General Banking Activities of National Bank Limited. 2

Chapter: 01
Introduction
1|Page “An Analysis of General Banking Activities”

Introduction
1.1. Introduction:
The internship is an integral part of the BBA, MBA, Engineering and medical education
programs all over the world. This internship period provides me with valuable insights
into the professional and industry-oriented practical knowledge and experience to fulfill
the academic requirements of my internship program, each department contribute as
per program for working and providing support and inspire me to get a successful and
inspire me to get a successful end result of the report.
An internship report for the business program includes an outline of the business of the
company for which I worked, summarize the work and discuss the specific relevant
aspects of my internship period. These guidelines attempts to explain the purpose of the
internship report .it includes recommendations on the focus my report have taken in to
fulfill the academic requirements associates with the internship and it offers suggestion
on improving my writing style.
1.2 Objectives of the study:

 The general objective:
The general objective of the study is to analyze the general banking activities of National
Bank Ltd at Shibgonj Branch:
 Specific Objectives:
 To know the various general banking services of National Bank Ltd, Shibgonj
Branch.
 To be familiar with different products of National Bank Ltd., Shibgonj Branch..
 To know the procedure of accounts opening and closing at different accounts in
this branch.
 To know the cheque book issuance procedure to Account Holders of National
Bank Ltd, Shibgonj Branch.
 To know its online banking services.
 To know the amount service charges on different general banking services of this
Bank at Shibgonj Branch.
 To find out some problems related to its general banking services.
 To make some recommendations based on the findings.

1.3. Scope of the study:
The studies mainly cover the general banking activities of National Bank Ltd, Shibgonj
Branch.
1.4. Methodology of the study:

The study is explanatory in nature. Data have been collected from both primary &
secondary sources.
 Primary sources of data:
All the employees and clients of National Bank Ltd, Shibgonj Branch..
Data collection methods:
 Conversation with bank employees.
 Informal conversation with clients.
 Personal observation
 Performance of practical activities
 Secondary sources of data:

 Annual report of National bank Limited
 Different relevant text books
 Various files, balance sheet and various documents
 Bangladesh bank publications.
 Web site: www. nblbd.com
1.5 Limitations of the study:
The present study was not out of limitations. But as an internship student it was a great
opportunity for me to know the banking activities of National Bank Limited. Some of the
limitations are as follows:
 The main constraints of the study is limited access to information, which has
hampered the scope of analysis
 Due to the limitations of report size many of the aspects could not be discussed
in present report.
 Every organization has that is not revealed to others. while collecting data it was
not possible to collect such information that hampers the confidentiality

 since bank’s personnel were busy on customer service so it was quite possible to
provide sufficient time
 due to lack of experience ,there is chance of having some mistakes in the report
 Time is first limitation as duration of the program was of three months only.
 Insufficient supply of relevant books and journals

Chapter: 02
Banking Industry of Bangladesh

Banking Industry of Bangladesh
2.1 Definition of Bank:
The Jews in Jerusalem introduced a kind of banking in the form of money lending before
the birth of Christ. The word ‘Bank’ was probably derived from the word ‘bench’ as
during ancient time Jews used to do money -lending business sitting on long benches.
First modern banking was introduced in 1668 in Stockholm as ‘Savings Pis Bank’ which
opened up a new era of banking activities throughout the European Mainland.
In the South Asian region, early banking system was introduced by the Afghan traders
popularly known as Kabuliwallas. Muslim businessmen from Kabul, Afghanistan came to
India and started money lending business in exchange of interest sometime in 1312 A.D.
They were known as ‘Kabuliwallas
A bank is a financial institution whose primary activity is to act as a payment agent for
customers and to borrow and lend money. It is an institution for receiving, keeping, and
lending money.
Banks have influenced economies and politics for centuries. Historically, the primary
purpose of a bank was to provide loans to trading companies. Banks provided funds to
allow businesses to purchase inventory, and collected those funds back with interest
when the goods were sold. For centuries, the banking industry only dealt with
businesses, not consumers. Banking services have expanded to include services directed
at individuals, and risk in these much smaller transactions is pooled.
The name bank derives from the Italian word banco “desk/bench”, used during the
Renaissance by Florentines bankers, who used to make their transactions above a desk
covered by a green tablecloth. However, there are traces of banking activity even in
ancient times. In fact, the word traces its origins back to the Ancient Roman Empire,
where moneylenders would set up their stalls in the middle of enclosed courtyards
called macella on a long bench called a bancu, from which the words banco and bank
are derived. As a moneychanger, the merchant at the bancu did not so much invest
money as merely convert the foreign currency into the only legal tender in Rome—that
of the Imperial Mint.
2.2 Law of Banking:
Banking law is based on a contractual analysis of the relationship between the bank and
the customer. The definition of bank is given above, and the definition of customer is
any person for whom the bank agrees to conduct an account.
The law implies rights and obligations into this relationship as follows:
1. The bank account balance is the financial position between the bank and the
customer, when the account is in credit, the bank owes the balance to the
customer, when the account is overdrawn, the customer owes the balance to the
bank.
2. The bank engages to pay the customer’s cheques up to the amount standing to
the credit of the customer’s account, plus any agreed overdraft limit.

