a qualified CA shall be considered.4. IMAC rating model will be utilised for loans to individual (where financial is not available) for

personal use. However, where loan is sanctioned for business model OTLS scheme be used.(Circular no. HO:Retail:17:2013-14:508 dated 26.08.2013)

5. The property can be kept as security in the account of owner or close relatives (viz. spouse,parents, brother, sister, son, daughter) or business concern 100% owned by the owner /such close relatives. Property charged in OMLS account may be extended to cover otherfacility to the extent of spill over available i.e. property value in excess of 200% of the limit(O/S in case of term loan & sanctioned limit in case Overdraft- as per present valuation) canbe extended to cover other facility sanctioned to Owner. (Amended vide Circular no.HO:Retail:53:2014-15:988 dt: 20.03.2015)

Oriental Business Loan Scheme (OBLS)

Purpose To provide hassle free credit to meet working capital requirements / augmentlong-term margin /financing of fixed assets related to business activity or forexpansion of business to Traders, Micro, Small and Medium Enterprises (Manufacturing and Service),Contractors /Commission agents, and Authorized service centre /Service Sector viz. hotels, guest houses etc.Purpose not covered

- For speculative & prohibited by law- Advance shall not be granted for real estate/capital

market/investment in or loan to associates/sister concern- Loans to individual/Builders/Property dealers/Real Estate

agents/Doctors/ Professionals Type offacility

Eligibility

a) Overdraft limit for working capital purpose.b) Term Loan/Demand Loan to acquire fixed assets for general business

purposes.c) Non fund based limit for above a) & b) purposes.

1. Proprietorship, Partnership firms, Private / Public Ltd. Cos., engaged inbusiness activity Business for 1 year

2. Business units established by close relatives of existing customers even if




_________________________________________________________________________________


these are established for less than 1 year.The cash generation and repaying capacity of above said businessestablishment shall be the primary criteria for considering term loan under thescheme.

Security 1. Mortgage (Registered or Equitable) of immoveable property(s)/ factory

land and building and / or any other 2. Property (Land & Building) standing in the name of individual/joint

owners/ promoters, viz. Proprietor/ Partners/Directors/close relativeswho will also stand as Guarantors

3. The loan under the scheme shall be granted against self occupiedproperty by its owner. In case of let out properties, RLCC-RH & above isempowered to permit for accepting of such property as security.Branches shall not have any power for accepting let out properties.

Note: The loan against agriculture land/plot of land (plot only inisolation)/ partially constructed property shall not be granted.

Loan limit ` 500 Lac; ROI - BR+2.25%1. Working Capital Finance--50% of the realizable value of the propertyOr 20% of the estimated annual sales/income, Wherever the financialstatement are available. However, if the party is not maintaining properfinancial statement, such as Commission Agents etc. then 4 times of annualincome (subject to cash flow/repaying capacity) ,Whichever is less2. Term loan: 50% of the realizable value of the property Or 75% of theassets to be created out of term loan. Whichever is less.

Working capital finance and term loan together should not exceed50% of the realizable value of the property taken as collateralsecurity.

ProcessFee

1. Working capital- ` 100.00 per lac plus service tax.2. Term / Demand loan - Upfront fee of 0.50% of the loan amount plusservice tax, if any

EXCLUSIVEDEALINGCLAUSE

1. The party shall exclusively deal with our Bank for all intent and businesspurpose. An undertaking to this effect shall be obtained and kept onrecord.

2. The OD account shall be monitored and ensured that minimum 60% ofturnover is being routed through the account. In case of non compliance,1% penal interest shall be charged over and above the normal rate ofinterest. The compliance of this clause shall be ensured at the time ofannual review/renewal of the account.

3. In case the loan is availed in shape of term loan, the concerned borrowershall also maintain their operative account with us.

Points to remember:1. Property already mortgaged in any existing loan account of same borrower can be extended

for the loan availed under OMLS/OBLS scheme provided value to loan ratio need to bemaintained at 150% (minimum). The property can be kept as security in the account ofowner or close relatives (viz. spouse, parents, brother, sister, son, daughter) or businessconcern 100% owned by the owner / such close relatives . (Circular no.HO:Retail:32:2014-15:610 dated 27.10.2014)

2. Property or security already charged in OMLS/OBLS account may be extended to cover otherfacility to the extent of spill over available i.e. property value in excess of 200% of the limit




_________________________________________________________________________________


(o/s in case of term loan & sanctioned limit in case of overdraft as per present valuation)can be extended to cover other facility sanctioned to owner. (Circular no.HO:Retail:32:2014-15:610 dated 27.10.2014)

3. In case of let out properties RLCC-RH & above shall be empowered to permit the acceptinglet out property as security. Branches shall not have any power for accepting let out

properties under OBLS/OMLS Scheme. (Circular no. HO:Retail:32:2014-15:610 dated27.10.2014) Properties let out to our Bank for premises shall be considered asself occupied.

4. Loans to restricted sector such as SME & Others) upto ` 10.00 Cr dealing in Gems &Jewellery/Software/IT Enterprises/Call Centres is permitted under OBLS/OMLS Scheme. (Circular no. HO:Retail:32:2014-15:610 dated 27.10.2014)

5. Condition for primary security as Hypothecation of stock and Book debt has been removed.Stock statement is not insisted. However end use of fund need to be ensured when loan isgiven for business purpose. (Circular no. HO:Retail:32:2014-15:610 dated27.10.2014)

Oriental Personal Loan scheme (OPLS-Govt)- Customised schemefor PSUs & Central/State Govt employees (Working & Pensioner)

Scheme OPLS Govt Employee OPLS Govt(Pensioner) (Cir no.HO:Retail:57:2015-16:832 dated25.01.2016)

OPLS CorporateEmployee

Purpose To meet personal/ familyexpenses likemarriage/education/family

functions / purchase ofconsumer durables or anyother legitimate purposeexcluding for speculationpurpose.

To meet personalexpenses includingmedical, bon voyage,

family liability/ expenses.(excluding speculativepurpose)

To meet personal/family expenses likemarriage/

education/familyfunctions / purchase ofconsumer durables orany other legitimatepurpose excluding forspeculation purpose.

Type ofFacility

Term Loan : 60 EMIs(subject to remainingperiod of service)

Term Loan : 60 EMIs(subject to lastrepayment age)

Term Loan : 60 EMIs(subject to remainingperiod of service)

Eligibility 1. Permanent andconfirmed employee of

Public SectorUndertaking (PSU) andCentre / State Govt.Deptt. and otherGovernment institutionslikeUniversities/Collegesetc. having theirsalary account withour bank.

2. The net monthly salary

should not be less then

Maximum age:

For Pensioner: Should

not be more than 75years of age (last

repayment age)

For Family Pensioners:

family pensioners, i.e.

spouse authorized to

receive pension after the

death of pensioner,

subject to condition that

maximum entry age of

1. Permanent employee

of Corporate and

other reputed non-government

organizations /

institutions including

college / schools etc.

having their salary

account with our

bank.

2. Minimum 3 years of

service, including




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` 10,000/-.3. The net take home

salary should not beless than 30% ofgross salary after

deducting the EMI ofthe proposed loan.

family pensioner not be

more than 70 years of

age (last Repayment

age)

Net take home

pension should not

be less than 50%

of gross pension

(including the

installment of

proposal loan)

PPO must be maintained

at Bank Level (For central

Govt Pensioners with HO

and State Govt Employeewith Branch.

service with the

previous employer(s)

, if any.

3. The net monthly

salary should not be

less then ` 10,000/-.

4. The net take home

salary should not be

less than 30% of

gross salary after

deducting the EMI of

the proposed loan

Amount ofLoan

Up to 15 times net take

home salary with a max of

` 5.00 Lacs.

For Pensioner: Defence Personnel:

20 Months of netpension withmaximum limit of `10.00 Lacs

For Others: 18Months of netpension with

maximum limit upto `5.00 Lacs

Up to 15 times net takehome salary with a maxof ` 5.00 Lacs.(For Existing Large &

Mid corporate borrower

– ` 15 Lac, upto 1.5

time of net annual

income)

Security One personal guaranteepreferably of fellowemployee, subject to thecondition that oneemployee will not stand asguarantor in more thantwo accounts.

Guarantee of spouseeligible for family pensionto be obtained. In case ofnon availability ofspouse, any other familymember of means OR athird party guaranteeacceptable to the Bank.

One personal guaranteepreferably of fellowemployee, subject to thecondition that oneemployee will not standas guarantor in morethan two accounts.

Margin NIL NIL NIL

Rate ofinterest

BR + 2.25% p.a. withmonthly rest(Floating rate of interest)

BR + 1.75% p.a. withmonthly rest (Floatingrate of interest).Scheme Code: TL677

BR + 3.25% p.a. withmonthly rest (Floatingrate of interest).BR + 2.00% p.a. (Forexisting large andmid corporatescheme)

PenalInterest/Pre-payment

Penalty

2% penal interest over thenormal lending interestrates on the overdueamount for irregular

period. No prepayment

2% penal interest overthe normal lendinginterest rates on theoverdue amount for

irregular period.

2% penal interest overthe normal lendinginterest rates on theoverdue amount for

irregular period.




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penalty to be charged.

Process/

upfront fee

0.50% of the loan amountwith a minimum of ` 500/

+Service tax, if any.

0.50% of the loanamount with a minimum

of ` 500/ +Service tax, ifany.

0.50% of the loanamount with a minimum

of ` 500/ +Service tax,if any.

DiscretioneryPower Chart

Scale IV, VRLCC - RHand above

` 5.00Lacs

Scale III ` 3.00Lacs

Scale II ` 2.00Lacs

Scale I Nil

Scale IVand above

` 10.00Lacs

Scale III ` 5.00Lacs

Scale I &II

` 3.00Lacs

Salary account withOBC – RLCC RH uptoRs. 3.00 LacNo salary accountwith OBC- but grossincome above Rs.50,000.00, upto Rs. 3.00Lac RLCC RH

Points to remember:1. The condition of obtention of employees undertaking has been waived off. However

undertaking from employee shall be undertaken for recovery of monthly dues,undertaking addressed to employer for release of terminal benefit in case of eventualityin favour of our Bank. Copy of the same to be forwarded to employer through registered AD.

2. Loan to staff members under OPLS Govt scheme is permitted for intervening period i.e.till they get eligible for staff OD facility. Officer – ` 3 Lac, Non Subordinate – ` 2 Lac,Subordinate – ` 0.75 Lac. (Circular no. HO:Retail:22:2014-15:443 dated 29.08.2014)

3. Personal Loan to teachers of school be considered under Oriental Personal Loan Schemefor Govt./PSU Employees with the condition that salary of the teacher should be paid bythe Government/ treasury directly. (Circular No.HO:Retail:41:2015-16:644 dated09.11.2015)

4. RLCC-RH is empowered to sanction loan upto Rs. 3.00 lacs to individuals (working undercorporate sector) having salary account with our Bank. For Loans above Rs. 3.00 LacsHLCC-ED will be the sanctioning authority. Further, RLCC-RH is empowered to sanctionLoans upto Rs. 3.00 lacs under OPLS-Corp scheme to applicants not maintaining theirsalary account with our Bank. The said facility shall be available only for employeeshaving gross monthly salary above Rs. 50.000.00. (Circular No. HO:Retail:41:2015-16:644 dated 09.11.2015)

Financing counseling for IITs for Super 30 (Patna)(Circular No. HO:Retail:23:2015-16:322 dated 21.07.2015)Type of Loan Clean Loan – Personal LoanEligibility Students of “Super 30” who have qualifies IIT Advance for

admission in IIT (Minimum qualifying Marks – 95 Percentile) Amount Rs. 60,000.00 at present (non exceeding Rs. 75,000.00 as

prescribed by counseling board)Security Parents of students will be co-obligantMargin NilPeriod 60 days (Maximum)ROI BR+2%, Scheme Code: TL677




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Oriental Loan against Gold Ornaments SchemeEligibility All individual / proprietors borrowers

Type offacility

For Non-agriculture purposea) Demand Loan b) OverdraftFor Agriculture purpose

a) Demand Loan b) CC/ OD c) Term Loan

Loan LimitFor Non-Agriculture purpose : Maximum ` 50.00 Lacs per borrowerFor Agriculture purpose : Maximum ` 10.00 Lacs per borrower

Purpose All type of agriculture / allied activity, Business enterprises, Any other activitytaken up by the applicant for self employment, Personal consumption needs,non speculative purpose.

Assessmentof Loanlimit

70% of rate of 22 Carat gold jewellery or 70% of value appraised by Appraiser,whichever is less.Rate of 22 Carat gold will be updated on e circular site from time to time.Present loan amount is ` 1700 per gram. Amended vide Circular no.HO:Retail:52:2014-15:987 dated 20.03.2015

Valuer / Appraiserfee

Upto ` 25000/- ` 100/- Above ` 25000/- 0.25% of the loan amount(The fee shall be borne by the borrower)

Riskmitigationmeasures

In the eventuality of steep fall in gold price and if margin goes even below15%, the bank shall issue a notice to the borrower to deposit the shortfallamount within 7 days of issue of notice failing which the Bank shall takeappropriate action to safeguard the Bank‟s interest. A pre-drafted undertakingto this effect be obtained from the borrower while considering the proposal.This undertaking be got duly vetted by legal retainer.

Security

Pledge of gold ornaments Pledge of Gold coins specially minted & sold by the bank having per coin

weight upto 20 gms. The aggregate weight of Gold coins shall be restrictedupto 50 gms per customer

Gold loans can be considered against 18 carat & above purity of gold.(The security is kept under joint custody of Branch Official & Cashier)

Margin

1. For Non-Agricultural Purposes - 30% 2. For Agricultural Purposes

a) For Demand Loan/ CC/ OD: 25% against value of gold ornamentsoffered as security as assessed / appraised by the approved valuer.

b) For Term Loan: 50%

Rate ofinterest

a) For Non - Agriculture purpose:

Nature of Facility Rate of Interest (floating)Demand Loan BR+1.50%Overdraft Facility BR+2.00%

b) For Farmers (Agriculture Purpose)

Nature of Facility Loan Amount Rate of InterestCC/OD for cropproduction

Irrespective of amount Base Rate

Demand Loan /Term Loan

Upto ` 0.50 Lacs BR+1.00%

Above ` 0.50 Lacs to ` 2.00 Lacs BR+1.50%




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a) Floating On monthly rest (in loan accounts other than Agriculture purpose).b) For Agriculture purpose loan should be linked to harvesting of crops.

Above ` 2.00 Lacs BR+2.00%

PenalInterest

a) Upto ` 0.25 lacs – NILb) Above ` 0.25 lacs & Upto ` 2.00 Lacs – 1%

b) Above ` 2.00 lacs – 2%c) No prepayment penaltyNote: The penal interest shall be charged on overdue amount and forthe period of irregularity.

Processfees

For Non-Agriculture: 0.50% of the loan amount plus service tax, if any.For Agriculture: Upto ` 25000/- Nil Above ` 25000/- 0.50% of the loan amount plus service tax, if any.

No documentation charges

Repayment

a) Demand loan is to be liquidated within a maximum period of 12months.

b) Overdraft facility shall be reviewed / renewed every year.c) The repayment period of term loan shall be as prescribed as per theactivity, coinciding the harvesting and marketing season / generationof income from the activity.

Checkpoints

Primary gold i.e. gold in any unfinished or semi finished form & includesingots, bar blocks, slabs, billets, shots, pellets, rods, sheets, foils and wiresshall not be pledged

Gold Bricks / Biscuits/Sikh Bangles / Kada need not be taken as security foradvance

Silver or Diamond jewellery have not to be accepted for advance Gold ornaments with names inscribed of person other than borrower (s) are

not to be accepted The valuation of the ornaments must be based on the weight and fineness

of gold contents only No Objection Letter from wife of the borrower, stating no objection for the

pledge of the gold ornaments

Discretionary Power

1. For agriculture purposeCategory ofBranch

Discretionarypowers

Rural 5.00 LacSemi Urban 7.50 LacUrban/Metro 10.00 Lac

2. For Non Agriculture purpose:Scale Power of sanctionI ` 2.00 LacII ` 5 LacIII ` 10 LacIV ` 20 lac V & above ` 25 LacRLCC – RH ` 50.00 Lac

Bank has obtained master insurance policy from Oriental Insurance Company forindemnifying gold articles kept in the custody of Bank. The claim in respect of jewelry will besettled on the basis of value of ornaments recorded in the ornaments register at the time of




_________________________________________________________________________________


their pledging. As such, It is to be ensured that 100% value is being recorded in theornaments register at the time of pledging jewelry or ornaments

Oriental Scheme for Loans to Professionals

Purpose For investment in equipment (original cost excluding land & building andfurniture, fittings and other items not directly related to the servicesrendered) does not exceed ` 2 Crore.

EligibilityCriteria

Professionals holding a degree/diploma or who in the opinion of the Bankare technically qualified or possesses skills in the respective field likeregistered practicing lawyers, Architects, Chartered Accountants, CharteredEngineers, Journalists, Management Consultants, Software Engineers etc.Individuals, joint borrowers, proprietorship & partnership firms andCompanies

Loan Amount

Maximum Term Loan: ` 20.00 Lacs

Type of facility

a) Term loan and b) Clean Over Draft limit - Rs. 5.00 Lacs (Subject toavailability of tangible collateral security equivalent to 200% of the OD loanlimit, within the overall composite loan limit ceilings).

Margin 25% of the assets financed

Rate ofInterest(floating)

Loan upto ` 50000 BR +1.75%Loan above ` 50000 & upto ` 2.00 Lac BR +2.00%

Above ` 2 lac to ` 20.00 Lacs BR +2.25%Note:

1. Interest rates on Housing/Car & Vehicle loans shall becharged as per the rates applicable in respective scheme.

2. 0.25% concession to women beneficiaries.

Process fee 0.50% of the total limit sanctioned subject to minimum of ` 500/-.

Security

Hypothecation of assets purchased/Mortgage of premises, if purchased. Loans Upto ₹ 5 Lac: 50% of loan amount amount in the shape of

collateral security and one personal guarantee, preferably of spouse For Loans above ₹ 5 lac: 75% of loan amount both in the shape

of collateral security and one personal guarantee, preferably ofspouse.

In case the loan is required only for acquiring premises, noadditional collateral security shall be insisted.

For purchase of car/vehicle security norms shall be as per car/vehicle

loan scheme.Repayment Maximum 84 months including moratorium period not exceeding 6 months.

Oriental Uttam Vyapari (earlier Loan to Traders)(Cir No. HO/CAD/72/2015-16/694 dated 01.12.2015)

PURPOSE

FOR WORKING C APITAL REQUIREMENTS: FOR DAY TO DAY BUSINESS NEED FOR TERM LOAN:

Acquiring premises & constructions thereon on ownership basisrequired for running the business /financing of charges pertainingto conversion from lease hold to free hold of business premises.

For repair, furnishing, renovating existing business premises




_________________________________________________________________________________


and/or purchase of furniture & fixtures for business premises For purchase of new equipments, business tools, computers, UPS,

software, Light Commercial Vehicle (Max 2) etc.required forbusiness purpose.

Note: Loan for acquisition of land is not permitted

ELIGIBILITY

CRITERIA

TRADERS WHO ARE INDIVIDUALS, FIRMS, COMPANIES, CO-OPERATIVE SOCIETIES, ENGAGED IN TRADING ACTIVITIES WHICH ARE NOT PROHIBITED BY RBI/GOVT SUCH

AS SMALL BUSINESS CONCERNS / AGENCIES PROVIDING SERVICES SUCH AS XEROXING, DRY CLEANING, LICENSEE TO DEAL IN PETROLEUM PRODUCTS / LPG, DRUG LICENSEE

FOR THE APPLICABLE BUSINESS, PETROL PUMP DEALERS, AUTO SERVICES CENTERS

ISD / STD / PCO BOOTHS AND OTHERS. TRADERS / BUSINESS CONCERNS HAVING REGISTRATION UNDER LOCAL LAWS

(I.E. SHOP AND ESTABLISHMENTS ACT)/ APPROPRIATE AUTHORITIES EXISTING UNITS SHOULD BE A PROFIT MAKING ONE AND SHOULD HAVE BEEN

IN BUSINESS FOR 1 YEAR . NEW UNIT MAY BE ALLOWED TO AVAIL THE FACILITY SUBJECT TO

COMPLIANCE OF SECURITY CLAUSE AND OTHER TERMS OF SCHEME

LOAN LIMIT

THE FACILITY CAN BE ALLOWED IN THE SHAPE OF WORKING CAPITAL OR TERM LOAN

OR BOTH SUBJECT TO MAXIMUM CEILING AMOUNT. M AXIMUM UPTO R S. 100.00

L ACS SUBJECT FOLLOWING CEILINGS

1. THE WORKING CAPITAL FACILITY SHALL BE

ALLOWED BASED ON 20% OF REALISTIC

PROJECTED SALES TURNOVER AND

INVENTORY LEVEL DEPENDING UPON NATURE

OF BUSINESS. (CONDITION: MINIMUM 5%

OF TURNOVER SHALL BE BROUGHT IN BY THE

BORROWER ) 2. IN CASE OF PETTY / SMALL BUSINESSMEN, BM MAY BE PERMITTED TO ALLOW

TERM LOAN FOR WORKING CAPITAL PURPOSE UPTO R S. 10.00 L ACS REPAYABLE IN

MAXIMUM UPTO 7 YEARS ON THE BASIS OF GENUINE BUSINESS REQUIREMENT, WHERE THE BORROWER IS UNABLE TO FURNISH THE FINANCIAL PAPERS ONLY

APPLICABLE CASES COVERED UNDER PMMY. FOR TERM LOAN: 75% OF COST OF ASSETS ACQUIRED IN CASE OF TERM LOAN / PREMISES TO BE ACQUIRED FOR BUSINESS PURPOSE

C ATEGORY AMOUNT IN L ACS METRO 100.00URBAN 100.00SEMI URBAN 50.00R URAL 50.00

M ARGIN

20% ON STOCKS, AND

40% ON BOOK DEBTS NOT OLDER THAN 6 MONTHS (WORKING CAPITAL), AND

25% ON PURCHASE OF SHOPS / OFFICE PREMISES ETC. SUBMISSION OF STOCK STATEMENT WILL BE AS PER BELOW SCHEDULE LIMIT PERIODICITY UPTO R S. 10.00 L ACS Y EARLY ABOVE R S. 10.00 L ACS TO R S. 50.00 L ACS H ALF- YEARLY ABOVE R S. 50.00 L ACS AND UPTO R S. 100.00

L ACS QUARTERLY

R ATE OF

INTEREST

(FLOATING)

Loan Limit ROI if coveredunder CGTMSE

ROI if notcovered underCGTMSE

Loan upto ` 10.00Lac

ROI to be chargedas per guidelines

BR+1.50%




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Above ` 10.00 Lacsto ` 25.00 Lacs

issued by RDPS forthe cases

BR+2.00%

Above ` 25 Lacs BR+2.25% 2% OVER AND ABOVE NORMAL ROI SHALL BE CHARGES IN CASE OF DELAY

IN SUBMISSION OF REGULAR RENEWAL PROPOSAL, STOCK STATEMENT AND

IRREGULAR PORTION / AMOUNT FOR THE PERIOD OF IRREGULARITY . PREPAYMENT PENALTY OF 0.50% OF OUTSTANDING BALANCE SHALL BE

LEVIED IN CASE OF SHIFTING OF ACCOUNT TO OTHER BANK .

PROCESS FEE

50% CONCESSION ON UPFRONT / PROCESS FEES, 25% CONCESSION IN CASH

HANDLING CHARGES AND OTHER CHARGES AS PER SCHEDULE OF SERVICE CHARGES. NO DOCUMENT CHARGES SHALL BE LEVIED. LIMIT LESS THAN R S. 10.00 L ACS: AS PER LF-2

R S. 10 L ACS AND ABOVE: IN PRESCRIBED PROCESS NOTE LF 81/82 ( AS

THE CASE MAY BE)

SECURITY

C ASH CREDIT/ TERM LOAN UPTO ` 10.00 LACS (TO BE COVERED UNDER

PMMY): H YP. OF ASSETS PURCHASED OUT OF LOAN AMOUNT, COLLATERAL

SECURITY EXEMPTED UP TO R S. 10.00 L ACS ( AS PER PMMY) CGTSME/MUDRA COVERAGE SHALL BE OPBTAINED IN ALL ELIGIBLE CASES.(UP TO R S. 2.00 L AC NO FINANCIAL STATEMENTS WILL BE REQUIRED EXCEPT

STATEMENT OF SALES, PURCHASE, GROSS PROFITS, OVERHEADS AND NET PROFITS

DULY SIGNED BY THE BORROWER . VAT RETURNS BE OBTAINED WHEREVER

APPLICABLE)C ASH CREDIT/ TERM LOAN ABOVE ` 10.00 AND UPTO ` 25.00 L ACS: COLLATERAL SECURITY IN SHAPE OF NSCS, LIC (SV) OR ANY OTHER TANGIBLE

SECURITY WITH REALIZABLE VALUE, AT LEAST EQUIVALENT TO 50% OF THE TOTAL

EXPOSURE ALONG WITH ONE PERSONAL GUARANTEE OF ADEQUATE NET WORTH

ACCEPTABLE TO THE B ANK (WHERE THERE IS NO CGTSME COVERAGE). OR

MORTGAGE OF IMMOVABLE PROPERTY HAVING REALIZABLE VALUE AT LEASTEQUIVALENT TO 100% OF THE TOTAL EXPOSURE C ASH CREDIT/ TERM LOAN ABOVE ` 25.00 L ACS EQUITABLE MORTGAGE OF

IMMOVABLE PROPERTY HAVING REALIZABLE VALUE AT LEAST EQUIVALENT TO 100%

OF THE TOTAL EXPOSURE ALONG WITH GUARANTEE OF OWNER OF PROPERTY WHERE ADVANCE IS COVERED UNDER CGTSME SCHEME

COLLATERAL SECURITY IS NOT REQUIRED. IN CASE OF PURCHASE OF SHOP/ OFFICE PREMISES – ITS MORTGAGE

IS MANDATORY . NO ADDITIONAL SECURITY IS REQUIRED , IF THE

TOTAL LOAN LIMIT IS LESS THAN THE VALUE OF L AND & BUILDING.

R EPAYMENT

Term Loan :- 3 - 7 years Working Capital Limit up to ` 5.00 Lacs shall be sanctioned for

three years and reviewed every year.LIMIT ABOVE ` 5.00 LAC SHALL BE RENEWED EVERY YEAR .

DISCRETIONARY

POWER

As per General Discretionary Lending Power approved by Bank. HLCC-EDshall be the competent authority for considering any deviation orrelaxation.




_________________________________________________________________________________


Oriental Scheme for Financing Autos/Taxis/Small Cargo Vehicles

Purpose To acquire Autos (3 wheeler), Taxis (4 wheeler) / Small Cargo Vehicles for

commercial use only.

Eligibility

For Individuals & purchase of onevehicle

Valid Driving License

For purchase of More than one vehicle Valid Driving License withMinimum experience of 3 years

Individual, partnership, sole proprietorship, private Ltd. / Public Ltd. companiesare all eligible.

Note: The borrower shall obtain valid permit to ply the vehicle as per applicablerules of Regional Transport Officer (R.T.O).

Loan

Amount

85% of On Road price (As per pro-forma invoice). Upto ` 10.00 lacs per vehicle

subject to aggregate maximum limit of ` 50 lacs.No. ofvehicles

Up to 10 (ten) vehicles per entity irrespective of it being an individual,partnership, sole proprietorship, private Ltd./ Public Ltd. Companies.

Securityclause

Hypothecation of Auto/Taxi/ Small Cargo Vehicle to be purchased from Bank‟sFinance.(The hypothecation clause shall be registered with RTO)

Collateral

Security

Loan upto ` 5.00 Lacs No Collateral Security, Mandatory CGTMSEGuarantee Coverage

Loan amount above ` 5.00Lacs upto ` 10.00 Lacs

50% Tangible Collateral security in the shape ofImmovable / liquid security or CGTMSEGuarantee coverage

Loan amount above ` 10.00Lacs

100% tangible collateral Security in the shape ofImmovable/liquid security or CGTMSEGuarantee coverage

Margin 15% of the On-Road price of the vehicle(s).

Rate ofinterest

(CurrentBase rate is10.25%)

Loan Limit Normal ROI If covered underCGTMSE

Loan upto ` 2.00 Lac BR+2.00% BR Above ` 2 lac to ` 25.00 Lacs BR+2.00% BR+1.00% Above ` 25 Lacs to ` 1.00 Crore

(*CR- Credit Rating)

BR+2.50%, IfCR-1

BR+0.50%, IfCR-1

BR+2.75%, If

CR-2

BR+1.00%, If

CR-2BR+3.00%, IfCR-3

BR+1.50%, IfCR-3

BR+3.25%, IfCR-4

BR+2.00%, IfCR-4

BR+3.50%, IfCR-5

BR+2.50%, IfCR-5

BR+3.75%, IfCR-6

BR+3.00%, IfCR-6

PenalInterest

In case of delayed payment, a penalty of 2% on the overdue amount for theoverdue period shall be charged.




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Oriental Scheme for Financing Against Govt. Securities/LICsetc

Eligibility1. Indian Nationals 18 years and above2. Firms/companies provided the offered securities are in the name of thosefirms/companies.

PurposeTo meet personal expenses/business expenditure exceptspeculative/prohibited purposes.

Type of

Facility

1. Overdraft limit (renewable every year)

2. Demand Loan (repayable in 36 months) Amount ofLoan

` 50.00 Lacs (maximum)

SecurityGovt. securities, PSU Bonds, Securities/Relief Bonds issued byRBI/ICICI/IDBI, NSCs, LIC Policies of LIC of India or any other such securitytransferable/assignable to the Bank.

Margin1. 10% surrender value of insurance Policy2. 25% of the face/accrued value of the security in other cases.

Rate ofinterest(floating)

BR + 2.00% p.a. with monthly rest

Penal Interest Penal interest @ 2% p.a. over and above the normal lending interest rateshall be charged on irregular portion & for the period of irregularity.Process/upfront fee

`10/- per certificate with a minimum of ` 50/ + Service tax, if any. However,postal charges, if any, shall also be recovered from the borrower.

Disbursement Through account of the borrower

Oriental Scheme for Beauty Parlours/ Boutiques/ Saloon/Tailoring by women

Propose To develop entrepreneur-ship among women and also to ensure the easy,timely and convenient access to women to institutional credit.

Nature offacility

Term loanFor the purchase of tools/equipment/furniture & fixture, shop etc.

Working capitalFor running day to day expenses of business

Applicant'sEligibility

1. Proprietary concerns of women2. Partnership firms, where majority partners are women3. Companies, where majority of promoters shares are held by women

Loan Amount

Upto Rs 10.00 LacsOut of which WC not to exceed Rs 5.00 Lacs

Process Fee 0.50% of loan amount with a minimum of ` 500/ + Service tax, if any.

Repayment60 months including moratorium period of 3 months. Servicing of interest duringmoratorium period is compulsory.

Check pointsLine of business, experience, driving history, invoice of dealer/vendor, inspectionof vehicle.




_________________________________________________________________________________


Margin Loan upto Rs 25,000/- Nil Above Rs 25,000/- & upto Rs 2.00 Lacs 15% Above Rs 2.00 Lacs & up to Rs 10.00 Lacs 25%

In case of purchase of shop the margin will be 25% irrespective of loan limit.Rate of

interest(floating)

Loan Limit Normal ROI If covered

underCGTSME

Loan upto ` 50000/- BR +1.75% BRLoan above ` 50000/- & upto ` 2.00Lacs

BR +2.00% BR

Above ` 2.00 Lacs & up to ` 10.00 Lacs BR +2.25% BR+1.00%

PenalInterest

Penal interest @ 2% p.a. over and above the normal lending interest rate shallbe charged on irregular portion & for the period of irregularity.

Process fee 0.50% of the loan amount with a minimum of ` 500/-.Security Primary: Charge over the assets (movable & immovable) purchased out of

Bank‟s finance.

Collateral Up to ` 2.00 Lacs – NIL Above ` 2.00 Lacs- Tangible collateral security up to 100% of loan value.

Repayment For Term Loan- the repayment period is 5 to 7 years with maximum moratoriumof 3 to 6 months.

PrepaymentPenalty

NIL

Oriental Loan against Deposit

(Circular No. HO:RMD:02/2015-16/16 dated 06.04.2015)

Purpose To meet personal expenses / business expenditure except speculative /prohibited purposes.

