PROJECT REPORT

ON
VARIOUS LOAN SCHEME FOR RURAL
AND SEMI URBAN PEOPLE IN
MAHINDRA FINANCE

Summer Training Project Report

Project done by
PONNIEN SELVAN K.

UNDER THE GUIDANCE OF

Mr. K. ANNA B.A, B.L
(LEGAL OFFICER, MAHINDRA FINANCE,
PUDHUCHERRY)
 CERTIFICATE

This is to certify that Mr. PONNIEN SELVAN K. student of

M.B.A. has completed his Project Work on various loan
scheme for rural and semi urban people in Mahindra finance
under my guidance. This project work is adequate and
satisfactory for the purpose of acceptance as per the
requirement of M.B.A summer training.

Place: Pudhucherry
Date : 10 JUNE 2010
Examiner Mr. K. ANNA
B.A, B.L
DECLARATION BY THE CANDIDATE

I hereby declare that the summer internship entitled various loan

scheme for rural and semi urban people Mahindra finance which
I am submitting to the Institute of cooperative Management of
Madurai, for MBA. This is my own and it has not been
submitted to any other Institute or University in India or
abroad for any course.

Place: Pudhucherry
Date: 10 JUNE 2010

Candidate Signature
 MAHINDRA FINANCE

Mahindra and Mahindra Financial Services Limited is one of India’s

leading non-banking finance companies. Through a vast network of
branches, we provide personalized finance for the widest range of utility
vehicles, tractors and cars, focusing on the rural and semi-urban sector.
MMFSL’s rural financing is considered as the cornerstone of poverty
reduction, rural development and inclusive growth in many parts of the
country. With a majority of our country’s population living in rural India, our
loans to over 10, 00, 000 customers belonging to the low income groups
have proved to be a catalyst in helping rural India surge ahead in a big
way. Our unique business model is socially inclusive as we help customers
who are at the bottom of the income or social pyramids to grow by
providing them loans based on their future earning capacities. It is also our
continuous Endeavour to develop skill sets at the local level. We currently
provide employment to over 6200 people who belong to the areas in which
we serve, ensuring that our employees truly understand their customers.
Since 1945, we, at the Mahindra Group, have remained and will continue to
remain partners in the progress of rural India, through both growth and
turbulence. We salute the spirit of every Indian living off the land and move
ahead, trying to understand the financial needs of rural India and tapping
into this vast market of unbounded opportunities.
Our goal is to be the preferred provider of retail financing services in the
rural and semi-urban areas of India, while our strategy is to provide a range
of financial products and services to our customers through our nationwide
distribution network.

Vision
CORE VALUES OF MAHINDRA FINANCE
 SERVICE OFFERINGS
With an extensive range of products and services, we at Mahindra Finance,
make sure that there’s something that suits everyone’s needs. Our
products and services are considered instrumental in the rapid
development of rural as well as semi-urban India.
Here’s a list of products and services offered by MMFSL:

Utility Vehicles:
Our attractive schemes for multi-utility vehicles have helped many
entrepreneurs to transform their dreams into reality. We provide finance for
the entire range of Mahindra Utility Vehicles and also provide trade
advance facilities for dealers.

Tractor Loans:
With the majority of our country’s population engaged in farming and
agriculture, our farm equipment loans have proven to be a major catalyst in
helping rural India surge ahead. The widest range of tractors of the
Mahindra, Swaraj & Shaktiman brands is financed by our highly customized
loans.
Car Loans:
We are the preferred financier for M&M as well as all other small car
manufactures in the country— Hindustan Motors, Hyundai, General Motors,
Maruti Udyog Limited. The loan obtaining process ensures maximum
flexibility, minimum paperwork and highly customized loans to suit our
customers’ needs.

Two-Wheeler Loans:
For a wide range of two-wheelers which include motorbikes, mopeds,
scooters or scooterettes, we make sure that our customers are offered
speedy loans with flexible repayment options. We also provide loans to
women customers at special rates and offer fast approvals for the same.

