Citifinancial File Completed

Strategic Alliances__Loan Mitra
SUMMER TRAINING
REPORT
STRATEGIC ALLIANCES
OF
LOAN MITRA
A training report submitted in partial fulfillment of the requirement for the degree
of
MASTERS OF BUSINESS ADMINISTRATION
SUBMITTED BY
RAHUL DHAR
20-MBA-06
THE BUSINESS SCHOOL

UNIVERSITY OF JAMMU
CERTIFICATE
This is to certify that the Summer Project work of Mr. / Ms

___________________________ entitled
_______________________________________________ is a bona-fide piece of work
and that this work has not been submitted elsewhere in any form earlier. The project work
was carried out during _______ to _______ in _________________________ (Name of
the Organisation)
Date:
RAHUL DHAR
20-MBA-06
Batch 2006-08
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UNIVERSITY OF JAMMU
ACKNOWLEDGEMENT
Interdependence is a higher value than independence. This

concept flows in the organizational climate of Citifinancial
and we learnt a lot in this environment created by people
who are responsible for such a great corporate environment.
We are grateful for the wisdom and help of many who helped
us in our training program .
We are thankful to Mr.Sudhir Menon (Sales Head

Punjab) who had given us an opportunity to do the summer
training. His constant support kept us motivated. We are also
thankful to Mr.Ankur Pal (Manager Distt. Ludhiana) for his
constant help during these two months without,which it
would definitely have been difficult. We under his supervision
were turned from students to professionals . I would like to
thank Mr.Amit sharma (BM Kitchlu Nagar) who gave me the
project and made me understand various tacks of the
business. Also I am grateful to Mr. Amit Sharma (marketing )
who took time to teach me marketing concepts and
welcomed all my questions .
Rahul Dhar
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CONTENTS
• SUMMARY
• ABOUT CITI GROUP
• HISTORY OF CITI GROUP
• CITIFINANCIAL INDIA
• PRODUCTS OFFERED BY CITIFINANCIAL INDIA
• BUSINESS
• ABOUT THE PRODUCT
• MARKETING MODEL FOR CITIFINANCIAL
• MARKETING METHODOLOGY
• INGREDIENTS OF TEAM BUILDING &
MAINTENANCE:
• STRATEGIES - CITIFINANCIAL Vs COMPETITORS
• LOAN MITRA
• APPOINTMENT OF THE LOAN MITRA

• PROCESS
• LOAN MITRA TIE UP PROCESS
• HOW DOES IT WORK
• CREDIT PROCESS (NEW BORROWER
PROGRAME PROCEDURE)
• CREDIT PROCESS (EXISTING BORROWER--PL)
• PROCESS FLOW
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• CREDIT PROCESS
• WHY DO THEY JOIN?
• CROSS SELLING
• PREREQUISITES FOR A GOOD LM’s IN MAKING
NEW CUSTOMERS
• LEARNINGS FROM THE PROJECT
• PROCESSES LEARNT DURING THE TRAINING
• TOWS ANALYSIS OF CITIFINANCIAL:
• CONCLUSION
• DEFINITIONS:
• REFERENCES
• APPENDIX 1 HISTORY
• APPENDIX 2 Regulatory and Other Measures for
NBFC
• APPENDIX 3 PRIVACY AT CITIFINANCIAL INDIA
SUMMARY
You are in need of some money urgently as your
daughter has got admission to study in a US university.
However, she is not getting a scholarship right away. Also,
your company does not have a scheme for giving loans to its
employees. The fixed deposit amount in your bank is not
enough and you do not expect to receive a windfall by way
of a lottery or a will. So what would you do?
Perhaps, the personal loans offered by banks/ NBFC’s

are for you. These loans, as opposed to others, can be used
for anything – for your daughter’s marriage to repairing your
house. And getting it is quite easy. A salary slip, proof of
personal identity and signature will just be fine. Other things
necessary could be a passport sized photograph and credit
card statement.
Lending of money is a very old business, but what we

had was an unorganized business. If I am not wrong it was a
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business many detested .The reason was the high amount of

interest that was associated with it .But this sector has
grown into an organized sector regulated by law. The banks
were the first to start the lending business. Now the non
banking financial institutions have joined the race for
providing the advances to the common people apart from
the business institutions .The main reason is the high growth
of the Indian economy Many businesses are growing ,people
are having the ability to pay and the increasing incomes of
the middle class are being matched with their desires.
Citifinancial is an NBFC that provides personal loans.

The best part is that it does not ask for a security. It provides
loans on the basis of the paying ability of the customer.
During the training I came into direct exposure of

working with the sales force and guiding them and taking
decisions. I had to lead a team of DSA’s .During the initial
part of the training I worked as a CRM, team leader and even
as a DSA, so as to get a good feel of the work. Sine the
branch which was allocated to me was new ,a lot of other
thing were going on .The branch had not achieved
breakeven point were the initial expenses were recovered
from the sales .Since the Citifinancial works on the Branch
Network model , every branch has to reach a point were its
expenses of operation are recovered from the sales .
The next part was allocating different Loan Mitras .Loan

Mitras are a part of the strategic alliances of the
Citifinancial. There are a lot of marketing alliances of
Citifinancial.they include Graihlakshmi,various alliances like
Big Bazzar,Vishal Mega Mart etc .i worked on Loan Mitra
channel and the Graihlakshmi channel. Initially I worked with
the Loan Mitra channel. I had to appoint Loan Mitras who
would bring in business for my branch. The Loan Mitra
channel is a concept that tried to catch the footfall on a retail
shop. As we know that there are a lot of people who come to
collect their groceries at a retail shop .This place is a good
spot to capture the attention of the customer .Under this
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channel we made these mom and pop retailers as associates

who would help us making these customers understand our
product and help it to sell.Under the Graih lakshmi channel
we targeted the ladies who wanted some extra cash and had
a good social circle .These women were called HBD’s .They
were given a monthly pay for providing the loans. While in
the case of the Loan Mitra payout was totally commission
based .
The process included explaining the product .
Explaining the commission .
Explaining the benefits of the channel.
Explaining the process of Loan disbursement.
In the end all the Loan Mitra’s and Graihlakshmi’s were

handled by the main branch marketing manager. A proper
scanning of the channel mates was done .All the details of
LM’s and HBD’s was sent to the Delhi branch and they were
updated on the computer so that they became the part of
the existing MIS.
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Our growth over the years has been extraordinary.

Despite this empirical record, we are sometimes asked: Can you
still grow? Are you too big to grow? Are you dependent on
“big deals” for too much of your growth?
- Chuck Prince, CEO and Bob Willumstad, CFO

in 2003 Annual Report
Beth Markle1 put down the phone, and quickly jolted

down several talking points on her legal pad for the next
meeting. She had just spoken with the manager of a new
Citibank retail branch in Brooklyn. As Citibank N.A.’s Director
of Product and Marketing, Markle is responsible for deciding
whether or not Citibank retail branches nationwide would
begin offering free checking to all customers. Admiring the
view of Lower Manhattan skyline from her office on the 37th
floor of Citigroup Tower, she wondered what the banking
landscape would look like 10 years from now.
As more and more financial institutions began to offer

free checking, Citigroup – the most profitable company in the
world in 2003 – felt more and more pressure to make a
decision. Markle had mixed feelings about free checking. On
one hand, it would attract more customers, but on the other
hand, it could hurt Citibank’s brand. “We do not want to just
‘follow the herd’. We want to make our own decision based
on what is right for us,” Markle said, “However, it is time to
make a decision.”
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Citigroup
In 2004, Citigroup was the largest U.S. bank holding

company and a leading global financial services firm.
Headquartered in New York, it had a presence in more than
100 countries across six continents, where its 275,000
employees managed 200 million customer accounts. Its
services included credit cards, consumer finance, retail
banking, corporate and investment banking, retail
brokerage, life insurance and investment management.
Major brand names under Citigroup’s trademark red
umbrella included Citibank, CitiFinancial, Primerica, Smith
Barney, Banamex, and Travelers Life and Annuity
Founded in 1812 with $2 million authorized capital and

$800,000 paid-in capital, the City Bank of New York opened
for business to serve a group of New York merchants. Over
the next century, the bank continued to expand and diversify
its product line and services, serving businesses as well as
individuals. By 1929, it became the largest commercial bank
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in the world with over $1 billion in assets, with offices in

Asia, Europe and India. In 1976, the bank changed its name
to Citibank, N.A. (National Association), following its parent
holding company’s change to Citicorp two years ago to
“better suit its global business”
Major Events
Citicorp-Travelers Merger
On October 8, 1996, Citicorp and the Travelers Group

completed their $70 billion merger to form Citigroup, Inc.
Citicorp was then the 2nd largest commercial bank and
Travelers Group a leading global insurance and investment
banking firm. Such alliance between a commercial bank and
an insurance company or an investment bank was previously
illegal to prevent a conflict of interests2. The Citicorp-
Travelers merger thus represented a new era of horizontal
expansion. As an equal merger, the CEOs of the two
companies - Sanford (Sandy) Weill of Citicorp and John Reed
of Travelers - became co-CEOs. However, the configuration
did not work out, and Reed resigned in February 2002.
Expansions and Acquisitions after the Merger
Under the leadership of Weill, Citigroup’s acquisition

spree began. In the first couple years, its drive for “a
relentless focus on growth, aiming to increase earnings by
double digits on average”3 was fulfilled by acquiring or
becoming the major stakeholder in over a dozen
international banks and brokerages, including Nikko Beans, a
Japanese online brokerage firm, Bank Handlowy w Warszawie
SA, a leading corporate bank in Poland, Mexico's "Banacci"
(Grupo Financiero Banamex-Accival) and the majority of
Diner’s Club Europe.
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It had three major acquisitions in the U.S. In July 2001,