3. The bank may not pay from the customer’s account without a mandate from the
customer, e.g. a cheque drawn by the customer.
4. The bank engages to promptly collect the cheques deposited to the customer’s
account as the customer’s agent, and to credit the proceeds to the customer’s
account.
5. right to combine the customer’s accounts, since each account is just an aspect of
the same credit relationship.
6. The bank has a lien on cheques deposited to the customer’s account, to the extent
that the customer is indebted to the bank.
7. The bank must not disclose the details of the transactions going through the
customer’s account unless the customer consents, there is a public duty to
disclose, the bank’s interests require it, or under compulsion of law.
2.3 Banking in Bangladeshi Perspective:
Banking is the backbone of the national economy. All sorts of economic & financial
activities revolve round the axis of the bank. As the industry produces goods &
commodities, so does the banks create & control the money market & promotes the
formation of the capital. From the point of view banking a technical profession can be
termed as industry. Services to its customers are the products of the banking industry
besides being a pivotal factor in promoting capital formation in the country. As all
economic & fiscal activities revolve round this important industry, the role of banking
can hardly be over emphasized.
Circumstances being such, it becomes imperative to find out the role of banks now
playing in the country & analyze its operational aspects so as to ascertain the
importance of this fragile financial sector & its overall impact on the national economy.
To do this a thorough study as to its distribution, expansion & contribution is essential
to comprehend its past, present & future bearings for the growth & development of the
banking sector of the country.
In global context, the role of banks is far reaching & more penetrating in the economic &
fiscal discipline, trade, commerce, industry, export & import et5c all are carried through
the banks. Banks are the only media through which the international trade & commerce
are being carried out .Moreover the entire credit transaction, both national &
international is done through the banks.
2.4 Historical Background:
National Bank Limited has its prosperous past, glorious present, prospective future
and under processing projects and activities. Established as the first private sector bank
fully owned by Bangladeshi entrepreneurs, NBL has been flourishing as the largest
private sector Bank with the passage of time after facing many stress and strain. The
members of the board of directors are creative businessmen and leading industrialists
of the country. To keep pace with time and in harmony with national and international
economic activities and for rendering all modern services, NBL, as a financial institution,

