Chapter One: - Introduction of the Report

1.1 Background of the Study

As a requirement for the fulfillment of our BBA program of Daffodil International University I have to perform three months internship. As a student of BBA I have gathered enough theoretical knowledge, and now I want to put my potentiality in the practical field. Uttara Bank Ltd. has given me the opportunity to commence my internship there from 18-10-2011 to 17-01-2012. Internship Program brings a student closer to the real life situation and thereby helps to launch a career with some prior experience. During the internship program, students are required to prepare a report on the organization where they have been attached. Uttara Bank Ltd. and all the officials always encourage and welcome the students for their internship program. I have tried my best to properly apply my potentiality and theoretical knowledge to make the report reliable and information worthy. My honest effort will be regarded as successful if this dissertation fulfills the objective of the program.

1.2 Scope of the study.

The study covers general activity of UBL. This report gives a narrative overview of general banking department of UBL, Shamoly Branch, Dhaka. It consist my decision and experiment during the internship period. This report incorporate deferent side of general banking service and effect on the performance of the bank

1.3 Objective of the study

This study provides me valuable practical knowledge about general banking operation system. It will also help me to develop my concept of banking and its operations. The objectives are To know about the general banking activities of Uattra Bank Ltd. To find the problem associated with general banking department To recommend some strategies, some policies, to improve the banking activities.

To recommend way and mean to solve problem regarding of Uttara bank ltd. To apply theoretical knowledge in the practical field

To identify the major strength and weakness of Uttara bank ltd in respect to other bank

1.4 Significant of the study

Financial institution and intermediaries that stand between ultimate borrower an ultimate lender are known as banking financial institution .banks perform this function in two way taking deposit from various in deferent form. General banking is the front side banking service department. When I have worked in general banking I have seen that every task in bank is inter related with general banking an every customer in bank start their task from general banking operation. I believe that if the employers follow my suggestion and recommendation that I have identified during my working period , they can overcome the problem and they will be able to provide better service to customers. There are a lot of people in our society who do not know properly the function of banking institution. They can get knowledge from this study.

1.5 Methodology
Research Design: The research has been conducted based on explanatory research method

Identifying data Sources:

Essential data sources both primary and secondary had been identified which were needed to complete and workout the study. To meet up the need of data Primary data are used and the study also required interviewing the officials and staffs, clients where necessary. Secondary data sources were files, documents, website of the bank, relevant books, etc.

1.5.1 Primary Source

Officials Observation and supervision Clients

1.5.2 Secondary Source

Annual reports & documents of UBL Newspaper, journal, articles etc. Credit Policy Manual Different books and periodicals related to the banking sector Bangladesh Bank Report

Website of Uttara bank Limited

Office circulars

1.5.3 Method of Data Collection:

For preparing this paper, I used both Secondary and Primary data. Some data collection methods are: Consultation with bank officials Observing the activities of different departments of UBL. Discussion with the supervisor. Face-to-face conversation with the clients

1.5.4 Primary Data:

Practical experience and queries from the executives while doing my internship at The Uttara Bank Ltd. Some data are collected from Informal discussion with the executives of the bank.

1.5.5 Collection of Secondary Data:

Most of financial data are collected from the Annual Reports of the year 2009, 2008 , 2009,2010,2011 Some data are collected from different vouchers, Website of UBL I also used different Manuals and Publication of The Uttara Bank Ltd. to collect some information.

1.5.6 Data Analysis and Reporting: To analyze the gathered data of Consumer
Credit Scheme department, I used different types of charts, tables and graphs. To do that analysis I used different types of computer software like Microsoft Word and Microsoft Excel.

1.5.7 Findings of the study: After finding out the data problems of the study were
pointed out and they were shown under concerned heads. Recommendations were suggested thereafter to overcome the problems.

1.5.8 Final report preparation: On the basis of the suggestions of my honorable

supervisor some deductions and additions were made and final report was prepared thereafter.

1.6 Limitations of the Report:

I have tried my best to provide with all necessary information about Uttara bank limited but the main problem faced in preparing the paper was the inadequacy and lack of availability of required data. This report is an overall view of General banking activities of The Uttara Bank Ltd. In spite of having the wholehearted effort, there exist some limitations, which acted as a barrier to conduct the program. The limitations were - Difficulty in accessing latest data of internal operations for data security. Since the bank personnel are very busy with their activities, as a result they were unable to provide much information about the report. Every organization has their own secrecy that is not exposed to others. Consolidated data related to the study were not available for the current year. So the most of the information is used from the previous years. The officials did not want to provide all the information that was needed by me . So some assumptions have been made. With all of this limitation I tried my best to make this report as best as possible. So readers are requested to consider these limitations while reading and justifying any part of my study.

Chapter two: Organizational Part

2.1 Introduction of uttara bank ltd.

At first Uttara bank Limited was established in 1964 named as an EASTERN BANKING CORPORATION. After liberation war it was changed to Uttara bank. In 1984 it issued its share through stock exchange and named as Uttara bank ltd is one of the largest and oldest private sector commercial banks in Bangladesh with years of experience. Adaptation of modern technology, both modern equipment and banking practice ensure efficient service to their customers. After starting operation as a commercial bank from November 1, 1985 on words, side by side with the traditional products it also started providing all types of foreign exchange related services to its different categories of clients. As such the establishment of a strong international division was felt since the very inception of the bank.
The Uttara bank ltd has 207 branches all over Bangladesh through which it carries out all its banking activities. Besides, the bank has 38 authorized branches to handle the foreign exchange. Uttara bank ltd has also 686 correspondents all over the world (including USA, UK, Canada, Australia, Russia, and China, Japan, India, France, Germany, Brazil Egypt, Singapore, etc.). The bank is listed in the Dhaka Stock Exchange Ltd. and Chittagong Stock exchange Ltd. as a publicly quoted company for trading of its shares. Now days Uttara bank operate theirs banking business successfully in market. It has become so much popular to customer for their trustiness and greeter experience. Uttara bank ha became one of the leading private bank for its history in Bangladesh as a commercial bank . it provide service to customer better then other banks in the market

2.2 Objectives
The objective of Uttara bank ltd is specific a targeted to its vision and to position itself in the mindset of the people as a bank difference. The objective of Uttara bank ltd Ltd is as follows Building a strong customer focus and relation ship based on integrity, superior service To continue an host open enabling environment To value and respect people and make decision based on merit To drive for profit and sound growth To value the fact that they are the member of the Uttara bank ltd. family committed to the creation of employment opportunity across Bangladesh To work as a team to serve the best interest of our owner s To relentless in pursuit of business innovation and improvement To base recognition and reward on performance To responsible, trustworthy and law abiding in all that we do To mobilize the saving and channeling it out as loan or advance as the company approved To established maintain carry on transfer and undertake all kinds of investment and financial business including underwriting managing and distributing the issue of stock debenture and other securities To finance the international both in import and export To develop the stand eared of living of the limited income group by providing consumer credit service To encourage the new enterprise for investment and thus to develop the countries industry sector and the economic development.

2.3 VISION
The vision of the uttara bank are given below To establish and maintain modern banking technique to ensure Try to encourage savings in the form of direct investments. Be one of the best banks in Bangladesh. To contribute in the socio economic development of Bangladesh. To establish relationship banking and improve service quality To ensure optimum utilization of all available resources. the soundness and development of financial system.

through development of strategic marketing plan.

2.4 Mission
Establishing banking through the introduction of welfare oriented banking system and also ensuring equity and justice in the field of all economic activities, achieving balanced growth and equitable development through diversified investment operations, particularly in the priority sectors and development areas of the country; encouraging socio economic uplift and financial services to the lower income communities, particularly in the rural areas

2.5 Goal
Uttara bank will be absolute market leader in the number of loan given to small and medium sized enterprise through out Bangladesh. It will be a world class organization in terms of service quality and establishing relationship that help its customer to develop and grow successfully. It will be the bank of choice both for its employees and its customer the bank in this part of the world.