Citigroup acquired the full-service commercial bank
European American Bank, adding 97 branches in the New
York Area4. Four months later, it acquired Golden State
Bancorp, the parent company of First Nationwide Mortgage
and Cal Fed, adding 352 branches and approximately 1.5
million new customers in key California and Nevada markets.
At the May 29th, 2003 Investor Presentation, Bob Willumstad,
President of Global Consumer Group, announced the
company’s intentions to expand distribution by market
share, geography and the Hispanic market. In January, 2004,
it announced the acquisition of Washington Mutual Finance.
California Free Checking Trial
As a result of the acquisition of Golden State Bancorp,

all Citibank branches in California began offering free
checking. The decision was made because there was “no
choice”, according to Markle. California customers were used
to free checking, and it would be impossible for Citibank to
compete if they did not offer a comparable package. No
affects were observed on Citibank branches that switched to
free checking, and customers were reported to not notice a
difference.
Enron Litigation
In 2002, former Salmon Smith Barney was under

investigation for involvement in the Enron corporate fraud
trial. On April 28, 2003, Citigroup announced that Citigroup
Global Markets, Inc. (formerly Salomon Smith Barney) had
reached an agreement with the New York Attorney General
and regulators to resolve outstanding investigations into
research, IPO allocation, and distribution practices. On July
28, 2003, it agreed to pay over $130 million in fines to the
Securities and Exchange Commission and the New York
State. As part of the agreement, Weill would not be charged
4
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and Citigroup was not liable for any wrongdoings, however, it

had issued statements of regret to customers and investors.
New Leadership
On October 1, 2003, Charles O. (“Chuck”) Prince

succeeded Weill as Chief Executive Officer of Citigroup, and
Robert B. Willumstad, President, added Chief Operating
Officer to his role. Mr. Weill would remain Chairman of the
Board until the 2006 annual shareholders meeting.
Citibank Consumer Retail Banking
Retail banking was the 2nd biggest grossing product line

in the Citigroup family, just after its world leading credit card
business. It had a net income of $4.2 billion in 2003
Citigroup’s retail banking offered banking, lending, insurance
and investment services to individual consumers around the
world. It had 3,100 retail bank branches, 9,800 ATMS, online
services as well as a network of Priamerica independent
agents worldwide5.
Citigroup’s retail banking boasted many successful

innovations; in the early 1920s, it was the first national bank
to offer services to consumers; in 1961, it created the
Certificate of Deposit and in the late 1970s it widely
deployed and popularized the use of 24-hour ATMS in the
U.S.
However, it took them over a decade to launch a fully

integrated Internet service. Citigroup’s size had created a
hurdle for integration of its many financial services onto one
single Web portal. As other national and regional banks
began to offer the technology to consumers, Citigroup was
still trying to create a “new standard”. It launched the award-
winning CitiDirect in late 2000. However, it is estimated that
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fewer of its consumers actually conduct transactions online

than Bank of America and Wells Fargo.
Markle joined the managerial associate program after

graduating from business
school in 2000. At the end of the comprehensive training
program, she chose to work in the Marketing Division of
Citibank. As the Director of Product and Marketing, Markle’s
marketing team is responsible for working out the overall
marketing strategy nationwide, in key markets and by
market segment. Some major concerns in her job included
the acquisition and retention of customers.
“Citi, Live Richly” campaign
Citigroup gave the impression of an elite bank. Its

average borrower in North America belonged to the “Middle
America” - 47 years old with an income of $43,000 to
$57,000 a year, married with a house and 14 years of
schooling.
To leverage upon its brand and international presence,

and to emphasize itself as a one-stop financial service
provider, in mid-2003, Citigroup ran a series of
advertisements with a tag line of “Citi, Live Richly”. Gracing
bus stops and billboards, the posters all had a uniform
simple design and carried messages emphasizing quality
time with your family and yourself. The large posters had a
white background, a distinct red arch over the royal blue
“Citi, live richly” letters. The visible campaign drew attention
to Citigroup’s new focus on promoting the idea of asset
management to mass consumers as well as young, urban
consumers
Retail Banking Fundamentals
Retail banks provided services to a diverse clientele

with a vast range of needs in the business of retail banking.
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When retail bank personnel reviewed customers, they looked

at the prospect of gaining revenue, the actual cost to serve a
customer, and finally profitability. Numerous different
variables were taken into account when determining how
profitable a customer would be. A customer would be more
profitable to a bank if the customer kept a higher balance in
the account. Similarly, one who performed most of his
transactions online, and thus eliminated the paper and bank
employee aspect of a transaction, would be more profitable
to a bank.
Revenue
In its most basic form, one of the two components that

retail banks viewed when assessing their business was the
revenue that could be gained from a customer. Customers
generated revenue for the bank in three basic ways: loan
interest, fee income, and investment income resulting from
deposit balances. Loan interest generated the most revenue
for retail banks. Therefore, banks were very conscious of
how this area affected the overall picture. Fees were
generally levied for checking accounts, late payments, and
overdrafts.
Cost to provide services
On the contrary, customers also cost retail banks money.

The second component was the total cost of services.
Similarly, there were three general costs that a bank must
incur while providing services to customers: interest on
savings accounts and certificates of deposit, transactions,
and fixed costs. Each time a transaction occurs, a bank must
pay a fee. As mentioned earlier, online transactions are less
costly than teller transactions. The art of successful retail
banking, as with any business, became maximizing the
profits gained and minimizing the cost of providing services
to a customer.
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Source: REF 1
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History of
Pioneering Beginning
Founded by Alexander Duncan as Commercial Credit in
1912, our company was a pioneer in the consumer finance
industry. In 1916, we offered an installment loan program to
help people purchase what was then an exciting new
invention - the automobile. That led to the development of
installment buying plans for home appliances and other
consumer goods.
Growing with America

In the next decades, the firm acquired a major credit insurer
and a casualty insurance company. In 1944, we organized an
insurance unit that later became American Health & Life
Insurance Company. In 1968, Commercial Credit became a
wholly owned subsidiary of Control Data Corporation.
Going Public
Wall Street legend Sanford I. Weill assumed control of the
operations of Commercial Credit in 1986 and took the
company public. Within two years, the company acquired
Primerica Corporation, the parent company of several
investment, financial services and insurance firms, including
the well-known Smith Barney.
Joining the Travelers Group

In 1992, Primerica purchased 27% of Travelers Insurance, a
company with one of the most recognizable logos in the U.S.
- the red umbrella. Less than a year later, Primerica
purchased the remaining 73% of Travelers, which later
adopted the name Travelers Group. In subsequent years,
Travelers Group acquired Shearson-Lehman's retail
brokerage, Aetna's property and casualty business, Security
Pacific Financial Services, and Salomon Brothers, creating
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the nation's third largest investment house - Salomon Smith

Barney.
The Creation of Citigroup

In 1998, Travelers Group merged with banking powerhouse
Citicorp to create Citigroup, a global financial services
company serving 20 million customers worldwide. Citigroup's
businesses include asset management, banking, credit and
charge cards, insurance, investments, investment banking
and trading.
An International Company with a New Name

In 1999, we purchased 128 offices of Texas-based Associates
First Capital, giving us more than 2,000 offices in 45 states.
We then turned our focus to Canada, buying Associates First
Capital offices there. In September, we changed our name to
CitiFinancial® to proudly recognize our affiliation with our
parent company and to better reflect what we do today. As a
member of Citigroup, we continue to provide you with a full
range of exceptional products and services to help you find a
financial solution that's right for you. Citigroup is the world's
most global financial services company whose other
subsidiaries include Citibank, Travelers Life and Annuity,
Smith Barney, and Primerica.
A Global Leader in the New Millenium

In November of 2000, Citigroup acquired Associates First
Capital Corporation; the largest publicly traded finance
company in the U.S. with managed assets of more than $100
billion and 2,750 offices in the U.S. and 13 other countries.
The Associates has a particularly strong presence in Japan
and in Europe, where it has more than 700,000 customers.
This transaction marked a defining moment in Citigroup's
history, building upon its leadership position in the global
economy.
Spin-off Plans Ensure a Bright Future

At the end of 2001, Citigroup announced its plans to spin off
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its wholly owned subsidiary Travelers Property Casualty

Corporation by selling up to 20% in an initial public offering
and spinning off its remaining majority interest on a pro-rata
basis to Citigroup shareholders in a tax-free transaction. The
initial public offering took place in the first quarter of 2002,
with the spin-off concluded at year-end 2002. Citigroup units
will continue to offer Travelers Property Casualty products.
The spin-off enables Citigroup to focus its resources more
fully on higher growth areas of global financial services and,
at the same time, positions Travelers Property Casualty as an
independent public company.
Crossing Boarders
In the third quarter of 2001, Citigroup purchased Mexico's
"Banacci" (Grupo Financiero Banamex-Accival), renamed it
Grupo Financiero Banamex and integrated operations in
Mexico under the Banamex brand name. It is the largest
foreign acquisition in Mexico and largest financial sector deal
ever in Latin America.
Expanding our Reach