Three-Wheeler Loans:
Our customized financial options and quick process of sanctioning a loan
makes acquiring a new three-wheeler easier than ever before. A wide
range of Mahindra three-wheelers are financed with flexible repayment
options and minimal documentation.
Refinance:
We provide fast and easy financial options to purchase used cars, utility
vehicles, commercial vehicles and tractors. We also provide expedient
loans against an existing car, utility vehicle and other commercial vehicles.

Commercial Vehicle Loans:

At Mahindra Finance, we also provide commercial vehicles and
construction equipment loans. Commercial vehicles include trucks, buses,
tippers, excavators, light commercial vehicles and more. We fund new
vehicles as well as old ones and even top-up existing loans.

Construction Equipments:
Customers in need of construction equipments can avail of our range of
flexible loans, and simple loan process. We also extend financial
assistance for buying second hand commercial vehicles.
Home Loans:
Mahindra Rural Housing Finance, a subsidiary of MMFSL, provides cost
effective and flexible home loans to a wide base of customers and semi-
urban India. Loans are provided for home construction, purchase,
extension and improvement.

Investment Advisory Services - Mutual Fund Distribution

Our investment advisory services help customers invest their money in
equity through different Mutual Fund Schemes. We assure our client’s high
returns by identifying products compatible with their appetite for risk and
best suited for their needs.

Personal Loans:
Now customers will never have to worry about that extra amount needed to
fulfill all their needs. Be it Marriage related expenses, Children’s higher
education, Medical treatment, Agricultural needs or just a temporary
requirement of money.

Insurance:
Mahindra Insurance Brokers Ltd., a subsidiary of MMFSL, provides
comprehensive Insurance solutions that are highly customized to give you
the most suitable options that fit your requirements. MIBL undertakes direct
insurance broking business, both in the Life and Non-Life insurance
segments with a focus on Retail and Commercial lines of businesses.
 UTILITY VECHICLE LOANS: FEE AND CHARGES

Margin
New Vehicles: Minimum 15% to 20% of the on the Ex-showroom
Price.

Repayment
Enjoy Repayment period up to 5 Years with us.

Repayment period:
For Utility Vehicles: Maximum 60 months

Interest
Interest Rates will vary based on

 Product Application.
 Profile of Customer.
 Repayment Tenure.
 Geography

However our rates are comparable with the best in the industry.
 TRACTOR LOANS

Buying your Mahindra tractor and trailer has never been easier.
Understanding the needs of rural India, we have customized our
loans to take into consideration specific requirements. This has
resulted in a smooth, simple and stress-free process of obtaining
a loan.
Loans available for widest range of tractors for the Mahindra,
Swaraj & Shaktiman brands

1) Quick disbursements within two days after loan approval

2) Flexible documentation system reduces the paperwork

3) Strong network of branches in rural and semi-urban India

4) Stress-free loan sanction without the mortgaging of land

5) Convenient monthly, quarterly & half yearly repayment

options available
 TWO WHEELER LOANS

Now you can purchase the motorbike you have always wanted.
We have a two wheeler in place to suit your needs. Our two
wheeler loans are broadly divided into three categories with
different tenure options and charges applicable. We offer you
quick loan approval with very reasonable interest rates.

Quick and efficient approvals of your loans

Simple categorization of loan schemes into Metro and Non-Metro

to understand the tenure and loan charges better

Special rate of 0.5% for women customers

Maximum funding of up to 75% on LTV

Flexible repayment option, ranging from 12, 18 to 24 months

Convenient Rate of interest between 13.50% - 16.00% based on

your eligibility and track record

Nominal and competitive service charges will be applicable

 THREE WHEELER LOANS

With our customized financial options and our quick process of

sanctioning a loan, acquiring your new three-wheeler may have
become easier than you ever expected. From a range of
Mahindra Three-wheelers, now choose the one that suits you the
best.

Widest range of three-wheelers in India covered by our finances

Flexible repayment options, ranging from 12 to 36 months

Speedy processing system sanctioning the loan within 48 hours

Convenient repayment of loans with easy EMIs

Attractive three wheeler loan plans allow you to choose a plan
that suits your needs

Competitive Interest rates for all three wheelers

Hassle-free documentation process offers you maximum flexibility

Repayment options include ECS, Cheque, Draft/Pay order or

even Cash.