2.6 Strategies
The Uttara bank has very strong strategies for the banking making itself stronger the banking business. The strategies are the following. Value the fact of number of the Uttar bank Creating an honest open and enabling environment Have a strong customer focus and built relationship bases on Strive for profit and sound growth Work as a team to serve the best interest of our owners Relentless in pursuit of business innovation and improvement Value and respect people and make decision based on merit base

integrity , superior, service and benefit

recognition and reward on performance Responsible

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2.7 Profile of the UBL

Name of the organization: History: share & named Year of establishment: Nature of organization: Products: Shareholders: Uttara bank ltd. 1984, issued as Uttara bank Limited 1964, named Eastern Bank Corporation Private commercial bank Banking Services Main shareholders Including leading business The Board of Directors Industries magnets of and the

country Consist of 13 members. Most of the director is owner of large business group 3562 Business Enterprise and

Total employee Customers: Head office:

Individuals Uttara bank ltd. Uttara Bank Bhaban, Commercial Bangladesh. 90, area Motijheel Dhaka

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2.8 Board of Directors

DESIGNATION
Chair person Vice Chairperson

NAME
Azharul Islam Md. Fazlur Rahman

Directors

Md. Asaduzzaman Badrunnessa (Sharmin) Islam Md. Mahfuzus subhan Abul Barq Alvi Faruque Alamgir Prof. Mirza Mazharul Islam Prof. Sharif Md. Shahjahan SyedA.N.M. Wahed Shah Habibul Haque Sk. Amanullah Major Gen. Prof. M.A. Mohaiemen (Retd.) Shamsuddin Ahmed Md. Fazlur Rahaman

Managing Director Company Secretary

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2.9 List of the UBL Branches UBL Networks

Corporate office 2

Regional offices

12

World wide affiliation

600

Total branches

207

Authorized branches

dealer

38

Treasury and dealing room Training institute

Number of employees

3562

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2.10 Organization hierarchy

Managing Director (MD) Deputy Managing Director (DMD) Senior Executive Vice President (SEVP) Executive Officer(EO)Officer Senior Vice President (SVP) Executive Vice President (EVP) Vice President (VP) First Assistant Vice President (FAVP) Assistant Vice President (AVP) Senior Principal Officer (SPO) Principal Officer (PO) Trainee Officer Junior Officer Assistant Officer Trainee Assistant Officer

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2.11 Financial Performance of Uttara Bank Ltd:

Uttara Bank Limited a blend of expertise in place to meet varied needs of modern customers. The bank aims at mobilizing untapped money of the country and prudent deployment for productive activities in the form of lending at a competitive interest rates/loan pricing. Towards attainment of its goals and objectives, the bank pursues diversified credit policies and strategic planning in credit management. To name a few, the bank has extended micro credit, consumers durable scheme loans, house building loans etc. to cater to the needs of the individuals, which in turn has helped thousands of families. The bank also extends loan in the form of trade finance, industrial finance, and project finance, export & import finance etc. The bank's credit policies aimed at balanced growth and harmonious development of all the sectors of the country's economy with top most priority to ensure quality of lending by averting growth of non-performing assets.

2.11.1 Capital:
The authorized capital of the bank is Taka 2000 million. Total shareholders" equity increased by 44.81% and stood at Tk. 3,119.65 million at the end of 2010 as against Tk.2154.29 million in 2007. The increase was due to issue of bonus shares for Tk. 116.67 million and right share for Tk.256.67 million (including premium) and also increases in statutory reserve. Total capital stood at Tk. 3,504.44 million against Tk.2390.62 in 2009 and maintained a ratio of 12.81% of total risk weighted assets against the standard of 10%. At the end of 2010, statutory Reserve of the Bank stood at Tk. 528.53 million as against 330.63 million in 2009.
Year 2006 2007 14,782.15 2008 21,060.77 2009 30,382.22 2010 38475.64

Total Assets 12,059.71

Source: Annual Report of UBL, 2010 Table: Total Assets

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total asset in million

40000 35000 30000 25000 20000 15000 10000 5000 0 2006 2007 2008 year 2009 2010 12060 14782 21061 30382 38476

2.11.2 Share Holders Equity:

Total shareholders' equity increased by 44.81% and stood at Tk. 3,119.65 million at the end of 2010 as against Tk.2, 154.29 million in 2009. The increase was due to issue of bonus shares for Tk. 116.67 million and right share for Tk.256.67 million (including premium) and also increase in statutory reserve. Statutory reserve increased by Tk. 197.90 million. The following table is showing total equity in different year: Year Total equity 2006 870.69 2007 991.97 2008 1,155.00 2009 2,154.29 2010 3119.65

Table: Total Equity Source: Annual Report of UBL, 2010

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Total equity
3500 3000 2500 2000 1500 1000 500 0 1 2 3 Year 4 5 870.69 991.97 1155 2154.29

3119.65

2.11.3 Reserve:
The bank raised Statutory from Taka 67.88 million in the year 2010 to Taka 528.53 million in the year 2008. The following table shows year-wise reserve: Year 2006 2007 2008 2009 2010 Statutory Reserve 67.88 112 214.67 330.63 528.53

Source: Annual report of UBL, 2010 Table: Statutory Reserve

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Reserve
600 500 million In taka 400 300 200 100 0 2006 2007 2008 Year 2009 2010 68.88 112 214.67 330.63 528.53

2.11.4 Deposits
In the year 2010 the deposits of the Bank shot up to Taka 32,919.76 million from Taka 27,101.59 million as recorded in the year 2009. The increase in deposits during this period was recorded as 21.47%. The combination of competitive interest rates, depositors' trust in the Bank and mobilization efforts of the Bank Management resulted in this notable growth of deposits.
Year Deposits 2006 9,314.95 2007 12,704.90 2008 18,985.95 2009 27,101.59 2010 32,919.76

Source: Annual report of Uttara Bank Limited, 2010 Table: Total Deposits

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Toatl Deposit
35000 30000 25000 20000 15000 10000 5000 0 2006 2007 2008 Year 2009 2010 9314.95 12704.9 18985.95 27101.59 32919.76

Chart: Total Deposits

2.11.5 Loans & Advances

Total loans & advances of the Bank as on 31 December 2010 was Taka 27,528.08 million as against Taka 18,682.16 million in the year 2009, showing an increase by 47.35% over the preceding year. The credit portfolio of the bank is a mix of scheme loans, namely-Renovation and Reconstruction of Dwelling House Loan (RRDH), Consumers Durable Scheme Loan (CDS), Marriage Loan, Car Loan, HBF Loan and Commercial Loan. Commercial Loans comprise Trade financing in the form of working capital and industrial loans (both large and medium scale industries) with both funded & non-funded credit facilities.

Year 2006 2007 2008 2009 1010

Loan & advance

6804.45 9738.32 13188.09 18682.16 27528.08

Source: Annual Report of UBL, 2010 Table: Loan and Advances

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6804.45 9738.32 2006 2007 2008 2009 13188.09 2010

27528.08

18682.16

Chart: Loan and Advances

Term financing indicates the Bank's participation in the industrial development of our country while by extending small loans the UBL has fulfilled the borrowing needs of the low and medium income groups of our society. The bank as a matter of priority in its policy wants to ensure quality of its Loan Portfolio by strengthening post disbursement recovery measures as well as by prioritizing on Early Warning System (EWS) to check the growth of nonperforming assets.