In the third quarter of 2002, Citigroup completes the
acquisition of Golden State Bancorp, parent company of First
Nationwide Mortgage and Cal Fed, second-largest U.S. thrift.
The transaction enabled Citibank to expand its retail
distribution franchise in key California and Nevada markets
and add approximately 1.5 million new customers.
Accelerating Growth
In the first quarter of 2004, Citigroup announced the
acquisition of Washington Mutual Finance Corporation for
$1.25B. The acquisition included 409 WMF offices located in
25 states, primarily in the Southeastern and Southwestern
United States. The company has more than 2,300 employees
and total assets of approximately $4 billion, as of September
30, 2003. "This transaction, which solidifies CitiFinancial's
position as the leading community-based lender in the U.S.,
exemplifies how we are focusing our proven acquisition
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capabilities on incremental acquisitions that expand the

reach of our businesses both geographically and
strategically," said Bob Willumstad, Citigroup President and
Chief Operating Officer.
CITI FINANCIAL -----INDIA
Citi financial India Business Model:
• Know the customer.
• Community based lending.
• Customer service through relationship to be

enhanced at all times.
• Delinquency management is customer

management.
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• Use all I-Loan functionalities.
• Have good credit practices.
• Operations, control and compliance are key areas.
• Reward and recognize performance.
Citi financial India Vision:

• Superior products
• Excellent customer service
• The right technology
• Supporting the community
• Integrity
Business Philosophy:
• Community based lending model
• Direct face to face interaction with customers to

enhance credit quality and build relationship
• Use tools such as extensions and rebooking to

help customer regularize their repayments.
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• Bonding with the neighborhood through community

activities.
PRODUCTS OFFERED BY CITIFINANCIAL INDIA:
• PERSONAL LOANS- cash loans for any purpose

• SALES FIANANCE- Finance for consumer durables
and two wheelers
• MORTGAGE- Finance to purchase homes or
financing of homes for any purpose
• INSURANCE- Administrator for Max New York Life
Insurance
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ADVANTAGE CITIFINANCIAL INDIA:
• Especially designed for salaried and self employed

• Loan upto 10lakhs
• Equated monthly installment is calculated as follows:
EMI = Finance amount + { Finance amount * interest

rate * installment period(months) } /
Installment period (months)
• The best in class
• Loans based on assessment of actual income and
repayment capacity
• Maximum amount as per eligibility
• Easy documentation
• Easy repayment options
• Flexible income recognition
• Quality customer care
• Debt consolidation – Professional debt management
and advisory services to restructure existing loan
repayments.
BUSINESS
Citifinancial Consumer Finance India Ltd. Is India’s
youngest and one of the fastest growing new private sector
companies. Over the last one year it has launched a
blitzkrieg of initiatives that are refreshingly different and
aimed at providing superior service and value for money to
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the Indian consumer. The CCFIL is surging ahead from

strength to strength and is fast transforming into a
technology led, service driven and financial services
marketing company managed with intellectual integrity.
It offers products like cash loans, consumer durable and

two-wheeler loans, home loans and loans against property,
administrator for Max New York Life Insurance.
Citifinancial India has 2,718 employees working in 139

cities with 280 personal distribution points and 33 mortgage
branches. Citifinancial believes in meeting face-to-face with
customers to better understand their needs. Decisions are
made locally by more than 13,000 Citifinancial team
members. At Citifinancial India they not only make loans,
they develop relationships with individuals and their families.
In fact half of the loans they make are to people who had
previously borrowed from them. (Excerpt from Citifinancial
website)
PERSONAL LOANS IN CITIFINANCIAL
It was started in the year 2000 in Citifinancial, and has

grown to 450 branches and 78 sales point. The book size is
of Rs.1,750 crore which is 47% of total monthly bookings (in
value). Citifinancial India boasts of 53,000 loans booked per
month. The customer base constitutes around 5 lakhs in
2006. The average ticket size is of Rs.33759 and tenor is 24-
36 months. Risk based pricing ranges from 21% to 60% with
EBIT of Rs.1,500 per loan.
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PERSONAL LOAN VISION
 Disburse 1 lakh personal loans per month.

 Build 1,000 branches by 2009.
 To provide exemplary service to our customers so
that they continue their relationship and refer to start
relationship with Citifinancial.
TARGET CUSTOMER
 Clerical staff in government organization.

 Self-Employed running small time business.
 Age group of 25-50 years.
 Stable in the city for at least a year.
 Stable in his job for atleast 2 years.
 Has a bank account.
So the target customer is middle and low middle income

level population.
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ABOUT THE PRODUCT
DEFINING THE PRODUCT
The main product of the Citifinancial is the loan.
The line of the product consisted of the personal loans and these had
their own codes
Personal loans CODE
J PERSONAL LOAN
20-60 k
JP PERSONAL LOAN PLUS

60-1.5 k
Features of Product
Unique Segmentation
Easy and minimal Documentation
Quick Turnaround
Surrogate program
Competition
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Private financers
GE Money
HDFC India Bulls
ICICI
LOAN SYSTEM
Loan system is prevalent these days as it is most suitable for

single, non-repetitive transactions and is withdrawn only
once. Credit is given for a definite purpose and for a
predetermined period. This service is generally provided for
a cost, referred to as interest on the debt. A borrower may
be subject to certain restrictions known as loan covenants
under the terms of the loan. When a loan is given against a
security or otherwise, a separate loan account is opened and
debited with amount of loan which is paid to the borrower.
The loan may be repayable in installments or in lump sum
but generally it is payable in installments. Banker is at liberty
to grant or refuse such a request of the customer depending
on: (1) his cash resources, (2) reliability, (3) solvency, and
(4) the credit policy of the Central Bank. Legally, a loan is
contractual promise of a debtor to repay a sum of money in
exchange for the promise of a creditor to give another sum
of money.
Types of Loans:
Mainly these are:-

1. Short-term Loans:
a. Short-term loans are provided to meet the working
capital requirements of the borrower against the
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security of tangible assets i.e. movable assets like

goods and commodities, shares, debentures, etc.
2. Medium and Long-term Loans:
a. These loans are granted for the period more than
one year. The purpose of medium and long-term
loans is purchase of capital assets, expansion and
diversification of existing units or establishment of
a new unit. These types of loans are granted by
specialized financial institutions like ICICI, IDBI,
and state finance corporations. Now a days
customer service has become the main objective
of the banks. So fulfilling the every need of the
customer is the policy of bankers. Banks in the
form of consumption loans like home loans,
personal loans finance such consumption needs of
the needy and reliable customers and the bank
against the amount so advanced keeps adequate
security.
Another classification is:
SECURED LOANS:
Those loans which are given against some lien,
mortgage or hypothecation agreement or backed up by any
other security are known as secured loans.
UNSECURED LOANS:
Unsecured loans are given without any collateral or
security. These may be available from financial institutions
under many different guises or marketing packages:
 Credit card debt,
 Personal loans,
 Bank overdrafts,
 Credit facilities or lines of credit
 Corporate bonds
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In India, the loan rates are regulated by credit policy.
PERSONAL LOAN:
Secured or unsecured loan given to an individual for
any personal purpose like school fees, home
improvement, share purchase, vacation, business
expansion.
SECURED PERSONAL LOAN:

A Secured personal loan is simply a loan that is secured
against property. Benefits of Secured personal loans include:
• Lower monthly repayments than secured personal
loans.
• The ability to borrow more money.
• Spread repayments over a longer period of time.
UNSECURED PERSONAL LOAN:

An Unsecured personal loan is a personal loan where
the lender has no claim on a borrower’s property should they
fail to repay. Instead, the lender is relying solely on the
ability of a borrower to meet their loan borrowing
repayments. The repayment period will range from anywhere
between six months and ten years. Unsecured personal
loans are offered by traditional financial institutions like
building societies and banks but also recently by the larger
supermarkets chains. Unsecured personal loans are
invariably more expensive than secured loans, and the
repayment periods demanded by lenders are shorter too.
This is because they have no guarantee that you can repay
the loan, and therefore, charge you more in interest to cover
the cost of insurance policies that they need to take out to
protect them should you default on repayments. In the event
that a borrower does not pay up, the lender will invoke the
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UNIVERSITY OF JAMMU
terms of the legally-binding credit agreement and pursue the

borrower through the legal system.
CREDIT POLICY 2007:
As per the credit policy of India in the latest year of 2007,

general provisioning requirement on standard advances in
specific sectors, i.e. personal loans, capital market
exposures, residential housing loans beyond Rs. 2 million
raised from the previous level of 0.40% to 1%.
MARKETING MODEL FOR CITIFINANCIAL
The marketing of Citifinancial applies the Micro marketing

measures and techniques Citifinancial works on different
parameters of marketing which include,
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1) Creative :This part includes Idea generation
2) Account handling. :Associated cost that include
operative administrative and marketing costs

3) Management : Management of the resources to the
best possible use .