Eligibility

1. All Indian Nationals of 18 years and above.2. Firms/companies.3. Advance against deposits to Trust/Society /HUF/Club/Associations ofPersons etc.

Type ofFacility

1. Overdraft limit (renewable every year)2. Demand Loan

Security Pledge of duly discharged unencumbered deposit receipt issued by our bank

only (Only parent branch).

Margin

S.No. Details of deposit Margin 1. Advance against Self Deposits less than 6 months 5%2. Advance against Self Deposits 6 months & above 10%3. Advance against Third Party Deposits 15%

Rate ofinterest(floating)

S.No. Details of deposit Rate of interest1. Advance against Self

Deposits less than 6months

1.00% over the applicable rate ofinterest on deposits

2. Advance against SelfDeposits 6 months & above




_________________________________________________________________________________


3. Advance against ThirdParty Deposits

2.00% over the applicable rate ofinterest on deposit with a floor ofBase Rate

PenalInterest

Penal interest shall be charged equal to clean overdraft rate of interest forthe period of irregularity, in case the account is irregularly overdrawn.

Process/upfront fee

NIL

Disbursement Through account of the respective borrowerDescription of Deposit a. Self TermDeposit

The deposit stand either in the name(s) of the borrower himself/borrowersthemselves, or in the names of the borrower jointly with another person

b. Third partyTerm Deposit

The deposits do not stand either in the name(s) of the borrowerhimself/borrowers themselves, or in the names of the borrower jointly withanother person

c. Other BankDeposits

No Loan shall be granted against the deposit of Other Banks.

Discretionerypower

Scale ` In lacsI 20.00II 30.00III 100.00CM 200.00 AGM 1000.00DGM 2000.00GM 5000.00 As RLCC RH AGM 2000.00 As RLCC RH DGM 5000.00 As RLCC RH GM 10000.00

Points to remember:1. Loans upto Rs. 500 Lac shall be considered under Retail Loan.2. An Advance against term deposit would be treated as SELF deposit for the purpose of

Delegated powers, ROI and Margin if the deposit stands in the name of The borrower, either singly or jointly One of the partners of a partnership firm and the advance is made to said firm The proprietor of a proprietary concern and the advance is made to such a

concern and vice versa A ward whose guardian is competent to borrow on behalf of the ward and where

the ward in such a capacity The respective sanctioning authority can consider loan against deposit to the

proprietorship firm where s proprietor of the firm is HUF and deposit stand in thename of HUF and vice-versa within their delegated power.

3. The branch incumbent shall not have power to grant loan against thord party depositexcept when third party depositors is a close relative of borrower. Close relative includesthe following relations: Spouse, Father, Mother (including step mother), Son (includingstep son), Son‟s wife, Daughter (including step daughter), Daughther‟s husband, Brother(including step brother), Brother‟s wife, Sister (including step sister), sister‟s husband,Brother (including step brother) of the spouse, Sister (including step sister) of thespouse, Father/mother of spouse.

4. The respective sanctioning authority can consider loan against Bank‟s own deposit incase where the Deposit is in the name of individual who is a director and loan is being

given to respective private limited company/ public limited company within their




_________________________________________________________________________________


respective sanctioning power. The same shall be treated as third party deposit for thepurpose of Rate of interest and Margin.

5. Branch incumbent and RLCC-RH shall not have any power to grant loan against Depositif the Deposit receipt is in the name of an individual and the advance is sought by Trust/Society/ HUF/ Club/ AoP etc. However, HLCC-ED/CAC/MCB shall have power to grant

loan against deposit if the deposit stand in the name of an individual and the advance issought by Trust/ Society/ HUF/ Club/ AoP etc.6. The advance against self deposit shall be permitted at parent branch only. Any deviation

shall be permitted by the next higher sanctioning authority. Advance shall be permittedonly against original deposit receipt. Request for advance against duplicate depositreceipt shall be considered by the next higher authorities.

7. No advance can be given to an individual if the deposit is in the name of: Partnershipfirm, Limited Liability Partnership, trust/ Society, Club/ AoP, HUF, Public LimitedCompany (closely held/ listed), Private limited company, Any other incorporated Body.

8. Cash disbursement should not be allowed directly from the loan account in all cases.9. Enhanced due diligence should be excercised in case of loans against deposit is in the

name of : Proprietor ship concern, Partnership firm, Limited Liability Partnership, Trust/Society, Club/ AoP, HUF, Public Limited Company, Private Limited Company (Closelyheld/listed), Any other corporate entity,

10. In case of Loan against self or third party deposit to staff as well ex staff of the Bank,50% concession in the normal shall be applicable

11. Branches should not allow creating FDRs out of overdraft allowed. (Circular no.HO:Retail:36:2013-14:908 dated)

Oriental Earnest Money Scheme Oriental Earnest Money Schemefor Affordable Housing Project

(Cir HO:Retail:46:2015-16:687dated 27.11.2015)

Purpose To finance Earnest Money Deposit forapplicants desirous of purchasing flats /plots under scheme by State HousingBoards / Urban Development Authority(SHB/UDA).

To finance Earnest Money Deposit forapplicants desirous of purchasing flatsat “Affordable Housing Projects” ofprivate builders.

Eligibility Any person or group of persons, singlyor jointly having capacity at least torepay the Earnest Money Loan.

Any person or group of persons, singlyor jointly having capacity at least torepay the Earnest Money Loan. Staff/Ex-staff with the condition that they

are allowed loan for single applicationand not multiple applications underany scheme. Classification of advancewill be conventional and non-priority.

Loanamount

100% of Earnest Money Deposit subjectto maximum of ` 10.00 Lacs

90% of Earnest Money Deposit subjectto maximum of ` 3.00 Lacs

Margin Nil 10%Rate ofInterest

Base rate i.e. 9.70% Upfront interest (fixed for scheme

period) to be recovered for theperiod of scheme.

Base rate i.e. 9.70% Upfront interest (fixed for

scheme period) to be recoveredfor the period of scheme.




_________________________________________________________________________________


Upfront Fee

/ Other

charges

NIL NIL

Security a) Lien on Earnest Money Deposit

with SHB/UDA.b) The lien of our Bank shall be got

noted with the authority. After thedraw, Earnest Money Refund orderof unsuccessful applicants shall besent by the authority directly to theBank instead of the applicant.

c) Upfront Interest amount equivalentto period of draw (as declared atthe time of launch of scheme bythe development authorities,

normally 180 days) be depositedby the borrower with the bankprior to release of loan and shall bekept under bank lien.

Safeguards:

a) A rubber stamp shall be affixed onface of the application formshowing that application moneyhas been financed by them.

b) Get the Earnest Money Finance

column ticked in the form and fill inthe detail of bank in the nextcolumn.

a) Lien on Earnest Money Deposit

with Builder.b) The lien of our Bank shall be got

noted with the Bilder. After thedraw, Earnest Money Refundorder of unsuccessful applicantsshall be sent by the Builderdirectly to the Bank instead of theapplicant.

c) Upfront Interest amountequivalent to period of draw (asdeclared at the time of launch of

scheme by the Builder, normally180 days) be deposited by theborrower with the bank prior torelease of loan and shall be keptunder bank lien.

Safeguards:

a) A rubber stamp shall be affixedon face of the application formshowing that application moneyhas been financed by them.

b) Get the Earnest Money Financecolumn ticked in the form and fillin the detail of bank in the nextcolumn.

Repayment i) In case of non-allotment:Earnest Money Loan shall beadjusted out of the proceeds ofrefund from SHB / UDA along-withinterest and other charges.

ii) In case of allotment: Ifborrower requests for servicingbalance installments payable forpurchase of plot/ flat, it may beconsidered subject to repayingcapacity and eligibility criteria asper Housing loan policy.

iii) In case of non-liquidation ofEarnest Money loan due todelay in draw by authority: Matter to be suitably taken up withrelevant / appropriate SHB/UDAsas the case may be.

i) In case of non-allotment:Earnest Money Loan shall beadjusted out of the proceeds ofrefund from Builder along-withinterest and other charges.

ii) In case of allotment: If borrowerrequests for servicing balanceinstallments payable for purchaseof plot/ flat, it may be consideredsubject to repaying capacity andeligibility criteria as per Housingloan policy.

iii) In case of non-liquidation ofEarnest Money loan due todelay in draw by authority: Matter to be suitably taken up withBuilder as well as with theborrower, to adjust the EMD loanaccount as the case may be.




_________________________________________________________________________________


Disbursement

Entire Earnest Money Deposit (including

margin) shall be paid directly to State

Housing Board/Urban Development

Authority along-with application on

behalf of borrower.

Entire Earnest Money Deposit(including margin) shall kept in anescrow account as per agreement withthe Builder.

Oriental Reverse Mortgage Loan Scheme

Purpose For receiving lifelong annuity (on monthly basis), to be used forsustenance or to supplement the cash flow stream of senior citizens inorder to address their financial needs.

Eligibility

No. of borrowersSingle or jointly with spouse in case of a livingspouse

Minimum age of firstborrower 60 Years

Age of spouse 60 years and above

Residence

The residence (house/ flat) should be selfacquired, self owned and self occupied.

Borrower(s) should have a clear andtransferable title to the property in theirnames.

Residual life of property should be at least30 years.

In case loan is sanctioned in the joint name

of the borrower(s), they must stay togetherin the mortgaged property.

Loan quantumMaximum ` 100.00 Lacs. The loan amount will be released on monthlyannuity basis only.

Margin

AGE-GROUP M ARGINS FOR AGE GROUP 60 TO 70 40%FOR AGE GROUP 70 TO 80 30%FOR AGE GROUP ABOVE 80 25%

Loan period/nature of

payment

The tenor of the loan shall be upto 20 years or survival of any of thespouse whichever is earlier, thereafter periodic annuity payment willnot be made.

THE LOAN SHALL BE EXTENDED AS REGULAR MONTHLY ANNUITY PAYMENTS DURING THE LOAN PERIOD

R ATE OF INTEREST 12.75% with monthly rest on Fixed Rate basisPREPAYMENT

PENALTY /

DOCUMENTATION & INSPECTION

CHARGES

NIL

PROCESS FEE & OTHER E XPENSES

0.50% of total Loan amount or half of the first monthly annuity payable toborrower, whichever is less, subject to maximum of ` 12,500/- only1. The legal fee/ charges stamp duty, registration charges, valuation

charges, document stamp charges, & insurance premium of property




_________________________________________________________________________________


etc shall be borne by the borrower(s).2. In the eventuality of non-payment of above said expenses, bank will

recover these expenses on prorata basis on the monthly annuitypayable to borrower(s) within a period of upto 24 months.

SECURITY Equitable or Registered mortgage of un-encumbered residential property,

in favour of the bank.

Customised scheme for Hero Motocorp Employees:(To permanent and regular employee of Hero Motocorp) (Cir HO:Retail:53:2015-16:813 dated

18.01.2016)Personal Loan: Age Limit For upper age employees at 55 years & above, it is to be ensured that the loan

amount is repaid by attaining age of superannuation i.e. 58 Years.

Net Monthly Salary: Rs. 15,000.00

Amount ofLoan

15 times of gross take home salary, max: Rs. 10.00 Lacs

Net take home salary should not be less than 40% of gross salary excludingdeduction of PF, Insurance premium from salary slip. However, in any case nettake hpme should not be less than 30% of gross salary after all deductions.

Security One personal guarantee preferably of fellow employee, subject to conditionthat one employee will not stand as guarantor in more than two accounts

ROI BR+1.70%; with 60 EMIs (subject to remaining period of services)Process fees NilTakeover BM‟s are authorized to take over personal loan, however, account must be

regular with the existing Bank.

For VehicleLoan

ROI : BR + 0.25%Process Fees : Nil

For HousingLoan

Process fees: Nil

Retail Credit Processing Cell (RCPC)

(Circular No. HO:Retail:14:2015-16:253 dated 29.06.2015) & (Circular No.HO:Retail:32:2015-16:474 dated 18.09.2015)

Initially 23, RCPCs are opened in Bank. Mortgaged based Housing Loan and OMLS, OBLS productsare handled by them. The branch to whom sanction will be communicated will be responsible forDocumentation/ Collection of Bank Charges/ Fees/ Disbursement of loan/ Post sanction follow- up /Recovery (including action under SARFAESI Act and other legal proceedings) till the closure ofaccount.

Nature of Work To be done by Identification of the customer and marketing Branches attached to the

centre and respectiveRegional Office.

Ensuring Compliance of KYC norms for the account marketed Branch/ Regional Office




_________________________________________________________________________________


Obtention of Loan Application and related papers Branch/ Regional OfficeForwarding of Loan Application and related papers to RCPC BranchConducting Pre-sanction visit, due diligence, verification ofsecurities/ credentials etc.,

RCPC with supportfrom empanelledprofessionals / agencies .

Scrutiny and Processing of Loan Proposals RCPCSanctioning/ Rejection of Proposals RCPCConveying Sanction with terms and conditions to the Branch RCPCMaintenance of record of sanction/ rejection of proposals RCPCReporting of cases sanctioned by RCPC to RO in STM-41 RCPCDocumentation and compliance of terms & conditions ofsanction and submission of BCC to the Regional Office

Branch

Disbursement of sanctioned loan BranchScrutiny of BCC Regional OfficeConducting of post – sanction visit to ensure end use of loan BranchRecovery/ Monitoring Branch

Once the loan is sanctioned by the RCPC, Branch Manager shall have the power ofrenewal/review of the account within their delegated powers, overall framework of the loanpolicy and other guidelines of the Bank. For the cases sanctioned by the RCPC beyond thedelegated power of Branch Manager, renewal/review of the account shall be done by theconcern Regional Office within their delegated powers, overall framework of the loan policy andother guidelines of the Bank. For the cases recommended by RCPCs and sanctioned by RegionalOffice/Head Office, renewal/review of the account shall be done by Regional Office/Head Officewithin their respective delegated powers as the case may be.

Enhancement shall be done by the RCPCs/Regional Office/Head Office within their respectivedelegated powers as the case may be.

For existing cases, renewal/review shall be done by the Branch/Regional Office/Head Officewithin their respective delegated powers. However, enhancement, in existing cases, shall bedone by the RCPCs/Regional Office/Head Office within their respective delegated powers as thecase may be. The branches located in 15 Kms. radius of RCPC even if they are not city branchesand are having good potential for Retail Loans shall be attached to the RCPC on receipt ofrecommendations from the Regional Head.

General Manager (Retail Credit) is authorized to permit addition of any branch with RCPC.

MSME Plus Scheme:(Circular No. HO:CAD:26/2015-16/261 dated 26.06.2015)

Eligibility Proprietorship, partnership, firms, LLPs, Private/Public Ltd. Cos.(existing as well as new borrower) The facility for existingcustomer shall be considered to be covered under new scheme atthe time of next renewal only

Account should have been standard for last two year and post taxprofit in each of preceding two years, not applicable to newestablished unit.

Exposure to Real Estate and NBFC is not covered Internal credit risk scoreUpto Rs. 7.50 Cr OBC4




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Above Rs. 7.50 Cr to Rs. 50.00 Cr OBC5Greenfield Rating GF4

Acceptable FinancialRatio

Limit CurrentRatio

Debt EquityRatio (DE)

Leverageratio

AverageDSCR

Upto Rs. 5.00

Cr

1.17:1

Upto 3:1 Upto 4:11.50:1(upto 7years)

Above Rs.5.00 Cr

1.25:1

Outstanding investment made/ loans granted to sister company/group company to be deducted from TNW to arrived at ATNW(Adjusted Total Net Worth)

Adjusted DE ratio and Leverage Ratios may be calculated byconsidering unsecured loans from friends/ relatives/ directors/related parties as quasi capital after netting investments made ingroup concerns/ subsidiaries, on case to case basis.

Primary security/

collateral security

Primary : As per Bank‟s policy Norms

Collateral: Advance covered by collateral atleast 50% of theexposure (FB+NFB)The extent of cash margin (in case of Non fund based limit) over andabove 10% shall be considered for the computation of collateralcoverage.

ROI Fresh coverage under the scheme (also new and existing client notcovered so far)

Special status borrower already covered under Mid Corporate Schememay continue to be covered under old scheme with followingcovereageCollateral Coverage 1.00 Cr <=10.00 Cr >10.00 Cr25% upto 50% BR+2.75% BR+3.00%>50% upto 75% BR+2.50% BR+2.75%>75% upto 100% BR+2.00% BR+2.25%>100% BR+1.75% BR+2.00%

For limit above Rs.5.00 Cr, external rating should be obtained fromapproved rating agency

Collateral CoverageRatio

<=Rs. 7.50 Cr >7.50 Cr upto Rs.50.00 Cr

50% up to 75% BR+2.25% BR+2.50% Above 75% upto100%

BR+2.00% BR+2.25%

Above 100% BR+1.75% BR+2.00%

Margin As per Bank‟s Loan policy and discretionary chartProcess fee/ upfront fee Entry level – 50% concession, 2nd year – 25% concession and 3rd

year onwards as per applicable Bank‟s schedule of charges 25% concession on applicable charges for borrower accounts

having minimum OBC4 rating or top three highest external creditratings of the concerned RBI approved rating agencies forGuarantee and LC Commission

Discretionary power As per delegated power chart




_________________________________________________________________________________


OBC Doctor Plus (Earlier Oriental Loan to Doctors)(Circular No. HO:CAD:26/2015-16/261 dated 26.06.2015)

PURPOSE

TO MEET FINANCIAL REQUIREMENT FOR SETTING UP OF NEW NURSING HOME / HOSPITAL

INCLUDING P ATHOLOGICAL L AB, EXPANSION /RENOVATION /MODERNIZATION OF EXISTING

NURSING HOME / HOSPITAL INCLUDING P ATHOLOGICAL L AB. PURCHASE OF MEDICAL

EQUIPMENTS AS ALSO OFFICE EQUIPMENTS, VIZ. COMPUTERS, AC, OFFICE FURNITURE, PURCHASE OF AMBULANCE ETC. AND TO MEET WORKING CAPITAL NEED.

ELIGIBILITY

CRITERIA

ALL ENTITIES I.E. MSME ENTERPRISES INCLUDING INDIVIDUALS, PROPRIETORSHIP

FIRMS, LLPS, PRIVATE LIMITED COMPANIES AND TRUSTS, SOCIETIES ENGAGED IN

PROVIDING MEDICAL / PATHOLOGICAL DIAGNOSTIC SERVICES TO THE SOCIETY AND WITH

TURNOVER OF UPTO R S. 150.00 CR . THE PROMOTER SHOULD HAVE REQUISITE QUALIFICATION AND IN ANY BRANCH OF

MEDICAL SCIENCE FROM A RECOGNIZED UNIVERSITY AND SHOULD HAVE MINIMUM 2

YEARS OF WORK EXPERIENCE HAVING MINIMUM QUALIFICATION AS MBBS, BDS

(DENTIST), BHMS

INTERNAL CREDIT RISK SCORE SHOULD BE MINIMUM OF IMACS4 FOR LAST TWO YEARS(INCASE OF EXISTING BORROWER HAVING AUDITED BALANCE SHEET FOR AT LEAST L AST

2 Y EARS) INTERNAL CREDIT R ISK R ATING SHOULD BE MINIMUM OF GF4 IN CASE OF NEW

BORROWER WHERE NO PAST AUDITED BALANCE SHEET IS AVAILABLE

LOAN

AMOUNT

LOCATION AMOUNT (IN CASE OF

HOSPITALS) AMOUNT (IN CASE OF

CLINIC)R URAL AREA & SEMI-URBAN

` 1.00 CR ` 0.50 CR

SEMI URBAN / URBAN ` 10.00 CR ` 1.00 CR

METRO `15.00 CR

FOR LIMIT ABOVE R S.5.00 CR , EXTERNAL RATING SHOULD BE OBTAINED FROM APPROVED

RATING AGENCY

T YPE OF

FACILITY

TERM LOAN (ASSESSMENT OF TL SHAL BE AS PER LOAN POLICY OF THE B ANK ) – IN CASE OF

CONSTRUCTION OF BUILDING LIMIT IS MAX 50% OF CENTER WISE. WORKING C APITAL LIMIT UPTO 10% OF ANNUAL SALE OR GROSS INCOME, SUBJECT TO

10% OF THE CEILING LIMIT OF CENTRE IN CASE OF BORROWERS REQUIRING BOTH TERM

LOAN AND WORKING CAPITAL FACILITIES. IN CASE BORROWER REQUIRING ONLY WORKING

CAPITAL LIMIT, 20% OF THE CEILING LIMIT OF CENTRE.

ACCEPTABLEFINANCIAL

R ATIO

Limit CurrentRatio

Debt EquityRatio (DE)

Leverageratio

AverageDSCR

Upto Rs. 5.00Cr

1.17:1

Upto 3:1 Upto 4:11.25:1

(in case ofTL)

Above Rs.5.00 Cr

1.25:1

M ARGIN

25% OF ACQUISITION OF PREMISES AND /OR EXPANSION / RENOVATION / MODERNIZATION OF EXISTING EQUIPMENT

15% FOR PURCHASE OF EQUIPMENT / MACHINERY 15% OF COST OF VEHICLE ON ROAD FOR AMBULANCE / OTHER VEHICLE NIL IN CASE OF WC (CLEAN)

R ATE OF

INTERESTSecurity Coverage ROI




_________________________________________________________________________________


(FLOATING) Ratio50% up to 75% BR+2.50% Above 75% upto100%

BR+2.00%

Above 100% BR+1.50%

PROCESS FEE 50% CONCESSION IN APPLICABLE PROCESS FEES / UPFRONT FEE

SECURITY

PRIME SECURITY : H YPOTHECATION OF ASSETS CREATED OUT OF B ANK FINANCE. EQUITABLE MORTGAGE OF IMMOVABLE PROPERTY IN CASE OF CONSTRUCTION /

RENOVATION OF L AND AND BUILDING

SECURITY COVERAGE: FOR LOANS UPTO ` 0.10 CR :- NIL

FOR LOANS UPTO ` 1.00 CR – MINIMUM 50% SECURITY

FOR LOANS ABOVE ` 1.00 CR – MINIMUM 100% SECURITY COVERAGE

INCLUDING COLLATERAL. GUARANTEE:

PERSONAL GUARANTEE OF PROMOTERS / DIRECTORS / TRUSTEES ETC. ADVANCE IS TO P VT. LTD. CO., LTD. CO. & TRUST THE OPTION OF GUARANTEE COVERAGE UNDER CGTMSE SCHEME MAY BE OFFERED

TO THE BORROWER INCASE HE IS PROVIDING ONLY PRIMARY SECURITY AS

SECURITY COVERAGE Discretionarypower

As per delegated power chart

OBC MSME – Vishesh & OBC MSME - Tatkal(Circular No. HO:CAD:26/2015-16/261 dated 26.06.2015)

OBC MSME – Vishesh OBC MSME – Tatkal(Working Capital Facility)

OBC MSME – CDL(Contingency Demand

Loan)Facility Auto increase of working

capital limits for MSME(Medium and SmallEnterprises) borrowers – effective from beginningof financial year

Working Capital Limit byextension charge onexisting security & filingof charge with ROC ifapplicable

Contingency demandloan for MSME Borrowerby extension of chargeon existing asset orassets to be created outof bank finance. CDL willbe based on documentsevidencing/ justifyingthe contingency andinvoice

Purpose To provide on the spotneed based additionalfinancial assistance

To provide on the spotneed based additionalfinancial assistance

To meet futureemergency capexrequirement of the unittowards bottlenecking/breakdown etc. to caterthe need of MSME(Manufacturing &Service sector)

Eligibility Qualified only OBC MSMEPlus Borrower Minimum 2 years

satisfactory (standard)

Minimum 2 yearssatisfactory(Standard Regular)

conduct of account &

Qualifying MSME unitswith OBC-4 rating Minimum 2 years

satisfactory




_________________________________________________________________________________


conduct of account &accounts should nothave beenrestructured

Minimum 85%

achievement ofestimated sales on thebasis of which existinglimits were assessed. After stidfactoryevidence of % ofachievement of saleby way of VAT returnsor provisionalfinancials certified by Auditors as drawn

from books ofaccounts

profit making (standard) conductof account &accounts should nothave beenrestructured and in

profit for last 2 years At the time of

regular sanction/review

Eligible Amount

25% of existing workingcapital facilities separatelyfor FB+NFB or 50% of theeligible limit on enhanceportion of projectedturnover whichever is less

Additional woking capitalfacilities available 15% of existing

working capitalfacilities separatelyfor FB & NFB subjectto Max of Rs. 3.00 Cr

Up to 15% of theinvestment cost in P&M(Gross Block Value) asper last audited balancesheet with max cap ofRs. 1.50 Cr

Sanctioningpower

Upto discretionary powerchart of BranchIncumbent i.e. eligibleamount under above andexisting sanctioned limit.If the total amountexceed then RLCC-RH

Upto discretionary powerchart of BranchIncumbent i.e. eligibleamount under above andexisting sanctioned limit.If the total amountexceed then RLCC-RH

Upto discretionarypower chart of BranchIncumbent i.e. eligibleamount under aboveand existing sanctionedlimit. If the total amountexceed then RLCC-RH

ROI 0.50% over and aboveexisting rate till regularsanction of enhanced limit

1.00% additional ROIover and abovesanctioned ROI

1.00% over and aboveexisting rate

Period ofadditionalfacility

Max. Six Months or uptothe date of regularenhancement whicheveris earlier

Max. 90 days (3 times ina financial year,maximum 180 days andgap of 15 days in eachavailment)

Max. 12 months, withinwhich it will beconverted into regularTerm Loan. Thiscontingency loan is to beadjusted by sanction ofregular Term Loan.

Process Fee Nil Nil NilTurnaroundTime

Max. 15 working daysfrom the date of receiptof all information

- Max 3 working days forthe date of receipt of allinformation

Other Termsand Condition

This fund based facilityshall be covered with DP

Borrower can enjoy onlyone facility wither OBCTatkal Working Capitalor Adhoc milit at a time

Demand loan documentsat the time ofsanctioning of CDL




_________________________________________________________________________________


Other important points related with retail credit:

For BSNL Employees, below concessions are allowed till 6th April‟2016(Circular No. HO:Retail:18:2015-16:268 dated 03.07.2015)

Sr.

No.

Loan Rates of customized scheme for BSNL employees

1 Housing Irrespective of Loan limit – BR

For 3rd House onward – BR+0.50%

2 Vehicle For New Car & Two Wheeler –

Rapayment upto 3 years – BR

Rapayment above 3 Years – BR+0.25%

For old Car-

BR + 2.50%

3 Personal BR + 2.25%0.25% of special concession to women BSNL employees

Where schemes are covered under Pradhan Mantri Mudra Yojna (MSME upto 10 lacs) suchas auto and taxi, loans to professionals, loan to trader etc. use Annexure A as a loanapplication form (Circular No. HO:RD PS:42:2015-16:405 25th August, 2015)

Banks should provide a clear, concise, one page key fact statement/fact sheet to allindividual borrowers at every stage of the loan processing as well as in case of any changein any terms and conditions. (Circular No. HO:Retail:01:2015-16:14 Date: 01.04.2015)

The CRM Committee vide agenda item no. 12 in its 115th meeting dated 20.04.2015, has

approved the checklist for implementation in all fresh Retail Loan proposals as a preventionof Frauds measure at the time of appraisal itself. (Circular No. HO:Retail:08:2015-16:84Date: 01.05.2015)

No Deviation are to be allowed in schematic lending schemes, however wherever necessarythe deviation/ justification proposals be sent to HO supported by proper justification andvalue of account only in most deserving cases with proper due diligence. (Cir No.HO:Retail:59:2015-16:839 dated 28.01.2016)

Levy of foreclosure charges/prepayment penalty on floating rate term loans is waived offexcept Loan facility other than term loans; Loans sanctioned on fixed ROI & Credit facilitiessanctioned to person other than individual. (Circular no HO:Retail:07:2014-15:101 dated10.05.2014)

For internal monitoring, “it is mandatory to enter the proposal in Proposal Tracking system.Further, for tracking of loan application by the customers, “All proposals submitted by theborrowers be also entered into the online format (available at website www.obcindia.co.in)by the branches simultaneously and shall be available for tracking on the website by theapplicant. After entering the loan proposal through above link, the branches shall givetracking number to the applicant, which may be used for future tracking of the applicationby the borrower.” (Circular No. HO:Retail:29:2015-16:455 dated 14.09.2015)

TAT (Turn Around Time is reduced as under:Housing Loan – 7 Days

Vehicle Loan – 24 hours for existing customer client and 3 days for new customers.




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No fresh additional PDS shall be accepted provided branches should obtain 6 PDCs (in CTS2010 Format) of the account from which ECS Debit Mandate has been given by borrower assecurity. While recovery of the EMI will be done by ECS//SI in lieu of PDCs, these chequesshouldn‟t be used for the purpose of recovery of regular EMIs as a matter of routine. WhereECS/RECS facility is not available, branches may obtained PDCs complying with CTS2010

standard for recovery of EMIs. (Circular No HOP:Retail:35:2013-14:907 dated 08.01.2014) No inspection charges shall be levied under any Retail Credit Scheme, if facility is availed for

personal purpose. However, in case credit facility is availed for business purpose under theschemes OBLS, OMLS, Loan to Traders etc. inspection charges as per Loan policy or guidedby RMD Deptt. shall be levied. (Circular No. HO:Retail:47:2014-15:979 Date:17.03.2015)

Prior to sanctioning and disbursal of any credit facility under Retail Scheme, the borrowermust be having an operative account (SB/CA/ CC/ OD) with the bank or should open one.(Circular No. HO:Retail:45:2014-15:924 Date: 21.02.2015)

Festival Bonanza Offer of 100% waiver in process fee for Home Loan, Vehicle Loan, OBLSLoan and 0.25% concession in Rate of Interest in Vehicle Loan during the festivalbonanza(period extended till 31.03.2016). (Circular No. HO:Retail:50:2015-16:768 dated

30.12.2015) In order to ensure retention of valuable customers on arrangement has been made withCIBIL to provide live consumer triggers whenever bank‟s existing customer approachesother Bank/FIs for credit facilities. The type and amount of loan, borrower has approachedfor outside the Bank is made available on CIBIL site. (Circular No. HO:Retail:45:2015-16:686dated 01.12.2015)

Further, as per the direction of Board of Directors, all borrowers who approach our Bank forsanction of loan and whose TU score > 700, must be sanctioned loan on merit and prioritybasis so that chances of shifting to other Banks are eliminated. (Circular No.HO:Retail:39:2015-16:587 dated 23.10.2015)

In all fresh account mobile no. should invariably be captured while account opening and inexisting account the latest mobile no. should be updated. (Circular No.HO:Retail:33:2015-16:493 dated 24.09.2015)

Change of S.Tax :-w.e.f. 15.11.2015 14% +0.50 (Swatch Bharat Cess) {All over Indiaexcept J&K} (HO/Act/632/-07.11.2015)




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DEPOSIT PRODUCTS OF OUR BANK

SAVINGS BANK DEPOSIT SCHEMES

# SCHEME SALIENT FEATURESSCHEME CODE

1. Savings Bank (Staff)

Only for Bank‟s Staff members. All facilities free and no charge to be levied.SB-211(saving smart save-flexi fixed deposit)Facilities alsoavailable-Threshold Limit Rs.25000/-Minimum sweep in –Rs.5000/-Minimum sweep out-Rs.2000/-No Minimum Balance required to be maintained.

SB 202

2. Smart PaySalary Accounts

For salaried persons whose salary is credited in thisaccount.Zero balance Account. No charges for non-maintenance ofminimum balance. Also available for Wipro salary

scheme(Previous SB 213)

SB 204

3. NRO Saving Bank A/Cs

A/C can be opened by NRI / PIO. In Indian Rupees. LocalFunds/Funds from abroad.Any resident going abroad for gainful employment, hisdomestic account will be converted into NRO a/c.If he/she does not have any domestic a/c, he/she canopen a NRO a/c.Joint a/c with Residents/Non-Residents permitted.Non-repatriable except to the extent of USD 125000 perfinancial year including sale proceeds of immovableproperty.

SB 205

4. NRE Saving Bank A/Cs

A/C can be opened by NRI / PIO. Funds from abroad. In

Indian Rupees. Any resident going abroad for gainfulemployment can open NRE account. Joint a/c with NonResidents /Residents (with some conditions) permitted.P.A. Holder can operate the account. Freely Repatriable.

