Credit Delivery Mechanism
1. Submission of application
The promoter is required to submit his/her written proposal to the Dy General Manger of the Credit Department on the loan request. A brief interview is conducted by the DGM for submission of the proposal to the Credit Committee Meeting, and then the promoter he is required fill the Loan application form.
2. Credit Committee Meeting (CCM)
The CCM of the Credit Department is held every working Friday. It can be deferred. The agenda circulated by the DGM is discussed at length as to whether we should consider the request for further appraisal of the project.
3. Information to the client
The promoter will be informed on the decision of the CCM. The promoter is required to submit the following document to the concerned officer: * Loan clearance of the other Financial Institutions * Copy of I.D card * Copy of the trade license * Passport photo
4. Appointment of the Project Officer
After the discussion at the CCM, a Project Officer will be appointed for every client to appraise the project and check the feasibility of the proposal submitted. The PO is required to do a through feasibility on technical, financial viability of the project before submitting for approval.
5. Project Site Visit
On completion of the feasibility, the Project officer is required to go personally to the project site and see the real life situation of the unit.
6. Approval of the Project
Once the feasibility is thoroughly done by the Project Officer, then it is once again submitted back to the management for final approval.
7. Loan Documentation
Once the Project Officer obtains the approval of the project then the officer concerned is required to do the documentation of the Loan document for the project. Loan document of the project: * Sanction Letter * Undertaking * Agreement * Mortgage Bond * Registration of mortgage * Insurance of the mortgage document
8. Filing of the Loan document
The Loan documents are made in sets of two and one retained with the project and the original set is filed with the Legal department. The legal department will scrutinize the documents and on its satisfication then issues us the legal clearance for disbursement of loan.
9. Loan Disbursement
On the project proposal being approved then the fund booking will have to be done with the finance for the final disbursement of the loans.
10. Supervision and Monitoring of the project funded by BDFCL
The Project Officer is required to look after his/her project till the tenure of the loan and supervision and monitoring must be done from time to time.
11. Recovery and Follow up
The project Officer is required to do the recovery of the loan on quarterly basis.