4) Promotion: Providing promotion techniques and
guidance for the branches to increase their productivity.
The product has to be promoted positively .By that we

means there should not be any negative effects of the
promotion on the product or the company. During the
promotion only those parts of the product should be high
lightened that entice the customer to buy the product and at
the same time they do not hinder the customer’s will to buy
the product. Any type of the promotion is not done which
just makes the product more attractive but is not included in
the product .This will degrade the goodwill of the company in
the masses at large.
The Citi financial does micro marketing .The Macro

marketing is done by the Citi Group e.g the Ad of the ONE
CITI on the television .The different branches have their own
requirement of the promotion and they ask for the required
help from the company .
The Micro marketing includes budget analysis and is

primarily Product specific.
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The marketing includes
1) Loan Melas
2) Pamphlet distribution
3) Mobile wan activity
4) Strategic Alliances
1) Loan Mitras.
2) Griahlakshmi
3) Alliances with Vishal Mega Mart., Subhiksha etc.
Budget Analysis
Marketing head is asked by the BM’s to do branding for

their branch.
Then it depends on the priority and the budget for that

month how it will be allocated to various branches . If some
branches are already doing good then the micro marketing
and small scale promotion does not show results with
respect to the inputs given .So it makes sense to use these
measures to be applied on the new branches and the ones
that are not doing well. Though there is some requirement of
some marketing in all the branches all the time.
The marketing budget is usually made on a quarterly

basis or half yearly and may be yearly based .Marketing
budget is properly mooted upon to get the desired results.
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Usually it is less than 25 lacs. The allocation of this budget is

primarily don on the performance basis and on the branch
profitability report of the branches.
Branding :
The branding particularly includes the parameters of market

visibility.
It includes
Banner’s
Hoardings
Road shows
Model
Each branch has a Network model . Every branch bears its

own cost of marketing .Every branch estimates its own
marketing requirements and forwards the proposal to
marketing head ,who then does the budget analysis of his
resources and then guides and provides the necessary help
for the marketing, branding and promotion of the branch.The
branch manager then sends the month end reports .
Month end reports :
Branch profitability report has to be generated at the

end of every month.It includes sales .The cost of acquisitions
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Break even of a new branch
Each and every branch has to achieve a break even within a

period of six months .During this period the bank has to
increase the sales to an extent it covers all the expense in
the last six months. When the profitability reaches the break
even point the report has to be generated.
BRANCH
HEAD
BRANCH
BRANCH
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BRANCH
Branch network model
MARKETING METHODOLOGY
Citi Financial advertises in order to market its loans. It

exploits various sources channels for this purpose. This is
done in the following ways -
 Press ads
 Outdoor media and signage
 Micromarketing
 SMS (mobilink)
 Mobiloans
 Referral channel
 Branch campaigns
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An effective sourcing channel employed by Citi

Financial is press ads. The approach of these ads is direct
and to the point. It clearly states the documentation
requirements and a point of contact is given to capture
feedback.
Outdoor media activity involves putting up of

signboards in different parts of the city. The essentiality of
such a program is to create awareness among the masses.
Visibility of such signboards must be ensured.
Micromarketing implements one to one strategies

based on customer needs. It describes the activities that the
company takes up to create awareness about the various
services being offered. This includes road shows and events,
pamphlet distribution, celebrating local festivals, etc.
Micromarketing contributes for approximately 60% of lead
generation.
SMS is another upcoming tool being excessively used

for marketing activities. It is cost effective and invites instant
response.
For example, on 07.07.2006, a sms was sent on all Airtel

numbers. The sms read, “You can get Cash Loans upto Rs.
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50,000 from Citi Financial. Call today between 8 am to 8

pm.”
Mobiloans implies mobile marketing. This is done by

means of engaging a van with posters. This helps solicit
loans by providing a visual aid. Leads collected in this way,
can later be disbursed at the branch office.
There are specialized methods by which new and

existing borrowers are targeted. These methods are
enumerated below:
NEW BORROWERS:
 ADVERTISEMENTS
 DIRECT MAILERS FROM ACQUIRED DATA BASES
• Credit card data bases

• Mobile phone data bases
• Other acquired data bases
 DIRECT SELLING AGENTS

 MEMBER REFERRAL PROGRAM
 BRANCH WALK-IN
 INTERNET LEADS
 FINANCE PARTNERS
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EXISTING BORROWERS:
 DIRECT MAILERS
• Nine months on books
• No EMI bounce in last 3 months
• Never beyond bucket 2
 TELECALLING
• By in-house telecalling team
• Call on newly-eligible customers as well as
customers who have not responded
 EB WALK IN
 DST
SOURCING ESSENTIALS:
Sourcing refers to the what, where and how of targeting

the customers as per the marketing plan of the organization.
The rudimentary principle of effective sourcing is team
building and maintenance. Team building refers to the
process of establishing and developing a greater sense of
collaboration and trust among team members. Team
maintenance includes enhancement of motivation among
team members.
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INGREDIENTS OF TEAM BUILDING &

MAINTENANCE:
• The process begins with careful selection of sales

executives
• The next step is communicating the vision, mission, goals
and objectives of the organization to the new recruits
• After that, the work load must be distributed and team
members must be allocated their respective roles within
the team.
• A comprehensive training on how to work together and
perform as a team to turn individual accomplishments
towards organizational achievements.
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STRATEGIES - CITIFINANCIAL Vs COMPETITORS
Particulars CITI ICICI Bank SBI GE

Financial Money
Loan amount 15,000 to 20,000 to 15 24,000 to 10,000 to
5lakh lakh 5 lakh 75,000
Age limit 21-50 25-58 21 - 60 21 - 55
(salaried)
25-65(self
employed)
Repayment tenure 2 – 4 yrs 1 – 5 yrs upto 4 1 – 3 yrs
yrs
Rate of interest 12% - 26% 23% for 12% - 15% -
salaried 14% 36%
26% for self
employed
Mode of EMI Monthly Monthly Daily Monthly
calculation reducing reducing reducing reducing
Processing Fee NIL 2.2% 2% 300
Bouncing charges 220 220 2% of 300
debt
amount
Documentation Basic doc Basic doc Detailed Basic doc
doc
Market penetration High Medium Medium Low
in ludhiana
Customer profile Salaried as Salaried as Govt. Salaried
well as self well as self employ-as well as
employed employed ees only self
employe
d
Market penetration High Medium Medium Low
in ludhiana
THE BUSINESS SCHOOL
UNIVERSITY OF JAMMU
Customer profile Salaried as Salaried as Govt. Salaried

well as self well as self employ- as well as
employed employed ees only self
employe
d
LOAN MITRA
OVERVIEW
The LOAN MITRA channel is a direct distribution

channel comprising primarily of enterprising work-
from shop men/women. It builds on the neighborhood
lending concept, which forms the soul of the
Citifinancial Branch network Model
Apart from Loan Mitra there are other Strategic

partners of citi financial .they are
GraihLakshmi
Vishal Mega Mart ,Bigbazar Ebony tie ups
Micro marketing
Canopies
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UNIVERSITY OF JAMMU
Loan mela
Pamphlet distribution
Fleet on street.
APPOINTMENT OF THE LOAN MITRA
Every branch identifies one CRM (Customer

relationship Officer)who will be responsible for the channel.
This person is called the LM-CRM for the branch.
The LM-CRM identifies shops to be targeted in the

vicinity of the branch. These are the shops that sell
groceries, medicines, hardware, utensils etc that are used by
the households on the daily basis.
Proper care is taken ,so that the shops that deal in Pre-
paid cards, photo copying services, STD booths and so on
are completely avoided.
Prospective Loan Mitras (LMs) are invited for the

presentation at the branch or appropriate location
accompanied formal interaction over snacks/tea etc. This is
the best way to get the undivided attention of the
shopkeeper. Trying to teach the concept at the shop while he
is attending to customers can turn out to be unproductive.
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UNIVERSITY OF JAMMU
Each branch targetsaround 20 -30 LMs to start with.

Out of which typically 15 or so will be active at any point of
time. This number will go up as the branch becomes
proficient at managing the channel.
After the initial meeting with the LMs, the branch has to
complete the signup formalities with the LMs who are
interested, is involves CPV(Customer point verification)
TVR(Telephonic verification) and signing of the agreement.
Process
LM has his own contacts ,footfall in his shop and friends that
can provide leads to him .He generates the trust and interest
in PL and call up and login the lead. Branch Docs collection
Boy collects docs +application form and logs into the branch.
He also can collect the Documents from the Client and can
further pass the file to the branch or can give the file to the
canvasser.
Credit Appraisal takes place and the customer is called in as

per regular process.
LM is kept in loop about status of the file. This is important

as this will keep him interested about the work and also will
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UNIVERSITY OF JAMMU
make him learn the process and then he will eventually be

able to provide some better leads .He will eventually be able
to gather all the documents from the clients ,thus reducing
the time of the process and also it will become cost effective
eventually.
Once disbursed-monthly payout given as per slab. The

appraisal of the LM is done every month. Proper care has to
be taken so that the compensation paid to them is received
by them in proper time.
LOAN MITRA TIE UP PROCESS
BM IDENTIFIES CRM
CRM IDENTIFIES
POTENTIAL LM LEADERS
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INTERESTED DEALER FILLS

UP APPLICATION FORM
REF# GENERATED AND

DEDUPE CHECKED
OFFICE CVP INITIATED
SITE VISITATION REPORT

SVR PREPARED BY CRM
SVR IS FILLED UP BY CRM CAPTURING

INFO AS MENTIONED IN THE
FORM.THIS SVR IS SIGNED BY THE
BRANCH CRM AND BM
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UNIVERSITY OF JAMMU
IF OFFICE CPV AND SVR

ARE POSITIVE AND NO
NEGATIVE DEDUPE
CATCH…….THEN…….
AGREEMENT SIGNING
PROCESS IS INITIATED
AFTER ALL THE FORMALITIES ARE DONE,THE BRANCH

COMPILES ALL THE DOCUMENTS ….
APPLICATION FORM
OFFICE CPV REPORT
SVR
DEDUPE PRINTOUT
XEROX OF APPOINTMENT LETTER
ORIGINAL OF AGREEMENT
AGREEMENT SIGNING
PROCESS IS INITIATED
THIS FILE IS THEN SENT TO BACK OFFICE