SB 206

5. RFC Saving Bank A/CAny returning NRI who has stayed abroad can open RFCa/c. In Foreign Currency- USD, GBP and Euro. Joint a/cpermitted. Freely Repatriable.

SB 207

6. Saving BankCapital Gains SchemeAccount „A‟ for SB „B‟ for TD

Tax Saver Scheme. Exemption from Capital Gains Tax u/s54, 54B, 54D, 54F and 54G of Income Tax Act, 1961allowed. Option to open Account „A‟ or „B‟. Interest orwithdrawal from Account „B‟ can be made throughAccount „A‟ only. Introduction of the depositor need notbe insisted upon. Joint account not permitted. Cheque

Book facility not allowed. Withdrawal of Interest does notrequire permission from IT authority like the withdrawal ofPrincipal amount.Special Account Opening Form to be obtained in duplicate.The forms as obtained during the course of operation ofaccount / withdrawals /closure of accounts to besubmitted to the IT authority within 7 days of the close ofthe month.

SB 208

7. Saving Smart Save Flexi FixedDeposit

Average Quarterly Credit Balance Rs.25,000/-Balance above Rs.25000/- will automatically be convertedinto Term Deposit.

SB 211




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Auto sweep Unit- Rs.5000/-.Reverse sweep unit- Rs.2000/-.50% concession in NEFT/RTGS Charges.

Speed Clearing Charges – Free.Free ECS debit and credit.Instant credit of O/s cheque upto Rs.25000/-No Charges for Cheque Books .At par collection of Govt. Cheques.

Revised Flexi Period as per HO Circular HO/C’ S&P/41/2015-

16/691 December 1st , 2015 is as under:

Scheme ExistingFlexiPeriod

Proposed Flexi Period

Individuals NonIndividuals

Saving

Smart Save(SB-211)

90 days to

5 years 91 days to 59

Months Default period 91 days

91 days to 179

days Default period 91 days

8.

Basic SB Deposit

HO/CS&P / 44 /2012-13/527/19.10.2012-

The new name for BasicBanking (No Frill) AccountScheme (SB-212) is “BasicSavings Bank DepositAccount” (Basic SB Deposit)

(HO/CS&P/56/2012-13/661/21-12-2012)

Initial deposit A nominal amount of Rs.

10/- for opening of an

Account under the „Scheme.

Minimum Balance No Minimum Balance

prescribed and as such no

charges for non maintenance

of Minimum Balance.

Cheque Book Facility One Free of Cost Cheque

Book of 25 Leaves during a

Calendar Year

Cheque Collection Cheques drawn in favour of

the account holder shall be

collected in such Accounts,

if any

ATM Card Free ATM Card facility shall

also be provided.

Number of Credits No restriction on number ofcredits in the account

Other free Services Standing Instructions for

transfer of funds within the

same branch,

No Incidental Charges for

activating the inoperative

account.

SB 212




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Other Services Ibanking etc available, ECS,

NEFT, Issuance of DD etc,

are available and applicable

service charges are levied as

per bank‟s schedule of the

Charges.

NO RESTRICTIONS IN MAXIMUM BALANCE AND TOTALCREDITS IN THE ACCOUNT-

9. OBC Unnati Deposit Scheme

Minimum Balance R/ SU/U Metro

Without Cheque Book Rs.500/-

Rs1000/-

With Cheque Book Rs.500/-

Rs.1000/-

NEFT/RTGS at 50% concessionalCharges.No cheque book charges(Including multicitycheques)Prescribed monthly

charges are levied on non-maintenance of MinimumBalance. ECS Dr/ Cr Free, I.Banking Facility Free, Mobile &SMS Free.

SB 219

10.SB Pension Account (Govt)

Only for Government Pensioners

Minimum Balance Rural / Semi-Urban

Urban /Metro

Without ChequeBook

Rs. 20/- Rs. 20/-

With Cheque Book Rs. 250/- Rs.250/- SB 220




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No charges for non-maintenance of minimum balanceNo Service Charges for Collection / Discount of PensionCheques 2 Remittances aggregating to Rs.10000/- p.m.

free of charge

11.

SB Small Account

Account can be opened with relaxed KYC normsThe person who intends to open the account has toproduce a self-attested photograph and to affix asignature or thumb print, as the case may be on the formfor opening the account in the presence of a designatedofficer of the Bank. Balances should not exceed Rs.50000/-in all their accounts taken together. Total credits notexceeding Rs.1 lakh in a year and the aggregatewithdrawals and transfers in a month not exceedingRs.10,000/-.Initial Deposit Amount: Rs.10/- ; Minimum Balance: NIL;Maximum Balance in the account/s: Rs.50,000/- ;

Maximum amount per transaction- Rs. 10,000/- ;One ATMcard free of charge for the first year. Foreign Remittancenot permitted.

SB 222

ORIENTAL PREMIUM SALARY ACCOUNT (SB A/C SCHEME FOR PREMIUMSALARIED CLASS) – SB 232 AND OD 522

Sr.No. Parameter Premium Salary account (>`50000)

Min/Avg. Balance Requirements Nil

Online NEFT Free

ATM cardIssuance charges

Annual fee charges

GoldFree

Free (On Min. monthly transaction onPOS/ E – Commerce)

Net Banking Free

Mobile Banking Free

Offer Coupons over NET Banking Free Coupons

SMS and Mail Alerts Free

Overdraft facility Overdraft facility with extended limitupto 3 times of gross salary (as per payslip) or 5 times Net Salary credited inaccount (Avg of last 3 months to betaken) whichever is lower. Available fortenure of 12 months at 12.20%(BR+2.5%)Max overdraft amount

shall be limited to `300000/- Eligibility:Permanent Employee /Minimum oneyear of continuous service.Net takehome salary should not be less than40% after calculating the interestaccrued. Minimum CIBIL trans Unionscore shall be TU-567,PL- 651 (Anydeviation from the above mentionedscore rests with next higher authority

(a)Discretionary Powers forsanction of overdraft facility

Sanctioning Authority

Discretionarypowers

BM Scale III &above

Rs. 3.00 Lac

SB-232and OD-522




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(b) Deviation from above BM Scale II Rs. 2.00 Lac

Regional Head would be conferred withpower in case of any deviation from

above. Process Fee For Retail Loans Complete waiver

Demat Trading Free

ORIENTAL SALUTE SALARY ACCOUNT (SB A/C SCHEME FOR DEFENCEPERSONNEL) – SB 233 AND OD 523

Sr.No. Parameter Salute Salary Account

Min/Avg. Balance Requirements Nil

Online NEFT Free

ATM cardIssuance charges

Annual fee charges

GoldFreeFree (On Min. monthly transaction onPOS/ E – Commerce)

Net Banking Free

Mobile Banking Free

Offer Coupons over NET Banking Free Coupons

SMS and Mail Alerts Free

Overdraft facility Overdraft facility with extended limitupto 3 times of gross salary (as per payslip) or 5 times Net Salary credited inaccount (Avg of last 3 months to betaken) whichever is lower. Available fortenure of 12 months at 12.20%(BR+2.5%)Max overdraft amountshall be limited to `300000/- Eligibility:

Permanent Employee /Minimum oneyear of continuous service .Net takehome salary should not be less than40% after calculating the interestaccrued. Minimum CIBIL trans Unionscore shall be TU-567 ,PL-651 (Anydeviation from the above mentionedscore rests with next higher authority

(a)Discretionary Powers forsanction of overdraft facility

(b) Deviation from above

Sanctioning Authority

Discretionarypowers

BM Scale III &above

Rs. 3.00 Lac

BM Scale II Rs. 2.00 Lac

Regional Head would be conferred withpower in case of any deviation fromabove.

Process Fee For Retail Loans Complete waiver

Demat Trading Free

Term & Condition for Loan is as under:

Sr.No.

Criteria Details

Eligibility Criteria a. Terms of employment: Permanent Employee/Minimum one year of continuous service.b. CIBIL Score: Minimum CIBIL Trans-union score

SB-233and OD-523




_________________________________________________________________________________




shall be TU-567, PL-651 (Any deviation from theabove mentioned score rests with next higherauthority).

c. Minimum Gross Monthly Salary – I. Premium Salary account: Rs. 50,000/-.

II. Salute Salary account: There is no requirement ofminimum gross Salary.d. Net take home criteria: Net take home salary

should not be less than 40% after calculating theinterest accruede. Loan eligibility: Overdraft facility with extended limitup to 3 times of gross salary (as per pay slip) or 5times Net Salary credited in account (Avg. of last 3months to be taken) whichever is lower

Loan Criteria a. Quantum of Loan: Rs.3,00,000/-b. Tenure of Loan: 12 months (1 year) subject to

annual review.c. Rate of Interest: Base Rate + 2.50%

d. Processing Fee & Documentation fee: Waivede. Renewal charges: Waived

Documents required fromCustomers

At the time of opening of account (Premium Salary) i.KYC documents.(PAN Card is mandatory)ii. Appointment letter /Employment Certificate.iii. Self attested copy of Identity card or Letter from

the employer certifying the Designation anddepartment of his posting.iv. Salary Slip of the last month with gross salary

above Rs50,000/-.At the time of opening of account (Salute Salary)

i. KYC documents.(PAN Card is mandatory)ii. Self attested copy of Identity cardAt the time of granting of Overdraft for existingas well as new accounts opened under the same:i. Request letter as per format enclosed.

ii. Employee Confirmation letter from the company. iii.Two Year Income Tax Return.iv. Duly Stamped and notarized undertaking cum

authority letter as per Annexure –II.v. Salary slip for the last three months duly attested

from the concerned Departmental Head/Organization Head/ Salary Drawing Officer.

Legal Documents to beexecuted

DOC 4 (Agreement For overdraft) and Doc 38

(Common Agreement) DPN (Demand PromissoryNote)

Duly Notarized undertaking from the Customer

(Annexure-II) Legal Heir Declaration

(Proposed to be clubbed as a single bookletdocument to be executed with the borrower)




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Delegation of Authority Sanctioning Authority Discretionarypowers

BM Scale III & above Rs. 3.00 Lac

BM Scale II Rs. 2.00 LacThe Regional Head will be the sanctioning authorityfor „Premium Salary account‟ and „Salute Salary

Account‟ over & above the delegated authority toBranch Managers with maximum limit up to `3.00Lacs and also for the branches headed by Scale IOfficers

SYSTEM LEVELCONTROLS

The following system level parameters are proposedto be implemented in consultation with „Departmentof Information Technology‟ and „Corporate Strategy &

Planning Department‟: a) New Scheme codes for „Premium Salary Account‟and „Salute Salary Account‟ b) The functionality to provide „Overdraft facility‟ in

the mentioned Saving Banks Salary account.c) Incorporating parameters in Finacle for mentioned

SB account to capture the document checklist,sanctioning details and MIS codes.d) Customized reports to be made available inCRisMac for Branch, RO and HO level.e) Integration of the above schemes in the LOSmodule, subsequently.

Monitoring & Review ofthe Scheme

It is proposed to advise the Retail Credit Departmentfor monitoring and review of the „Overdraft facility‟linked to the „Premium Salary Account‟ and „SaluteSalary Account‟

Marketing of the Product The marketing activity for the mentioned schemesshall be initiated in the following stages:a) Staff awareness through Circulars, mailers,publicity materials and scheme one pagersb) Customer awareness through Newspaperpublicity, Pointers advertisement and CorporateCommunication to existing customers.c) Launching of Campaign for garnering accounts

under the mentioned schemes.

ORIENTAL YUVA ACCOUNT - SB 234

Salient features of the scheme are given below:-

Sr.No

Parameters Limitations/ Features

1. Age 10-18 years, On attaining majority i.e. 18 years the accountwill be converted in normal saving account after completingnecessary requirements.

2. Minimum Accountopening Balance

NIL

3. Average Quarterly No Specific requirement

SB-234




_________________________________________________________________________________




Balance4. Daily withdrawal

limit`5000 per day through ATM

5. Spends at POSmachines

Maximum `5000 per day

6. Mobile Banking Enabled (View only)

7. Specifications of ATM Card Specially designed Classic„RUPAY‟ Cards.

8. Annual ATM Card Charges Completely waived off9. Maximum Balance `100,000

10. Total credit in a year `5,00,000

11. SMS Alert Available12 Demand Drafts Free Demand Drafts for

Educational Institutions andentrance exams for account

holder.13. Internet Banking Internet Banking enabled for

view only transactions.

14. Passbook Passbook for minors will beprovided.

15. RD facility RD with minimum `100 @ROI prevailing in the Bankwith nil Standing InstructionsCharges.

16. ROI As per prevalent rate ofinterest.

Savings Deposi t is a form of demand deposi t which is sub ject to restr ic t ions as tothe numb er of wi thdrawals as a lso the amounts o f wi thdrawals permi t ted by the Bank

dur ing any speci f ied p er iod;

One of the important functions of the Bank is to accept deposits from the public for thepurpose of lending, hence depositors are the major stakeholders of the BankingSystem.With liberalization in the financial system and deregulation of interest rates, banksare now free to formulate deposit products within the broad guidelines issued by RBI.

SB ACCOUNT OPENING & OPERATIONS

Savings Bank Accounts can be opened for eligible person / persons and certainorganizations/agencies (as advised by Reserve Bank of India) from time to time.Duediligence required to carry out “Know Your Customer (KYC)” and “Anti Money Laundering”(AML)”) guidelines of RBI / GOI and Policy and Procedures adopted by the Bank in thisregard.

DOCUMENTS REQUIRED FOR OPENING SAVING ACCOUNT

OF -1A – Custom er Ident i f icat ion Form for Resident Indian

OF-1B – Acco unt Opening Form for Ind iv idua ls




_________________________________________________________________________________


Saving Deposit accounts can be opened by

An individual in his own name (status: single name)

More than one individual in their own names (status: Joint Account).

minor jointly with natural guardian or with mother as the guardian(Status: known as Minor‟s

Account). Minors above the age of 10 will also be allowed to open and operate SB account

independently. ( No overdrafts will be granted to these minors. )

SB account can also be opened by a minor represented by guardian or jointly with a major,where minor is represented by natural guardian. Minors above the age of 10 will also beallowed to open and operate SB account subject to restrictions on transactions and nocheque books will be provided to such accounts.

On attaining majority, the erstwhile minor should confirm the balance in his / her account andif the account is operated by the natural guardian / legal guardian, fresh operatinginstructions and specimen signature of erstwhile minor should be obtained and kept onrecord for all operational purposes.

Account of Illiterate / Blind Person Illiterate persons are allowed to open SB Deposit

accounts jointly with persons who are literate or illiterate and closely related to them andgenuine request of illiterate customer.

The account of such person may be opened provided he/ she call on the Bankpersonally along with a witness who is known to both the depositor and the Bank.

Normally, no Cheque book facility is provided for such Savings Bank Account. Atthe time of withdrawal / repayment of deposit amount and / or interest, theilliterate customer should affix his / her thumb impression or mark in the presenceof the authorized officer who should verify the identity of the person.

The Bank will explain the need for proper care and safe keeping, of the passbooketc. given to the account holder.

ATM/DEBIT card facility be permitted in the accounts of illiterate customers,

however it should be ensured that he/she is able to understand(i)the numerical as scripted on the ATM machine and

(ii) in the letter informing the PIN number and also

(iii) to distinguish his/her card from other cards. He/ She must be informed of

the procedure of operating the ATM machine as well as use of various

buttons on ATM machine and elaborating the importance of the PIN number

and how to change them”. In case of Joint Operation (mode of operation),

ATM/Debit card shall not be issued.

No cheques with RTI / LTI etc. shall be presented / paid through clearing / CTS. The Bank official shall explain the terms and conditions governing the account to

the, illiterate.

Account Of Literate Blind Person A blind person is allowed to open SB Account inhis/ her name singly or jointly with others whom he/ she considers reliable. All thebanking facilities such as cheque book facility including third party cheques, ATMfacility, Net Banking facility, Locker facility, retail loans, etc. are invariably offered tothe visually challenged without any discrimination. (RBI vide circularDBOD.NO.Leg.BC.91/09.07.005/2007-08 date 04.06.2008

CHARGES IN SB ACCOUNT Minimum balances charges

Restrictions on number of transactions, cash withdrawals, etc., for given

period.




_________________________________________________________________________________


Charges for issue of cheques books,

Charges for additional statement of accounts,

Charges for duplicate pass book, folio charges, etc.

OPERATION MODE IN SB ACCOUNT

Single – Operated singaly by the Account Holder Jointly - Mode of Operations for joint account is as underi) Either or Survivor: Under this mandate, either of the account holders canoperate the account or in case of death of any one of the account holders, theoutstanding balance can be paid to the survivor.

ii) Any one or Survivor: Under this mandate, the account can be operated byany of the joint account holders and in case of death of any one or two of jointholders, the balance outstanding can be paid the survivor (s).

iii) Former or Survivor: Under this mandate, only the first named depositor hasthe right to operate the account i.e. during the lifetime of former, the latter cannotoperate the account. After the death of former, the latter can operate theaccount/ or the outstanding balance can be paid to survivor.

iv) Latter or Survivor: Under this mandate, only the second named depositorhas the right to operate the account i.e. during the lifetime of latter, the formercannot operate the account. After the death of latter, the former can operate theaccount/ or the outstanding balance can be paid to survivor.

v) Joint operation: Under this mandate, the account is operated jointly i.e. theinstructions given by joint account holders are honoured if signed by both/ all the joint holders. In such cases, on death of any of the account holders, theoperation in the account is stopped and is dealt with as a claim case

vi) In short, payment to survivor(s) can be made in the normal course subject tothe only rider that there is no order from a competent court restraining the bankfrom making such payment.

vii) A joint account holder, who is authorized to operate the joint account himselfalone, cannot appoint an agent or attorney to operate the account on his behalf.Such attorney or agent may be appointed with the consent of all the jointaccount holder/s.

viii) At the request of the depositor, the Bank will register mandate / power ofattorney given by him authorizing another person to operate the account on hisbehalf.

ADDITION / DELETION OF NAME/S OF JOINT ACCOUNT ACCOUNT HOLDER

At the request of all the Joint Account Holders the addition or deletion of name/s of Joint

Account Holder/s is allowed if the circumstances so warrant or allow an Individual

Depositor to add the name of another person as a Joint Account Holder.

NOMINATION

Nomination facility is available for all Saving Bank schemes.

INTEREST PAYMENTS

Interest on saving account shall be paid at the rate decided by the Bank within the

general guidelines issued by the RBI from time to time.

SB Deposit(accounts of resident Indians) interest rate has been deregulatedsince 25.10.2011)




_________________________________________________________________________________


In case of SB Deposits, interest shall be on daily product basis from 01/04/2010,and the same credited to the account only when the interest amount is Re. 1/- ormore. Interest shall be credited on half yearly basis as on 30th June and 31stDecember.

STAFF ACCOUNTS

Branches have been permitted to allow additional interest on SB Deposita at arate not exceeding one per cent per annum over and above the stipulated rate of

interest to bank‟s staff and their exclusive associations subject to certain

conditions. In respect of a savings deposit account opened in the name of:

Member or a retired member of the bank‟s staff, either singly or jointly withany member or members of his/her family, having FIRST NAME OF STAFF;or

the spouse of a deceased member or a deceased retired member of thebank‟s staff; and

An Association or a fund, members of which are members of the bank‟s staff;

Rounding Off Of Transactions

All transactions including Payment of Interest on Deposits shall be rounded off to

the nearest Rupee; i.e., fraction of 50 paise and above shall be rounded off to the

next higher rupee and fraction of less than 50 paise shall be ignored.

Inoperative/Unclaimed Accounts

A SB account shall be treated as inoperative / dormant if, there are no transactions in theaccount for over a period of two years. For the purpose of classifying an account as“inoperative both the type of transactions i.e. debit as well as credit transactions induced at

the instance of customers as well as third party should be considered. However, the servicecharges levied by the bank or interest credited by the bank shall not be considered. The customers shall be intimated (all joint account holders) three months in advance, about

his/her account falling into inoperative category and the consequences thereof in case nocredits/debits are made within stipulated period.

“Unclaimed deposit accounts” means accounts, which have not been operated upon for tenyears

In an effort to play a more pro-active role in finding the whereabouts of the account holders of unclaimed deposits/inoperative accounts, the list of such accounts which areinoperative for ten years or more has been displayed on our Bank‟s we bsite. For IndividualCustomers, the list so displayed on the website contains the names of the account holder(s)and his/her address in respect of unclaimed deposits. For Non Individual Customers, the list

so displayed on the website contains the names of the Entity and its address in respect ofunclaimed deposits.




_________________________________________________________________________________


CURRENT DEPOSIT PRODUCTSCurrent Account is a form of demand deposit where from withdrawals are allowed anynumber of times depending upon the balance in the account or up to a particular agreedamount and will also include other deposit accounts which are neither Savings Deposit nor

Term Deposit.No Restrictions on number of transactions, cash withdrawals, etc. ACCOUNT OPENING & OPERATIONS

• Current Accounts can be opened by individuals / partnership firms / Private and• Public Limited Companies / HUFs / Specified Associates / Societies / Trusts, etc.• Due diligence required to carry out “Know Your Customer (KYC)” and “Anti Money

Laundering” (AML)”) guidelines of RBI / GOI and Policy and Procedures adopted bythe Bank in this regard.

• A statement of account will be provided by the Bank to Current Deposit Accountholders periodically as per terms and conditions of opening of the account.

Alternatively, the Bank may issue a Pass Book to these account holders.

DOCUMENTS REQUIRED FOR OPENING SAVING ACCOUNT• Current Accounts can be opened by individuals / partnership firms / Private and

Public Limited Companies / HUFs / Specified Associates / Societies / Trusts, etc.• Illiterate persons are not allowed to open Current Accounts jointly with persons who

are literate or illiterate.CHARGES RECOVERABLE IN CURRENT ACCCOUNT • Non Maintenance of minimum balances• Issue of cheques books ( CTS/MICR/Non-MICR/Multi city cheque books)• Standing Instructions / Stop Payment Instructions / Closure of Account / Loss of

Token

• Charges for duplicate pass book / Statement , folio charges, etc• Issuance of Certificate to the constituents• Remittances / Collection / Lockers / Safe Custody• ABB facilities and Free Ledger Pages allowed / Concessions are as per Head Office

Circular No. HO/P&D/23/2007-08/227 dated 23.08.2007 or as revised from time totime.

INTEREST PAYMENTS• No Interest is paid in Current Accounts• Balances lying in Current Account standing in the name of a Deceased Individual

Depositor / Sole Proprietorship Concern , Interest shall be paid only from 1st May

1983 or from the date of death of the depositor, whichever is later, till the date ofrepayment to the claimant/s at the rate of interest applicable to Savings Deposit ason the date of payment.

ADDITION / DELETION OF NAME/S OF JOINT ACCOUNT HOLDER At the request of all the Joint Account Holders the addition or deletion of name/s ofJoint Account Holder/s is allowed if the circumstances so warrant or allow anIndividual Depositor to add the name of another person as a Joint Account Holder.NOMINATION

Nomination facility is available for all Current Deposit schemes.Inoperative/Unclaimed Accounts




_________________________________________________________________________________


A Current account shall be treated as inoperative / dormant if, there are no transactionsin the account for over a period of two years. For the purpose of classifying an account as

“inoperative both the type of transactions i.e. debit as well as credit transactions inducedat the instance of customers as well as third party should be considered. However, theservice charges levied by the bank or interest credited by the bank shall not be

considered.• The customers shall be intimated (all joint account holders) three months in

advance, about his/her account falling into inoperative category and the

consequences thereof in case no credits/debits are made within stipulated period.

• “Unclaimed deposit accounts” : Accounts, which have not been operated upon for

ten years

• In an effort to play a more pro-active role in finding the whereabouts of the

account holders of unclaimed deposits/inoperative accounts, the list of such

accounts which are inoperative for ten years or more has been displayed on our

Bank‟s website. For Individual Customers, the list so displayed on the website

contains the names of the account holder(s) and his/her address in respect of

unclaimed deposits. For Non Individual Customers, the list so displayed on the

website contains the names of the Entity and its address in respect of unclaimed

deposits.

Sr. SCHEME AMOUNT SPECIAL FEATURES

1 CURRENT ACCOUNT(GENERAL)

CA 101

MINIMUM B ALANCE – (WITHCHEQUE BOOK ) R S.250/- IN

R/SU & R S.500/- IN U/M

BRANCHES

NORMAL CURRENT A/C M AXIMUM LIMIT FOR C ASH TRANSACTIONS-ABB (R ECEIPTS &

P AYMENTS COMBINED) – R S.1 L AC

NO CHARGES FOR C ASH TRANSACTIONS UP TO R S.50,000/-

ABOVE R S.50,000/- - IRRESPECTIVE OF LOCATION - R S.1.50 PER

THOUSAND OR PART THEREOF FOR FULL AMOUNT WITH A MINIMUM

OF R S.25/-

NON C ASH TRANSACTIONS - NO CHARGES FOR TRANSACTIONS UP

TO R S.25,000/-

ABOVE R S.25,000/- - S AME STATION – FREE UPCOUNTRY

LOCATIONS - R S.1.20 PER THOUSAND FOR THE FULL AMOUNT OF

TRANSACTION WITH A MIN. OF R S.50/- & MAX. R S.5000/-

2 NRE CURRENT

ACCOUNT

(SB/PDS/TD ALSO

ALLOWED)

CA 102

IN INDIAN R UPEES. FUNDS FROM ABROAD.

A/C CAN BE OPENED BY NRI / PIO. ANY RESIDENT GOING ABROAD FOR GAINFUL EMPLOYMENT CAN OPEN

NRE ACCOUNT.

JOINT A /C WITH R ESIDENTS NOT PERMITTED.

JOINT A /C WITH NON-R ESIDENTS PERMITTED.

P.A. HOLDER CAN OPERATE THE ACCOUNT.

FREELY R EPATRIABLE.




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NRO CURRENT

ACCOUNT

(SB/PDS/TD ALSO

ALLOWED)

CA 103

IN INDIAN R UPEES.

LOCAL FUNDS /FUNDS FROM

ABROAD.

A/C CAN BE OPENED BY NRI / PIO.

ANY RESIDENT GOING ABROAD FOR GAINFUL EMPLOYMENT, HIS

DOMESTIC ACCOUNT WILL BE CONVERTED INTO NRO A /C.

IF HE /SHE DOES NOT HAVE ANY DOMESTIC A /C, HE /SHE CAN ELECT

TO OPEN A NRO A /C.

JOINT A /C WITH R ESIDENTS /NON-R ESIDENTS PERMITTED.

NON-REPATRIABLE EXCEPT TO THE EXTENT OF USD ONE MILLION PER

FINANCIAL YEAR INCLUDING SALE PROCEEDS OF IMMOVABLE

PROPERTY .

EEFC CA

CA 104

IN FOREIGN CURRENCY .

USD, GBP, EURO, C ANADIAN $

AND AUSTRALIAN $.

FUNDS FROM ABROAD.

ANY TYPE OF REMITTANCES COMING FROM ABROAD CAN BE KEPT IN

EEFC A/C.


IMPREST ACCOUNT

CA 105

BRANCHES MAINTAINING CURRENT A/CS OF EXTENSION COUNTERS, LEAD B ANK OFFICES, STCS, SPL.

COLLECTION CENTRES, STATIONERY GODOWNS, CENTRAL C ASH CENTRES, CURRENCY CHESTS,

S ATELLITE OFFICES, ASSETS R ECOVERY CELLS, INSPECTORATES, SERVICE BRANCHES, MICR CENTRE.

B ANKER ‟ S CA 106 CURRENT A/CS OF B ANKS MAINTAINED WITH THE BRANCHES.

CA M ARGIN MONEY

CA 107

M ARGIN MONEY KEPT IN C/AS AGAINST ISSUE OF L/CS, GUARANTEES, ETC.

DOMESTIC RFC

SCHEME CA 108

IN FOREIGN CURRENCY R ESIDENTS CAN OPEN THIS A/C.


CURRENT ACCOUNT

PREMIUM GOLD

CA 109

A VERAGE QUARTERLY CREDIT B ALANCE R S.

200,000/-

ALTHOUGH NORMAL CHEQUE BOOKS CAN BE USED

FOR CASH(SELF) WITHDRAWAL / TRANSFER

TRANSACTIONS UNDER ABB, BUT FOR CLEARING

TRANSACTIONS AT UPCOUNTRY LOCATIONS, MULTI

CITY CHEQUE BOOKS ARE ISSUED.

NO CHARGES FOR CHEQUE BOOKS

(LOCAL OR MULTI CITY )

M AXIMUM LIMIT FOR C ASH TRANSACTIONS-ABB

(R ECEIPTS & P AYMENTS COMBINED) – R S.1 L AC

NO CHARGES FOR C ASH TRANSACTIONS UP TO

R S.50,000/-

ABOVE R S.50,000/- - IRRESPECTIVE OF LOCATION

- R S.0.75 PER THOUSAND OR PART THEREOF FOR

FULL AMOUNT WITH A MINIMUM OF R S.25/-

NON C ASH TRANSACTIONS - NO CHARGES FOR

TRANSACTIONS UP TO R S.25,000/-

ABOVE R S.25,000/- - S AME STATION – FREE

UPCOUNTRY LOCATIONS - R S.0.50 PER THOUSAND

FOR THE FULL AMOUNT OF TRANSACTION WITH A

MIN. OF R S.50/- & MAX. R S.5000/-

CA 111

CURRENT ACCOUNT

C APITAL G AINS SCHEME

ACCOUNT „A‟ FOR SB/CA

ACCOUNT „B‟ FOR TD

EXEMPTION FROM C APITAL G AINS T AX U /S 54, 54B, 54D, 54F AND 54G OF INCOME T AX ACT, 1961 ALLOWED. OPTION TO OPEN ACCOUNT „A‟ OR

B‟. INTEREST OR WITHDRAWAL FROM ACCOUNT „B‟ CAN

BE MADE THROUGH ACCOUNT „A‟ ONLY . INTRODUCTION OF THE DEPOSITOR NEED NOT BE

INSISTED UPON. JOINT ACCOUNT NOT PERMITTED. CHEQUE BOOK

FACILITY NOT ALLOWED. WITHDRAWAL OF INTEREST DOES NOT REQUIRE




_________________________________________________________________________________


PERMISSION FROM IT AUTHORITY LIKE THE

WITHDRAWAL OF PRINCIPAL AMOUNT. SPECIAL

ACCOUNT OPENING FORM TO BE OBTAINED IN

DUPLICATE. THE FORMS AS OBTAINED DURING THE

COURSE OF OPERATION OF ACCOUNT /

WITHDRAWALS /CLOSURE OF ACCOUNTS TO BE

SUBMITTED TO THE IT AUTHORITY WITHIN 7 DAYSOF THE CLOSE OF THE MONTH.

DIVIDEND W ARRANT

CA 112

A/CS OPENED BY THE COMPANIES TO PAY DIVIDEND.

PRAGATI CA

SCHEME

CA 113

MINIMUM B ALANCE – R S.1000/- IN R/SU &

R S.5000/- IN U/M BRANCHES

FOR A/CS MAINTAINING AVERAGE DAILY CA

BALANCE OF R S.5 L AC OR MORE

ALL NEW CURRENT A/CS W.E.F. 14.08.2007

SHALL BE COVERED UNDER THE SCHEME FOR .

ONE FREE ATM/DEBIT C ARD FOR EVERY A/C. FREE

C ARD MAY ALSO BE PERMITTED TO THE PARTNERS OF

THE FIRM /DIRECTORS OF THE WHO ARE

AUTHORIZED TO OPERATE THE A/C.

W AIVER OF 100% ABB CHARGES DURING THE 1ST

YEAR . FREE INTERNET / TELE BANKING

W AIVER OF DEMAT A/C MAINTENANCE CHARGES

FOR ONE YEAR .

ADDITIONAL BENEFITS :

FREE DRAFT ISSUANCE F ACILITY

FREE RTGS F ACILITY UP TO R S.5 L ACS.

(HOWEVER , MANDATORY RBI CHARGES PLUS

APPLICABLE SERVICE TAX SHALL BE RECOVERABLE).