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2.11.6 Profit and operating results

The Profit and operating result are shown in the following table: (Figures are in million)
Year Total income 2006 1046.36 1444.6 operating Total expenses 782.09 operating Operating profit Net profit (after tax) 216.38 114

264.27 264.27 546.89 853.71 1252.44

2007
2008

1148.33 297.28
474.31

844.18 1328.03 2006.11

263.15 239.02 463.05

2009 2010

753.67

Table: Total Income, Total Expense, operating Profit& Net Profit

Net profit
500 450 400 350 300 250 200 150 100 50 0 1 2 3 Year 4 5 114 216.38 263.15 239.02 Series1 463.05

Chart: - Net Profit

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Chapter Three: The Project and Learning Part

3.1 General Banking

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General Banking department performs the majority functions of a bank. It is the core department. In fact, bank operates with the people's money. And this process starts with the General Banking Department. This department does the most important and basic work of the bank. All other departments are linked with this department. It also plays a vital role in deposit mobilization of the branch. Uttara Bank Limited provides different types of accounts, locker facilities and special types of savings schemes under the General Banking Department. For proper functioning and excellent customer service, this department is divided into various sections namely as follows: a) Accounts Opening Section b) Cash Section c) Clearing section d) Remittance Section

3.1.1 Accounts Opening Section:

Account opening and customer service is an important part of the general banking. All kind of customer service is provided in this section. This department important because customers are directly involved in this section and every employee try to provide best service for each and every customer. Under this section, Uttara Bank Limited officer opens different types of accounts on the request of clients. The procedure of opening account is given is given below.

PROCEDURE FOR OPENING OF ACCOUNTS:

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Client comes to the branch and show interest to open an account Check what type of account he/she is interested on Know Your Customer first. Check whether the client meets the required criteria to open an account and has necessary documents and information with him/her

If

the

customer

has

all

If the customer doesn't have necessary documents with him, serve him the application form and inform the required documents to bring with the application next day

documents with him give him the application form to fill up

Check the application form carefully

If OK, check whether the application includes necessary documents as described in the Documents Checklist Check the Nominee Information. Giving a nominee is must. Nominee should be nearest relation: Son/Daughter, Wife/Husband, Father/Mother, etc.

Get opening approval from JO / GB In charge

Send account opening forms to FAVP, AVP and VP for processing

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3.1.2 Cash Section

Procedure of cash receipts:
While receiving cash the receiving cashier should see that the The paying in slip doesnt bear the name of another branch or the The title and number of account have been mentioned on the The amounts in the words and in the figure are the same. The particulars and amount on the pay in slip and the counter foil The cashier should receive money, count it and mention the

paying in slip has been properly filled in. customer has not mentioned the name of another branch. paying in slip and the counterfoil.

are same. denomination of on the back of the paying in slip and see that the total tallies with the amount of the paying slip. He should count the currency notes again and verify the amount He should enter the particulars as to the name of the party, which is mentioned on the paying slip. account number and amount in to receipt register. He should then hand over the paying in slip and the receipt He should sign on the both the parts of the paying in slip i.e. After the close of business hours, he should balance the cash register to the authorized person, officer in charge /head cashier. voucher and counterfoil. receipts from the register and should keep the cash ready for checking by authorized person.

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Procedure of Cash Payments:

The payment cashier first sees the cheque the amount in the words and in the figure and point both are the same. Then he should request the presenter of the cheque to sign on the back of the cheque The cashier sees the signature of the ledger keeper and in case of big amount the signature of the officer and the manager are there on the cheque as token of having posted as a supervised the cheque. If the cheque is payable to the order of payee, the payee or endorsee has been properly identified. Then he should take out cash and call out name of the party and ask him about the amount of the cheque and his token number. If the amount stated by the party differs from the cheque amount, he should tally the token number; if the token number is same and the amount differs he should report the mater to the officer in charges or manager. He obtains another signature of the party on the back of the cheque. Then he compared the second signature with on first one already on it. He ask the amount of cheque and count the cash for the second time before making payment .When satisfied in all respect he makes the payment. He should affix the CASH PAID stamp bearing the date of payment. He put the full signature under the cash paid stamp. He enters the particulars of the cash payment in his/her payment register

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3.1.3 Clearing section:

UBL Local Office branch performs the bill clearing function through Local office. Uttara Bank Limited Local office acts as the agent of all UBL branches for the clearing house of the Bangladesh Bank. There are two types of cheque which areI. Inward clearing cheque

II. Outward clearing cheque.

(I) Inward Cheques: Inward cheques are those ones drawn the respective branch which have been presented on other banks and will be cleared / honored through the clearing house of Bangladesh Bank. For example: the cheque drawn on Uttara Bank Limited Local Office Branch. Then the cheque is called inward cheque of Uttara Bank Limited Local Office Br, Accounting treatment: Uttara Bank Ltd General Account (local office) ----------------Dr. Customers A/C----------------Cr. If the instrument is dishonored, the instrument is returned to the local office branch through I.B.D.A along with the following entries. Customer's A/C Debit. Credit.

Uttara Bank Limited General A/c

Inward cheque can dishonor by the local branch. The reason of dishonor is given below: Signature differ Insufficient account balance Authorized signature ignorance

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 Refer to drawer Endorsement seal ignorance Special crossing ignorance Post dated cheque etc. (II) Outward cheques: Outward cheques are those ones drawn on other bank branches which are presented on the concerned branch for collection through clearing house of Bangladesh Bank. These cheques are called outward cheques. For example, the cheque drawn on Mercantile Bank LTD, Kawran Bazar Br has been presented on Uttara Bank Limited Local Office Br. This cheque is called the outward cheque of Uttara Bank Limited Local Office. Hence it is said that the cheque which is the inward cheque of one bank is the outward cheque of another bank. Whenever a cheque is brought to the collection officer does two functions:

Giving the special crossing with "Uttara Bank. Local Office Branch"

Endorsed by the collecting bank. The following table is showing endorsement of instrument hi Uttara Bank Limited

3.1.4 Remittance Section

Remittance is another significant part of the general banking. The bank provides services and various types of bills through the remittance within the country. Clearing activities are performing in the remittance department. The payments and collection with other banks are done as clearing activities. Obviously, the bank charges commission on the basics of bills account. At present, the department follows up the fixed deposit schemes as well. Types of remittance are as follow.

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(I) Telegraph Transfer (TT)

TT is one of the quickest methods for remittance. All incoming telexes are kept in the telex room and test agreed. One copy of telex is kept in the file and other is worked on. Payments of incoming TT's are made either issuing DD or Po depending upon the requirement of the customer. All incoming telexes are kept in the telex room.

Test agreed

One copy of telex is kept in the file and other is worked on. Payments of incoming TT's are made either issuing DD or Po depending upon the requirement of the customer.

Figure 5: Telegraph Transfer process flow

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(II) Pay Order A Pay-Order is issued only with in the members of Bangladesh Bank clearing house. It can be issued in favor of a customer holding account by debit his/her account and crediting bills payable account. In case of non-customer, cash equivalent of payment plus pay order charges is received in cash and held in daily expanses account until the payment is made through clearing.
1. Pay Order issue > Cash Deposit. > Chaaue Deoosit

2. PO is given to favoring party

3. Deposit PO for clearing

4. Send to clearing in Bangladesh bank

5. Payment of PO from issuing Bang

6. Deposit of money

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7. Client Account Credit

Figure 5: Pay Order process flow (III) Demand Draft (DD) Demand Draft is as same as Pay Order, but it can be drawn on other branches of The Uttara Bank and Bangladesh Bank. A DD is drawn on the bank's other branches when payment has to be made outside of Dhaka. The bank has to have a branch over there and prayer should have an account with the bank.
Mr. "x" given an application to bank to issue a DD favoring MR. Y

Bank "A " (Outside the local clearing zone)

Issue DD

Favoring client mention the paying Bank near to client

Client's" (Submit the DD to his Bank)

Bank submit DD for clearing Process

If DD is owned the client account is credited

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Figure 6: Demand Draft process flow

3.2 Deposits offered by Uttara Bank

Concept of deposit:
Deposit is the foundation of the general banking. Deposit is just like a media by which clients can save or disburse the money under some considerations and become able to take loans from the bank .Deposit provides most of the raw material for bank loans and represents the ultimate sources of profit and growth. Deposit generates legal reserve. If legal reserve of a bank is not more, then new loans are created. If a bank contains higher deposit fund with lower interest and availability of enough deposit to make a fund to make enough loan according to the willingness of the bank that types of would be effective 3.2.1 Classification of Bank Account Basically bank has two types of deposit, these are I. Demand Deposit II. Time Deposit (I) Demand Deposit There two types of demand deposit accounts they are 1. Savings Account 2. Current Account (II) Time Deposit There are mainly two types of time deposits, they are 1. 2. Short Term Deposit Fixed Deposit

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3.2.2 Types of deposits offered by Uttara Bank:

1) Current Deposit Account 2) Saving Deposit Account 3) Special Notice Deposit 4) Short term deposit 5) Fixed Deposit Account
6) Smart Savers Scheme (SS) 7) Money Double Scheme (MDS) 8) Educare Scheme (ES)

9) Monthly Benefit Deposit Scheme (MBDS) 10)Lakhopati Savings Scheme

(1) Current Deposit Account:

Current Deposit Account is the net flow of current transactions with no restriction, including services and interest payments. It is an easy-to-use, convenient current account with instant access and withdrawals to your money anywhere in Bangladesh. Types of Current Deposit Account: i. Individual, Joint ii. Proprietorship iii. Partnership
iv. Club, Society, Autonomous body, Directorate etc.