(ALLIANCES) ALONG WITH THE LM MASTER
(SOFTCOPY) FOR OFFICIAL USAGE. POST UPDATION
OF DETAILS AND DOCUMENTATION CHECK DONE BY
THE CENTRAL TEAM(ALLIANCES),THE RECORDS
ARE UPDATED AND FINALLY THE FILES ARE SENT TO
RESPECTIVE DSA’S FOR RECORD KEEPING.
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SIGNING UP PROCESS CONSISTS OF TWO PARTS
APPOINTMENT LETTER
This is given to the dealer as a confirmation of the deal.
It is in a fixed format..
This includes details of dealer payouts. Payouts should be

clearly mentioned on the appointment letter.
Dealer payout includes Partnership allowance which goes as

a fixed component to the dealer and variable for which
payment is made on the no of cases disbursed.
Appointment letter is single page on DSA pre signed letter

head (original).
The top of the appointment letter should clearly indicate

dealers name and shop address.
This letter has to be signed by the Dealer(with whom the LM

tie up is done),dealer stamp along with signature can also be
taken(if dealer has a stamp).Since the appointment letter is
pre signed by the DSA owner so finally it has the DSA head
and the dealer signatures on it.
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UNIVERSITY OF JAMMU
The original appointment letter and the Xerox copy of the

same is taken.
AGREEMENT:-
The first page of the agreement has to be oon the original

letter head of the DSA.
It has a fixed format.
The rest of the pages of the agreement can be on A-4 size

paper.
First page of the agreement should clearly mention-Dealer

name ,shop name, branch name and the sign up date.
Last page of this agreement is pre signed by the DSA head,

It is mandatory to take dealers signature, Citifinancial
employee signatures as confirming party and 2 witnesses .
The original of the agreement retains with us.
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HOW DOES IT WORK
CONTACTS
F
R
INTEREST CUSTOMER
I
IN NAME & No
E Loan Mitra generates
PERSONAL
N contacts LOAN LOGGED IN
D GENERATED AS A LEAD
S
DOCS
BOY
PICKS UP
CUSTOMERS DOCUMENT
S
DONE CASE
APPRAISAL LOGINS
CREDIT BRANCH
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UNIVERSITY OF JAMMU
LM EARNS PER MONTH

DISBURSAL
CREDIT PROCESS (NEW BORROWER PROGRAME PROCEDURE)
N
DSA Application Initial Data Entry
,Mails,Walkin, Form + Screening Dedupe
Tele Caller’s +v Rejected
Documentation
e
N Dedupe check Data Entry +

+ Ref No
REJECT +v External Credit Generation
e Check
CPV N
INITIATION
+v REJECT
e
Y
N
TVR INITIATION
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UNIVERSITY OF JAMMU
REJECT +v
e
Y
N
CREDIT
DECISSIO +v REJECT
N e
N Y
PERSONAL DISCUSSION AND
REJECT +v ORIGINAL DOX VERIFICATION
e
Y
N
BUDGET
ANALYSIS +v REJECT
e Y
CREDIT PROCESS (EXISTING BORROWER--
PL)
FINAL APPROVAL
Eligible Database procured/Received
Contact Established with the customer through Telecalling
For interested Customers credit Checks Initiated (TVR , DEdupe,CPV,

for fast tracks/address change cases)
On positive credit check customer asked to walk into the nearest branch
New Application Form and Loan Aggrement Singned By The Customer
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PDC’s Collected along with other relevant documents if any (e.g. new
address proof in case of change of address)
Documents reviewed by personal loan officer
Documents are rechecked by CPA
Disbursal cheque is handed over to the customer
PROCESS FLOW
Application is logged
in and the system
generates a reference
no for loan
Soft approval of the

loan reference no on
system by credit
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UNIVERSITY OF JAMMU
FEWS performs
trigger based
validation checks
Trigge YES
r
Match A
Found
The loan is forwarded

to the edit mode/ data
entry mode for further
processing
SYSTEM
GENERATES A SAMPLING PROCESS
FRAUD DEVIATION
IN THE QUEUE
FCU USER
APPROVES/DECLINES
/CANCELS HE FRAUD
CHECK REQUEST
THE LOAN IS
THE LOAN IS FORWARDED
FORWARDED TO THE BUSINESS SCHOOL TO THE EDIT
THE CREDIT MODE/ UNIVERSITY OF JAMMU MODE/DATA
APPROVE APPROVE CANCELE ENTRY
DATA ENTRY MODE
D D SYSTEM GENERATES
D MODE FOR
FOR FURTHER FURTHER
A FRAUD DEVIATION
PROCESSING PROCESSING
IN THE QUEUE
CREDIT PROCESS
The credit process starts when the application form is filled . Then the
data entry is done in the system known as logging in and it thus
generates the reference number for the case.After this the
Deduplication checks and External Credit check is done .Deduplication
is done to know the SDN status of the borrower as well as his credit
records with other banks againstdedupe data base to ensure credit
worthy lending and avoid over exposure. Even 30% of the total cases
are cross checked by Fraud Check Unit .if the borrower is found to be
genuine it leads to CPV initiation (waived off in cases of existing
borrower) along with TVR (Telephonic verification).
CPV (Contact Point Verification)
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• Visits to the customer’s residence/office to

assess credit worthiness of applicant.
• Useful in absence of Credit Bureau.
• Establishes bonafied of customer as per
application form.
• It is the first point of contact with the customer
and CCFIL
TVR Telephonic Verification
• Helps to get comprehensive information on

applicants residence and office profile
• Checks on assets and liabilities
• Check on ease of contactability.
The motto for field verification by CCFIL is

“Verification is what you see with your eyes and what you
judge. It is not what you hear, imagine or assume ,after all it
is your money “
If the field investigation is found to be positive the

documentation is done for the case it includes checking of all
the documents provided by the borrower and simultaneously
filling of the pre-disbursal documents like aggrement,
PDC’s,etc.
CREDIT DEISSION: it includes cross checks
• Correlate information on the documents with

application form,phone verification and field
verification.
• Check for consistency of the customer.
• Check for frauds.
• Additional source of income and proof of the same.
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• Aceptance of non standard documents ( Depends on

CPV,TVR,Profil and validity of the same) with relevant
sign off.
Deviations/Exceptions
• Anything outside the terms and conditions defined in

the product program.
• Deviation matrix is approved by Citi Group credit
director.
• Matrix states minimum authority level which can
approve each exception / deviation
• Deviations can be credit deviations, documents
deviations, or pricing deviations
Debt burden
• Defined as the ratio of fixed monthly obligations/net
disposable verifiable monthly income.
• For PL it is defined as -- all unsecured loans
EMI/monthly declared income
• For new borrowers Debt burden ratio is capped at 70%.
PRICING OF LOAN
The customer of CCFIL have higher risks this implies higher
chances of non payment ,higher collection costs, need for
higher verification in absence of sufficient credit history and
zero collateral. Therefore the higher interest rates are linked
to higher level of risk.
BUDGET ANALYSIS
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It is prepared to assess the income of the customer on cash

flow basis to arrive at the affordable instalment. The BA
process is as follows.
 Incomes from pay slip.

 Additional income stated by customer maybe written
but should not be combined unless it is documented
and verified.
 Clubbing of income happens for blood relatives.
 Focus largely on expenses.
 On each expense check whether the figures stated by
the applicant matches with the family size and market
average.
 If a particular expense seems to be too high or too low,
get clarification from the applicant.
 Where the income is clubbed, liabilities have to be
clubbed.
This helps to provide insight into lifestyle of the applicant.
LOAN CLOSING AND CUSTOMER EDUCATION
• When the interview is over the credit decision is taken.
• Arrive at the final loan amount.

• Explain the loan terms to the customer and final
completion of the document takes place.
• Counsel customer on repayment and strengthen
relationship
• Disburse cheque and see off the customer.
COLLECTIONS
Since the personal loan product is unsecured it is
tougher to collect on the presentation dates for the
cheque are cycle based.5-19 of every month (cycle
05) and from 20th to 4th (cycle 20) . In case of first
PDC bounce the customer is called and sent a letter,
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on the second bounce the same process is repeated

,but in the case of the third bounce the action for
collecting EMI and principal interest is taken. The
collection process can be divided into two stages.
Soft Collections: During Tele calling ,field visits.
Hard Collections: Field Visits, legal action, and
police action
WHY DO THEY JOIN?
The main reason that this channel seems lucrative to the

shopkeepers is the payout as it turns out to be an additional
income .This income they can further utilize to increase their
business. Mostly young proprietors are eyed as they know a
lot of people travel a lot for their business and are always
ready to earn an extra buck..
Main reasons for them to join are :
Part time job
Loan mitra provides them with sufficient marketing

material to start with without any investment ,as they keep
on earning ,the more they will get interested .With time they
know that they will be able to gain more links and these links
will provide them with more and more business.
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Ease of Working :
The Loan Mitra is able to work at his ease .The concept

works in parallel with his main business. He/She can devote
time to the customers when he wants to. He is able to work
on free hour basis ,he can increase contact and his visibility
in the market when ever he feels so.
Association With a Big Brand:
The Brand sells on its own .The shopkeepers know the

product and the company that is offering the product The
trust between the company and the LM need not to be
taken care of . The LM understands that he will be provided
compensation for the business he is giving.
Target :
The Loan mitra does not have to chase a target every

month .He is not under any pressure to get certain files per
month .he can take his own time to settle in his new work.
What do They Earn :
The amount of the money that is associated with a disbursed

file is around
Rs500. But an amount of Rs 500 is also associated with the

canvasser.
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Also Rs 600 per file will be given to the LM if he is disbursing

more than four files per month.
So the COA per file disbursed is Rs 1100.
STRUCTURE AND RESPONSIBILITIES
BRANCH MANAGER
PLO DESIGNATED POINT OF CONTACT FOR THE LM CHANNEL
--Responsible for the recruitment of the new LM’s and

maintaining relationship with old ones.
Officer should handel 15-20 active LM’s
-manages the file from the login onwards, interfaces with LM

on case feedback
VENDOR FOR PAYPOUT MANAGEMENT
>> The BM will be responsible for direct interaction with the

vendor. S/He will distribute the payments to the LM’S.
>>Takes proper care that the LM are motivated to work and

helps the canvasser to properly interact with the LM’s.
>> Gives proper training to the new canvassers and

provides information regarding any queries of the LM’s and
the clients
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PITFALLS TO LOOK OUT FOR
>>BROKER INVOLVEMENT WITH LM’S.
>>PERSONAL LOANS DSA OWNER /TEAM LEADER/EXECUTIVEWIVES