CA 117 ADMIN CURRENT – FOR OUR OWN OFFICE USE

ONLY

A/C OPENED BY OUR BRANCHES /OFFICES FOR

ONLINE REMITTANCE OF TDS DEDUCTED

TERM DEPOSIT PRODUCTS “Term Deposit”: means a deposit received by the Bank for a fixed period withdrawable only afterthe expiry of the said fixed period and includes deposits such as Recurring / Cumulative / Annuity /Reinvestment Deposits, Cash Certificates, and so on viz.: “Fixed Deposits” are deposits where thedepositor makes a lump sum deposit at one time for a fixed term and receives, payment thereof onmaturity; ACCOUNT OPENING & OPERATIONS

• Term Deposits Accounts can be opened by individuals / partnership firms / Private and Public

Limited Companies / HUFs / Specified Associates / Societies / Trusts, etc.

• Due diligence required to carry out “Know Your Customer (KYC)” and “Anti Money Laundering”

(AML)”) guidelines of RBI / GOI and Policy and Procedures adopted by the Bank in this regard.

SCHEME AMOUNT PERIOD SPECIAL FEATURES SCHEMECODE

Fixed DepositMinimumRs.100/-

07 days to 120months

Interest Payable Quarterly

TD 301 (Qty. Liq.)TD 302(Without Liq.)TD 308 Diff. Intt. RateTD 311 FDR-Banks

TD 312 Govt Spon




_________________________________________________________________________________


Subsidy

CumulativeDeposit

Multiples ofRs.100/-

6 months to120 months Inmultiples of 3months

Quarterly CompoundingLump Sum payment on maturity

TD 303TD 309Diff.Intt.RateTD 310 Court Claim

Call Deposit At Call

Issued in favour of beneficiaries on

account of applicantsZero Interest

TD 304

MonthlyIncomeDeposit

Amount isaccepted so thatMonthly Incomeis in multiples ofRs.10/-

12 months to120 months

Interest is paid on Monthly basis.Principal paid on maturity.

TD 305

MonthlyIncomeDeposit

Amt is acceptedso that MonthlyIncome is inmultiples ofRs10/-


Interest is paid on Monthly basis.Principal paid on maturity.

TD 305

SuvidhaDeposit

Minimum

Rs.2000/-In Multiples ofRs.1000/-


Quarterly Compounding

Partial withdrawal in multiples ofunits of Rs.1000/- allowed.Remaining units continue to earninterest at Contracted Rate.

TD 306

Capital GainsScheme 1988 Account „A‟for SB/CA Account „B‟for TD

Exemption from Capital Gains Tax u/s 54, 54B, 54D, 54F and 54G ofIncome Tax Act, 1961 allowed.Interest or withdrawal from Account „B‟ can be made through Account „A‟onlyIntroduction of the depositor need not be insisted upon.Joint account not permitted.Withdrawal of Interest does not require permission from IT Authority likethe withdrawal of Principal amount. Special Account Opening Form to beobtained in duplicate. The forms as obtained during the course ofoperation of account / withdrawals /closure of accounts to be submitted

to the IT authority within 7 days

TD 313-FDRTD 314-CDR

NRE

In IndianRupees.Funds fromabroad.

1 to 10 years

A/C can be opened by NRI/ PIO. Any resident going abroad for gainfulemployment can open NRE account.Joint a/c with Residents notpermitted (conditional). Joint a/cwith Non-Residents /Residents (withconditions) permitted.Freely Repatriable. Exempted fromall taxes.


NRO

In IndianRupees. FundsLocal/ fromabroad.

As applicable todomestic TD

A/C can be opened by NRI/ PIO. Any resident going abroad forgainful employment, his domestic

account will be converted intoNRO a/c. If he/she does not haveany domestic a/c, he/she canelect to open a NRO a/c.Joint a/c with Residents/Non-Residents permitted.Non-repatriable except to theextent of USD 125000 perfinancial year including saleproceeds of immovable property.No Tax exemptions.

TD 322/323-FDRTD 324-CDR

FCNR (B)Funds fromabroad.In Foreign

Minimum 12months Maximum 5years

A/C can be opened in TD only byNRI/ PIO. Any resident going abroadfor gainful employment can open





_________________________________________________________________________________


Currency USD,GBP, Euro,Canadian $ and Australian $ &Japanese yen.

FCNR (B) account.Joint a/c with Non Residents/Residents (close relative) permitted.Freely Repatriable.Exempted from all taxes.

RFC

Funds from

abroad.In oreignCurrency.USD,GBP, Euro,Canadian $ and Australian $.

Minimum 12months Maximum 5rears

Any returning NRI who has stayedabroad can open RFC a/c.Joint a/c permitted/FreelyRepatriable.


ProgressiveDeposit(PD)

Multiples ofRs.10/-

6 months to 120months (Inmultiples of 3Months)

Quarterly Compounding Amount is deposited in monthlyInstallments.Lump Sum Payment on maturity.

PD 315

OBC Adhaar(VPD)

Core monthly

installment inMultiples ofRs.10/-Max. Rs 50000/-

12 months to 120months

Quarterly Compoundinghe min. installment is fixed at Rs10/

and in multiples thereof with a max.of Rs 50,000/- p.m.Monthly installments paid during thetenure of the deposit account shallnot exceed in any month, FIVE timesof the core amount or Rs50,000/-,whichever is less.( SI facility -maximum two deposits in a monthbe allowed only in case the customeropts for SI facility)

PD 316

Flexi FixedDeposit

Operative Accounts

Min. avg. quarterlybalanceRs.

AutoSweepUnitRs.

ReverseSweepUnitRs.

Penalty /qtr formin.bal.Rs.

PeriodofFFD

SB Smart Save-SB 211

25,000/- 5000/- 2000/- 150/- 90days –

5 years

TD376/382 – FDR

CA PremiumGold/-CA 109

200,000/- 25,000/- 25,000/- 1000/- 45days to1Year

TD 379 - FDR




_________________________________________________________________________________


IT PRODUCTS OF OUR BANK

CATEGORY 31.03.12 31.03.1331.03.1

4

31.03.1531.12.15 31.01.16

On site ATMs

932 1087 1754 2110 2196 2200

Offsite ATMs

331 365 361 372 394 395

Mobile ATM‟s

7 13 13 2 2

Total ATM‟s 1270 1452 2128 2495 2592 2597

TotalOutlets

3042+19(EC)

3452 42542251 branch

+2495 ATM‟s=4746

2351 branch+2592

ATM‟s=4943

2351 branch+2597

ATM‟s=4948 POS

Terminal1201 1355 1659 1911 2392 2447

IT PRODUCTS & SERVICESFig in Lac

Product 31.03.12 31.03.13 31.03.14 31.03.15 31.12.15 31.01.16

ATM Card Base 32.71 39.09 49.71 74.77 82.87 83.63Customer

Registered for SMS Alert

24.81 36.77 46.64 58.86 63.37 64.91

I bankingcustomers

4.46 5.57 6.67 8.17 9.32 9.61

Mobile BankingCustomers

0.19 0.35 0.55 0.81 1.04 1.09

Highlights

Oriental Bank of Commerce is one of the 1st Public Sector Bank certified with Payment CardIndustry Data Security Standard (PCI DSS v3.1) for Card related Operations.

In terms of HO Circular HO/ADC/12/2015-16/860 Dated 2/02/2016 – Charges were levyied

on the staff members a lso on using the other Bank‟s ATMs for more than 3 transactions in amonth .

First Saturday of every month be observed as ADC Day. If First Saturday is holiday than the ADC Day shall be observed on the preceding day if it is in the same month, else on thefollowing Monday.

Bank is accredited with ISO/IEC 27001:2013 Security Certification for its Data Centers, CBS

Cell & Processes at DIT Corporate Office.

w.e.f. 1st February 2016, all new cards issued - debit and credit, domestic and international

- by Banks shall be EMV Chip and Pin based cards.




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EMV chip based cards shall provide interoperability with the global payments infrastructure andconsumers with EMV chip payment cards can use their card on any EMV-compatible paymentterminal.

o This will provide better security against skimming on POS terminals

o Keeping in view the same, all the existing ATM Readykit in stock is required to beexhausted

RuPay is the Indian domestic card payment network set up by National Payments

Corporation of India (NPCI) . Its our prime responsibility to PROMOTE usage of RUPAY card

amongst our customers.

Bank has launched new Internet Banking Platform FEBA (Finacle E-Banking) which is moreresilient with additional features as under:

o Self User creation through ATM credentials and OTPo Regeneration of User ID and Password

o Schedule NEFT/ RTGSo Bulk NEFT/ RTGS for Corporate i-Bankingo IMPS on Internet Bankingo Online PPF a/co User dashboard customization etc.o Setting up of limit for Ibank Transactions with a cap of Max 25 Laco Setting up the limit for beneficiary

De-centralizing the processing of Re-Issue requests for Retail Net Banking

o Password to respective Regional Officel ADC level

o Queries on status of existing Retail I-Banking users.

o Re-setting of passwords (login and/ or transactional) and sending them througho SMS to registered mobile number of customer.

o Enabling/ disabling Retail I-Banking users.

Bank has launched Mobile APP ”ORIENTAL SAATHI” with following features / Tabs havebeen provided in the App:-

o 1. Branch/ ATM Locator

o 2. Complaint / Suggestions

o 3. EMI Calculator

o 4. Interest Rates

o

5. Alertso 6. Contact Us

All official documents should henceforth have the standardized Font viz. Arial with Font sizeof 12 and Single Line Spacing.

DIGITAL BANKING

The transformation of the Banking services from “Traditional Banking‟ offerings to the „DigitalBanking‟ offering is dependent on connecting the customers through latest & contemporarytechnology driven products of the Bank. Becoming a Digial Bank is about leveraging digitaltechnology to provide an enhanced customer experience that fits the lifestyle of the increasinglydigital consumer. The impact of the digitization of financial services has been enormous due to high




_________________________________________________________________________________


penetration and rapid acceptance of internet based services and mobile devices such as smartphones, tablets and e-readers which has set the foundation for rapid innovation into digitalfinancial service offerings.

The usage of alternate delivery channel is a step to move towards the digital banking. The

functional usage of the ADC‟s is a key for improving the customer service by empowering thecustomer with self banking tools and at the same time decongests the branches.

It becomes difficult to contact the customers for upselling and cross selling our various productsand services. Capturing of Mobile numbers and Email Ids of the customer shall be beneficial in thefollowing ways:

Sending of communications like E-statements, One Time Password(OTP), various other

updates or publicity content instead of paper based communications.

Publicity over Mobile and Email will reduce publicity cost of the bank considerably.

Cost of sending communications over Mobile and Emails is miniscule even which will reduce

operational cost of the branch. Any information can be disseminated within seconds over Mobile and Email.

ATM Based ServicesCash Withdrawal - The cardholder can withdraw cash from our Bank‟s ATMs or the ATM of othermember banks of ATM consortium viz. VISA and NFS.

The maximum permissible amount of cash withdrawal per day is Rs.25,000/- .

The maximum limit per withdrawal is Rs.25,000/- in our Bank ATM and Rs.10,000/- on other

Bank ATMs.

For International GOLD VISA Debit Card - Daily cash withdrawal and POS Limit:Rs.50,000/-

each.Fast Cash - The cardholder can withdraw cash as per pre-defined amount. This option is availablefor customer on our Bank ATM only where customer may select out of four option for withdrawal ofcash i.e Rs. 1000/- Rs. 2000/- Rs. 3000/- and Rs. 5000/- and the ATM dispenses the cashaccordingly. Through this option, customer need not enter amount, thus makes the cash withdrawalfaster, and is therefore called FAST CASH. The maximum withdrawal limit is same as in point (i)above.Balance Inquiry - The balance in the account can be viewed through the ATM.Mini Statement - The cardholder can obtain the statement containing last 5 transactions in theprimary and secondary account alongwith details of available balance.Change of PIN - 'Change PIN' option can be used by the cardholders at the OBC ATMs to change

the PIN of their Cards as and when desired by them.Fund Transfer - Card holder can transfer fund between the accounts linked in the card. In orderto perform Fund Transfer, cardholder has to select from and to account number and enter theamount he wants to transfer.Cheque Status Inquiry - Cardholder can use the ATM to inquire the status of the Cheques issuedin his account.Stop Cheque Payment - Cardholder can stop the cheque payment in his account using this ATM.TAX Payment through ATM's - Now Cardholders of Orienatl Bank of Commerce can registerthemselves for Income Tax payment through ATM and can make the payment of Income Taxthrough any of our Bank's ATM. The limit for maximum permissible amount is Rs. 1.00 lac per day.Mobile banking registration & deregistration - Cardholder can register and deregister the

mobile banking facility.




_________________________________________________________________________________


SMS Alert Service Registration/Change in mobile Number for SMS AlertThe customers can avail SMS Alert services by registering the mobile no through ATM.

ATM Cards - Our Bank is presently offering following types of ATM cards to our customers:i. ATM cum Debit Card –International debit Card

It can be used both at Point of Sale (POS) terminals and ATMs.

It is a global card and is accepted across the globe at ATMs or POS with „VISA‟ logo. All Savings Bank and Current Account holders in individual category are offered our Card.On 14 Jan 2013 the bank has conversion of existing ATM card to ATM cum debit cards and

issuance of ATM cards with POS facility in future by default.The customers who do not want additional POS facility on their ATM cards have been

requested to send their intimation to the Bank on [email protected] or through Toll Free Nos. 1800-180-1235.

VISA International Gold Debit Card ( 10/12/2013) Any ATM Card holder who have used their card at least once in foreign locations is eligible for thisgold Card .

1. Daily cash withdrawal and POS Limit:Rs.50,000/- each.2. Add on Gold Debit Card where Primary Card is Gold Debit Card.3.EMV( chip Based) cards also provides interoperability with the global payments infrastructure – consumers with EMV chip payment cards can use their card on any EMV-compatible paymentterminal.4. One time Issuance charge of Rs.100/- and Annual Charges –Rs.500/-. .

ii. ATM card for Farmers – Oriental Green CardThis card is a ATM cum debit card.This is issued in the A/c‟s under Green Credit Card (GCC) Scheme and Oriental Green Card

(OGC) Scheme i.e. OD511 and CC404.IV Rupay ATM cum Debit Cards and kisan Card

RuPay is the Indian domestic card payment network set up by National Payments Corporationof India (NPCI) at the behest of banks in India.

Such arrangement would help Indian Banks to cut down on their highly paid membership feeto International consortiums such as VISA, Master and American Express

which shall be issued to the customers of the Bank through Ready Kits as well as PersonalizedCards

The RuPay cards can be issued as Primary card as well as Add-on card in addition to existing VISA Cards, through DCREQ

Eligibility criteria for Rupay ATM cum Debit card issuance and validity period of card shallremain the same as is applicable for existing ATM-cum-Debit card

The annual charge on Rupay ATM cum debit card is nilInterbank ATM Usage Facility

As of now, our Bank‟s card holders can perform Cash Withdrawal and Balance Inquiry on the ATMsof member banks of ATM sha0ring consortiums viz. VISA and NFS. Similarly the cards of othermember banks under these consortiums are accepted on all our ATMs and they can perform CashWithdrawal and Balance Inquiry operations. As per RBI directives the maximum cash withdrawalfrom ATM by customer of other bank is limited to Rs10,000/- per transaction.Our customers who do financial and non financial transactions on other Bank‟s ATM and otherBank‟s customers who do financial and non financial transactions on our Banks ATM shall becharged Rs 20.00 on Financial Transaction and Rs 9.00 shall be charged for non financialtransaction viz balance inquiry, mini statement and PIN change.( Free transactions – For Metro Stations – 3 free transactions /month and 5 free transactions /month for other stations )




_________________________________________________________________________________


Six Metro centres are Mumbai, New Delhi, Chennai, Kolkata, Bengaluru and Hyderabad.In terms of HO Circular HO/ADC/12/2015-16/860 Dated 2/02/2016 – Charges werelevyied on the staff members also on using the other Bank‟s ATMs for more than 3transactions in a month .

Daily Transaction Limit: Visa Card and Rupay cardi. Total daily cash withdrawal limit from an account - Rs25000/-ii. A customer can withdraw upto Rs25000/- in a day from our Bank ATM.iii. A customer can withdraw upto Rs10000/- in a day from other Bank‟s ATM. iv. A customer can purchase upto Rs25000/- in a day at POS through our ATM cum Debit card.

If it is a Gold Card then limit is Rs. 50000/- per day.

ENABLING PIN PROMPT FOR POINT OF SALE (POS) TRANSACTIONS. As per the circular DIT dt 13.03.2013 the bank has made PIN as mandatory for doing transactionthrough POS terminals through ATM cum Debit Cards. The PIN value would be same as being usedfor undertaking ATM transactions.

RBI guidelines, all banks need to comply with this guideline by June 30, 2013 the customers maycome across POS machines of other Banks wherein POS machines are notcompliant for accepting PIN value and at such terminals the transaction would beapproved as signature based transaction as is being done in current scenario.1. Eligibility Criteria

Any customer having a Savings Bank / Current Account / Over Draft A/c in his / her individualcapacity and not in the representative capacity, Staff OD accounts. The request for ATM card isgiven through DCREQ option in Finacle.The following instructions /guidelines must be followed for issuance of cards:

i. Card can be issued to a customer provided his/her age is 14 years or more and he/she is aliterate. Following customers are not eligible for issuance of ATM / Debit Card:

i) Customers below 14 years of ageii) Illiterateiii) Insolventiv) Persons operating accounts in representative capacity

ii. The maintenance of primary account is compulsory for issuance of the cards. The primaryaccount refers to the customers account selected by the customer for debiting thewithdrawals in the normal course.

iii. No minimum deposit/balance in SB account for the Cards is required for issuance of cards,though the minimum balance norms prescribed as per existing guidelines applicable to theseaccount will continue to be in force.

iv. Issue of Cards in joint accounts of the individuals having operational clause as „OperationJointly' is not permitted.

v. Issue of Cards is permitted in joint accounts of individuals provided the applicant has anauthority to operate the account singly. However, all the joint account holders shouldauthorize the applicant to avail the facility by counter signing the application.

vi. All the transactions arising out of the use of the Card/PIN allotted to the authorized customerof the Joint Accounts, shall be binding on all the Joint Account Holders concerned jointly andseverally. In case the Bank subsequently receives instructions contravening the acceptedmandate of the Joint Account Holders, the Card will be blocked immediately under advice tothe concerned account/ card holders.

vii. The Cards will also be issued to NRI customers in their NRE accounts. At present Cash Depositfacility is offered through our selected ATMs. Cash deposited by NRI customers in the ATMswill be credited to their accounts as per RBI/ FEMA guidelines issued from time to time.




_________________________________________________________________________________


viii. The persons with blindness, low vision, and other disabilities are offered all banking facilitiessuch as cheque book including third party cheques, ATM facility, Net banking facility, lockerfacility, retail loans and Credit Cards etc. without any discrimination

ATM-cum-Debit cards can also be used for conducting online transactions w.e.f

10/11/2010- VBV registration (Requirements for availing Verified By VISA service)- OBC DebitCard should have CVV values. OBC Debit Card is enabled for POS i.e. should be full limit card. OBCDebit Card holders mobile no is enabled for SMS alert service.

2. Chargeback Procedure for resolution of cardholder‟s complaintsThe customers using their OBC Cards can perform transactions through Bank‟s own ATMnetwork as well as ATMs of other bank‟s having ATM sharing arrangement with MITR / NFS / VISA thereby giving them access to a vast network of 10 lac ATMs globally for operating theiraccount. The Proton Card of our Bank is an International VISA Debit card which can also beused at POS terminals to make payments through cards. In this case the card holder‟s primaryaccount linked with the card is debited online.

Issuer or Card Issuing Branch: An issuer is a Bank (in case of other Bank card) or branch (incase of Bank‟s own card) who is issuing the card and with whom customer has his / heraccount.

Acquire or Acquiring branch / ATM/ POS: An acquirer is a Bank (in case of other Bank‟s ATM/POS) or branch (in case of Bank‟s own ATM/POS) on ATM / POS the transaction is done.This is also further referred as Acquiring Bank, Acquiring Branch and Acquiring ATM/POS.What is Charge Back? Some time the transaction carried out by the cardholder is not completed or partially completedand may not get matured due to various reasons including power fluctuation, delay in datasignals, network speed or delay in response from the Bank‟s host server etc.Depending upon the status of the transactions system automatically rollback most of suchincomplete transactions. However status of some of the transactions if found in the doubtfulstage does not get rollback and through investigations the status of cash dispensation is thenascertained from ATM where such disputed / doubtful transaction was carried out.Problems and customer complaints specially related to non-dispensing or short dispensing ofcash, wrong debit in account, dispensing of cash and wrong reversals to customer account etcneed to be appropriately raised on Card Operation Centre (COC), Gurgaon by the card issuingbranch of the customer with required details of such transactions. It is the responsibility of theCard Operation Centre (COC), Gurgaon to resolve such complaints and sent necessary advice tothe branches. This mechanism is called chargeback. Types of Chargeback‟s 1. Inter Bank Chargeback

i) Chargeback raised by US:

Under the following circumstances the charge backs will be raised by us. a. Dispute with regard to our customer a/c debited but cash not received.b. Dispute with regard to cash dispensed by our ATM to other bank card holder but not

reimbursed through settlement.c. Dispute with regard to our customer a/c debited in respect of merchant transaction

at POS terminalii) Chargeback raised on US:

Under the following circumstances the charge backs will be raised on us. a. Cash received by our card holder for the transaction done at other Bank ATM but not

reimbursed to other bank through settlement due to the reason that our cardholder‟saccount is not debited or transaction is reversed at our end.

b. Dispute of other bank cardholder about non-dispensation of cash at our ATM




_________________________________________________________________________________


c. Successful Merchant transaction of our cardholder at a POS terminal but notreimbursed to other bank through settlement due to the reason that our cardholder‟saccount is not debited or transaction is reversed at our end.

2. Intra Bank ChargebackDisputed ATM withdrawal transaction done by the cardholder of our bank at our own ATMs

Re-presentment: Some time the debit transaction pertaining to cash already withdrawn bythe card holder gets reversed by crediting the customer‟s account either by the system or aspart of wrong settlement entry. In such cases the acquirer branch / bank may represent suchcases and may claim the amount and ask to correct such accounting entries. This mechanism iscalled Re-presentment.

SBI-Oriental Bank of Commerce Co-branded Credit Card - Bank has entered into an MOU withSBI Cards and Payments Services Private Limited (SBICPSL) on 22.09.2011 for issuing Co-brandedCredit Cards to our employees and customers.

The cards shall be issued in two variants as under 1.Secured 2.UnsecuredSecured Cards shall be issued against the lien marked on the Term Deposit of the customer. Only

Credit Card Cell at Head Office is authorized to mark/ lien for SBI-OBC Secured Credit Card.Unsecured Cards shall be issued without any security. Annual Charge :- Rs 500 for Gold card and Rs 3000 for Platinum card.Note:1. The Email Id [email protected] needs to be referred only by the Branch Managers &Oriental Bank of Commerce officials .2. The Email Id for the SBI- Oriental Bank of Commerce customers [email protected] -1. ATM Helpdesk no toll free no 1800345-242 merge with no 1800-180-1235

Internet Banking Services

Internet Banking enables a customer to perform basic banking transactions through Internet fromanywhere in the globe. It is available 24 hours a day, 365 days a year and account can be operatedanytime / anywhere as per customer convenience.

Bank has launched new Internet Banking Platform FEBA (Finacle E-Banking) which is more resilientwith additional features as under: Self User creation through ATM credentials and OTP Regeneration of User ID and Password Schedule NEFT/ RTGS Bulk NEFT/ RTGS for Corporate i-Banking IMPS on Internet Banking

Online PPF a/c User dashboard customization etc. Setting up of limit for Ibank Transactions with a cap of Max 25 Lac Setting up the limit for beneficiary

Our Bank is offering two types of Internet Banking:Retail Internet Banking (https://www.obconline.co.in): For individual customers. Thecustomer can opt for either Enquiry only facility or Transaction facility. It can be offered to anySaving/ Current/ CC/ OD account holders. Only Query based facilities shall be provided to jointly operated accounts. Transaction facility shall not be provided for such accounts.Corporate Internet Banking (https://www.obconline.co.in/corp): For institutional

Customers/ Big Corporates. This has features like Mass upload of Salary, Online RTGS & NEFT,




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Online trade finance requests – request for LC opening, BG issue, Bill lodgment etc, Feature ofMaker/Checker, Feature of Role definition, Feature of adjusting/defining various limits bycorporate administrator itself etc.

Bank has implemented Second Level of Authentication i.e. OTP ( One Time Password)

for Net Banking Transactions, which is sent to Registered Mobile & Email Ids.Some of the facilities offered are:o Accounts Related Operations:

Online Balance Inquiry, View transactions, Statement of Account – For a given period,Cheque Status Inquiry, Clearing Instruments Inquiry, Stop Payment of Cheques etc.

o Fund Transfer Operations:Funds Transfer to own accounts, Intra Bank Fund Transfer (to other accounts of OBC), InterBank Fund Transfer (To accounts of other banks through NEFT/RTGS).the NetBanking customers shall be able to make Loan EMI payment to their own Account aswell as to 3rd Party Loan Account using “Transfers >> Third Party Transfers within Bank” Option.

o

Payments:External Payments like LIC of India for Premium Payments, IRCTC for Railway Reservation,DB (Intt) Stock Brokers Ltd and Sharekhan for Funds Transfer Facility for Shares Purchases,Payment of Direct Taxes, Payment of Telephone / Mobile / Electricity bills etc.

o Functionality To Open Online FDR/CDR (e-FDR/e-CDR)The NetBanking customers shall be able to open Online FDR/CDRs using “Requests >> e-FDR/e-CDR” Option. The facility to create online e-FDRs/ e-CDRs using Retail NetBanking facility has beenactivated only for customers where mode of Operation of the Account is “Self”,”Either orSurvivor” or “Former Or Survivor”. Customers are able to open online FDRs / CDRs with the following scheme codes1. CDR(Cumulative) – TD3032. FDR Without Liquidation (Fixed Deposit) – TD3023. NRE CDR – TD3254. NRO TDR – TD3245. NRO FDR – Non Liquidation – TD323

o Functionality to open tax saving CDRa new functionality has been implemented in NetBanking system using which RetailNetBanking Customers shall be able to create Online Tax Saving CDRs belonging to schemeTD-341. Entering PAN number is mandatory for this scheme and PAN number must be pre-registered at branch officeDeposit amount is minimum 5000 to 100000 (multiple of 100) and period is 60 month to120.

o Online Share Trading in Collaboration with IDBI Bank o Request for Issuance of Cheque Book, PO/DD

NetBanking Customers can also put in their request for issuance of Cheque Book, andDemand Drafts, which are processed at backend by the Relationship Manager.

In addition to above, recently introduced following additions in features of Internet Banking:-Internet Sign on and Transaction Password expiry limit has been reduced from 365 days to 90days, to make it more secured.

Bank has introduced UCIC ( Unique Customer Identification Code) , hence for all new customers,CUSTOMER-ID is the default user Id for accessing NetBanking facility. User at his wish can changehis user id online through Netbanking application. The NetBanking facility uses Customer – ID to

automatically links all the accounts of a customer and facilitate Account related operations viz.




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Inquiry for account balance, transactional details and to perform various financial transactions. Incase, the customer is maintaining accounts with different Customer Ids, then the Branch maymodify the Cust. Id (by using Finacle “CCA” option) of additional accounts. The Cust.Id should besame as of the Main Operative Account of the Customer. By doing this, all accounts linked with thecommon Customer Ids will be reflected automatically in the Internet Banking Application.

Internet Banking facility can be availed by NRI customers also by filling the Internet Bankingapplication form and sending it to the branch where they are maintaining their account.

The request for retail Internet Banking facility also is registered using the DCREQ menu option inFinacle. Once the entry is made in the DCREQ menu, the Internet Banking Cell at Gurgaon shalldownload the data of such customers and generate their respective Passwords.. SealedPasswords will be sent to concerned branches only. Customers will be instructed to collect thesame from branch only.

In case customer forgets Ibank password, the same can be reset now online with the help of ATM

& PIN, or the same can be reissue after registering the request in Ideas software. After resettingthe password new NetBanking passwords id sent to customer‟s mobile number instantly, which areregistered with Bank for SMS Alerts facility.

Request for „Add-on‟ User Id for Joint Accounts: After obtaining written request from theCustomer and verifying their credentials, Branch Head should give email request to the InternetBanking cell, Gurgaon ([email protected]) and provide full particulars of the Customer for generationof additional User Id(s). They should provide details viz. existing User.Id, Account Type & No., Account holder name and Mode of Operations, Delivery address etc.

PPF ACCOUNT FUNCTIONALITY THROGH I BANKINGIn terms of HO Circular No. HO/DIT/ 25 /2015-16/ 894 15.02.2016, Keeping in view thegrowing demand of customers, facility of operating PPF accounts through Internet Banking isintroduced.

Functionalities provided for PPF accounts are:1. PPF account linking

2. View Account Details

3. View Nominee Details

4. View/Download Account Statement

Functionalities to be introduced shortly:1. Online Funds Transfer to PPF account

2. Online PPF Account opening

To create awareness among the staffmembers Internet Banking Campaign for staffmembers was launched – “ 100 Rupee Campaign”

De-centralizing the processing of Re-Issue requests for Retail Net Banking Password torespective Regional Officel ADC level

Queries on status of existing Retail I-Banking users.

Re-setting of passwords (login and/ or transactional) and sending them through

SMS to registered mobile number of customer.

Enabling/ disabling Retail I-Banking users.




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ASBA - APPLICATION SUPPORTED BY BLOCKED AMOUNT:- ASBA is an application for subscribing to an issue (IPO/Right issue) and the new initiative of SEBIfor the welfare of Investors, containing an authorization to block the application money in a bankaccount maintained with Self Certified Syndicate Bank (SCSB). SCSB is a bank which offers thefacility of applying through the ASBA process. ASBA is gaining importance day by day and the

customers are demanding this facility. It is beneficial to both the customers as well as the Bankbecause the amount remains in the bank account of the customer till allotment is finalized andactual amount equal to allotted shares is only debited instead of total application amount. It helpsthe Bank not only to retain existing customers but also to attract new customers.

Under ASBA process, an ASBA investor shall submit an ASBA physically or electronically through theinternet banking facility, to the SCSB (designated branch) with whom the bank account to beblocked, is maintained. The SCSB shall then block the application money in the bank accountspecified in the ASBA, on the basis of an authorisation to this effect given by the account holder.The application money shall remain blocked in the bank account till finalisation of the basis ofallotment of the issue or till withdrawal/ failure of the issue or till withdrawal/ rejection of the

application, as the case may be. The application data shall thereafter be uploaded by the SCSB(Controlling branch) in the electronic bidding system through a web enabled interface provided bythe Stock Exchanges.NOTE : ALL THE BRANCHES ARE AUTHORISED FOR ASBA

Mobile BankingMobile phones as a medium for extending banking services have off-late been attaining greatersignificance. The rapid growth in users and wider coverage of mobile phone networks have madethis medium an important platform for extending banking services to customers. Bank has launchedMobile Banking facility using which customer will be able to make Fund Transfer and alsoinformation based services such as SMS Alerts, Balance Inquiry etc.

Ibank facility can be used in 2 ways

1. Basic mobile Phones without Internet Facility- Through NUUP based Platform

National unified USSD ( Unstructured Supplementary Service Data )platform based mobilebanking was launched .Customer can use mobile banking through their basic mobile phoneswhere INTERNET FACILITY is not required. NUP platform obviates the need for installingapplication on the mobile phone and enabled users having basic mobile phones also to usemobile Banking . The customer need not to have a GPRS or any other data connection ontheir mobiles. They can use the services from any GSM mobile which has a calling capability. Further NUUP does not require any JAVA of software to be downloaded on the mobileNPCI has introduced the facility to direct menu code for OrientalBank of

Commerce is *99*53# in Mobile Banking under NUUP –National Unified USSD(Unstructured Suppelementy Service Data ) i.e. MOBILE BANKING FACILITYWITHOUT INTERNET FACILITY

Per Day Transaction Limit is Rs 5000/- . No Bank Charges levied for transactions . Only Mobile Service Providers SMS Charges is

applicable.

2. Smart Mobile Phones with Internet Facility – Through Mobile App OBCmPay

OBCmPay – Launched vide HO/ DIT / 40 /2009-10/ 822 dated 20.02.2010The ever expanding network of Mobile Phone users, which has crossed the 600 million mark, has

opened up new vistas for the Bank to expand the Banking Services through the channel of Mobile




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Phones. Our Bank have rolled out the latest IT enabled services named “OBCmPAY ” for thecustomers of our Bank, which can be availed by them using their mobile phones.

