Accomodation Type / Applicant ID

Marital St… Loan Type Gender Rented Owned Family Ot… Company … ESD16I003

Married Home Loan Male 1,422 653 758 68 ASSIGNMENT-2

Female 139 53 61 6

Total 1,561 706 819 74 From the given data, Home Loan was
taken by majority of the people which
Home Improvem… Male 25 219 49 2
shows us the safety and security in
Female 4 21 3 - terms of property.
Total 29 240 52 2
Rented community is applying for
Total 1,590 946 871 76 more Home loan and improvement
loan.
Single Home Loan Male 154 55 75 7

Female 14 4 4 1 Owned community where half than

Rented shows us that no much are
Total 168 59 79 8
interested in owning more than one
Home Improvem… Male 1 15 9 - house.
Total 1 15 9 -
Married are higher community going
Total 169 74 88 8 for loans in both the types because of
the safety and security they want for
Others Home Loan Female 8 5 11 2
their family.
Male 4 1 5 2
 The di erence between Married and
Total 12 6 16 4
Singles shows that Married people
Home Improvem… Female - 3 1 - are going for steady and stable life
style.
Total - 3 1 -

Total 12 9 17 4

Grand total 1,771 1,029 976 88

 Monthly Salary EMI Affordable Balance in Savings Account Monthly Salary EMI Affordable
50K 50M
14,104.59

Balance in Savings Account | Monthly Salary |

13,382.09
10,991.58 11,342.59 10M
23,363.69 23,845.81
20,295.48 5M
16,838.81
10K
1M
5K 500K

EMI Affordable
100K
Monthly Salary

50K
1K
10K
500 5K

1K
500
100
0
50 65 33 36 40 29 35 19 28 11 16 9 6 4 3 5
No. of Years in the current job

10
Family Other Rented
Owned Company Provided
The bar chart between average value of Monthly salary and EMI
a ordable in all the accommodation type shows us that
irrespective of loan type bank follows a same minimum percentile
di erence between Salary and EMI a ordable.
Monthly Salary EMI Affordable Balance in Savings Account
Taking account of Salary and Balance in savings account the EMI
50M
a ordable would di er by 30%   
Monthly Salary | EMI Affordable | Balance in Savings

10M
5M From the experience in the current job we get to know early ages
the balance in savings account and salary are similar at early
1M stages of life the cost of living is lower compared with that of
500K increasing years in current job.
Account

100K
50K
Years in current job also shows the stability in a customer job.

10K At high years of experience the bank balance is pretty low at that

5K stage of life, near retirement paying the amount back was burden
to the customer. Hence bank need to thread carefully when a huge
1K amount was requested by a customer near his/her retirement age.
500
0
61 53 51 48 45 21 50 23 26 13 18 40 7 20 5
No of years in the current address
With the years of stay in current address tells us that a person with a Married Others Single
signi cant balance in savings has less risk factor. 64
60
56
Low years in stay and signi cant balance means there may be a
52
possibility of transfers for them due to jobs.

No. of Years in the current job

48
44
Singles are having less than 12 years of experience and a max of 32 40
36
years in current address which comprises of their age.
32
28
From all these observations, a Married person having experience of 24
15-30 and current address of 10 years can be given loan irrespective 20
16
of accommodation type or loan type, since they have a smooth curve 12
of income and living. 8
4
0
12 16 20 24 28 32 36 40 44 48 52 56 60 64
No of years in the current address

Loan Amount Requested payment This stacked bar shows us that higher the
175 Term value higher the payment the
150 customer needs to pay to the bank 
162
177 Which in turn is more pro table to the bank.
174
82
As more Terms are present the EMI will be
160
lower, this increases the interest given to
48
the bank.
132
72
Most of term that is taken is 180-2 and half
156
years of span.
144
84
Taking the experience in job, salary and
savings the EMI and Term can be
180
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
calculated.

More the Term period higher the pro t.

 Married Others Single
Term
190 200

170
168.03
150
150

130

Term
100
110
Term

81.57

90 50

70

0
50 Home Loan Home Improvement

30

10
Though the EMI is in their savings range lots of people are
2K 4K 6K 8K having 180 term period.
EMI Affordable
Most of the Single customers prefer long term policy than
short term which strengths the saying that life gets tough as
goes on.
Term

Having higher term is best option for the bank as well as the
180 customer.
170
160
150 For Home Loan customer the average term period is 180 and
140 for improvement 90.
130
120
110 As loan amount is near 3,00,000 the term period is reduced.
Term

100
90
80
If the applicant applied for home loan the proposed term is
70 180-140. For home improvement is 120-60.
60
50
40 NOTE:-  For more pro t choose the longer period int he range
30 for all the loan type, which not only pro table but also
20
10
reduces burden for the customer . Here we need check
00 00 00 50 00 00 00 00 00 00 00 00 00 00 00 00 whether there have a way to pay the EMI by the given time
00 410 400 192 240 830 874 680 770 870 500 300 900 600 380 290
41 3 6 7 3 2 5 8 2 4 6 4 6 1 5 1 which makes us think of years of experience in current job.
Loan Amount Requested
 Balance in Savings Account Monthly Salary EMI Affordable
100%

80%
Balance in Savings Account

60%

40%

20%

0%
… … … … … … … … … … … … … … … … … … … … … … … … …
0,0 0,0 0,0 0,0 0,0 0,0 0,0 0,0 5,0 0,0 0,0 0,0 0,0 0,0 0,0 0,0 0,0 0,0 5,0 0,0 0,0 9,2 0,0 0,0 7,7
50 70 40 68 37 80 90 15 62 35 75 58 10 78 64 95 63 17 73 74 42 71 32 79 44
Loan Amount Requested

Accomodation Type Average Salary Max of Salary Applicant ID Balance in Savings…

Rented 23,845.81 337,500 1,771 37,665.5
Owned 20,295.48 500,000 1,029 19,325.79
Family Other 23,363.69 209,300 976 31,620.66
Company Provided 16,838.81 40,191 88 52,078.57

Here for a particular loan amount EMI a ordable is highly depended on Monthly Salary.  As the Rented applicants are more the
average salary is higher. The average salary of all apart from Company provided is equal where as for company provided it was
low.

The EMI is only depending on Salary and Savings rather than loan amount, the bank checks whether the customer can pay the
amount or not.
 Loan Amount Requested Down Payment
50M
Loan Amount Requested | Down Payment

10M
5M

1M
500K

100K
50K

0
00 80 00 00 73 00 80 25 87 32 00 00 50 33 19 13 48 91 47 27 29 73 08 75
80 189 180 350 231 160 254 106 128 61 360 108 115 143 195 197 425 40 135 105 241 161 186 208
Monthly Salary

Down payment shows us the amount they have at the

back end apart from the loan requested.

Applicant ID Applicants with the 20-30 of experience had higher

50M down payment investing capacity.

Loan amount requested and down payment is

10M
similar in most cases but in few down payment goes
to  extremes.
Down Payment

5M

Conclusions:-
1M
From all above applicant with 15-30 years of
500K experience, with similar down payment  and loan
amount request are very low risk customers where we
can sanction loan easily.
100K
15 20 25 30 35 40 45 50 55 60
No. of Years in the current job