AND
RELATIVES NOT TO BE A PART OF LM CHANNEL
>>PAYOUT TO HBD’S SHOUL NOT BE HIGHER THAN PAYOUT TO DSA IN

THE LOCATION ON A VARIABLE BASIS –OTHERWISE CASES WILL GET
DIVERTED TO HBD.
Recruitment channels
>>Branch reception distributes handbills on
recruitment.
>>Handbills kept at various LM Strategic alliances
counters.
>>Beauty parlors,VLCC,Middle class jewelry
shops are given fliers
>>Canopies outside high footfall areas—like schools
>>Book booths/spacesin womens festivals—mahila
sammilani,ladies club etc can also be targeted as there
is a high level of footfall
>>reference program
MARKETTING SUPORT
This is to be given to productive LM’s
>>Individual pamphlet support
>>Banners should be provided so that there shops are
easily recognized as LM shops.
>> The number of pamphlets given should be checked
,whether they are enough or not .
>>Any assistance needed, so that there name and
number is advertised in the adjoining market places
should be provided.
THE BUSINESS SCHOOL
UNIVERSITY OF JAMMU
CHANNEL DRIVERS
1>>Relation management and CRM involvement

Right hiring, Retention, moving the needle on productivity
2>>Should keep a look on each of the following
____lead generation to Docs Collection
____Lead to file login
____Feedback on status of file
____Daily Status Updates from branch Point of Contact to
Location Central teams
MIS and TRACKERS

Daily lead tracker
Daily login tracker
Disbursal Tracker
Application form filled with Bank A/c details & dedupe check
ID Proof
Proof of residence
Passport Size photo
Resume if any
Code of Conduct
Processing payouts(can be modified locally)

>>CRM to make amount of payout to LM’s after month end. BM
to approve.
CROSS SELLING
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CROSS SELLINGS:
Citi Financial has a tie-up with TATA AIG for insurance. Life
insurance as well as insurance on personal loan amount is offered.
Credit shield is used to cover assets or loans funded by banks or

financial institutions. This enables the insurance company to provide cover
to the policy holder. The shield ensures payment of the outstanding amount
to the financial institution in the event of demise or disability of the
borrower.
Max New york Life has also tied up with Citifinancial.
PREREQUISITES FOR A GOOD LM’s IN MAKING NEW

CUSTOMERS
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UNIVERSITY OF JAMMU
I. LM’s must have good hold on local language to attract

local shopkeeper.
II. LM’s must have good communication skills i.e. he must
ensure that the customer is under stand message in the
same sense as he is trying to convey.
III. LM’s must have knowledge of the market,
IV. LM’s needs to be having knowledge of current schemes
of his company and also of competitors companies. And
he needs to have an art of showing his own product
better than the competitors’ product.
V. LM’s ahead show patience while interacting with
customer, he need to listen the quarries of the customer
and answers them smartly.
VI. LM’s has to play the role of the motivator. He needs to
motivate the new entrant. And make customer sure
about future services.
VII. LM’s need to inform middle management about the
market Trends and customers demand.
How LM’s should be handeled
LM is a shopkeeper selling Citifinancial products and

services. These are very shrewd kind of personalities they
always try to get earn maximum margin. Right the time of
induction they ask for Margins Company need to have very
carefully as this shopkeeper can safe the competitor’s
product for the sale of his own margin. Company need to
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take care of the margin of these retailers and provide them

claim at the right time as the negative word of mouth from
these shopkeeper can give had have to the company.
(7) Customer demand:- The most important role is played

by the customer. If customer demands from the Citifinancial
then LM’s will be benefited and new shopkeeper will show
their interest in the business
Customers can divided into two groups.
1. Exciting Customers:- Existing customer act as brand a

ambassador for the company and satisfied customer
can help the company to increase its business. A
company should be wise to measure customer
satisfaction regularly because one key to customer
retention is customer satisfaction. A highly satisfied
customer generally stays loyal longer, buys more and
talks favorably about the company and its services,
pays less attention to competing brands and is less
sensitive to price. Company can hold surveys to
measure the satisfaction level of the customers.
According to Frederick Reich held, a customer
willingness to recommend to a friend results from how
well the customer is treated by front line employees,
which in turn is determined by all the functional areas
that contribute to a customer experience.
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A highly satisfied customer is very likely to repurchase

and even spread good word of mouth about the
company. High satisfaction or delight creates an
emotional bond with the brand or company, not just a
rational preference. Managers themselves can enter
company and competitor sales salutations where they
are unknown and experience first hand treatment they
receive .Manager should question LM’s and handle
complaints .So customer satisfactions need to be both a
goal and a material to of for the company. For the
satisfactions of the customer, marketers can do the
following:-
1. They bear the major responsibility for correctly

identifying the customer’s need and requirements.
2. They must communicate the properly to top

management.
3. They make sure that customer’s orders are filled
correctly and on line.
4. They must check that customer’s have received proper
instruction and technical assistance in the use of the
product.
5. They must stay in touch with customer after the sale to
ensure that they are satisfied and remain satisfied.
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6. They must gather customer ideas for products and

services improvement and convey then to the top
management.
When marketers do all this they are making substantial

contribution to customer satisfaction as well as to customer
and company profitability.
(B) Prospective Customer:- Company need to attract new

subscribers for its expansion. Company can acquire new
customers by:
I. Identifying the life style of a particular target market.

II. Increasing awareness of company or product name.
III. Expressing commitment to the community or on social
issues
IV. By advertisement.
V. Making sure that company product and services must
be present where competitors product is available and
also where not.
LEARNINGS FROM THE PROJECT
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• IMPORTANCE OF PLANNING:
At Citi Financial, every PL team is given a target to

achieve. This may include J, J plus and/ or ultima. In order to
achieve their assigned targets, teams need to plan
strategically. Successful goal achievement requires creation
and communication of value to the customer. The teams
need to plan activities in order to communicate various
attributes of the loans. To ensure these activities are well
selected and executed, strategic planning is paramount.
The choice of activities and areas to perform them should be
determined at the beginning of the month and sales
executives must be given daily, weekly or monthly targets.
These executives must be monitored and motivated
regularly.
• TARGET ACHIEVEMENT:
Every team is given a certain target for J, J plus and/ or

ultima. Citi Financial markets 60 percent of its loans through
micromarketing activities. Teams need to strategize their
activities in order to meet these goals. After strategic
planning, the next stage is the implementation. The
implementation is of paramount importance. In absence of
implementation and co-ordination, the best of plans would
fail.
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• TEAM WORK :
Team work is the secret behind the success of any

team. In order to promote team work, the management
needs to create a sense of belongingness and trust among
the employees and executives. They must be motivated by
positive or negative approach, bearing in mind individual
differences in the work force.
An aspect which needs regular attention is conflict.

Since individuals of different personality traits, lifestyles and
values come to work together as a team, conflicts are bound
to arise. Conflict is not entirely negative; it may bring forth
some healthy suggestions too. However, beyond a certain
limit, conflict affects organizational working adversely. Team
leaders regularly need to check such divergences in the
teams.
• METHODS OF ADVERTISING:
I also learnt the various methods of marketing loans.

We had an opportunity to gain a first hand experience in
many micromarketing activities. This included organizing
several events in residential complexes, market places and
offices. We also learnt the importance of co-ordination while
performing these activities. Many times this involved
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synchronization with HR managers of offices where activities

were planned.
TEAM MANAGEMENT
I was assigned a team ,and I was responsible for the efficien

working of the team and it always seemed a good
opportunity to learn how to manage teams .The team
comprised a heterogeneous type of people and getting
things done from them was a difficult task.
UNDERSTANDING STRATEGIES
I was working for different strategic alliances of the company

and why and how these strategies are made and why they
work was a great learning .Sales is not efficient when proper
intelligence is applied to it ,this intelligent sales is the
marketing for that company.
TIME CONSTRAINT
Time is of utmost importance in an organization .The time for

the initiative and the completion of the work has to be
planned and has to be completed before time otherwise
there can be a lot of problems not for ones own self but it
will create delay in the work of others. So proper check has
to be made that my work is not interfering with others work.
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PROCESSES LEARNT DURING THE TRAINING
SOURCING
Sourcing is a term used synonymsly with procurement.
It refers to the what, where and how of targeting the
customers as per the marketing plan of the organization. In
the context of Citi Financial, it is the process of locating
potential customers for personal loans, two-wheeler and
consumer durable loans. This can be accomplished by
single, dual or multiple sourcing. There are various
distribution channels that are utilized to accomplish this.
Citifinancial capitalizes on its Direct Sales Teams (DST),
Direct Sales Associates (DSA), Finance Partners (FP), Loan
Mitra Dealers, telecallers, etc.
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WORK OF DST’S
DST is the direct sales team which comprises of sales
executives.
DSA are the direct sales associates. They further employ