RBI Guidelines RBI has come up with its guidelines on Dt. 20.10.08 and further on 24.12.09, some of the

important guidelines are given below- The services shall be restricted only to customers of banks The guidelines issued by the Reserve Bank on "Know your Customers (KYC)", " Anti Money

laundering (AML)" and combating the Financing of Terrorism (CFT) from time to time wouldbe applicable to mobile based banking services also.

Customer complaints/grievances arising out of mobile banking facility would be coveredunder the Banking ombudsman scheme 2006( as amended up to May 2007).

Banks are permitted to offer this service to their customers subject to a daily cap of Rs50,000/- per customer for all types of transactions summed together.

Prerequisite: Any Customer of Bank having Java enabled Mobile phone irrespective of the Mobile

Service Provider viz. Airtel, MTNL, Vodaphone, VSNL, Idea, Reliance etc., can avail this service.Services offered through Oriental Bank‟s Mobile Banking Services • Account Balance Enquiry• Mini Account Statement• Intra Bank Fund Transfer

– Mobile to Mobile – Mobile to Account

• Inter Bank Fund Transfer through NEFT• ATM Locator• Branch Locator• Chq Status Inquiry• Chq stop payment

customers can make payment to various types of merchants :Mobile top-up / DTH top-up(Oxi Cash etc.) ,Insurance premium payment for selected companies,Online shopping,Over-the-counter payments , Fees payments to schools / colleges / universities ,Payment of Electricity Billsand other Utility Bills payment,Travel & Ticketing for Railway (IRCTC ) and AirRegistration: The customers can avail OBCmPAY services by registering either by visiting theBranch and submitting the form or by registering through ATM. Command is MOBNKRQ.Customers can alternatively visit any ATM of Oriental Bank of Commerce and register themselvesusing their debit card.Immediate Payment Services (IMPS): NPCI (National Payments Corporation of India) haslaunched the facility of IMPS (Immediate Payment services) for integrating Mobile Banking Services

being offered by various Banks through National Financial Switch(NFS) network.This is 24x7 fund transfer facility for Inter Bank Fund transfer and credit to beneficiary‟s accountround the clock on all daysCustomers not registered for Mobile Banking services can receive fund to their account through thisservice by registering for SMS Alert application and retrieving MMID (Mobile Money Identifier)by sending SMS “MMID” to the number 9223173923 Remitter.

Bank has launched another Mobile APP ”ORIENTAL SAATHI” with following features/Tabs have been provided in the App:-

1. Branch/ ATM Locator

2. Complaint / Suggestions




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3. EMI Calculator

4. Interest Rates

5. Alerts

6. Contact Us

SMS AlertsSMS alerts are mandatorily for all card based / Net Banking transactionsThe Bank‟s SMS Alert Services are capable of enabling only interested customers and for those Alerts as selected by them. Any Customer of Bank having Mobile phone irrespective of the MobileService Provider viz. Airtel, MTNL, Vodaphone, VSNL, Idea, Reliance etc., can avail this service.These services are of two types i.e. Push Based Alerts and Pull Based Alerts:Push Based Services: These Services facilitate automatic transmission of SMS to the customer‟schosen mobile number for various transactions in his account and cover following:-

• Credit/ Debit alerts for amounts specific to individual customers.• Cheque clearing intimation alerts• Weekly balance alerts to all/ specific accounts

• Transactions happened through various delivery channels viz. Internet Banking, ATM etc.Pull Based Services: These services enable the customer to initiate request from his mobile to adesignated number for availing various facilities, which are as below:-

o Account Balance for one/multiple accounts, if anyo Mini Statements

For availing the above Pull Based services the customer has to send an SMS with the following keywords followed by the account number to Mobile number 09915622622.

Key Word Service ACBAL Account BalanceSTM Mini Statements

i. The Customer has to bear the normal outgoing SMS charges as per the tariff applicable to

his mobile connection. However, initially no Bank Charges are being levied for theseServices. „The customers having valid ATM card can register their mobile numbers from anyof the Bank‟s ATMs by using following menus:

„Other Requests‟ „Services for IT Products‟ „SMS Alert Registration‟.

Missed Call Banking – The below mentioned services being offered through Missed call to a pre-defined number from customers‟ registered Mobile number are also given:-

a) Know the Balance of last three transacted accounts on SMS. 08067205757

b) Mini Statement of last three transactions of recently transacted account on SMS. 08067205767

SMS Banking – The services being offered through SMS to a pre-defined number from customers‟registered Mobile number mentioned below are also incorporated in the App:-

a) Registration of E-mail Id by sending SMS to 09243101342

b) Balance Enquiry by SMS: ACBAL <Space> <14 digit account no.> to 9915622622.

c) Statement by SMS : STM <Space> <14 digit account no.> to 9915622622

d) Cheque Stop Facility : STOP <Space> <14 digit account no.> <space> <cheque_no.> to9915622622




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e) ATM Card Hotlisting : BLOCK <Space> <14 digit account no.><space><last 4 digits of card no.> to9915622622

Process flow for enabling the customers for”OBC SMS Alert Services”: The command forenabling SMS Alert is SMSRQ.

1. For new customers, the customer should have opted for SMS by ticking in the SMS Alert optioncolumn in the account opening form O.F.-1B. For old customers, separate SMS Banking Application form should be obtained.

2. Branch must ensure that the customer is fully authorised to make query or conduct transactionson the accounts mentioned in application form. For this “Mode Of Operation” of the accountmust be checked carefully.

3. Use SMSRQ Menu option of the Finacle, and enter the Mobile Number, Account number,threshold limit for receiving alerts and other details of the Customer.

4. While keying in the Mobile Number please do not prefix any thing before the Mobile Number.The system automatically prefixes‟91‟ after commiting of the record.

5. Press „Y‟ in front of various Options for enabling Customer for particular type of Alert.6. To Commit the input, type C and press F4 key.

After committing the SMSRQ operation in FINACLE, the “SMS Alerts” Application shall automaticallystart generating SMS for the type of transactions opted by the customer.Circular No. HO/CS&P/7/2014-15/110 May 19 , 2014, All SMS alerts free except following securityalerts (charges, actual cost of alerts)1.Instrument based or Cash transactions2.Cheque book issue3.Cheque presenting for clearing4.Cheque bounceThese charges shall be levied by the system itself; therefore branches are not required to applythese. However, branches shall ensure that charges, wherever applicable have been recovered. The

system shall calculate charges on monthly basis and will accumulate the same in the system forrecovery at quarter end; subject to the total SMS charges is >= `10 or on closure of account.

Name of Event Frequency Remarks1 Card Based Transactions

(ATM)Real Time Irrespective of any amount

2 Instrument based or cashtransactions)

Real Time Credit >=Rs. 10000.00 and Debit>=Rs. 5000.00

3 Fortnightly Balances Othertransactions

2nd & 4th Sunday of the

month

Maintaining Balance of Rs. 25000.00or above for SB & CA

Staff A/c get the Balanceconfirmation irrespective ofbalances.

All registered customers maintainingCash Credit / Overdraft accounts.

4 Deposit Maturity Everyday 2 Days before maturity5 Loan EMI Notice Monthly 2 days before the month end

6 Minor to Major Everyday Attaining 18 years of age7 Aadhar Seeding Activation /

DeactivationReal time

8 Internet Banking : Real Time




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Beneficiary Addition/OTPInternet Banking – OTP(One Time Password )

Real Time

Mobile Banking Real TimeCheque Book

Request/ChequePresented/Returned

Real Time

Welcome message onaccount opening

Everyday

CC/OD accounts becomingSMA

Everyday

Promotional Message On DemandOn every NEFT/RTGSTransaction

Real time Outward for each transaction andinward as peer limit set in Finacle forevery V\Credit/Debit entry

Pull based services Real Time For availing various facilities which

includes Account Balance for one/multipleaccounts, if anyMini StatementStopping of ChequesBlocking of ATM CardsBy sending the SMS from Registeredmobile no. to 9915622622 as under:For Account Balance – ACBAL<SPACE><14 Digit Ac No>For Mini Statement : STM<space><14

Digit A/c No>For Stop Payment of cheques : STOP<space><14 Digit A/c No ><SPACE><Cheque Number>For Blocking ATM : Block <SPACE> 14Digit A/c no<SPACE>last 4 digits ofcard no.

DBT/DBTL relatedmessages

Real Time Whenever customers receiveDBT/DBTL related credit intheiraccount, sms is sent.

Term Deposit A/c for

amount >=Rs.10000000.00

Real Time SMS alert for opening and transaction

is sent to customer with term depositof amount >=Rs.10000000Borrower /Promoter priorto expiry of limit onmonthly basis forsubmitting the completerenewal papers

Real Time SMS alert is sent to the borrower /promoter on the registered mobilenumber prior to expiry of limit onmonthly basis sybmitting the completerenewal papers starting from last 3months i.e. on 9th , 10th & 11th month

Real Time Gross Settlement (RTGS)RTGS system is a funds transfer mechanism where transfer of money takes place from one bank toanother on a “real time” and on “gross” basis. This is the fastest possible money transfer system




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through the banking channel. Settlement in “real time” means payment transaction is not subjectedto any waiting period. The transactions are settled as soon as they are processed. “Grosssettlement” means the transaction is settled on one to one basis without bunching with any othertransaction.The customer has to just fill up the application form to take advantage of economical, instant and

secure transfer through RTGS available across all branches of the Bank. The remitting customer hasto furnish the following information to the bank for effecting a RTGS remittance:1. Amount to be remitted2. His account number which is to be debited3. Name of the beneficiary bank4. The IFSC code of the receiving branch5. Name of the beneficiary customer6. Account number of the beneficiary customer7. Sender to receiver information, if any

RTGS is used for both customer transactions and Inter Bank Transactions. The Operating session

for RTGS Transactions at Branches is given hereunder:Customer Transaction (R41) - (8.00 hrs to 16.15 hrs.)Inter-Bank Transaction (R42) – (8.00 hrs to 19.30 Hrs)

(Regular days including Saturdays, except Second and Fourth Saturdays of the Month)

This cut-off time is for the messages to reach at RBI end. Therefore branches shouldmaintain a cushion of at least 20 to 30 minutes to avoid any rejections in messagetransmission.

If the transaction fails for any reason, the amount will be credited back to the accountfrom which the transaction was made( Through Nodal Branch – Fort Mumbai ). All RTGStransactions are irrevocable once the account is debited and the Bank executestransaction. Any revocation, after the payment order is executed by the bank, shall notbe binding on the Bank in the RTGS system.

Transaction Amount: The RTGS system is primarily for large value transactions. The minimumamount to be remitted through RTGS is Rs.2 lakh. There is no upper ceiling for RTGS transactions.There is no limit on the number of transactions per day per Customer.Charges: For Outgoing Transactions from Rs.2 to 5 lacs, Rs.25/- per transaction is levied and fortransaction above Rs. 5 Lacs, Rs.50/- per transaction is levied. Inward transactions are free.

National Electronic Fund Transfer (NEFT)National Electronic Funds Transfer (NEFT) system is a nation wide funds transfer system to facilitate

transfer of funds from any bank branch to any other bank branch. RBI intends that high valuetransactions should be routed through RTGS and small amount transactions should be routedthrough NEFT. NEFT is only for fund transfer on behalf of the customers. NEFT works on deferrednet settlement (DNS) basis which settles transactions in batches. In DNS, the settlement takesplace at a particular point of time. All transactions are held up till that time. For example, NEFTsettlement takes place 6 times a day during the week days and 3 times during Saturdays. Anytransaction initiated after a designated settlement time would have to wait till the next designatedsettlement time.The Customer should provide all the details as in the case of RTGS for conducting a NEFTtransaction. The beneficiary gets the credit on the same Day or the next Day depending on the timeof settlement. If the transaction fails for any reason, the account debited will be credited back. The




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thresholed limit is 100000/- for NEFT. In case of any query, the branch can contact the dedicatedNEFT Centre set up at Service Branch, Mumbai through email – [email protected] Timings:Starting from 8:00AM to 18.45 PM on all week days (Regular days including Saturdays, exceptSecond and Fourth Saturdays of the Month)

The messages sent before the above batch timings shall be included in the respective settlementsotherwise they shall be included in the next batch/day.

Note: RTGS and NEFT is entered in Finacle using the Command HEPS. Detailed guidelines and

accounting Procedure is available on the Bank‟s eCircular Indian Financial System Code (IFSC) is an alpha numeric code designed to uniquely

identify the bank-branches in India. This is 11 digit code with first 4 characters representing thebanks code, the next character reserved as control character (Presently 0 appears in the fifthposition) and remaining 6 characters to identify the branch.

our circular No. HO/DIT/35/2008-2009/586 dated 09.02.2009 wherein it was informed that all

offices to ensure that all payments made by Bank to vendors, service providers and all externalagencies viz. Tax authority / Utility Payments etc. are invariably made through electronic modes.Electronic Clearing System (ECS)It is a mode of electronic funds transfer from one bank account to another bank account using theservices of a Clearing House. This is normally for bulk transfers from one account to many accountsor vice-versa. This can be used both for making payments like distribution of dividend, interest,salary, pension, etc. by institutions or for collection of amounts for purposes such as payments toutility companies like telephone, electricity, or charges such as house tax, water tax, etc or for loaninstallments of financial institutions/banks or regular investments of persons. It eliminates delaysdue to postal / clearing as the amount gets directly credited to the respective customers account.There are two types of ECS - ECS (Credit) and ECS (Debit). ECS (Credit) is used for affording credit to a large number of beneficiaries by raising a single debitto an account, such as dividend, interest or salary payment.ECS (Debit) is used for raising debits to a number of accounts of consumers/ account holders forcrediting a particular institution.

Customers are required to fill up the prescribed form (No. E-1) indicating choices of periodicity ofsuch payment and expected number of credit and aggregate amount. Detailed procedure is given inClearing Operations Chapter.OBC eTaxesThe Bank is providing this facility through which all types of direct taxes can be deposited by thecustomers online through the net banking services from the comfort of their office or home. Thechallan will be generated online and the same should be preserved for future reference and

records.Procedure for e-payment:

1. To pay taxes online the taxpayer will select the relevant challan i.e. ITNS 280, ITNS 281,ITNS 282 OR ITNS 283, as applicable.

2. Enter its PAN/TAN as applicable. There will be an online check on the validity of thePAN/TAN entered.

3. If PAN/TAN is valid the taxpayer will be allowed to fill up other challan details like accountinghead under which payment is made, name & address of TAN and also select the Bankthrough which payment is to be made, etc.

4. On submission of data entered a confirmation screen will be displayed. If the taxpayerconfirms the data entered in the challan, it will be directed to the net banking site of the

bank.




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5. The tax payer will login to the net-banking site with the user-id/password provided by thebank for net-banking purpose and enter payment details at the Bank site.

6. On successful payment a challan counterfoil will be displayed containing CIN, paymentdetails and Bank name through which e-payment has been made.

Point of Sales Terminal (POS)Point of Sales (POS) terminals are deployed/installed at Merchant Establishments (ME) i.e. shops,petrol pumps etc. For making any payment debit card is swapped on these terminals and theamount is entered, the transaction is processed and the customer‟s primary account linked with theProton card is debited online.Our Bank has a tie up with the vendor M/s Atos Worldline India Pvt. Ltd. We have VISAauthorization and YES Bank has Master Card authorisation. So VISA transaction will beauthorized through our server and MasterCard will be authorised through YES Bank.II. Types of charges levied on Merchant by Bank (Income)

a) MSF (Merchant Service Fee) - A fee as a percentage of transaction is collected from the

Merchant on per transaction basis. The MSF for debit card is mandated by RBI at

0.75% for transaction up to Rs2000/- and 1% for transaction above Rs2000/-. Further, the MSF on credit card levied by our bank ranges from 1.40% to 1.75% as floor

rate. (Note: In case of subvention the discounted MSF is offered on Credit card transaction)

b) TPF (Transaction Processing Fee) – The TPF is charges to the Merchants wherein the

monthly volume of the transaction is below Rs1.00 Lac.

c) GPRS Rental - The GPRS terminal rental is fixed at Rs1000/- per month apart from any

other fee or charges as applicable.

d) OTI (One Time Installation Fee) – The OTI is levied at the time of installation of the

terminal. It is Rs1200/- per terminal for merchant with existing POS from other banks while

Rs2500/- for new merchants for fist time installation of machine.

e) Paper Roll charges: The paper rolls are proposed to be charged at Rs21/- per roll orRs0.65/- per transaction.

Revenue on POS Machine (Approx.)1. Card Owner Bank : 1.1 %2. Authorizer Charges (VISA/MASTER) : 4-8 Basis Point (0.04 -0.08 %)3. Intermediate Bank (OBC/YES) : 4 Basis Point (0.04 %)4. Service Provider (M/s Atos Worldline) : 4-6 Basis Points

For VISA AuthorisationsIf our Bank‟s card used then we will get 1.1 % + 0.04 % = 1.14 %If other Bank‟s card used then our Bank will get 0.04 %

For Master Card AuthorizationsOur Bank Card won‟t have Master Authorization and authorization is done through YES Bank Ltd.So our bank won‟t get any thing.

ADVANTAGE1. Cash handling is better with POS.2. Online transaction and direct Credit to the account.3. Customer willing to pay through Card and if the merchant don‟t have the facility then

it‟s a discouragement for customer. 4. Encouragement for customers to spend more as no physical cash is involved.

Western Union Money Transfer




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Our Bank has a tie up with Western Union Money Transfer through M/s Weizmann Forex Ltd.(WFL). Western Union is a safe, reliable, legal and convenient way of transferring and receivingmoney world wide (in India we can only receive inward remittance, as RBI does not allowoutward remittance). It is a legal method of receiving money in India as per RBI guidelines.

The Western Union Money Transfer system is a Net-based system, which provides on lineinformation about any money transfer affected from overseas location. The beneficiary can getpayment of the remittance after establishing the identity and other formalities from any of theoutlets of Western Union. Therefore, the transaction flow would depend upon the service offered bythe branch under the arrangement. The relevant stationery for handling remittances transactionsand other publicity material shall be provided at the designated branches by WFL. Weizman -10481100136020

Online Tax Accounting System (OLTAS): OLTAS is a service provided by the bank foracceptance of Income Tax and other direct taxes on behalf of Government. The customersincluding Corporate, Individuals, Proprietorship concerns, Partnership firms, Trusts, Club, Society,

etc. can pay their tax liability through bank‟s OLTAS window available through 145 select branchesacross the country.WHITE LABEL ATM‟s – INTRODUCTIONWhat is white label ATM‟s? White Label ATM‟s - or WLA‟s – are ATM‟s which are set up and managed by private

operators, in support with Banks The bank provides support only for cash management and settlement activities, in addition

to partnering for co-branding & promotions

Are WLA‟s different from Bank ATM‟s No, customer experience at WLA‟s are exactly similar to Bank ATM‟s – all rules applicable for Bank ATM‟s are also applicable for WLA‟s everywhere What are WLA‟s advantages? WL A‟s are established and managed exclusively by private operators within the countryThese operators make the necessary investments to set up the WLA ATM‟s and receive a returnbased on transactions and other fees such as advertising

As a result, Banks and Financial institutions are freed from the capital investments required to setup much needed ATM infrastructure across the countryWLA Operators authorized by RBI

1.Tata Communications Payments solutions Limited, Mumbai2. Prizm Payments Services Pvt. Ltd., Mumbai3. Muthoot Finance Limited, Kochi

4. Vakrangee Limited, Mumbai5. BTI Payments Pvt. Ltd., Bangalore6. Srei Infrastructure Finance Limited, Kolkatta7. Riddisiddhi Bullions Limited, Mumbai

LAUNCH OF DBTL (DIRECT BENEFIT TRANSFER FOR LPG) SERVICESPresently Direct Benefit Transfer for LPG consumers is implemented through Aadhar seeding inBank accounts and onward registration of Aadhar numbers with Consumer numbers at OMC portal.Now, National Payments Corporation of India (NPCI) has implemented “Direct Benefit transfer forLPG” for seeding of LPG consumer ID in Bank accounts directly. A meeting was held in the Prime Minister‟s office on 22.10.2014 on issues relating to DBTL. It has

been decided as under:




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“Multiple approaches will be used for seeding LPG databases with bank accounts and Aadhaarnumbers. Oil Marketing Companies (OMCs) will collect Aadhaar numbers and Bank account detailsat LPG distributors and through drop boxes at other locations. Bankers could also use the PradhanMantri Jan Dhan Yojana methodology and data collected to assist in the seeding process.Two modes of seeding of bank accounts in LPG database are available in this scheme:

(a) Bank accounts details captured by OMCs (Oil Marketing Companies) and bank accountinformation (account number + IFSC + name of account holder) will be sent to banks electronicallyvia NPCI and banks will confirm the veracity of the information as per their records. ThereafterOMCs can seed that bank account information in the LPG database. (Option 1)

(b) LPG consumer can approach Bank directly. LPG consumer ID will be captured by bank at thebranches against the bank account and the pair of LPG consumer ID details and bank accountinformation will be then electronically sent back to OMCs by bank.(Option 2)”

FINACLE MENU OPTION :Enter menu “DBTLE” after login into finacle for entry & DBTLV for verificationCTS : Cheque Truncation System : Under this system of Clearing

Cheque Truncation System (CTS) is a image based Clearing System (ICS), started by RBI in 2008,for faster clearing of cheques. In CTS cheque images and Magnetic Ink Character Recognition(MICR) data are captured at the collecting bank branch and transmitted electronically. Truncationmeans, stopping the flow of the physical cheques issued by a drawer to the drawee branch.

Cheque truncation is the conversion of a physical cheque into a substitute electronic form for

transmission to the paying bank. Cheque truncation eliminates cumbersome physical presentation

of the cheque and saves time and processing costs.

In CTS, operations are divided into 3 grids i.e. Northern, Western & Southern Grid. In CTS local

clearing is abandoned and grid level authentication of the instruments is taking place.

Salient Features of the CTS Instrument :

1 . Bank/Branch Address along with IFSC code printed on the top of the cheque.2. Standardized date Format.3. Void Pantograph is embossed on left hand side of the cheque leaf.4. Printer name along with printing” CTS 2010”5. Rupee symbol” ` “ instead of bilingual format.6. “Please sign above” is mentioned on cheque leaf on the right hand side bottom.

In CTS it is the responsibility of the Collecting Banker to check the authenticity of the

instrument, as the same is stored at the collecting banker End.

It is also the responsibility of the collecting banker to verify the instrument under the UV

LAMP.

No Cutting is allowed in the instrument except the date, which needs to be re- authenticatedby full signature.

Signature at the instrument needs to be placed on the proper defined place i.e. right bottom

corner of the instrument.

NACH : National Automated Clearing HouseNational Payments Corporation of India (NPCI) has implemented “National Automated ClearingHouse (NACH)” for Banks, Financial Institutions, Corporates and Government a web based solutionto facilitate interbank, high volume, electronic transactions which are repetitive and periodic innature. NACH System can be used for making bulk transactions towards distribution of subsidies,

dividends, interest, salary, pension etc. and also for bulk transactions towards collection of




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payments pertaining to telephone, electricity, water, loans, investments in mutual funds, insurancepremium etc

National Automated Clearing House (NACH) is a centralised system, launched with an aim toconsolidate multiple ECS systems running across the country and provides a framework for the

harmonization of standard & practices and removes local barriers/inhibitors. NACH system willprovide a national footprint and is expected to cover the entire core banking enabled bank branchesspread across the geography of the country irrespective of the location of the bank branch

With the implementation of NACH system, NPCI intends to provide a single set of rules (operatingand business), open standards and best industry practices for electronic transactions which arecommon across all the Participants, Service Providers and Users etc. NACH system also supportsFinancial Inclusion measures initiated by Government, Government Agencies and Banks byproviding support to Aadhaar based transactions.

The NACH system facilitates the member banks to design their own products and also addresses

specific needs of the banks & corporates including a refined Mandate Management System (MMS)and an online Dispute Management System (DMS) coupled with strong information exchange andcustomised MIS capabilities.

The NACH system provides a robust, secure and scalable platform to the participants with bothtransaction and file based transaction processing capabilities. It has best in class security features,cost efficiency & payment performance (STP) coupled with multi-level data validation facilityaccessible to all participants across the country




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RECOVERY / NPA NORMS

Interest and or installments of principal remain overdue for a period of more than 90 days in

respect of a term loan. The account remains „out of order‟ for a period of more than 90 days in respect of overdraft/cash

credit The bill remains overdue for a period of more than 90 days in case of bill purchased and

discounted Interest and /or installment of principal remains overdue for two harvest seasons but for a period

not exceeding two half year in the case of an advance granted for agriculture purpose, andw.e.f.30.09.04 following further amendments issued by the Apex Banka. A loan granted for short duration crops will be treated as NPA, if the installment of principal or

interest thereon remains overdue for two crops seasons.b. The loan granted for long duration crops will be treated as NPA, if the installment of principal

or interest thereon remains overdue for one crop season.(Crop season for each crop would be determined by the State Level Bankers‟ Committee ineach state)

Any amount to be received remains overdue for a period of more than 90 days in respect of otheraccounts.

RBI to move over to charging of interest at monthly rest , w.e.f. 01.04.02

NPA CATEGORY REVISED NORMS w.e.f. 31.03.05Sub – standard assets A sub standard asset would be one, which has remained

NPA for a period less than or equal to 12 monthsDoubtful assets If it exceeds a sub standard category for more than 12

monthsLoss assets No security in the account and as identified by bank/

internal/ external auditors or RBI as loss assets

If realizable value of the security is less than 50% of what valued at the time of sanction or lastinspection, such NPA may be straightaway classified under doubtful category

If realizable value of the security is less than 10% of present o/s, such NPA may be straightawayclassified under loss category

Our bank has fixed Rs50 lakhs and above accounts as high value accounts All the facilities granted by a bank to a borrower will have to be treated as NPA and not the

particular facility or part thereof which has become irregular. The account which are running regular and are classified as standard shall not be categorized NPA

category even if any of the directors/partners are common in other accounts which have beenclassified as NPA

Restructured/Reschedule accounts – upgraded after one year subject to satisfactory performanceduring the period.

NPA accounts shall be immediately upgraded on payment of irregular portion.




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PROVISIONING NORMS:

Rates of Provisioning for Non-Performing Assets andRestructured Advances Category of Advances

ExistingRate

(%)

RevisedRate

(%)

Sub- standard Advances:

• Secured Exposures

• Unsecured Exposures

Unsecured Exposures in respect of Infrastructure loan accountswhere certain safeguards such as escrow accounts are available.

10

20

15

15

25

20

Doubtful Advances – Unsecured Portion: 100 100

Doubtful Advances – Secured Portion:

• For Doubtful upto 1 year

• For Doubtful > 1 year and upto 3 years

• For Doubtful > 3 years

20

30

100

25

40

100

Loss Advances: 100 100

Restructured accounts classified as standard advances:

• in the first two years from the date of restructuring ; and

• in cases of moratorium on payment of interest/principal after

restructuring – period covering moratorium and two yearsthereafter.

0.25 to 1.00(dependingupon the

category ofadvance) 2

Restructured accounts earlier classified as NPA and later upgradedto standard category

• in the first year from the date of upgradation

0.25 to 1.00(dependingupon the

category ofadvance)

2

Valuation of security for provisioning purpose: our Bank has decided to get the securitiesverified/ valuation obtained once in 2.5 years as per RMD circular No. HO/RMD/46/2014-15/507 dated 19.09.2014

EARLY RECOGNITION OF STRESSED ASSETSIn order to identify incipient stress in the borrowal account before it turns into Non Performing Asset (NPA), Banks are henceforth required to have three sub-categories under the SMA categoryas given in the table below:

SMA SUB-CATEGORIES BASIS FOR CLASSIFICATIONSMA-0 Principal or interest payment not overdue for more than 30

days but account showing signs of incipient stressSMA-1 Principal or interest payment overdue between 31 -60 daysSMA-2 Principal or interest payment overdue between 61-90 days




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In this aspect, Bank has laid down list of signals of financial distress/ weakening in borrowalaccounts that need to be monitored closely for recognition of Financial Distress in the borrowalaccounts

Special Compromise settlement Schemes :

1. SPECIAL ONE TIME SETTLEMENT SCHEME (OTS) FOR SETTLEMENT IN ELIGIBLE NPA ACCOUNTSWITH O/S UPTO Rs.10.00 Lac

Eligibility:-The Approved Scheme shall cover all NPA accounts in doubtful or loss category (whether non-suit filed, suit filed or decreed accounts) with Principal outstanding upto Rs. 10.00 Lac (includingamount technically written off, ECGC/ DICGC/CGFT claim received) as on 31.12.2014 except thosecases where the settlement had been approved and the same was being honoured. Scheme validtill 31.03.2016.

2. Settlement Scheme for Individual NPA Accounts under Direct Agriculture category :Eligibility : All the NPA accounts where loan was given to individuals (other than Corporates,

Institutions, Partnership firms and trusts) which are under Direct Agriculture Category.Minimum indicative settlement amount : amount of settlement will not be less than 85% of thePrincipal amount.

3. Scheme for Recovery and Full Settlement in Small Size NPA Borrowal accountsupto Rs.1.00 lac.

The main feature of this scheme is to settle the small sized NPA accounts upto Rs.1.00 lac whichwere NPA on 31.03.2014 where there is no realixalbe security available to fall back upon. Theaccount is to be settled at whatever maximum amount. Scheme valid till 31.03.2016.

Calculation of NPVRV of charged primary/collateral securities :1. Considering the difficulty in realisation of dues by sale of agricultural security, the number of

discounting years be taken upto 5 years where charged security is agricultural land 2. Additional discount of 5% in NPVRV may be allowed if the owner (borrower and/ orguarantor) of the charged property/ies dies before approval of the settlement of the account3. During the settlement of account/s, if the borrower produces the documentary evidenceof statutory dues, the amount of statutory dues be subtracted for arriving at NPVRV

When the settlement in considered within one year from date of last failed auction then NPVRVfor property/ies shall be 85% of the last reserve price of the charged securities (failed auction).However, valuation should not be more than one year old. Further, if the settlement isconsidered after one year of date of failed auction, fresh valuation be obtained and NPVRV isto be calculated in normal way i.e by discounting realisable value based on the expected

realization period




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PRIORITY SECTOR ADVANCES

Priority Sector Definition• The revised guidelines are operational with effect from 23.04.2015. The priority sector loans

sanctioned under the guidelines issued prior to this date will continue to be classified underpriority sector till repayment/maturity/renewal.

• The salient features of the guidelines are as under:-

• (i) Categories of the priority sector: Medium Enterprises, Social Infrastructure and Renewable

Energy will form part of priority sector, in addition to the existing categories.

• (ii) Agriculture: The distinction between direct and indirect agriculture is dispensed with.

• (iii) Small and Marginal Farmers: A target of 8 percent of ANBC or Credit Equivalent Amount of

Off-Balance Sheet Exposure, whichever is higher, has been prescribed for Small and Marginal

Farmers within agriculture, to be achieved in a phased manner i.e., 7 percent by March 2016

and 8 percent by March 2017.

• (iv) Micro Enterprises: A target of 7.5 percent of ANBC or Credit Equivalent Amount of Off-

Balance Sheet Exposure, whichever is higher, has been prescribed for Micro Enterprises, to be

achieved in a phased manner i.e. 7 percent by March 2016 and 7.5 percent by March 2017.

• (v) There is no change in the target of 10 percent of ANBC or Credit Equivalent Amount of Off-

Balance Sheet Exposure, whichever is higher, for Weaker Sections.

• (vi) Target for Foreign Banks: Foreign Banks with 20 branches and above already have priority

sector targets and sub-targets for Agriculture and Weaker Sections, which are to be achieved by

March 31, 2018 as per the action plans submitted by them and approved by RBI. The sub-

targets for Small and Marginal Farmers and Micro Enterprises would be made applicable post

2018 after a review in 2017. Foreign banks with less than 20 branches will move to Total Priority

Sector Target of 40 percent of ANBC or Credit Equivalent Amount of Off-Balance Sheet

Exposure, whichever is higher, on par with other banks by 2019-20, and the sub-targets for

these banks, if to be made applicable post 2020, would be decided in due course.

• (vii) Bank loans to food and agro processing units will form part of Agriculture.

• (viii) Export credit: Export credit upto 32 percent of ANBC or Credit Equivalent Amount of Off-

Balance Sheet Exposure, whichever is higher, will be eligible as part of priority sector for foreign

banks with less than 20 branches. For other banks, the incremental export credit over

corresponding date of the preceding year will be reckoned upto 2 percent of ANBC or Credit

Equivalent Amount of Off-Balance Sheet Exposure, whichever is higher.