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Rules of Current Deposit Account: A minimum initial deposit of tk. 5000/- shall be required for opening a Current Deposit Account. Withdrawal of money by the customer from the account shall be allowed only through the leaves of the cheque book issued by the Bank. Signature of the customer on the cheque leaf for withdrawal of money shall have to be tallied with the specimen signature recorded with the bank. Payment, in no way, shall be allowed against advance / post dated and torn cheque. The statement of account as furnished by the Bank shall be presumed as correct, if no objection to the same is raised by the customer within a week of receipt of the statement. Bank shall accept order of the customer for stop payment of a cheque and exercise utmost care for meticulous compliance of the said order. But Bank shall not be made liable / responsible, if the said order remains unnoticed inadvertently. Bank shall take maximum care and remain alert to record exactly all the transactions of both credit and debit in the ledger with no fault. However in case of any mistake/lapse Bank shall reserve the right to rectify the same and recover the money from the customer without any reference/notice to the customer. Bank shall not be made liable for any loss/inconveniences error/mistake/lapses. Bank shall charge incidental expenses and recover the same from the account once after every 6(six) months for maintenance of the account. In case of closure of any account within six months from the date of caused to the customer due to such

34

opening of the same, Bank shall deduct TK. 507- from account prior to its closure. Receipt against any cheque/money/instrument/book securities duly signed by the authorized official of the Bank shall be considered as legal one Bank shall reserve absolute right to alter/amend its own rules, regulation as well as rate of interest. This revised rule/rate of interest shall be applicable upon the customer forthwith. Bank will, as per Govt. directives/ notification, realize VAT/ Advance Income Tax/development surcharge/other levy at fixed rate at the end of each calendar year on the basis of balance of 30th December or otherwise as decided by the Govt. from time to time.

Requirements to apply for Current Deposit Account:

(I) Individual, Joint: Following papers / documents are to be required for opening an account in the Individual / Joint name:

2 (Two) passport size photographs duly attested by the introducer. Passport / Identify card / Employer's certificate / Word commissioner certificate. Introducer.

(II) Proprietorship: Following papers / documents are to be required for opening an account in the Proprietorship name: Introducer who maintaining an A/C with this Branch 2 (Two) passport size photographs in each name duly attested by the introducer

Valid Passport / Identify card (For Defense personnel)/Word commissioner certificate in each name

Initial deposit minimum 500/-for opening a new A/C

35

 Declaration of Proprietorship Trade license from Municipality TIN & VAT Certificate Mandate if operation by 3rd party is to be allowed. Account agreement form (III) Partnership: Following papers / documents are to be required for opening an account in the Partnership name: Introducer who maintaining an A/C with this Branch 2 (Two) passport size photographs in each name duly attested by the introducer Valid Passport / Identify card (For Defense personnel) / Employer's certificate / Word commissioner certificate in each name Initial deposit minimum 500/-for opening a new A/C Photocopy of partnership deed registered with registrar of firm duly attested by notary public Trade license from municipality TIN & VAT certificate Photocopy of registration certificate duly attested by Notary Public in case of registered firm Account agreement form Letter of partnership duly signed by all the partners, in case of nonregistered firm

Resolution signed by all the partners to open the A/C Club, Society, Autonomous Body, Govt. Dep't., Directorate etc:

Photocopy of Registration certificate certified by Chairman/Secretary Copy of constitution/ Bye Laws of the Club/ Society/ Association duly certified by Chairman/ Secretary. Certified copy should also be verified

36

 List of Members of Managing Committee/ Executive Committee duly certified by Chairman/ Secretary

(2) Saving Deposit Account:

A Saving Bank account (SB account) is meant to promote the habit of saving among the people. It also facilitates safekeeping of money. In this scheme fund is allowed to be withdrawn whenever required, without any condition. Hence a savings account is a safe, convenient and affordable way to save your money. Bank also pays you a minimal interest for keeping your money with them. Choose the savings account to suit you from our wide range of options. Enjoy convenient, instant access to your savings account at your branch, over the phone or via the internet. These accounts have attractive interest rates. Types of Savings Deposit Account: Individual Joint Club Society Others

Rules of Savings Account

Any person/persons of the age of majority and sound mind can open account single or jointly. The balance shall be payable to him/her/them or the survivor of the joint account. A guardian can open such account on behalf of a minor. Clubs, Societies and other similar organizations can open such account on production of their Bye-Laws, Articles of Association, and resolution thereof. Introduction is necessary while opening Savings Account

37

 No one shall be allowed to open more than one Savings Bank Account in the same name into a particular branch. Every Savings Bank Account shall have a separate account number. Withdrawal of cash shall be allowed only through the leaves of the cheque book supplied by the Bank. A minimum initial deposit of TK. 500/- shall be required for opening Saving Bank Account. Interest payable on daily/minimum balance shall be credited in June and December every year. The interest rate is 6%. The bank will, as per Govt. directives, realize all taxes/ surcharges/ levies at fixed rate annually or otherwise as decided by the Govt. Signature of the Client on cheques fro withdrawal of money must tally with the specimen signature recorded with the Bank. In case of closure of any account within 6months from the date of opening of the same, the bank shall deduct TK. 50/- from the account as closing charge. The bank reserves the absolute right to alter/amend these rules of Saving bank Account as well as rate of interest from time to time. The Bank reserves the right to close any account if the operation appears to be unsatisfactory or on other genuine grounds without assigning any reason thereof Requirements to apply for Savings Account: Individual: Following papers / documents are to be required for opening an account in the Individual / Joint name: 2 (Two) passport size photographs duly attested by the introducer

38

 Passport / Identify card / Employer's certificate / Word commissioner certificate Introducer

Joint:
Following papers / documents are to be required for opening an account in the Individual / Joint name: 2 (Two) passport size photographs duly attested by the introducer Passport / Identify card / Employer's certificate / Word commissioner certificate Introducer

Club:
Photocopy of Registration certificate certified by Chairman/Secretary Copy of constitution/ Bye Laws of the Club/ Society/ Association duly certified by Chairman/ Secretary. Certified copy should also be verified with the original by concerned Bank Officials under seal and signature Resolution of the managing committee/ Executive Committee authorizing opening the A/C with the Bank naming the persons who will operate the A/C List of Members of Managing Committee/ Executive Committee duly certified by Chairman/ Secretary

Society:
Photocopy of Registration certificate certified by Chairman/Secretary

39

 Copy of constitution/ Bye Laws of the Club/ Society/ Association duly certified by Chairman/ Secretary. Certified copy should also be verified with the original by concerned Bank Officials under seal and signature Resolution of the managing committee/ Executive Committee authorizing opening the A/C with the Bank naming the persons who will operate the A/C List of Members of Managing Committee/ Executive Committee duly certified by Chairman/ Secretary

Others:
Photocopy of Registration certificate certified by Chairman/Secretary Copy of constitution/ Bye Laws of the Club/ Society/ Association duly certified by Chairman/ Secretary. Certified copy should also be verified with the original by concerned Bank Officials under seal and signature Resolution of the managing committee/ Executive Committee authorizing opening the A/C with the Bank naming the persons who will operate the A/C List of Members of Managing Committee/ Executive Committee duly certified by Chairman/ Secretary

(3) Special Notice Deposit:

Special Notice Deposit is the net flow of current transactions including services and interest payments. It is an easy-to-use, convenient current account with instant access and withdrawals to your money anywhere in Bangladesh.