various sales executives to accomplish the targets given to
them in return for a pre-determined consideration. Finance
Partners and Loan Mitra Dealers also log in customer
applications for loans. They locate potential customers using
their own existing consumer base. They have no fixed
targets to achieve and are paid a pre-determined
consideration per loan disbursed through them. Another
upcoming channel is internet. Applicants can apply online for
personal loans.
COLD CALLING
These executives find target customers by cold calling

and other promotional activities. Cold calling is the
processing of approaching prospective clients, typically via
personal meeting or telephone, who have not agreed to such
an interaction. It is very essential to focus on the goal during
the process of cold calling. It is not about making the sale
but getting a chance to make the sale. The process
continues till the lead turns hot and finally gets converted.
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Cold calling is a form of P2P marketing. It requires one-

to-one physical presence or telepresence. The most essential
detail of cold calling is to target the right audience.
ALIANCES : I worked and understood the working of

the tie-up’s that are made ,like that of the Vishal
Mega Mart.Proceses were initiated for the tie-up’s
with the Subhiksha and Amway.
In case of the Grih lakshmi tieups were made with the

leading beauty parlors like the AVON and ORIFLAME in
the sarabha nagar.
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TOWS ANALYSIS OF CITIFINANCIAL:
THREATS
 Possibility of competition in the present target segment

of Citifinancial
 New competition moving in
 Spread compression competiton/ irrational pricing
 Interest rate cap may be introduced by the government
 Regulation of branch expansion by RBI
 The biggest threat to the position of City Financial is
from new competition moving in.
 There is a possibility of other banks and financial
institutions targeting the same TG.
 There may be a regulation of branch expansion by RBI.
WEAKNESS
 Low visibility of brand
 The foremost weakness lies in high rate of interest. The

customers are charged a rate of interest in the
range 12% to 36% and consequently higher risk
customer profile
 Another weakness is the low ticket size. Which is

recently been overcome.
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OPPORTUNITIES
 Large untapped geography
 Regular growth in the sales finance database continuing

to offer cross sell opportunities
 The greatest opportunity lies in the target segment, of

lower middle class, which is a fast growing market.
 Unprecedented growth in sales finance.
 Great opportunities to offer cross sell opportunities.
 In India, there are only a few other financial institutions

that tap the under banked segment. This offers the
advantage of a large untapped geography.
 City Financial can capitalize on its brand name and

goodwill to attract new customers.
STRENGTHS
 Unique segmentation
 Risk spread over small loans
 High entry barrier
 Easy documentation and quick turnaround.
 Customer service with a personal touch.
 Flexibility- unique options to specific customer
segments offering risk adjusted pricing.
 Loan credit shield option.
 Team spirit in self contained PL teams.
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 The foremost strength of City Financial lies in its

unique segmentation. It targets the under serviced
and under banked segments that essentially focus on
clerical staff in Government organizations and self
employed businessmen running small businesses. It
aims at selling loans to applicants who do not have
too many finance options.
 City Financial offers small tickets size loans. This

spreads risk over small loans.
 Loans are offered within 48 hours. The turnaround

time is very quick.
 Loans are offered to applicants on the basis of very

easy documentation.
 City Financial offers flexibility to its customers.

Depending upon the documentation, the pricing is
adjusted.
 Customers are treated with quality service. The aim

is to achieve customer delight and satiate customer’s
financial needs.
 As an extension to loans, City Financial also provides

a credit shield to the customers on the loan amount.
A credit shield ensures payment of the outstanding
amount to the financial institution in the event of
demise or disability of the borrower.
 Another great strength lies in the team spirit of the
PL teams. This keeps all the team mates motivated
and facilitates fulfillment of targets.
The branch expansion can be justified by procuring sufficient

business or tapping new profile of customers and
competition can be met by strengthening marketing
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operations and better customer services. There is a need to

build brand name as it is still low as compared to ICICI Bank
Ltd. So in all to tap the opportunities more and more
marketing can be done and large untapped geography
specially the rural class of customers should be approached.
Also database should be updated regularly followed by tele-
callers
CONCLUSION
CONCLUSION:
Citi Financial is a brand under Citi Group’s umbrella. It

provides three broad products: Personal Loans, Home Loans,
and Loans to finance Two-Wheelers and Consumer Durables.
Other benefits offered to the customers are insurance and
credit shield to safeguard their family’s interest in the event
of death or disability.
In the two months of our training, we learnt about the

company policies, its mission and objectives. We also had a
firsthand opportunity to learn about the process, right from
attracting the right customer up to disbursal of the loan.
We had an opportunity to learn the various methods

that the company employs in order to create awareness
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about its product and to deliver value to its customers. We

organized and co-ordinated several of these promotional
campaigns. This experience has emphasized to us the
importance of team work, planning and co-ordination.
The company pays special attention to the needs of its

existing customers. For an EB, a loan is just a phone call
away with the D2H facility.
City Financial has several strengths - a strong brand

name, an under serviced target segment, prompt services
and high penetration. The company must capitalize on these
strengths and cater to an ever-increasing need for finance of
the middle class.
DEFINITIONS:
LOAN TRANSACTIONS: The system under which the money

is advanced to the borrower for a pre-determined period on
pre-determined interest for any purpose. The loan can be
secured or unsecured against assets.
BRANCH: It means the branch of the bank at the place

mentioned in the Schedule and where the Home Loans are
disbursed and shall include any other branch where the
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Home Loan account is maintained or transferred to any time

at the sole discretion of the bank.
BORROWER: It means and includes any person(s) to whom

CCFIL has agreed to grant the loan and has signed the
agreement.
EQUATED MONTHLY INSTALLMENT: It is the amount

payable every month by the Borrower to the bank
comprising of interest, or as the case may be, principle and
interest.
TENOR: This is the term used to represent the number of

years for which the loan is given. The loan amount gets
amortized over the period of the loan.
PERSONAL LOAN: Unsecured loan given to an individual for

any personal purpose like school fees, home improvement,
share purchase, vacation, business expansion.
RBO: Stands for Refinance Balance Only. It is done if the

customer is unable to pay EMI amount in which the interest
component is waived off for missed payments and the Tenor
is extended accordingly.
FEWS: It means Fraud Early Warning System. It is done at

pre disbursal stage where validation checks on customer
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details are done as soon as they are entered in the system

from application.
FREE LOOK PERIOD: Means the interest free period for 7

days from the date of issue of cheque by CCFIL towards the
loan wherein the borrower may withhold the cheque from
being deposited into the borrower’s bank account.
REFERENCES
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About Citigroup
http://www.citigroup.com/citigroup/corporate/history/citibank
.htm
Corporate Values
http://www.citigroup.com/citigroup/corporate/values/index.ht
m
Corporate Values
http://www.citigroup.com/citigroup/corporate/values/index.ht
m
Global Consumer Group Investor Presentation, May 29, 2003.
http://www.citigroup.com/citigroup/fin/data/p030529a.pdf
(pg 28)
About Citigroup
http://www.citigroup.com/citigroup/corporate/history/citibank
.htm
Citigroup’s Product Lines

http://www.citigroup.com/citigroup/about/productlines/retailb
ank.htm
Frei, Frances X. Economics of Retail Banking Note. President

and Fellows of Harvard College, 2002.
REF 1 Citigroup 2003 Annual Report

http://www.citigroup.com/citigroup/fin/data/ar031c_en.pdf
http://rbidocs.rbi.org.in/rdocs/Bulletin/DOCs/76701.doc
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APPENDIX 1
HISTORY
1912: Founded by Alexander Duccan as commercial Credit-
pioneer in the consumer finance industry.
1916: Company offered an installment loan program to help

people purchase what was then an exiting new-invention-
the automobile. This led to the development of installment
buying plans for home appliances and other consumer
goods.
1986: Under Stanford I Weill the company went public.
1988: Acquired Premerica Corporation- the parent company

of several Investment, financial services and insurance firms,
including the well known Smith Barney.
1992-93: Premerica purchased 100% of travelers and

formed Travelers Group.
1998: Travelers merged with Citicorp to form Citigroup.