• (ix) The loan limits for housing loans and MFI loans qualifying under priority sector have been

revised.

• (x) The priority sector non-achievement will be assessed on quarterly average basis at the endof the respective year from 2016-17 onwards, instead of annual basis as at present.




_________________________________________________________________________________


Priority Sector Targets

CATEGORY DOMESTIC SCB AND FOREIGN

BANK WITH 20 OR MORE

BRANCHES

FOREIGN BANK WITH LESS

THAN 20 BRANCHES

REMARKS

TOTAL PS SCB -40 % (MAR-16 ONWARD)

FB-40% (APR-13 TOMAR-18)

40% IN A PHASED MANNER

(APR-13 TOMAR-18)

OF ANBC OR CEO-BSI WHICHEVER

HIGHER

AGRI 18 % (BOTH FOR SCB AND FB WITH

20 OR MORE BRANCHES)

NOT APPLICABLE

OF ANBC OR CEO-BSI WHICHEVER

HIGHER

OF WHICH SMF FB WITH 20 OR MORE BRANCHES HAVE

TO ACHIEVE THESE TARGETS IN 5 YEARS

(2013-18) 7% BY MARCH 16

8% BY MARCH 17

MICRO

ENTP

DOMESTIC BANKS-7% BY MAR-16

AND 7.5% BY MAR-17

NOT APPLICABLE

FOR FB WITH 20 OR MORE

BRANCHES TARGETS LATER ON

WS 10 % NA FB IN PHASED MANNER

Description of the eligible categories under priority sector

CATEGORYOF ADVANCE

ADV. ELIGIBLE FOR P.S CATEGORY CONDITION

EDUCATION LOANS UPTO 10 LACS IRRESPECTIVE OF SANCTIONED LIMIT

HOUSING LOANS METROPOLITAN CENTERS (WITH POPULATION OF TEN LAC

AND ABOVE) – LOANS UPTO 28 LACS (PER FAMILY)

(COST OF DWELLING SHOULD NOT EXCEED

RS.35 LACS)

OTHER CENTERS -LOANS UPTO 20 LACS (COST OF DWELLING SHOULD NOT EXCEED

RS.25 LACS)

HL (REPAIR &

RENOVATION)

METRO CENTERS -LOANS UPTO 5 LACS

OTHER CENTERS -LOANS UPTO 2 LACS

BANK LOANS TO ANY GOVERNMENTAL AGENCY FOR

CONSTRUCTION OF DWELLING UNITS OR FOR SLUM

CLEARANCE AND REHABILITATION OF SLUM DWELLERS

SUBJECT TO A CEILING OF ₹10 LAKH PER DWELLING UNIT.

THE LOANS SANCTIONED BY BANKS FOR HOUSING PROJECTS

EXCLUSIVELY FOR THE PURPOSE OF CONSTRUCTION OF

HOUSES FOR ECONOMICALLY WEAKER SECTIONS AND LOW

INCOME GROUPS, THE TOTAL COST OF WHICH DOES NOT




_________________________________________________________________________________


EXCEED ₹10 LAKH PER DWELLING UNIT. FOR THE PURPOSE

OF IDENTIFYING THE ECONOMICALLY WEAKER SECTIONS AND

LOW INCOME GROUPS, THE FAMILY INCOME LIMIT OF ₹2

LAKH PER ANNUM, IRRESPECTIVE OF THE LOCATION, IS

PRESCRIBED

Bank loans to Housing Finance Companies (HFCs),

approved by NHB for their refinance, for on-lending

for the purpose of

purchase/construction/reconstruction of individual

dwelling units or for slum clearance and

rehabilitation of slum dwellers, subject to an

aggregate loan limit of ₹10 lakh per borrower.

THE ELIGIBILITY UNDER PRIORITY SECTOR LOANS TO HFCS IS

RESTRICTED TO FIVE PERCENT OF THE INDIVIDUAL BANK’S

TOTAL PRIORITY SECTOR LENDING, ON AN ONGOING BASIS.

THE MATURITY OF BANK LOANS SHOULD BE CO

-TERMINUS

WITH AVERAGE MATURITY OF LOANS EXTENDED BY HFCS.

BANKS SHOULD MAINTAIN NECESSARY BORROWER-WISE

DETAILS OF THE UNDERLYING PORTFOLIO.

Outstanding deposits with NHB on account of

priority sector shortfall

SOCIAL

INFRASTRUCTURE

BANK LOANS UP TO A LIMIT OF RS. 5 CRORE PER BORROWER

FOR BUILDING SOCIAL INFRASTRUCTURE FOR ACTIVITIES

SCHOOLS, HEALTH CARE FACILITIES,

DRINKING WATER FACILITIES & SANITATION

FACILITIES

RENEWABLE

ENERGY

BANK LOANS UP TO A LIMIT OF RS. 15 CRORE TO

BORROWERS.

FOR PURPOSES LIKE SOLAR BASED POWER

GENERATORS, BIOMASS BASED POWER

GENERATORS, WIND MILLS, MICRO-HYDEL

PLANTS AND FOR NON-CONVENTIONAL

ENERGY BASED PUBLIC UTILITIES VIZ. STREET

LIGHTING SYSTEMS, AND REMOTE VILLAGE

ELECTRIFICATION

FOR INDIVIDUAL HOUSEHOLDS, THE LOAN LIMIT WILL BE RS.

10 LAKH PER BORROWER

Category Norms Remarks

Others Loans upto 50000 to Individuals Income <= 1 lacs in Rural AreasIncome<=1.60 lacs in Other Areas

Loans to distressed persons upto 1.00 lacs To prepay their debt to non-institutional lenders

OD under PMJDY upto Rs. 5000 Income <= 1 lacs in Rural AreasIncome<=1.60 lacs in Other Areas

Loans to State SC/ST Corporations * for the specific purpose ofpurchase and supply of inputsand/or the marketing of theoutputs of the beneficiaries of




_________________________________________________________________________________


these organizations

Loans to Weaker Sections * Loans to specified persons/entities under priority sector shallform part of WS

ENTP. MANUFACTURING SERVICE

Original Investmentin Plant &Machinery

Classification of Adv.

Original Investment inequipment

Classification of Adv.

MICRO <= 25 lacs Bank loan to

MSE (Mfg)Shall form partof PSirrespective oflimit

<= 10 lacs Bank loan upto 5 crore

per unit to Micro &Small Enterprises shallbe part of PS lendingSMALL > 25 lacs to 5 crore > 10 lacs to 2 crore

MEDIUM > 5 crore to 10crore

> 2 crore to 5 crore Bank Loan upto 10crore per unit to MediumEnterprises shall be partof PS Lending.

Weaker Sections under priority Sector:Small and marginal farmers;

Artisans, village and cottage industries where individual credit limits do not exceedRs.Rs.50,000;Beneficiaries of Swarnjayanti Gram Swarozgar Yojana (SGSY), now National Rural LivelihoodMission (NRLM);Scheduled Castes and Scheduled Tribes;Beneficiaries of Differential Rate of Interest (DRI) scheme;Beneficiaries under Swarna Jayanti Shahari Rozgar Yojana (SJSRY);Beneficiaries under the Scheme for Rehabilitation of Manual Scavengers (SRMS);Loans to Self Help Groups;

Loans to distressed farmers indebted to non-institutional lenders;Loans to distressed persons other than farmers not exceeding RsRs.50,000 per borrower to prepay

their debt to non-institutional lenders;Loans to individual women beneficiaries upto Rs. 50,000 per borrower;Loans sanctioned as above to persons from minority communities as may be notified byGovernment of India from time to time.




_________________________________________________________________________________


Micro Small and Manufacturing EnterprisesPradhanmantri Mudra Yojna

Salient Features

Loans to all Non-farm enterprises in Manufacturing, Trading and Services (Mudra) uto 10lacs granted on or after 08.04.2015 shall be covered under PMMY

The Loan shall be named as 'Shishu', 'Kishor' and 'Tarun'. Shishu : loans upto Rs.50,000/- Kishor : loans > Rs.50,000/- and upto Rs.5.00 lakh Tarun : loans > Rs.5.00 lakh and upto Rs.10 lakh Loan Application Form-As per Annexure A (IBA format) refer to circular number RDPS 405

dated 25.08.2015

Loan Application, Process Note or Loans upto `50,000/- under MSE Sector to be Covered

under PMMY:- One pager Annexure A as loan application form, Annexure B as ProcessNote. For loans upto 50000/- under PMMY no internal rating is required (ref Circular No.HO:RD & PS:48:2015-16:453 dated 11.09.2015)

MUDRA Card i.e RuPay Debit Card

For Composite Loans upto Rs.1.00 Lakh:- where OD is max. 20% (i.e. Rs. 20000) Only to literate Individuals and Proprietorship firms and not to illerates and to Joint Borrowers Term Loan - TL701 (TL GENERAL-EI) Over draft - OD505 (OD – MUDRA CARD SCHEME in OD505 scheme ) Mudra card is personalized Debit card which can be used at ATM/POS/E-commerce

Following activities in Retail / other segments shall also be covered under PMMY

Oriental Business Loan Scheme (OBLS), Oriental Mortgage Loan Scheme (OMLS), Loan to Other Professionals, Financing against Autos / Taxis, Loan to Traders, Loan to Women, Loans under MSME etc. for assisting entrepreneurs.

OD upto Rs. 5000 under PMJDY The rate of interest, application of interest, security, asset classification, charges, fees etc. shallbe as per general guidelines/scheme in vogue.

For the loan covered under CGTMSE, the rate of interest shall be “Base rate”.

OBC MSME PLUS

(It will replace the existing Scheme “Financing MID Corporate Scheme” HO/CAD 18730.06.12 amended HO/CAD 798 dated 06.01.2015

Eligible :-Prop, Part., LL P, Pvt/Pub Ltd Companies Existing as well as new customers

Internal Credit Rating




_________________________________________________________________________________


Upto 7.5crore

>7.5 Cr. To 50crore

Existing Customer OBC 4 OBC 5 For last 2 years

New Customer GF 4 GF 4 Earlier OBC 4 for newand OBC 3 for existingcustomers)

Credit Report from any of the CIBIL, EQUIFAX, EXPERIAN etc should be within benchmark. Quantum of exposure upto 50 crore. Appraisal/ Assessment- As per loan policy of the Bank for WC and TL TEV study as applicable. Mid Corporate- Limits 5 Crore to 50 crore Large Corporate:- advances >50 Crore Acceptable Financial Ratios:-

CURRENT RATIO 1.17:1 (UPTO 5 CRORE)

1.25:1 (ABOVE 5 CRORE)

DEBT EQUITY RATIO/ ADJUSTED DER UPTO 3:1

LEVERAGE RATIO/ ADJUSTED LEVERAGE RATIO UPTO 4:1

AVERAGE DSCR MINIMUM 1.50:1 IN CASE OF TL AND REPAYMENT

PERIOD MAX. 7 YEARS

Note Actual Tengible Net Worth-Outstanding investment made/ loans to sister-alliedcompanies to be deducted from Tengible Net Worth to arrive at ATNW.

The Adjusted DE ratio and Adjusted Leverage Ratio may be calculated by consideringunsecured loans from friends/ relatives/directors/related parties as quasi capital after nettingwith investments made in group/sister concerns

Primary security-As per Banks loan policy norms Collateral Security-Atleast 50% coverage of (FB+NFB). RV of L&B be considered as

collateral or liquid security-Bank Deposits/Govt Securities. The extent of cash margin (incase of non fund based limits) over and above 10%, shall be considered for computation ofcollateral.

Conduct of account:-Account should be standard regular for past 2 years and should nothave been restructured in the past 2 years.

Profitability:-Existing units should have a Post Tax Profit for the immediate 2 precedingyears.

Margin:-As per Banks policy Process Fee / Upfront fee- Entry level 50% concession, 2nd year 25% concession and 3rd

year onward as per Bank‟s schedule. Discretionary Power- As per P. Chart circulated by RMD from time to time. Guarantee and LC Commission:-25% concession if Internal Rating >= OBC 4 or External

Rating >= Top 3 Ratings.




_________________________________________________________________________________


Rate of Interest:-linked to collateral coverage (Fresh and existing)

Collateral coverage Ratio <= 7.5 Crore > 7.5 Crore

50% to 75% BR+2.25 BR+2.50

>75% to 100% BR+2.00 BR+2.25

>100% BR+1.75 BR+2.00

Special Status borrowers already covered under Mid-Corporate schemes may becontinued with following ROI

Collateral coverageRatio

1.00 Cr to <= 10Crore

> 10 Crore

25% to 50% BR+2.75 BR+3.00

>50% to 75% BR+2.50 BR+2.75

>75% to 100% BR+2.00 BR+2.25

>100% BR+1.75 BR+2.00

OBC Doctor Plus..

Scheme for Financing Doctor/Paramedical Services Purpose-To set up/Expension new Hospitals/ Path labs/Nursing Homes. To purchase of

office furniture/ equipments/ ambulance etc. Eligible-All entities engaged in providing medical/pathological diagnostic services, annual

turnover upto Rs. 150 crore. Promotor should have 2 years experience and have one of thedegrees MBBS/BDS(dentist)/BHMS

Internal Credit Risk Rating:-(for existing customer)-Min OBC 4 for new customers Min. GF 4 Credit Report from any of the CIBIL, EQUIFAX, EXPERIAN etc should be within benchmark. To deal exclusively with our Bank else concessions would be available.

AMOUNT OF LOAN

AREA

AMOUNT IN CASE OF HOSPITALS

(AMT IN CRORE)

AMOUNT IN CASE OF CLINICS (AMT IN

CRORE)

RURAL 1.00 0.50

SEMI-URBAN/ URBAN 10.00 1.00

METRO 15.00

Type of facilities(a) Term Loan-assessment of TL shall be as per policy of the Bank. In case of construction ofbuilding ceiling limit is max 50% centre wise.(b) WC Limit is upto 10% of annual sale or gross income, subject to 10% of ceiling limit of centre incase of borrower requiring both TL & WC, in case only WC limit -20% of ceiling limit centre




_________________________________________________________________________________


Acceptable Financial Ratio:-

T YPE OF RATIO PARAMETER

CURRENT RATIO 1.17:1 (FOR LIMITS UPTO 5 CRORE) 1.25:1 (FOR LIMITS >5 CRORE)

DEBT EQUITY RATIO/ ADJUSTED DE RATIO UPTO 3:1

LEVERAGE RATIO/ ADJUSTED LEVERAGE

RATIO

UPTO 4:1

AVERAGE DSCR RATIO MINIMUM 1:25

Margin:- <>25% for acquiring premises/ expension/renovation/modernisation of existing premises<>15% for on machinery/ vehicle (ambulance-other vehicle)/ equipments etc.

Rate of interest:-

SECURITY COVERAGE RATE OF INTERST

>50% AND UPTO 75% BR+2.50 %

>75% TO 100% BR+2.00 %

> 100% BR+1.50 %

Security Coverage:-

i. Loans upto 10 lacs NIL (To be covered under CGTMSE)ii. >10 lacs to 100 lacs:- Minimum 50% of security coverageiii. > 1.00 crore:- 100% coverage (including collateral)

Guarantee-PG of Promoters/Directors/Trustees etc. option of CGTMSE may be offered to theborrower where only primary security is provided.

Discretionary Powers-as per delegated powers (RMD-HO)

Deviation Authority:-HLCC-ED

External Rating-for limits 5 crore and above, within 3 months of sanction else penal RoI shall be

charged

Repayment Period:-Max. 10 years including max. moratorium of 24 months. In case of clinics/Nursing Home/ Medical Centre higher moratorium of 36 months may be allowed –construction tostart within 6 months & should be completed within moratorium period.

Process Fee- 50% concession on applicable Process Fee/ Upfront fee

Security- Primary- Hypothecation of assets created out of Bank financeEM of immovable property in case of construction/ renovation of L&B




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Pradhan Mantri Jandhan Yojana, PMJJBY and PMSBYParameter PMJDY (insurance coverage)

(Pradhan Mantri Jan Dhan Yojna)PMJJBY

(Pradhan MantiJeevan Jyoti Bima

Yojna )

PMSBY(Pradhan MantriSuraksha Bima

Yojna )

Age (min-max) Minimum 18 to less than 60 years(if primary holder not eligible, 2ndry holder may be

considered if otherwise found eligible)

18-50 (persons joining at 50 can

continue till 55)

18-70

SB Account No Frill or any other account linked through RuPAYcard (BSBDA).(If RuPAY not issued –it should be in the process ofissuance)PMJDY accounts (BSBDA) opened between15.08.2014 to 31.01.2015 with RuPAY cards issued

Any type of SBaccount(However one personcan get insurance inany one accountonly)

Any type of SBaccount

Annual Premium NIL Rs. 330 Rs. 12

Risk period Initially for 5 years i.e. close of F.Y. 2019-20(31.03.2020)

1s June to 31s May 1s June to 31s May

S. Tax NOT APPLICABLE NIL NIL

Eligible Person PMJDY account holder including minor attained 18years age till 31.01.15.

All Persons All Persons

Ineligible person 1. Persons covered under AAM ADMI BIMA YOJNA &

their families

2. Central/State Govt employees, including retired and

their families.

3. Person taxable under I.T. Act or filing the yearly

Income Tax return or in whose case TDS is being

deducted from the income, and their families.

4. Otherwise eligible account holders, who have life

cover on account of any other scheme of the Bank

against the account, shall have to choose between

the two schemes and derive benefit from only one

Out of eligible AgeRange

Out of eligible AgeRange

Benefits in case ofDeath

Rs. 30000 to Primary A/c Holder. If Primary Holderineligible, secondary holder eligible for benefits(Death due to any reason)

Death due to anyreason;- 2 Lacs

NIL

Benefits in case ofAccident, disability

NIL(But 1.00 lacs inbuilt accidental insurance cover isprovided with the RuPAY debit card-operations in 90days required wef 25.11.15 earlier 45 days)

NIL Death orpermanentdisability due toaccident 2 lacsPartial disability 1lac

Insurance Agency Life insurance by LIC of India Ltd Accidental Insurance by National Ins Co Ltd

Life insurance by LICof India Ltd

Public SectorGeneral InsuranceCompanies orwilling privateinsuranceCompanies

Exit from the Scheme 1. On death

2. On attaining 60 years age

3. On closure of PMJDY account

4. Government closes the scheme

1. Automatically if

premium not paid

2. On death

1. Automatically if

premium not

paid

2. On death

Whether death due tosuicide covered

YES Yes Not Applicable

Nomination As in the PMJDY account/ RuPAY card, if nonomination –survival benefits to the LRs

As done in thePMJJBY application

As done in thePMSBY application

Minimum balanceaccount

No such condition No such condition No such condition

Good HealthDeclaration

N.A. Waived till31.05.2016

N.A.

Aadhaar Card Desirable but not mandatory. Desirable but notmandatory.

Desirable but notmandatory.

Reference Refer to latest circulars and guidelines issued byMarketing Division and RD&PS departments

SAME SAME




_________________________________________________________________________________


Oriental Green Card/ Oriental Kisan Gold Card (OGC/OKGC)

National Bank for Agriculture & Rural Development (NABARD), vide letter dated 28.03.2012,

and Reserve Bank of India, vide circular no RPCD.FSD.BC No. 77/05.05.09/2011-12 dated

May 11, 2012 and RPCD.FSD.BC No. 23/05.05.09/2012-13 dated August 07, 2012 have

conveyed the revised Kisan Credit Card (KCC) guidelines. This master circular contains allguidelines issued upto 07.08.2012 and, thus, supercedes all earlier circulars on the subject.

The salient features of the modified guidelines with additional features are mentioned below:

A flexi credit limit of Rs 10000 to Rs 50000 be provided to marginal farmers for investment

purpose irrespective of value of land .(Newly introduced component of KCC);

10% inbuilt enhancement of limit every year up to 5 years and loan documents will be

executed as per MPBF of 5th year;

Condition under eligibility of OKGC i. e. “good track record of the borrower for past 3 years”

has been deleted;

The maximum loan permissible under the OKGC shall not be more than 10 times of the

annual farm income or 100% of the value of land mortgaged/immovable property. Aftercarving out the working capital portion, the remaining portion shall be available for

investment credit by way of term loans. A borrower may avail any number of investment

loans under OKGC;

• Mortgage of Agricultural Land (For respective loan amount) with value equal to or more than

the loan amount or third party guarantee of adequate net worth acceptable to the bank(For

limits above Rs. 1.00 lac and upto Rs. 2.00 lac). Further details are contained in point no. 7.

• Non Farm activity working capital needs has been deleted as a component of KCC;

• Land Development activities have been deleted as a component of KCC. Requirement of

Land Development activities will be met as term loan through OKGC or as separate term

loan;• The borrower should also be offered credit facilities for investment purpose during validity of

KCC (5 years), the requirement would be met through OKGC based on either proposed

investment plan of the borrower or as per existing norms of OKGC;

• Repayment of old debts as a component of OGC has been deleted. Repayment of old debt

may be allowed through separate scheme i.e Krishak Sathi Scheme, which is already in

place vide circular no HO: PSC: 37:2008-09/233 dated 15.07.2008;

• All eligible OGC/OKGC holders (New & Renewal cases) must be given ATM cum Debit

cards in the form of ready kit.

• Objective Adequate and timely credit support to meet

• a) Credit needs for crop production.

• b) Working capital needs for maintaining live stocks/ Allied activities.

• c) Post Harvest activities.

• d) For repairs & maintenance of Agriculture implements & machineries.

• e) Family Consumption needs.

• The borrower should also be offered credit facilities for investment purpose during validity of

KCC (5 years), the requirement would be met through OKGC based on either proposed

investment plan of the borrower or as per existing norms of OKGC




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• a) All farmers/cultivators/tenant Farmers/Share croppers/ Oral lessees/SHG/JLGs engaged

in farm activities irrespective of their legal constitutions.

• b) In case of existing borrowers past track record of repayment is to be taken into account.

For new borrowers branch must verify their credentials from the independent sources

• c) The applicant should not be a defaulter to any other bank(s)/financial institution(s).

(Undertaking incorporated in the application form).• d) The Applicant should belong to usual "Command Area" of the branch without the

restriction of block or district. The “command Area” would extend to a distance from branch

up to which branch can effectively control / monitor advances. In normal course the

command area should be within a radius of 15-20 km from the branch. In case of deviation

prior permission from the Regional Head would be permitting such deviation, Regional Head

will examine the scope of financing a cluster of at least 10 borrowers in such villages.

• Caution: Regional Head shall ensure that more than one branch of the bank does not

finance in the same village

Fixation of Limit• a) For crop production:

• The assessment will be done on the basis of crops grown in a year and requirement for

Rabi, Kharif, Zaid & horticulture crops shall be added to decide the loan limit as per scale of

finance fixed by the district level technical committee from time to time plus up to 15%

variation, if required, as allowed in general guidelines of agriculture advances.

• Supply of Scale of Finance by the Regional Offices: The Regional Office will collect the

revised scale of finance prescribed by the respective “District Level Technical Committee”

for current year for calculation of credit requirement for raising crops & the same shall be

circulated amongst branches. It will be obligatory for branches to calculate the credit

requirement for raising crops based on the scale of finance with deviation as permittedabove

b) Assessment of WC needs for animals• b)Credit assessment will depend upon the number of live stock and average daily financial

requirement per live stock, subject to the maximum amount per annum as under:

• A. Milch Animals i) Cross Breed / Exotic Breeds @ Rs 12000/- per animal ii) Local Breed @

Rs 10000/- per animal

• B. Drought Animals @ Rs 5000/- per animal (Bullock/Camel/He-buffalo etc)

• C. Small Animals @ Rs 2000/- per animal (Goat/Sheep/pigs etc)

•

• c) For post harvest activities Activities like sorting, grading, packing, storing,transportation charges for agriculture & allied activities produce up to Maximum of

Rs.20,000/- per acre.

For repair and maintenance• For repairs & Maintenance of Agriculture Equipments/machineries etc up to 25 % of crop

production & other allied activities loan {(a) + (b) + (c)}. e) Consumption need: Up to 30%

of the loan limit in (a) + (b) + (c) + (d) above, subject to a maximum of Rs 100000/- may

be allowed.

• Maximum Permissible limit under the scheme shall be arrived as under:

• A) Working Capital requirement as per process note (total of (a)+(b)+(c)+(d)+(e)).




_________________________________________________________________________________


• B) 100% of value of agriculture land offered as security. The valuation of land will be done

on the basis of current year price to be obtained from accredited revenue official/DLC(District

level committee)

• C) Total expected annual income from all sources as per application.

Maximum permissible limit in OGC shall be lowest of A, B, C.

O K G C • Maximum loan permissible under OKGC shall be as under:

• A) 10 times of annual farm income

• B) 100% of the value of the land mortgaged, C) Loan limit of Rs.25.00 lac

• Maximum permissible limit in OKGC shall be lowest of A, B, C. Farmer may avail any

number of investment loans under the OKGC.

Calculation of MPBF OGC plus OKGC• a) First year limit for crop cultivation purpose arrived at as per above guidelines. A flexi credit

limit of Rs 10000 to Rs 50000 be provided to marginal farmers for investment purpose

irrespective of value of land

• PLUS• b) 10% of the limit towards cost escalation / increase in scale of finance for every successive

year (2nd, 3rd, 4th and 5th year) The aggregate limit shall be fixed at amount that works out

for the 5th year (With 10% annual increase). D.P shall be enhanced by 10% every year

subject to satisfactory operation in the account.

• PLUS

• c) Estimated investment requirement for 5 years by way of OKGC. At the time of pre

sanction interview of the applicant, the Branch official will ascertain plan/requirement for

investment for next 5 years and record the same on process note. Viability and repayment

capacity of the applicant will be worked out for each term loan he intends to avail.

• Wherever, a farmer has investment credit requirement based on estimation during the

validity of Working capital, the facility may be granted by way of OKGC. Documents shall be

obtained for the aggregate amount of limit fixed.

• Term loans for investments towards a) Land development, b) Minor irrigation, c) Purchase of

farm equipments d) Allied agricultural activities, e) Any other direct agricultural activities.

• The Branches may fix the quantum of credit for term and working capital limit for agricultural

and allied activities, etc., based on the current unit cost of the assets proposed to be

acquired by the farmer, the allied activities, already being undertaken on the farm, branchs

assessment on repayment capacity vis-a-vis total loan burden devolving on the farmer,

including existing loan obligations

• The long term loan limit is based on the proposed investments during the five year periodand the Branchs perception on the repaying capacity of the farmer. Assessment of loan

amount for Term Loan shall be fixed as prescribed for OKGC.

• Maximum Permissible Limit: The short term loan limit arrived for the 5th year plus the

estimated long term loan requirement will be the Maximum Permissible Bank Finance

(MPBF) and treated as the (OKGC) Limit.




_________________________________________________________________________________


Some important guidelines on OGC/OKGC

CIRCULAR No. HO/RD&PS/ 15 /2013-14/ 137 Date: 04.06.2013 it is clarified that while assessing

the limit, except cost of cultivation, all other components i.e. 15% deviation, working capital needs for

livestock/ allied activities, for post harvest activities, for repairs & maintenance are not mandatory for

calculation of MPBF. These components may be included in MPBF depending upon actual need of thefarmers and their repaying capacity

Circular HO/RD&PS/23-15-16 dated 09.05.2015-where the borrower is not able to repay the entire

dues, he should be pursued to repay the overdue interest & upon serving the overdue interest account

should be renewed/ upgraded, allowing further operations in the account.

National Crop Insurance Programme;-

Circular No. HO:RD & PS:53:2015-16:484 21.09.2015:- Ministry of Agriculture, Department of Agriculture & Cooperation has been implementing National Agricultural Insurance Scheme(NAIS), Pilot Weather Based Crop Insurance Scheme (WBCIS), Pilot Modified National Agricultural Insurance Scheme (MNAIS) and Pilot Coconut Palm Insurance Scheme (CPIS) asCentral Sector Schemes to insulate the farming community against agricultural risks. In order toserve farmers in a better way, a Central Sector Scheme of National Crop InsuranceProgramme (NCIP) / Rashtriya Fasal Bima Karyakram (RFBK) has been formulated bymerging Modified National Agriculture Insurance Scheme (MNAIS), Weather Based CropInsurance scheme (WBCIS) and Coconut Palm Insurance Scheme (CPIS). National CropInsurance Programme has been implemented across the Country from Rabi 2013. The loaneefarmers are compulsorily covered under the NCIP-component Scheme as notified by the StateGovernments while non-loanee farmers will choose either MNAIS or WBCIS component

Start-up India Programme CIRCULAR NO.HO: RD&PS: 2015-16:51/476 18.09.2015:-Hon‟ble Prime Minister whileaddressing to the nation on Independence Day, directed that one Dalit/ Tribal entrepreneur and

woman entrepreneur are assisted by the each bank branch by the financial year 2015-16.

Other important CircularsCircular No. HO:RD & PS:31:2015-16:277 03.07.2015:- Branches are advised that in case ofTractor loans, payment should be made directly to the manufacturing company.

INTEREST SUBVENTION FOR SHORT TERM AGRICULTURE LOANS Short-term crop production credit with principal amount disbursed upto Rs 3 lacs during the

year **** (as announced by MoF) will be charged interest @ 7% p.a. while 2% interest

subvention will be claimed from RBI by HO.

This amount of subvention will be calculated on the amount of the crop loan disbursed fromthe date of disbursement/drawal up to the actual date of repayment or up to the due date,

maximum one year whichever is earlier.

The scheme is applicable for fresh loans and also for disbursals made in existing crop loans.

Even in those cases where sanctioned limit is more than Rs 3 lacs, subvention shall be

allowed on availment upto Rs 3 lacs (principal amount) and availment over and above Rs 3

lacs shall attract normal rate of interest and shall not be eligible for subvention.

2 % interest subvention claims will be submitted on a half-yearly basis as on September 30

and March 31




_________________________________________________________________________________


Government will provide additional interest subvention of 3% p.a. to Banks in respect of

those prompt paying farmers who repay their short-term production credit within one year of

disbursement/drawal of such loans.

The amount of additional subvention will be calculated from the date of disbursement /drawal

of the crop loan up to the actual date of repayment by farmer or up to the due date for

repayment of crop loan subject to a maximum period of one year from the date ofdisbursement.

This also implies that the prompt paying farmers would get short term crop loans @

4% per annum during

Benefits of interest subvention will also be available to small and marginal farmers having

Kisan Credit Card for a further period of up to six months post harvest on the same rate as

available to crop loan against negotiable warehouse receipt for keeping their produce in

warehouses. (HO /RD&PS/ 31 /2012-13/ 360 dated 07.08.2012)

Refer to latest CIRCULAR NO. HO / RD&PS/ 45 / 2015-16 / 443 DATE: 08.09.2015 for

details and updated information.