Types of Special Notice Deposit: Public Limited Co. Private Limited Co.

40

 Govt/ Semi Govt. / Autonomous / Corp. Societies / Clubs, etc Rules of Special Notice Deposit: 1. A minimum initial deposit of tk. 5000/- shall be required for opening a Current Deposit Account. 2. Interest rate
3.

Amount/slab wise Deposit Any amount less then TK 1 Crore TK 1 crore above but less then taka 25 crore. TK 25 crore above but less then taka 50 crore. TK 50 crore above but less then taka 100 crore TK 100 crore and above

Interest Rate 4.00% 4.50% 5.00% 5.50% 5.50%

4. Withdrawal of money by the customer from the account shall be allowed only through the leaves of the cheque book issued by the Bank. 5. Signature of the customer on the cheque leaf for withdrawal of money shall have to be tallied with the specimen signature recorded with the bank. 6. Payment, in no way, shall be allowed against advance / post dated and torn cheque.

41

7. The statement of account as furnished by the Bank shall be presumed as correct, if no objection to the same is raised by the customer within a week of receipt of the statement. 8. Bank shall accept order of the customer for stop payment of a cheque and exercise utmost care for meticulous compliance of the said order. But Bank shall not be made liable / responsible, if the said order remains unnoticed inadvertently. 9. Bank may, at the instruction of the customer, collect proceeds or money of the cheque etc. for credit into the account but the same shall be accomplished at the risk and responsibility of the customer. Bank shall always take efforts for early collection but shall not be responsible for any delay or loss, if caused in the process of collection. Cheque/instrument will require to be crossed by the customer before depositing the same in the account. No withdrawal will be allowed against any proceeds not yet collected. 10.Bank shall take maximum care and remain alert to record exactly all the transactions of both credit and debit in the ledger with no fault. However in case of any mistake/lapse Bank shall reserve the right to rectify the same and recover the money from the customer without any reference/notice to the customer. Bank shall not be made liable for any loss/inconveniences caused to the customer due to such error/mistake/lapses. 11.Bank shall charge incidental expenses and recover the same from the account once after every 6(six) months for maintenance of the account. In case of closure of any account within six months from the date of opening of the same, Bank shall deduct TK. 50/- from account prior to its closure. 12.Any change/alteration of address/constitution of the customer must be intimated to the bank forthwith. In the matters relating to mailing and remittances, Bank shall consider the post office and other courier

42

agencies as representatives of the customer and the Bank shall not be responsible for any delay or no delivery of mails or remittances served through such agents.
13. Receipt against any cheque/money/instrument/book securities duly signed by the authorized official of the Bank shall be considered as legal one. 14. Bank shall reserve absolute right to alter/amend its own rules, regulation as well as rate of interest. This revised rule/rate of interest shall be applicable upon the customer forthwith. Bank will, as per Govt. directives/ notification, realize VAT/ Advance Income Tax/development surcharge/other levy at fixed rate at the end of each calendar year on the basis of balance of 30th December or otherwise as decided by the Govt. from time to time. 15. Bank shall reserve the right to close down any account, if the operation of the same appears to be unsatisfactory. Moreover, Bank may close any account on other genuine grounds without assigning reason thereof.

(4) Short Term Deposit

Short term deposit account opening procedure is similar to the saving account. The rate of interest on this type of account is 4.5%per annum .interest rate varies on term of deposit.

Duration Tree months

Interest 6.5%

to less than six months

43

Six months to less than 1year One year to less than two years Two years

6.75%

7.0%

7.50%

Requirements to apply for Short Term Deposit Account: Public limited company: Introducing the A/C by a person / company/ firm who maintaining an current A/C with this Branch 2 (Two) passport size photographs of all the Directors duly attested by the introducer Valid Passport / Identify card (For Defense personnel) / Word commissioner certificate of all the Directors Initial deposit minimum 500/-for opening a new A/C Board Resolution regarding opening of A/C & mentioning authorized persons for operation of the same Valid & up to date Trade license from municipality TIN & up to date TAX clearance certificate Memorandum & Articles of association duly signed by the registrar of joint stock company with seal Account agreement form Certificate of Incorporation List of Directors on the company's letter Head Pad Certificate of commencement of Business Private limited company:

44

 Introducing the A/C by a person / company/ firm who maintaining an current A/C with this Branch 2 (Two) passport size photographs of all the Directors duly attested by the introducer Valid Passport / Identify card (For Defense personnel) / Word commissioner certificate of all the Directors Initial deposit minimum 500/-for opening a new A/C Board Resolution regarding opening of A/C & mentioning authorized persons for operation of the same Valid & up to date Trade license from municipality TIN & up to date TAX clearance certificate Memorandum & Articles of association duly signed by the registrar of joint stock company with seal Account agreement form Certificate of Incorporation List of Directors on the company's letter Head Pad Certificate of commencement of Business

Govt. / Semi Govt. / Autonomous / Corp, Societies / Clubs, etc:

Photocopy of Registration certificate certified by Chairman/Secretary Copy of constitution/ Bye Laws of the Club/ Society/ Association duly certified by Chairman/ Secretary. Certified copy should also be verified with the original by concerned Bank Officials under seal and signature Resolution of the managing committee/ Executive Committee authorizing opening the A/C with the Bank naming the persons who will operate the A/C List of Members of Managing Committee/ Executive Committee duly certified by Chairman/ Secretary

(5) Fixed Deposits

45

Many export bankers think that the fixed deposit receipt is not an account. It is merely a deposit receipt. It is popularly known as time deposit. Because this deposit is not repayable on demand but there is a withdrawal subject to period of notice. The prospective fixed deposit holder is expected to fill up an application form prescribed for the purpose, stating the amount and the period of deposit. The application contains the rules and regulations of the deposit including the space specimen signatures Any Bangladeshi national residing home or abroad may open FDR with UBL. FDR may be opened in single/joint name for a period of 3, 6, 12, 24 and 36 month UBL offers attractive rate of interest in FDR.

Time period 3 months & above but less than 6 months 6 months & above but less than 1 year 1 year & above but less than 2 years 2 years & above but not more than 3 years

Interest Rate 9.50% 10.00% 10.50% 11.50%

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(6) Smart Savers Scheme (SSS):

The name of the scheme is Uttara bank Smart Savers Scheme (SSS) 1 and an Account holder subscribing to this scheme will be called SSS Account holder. Terms & Conditions

Amount 500

3 years 20,316
40,632 81,264 121,897 162,529

5 years 36,717
73,434 146868

7 years 55,851

1,000
2,000 3,000 4,000

111,702
223,403

10 years 90,691 181,383

362,766 544,149 725,532

220,303
293,737

335,105
446,806

906,914 5,000 203,161 367,171 558,508 1. An applicant can open SSS accounts in his own name, in his/her spouse's name or in the name of his/her children operated by the guardian. The maximum number of SSS accounts from a single family cannot exceed five. Applicant's having a Savings Account with any of the branches of "UTTARA BANK" will be given preference to a SSS Account. However, a customer can directly deposit the amount in the SSS accounts also
2. The tenure of the SSS scheme would be 3/5/7/10 years at the discretion

of the applicant 3. Interest rate 7.78% to be credited quarterly and effective interest rate 8.00% p.a. 4. The initial tenure as chosen by the applicant at the time of opening the account is not amenable to change