Citigroup, a global financial services company is serving 20
million customers worldwide. Citigroup’s business includes
asset management, banking, credit and charge cards,
insurance, investments, investment banking and trading. In
September, changed the name of CitiFinancial to proudly
recognize the affiliation with the parent company and to
better reflect what they do today. As a member of Citigroup,
company continues to provide masses with a full range of
exceptional products and services.
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1999: Purchased 128 offices of Texas based Associates First

Capital- Assets of $ 100 billion 2750 offices in U.S. in 13
countries.
2002: Acquisition of Golden State Bancorp, parent company

of first Nationwide Mortgage and Cal Fed, second largest U.S.
thrift. The Transaction enabled Citi Bank to expand its retail
distribution franchise in key California and Nevada markets
and add approximately 1.5 million new customers.
2004: In the first quarter announced the acquisition of
Washington Mutual Finance Corporation for $ 1.25 B. the
acquisition included 409 WMF offices
APPENDIX 2
Regulatory and Other Measures for NBFC
RBI/2006-2007/248 UBD (PCB) CO BPD Cir No: 28/13.01.000/2006-07 dated

February 5, 2007
Chief Executive Officer of All Primary (Urban) Cooperative Banks
Interest Rates on Non-Resident (External) Rupee (NRE) Deposits -UCBs
Please refer to paragraph 86 of the Third Quarter Review of the Annual Policy
Statement for the year 2006-07 dated January 31, 2007.
Interest Rate on Non-Resident (External) Rupee (NRE) Deposits
2. In this context, a reference is invited to our circular UBD (PCB) BPD Cir No: 48
/ 13.01.000/2005-06 dated April 20, 2006 on the captioned subject. On a review,
it has been decided that until further notice and with effect from close of business
in India as on January 31, 2007, the interest rates on Non-Resident (External)
Rupee (NRE) Term Deposits will be as under:
The interest rates on fresh NonResident (External) Rupee (NRE) Term Deposits
for one to three years maturity should not exceed the LIBOR / SWAP rates, as on
the last working day of the previous month, for US dollar of corresponding
maturities plus 50 basis points (as against LIBOR / SWAP rates plus 100 basis
points effective from close of business on April 18, 2006). The interest rates as
determined above for three year deposits will also be applicable in case the
maturity period exceeds three years. The changes in interest rates will also apply
to NRE deposits renewed after their present maturity period.
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3. In this connection, in keeping with the policy statement made vide paragraph
86 of the Third Review of the Annual Policy Statement for the year 2006-07 dated
January 31, 2007, it is advised that UCBs are prohibited from granting fresh
loans in excess of Rs 20.00 lakh against the NR(E)RA deposits, either to
depositors or to third parties. UCBs are also advised not to undertake artificial
slicing of the loan amount to circumvent the said ceiling.
4. A directive amending the earlier directive dated April 20, 2006 on the interest
rate is annexed. All other terms and conditions applicable to NRI deposits remain
unchanged.
UBD.No.Dir.1 /13.01.000/2006-07 dated February 5, 2007.

Interest Rate on Non-Resident (External) Rupee (NRE) Deposits
In exercise of the powers conferred by Section 35A of the Banking Regulation
Act, 1949 (AACS) and in partial modification of directive UBD.No.Dir
2/13.01.00/05-06 dated 20.04.2006 on Interest Rates on Non Resident (external)
Rupee (NRE) deposits, the Reserve Bank of India being satisfied that it is
necessary and expedient in the public interest so to do, hereby effects the under
noted changes in the interest rates on NRE deposits.
“The interest rates on Non-Resident (External) Rupee (NRE) deposits for one to
three years maturity contracted with effect from close of business in India on
January 31, 2007 shall not exceed the LIBOR/ SWAP rates of the last working
day of the previous month for US dollar of corresponding maturities plus 50 basis
points. The interest rate as determined above shall also be applicable in case the
maturity period exceeds three years. The above changes in interest rates will
also apply to NRE term deposits renewed after their present maturity period”.
RBI/2006-2007/261 UBD(PCB).Cir.No.30 / 09.11.600/06-07 dated February 19,
2007.
The Chief Executive Officers of All Primary (Urban) Co-operative Banks
Provisioning Requirement for Standard Assets-UCBs
Please refer to paragraph 84 of the Third Quarter Review of the Annual
Statement on Monetary Policy for the year 2006-07 issued on January 31, 2007
(copy of the paragraph enclosed).
Standard Asset Provisions

2. In order to ensure that asset quality is maintained in the light of high credit
growth, it was decided in respect of Unit banks and banks having multiple
branches within a single district with deposit of Rs 100 crore and above and all
other UCBs operating in more than one district, to increase the general
provisioning requirement on standard advances in specific sectors, i.e., personal
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loans, loans and advances qualifying as capital market exposures and

commercial real estate loans from the existing level of 0.40 per cent to 1.0 per
cent vide circular UBD(PCB).Cir.No. 57/09.11.600/05-06 dated June 15, 2006.
3. The continued high credit growth in the real estate sector, personal loans, and
loans and advances qualifying as capital market exposure and a higher default
rate in regard to personal loans is a matter of concern to Reserve Bank. It has,
therefore, been decided to increase the provisioning requirement in respect of
the standard assets in the following categories of loans and advances from the
present level of one per cent to two per cent with immediate effect:
(a) Personal loans;
(b) Loans and advances qualifying as capital market exposure; and
(c) Real estate loans (excluding residential housing loans).
As hitherto, the higher provisioning norm on standard asset will be applicable to
Unit banks and banks having multiple branches within a single district with
deposit of Rs 100 crore and above and all other UCBs operating in more than
one district.
3. In order to ensure continued and adequate availability of credit to highly
productive sectors of the economy, the provisioning requirement for all
other loans and advances, which are standard assets, including those to
agriculture, SMEs and industry in general shall remain unchanged. The
standard asset provisioning requirements for categories of banks
mentioned at para 2 above, after the above changes, are summarised
below. As hitherto, these provisions would be eligible for inclusion in Tier II
capital for capital adequacy purposes to the permitted extent.
Sr. No. Category of Rate of
Standard asset Provisionin
g
(a) Direct advances to 0.25 %
agricultural and SME
sectors
(b) Personal loans, Loans and 2.00 %

advances qualifying as
capital market exposures,
Commercial real estate
loans and loans and
advances to systemically
important NBFCs-ND.
(c) All other loans and 0.40%

advances
not included in (a) and (b)
above
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5. It has also been decided to increase the provisioning requirement for loans
and advances in the standard assets category to Non-Deposit Taking
Systemically Important Non-Banking Finance Companies (NBFC- ND -SI) from
0.40 per cent at present to two per cent with immediate effect. In terms of
paragraph 16(A)(i) of our circular DNBS.PD/ CC.No.86/ 03.02.089/ 2006-07
dated December 12, 2006, a Non-Deposit Taking NBFC with an asset size of
Rs.100 crore or more as per the last audited balance sheet is considered as a
NBFC-ND-SI. It has also been decided to increase the risk weight for all
exposures to NBFC-ND-SI to 125 % from the present level of 100 % with
immediate effect.RBI/2006-2007/300 REF.No.MPD.BC. 290/ 07.01.279/2006-07
dated March 30, 2007.All Scheduled Banks [excluding Regional Rural Banks
(RRBs)] and Primary Dealers
Standing Liquidity Facilities for Banks and Primary Dealers

Please refer to Financial Markets Department Circular FMD. MOAG No. 14 /
01.01.01/ 2006-07 dated March 30, 2007 on Liquidity Adjustment Facility – Repo
and Reverse Repo Rates.
4. The fixed repo rate under the LAF has been revised to 7.75 per cent with
effect from March 31, 2007. Accordingly, the Standing Liquidity Facilities
provided to Banks (export credit refinance) and Primary Dealers (PDs)
(collateralised liquidity support) from the Reserve Bank would be available
at the repo rate, i.e., at 7.75 per cent with effect from March 31, 2007.
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APPENDIX 3
PRIVACY AT CITIFINANCIAL INDIA

Our goal is to maintain your trust and confidence when handling personal information
about you.
YOU HAVE CHOICES:
As a CitiFinancial India customer, you have the opportunity to make

choices about how personal information about you may be shared. As you consider this,
we encourage you to make choices that enable us to provide you with quality products
and services that help you meet your financial needs and objectives.
SECURITY OF PERSONAL INFORMATION:
The security of personal information about you is our priority.
We protect this information by maintaining physical, electronic, and procedural

safeguards that meet applicable law. We train our employees in the proper handling of
personal information. When we use other companies to provide services for us, we
require them to protect the confidentiality of personal information they receive.
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Citifinancial File Completed

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Strategic Alliances__Loan Mitra

MASTERS OF BUSINESS ADMINISTRATION

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This is to certify that the Summer Project work of Mr. / Ms

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Interdependence is a higher value than independence. This

We are thankful to Mr.Sudhir Menon (Sales Head

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• APPOINTMENT OF THE LOAN MITRA

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Perhaps, the personal loans offered by banks/ NBFC’s

Lending of money is a very old business, but what we

business many detested .The reason was the high amount of

Citifinancial is an NBFC that provides personal loans.

During the training I came into direct exposure of

The next part was allocating different Loan Mitras .Loan

channel we made these mom and pop retailers as associates

The process included explaining the product .

Explaining the commission .

Explaining the benefits of the channel.

Explaining the process of Loan disbursement.

In the end all the Loan Mitra’s and Graihlakshmi’s were

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Our growth over the years has been extraordinary.

- Chuck Prince, CEO and Bob Willumstad, CFO

Beth Markle1 put down the phone, and quickly jolted

As more and more financial institutions began to offer

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In 2004, Citigroup was the largest U.S. bank holding

Founded in 1812 with $2 million authorized capital and

in the world with over $1 billion in assets, with offices in

On October 8, 1996, Citicorp and the Travelers Group

Expansions and Acquisitions after the Merger

Under the leadership of Weill, Citigroup’s acquisition

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It had three major acquisitions in the U.S. In July 2001,

California Free Checking Trial

As a result of the acquisition of Golden State Bancorp,

In 2002, former Salmon Smith Barney was under

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and Citigroup was not liable for any wrongdoings, however, it

On October 1, 2003, Charles O. (“Chuck”) Prince

Citibank Consumer Retail Banking

Retail banking was the 2nd biggest grossing product line

Citigroup’s retail banking boasted many successful

However, it took them over a decade to launch a fully

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fewer of its consumers actually conduct transactions online

Markle joined the managerial associate program after

“Citi, Live Richly” campaign

Citigroup gave the impression of an elite bank. Its

To leverage upon its brand and international presence,

Retail Banking Fundamentals

Retail banks provided services to a diverse clientele

When retail bank personnel reviewed customers, they looked

In its most basic form, one of the two components that

Cost to provide services

On the contrary, customers also cost retail banks money.

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Growing with America

Joining the Travelers Group

the nation's third largest investment house - Salomon Smith