LEGAL ASPECTS

As per which provision of Securitization Act 2002, application can be filed before collector/ DM forgetting physical possession of the Secured Asset - Section 14 of the Act

As per which provision in Securitization Act 2002, Appeal/Application can be filed before DRT bythe Borrower - Section 17 of the Act (within 45 days)

As per which provision in Securitization Act 2002, Second appeal can be filed by the Borrower/Guarantor to DRAT - Section 18 of the Act (within 30 days)

Limitation for filing execution Petition after obtaining Decree - 12 years

Maximum & Minimum members in a Pvt. Ltd. Company - 50 & 2 Minimum members in a Public Ltd. Company - 7 Maximum number of members in a partnership firm if it is a Banking company - 10 Maximum number of members in a partnership firm if it is not a Banking company - 20 Minimum directors in a Pvt. Ltd. Company - 2 Minimum directors in a Public Ltd. Company - 3 Time limit for having the first statutory meeting of a company after the incorporation of a

company - within 6 months Pecuniary jurisdiction of DRT - 10 lac & above Maximum court fee to be paid in DRT - 1.50 lac Minimum court fee to be paid in DRT - 12,000/- up to Rs10 lacs, exceed every 1 lac Rs1000/- As per which Act DRT is constituted - Recovery of Debts due to Banks and financial Institutions Act 1993 Which is the provision for filing appeal to DRAT against the order of the presiding officer in DRT -

Section 20 (within 45 days) Which is the provision for filing appeal to the presiding officer in DRT against the order of the

Recovery Officer in DRT - Section 30 (within 30 days) Within How many days, appeal should be filed before presiding officer in DRT against the order of

the Registrar of DRT - within 15 days How many days time should be given in the demand notice sent to the Borrower as per Section

13 (2) of Securitization Act 2002 - 60 days Banking ombudsman scheme is introduced in the year - 1995 Consumer Protection Act introduced in the year - 1986




_________________________________________________________________________________


How much time will be the maximum gap between two Annual General Meeting of a Company -15 months

Within How many days, application for creating charges to be filed before Registrar of Companies- 30 days (Section 125 of Companies Act 1956)

As per which provision in Indian Limitation Act 1963, Limitation is extended for further 3 years by

the obtention of Balance Confirmation Letter - Section 18 As per which decision of Supreme Court, it is made clear that simultaneous action under

securitization act along with DRT/ Suit Filed with any other court can be taken - Transcore v/sUnion of India

Pecuniary Limit for Filing RRC - below 10 lac Limitation for filing mortgage suit before Court- 12 years Limitation for filing money suit before Court - 3 years Pecuniary Jurisdiction of Banking Ombudsman - 10 lacs What is the prescribed time limit within which consumer Forum should dispose the Compliant - 3

months What is the prescribed time limit within which DRT should dispose the Original Application - 6

months What is the prescribed time limit within which Banking Ombudsman should dispose the Compliant

- 6 months Limitation for filing compliant with Banking Ombudsman - 1 year Limitation for filing compliant with Consumer Forum - 2 years Pecuniary Jurisdiction of District Consumer Forum - 20 lacs Pecuniary Jurisdiction of State Commission (Consumer) - Between 20 lacs and One Crore Pecuniary Jurisdiction of National Commission (Consumer) - above 1 Crore Maximum period of imprisonment can be given by a Court under section 138 of NI Act 1881 - 2 Years Maximum period of civil imprisonment can be given by a Civil Court in the execution of a decree -

3 months Action under section 138 of NI Act – Send 15 days legal notice within 30 days of the date of

dishonor of cheque.

Documentation, Stamp Duty and Limitation :

Who is to Sign the documents or create mortgageBorrower Who is to Sign Individual Himself / His agentJoint Borrowers All / their agentProprietorship firm Proprietor / AgentPartnership firm All partnersHUF Karta. If coparceners are to be made liable, they are also to signJoint Stocks Company Person authorized by the resolution from the Board of directorsTrust/Club/Society Trustee/person authorized by their governing documents/resolution

Loan account wise limitation period

Demand Loans 3 years from the date of loanDemand promissory note 3 years from the date of DPNT O D 3 years from the date of loan

Term loan 3 years from the date of each installment




_________________________________________________________________________________


C C Hypothecation 3 years from the date of documentC C Pledge N ABills discouting 3 years from the due date of the respective

billBills purchasing 3 years from the date of bill

Loan secured by mortgage Instead of 3 years, the period would be 12years

Recovery of loss caused by fraud 3 years from the date of fraud detectionSuit by state/Central government 30 years from the period when limitation

beginsRight of foreclosure and right ofredemption in case of mortgage

30 years when money becomes due andwhen right to recover occurs respectively

Deposit accounts like SB, CA or maturedFDRs

3 years from the date of demand

Appeal to high court against lower court 90 days from date of decree Appeal to other court on the decree at

lower court

30 days from date of decree

Execution of decree 12 years from the date of decree

SARFEASI ACT

The act has two parts, first part stands for securitisation and reconstruction of financial assets andother part is enforcement of security interest.

Eligible assets under the act may be enforced without intervention of court or tribunal with thelaid down procedure under the act.

If party failed to deposit the amount, possession of charged/ secured assets is obtained from thebank under section 13(4) of the act. Publication of possession notice in the act within 07 days is

mandatory. No secured creditor shall exercise any right, unless exercise of such right is agreed upon by the

secured creditors representing not less than 3/4th in value of the amount outstanding. If borrower restricts the bank to take physical possession of secured assets, petition is filed under

section 14 of the act to the CMM/DM praying to get the physical possession of the assets. No action is taken before 45 days of taking possession, as 45 days time is given under the act to

appeal against the action of the bank. Appeal with DRT can be filed by the party only after taking possession of the assets under section

17 of the act. Thereafter appeal can also be filed with DRAT under section 18 of the act. Civilcourt does not jurisdiction to entertain any suit under provision of the act.

Secured assets can be disposed off / sold giving 30 days notice to the parties concerned followed

by 30 days publication of sale through auction/ tender notice of these assets in the vernacularnewspaper and national daily. 60 days notice is served under 13(2) of SARFEASI Action is taken for the dues exceed Rs1 lac Agriculture Land and lease hold property can not be enforced Appeal is made within 45 days of possession of secured asset 30 days notice is served indicating there in the sale of asset 30 days publication is made for auction of secured assets Possession of property is obtained under 13(4) SARFEASI Act Publication of possession of property - within 7 days from the date of possession. SERFEASI ACT 2002 does not apply to the following assets –




_________________________________________________________________________________


A - lien on any goods, money or security.B - A pledge of moveable.C – Creation of any security in any aircraft or vessel.D – Any property that can not be attached under any other law.E – Any security interest for securing repayment any financial asset not exceeding Rs1 lac.

F – Any case in which the amount due is less than 20% of the principal amt.G – Any interest created in agriculture land.

FIXATION OF UPSET PRICE (RESERVE PRICE) UNDER SARFAESI ACT, 2002:

For fixation of reserve price of charged securities (primary/ collateral) under SARFAESI Act,valuation of properties should not be more than one year old from the date of fixing ofauction. If the valuation available is more than one year old, fresh valuation be obtained.Further if fresh valuation is obtained, the reserve price for the next e-auction will be equivalentto the new realisable value of the properties and in case of failure of auction, Regional Head isempowered to reduce the reserve price upto 20% of latest realisable value. This can be doneeven if he has reduced the reserve price on the basis of old valuation.

LOK ADALAT Lokadalat has been constituted under Legal Services Act, 1987. No legal fee is charged for

approaching Lokadalat. All NPA a/cs including suit filed and decreed having outstanding balance uptoRs.20.00 lacs can be

referred to the Lokadalat. All legal disputes pending in civil, criminal, revenue courts or a tribunalcan be taken to lokadalat for amicable settlement except criminal cases which are non-compoundable.

Accounts can be settled by the bank as per the mutual consent of the parties. Award passed by the Lokadalat is a deemed decree of the court, which can be executed in case of

default by the borrowers / judgement debtor through court of competent jurisdication. National Lok Adalat was held on 13-02-16.

Amendment in Existing Powers of Functionaries for settlement of Deceased Claims :Presently the following functionaries have been vested with the powers for settling such claims asapproved and communicated vide Recovery & Law Dept., Head Office Circular HO/REC &LAW/02/2015-16/40 dated 01.04.2015:

Functionaries Thresh hold limit/Powers forsettlement of deceased claim casesincluding locker lease cases on thebasis of indemnity bond (withoutprobate /successions certificate)

Branch Incumbents in Scale-I,II Upto Rs 5.00 lacsBranch Incumbents in Scale III & IV Upto Rs. 10.00 lacsBranch Incumbents in Scale V & above Up to Rs. 25.00 lacsRLCC-RH Upto Rs. 50.00 lacs




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In order to further simplify the settlement of claims and to help the legal heirs of the deceasedaccount holders with credit balance ofRs.25000/- and below, the following sub-threshold limit hasbeen approved

Functionary Sub- Threshold limitBranch Incumbent/ Incumbent In charge (in all scales) 25000/- and below

Further, following clarifications are being given for settling the deceased depositor‟s claim cases

In respect of claims on the basis of court orders viz. Probate/ Succession Certificate, the same canbe settled by branch Incumbents upto a claim amount of Rs.50.00 lac only and by the RLCC (RH)for claim amount above Rs.50.00 lac.

* Claims by nominees in respect of the accounts where a valid nomination is registered as perBranch records, shall be disposed of at Branch level, in accordance with nomination; irrespective ofthe amount involved.

* It is clarified that the branch incumbents are vested with the powers to settle the cases of class Ilegal heirs of male deceased depositor as well as legal heirs as per Section 15 (a) in case of femaledeceased depositors in accordance with Hindu Succession Act 1956, whether they are Hindu, Sikh,

Jain or Buddhist.. The claims other than above and other claims relating to Muslim & othercommunities and claims by guardian other than natural guardian shall be dealt at Regional officelevel even when the claim amount falls within Branch powers. Further claims in respect of „Either orSurvivor‟ & „Former or Survivor‟ accounts shall be disposed of at branch level as per instruction

* The indemnity bond is to be obtained from all the legal heirs of the deceased depositor with twofinancial sound sureties. The net worth of the sureties individually should be equal to or more thanthe amount of claim.

* Before processing the deceased claim case, all the claim papers submitted by claimants to thebranch, be got vetted by the legal retainer, if the concerned branch is situated in the city where

Regional office is situated and by the panel advocate if the concerned branch is situated in othercities on a lump sum fee ofRs.500.00 only

TAX DEDUCTED AT SOURCE (T.D.S)

1. Floor limit of TDS on Term Deposit 10000/- (wef 01-06-2007)2. Form 15 G - To be obtained from Persons (other than Senior Citizen) (Does not exceed interestRs.2.50 lac)3. Form 15 H - To be obtained from Senior Citizen/Very Senior Citizen (Does not exceed interestRs.3.00 lac for senior citizen and Rs.5.00 lac for Very Senior Citizen)

4. Form 60 - for All

Claim Cases involving amount of above Rs.50.00 lac :Henceforth, settlement of deceased claim cases on the basis of indemnity bond shall berestricted to amounts upt Rs.50.00 lacs only. All claims above Rs.50.00 lacs, withoutnomination, shall be approved only on production of probate, if deceased depositor has lefta will or on the basis of a successions certificate in case the deceased depositor has died

intestate.




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5. Form 61 - for Agriculture (Discontinued wef as per OBC cir dt 04-01-2016)Tax Deduction at Source (TDS) at a Higher Rate (20%) on Transactions on not quotingof PAN As per the amended provisions, w.e.f. 1.04.2010, TDS at higher of the prescribed rate or 20% willbe deducted on all the transactions liable to TDS, where Permanent Account Number (PAN) of the

deductee i.e., the party is not available.

The law will also apply to all non-residents in respect of payments/remittances liable to TDS.Further, Certificate of deduction of tax at lower rate or no deduction (under section 197 of theIncome Tax Act,1961) shall not be issued by the concerned Income Tax Authority to the party i.e.,to whom eligible payment is made by the bank, unless the application of the party bears PAN. Inaddition, declaration by the depositor in "Form 15 G/Form 15H"(under section 197A of the IncomeTax Act, 1961) shall not be valid unless it bears the PAN of the depositor.

Keeping in view the above amendments, the offices are advised, as under:(i) Where the payment to the party is liable to TDS and the party has not quoted PAN, to

deduct TDS at higher of the prescribed rate or 20%. The basic exemption limit and theprescribed TDS rates in force are reproduced below for ready reference.

PAYMENT TO RESIDENTS IN INDIA

S.No. Nature of Payment PrescribedTDS rate(Surcharge-Nil &Cess-Nil)

TDS liable to be deducted

1 Interest on TermDeposits (includingTD/PD/RD etc.)(Domestic Company aswell as other thanDomestic Company)

10% If the interest credited or paid (likely to becredited or paid) during the financial yearexceeds Rs10,000/-.

P.S: TDS ON INTEREST ON TERM DEPOSITS NOT LIABLE TO BE DEDUCTED (including PD/RD /VPD)

(a) Interest is credited/paid to any banking company, co-operative society engaged in bankingbusiness, public financial institutions, the Life Insurance Corporation, the Unit Trust of Indiaor notified Institutions (only on receipt of exemption certificate from the tax authorities)

(b) Interest other than on time deposits. Time deposit means deposits including recurringdeposits repayable on the expiry of fixed periods.

(c) Interest is credited or paid on compensation awarded by the Motor Accident Claims Tribunal if

the amount of payment or the aggregate amount of such payment does-not exceedRs50,000/- (however TDS is required to be deducted at the time of maturity / pre-maturity iftotal interest is paid during the Financial Year exceeds Rs.50000/- wef 01-06-2015)

2. Commission orbrokerage

10% If the interest credited or paid during thefinancial year exceeds Rs5000/-

3a. Rent of plant andmachinery (with effectfrom October 1,2009)

2% If the interest credited or paid during thefinancial year exceeds Rs1,80,000/-

3b. Rent of land or buildingor furniture or fitting (with effect from

10% If the interest credited or paid during thefinancial year exceeds Rs1,80,000/-




_________________________________________________________________________________


October 1,2009)

4. Fees for professionalor technical services

10% If the amount credited or paid (likely to becredited or paid) during the financial yearexceeds Rs30,000/-

5. Payment toContractors/Sub-contractors

The amount of any (single) sum credited orpaid (likely to be credited or paid) exceedsRs30,000/- and the aggregate of theamounts of such sums credited or paid(likely to be credited or paid) during thefinancial year does-not exceed Rs75,000/-

(a) Payment/credit to anindividual or a HUFcontractor/sub-contractor (w.e.f 01/10/2009)

1%

(b) Payment/credit to any

person other than anindividual or a HUFcontractor/sub-contractor(w.e.f 01/10/2009)

2%

INTEREST PAYMENTS TO PERSONS NOT RESIDENTS IN INDIA

Nature of PaymentIncome Tax

(%)Surcharge

(%)Cess (%) Total (%)

A. In case where the person (other

than company) which is notresident in India 30% - 0.90% 30.90%

B.(i) In case of a company which isnot a domestic company (wherethe total income does-notexceedRs.one crore)

40% - 1.2% 41.20%

(i) In case of a company which isnot a domestic company (wherethe total income exceedsRs.onecrore)

40% 0.8% 1.224% 42.024%

It is reiterated that under the existing provisions of the Income Tax Act, 1961 and circularsissued there under, no tax is required to be deducted at source on payment of interest tothe holders of Non –Resident (External) Account and FCNR deposits as per extant rules.

It is clarified that in the case of payments to persons resident outside India which are liablefor TDS i.e., other than Non –Resident (External) Account and FCNR deposits, if PAN is notquoted by the party, TDS at the afore-said rates is to be deducted as these rates are higherthan 20%.

(ii) Not to accept "Form 15 G/Form 15H" from any of the depositors unless PAN ofthe depositor is quoted on the respective forms.




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TAX DEDUCTION AT SOURCE (TDS)The Central Board of Direct Taxes (CBDT) have since issued notification dated 31st May 2010 w.e.f 01/04/2010 modifying the time limit for deposit of TDS, issue of TDS certificatesand e-filing of TDS Returns and in the light of the same the offices are advised as under:

I. TIME LIMIT FOR DEPOSIT OF TDS & ISSUE OF TDS CERTIFICATES

(a) SALARYTIME LIMIT FORDEPOSIT OF TAX BY THEBANK

TIME LIMIT FOR ISSUE OFTDS CERTIFICATE TO THEEMPLOYEE

TDS CERTIFICATE IN

For Salary credited/Paid inthe month of March - On or before 30th April

By 31st May of the financialyear immediately following the

financial year in which the salarywas paid and tax deducted.

Revised FORM No. 16

to be issued Annually.

For salary credited/ paid

other than the month ofMarch

Within 7 days from theend of the month in whichtax is deducted

(b) PAYMENTS OTHER THAN SALARYTIME LIMIT FOR DEPOSITOF TAX BY THE BANK

TIME LIMIT FOR ISSUEOF TDS CERTIFICATE

TDS CERTIFICATE IN

Amount credited/Paid in the

month of March

- On or before 30th April Within 15 days from thedue date for furnishingstatement of deduction oftax i.e., TDS Return (ReferItem 2 for Due date) .

Revised FORM No. 16Ato be issued Quarterly.

Other cases i.e., Amountcredited/paid other than in themonth of March

Within 7 days from the end ofthe month in which tax isdeducted

II. DUE DATE FOR FILING TDS RETURNS

The due date for furnishing TDS return for the quarter ending March has been modified to 15 thMay (from earlier June). Accordingly, the revised due dates for e-filing the TDS returns are:

S.No. Date of ending of thequarter of the financial

year

Due date

1. 30th June 15th July of the financial year2. 30th September 15th October of the financial year




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3. 31st December 15th January of the financial year4. 31st March 15th May of the financial year

immediately following the financial yearin which deduction is made

Forms to be used for filing the return:

Particulars Form No.Tax deduction from Salary 24QTax deduction in any other cases in respect of residents 26QTax Deductions in respect of Non-residents 27Q

(III) The offices shall continue to deposit TDS in on-line mode.(IV) Senior Citizen is a resident individual who is 60 years or more at any time during the financialyear but not more than 80 years on the last day of financial year.(V) Very Senior Citizen is a resident individual who is 80 years or more at any time during thefinancial year.(VI) Penalty for non submission of returns to the concerned auathority :

a. Form 15G/15H - Rs.100/- every day during which the default continues.b. Incorrect information in TDS statement – Rs.10000/- to Rs.1.00c. Non furnishing /delay in furnishing form 60 – Rs.10,000/-d. Delay in furnishing TDS return – Rs.200/- per day from the due date of furnishing of TDS return.However the total amt. of penalty shall not exceed the total amt. of tax deductible during the periodfor which TDS return is delayed. In addition to the above penalty branch/office will also be liable topay a penalty ranging from 10000/- to Rs.1.00 Lac.

Payment of Interest for delayed remittance to IT authorityPeriod of default Rate of Interesta. from the tax was deductible to the date on

which such tax is deducted

1% per month or part of the month

b. from the date on which such tax is deductedto the date on which such tax is actually paid

1.50% per month or part of the month




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SOME IMPORTANT POINTS/QUESTIONS

IMPORTANT RATIOS :Credit to deposit ratio (CD ratio): This ratio indicates how much of the advances lent by banks

is done through deposits. It is the proportion of loan-assets created by banks from the depositsreceived. The higher the ratio, the higher the loan-assets created from deposits. Deposits would bein the form of current and saving account as well as term deposits. The outcome of this ratioreflects the ability of the bank to make optimal use of the available resources.

Capital adequacy ratio (CAR): A bank's capital ratio is the ratio of qualifying capital to riskadjusted (or weighted) assets. The RBI has set the minimum capital adequacy ratio at 9% for allbanks. A ratio below the minimum indicates that the bank is not adequately capitalized to expandits operations. The ratio ensures that the bank do not expand their business without havingadequate capital.CAR = Tier I capital + Tier II capital / Risk weighted assets It must be noted that it would be difficult for an investor to calculate this ratio as banks do notdisclose the details required for calculating the denominator (risk weighted average) of this ratio indetail. As such, banks provide their CAR from time to time.Tier I Capital funds include paid-up equity capital, statutory and capital reserves, and perpetualdebt instruments eligible for inclusion in Tier I capital. Tier II capital is the secondary bank capitalwhich includes items such as undisclosed reserves, general loss reserves, subordinated term debt,amongst others.

Non-performing asset (NPA) ratio: The net NPA to loans (advances) ratio is used as a measureof the overall quality of the bank's loan book. An NPA are those assets for which interest is overduefor more than 90 days (or 3 months).Net NPAs are calculated by reducing cumulative balance of provisions outstanding at a period end

from gross NPAs. Higher ratio reflects rising bad quality of loans.NPA ratio = Net non-performing assets / Loans given

Provision coverage ratio: The key relationship in analysing asset quality of the bank is betweenthe cumulative provision balances of the bank as on a particular date to gross NPAs. It is a measurethat indicates the extent to which the bank has provided against the troubled part of its loanportfolio. A high ratio suggests that additional provisions to be made by the bank in the comingyears would be relatively low (if gross non-performing assets do not rise at a faster clip).Provision coverage ratio = Cumulative provisions / Gross NPAs

Return on assets (ROA): Returns on asset ratio is the net income (profits) generated by the bank

on its total assets (including fixed assets). The higher the proportion of average earnings assets,the better would be the resulting returns on total assets. Similarly, ROE (returns on equity)indicates returns earned by the bank on its total net worth.ROA = Net profits / Avg. total assets

ABCD Analysis, (Branch categorization in different parameter as per the following

performance)

A. Budget Achieved

B. 80% & above of the Budget Achieved




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C+ 50% & above of the Budget Achieved

C. Above March figure (Last F.Y.)

D. Below March figure (Last F.Y.)

Definition of 'Balance Sheet' A financial statement that summarizes a company's assets, liabilities and shareholders' equity at a

specific point in time. These three balance sheet segments give investors an idea as to what the

company owns and owes, as well as the amount invested by the shareholders.

The balance sheet must follow the following formula:

Assets = Liabilities + Shareholders' Equity

DIFFERENCE BETWEEN PROFIT AND LOSS ACCOUNT AND B ALANCE SHEET

P&L gives you the list of Income and Expenses during a particular period, Whereas Balance sheet

shows you the Financial position of an organization in a specific point of time (date).

What is the difference between current assets and current liability

In accounting, a current asset is an asset which can either be converted to cash or used to pay

current liabilities within 12 months. Typical current assets include cash, cash equivalents, short-term

investments, accounts receivable, inventory and the portion of prepaid liabilities which will be paid

within a year.[1]

The current ratio is calculated by dividing total current assets by total current liabilities. It is

frequently used as an indicator of a company's liquidity, its ability to meet short-term obligations.

In accounting, current liabilities are often understood as all liabilities of the business that are to

be settled in cash within the fiscal year or the operating cycle of a given firm

WHY CAPITAL IS LISTED UNDER LIABILITY OF B ALANCE SHEET ?

The confusion regarding owners funds being shown as liability will be automatically vanish if you

treat a business as a en entity separate from its owners. A business requires fund for fixed assets

and working capital. These funds come from two sources, the owners funds and borrowed funds.

Both these are sources of funds that the business has received. Therefore both these are therefore

coming under liability side, which is also descried as sources of funds.

What Are The Benefits Of Registering A Partnership Firm?

ACCORDING TO INDIAN PARTNERSHIP ACT 1932, REGISTRATION OF PARTNERSHIP IS NOT COMPULSORY AS IN THE

CASE OF COMPANY . HOWEVER , REGISTRATION BECOMES COMPULSORY AS UNREGISTERED PARTNERSHIP FIRM

ATTRACTS CERTAIN LIMITATIONS. R EGISTRATION OF PARTNERSHIP FIRM CAN BE DONE AT ANY TIME.

EFFECTS OF NON-R EGISTRATION:-

1. An unregistered firm cannot enforce its rights against the third parties.

2. The partners of an unregistered firm cannot sue its fellow partners or the firm for the

enforcement of their rights.

3. Partners of the unregistered firm cannot be sued by the firm for exercising its claims.

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http://en.wikipedia.org/wiki/Current_liability

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http://en.wikipedia.org/wiki/Inventory

http://en.wikipedia.org/wiki/Accounts_receivable

http://en.wikipedia.org/wiki/Cash_equivalents

http://en.wikipedia.org/wiki/Cash

http://en.wikipedia.org/wiki/Asset

http://en.wikipedia.org/wiki/Accounting




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4. Un registration of a firm does not affect the rights of the third party to sue the firm for the

recovery of dues.

5. Adjustment regarding the amount receivable or payable cannot be made.

Non-Effects of Non-Registration:- An unregistered firm can file a suit for not exceeding Rs.100.

What is „paripassu‟ charge?

„paripassu‟ charge gives lenders a right to the property on which a charge iscreated in proportion to the

amount lent to the debtor. Let us assume two banks „X‟ and „Y‟ have lent to a company with the outstanding

at Rs 70 lakh and Rs 30lakh respectively and have „paripassu‟ charge over the assets hypothecated.

Incase of liquidation of that company, the lenders „X‟ and „Y‟ will share the proceeds from liquidation in proportion

to the outstanding loan amount, that is, 70:30

COMPANY

INCORPORATING A COMPANY - APPROVAL OF N AME

The first step in the formation of a company is the approval of the name by the Registrar of

Companies (ROC) in the State/Union Territory in which the company will maintain its Registered

Office. This approval is provided subject to certain conditions: for instance, there should not be an

existing company by the same name. Further, the last words in the name are required to be

"Private Ltd." in the case of a private company and "Limited" in the case of a Public Company. The

application should mention at least four suitable names of the proposed company, in order of

preference. In the case of a private limited company, the name of the company should end with the

words "Private Limited" as the last words. In case of a public limited company, the name of the

company should end with the word "Limited" as the last word. The ROC generally informs the

applicant within seven days from the date of submission of the application, whether or not any ofthe names applied for is available. Once a name is approved, it is valid for a period of six months,

within which time Memorandum of Association and Articles of Association together with

miscellaneous documents should be filed. If one is unable to do so, an application may be made for

renewal of name by paying additional fees. After obtaining the name approval, it normally takes

approximately two to three weeks to incorporate a company depending on where the company is

registered

MEMORANDUM AND ARTICLES

The Memorandum of Association and Articles of Association are the most important documents tobe submitted to the ROC for the purpose of incorporation of a company. The Memorandum of

Association is a document that sets out the constitution of the company. It contains, amongst

others, the objectives and the scope of activity of the company besides also defining the

relationship of the company with the outside world.

The Articles of Association contain the rules and regulations of the company for the management of

its internal affairs. While the Memorandum specifies the objectives and purposes for which the

Company has been formed, the Articles lay down the rules and regulations for achieving those

objectives and purposes.




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The ROC will give the certificate of incorporation after the required documents are presented along

with the requisite registration fee, which is scaled according to the share capital of the company, as

stated in its Memorandum. A private company can commence business on receipt of its certificate

of incorporation.

A public company has the option of inviting the public for subscription to its share capital. Accordingly, the company has to issue a prospectus, which provides information about the company

to potential investors. The Companies Act specifies the information to be contained in the

prospectus.

The prospectus has to be filed with the ROC before it can be issued to the public. In case the

company decides not to approach the public for the necessary capital and obtains it privately, it can

file a "Statement in Lieu of Prospectus" with the ROC.

On fulfillment of these requirements, the ROC issues a Certificate of Commencement of Business to

the public company. The company can commence business immediately after it receives this

certificate.

Certificate of Incorporation

After the duly stamped Memorandum of Association and Articles of Association, documents and

forms are filed and the filing fees are paid, the ROC scrutinizes the documents and, if necessary,

instructs the authorised person to make necessary corrections. Thereafter, a Certificate of

Incorporation is issued by the ROC, from which date the company comes in to existence. It takes

one to two weeks from the date of filing Memorandum of Association and Articles of Association to

receive a Certificate of Incorporation. Although a private company can commence business

immediately after receiving the certificate of incorporation, a public company cannot do so until it

obtains a Certificate of Commencement of Business from the ROC.

Distinction Between A Public Company And a Private Company

Following are the main points of difference between a Public Company and a Private Company :-

1. Minimum Paid-up Capital : A company to be Incorporated as a Private Company must have a

minimum paid-up capital of Rs. 1,00,000, whereas a Public Company must have a minimum paid-up

capital of Rs. 5,00,000.

2. Minimum number of members : Minimum number of members required to form a private

company is 2, whereas a Public Company requires at least 7 members.

3. Maximum number of members : Maximum number of members in a Private Company is

restricted to 50, there is no restriction of maximum number of members in a Public Company.4. Transferability of shares : There is complete restriction on the transferability of the shares of

a Private Company through its Articles of Association , whereas there is no restriction on the

transferability of the shares of a Public company

5 .Issue of Prospectus : A Private Company is prohibited from inviting the public for subscription

of its shares, i.e. a Private Company cannot issue Prospectus, whereas a Public Company is free to

invite public for subscription i.e., a Public Company can issue a Prospectus.

6. Number of Directors : A Private Company may have 2 directors to manage the affairs of the

company, whereas a Public Company must have atleast 3 directors

7. Commencement of Business : A Private Company can commence its business immediately




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after its incorporation, whereas a Private Company cannot start its business until a Certificate to

commencement of business is issued to it.

What is the SARFAESI Act?

The Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act,2002, allows banks and financial institutions to auction properties (residential and commercial)

when borrowers fail to repay their loans. It enables banks to reduce their non-performing assets

( NPAs) by adopting measures for recovery or reconstruction.

Relation between Inflation and Bank interest Rates

Now a days, you might have heard lot of these terms and usage on inflation and the bank interest

rates. We are trying to make it simple for you to understand the relation between inflation and bank

interest rates in India.

Bank interest rate depends on many other factors, out of that the major one is inflation. Whenever

you see an increase on inflation, there will be an increase of interest rate also.

What is Inflation?

Inflation is defined as an increase in the price of bunch of Goods and services that projects the

Indian economy. An increase in inflation figures occurs when there is an increase in the average

level of prices in Goods and services. Inflation happens when there are less Goods and more

buyers, this will result in increase in the price of Goods, since there is more demand and less supply

of the goods.

What is a Repo Rate?

Whenever the banks have any shortage of funds they can borrow it from RBI. Repo rate is the rate

at which our banks borrow rupees from RBI. A reduction in the repo rate will help banks to get

money at a cheaper rate. When the repo rate increases borrowing from RBI becomes more

expensive.

What is a Reverse Repo Rate? How will it affect the Bank Loan interest rates

Reverse Repo rate is the rate at which Reserve Bank of India (RBI) borrows money from banks.

Banks are always happy to lend money to RBI since their money are in safe hands with a good

interest. An increase in Reverse repo rate can cause the banks to transfer more funds to RBI due tothis attractive interest rates. It can cause the money to be drawn out of the banking system.

Due to this fine tuning of RBI using its tools of CRR, Bank Rate, Repo Rate and Reverse Repo rate

our banks adjust their lending or investment rates for common man.

Bank Rate

This is the rate at which RBI lends money to other banks (or financial institutions. The bank rate

signals the central bank‟s long-term outlook on interest rates. If the bank rate moves up, long-term

interest rates also tend to move up, and vice-versa. Banks make a profit by borrowing at a lower

rate and lending the same funds at a higher rate of interest. If the RBI hikes the bank rate , the

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interest that a bank pays for borrowing money (banks borrow money either from each other or

from the RBI) increases. It, in turn, hikes its own lending rates to ensure it continues to make a

profit.

Call Rate Call rate is the interest rate paid by the banks for lending and borrowing for daily fund requirement.

Since banks need funds on a daily basis, they lend to and borrow from other banks according to

their daily or short-term requirements on a regular basis.

CRR

Also called the cash reserve ratio, refers to a portion of deposits (as cash) which banks have to

keep/maintain with the RBI. This serves two purposes. It ensures that a portion of bank deposits is

totally risk-free and secondly it enables that RBI control liquidity in the system, and thereby,

inflation by tying their hands in lending money

SLR

BESIDES THE CRR, BANKS ARE REQUIRED TO INVEST A PORTION OF THEIR DEPOSITS IN GOVERNMENT SECURITIES

AS A PART OF THEIR STATUTORY LIQUIDITY RATIO (SLR) REQUIREMENTS. WHAT SLR DOES IS AGAIN

RESTRICT THE BANK ‟ S LEVERAGE IN PUMPING MORE MONEY INTO THE ECONOMY .

If you are appointed as Branch Manager in the branch which is worst performing, what steps would

you initiate to turn around the Branch?

The Branch Manager shall adopt strategies depending on the specific problems pertaining to that Branch

and the environment. However, some general strategies could be:

Bank‟s profitability basically depends on the spread between cost of deposits and yield on advances

CASA deposits should be improved to reduce cost of deposits

To increase high-value advances and improve yield on advances

To improve non-interest income through cross selling and others

To plug income leakage

Reducing overhead costs that can be cut

To concentrate on NPA/AUC recovery and collect un-debited interest and amounts from interest

not collected account To speed up legal actions under SARFAESI Act and other means

What is cross selling?

Cross selling a popular concept in banks. Banks sell insurance and mutual products to their own

customers. By cross-selling, banks earn commission from insurance companies and mutual funds. Banks

enter into agreements with insurance companies and asset management companies for cross-selling. Within

their own products, banks can cross-sell by the following ways: 1. Selling loan products

to depositors, 2. offering SB/current accounts to borrowers, etc.




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What is CIBIL?

CIBIL stands for Credit Information Bureau (India) Limited. CIBIL was incorporated in 2000 with an aim to

summarize and share credit reports among its members Its original promoters were State Bank of India,

HDFC, Dun & Bradstreet and Trans Union. Now, the shareholding is more diversified with several more

stakeholders, like ICICI Bank, BOB, IOB, UBI, PNB, Hong Kong Bank etc, included. CIBIL provides creditinformation on commercial and individual borrowers to lenders, like, banks, NBFCs and others. The

information is provided for a fee. In credit markets, data sharing is very important between lenders and borrowers.

