Consumer credit scheme of Mercantile Bank Limited

Abstract

This report is basis on one of the credit scheme provided by Mercantile Bank Limited. Banks and Financial Institutions are becoming very competitive. Various kinds of service and products are introducing everyday. One of the schemes is Consumer Credit Scheme. This report is basis on one of the credit scheme provided by Mercantile Bank. Consumer Credit Scheme is becoming very popular among clients. It is for the limited earning people. With the loan they can buy different materials. The demand is very high of this loan. But according demand Mercantile Bank Limited is not able to full fill it. Moreover the terms and conditions of Consumer Credit Scheme loan are also very inconvenient and discourage people Loan sanctioning and disbursement procedure is not so easy and flexible being considered the requirements of different classes of people. The effective rate of interest is also very high. If Mercantile Bank Limited look after it this loan scheme can earn huge revenue. The major task for banks, to survive in this competitive environment is by managing its assets and liabilities in an efficient way. Hope Mercantile Bank will be also able to manage the assets and liabilities in effective way and will earn success and prosperity.