47

5. The first installment may be deposited on any date of the month but subsequent installments shall have to be deposited by the 10th day of every month. Advance payment of any number of installments is acceptable 6. A Passport Size Photograph is required to open the account 7. Any benefit from TSS scheme may come under preview of Income Tax or Any other Levy imposed by the Government
8. Monthly installments will be automatically realized from the applicant's

Savings Account linked with the SSS account or direct deposit in the account 9. In the event of failure to pay any monthly installment, it will be sole responsibility of the TSS account holder to settle the arrear installments before or along with the next due through a written instruction to the bank. In such case there will be a penalty of Tk.50.00 for per installment amount to be paid with subsequent installment 10. No interest will be payable if encashment would be occurred within one year. If the premature encashment would be occurred after one year in that case he/she will be entitled to get prevailing saving rate 11. In case of premature closure of the account Tk.lOO.OO/-(Taka One Hundred only) will be charged as closing charge 12. No cheque book will be issued to the client under this scheme
13. If there is any Overdue/Classified loan in the name of the Account

holder with "Uttara Bank", then "Uttara bank" shall have the right to adjust the loan amount from the deposit which has been deposited by the account holder 14. Loan may be allowed up to 80% of the deposited amount but not below Tk. 1,00,0007-against lien/pledge of the same amount 15. Any account can be transferred from one branch to another, in that case Tk.25/- will be charged as Account Transfer Fee 16. In case of death of the applicant the relevant account will be closed, Nominee/ Nominees will receive the proceeds of the account(s). If the

48

nominee is a minor, the proceeds of the account will go to the legal guardian of the minor.

(7) Uttara bank Money Double Scheme (UBMDS):

The objective of this scheme is to double the deposited amount in the following way: Deposit Value 10,000 or multiple thereof Maturity Value 20,000 or multiple thereof Years 9 years Rate of interest 7.78%

Terms & Conditions 1. Interest rate 7.78% to be created quarterly and effective interest rate 8.00% p.a. principal will be doubled by 9 years
2. The name of the scheme is "UTTARA BANK MONEY DOUBLE

SCHEME (UBMDS)"
3. An applicant can open this account in his own name, in his/her spouse's

name or in the name of his/her children operated by the guardian. The maximum no. of this account from a single family cannot exceed five.
4. An order instrument mentioning the amount payable after maturity shall

be issued favoring the depositors. 5. In case of discontinuation of the scheme, account will be settled as below:

49

Different duration Treatment Applied Rate of Interest Less than 1 year No interest More than 01 years but less than 03 Prevailing interest rates on Savings years Account More than 03 years but less than 05 Interest of first three years years More than 05 years but less than 07 Interest of first five years years More than 05 years but less than 07 Interest of first five years years

6. The depositors may select nominees. 7. In case of death of the depositor, the amount at discounted rate will be payable to the nominees or in the absence of nomination, to the legal heirs of the depositor. 8. Loan facility may be allowed up to 80% of deposit against lien/pledge on such instrument at Bank's prescribed rates and rules but not below taka 50,0007-. 9. In case of lost instrument, duplicate instrument shall be issued as per rules of lost instrument in FDR. 10. Any Account can be transferred from one branch to another, in that case, TK. 257-will be charged as Account Transfer Fee. 11. The depositor should fill up to prescribed form designated for this purpose. 12. Interest on this scheme is subject to Income Tax/Levi/Vat etc. as and when imposed by the government. 13. The Bank reserves the right to make change / alternation / amendment / additions / modification etc. to the account and to its related charges fees etc. at any time / stage without assigning any reasons whatsoever

50

(8) Uttara Bank Educate Scheme (UBES):

Students who are eligible to receive refunds from Bank are encouraged to enroll in this deposit. Terms & Conditions
1. The name of the scheme is "UTTARA BANK EDUCARE SCHEME

(UBES)" and an Account holder subscribing to this scheme will be called UBES Account holder.
2. An applicant can open UBES account in his own name, hi his/her

spouse's name or in the name of his/her children operated by the guardian. The maximum number of UBES accounts from a Single family cannot exceed five. 3. A non negotiable & non transferable receipt shall be issued for the deposit under this scheme. 4. The deposit with interest is payable is maturity either in lump-sum or as monthly allowances for 3/5 years starting from the completion of the term. Terms Deposit
Monthly Educare Lump-sum allowance after amount maturity Tk. at maturity with 3 payable years continuity

3 years 5 years

Tk. 10,000 Tk. 10,000

Tk.430 Tk.520

Tk. 13,400 Tk. 16,000

5. To avail of the education allowance, the depositor is required to deposit the receipt with the Bank duly discharged by him / her with the written instruction to pay the amount to the student nominated by him / her on monthly installments basis as stipulated the scheme. i. Tk 643 would be paid per month per lac. Interest rate 7.72%would be credited per month and effective interest rate 8.00% p.a.

51

ii. Deposit at tk 100000 and multiples thereof, but maximum tk 25000000 shall be under the scheme. iii. The deposit shall be for a period of 05 (Five) years. The principal amount is refundable on maturity iv. Profit shall be paid on monthly basis Tk. 900 & net off taxes Tk. 810 per Tk. 1,00,000 v. Payment of monthly profit shall start from the subsequent month after a clear minimum gap of 30 days from date of deposit. vi. The Account holder should have a Savings Account/Current Deposit Account/Short Term Deposit Account of this Bank to open this deposit scheme vii. Normally, the deposit will not be encashable before 05 (Five) years. But if any viii. depositor intends to withdraw his deposit before maturity due to certain unavoidable reasons, he would be allowed to do so in the following manner 1) 2) No benefit including interest shall be allowed for preIf the accounts/deposits are closed/ encased after one year mature encashment within one year of its opening, benefit shall be allowed on the deposit at the prevailing Savings Deposit rate 3) If the amount of monthly profit already paid exceeds the amount payable at normal Savings rate, the difference shall be realized from the principal deposit amount, if and when necessary ix. In case of death of a depositor, the A/C shall cease to be operative and the amount deposited so far shall be paid to the nominee, as mentioned in the account opening form, and in absence of nominee, to the legal heirs of deceased as per rules in force

52

x. Separate Application Form specially designed for the purpose shall be obtained duly filled in and signed by the depositor. In addition to this, the depositor must have a separate Savings Bank Account with the branch wherein the benefit on the amount so deposited shall be credited every month. xi. A specially designed Receipt shall be issued for the deposit under the Scheme in the same manner as issued in case of FDR until such receipt is developed and supplied to the branches, they will use the FDR receipt lying with them xii. The Receipt will not be transferable xiii. Advance against lien on such Receipt can be allowed up to 80% of the deposit bearing normal rate of interest prevalent at the time on Overdraft/Loan xiv. In case the instrument is lost the procedure for issuance of a duplicate^ will be the same as applicable in case of loss of FDR xv. During the period of such Overdraft/Loan, the monthly benefit shall be credited to the concerned Overdraft/Loan Account xvi. Income Tax, @Tk. 10% will be deducted on the income received from the deposit.

(9) Lakhopati Savings Scheme:

At the maturity the depositor will get TK. 1.00 Lac by the depositing monthly installment as per following arrangement: Terms & Conditions: 1) Monthly installment size, tenor and terminal benefit of the scheme will be as follows: Monthly payable in BDT) Duration/ the Scheme Amount payable Rate of

amount (Installment Period

of at maturity (BDT) interest

53

552 13,65 2,462

10 Years 5 Years 3 Years

1,00,000.00 1,00,000.00 1,00,000.00

7.78% 7.78% 7.78%

2) Interest rate 7.78% credited quarterly and effective interest rate 8.00 p.a.
3) Interest @ 10% p.a. will be paid at monthly rest to make the amount of

TK.1,00,000 (One lac) for any of the above size of deposit. Any excess or shortfall shall be adjusted at the time of final payment. 4) No income tax will be deducted from the interested earned. 5) Account in the name of minors can be opened too under the scheme. 6) A person can open more than one account for any size of installment in any branch of the Bank. 7) The specified amount on maturity at any slab shall be paid after one month from the date of deposit of the final installment. 8) No installment shall be payable if encashment would be occurred within one year. If the premature encashment would be occurred after one year in that case he/she will be entitled to get prevailing saving rate. 9) When a depositor fails to deposit any installment, he/she will have to pay a fine @ 5% of the overdue amount payable at the time of depositing the next installments or maximum Tk. 20.00. 10)If a depositor fails to pay 3 (Three) consecutive installments he will have to pay 5% fine of the overdue installments to regularize the account. If they fails to pay more than 3 (Three) installments he will case to remain under the purview of the scheme and the deposit will be treated as Savings Bank deposit and interest will be paid on the deposited amount at prevailing SB A/C rate subject to completion of 1 (One) year of its opening.