The members of CIBIL are mostly banks, non banking financial institutions and credit card

companies. The ultimate aim of this CIBIL is to help its members to evaluate the risk involved in a

particular loan through its credit score and CIR.

Whats a CIBIL credit score and CIR?

Through the information received from its constituent members, CIBIL compiles a report (CIR

report) containing the loan history of a particular person. For example, if a person had borrowed a

gold loan from PNB and a housing term loan from ICICI, these two entries will be present in his

CIR. This will be helpful for the next bank {to which he had applied for a loan}to assess whether

the person will be able to repay the loan as he already has two loans left to pay out.

The CIBIL score is a 3 digit numeric score that ranges from 300 to 900 {the higher the better} and

it is calculated based on the kind of loans the person has borrowed and the time he has taken to

repay the loan. For example a person takes very little time to repay the loan will be given a far

better score than the person who doesnt repay his loan at all.

What do you know about ASBA?

ASBA means “Application Supported by Blocked Amount”. It is a term used in capital markets. ASBA is an

application containing an authorization to block the application money in the bank account, for subscribing to

an issue – an initial public offer or follow-on-offer. If an investor is applying through ASBA, his/her

application money shall be debited from the bank account only if his/her application is selected for

allotment after the basis of allotment is finalized. All investors can apply through ASBA in all public

issues.

How many public sector banks (PSBs) are there in India?

There are 26 public sectors banks in India. Nationalized Banks are 20including IDBI Bank. State Bank

Group companies are six after the merger of State Bank of Indore and State Bank of Saurashtrawith State Bank of India

Who will benefit the most when rupee is rising?

When rupee is appreciating against major currencies, like, US dollar, Euro and Pound, importers

in India will benefit because importers need to pay lesser rupees for goods and services

Who are Business Correspondents (BCs)?

With a view to ensuring greater financial inclusion and increasing the penetration of banking

services to vast sections of the underprivileged sections of the society, RBI a few years back




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allowed banks to use the services of well-established NGOs, SHGs, MFIs, Post Offices, and others as

intermediaries. With the help of the intermediaries, banks can extend their services through the use

of Banking Correspondent model.

In September 2010, RBI allowed banks to appoint companies as Business Correspondents who cansell banking products to vast sections of rural and semi-urban population. With this measure,

companies like, HUL, ITC and Bharti Airtel, can be appointed as BCs by banks an in turn these

companies will provide banking services to the people.

What is financial inclusion?

Financial inclusion is a process whereby easy access to banking services is provided by banks to weaker

sections and low-income groups. As part of financial inclusion, commercial banks have to offer, at

affordable cost and in a fair manner, financial products and services to these underprivileged sections. As per RBI

guidelines, banks have to provide banking services through a banking outlet in every village having

a population of over 2,000. The banking services could be provided through any of the various

forms of models, such as, Business Correspondents and not necessarily through a brick-and-mortar

branch

What is Reverse Mortgage and how does it work?

A reverse mortgage is a loan extended to senior citizens against the security of a house property

owned by them. The loan is given in lump sum or in installments and it provides important cash

flow to the senior citizens who require money during their old age. They continue to be the owners

of the house and occupy it. The loan obligation is deferred till the death of the homeowner. The

legal heirs of senior citizens can repay the loan amount after the death of the borrower and the

bank will release the security on the house property.

What is Base Rate?

Base Rate is the minimum lending rate below which a bank can not lend to borrowers except in a few cases.

Base Rate was implemented in India with effect from July 1, 2010. From that date, the existing Benchmark

Prime Lending Rate(BPLR) was replaced by the new Base Rate System. Base Rate differs from bank to bank

depending on individual bank‟s cost of deposits/funds and other criteria.

RBI has introduced a new system of loan pricing for Indian Banks. What is that systemcalled?

With effect from July 1, 2010, RBI introduced a new system of loan pricing called Base Rate

System. All commercial banks have adopted the new system.

How is RBI controlling inflation in India?

To control inflation, RBI has been raising CRR, repo and reverse repo rates gradually since February 2010. With

such measures, money supply will be restricted and money will become costlier. In a rising interest rate scenario

,companies will be reluctant to start new projects which may impact overall growth. As a result, RBI

always tries to maintain a balance between growth and price stability




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Who has created Rupee Symbol?

The new symbol for Indian Rupee was designed by Dr Dharma lingam Udaya Kumar, a graduate from IIT,

Bombay. He is working as a faculty in IIT, Guwahati.

What is money laundering?

Money laundering is a process whereby criminals use banking/financial system to legitimize their ill-

gotten money. Many terrorists and drug traffickers have been using banking channels as a conduit

to transfer money for their terrorist/illegal activities.

What is the definition of a willful defaulter?

If any one of the following criteria is satisfied, such an occurrence can be termed as

„willful default‟

1) The borrower has defaulted even though he/she has the capacity to honor the payments

2) The borrower has defaulted on the payments and has not utilized the funds for the purpose

they were sanctioned and diverted the funds

3) The borrower has defaulted on the payments and has siphoned off the funds and the funds are

not available in any other asset form

Sources: various websites, like, RBI, SEBI, newspapers, etc. Disclaimer: The above is for

information purpose. Though every care has beentaken to provide authentic information on the

above questions, readers have todo their own diligence and the author is not responsible for any

mistakes. However, if you find any mistakes, please bring it to my notice.

Q What is KYC ?

KYC is an Acronym for “ Know Your Customer”, a term that is used to describe the process of

customer identification, verification of the social and financial credentials of the customers. KYC

enables the Bank to know and understand its customers and their financial dealings so as to serve

them better, setting up of Threshold Limit and prudently mitigate the risks of Money Laundering

and Financing of Terrorism.

KYC has two components- Identity and Address. While identity remains the same, the address may

change and hence the Bank is required to periodically update its records.Bank need to obtain sufficient information, whether regular or occasional, necessary to establish, to

its satisfaction, the identity of each new customer, and the purpose and nature of the intended

Banking relationship.

Q Why is KYC required?

The objective of the KYC guidelines is to prevent Bank from being used, intentionally or

unintentionally by criminal and anti social elements for money laundering.




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KYC procedures enable Bank to know and understand the customers and their financial dealings

better which in turn help us to manage and circumvent the risks of Money Laundering and

Financing of Terrorism prudently.

Q When will the Bank require KYC to be done?The Bank will carry out KYC procedure for:-

Opening a new account

Opening a subsequent account where documents as per current KYC standards have not

been submitted while opening the initial account

Opening a Locker facility

Issue of ATM/ Debit/ Credit cards

Periodical updation

Non- account holders approaching the bank for high value one-off transactions.

Bank also seeks information/ additional information from existing customers based on conduct of

the account.

Q What is First and foremost step under KYC ?

The First and foremost element is “Customer Acceptance”

These guidelines are the Basis of acceptance of individuals and entities as Customers of Oriental

Bank of Commerce i.e. the governing criteria for entering into and maintaining customer

relationships or terminating the same. At the first stage itself the Bank official has to talk to the

person and shall know/ understand the customer and their financial dealings, which in turn shall

help in managing risks more prudently.

Customer Due Diligence is the first step and this result in Risk Perception/ assessment about the

customer and accordingly customer categorization shall be done at the Branch level.

Q Who is a Customer under KYC Policy?

A customer is defined as:

A person or entity that maintains an account and/or has a business relationship with the

bank

One on whose behalf account is maintained (the beneficial owner)

Beneficiary of transactions conducted by professional intermediaries

Any person or entity connected with a financial transaction which can pose significantreputation or other risks to the Bank, a wire transfer or issue of a high value demand draft

as a single transaction.

Q Why is classification of customer necessary under KYC Policy?

So that the KYC Policy and its implementation does not become too restrictive resulting in

denial of banking services to the general public, especially to those who are financially or

socially disadvantaged.

To avoid disproportionate cost to the bank and a burdensome regime for customers.




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Q What is the process of Classification of Customers?

The risk categorization of customers is a two step process. Customers and prospective customers

are first grouped in one of the following categories:

Individuals

Private Organizations, Private Institutions, Public and Private Limited Companies, Firms,Trusts, Charities, NGOs, HUFs etc.

All Government Departments, Government owned companies, Regulators and Statutory

bodies etc.

Non-face-to-face customers

After the initial grouping, the second level of categorization is done on the basis of the level of

Money Laundering (ML) risks that the Bank is exposed to by a Customer. This depends on:

Type of the customer (individual or an entity)

1. Social and economic status

2. Nature of business

3. Type of product / service availed by the

customer

4. Country where the Customer is domiciled.

Q What are the risk categorization adopted by our Bank?

Risk categorization of Customers shall comprise of four types:-

1 Low C1

2 Medium C2

3 High C3

4 Very High C4

Q What about categorization of other Groups?

All Government Departments, Government owned companies, Regulators and Statutory

bodies etc. are to be categorized as Low risk

Non-face-to-face customers are to be categorized as very High risk

Q What is the usefulness of risk categorization?

Based on the risk assessment levels bank has to take extra precautions and additional

documentation to satisfy themselves regarding the identity of customers.

C-1 Customers: In such cases, only the basic requirements of verifying the identity and location of

the customer are to be established.

C-2 Customers: Besides, verifying the identity and location of the customer, a brief profile of

these customers should also be prepared (OF 5A or OF 1A)

C-3 Customers: Enhanced due diligence measures should be applied in establishing identity and

location of the prospective customer and detailed profile should be prepared.




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C-4 Customers: Intensive due diligence measures should be applied and very detailed profile

should be prepared.

Q What is Customer Profile?

Customer profile shall be prepared in case of all the new accounts and in case of existing accountsdepending on the risk perceived/category of the customer.

Customer Profile shall mainly contain information on the :

Customer‟s Identity

Social & Financial Status of the customer,

Nature of Business Activity of the Customer,

Information about his client‟s Business,

Location(s) of the customers‟ Clients etc

Q What is the most important step by which a customer becomes the customer of

OBC?

The risk category of the prospective customer should be identified BEFORE the interview so that the

interviewing officer should know

the type of profile (brief or detailed) required to be prepared

extent of due diligence required

financial information to be collected

“No account should be opened without carrying out the interview.”

Q For what type of customers Bank shall not open account?

Accounts should not be opened:

In the name of persons with known criminal background or banned entities such as

individual terrorists or terrorist organizations

In anonymous or fictitious names

In the name of those with dubious reputation as per public information available

Where the bank is unable to verify the identity or obtain documents in line with the

Customer Acceptance Policy due to

non-cooperation of the customer

non reliability of data/information furnished to the bank

Politically Exposed Persons of foreign origin- Account can be opened after taking approval ofHO.

Q Can the bank close an account if the account holder does not provide the necessary

information/ documents to fulfil the bank‟s norms?

If an account holder does not provide the bank with the information bank require bank may

consider closing the account or terminating the banking/ business relationship after due notice,

explaining the reasons for taking such a decision.




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Case for termination of customer relationship shall be prepared only on account of non-

cooperation by the customer or non-reliability of the documents / information furnished to

the Bank.

The Branch shall prepare case on the prescribed format and send the same to the

concerned Regional Office alongwith recommendations for closure of the account dulysigned by the Branch Incumbent.

The Regional Head only shall decide about the termination of customer relationship i.e. after

going through the details of each case and his decision shall be guided by the severity of

each case, risk category and compliance of the KYC Policy.

The Regional Office shall convey its decision to the branch and in case of termination of

customer relationship the account shall be closed only after due notice of 15 to 30 days has

been served by the Regional Office to the customer explaining therein the reason of such

decision.

In case the customer turns up within the notice period (i.e. before closure of his account)

and complies with the KYC Policy of the Bank, the decision to continue customer relationship

with that customer shall also be taken by the Regional Head only.

Q Is Introduction necessary for opening of accounts?

Since introduction is not necessary for opening of accounts under PMLA Rules of Reserve Bank of

India‟s extant KYC instructions, the Branches should not insist on introduction.

Q What Documents are acceptable for establishing identity of a person under KYC ?

Documents for establishing identity of a person may include:

Valid Passport

Valid PAN Card

Valid Driving License

Valid Voters ID Card

Letter issued by UIDAI containing details of name, address and Aadhaar number

Job card issued by NREGA duly signed by an officer of the State Government.

Q Is the verification of the photo copies submitted by the customers necessary?

Yes, Correctness of the documents should also be verified with the Originals.

Q Is the determination of Beneficial owner required for opening of account?

Yes, The term “beneficial owner” has been defined as the natural person who ultimately owns or

controls a client and /or the person on whose behalf the transaction is being conducted, and

includes a person who exercises ultimate effective control over a Juridical person i.e. firm,

companies, trusts, associations, etc. While opening the accounts of Legal Persons/entities i.e

firms/companies/trusts etc, the true identity of the beneficial owner/s in terms of above mentioned

circular should be established.




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The customer profiles all the beneficial owners as well as of authorized signatories be

prepared on OF-5A or OF-1A as applicable

In Customer Identification Form (OF 5A OF-1A), add the words „Beneficial Owner‟ with

Authorized signatory so as to read as

“Customer/Authorized signatory/Beneficial Owner‟s Details”. Obtain KYC documents, photograph of all beneficial owners/authorized signatories.

Prepare Cust ID of all the beneficial owners as well as of authorized signatories.

While opening the account of a legal person/entity, in Finacle, the profiles of all beneficial

owners/authorized signatories should be attached as associated party details. (A details)

Following three codes have been added in designation code in the system in field

“Designation code” i.e

Authorized signatory

Beneficial owner

Authorized signatory & beneficial owner

Ensure to assign appropriate designation code to each profile. Assigning a correct code is

mandatory.

Q Who are “Money Mules” ?

“Money Mules” can be used to launder the proceeds of fraud schemes (e.g., phishing and identity

theft) by criminals who gain illegal access to deposit accounts by recruiting third parties to act as

“money mules.” In some cases these third parties may be innocent while in others they may be

having complicity with the criminals.

In a money mule transaction, an individual with a bank account is recruited to receive cheque

deposits or wire transfers and then transfer these funds to accounts held on behalf of another

person or to other individuals, minus a certain commission payment. Money mules may be recruited

by a variety of methods, including spam e-mails, advertisements on genuine recruitment web sites,

social networking sites, instant messaging and advertisements in newspapers. When caught, these

money mules often have their bank accounts suspended, causing inconvenience and potential

financial loss, apart from facing likely legal action for being part of a fraud. Many a times the

address and contact details of such mules are found to be fake or not up to date, making it difficult

for enforcement agencies to locate the account holder.

Q Who are Walk-in Customers ? A walk-in customer is a non-account based customer, and in case of transactions carried out for

him, where the amount of transaction is equal to or exceeds rupees fifty thousand, whether

conducted as a single transaction or several transactions that appear to be connected, the

customer's identity and address should be verified.

However, if a bank has reason to believe that a customer is intentionally structuring a transaction

into a series of transactions below the threshold of Rs.50,000/- the bank should verify identity and

address of the customer and also consider filing a suspicious transaction report (STR) to FIU-IND.




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In case of cash transactions below Rs.50,000/- carried out by a non-account based customer that is

walk-in-customer, full details of the customer, including complete address, telephone number etc,

should necessarily be obtained .

NOTE: In terms of Clause (b) (ii) of sub-Rule (1) of Rule 9 of the PML Rules, 2005 banks andfinancial institutions are required to verify the identity of the customers for all international money

transfer operations

Q What is Threshold limit and is Rs 10.00 lacs a default threshold limit ?

Threshold limit means the annual credits expected in a account which can be arrived at, from the

profile of the customer.

It should not be confused with turnover i.e. total of credits and debits in the account. For fixing

higher threshold limits, the officer interviewing the prospective customer must satisfy himself about

the higher limit. It should not be simply fixed on the mere request of the customer.

Earlier the default threshold limit was Rs. 10 Lacs which has since been removed.

It is advised to all Branches to check all accounts at their level and rectify the threshold limit as per

profile of the customers

While there is no restriction on fixing higher limit, it should be backed with additional

information/proof.

Q Is it Mandatory to send Letter of Thanks to the customer and the introducer?

Letter of thanks to the customer and the introducer be sent invariably on the date of opening of the

account itself by Speed Post / UPC and necessary remarks/date in this regard be recorded on the

Account Opening Form under signatures. The format of the Letter of Thanks is already provided the

system.

In case the letter returns undelivered then immediate caution be marked on the account and

necessary steps be taken to safeguard Bank's interest.

Cheque Book / loose cheque be issued to the customer only, where KYC norms are complete, after

obtaining request letter. Subsequent cheque books shall be issued after obtaining request on the

prescribed requisition slip as per instructions.

Q Once KYC requirement are complied with while opening the account, can the Bankask for KYC compliance from the account holder again?

Yes, To ensure that the latest details about the customer are available, branches are advised to

periodically update the customer identification (including photograph/s) after the account is opened.

Full KYC exercise will be required to done at least every TWO years for high Risk Individuals and

entities. (C-3 and C-4)

Full KYC exercise will be required to done at least every TEN years for low Risk Individuals and

entities. (C-1)(Earlier 5 years). But Every three years Positive confirmation i.e. Obtaining KYC

related updates through e-mail/ letter/ telephonic conversation/ forms/ interviews/ visits etc) will be

required




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Full KYC exercise will be required to done at least every EIGHT years for Medium Risk Individuals

and entities.(C-2) (Earlier 2 years) But Every two years Positive confirmation i.e. Obtaining KYC

related updates through e-mail/ letter/ telephonic conversation/ forms/ interviews/ visits etc. will be

required

Fresh Photographs will be required to be obtained from minor customers on becoming major.

Q What is the relevance of Monitoring of Transactions ?

Ongoing monitoring is the essential element of effective KYC procedure. Without regular monitoring

of transactions, all KYC procedures and process will be useless. This is the most important of the

policy that helps banks combat money laundering.

By understanding the normal and reasonable activity of the customer, the banker can easily identify

the transactions falling outside the regular pattern. This can reduce the risk of money laundering

greatly. The extent of monitoring depends on the initial risk categorization of the customer at the

time of initial customer acceptance and preparation of the profile.

In case transactions are noticed in variance with the profile or do not match the customer profile,

the account holder should be contacted for further details to the satisfaction of the branch.

If required, profile should be revised to reflect any change in the status.

Q Is collection of cheque a part of Monitoring?

Collection of cheques in clearing is one area requiring close monitoring. The branch should not

collect any cheques that

they cannot identify with the normal and reasonable activity of the customer, or

when the amount involved is not as per the profile of the customer prepared at the time of

opening of the account.

In all such cases branches must call the customer and ask him to explain the transaction. Such

cheques should not be collected and if collected, proceeds should not be released unless the

customer gives satisfactory evidence for it. Non-collection or non-release of payment should be

informed to the customer at the earliest.

Q What type of transactions are termed suspicious activities/ transactions ?

Examples of suspicious activities/ transactions are activities not consistent with the customers'

business

Corporate accounts where deposits or withdrawals are primarily in cash rather than cheques Corporate accounts where deposits and withdrawal cheques/TTS/inward remittances/any

other means received from/made to sources apparently unconnected with corporate

business/dealings

Unusual applications for DD/TT/PO against cash

Accounts with large volume of credits through DD/TT/PO whereas the nature of business

does not justify the same

A single substantial cash deposit composed of many high denomination notes

Frequent exchange of small denomination notes for large denomination notes or vice versa

Retail deposit of many cheques but rare withdrawal for daily operations




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Examples of Unusual Activities

An account of a customer who does not reside/have office near the branch even though

there are bank branches near his residence/office

A customer who often visits the safe deposit area immediately before making deposits,especially deposits just under the threshold level

An account that has frequent deposits of large amounts of currency bearing the label of

other banks

Funds coming from the list of countries/centres which are known for money laundering

Customer who provides insufficient or suspicious information

A customer/company who is reluctant to provide complete information regarding the

purpose of business, prior banking relationships, officers or directors, or its locations, in this

case the account need not be opened

A customer/company who is reluctant to reveal details about its activities or to provide

financial statements

A customer who has no record of past or present employment but makes frequent large

transactions

Certain suspicious fund transfer activities

Sending or receiving frequent or large volume of cross border remittances- whereas regular

customer transaction for Exporters and Importers are not to be included in this list.

Receiving large TT/DD remittances from various centres and remitting the consolidated

amount to a different account/centre on the same day leaving minimum balance in the

account

Certain employee arousing suspicion

An employee whose lavish lifestyle cannot be supported by his or her salary

An employee who is reluctant to take a vacation

An employee who is associated with mysterious disappearances or unexplained shortages of

significant amount of bank funds

Negligence of employees/wilful blindness is reported repeatedly

Q What are the reports to be submitted under KYC AML Policy ?

Under the Prevention of Money Laundering Act (PMLA) every banking company has to submit

reports to the Financial Intelligence Unit of India (FIU-IND), whenever:

Any large cash transaction takes place

Any suspicious transaction takes place

Any transaction involving counterfeit currency takes place

The PMLA also requires banks to maintain records for a period of 10 years of the following:

1. Record of identity of clients




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2. Record of all transactions reported to FIU-IND

Q What is CTR?

CTR is Cash Transaction report. This report contains:

All cash transactions of the value of more than Rs. 10 Lacs or its equivalent in foreigncurrency, or

A series of cash transactions individually below Rs. 10 Lacs or its equivalent in foreign

currency but integrally connected to each other where such transactions have taken place

within a month

Frequency: Monthly, on or before 15th of every month

Q What is STR?

STR is Suspicious Transaction report. This report contains:

All suspicious transactions whether or not made in cash.

IBA has circulated a list of 61 indicative alert indicators which are system generated. All 61

alerts are to be implemented by March 2014 in Phases.

KYC-AML Cell at Inspection Deptt. Corporate office, circulated the list of transactions under

these 61 alerts to all ROs for their looking into the matter and confirmation, if any

transaction is to be reported under STR.

Frequency: Should be furnished within 7 days of arriving at a conclusion that any transaction,

whether cash or non-cash, or a series of transactions integrally connected are of suspicious nature

Q What is CCR?

CCR is Counterfeit Currency Reports. This report contains:

All cash transactions where forged or counterfeit currency notes or bank notes have been

used as genuine or where forgery of a valuable security or a document has taken place

facilitating the transactions.

Frequency: As and when detected.

What is the meaning of FDI ?

The Foreign Direct Investment means “cross border investment made by a resident in oneeconomy in an enterprise in another economy, with the objective of establishing a lasting interest

in the investee economy.

India is the 3rd largest economy of the world in terms of purchasing power parity and thus looks

attractive to the world for FDI. Even Government of India, has been trying hard to do away with

the FDI caps for majority of the sectors, but there are still critical areas like retailing and insurance

where there is lot of opposition from local Indians / Indian companies.

ORIENTAL BANK MEDICLAIM POLICY




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Oriental Bank of Commerce signed an agreement with The Oriental Insurance Company Ltd.

tolaunch "ORIENTAL BANK MEDICLAIM" Policy on 3rd Oct. 2011. The Product is designed

exclusively for the A/c Holders of OBC and is available in all OBC Branches across the country.

SALIENT FETURES:

A family floater scheme covering 4 family members (Proposer + Spouse + 2 dependent Childrenaged 3 months to 26 years).

Age group covered - 3 months to 79 years.

No Pre - medical examination required, only declaration.

Cash less facility available at network hospitals.

Cover available for Minimum Sum Insured of Rs.1 Lac, up to Rs. 5 Lac, in multiple of Rs.1.00 Lac.

The Premium Structure (Inclusive of Service Tax) is as under:

Sum-Insured Premium(Including S. Tax)

Rs. 1 Lac Rs 1783

Rs. 2 Lac Rs 3384

Rs. 3 Lac Rs 4709

Rs. 4 Lac Rs 5890

Rs. 5 Lac Rs 6960

Income Tax benefit under 80D of the IT act.

Basel-III (Some features)Guidelines on the implementation of BASEL III Capital Regulations were released by the ReserveBank of India (RBI) on May 2, 2012. Implementation of these guidelines will begin April 1, 2013 andthe process will be completed by March 31, 2018.

Basel -II Basel-IIIPillar-I : Minimum CapitalRequirements

Pillar-I: Enhanced Minimum Capital &Liquidity Requirements

Pillar-II: Supervisory Review Process Pillar-II: Enhanced SupervisoryReview Process for Firm-wise RiskManagement & Capital Planning

Pillar-III:Disclosure & market Discipline Pillar-III: Enhanced Risk Disclosure &Market Discipline

Highlights Banks required to maintain a minimum 5.5% in common equity (as against the current

3.6%) by March 31, 2015 Banks to create a capital conservation buffer (consisting of common equity) of 2.5% by

March 31, 2018 Banks to maintain a minimum overall capital adequacy of 11.5% (against the current 9%)

by March 31, 2018 Risk-based capital ratios to be supplemented with a leverage ratio of 4.5% during parallel

run

A countercyclical buffer within a range of 0% - 2.5% of common equity or other fullyloss absorbing capital will be implemented according to national circumstances. Thepurpose of the countercyclical buffer is to achieve the broader macro prudential goal of

protecting the banking sector from periods of excess aggregate credit growth




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Bharatiya Mahila Bank :

The country‟s first pan-India national women‟s bank launched in Mumbai. Bharatiya Mahila Bankhas been set up with an initial paid-up of Rs 1,000 crore. Led by Usha Ananthasubramanian, all the

eight on the board of directors of the bank are women. The bank aims to increase its branch countto 25 by March 2014. All seven branches of the Bank are in urban centers- Kolkata, Mumbai,Lucknow, Guwahati, Chennai, Bangalore and Ahmedabad. India's first ever state-owned women'sbank inaugurated in Mumbai and even though the bank will focus on lending predominantly towomen, there will be no restriction on account opening ( deposits) by men. "We welcome both menand women to open accounts with us but for loans there will be a positive bias towards women,said Usha Anantha subramanian the chairperson of the Bharatiya Mahila Bank. So basically,deposits will flow from everyone, but lending will be predominantly for women.

THE LOKPAL BILL , 2013

The Lokpal Bill, 2013, also referred to as The Lokpal and Lokayuktas Bill, 2013, is an anti-corruption Bill.

Following are some important features of the Lokpal Bill :

** Lokpal at the Centre and Lokayukta at the level of the states.

** Lokpal will consist of a chairperson and a maximum of eight members, of which 50 per cent shall

be judicial members.

** 50 per cent of members of Lokpal shall be from SC/ST/OBCs, minorities and women.

** The selection of chairperson and members of Lokpal shall be through a selection committee

consisting of Prime Minister, Speaker of Lok Sabha, Leader of Opposition in the Lok Sabha, Chief

Justice of India or a sitting Supreme Court judge nominated by CJI, eminent jurist to be nominated

by the President of India on the basis of recommendations of the first four members of theselection committee.

** Prime Minister has been brought under the purview of the Lokpal.

** Lokpal‟s jurisdiction will cover all categories of public servants.

** All entities receiving donations from foreign source in the context of the Foreign Contribution

Regulation Act (FCRA) in excess of Rs 10 lakh per year are brought under the jurisdiction of Lokpal.

** Provides adequate protection for honest and upright public servants.

** Lokpal will have power of superintendence and direction over any investigation agency including

CBI for cases referred to them by Lokpal.

The Banking Laws (Amendment) Bill, 2012The key amendment brought in under the Bill and its effect on the Indian banking sector as awhole.

AMENDMENTSPowers Granted to RBI Under The Bill New Bank Licenses and Greater Regulatory Oversight.

The Bill enables the Reserve Bank of India (RBI) to issue new bank licenses to corporate houseswhich will give the RBI greater regulatory oversight over local banks & the ability to overruleboard of directors of a banking company for not more than 12 months and appoint anadministrator for managing the company during that period.

The Bill also seeks to increase the rates of existing monetary penalties that RBI can impose on a




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bank if it disobeys RBI rules, directives or gives false information. These amendments shall beconducive to the changing banking scenario because with the issue of new banking licenses theneed shall arise for greater regulatory control.

Acquisition of Shares and Voting RightsPrior approval of RBI shall be needed for acquisition of 5% or more of shares or voting rights in

a banking company by any person. The RBI shall be empowered to impose such conditions as itdeems fit in this regard.

Amendment Related To Public/Private Sector Banks Revised Voting right

Private Sector Banks: The Bill increases shareholders' voting rights from 10 per cent to 26per cent in private sector banks, making investment attractive for foreign players.

Public Sector Banks: This Bill also enables the government to raise voting rights in PSBs to 10(ten) per cent from the current 1 (one) per cent, acceding partially to foreign investors'demands to have more say in Indian banking.

In the shareholders meeting voting is done on many issues (for example election of Board ofDirectors, Changing name of the Company etc.) but in case of public banks the shareholdershave only 1% voting right irrespective of number of shares held so they cannot heavilyinfluence any decision. So this amendment will make the voting rights proportional to thenumber of shares held by shareholders and will attract foreign investors to invest in Indianbanks.

Banking Merger

The Competition Commission of India will approve M&A (Mergers and acquisitions) in banksexcept in the case of banks that are under trouble. In such cases, the RBI will have the finalauthority,

Raising Investments

The Bill enables the nationalized banks to raise capital through "bonus" and "rights" issue andalso enable public sector banks to increase or decrease the authorized capital with approvalfrom the Government and RBI without being limited by the ceiling of a maximum of Rs. 3000crore under the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970/1980.

CTR is Cash Transaction report. This report contains:

All cash transactions of the value of more than Rs. 10 Lacs or its equivalent in foreign

currency, or

A series of cash transactions individually below Rs. 10 Lacs or its equivalent in foreign

currency but integrally connected to each other where such transactions have taken placewithin a month

Frequency: Monthly, on or before 15th of every month

STR is Suspicious Transaction report. This report contains:

All suspicious transactions whether or not made in cash.

IBA has circulated a list of 61 indicative alert indicators which are system generated. All 61

alerts are to be implemented by March 2014 in Phases.




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KYC-AML Cell at Inspection Deptt. Corporate office, circulated the list of transactions under

these 61 alerts to all ROs for their looking into the matter and confirmation, if any

transaction is to be reported under STR.

Frequency: Should be furnished within 7 days of arriving at a conclusion that any transaction,

whether cash or non-cash, or a series of transactions integrally connected are of suspicious nature

UNIQUE ID TO CUSTOMERS

The Reserve Bank has extended the deadline for banks to complete the process of allotting aunique customer identification code to their customers to March 31, 2014.

Banks, however, will have to allot the Unique Customer Identification Code (UCIC) to all customerswhile entering into new relationships.

The increasing complexity and volume of financial transactions necessitate that customers do not

have multiple identities within a bank, across the banking system and across the financial system,RBI had said.

The objective of the UCIC is to help banks identify customers, track facilities availed, monitorfinancial transactions in a holistic manner and to have a better approach to risk profiling ofcustomers.

It also helps to smoothen banking operations for the customers.

CENTRAL REGISTRYPursuant to the announcement made by the Finance Minister in the budget speech for 2011-12,

Government of India, Ministry of Finance notified the establishment of the Central Registry. Theobjective of setting up of Central Registry is to prevent frauds in loan cases involving multiplelending from different banks on the same immovable property. This Registry has becomeoperational on March 31, 2011. The Central Registry of Securitisation Asset Reconstruction andSecurity Interest of India (CERSAI), a Government Company licensed under section 25 of theCompanies Act 1956 has been incorporated for the purpose of operating and maintaining theCentral Registry under the provisions of the Securitisation and Reconstruction of Financial Assetsand Enforcement of Security Interest Act, 2002 (SARFAESI Act).The records maintained by the Central Registry will be available for search by any lender or anyother person desirous of dealing with the property. Availability of such records would prevent fraudsinvolving multiple lending against the security of same property as well as fraudulent sale of

property without disclosing the security interest over such property. It may be noted that under theprovisions of Section 23 of the SARFAESI Act, particulars of any charge creating security interestover property is required to be filed with the Registry within 30 days from the date of creation.

The Central Registry has been set up for the purpose of Registration of(a) Security interest over Property (b) Transaction of securitization (c) Asset reconstructionNOTE : In all the cases where equitable mortgage is created, the same has to be first registered inCERSAI before any disbursement of loan w.e.f 01.12.2014




DISCLAIMER: The contents in this booklet are based on Informationcollected from various sources which we believe to be reliable. However,we do not hold ourselves responsible for any short comings or errortherein.

Promotion March2016 Final Updated Upto 24-02-2016

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Transcript of Promotion March2016 Final Updated Upto 24-02-2016