54

11)In case of death of a depositor, the A/C will case to be operative and the amount deposited so far shall be paid to the nominee, and in absence of nominee, to the leg heirs of deceased as per rules in force. 12)The depositor will have the option to choose any installment size and period at the time of opening of the A/C and will not be allowed to change the size of installment 13)The installment shall be payable by the 10th day (in case of holiday the next working day) of every month. Advance payment of any number of installments is acceptable. 14)Normally no withdrawal shall be allowed before maturity, if any depositor intends to withdraw his/her savings due to certain unavoidable reasons before 5 years, 10 years, he/she will not be allowed any benefit if the premature encashment takes place before completion of 1 year. But the depositor shall be allowed interest on the prevailing Savings Deposit rate after completion of 1 year from the date of opening of the account. 15)Loan may be allowed up to 80% of the deposited amount against lien on the same where the deposited amount shall be at least Tk. 50,000.00 and the interest rate of the loan shall be as per prevailing commercial lending rate of the Bank. 16)The Bank at its discretion may allow inter branch transfer of the A/C under the Scheme
(10) Monthly Deposit Scheme

Any adult Bangladeshi National is eligible to open this account. The period of the scheme will be 5 (five) years and 10 (ten) years term. Monthly installment will be Tk.500/-, 1000/-, 2000/-, 3000/-, 5000/& 10000/ Monthly installment to be deposited within the first10 days of the

month. After the due date a penalty of Tk.50/- will be realized from

55

the A/C holder. If the A/C holder fails to deposit 3(three) consecutive monthly Installments, the account will be automatically closed. No cheque book will be issued against the account. Deposit may be encashed before maturity. But no interest will be paid if encashed before one year of deposit. Interest will be paid at Savings rate if encashed after 1(one) year of Deposit. Advance will be allowed up to 80% of the deposit after completion of one year. .i) Account holder can appoint a nominee against the account. Bank reserves the right to close the account at any time and make amendment / alteration of the terms & conditions of the scheme without assigning any reason. Govt. tax, Surcharge, Source Tax, Levy, Govt. Excise duty will be deducted from the depositors A/C.

3.3 OTHER SERVICES OF UTTARA BANK LTD .

As a financial service institution UBL provide the following service to its client 1) Personal banking 2) Corporate banking 3) Capital market service 4) SME service 5) Online service 6) Bank guarantee 7) Telegraph Transfer Service

3.3.1 Personal banking service

56

Among private sector banks UBL has made its mark in the personal banking segment.

3.3.2 Corporate banking

UBL offers a full range of tailored advisory, financing, corporate banking, and operation service to its corporate clients groups combining trade treasury investment and transactional banking activities in one package. Whether it is project finance term lone import or export deal, a working capital requirement or a forward covered for a foreign currency transaction, UBLs corporate banking manager will offer clients the right solution. Customer will top class skill and dept knowledge of market trade in UBLs corporate banking smelliest, speedy approval and efficient processing fully satisfying clients requirement altogether a rewarding experience.

3.3.3 Capital market service

Capital market operation beside investment in tracery bill price bond and other government securities constitute the investment basket of UBL interest rate cut on bank deposit and government service instrument has contributed to significant surge on the stock market in second half of 2004, which cerate opportunities for the bank in term of capital market operation. The bank is member of DSE and CSE. The investment portfolio of the bank made up of government securities and shares and debenture of different listed companies stood at tk 3078 million as on December 31, 2010 index a 50% increase over tk 2046 million in the previous year. Income from investment stood at 146 million in 2010 registering a 10% growth over the previous year.

3.3.4 SME service

Since the UBL has held the socio economic development in high esteems and was among the first to recognize the potentials of SMEs. Among the Private Banks Uttara bank provide loan service at a low interest service.

3.3.5 Online banking service

Online banking service is designed to provide better service to its clients. Previously UBL used PC bank but now they use world class software names flora

57

to avail this service to their customer. This allows giving prompt service to their valued client. Flora is a universal banking solution that meets the customers needs in retail, corporate and investment banking. Under these systems the bank is capable of doing for example the following transaction. Cash withdrawal from customer account at any branch of the bank Deposit in consumer account to any branch of the bank Transaction of money from customer account to any other with any branch of the bank But most of the time UBL are using Telephone and mobile phone.

3.3.6

By telephone and intern ate service

UBL provide service by telephone and internet banking facilities to its clients the following are the glimpses of the facilities

3.3.7 Through telephone Banking

Access to the account information any time from anywhere Request for cheque book and account statement Make cheque statues inquiry Place stop cheque instruction Make utility bill payment

3.3.8 Through internet banking

Access to account information any time from any where Fund transfer make utility bill payment Open and close term deposit Request for cheque books and account systems Place stop cheque request Make loan repayment Inquire interest and foreign currency rate and many moir

3.3.9 Bank Guarantee

58

A contract of guarantee has been defined under section 126 of the contract Act as a contract of performing a promise or discharging the liability of a third party incase of his/her default. The person giving the guarantee is called security and the person on whose account the guarantee is given is called the principle debtor and the beneficiary of the guarantee is called the creditor.

3.3.10 Meaning
Issuance of a bank guarantee on behalf of the clients is a common banking service rendered by a commercial bank. Guarantees are expressed commitment to make a good of any financial loss the beneficiary of the guarantee may sustain when the party named in the guarantee on whose account i.e. the principal debtor, guarantee is issued, fails to perform the contract and or discharge his /her obligation under the guarantee. In this situation to give financial help it is the responsibility of the bank to pay the money to the beneficiary or creditor of the guarantee according to the agreement.

3.4 SWOT ANALYSES

59

SWOT ANALYSES

Internal factors

External factors

Strength

Weaknesses

Opportunity

Threat

Strength Wide network through out the countries present 207 branches are operating Good relation with wage earners which supports their currency payment Their training institute is very helpful for the employees Good position of UBL in banking sector of Bangladesh Well reputed directors In this bank

Weakness Backward in using technology So many areas in our country are still out of their network Reluctance to promotion and advertisement campaign Banking service is very lengthy and traditional basis Not been online system.

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Opportunity Scope of banking operation is widening day by day There are many small and medium enterprise in our country they

need loan .some of them are taking help from other private commercial bank and UBL has a prospect on that group There are more opportunities in rural areas to develop agriculture Huge potential in village for micro credit The UBL can create new schemes for many other segments of people

in our country like people living on hill tracks. Threat More than 54 private banks in Bangladesh. Different types of business recession and default of risk may affect profit UBL Many higher technologies for banking sector have been developed but UBL has not adopted them yet. Many multinational bank are providing online banking and modern banking services Customers are not much satisfied about the services of UBL comparing others new banking because of not having online system.

61

Chapter 4: Working area and Learning experience

62

4.1 Internship Branch

Name of the branch: Year of establishment: Address of branch: Number of employees: Uttara bank ltd., Dhaka 2000 First Floor, Nahar Plaza 7, Mirpur Road Shyamoly Dhaka 15

4.2 Name of the employees and designations Name of the employees 1 2 3 5 6 7 8 9 10 11 12 13 14 15 Mr.MD.Abdul kader Mr.MD. Abdur Rashid Mrs. Syeda Nurun nahar 4 Mr.MD.Shajahan kabir Mr.MD. Abdul bashar Mr.MD. Mamunur Rashid Mr.MD.Abdul hakim Mrs .salma Naz Dora Mr.MD.sazzad hossin Mr.MD.Wahid murad Mrs .Rehana akter Mr.MD. ABDUL MALEK Ms Mahinur fatima .MD.Abu taher MD.Abul basher Designations Manager (s.p.o) S.P.O(2nd officer) S.P.O OG-I(relationship Manager) OG-I(cash in charge) OG-I OG-I(cash) OG-I OG-II OG-II OG-II A/O(gen) OG-II Messenger Armed guard

4.3 Some information about Shamoly Branch

63

Market-Based Branch: This branch is market- based branch. Most of the clients of this branch are business men. Well decorated: This branch is well decorated and larger compared to other branches of this bank. Cordial relationships among employees: During my internship period, I found the cordial relations among employees of this branch. Such as during the pick/rush hours when the customers gather, the employees of this branch help one another.

Well location: It is situated at the central place of the Shyamoly but the problem is that there is no parking place. Internet service: It uses Internet for different activities, such as money gram.

4.4 Internship duties and responsibilities

I joined in UBL, at Shyamoly Branch, Dhaka as an intern on 18/10/2011. During my internship period, I performed different activities in different sections. I worked mainly in General Banking system section. I wrote the incoming and outgoing TT/MT vouchers and registered it into MT /TT transfer book, where I wrote the amount and names of the parties and the TT/MT numbers and the account numbers. I prepared the order. I calculated the debit credit after transferring all vouchers. if both the balance are unequal then I had to find out the problem I gave the entry to the inward and outward register when letter were receive or dispatch. I help customer by writing the gram from. I also worked in accounts opening section and issued cheque books

sometimes I received telephone to take TT/M

Name of item

No of item

64

TT/MT Opening new account letter register IBL voucher Balancing credit TT/MT debit

350 7

Inward and out word 5 (per day ) 30 and 90 days

received 12 days 50 120

through telephone cheque book Issued Pay order

4.5 Technique of analyses

Qualitative data: - Qualitative data were recollected and analyzed according to acceptable slandered of practice. Different table and graph were used to make the data meaningful and comparable. Quantitative data:- Quantitative data were analyzed rationally and in comparison with current market condition. Necessary percentage and average were calculated and the analyzed described step by step.

4.6 Working environment for the employee:

65

Compare with other the private banks' the working environment of this Branch is not satisfactory. So, UBL should develop working environment and good relationships amongst employees Provide internship desk: This branch is renowned for the internship. So bank should provide the internship desks. Provide remuneration for the internship: The UBL should provide some remuneration for their interns. Entrance of online system To make satisfy of customer this must be enter into online system

4.7 Working area

The overall banking operation of shyamoly Branch can be divided into different categories. These categories are 1) Customer service department. 2) Foreign exchange department. 3) Investment or advance Division. Account opening, local Remittance, Clearing, Deposit and account are the subdivision that belongs to the customer service department; where as import, Export and foreign remittance are the subdivision under Foreign Exchange Division.

4.8 What I done in the shamoly Branch

66

In Uttara bank ltd bank I do my work in Shamoly branch. Uttara bank ltd. is and old form of banking activity. They are providing different type of service in the bank I also do different type of work which are following Sending thanks letter to the new customer who are new in the branch Issue the cheque book for the customer

Issue voucher of the income money transfer from different branched

Issue voucher of transfer money for different branches Supervise there opening account Supervise the loan account Receive chuque of deferent bank for collection and send it to clearing house for collection All kinds of transaction are entry in the registering books

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Chapter 5:Findings and recommendation

5.1 Findings
More employees

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Shyamoly Branch, Dhaka branch is am over staffed branch .The number of employees of this branch is more than its requirement.
Customer services are not as well as others:

Although they try to provide well services but they can not satisfy their customers. Lack of technological knowledge is the main reason of their failure. Sometimes some clients are found who can not write but bank employees are not cordial to them. So the customers express their dissatisfactions Lacking of computer skills: There is no person in the branch who knows the computer well. Small problems in computers which are not properly solved create major problems. Especially it happens for money gram process. Tuesday like holiday: Previously I mentioned that the Shyamoly Branch, Dhaka is a marketbased branch. Tuesday is the holiday for Shyamoly. No desk for interns: There is no desk for the intern in the Shamoyli branch. So there is less opportunity for the trainees to learn. Nothing has online system Whether there all private bank has been online banking. This bank until does not be online system

5.2 Recommendations
I suggest the following guidelines for the UBL Shyamoly Branch, Dhaka

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1) Bank must enrich its services like private commercial bank most one stop service, ATM service etc. 2) The bank should adopt online banking system to make their banking functions fast and smooth like other private bank. 3) For improving customer service, complained cell should be formed in each branch. 4) In order to enlarge the skill ness of bank employees training program should be applied. Reduce the number of employees: The bank should transfer the number of employee to that is surplus to get the proper output from their employee. Increase the computer skill: To increase the computer skills of employees, the bank should provide training. Though they have knowledge about computer but it is not enough. So bank should provide training to their employees to make them efficient in computer. Ensure the smart personnel: It is market-based branch so clients gathering are more and most of the customers are businessmen, so to deal with this type of customers the bank needs smart, knowledgeable and intellectual personnels to provide the best services.

5.3 Conclusions
Uttara bank ltd Limited has started their journey in the year of 1964, named as Eastern Bank Corporation. They already have passed 44years in banking. They

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had to struggle a lot against the different economic, social, climatic and political unpleasant environments. So they have huge experiences about the overall environment of Bangladesh .For this reason, they are comfortably doing their banking activities. Uttara bank limited plays a significant role in various fields of the economy, such as industry, trade and commerce, transportation, and deposit mobilization etc. They have a great contribution to the agricultural development of our country which is the most important for us. The bank also plays a crucial role in human resources development and creating new employment opportunities. It also under takes various social welfare activities for the betterment of the society and in this context; the bank has established the Uttara bank ltd. Foundation. It has managed the employment for a large number of people in our country. It is another great contribution to the country.

Chapter 5:- Appended part

5.1:- Appendix
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QUESTIONAEIR Top of form 1. How long have you been a client of UBL? a) Less than 5 yrs b) More than 5 yrs c) Up to 10 yrs 2. Are you satisfied by the reception/greeting you receive from our staff as you arrive at the Bank? a) Yes b) No 3. What services do you make use of at the Bank: 4. How much time do you spend in the bank waiting till your work is done?

5. Do you find our staff helpful in answering questions? a) Yes b) No 6. Are you satisfied with their knowledge of UBL Products and Services? a) Yes b) No 7. Are you customer of any other bank? a) Yes b) No 8. If yes, how would you compare the services received by you from UBL to them? a) Very good b) Good c) Average.

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9. Are there any product or service offered by UBL that you would like to see improved? If yes, tell us how would like it improved:

10. Is there any Product or Service you would like UBL to introduce? If yes, tell us what:

11. Please feel free to name any member of our Bank from whom you have received very good service:

12. Please feel free to let us know if you have grievances with the services or behavior of any UBL staff and what is his name:

13. Do you have any other comment or suggestion that you feel will significantly improve in our levels of services to you?

5.2:- Reference
From text book 1) Peter S. Rose: Commercial Bank Management (Third Edition, 1996).

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2) Irwin- McGraw-Hill, Boston : International Business; The challenge of

Global competition (6th edition ) 3) S rose, Peter, Commercial bank management. From Report 1) Uttara bank ltd., Annual Report2) Ledger Book, Uttara bank ltd.Bank, Shamoly Branch, Dhaka. 3) Statements of Affairs, Shamoly Branch, Dhaka. 4) Some published and unpublished research report. 5) Annual report 2010 6) Through internet Some information from Internet searching. web site

(www.uttarabank.com) www.sternstewart.com/evaaobut/whatis.shtml

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