automated all its branches with computer networks in accordance with the competitive
commercial demand of time. Keeping the target in mind, NBL has taken preparations to
open 25 new branches and 8 SME centers by the year 2016. In addition, NBL further is
expanding their presence through developing and expanding the SME financing, Any
Branch Banking and Off-shore Banking facilities. National Bank Limited was born as the
first hundred percent Bangladeshi owned Bank in the private sector. From the very
inception, it was the firm determination of National Bank Limited to play a vital role in
the national economy at present, NBL has been carrying on business through its 179
branches spread all over the country. Since the very beginning, the bank has exerted
much emphasis on overseas operations and handled a sizable quantum of home bound
foreign remittance. It has drawing arrangements with 415 correspondents in 75
countries of the world, as well as with 37 overseas Exchange Companies located in 13
countries. NBL was the first domestic bank to establish agency arrangements with the
world famous Western Union in order to facilitate quick and safe remittance of the
valuable foreign exchanges earned by the expatriate Bangladeshi nationals. This has
meant that the expatriates can remit their hard-earned money to the country with much
ease, confidence, safety and speed.NBL was also the first among domestic banks to
introduce International Master Card in Bangladesh. In the meantime, NBL has also
introduced the Visa Card and Power Card. The Bank has in its use the latest information
technology services of SWIFT and REUTERS. NBL has been continuing its small credit
programs for disbursement of collateral free agricultural loans among the poor farmers
of Barindra area in Rajshahi district for improving their livelihood. Since its inception,
the bank was aware of complying with Corporate Social Responsibility. In this direction,
NBL has remained associated with the development of education, healthcare and has
sponsored sporting and cultural activities. During times of natural disasters like floods,
cyclones, landslides, NBL has extended its hand to mitigate the sufferings of victims. It
established the National Bank Foundation in 1989 to remain involved with social
welfare activities. The foundation runs the NBL Public School & College at Moghbazar
where present enrolment is 1140. Besides awarding scholarship to the meritorious
children of the employees, the bank has also extended financial support for their
education. The Transparency and accountability of a financial institution are reflected in
its Annual Report containing its Balance Sheet and Profit & Loss Account. In recognition
of this, NBL was awarded Crest in 1999 and 2000, and Certificate of Appreciation in

2001 by the Institute of Chartered Accountants of Bangladesh. The bank has a strong
team of highly qualified and experienced professionals, together with an efficient Board
of Directors who play a vital role in formulating and implementing policies.
2.5. Vision:
Ensuring highest standard of clientele services through best application of latest

information technology, making due contribution to the national economy and
establishing ourselves firmly at home and abroad as a front ranking bank of the country
are our cherished vision.
2.6. Mission:
Effort for expansion of our activities at home and abroad by adding new dimensions to
our banking services are being continued unabated. Alongside, we are also putting
highest priority in ensuring transparency, accountability, and improved clientele service
as well as to our commitment to serve the society, through which we want to get closer
and closer to the people of all strata. Winning an everlasting seat in the hears of the
people as a caring companion in uplifting the national economic standard through
continuous s up gradation and diversification of our clientele services in line with
national and international requirements is the desired goal we want to reach.
2.7. Mechanisms:
 To identify customers credit and other banking needs and monitor their
perception towards our performance in meeting those requirement.
 To cultivate a working environment that fosters positive motivation for improved
performance
 To increase direct contract with customers in order to cultivate a closer
relationship between the bank and its customers.
 To review and update policies, procedures and practices to enhance the ability to
extend better services to customers.
 To train and develop all employees and provide adequate resources so that
customer needs can be responsibly addressed& to strive for customer
satisfaction through quality control and delivery of timely services.

2.8. Management System:
The Managing Director (MD) of NBL is the chief Executive of the Bank. .His Duty is
numerous. He is responsible for administering the business affairs of the bank. He is
also concern with planning and implementation. He may be appointed on contractual
basis for certain period. Under the leadership of managing director ,there are
three(3)Deputy Managing Director(DMDs),sixteen (16) divisions are found in NBL, each
division is lead by either an Executive Vice President (EVP)or Senior Vice
President(SVP)or Vice President (VP).
2.9. Organ gram Of NBL:
10 | P a g e “An Analysis of General Banking Activities”

2.10. Hierarchy of National Bank:
Chairman
MD
AMD
DMD
SEVP
EVP
SVP
VP
Senior Assistant VP
Assistant VP
SPO
Principal Officer
Senior Officer
Provisionary Officer
Officer

2.11. Corporate Social Responsibility:
Earning the highest level of trust requires the balanced provision of value to four
constituents: customers, shareholders, market environment & society and employees.
Through this process, the Bank aims to contribute to the sustainable development of
society as a whole, and to fulfill corporate social responsibly (CSR). The bank has taken
strong initiative in various areas for attaining greater social goals. To reinforce CSR
activities, the bank has focused in the areas of employment, education, sports & cultural
activities, and disaster relief.
2.11.1 Employment:
NBL has been continuously creating new fields of employment every year by way of
expansion of its business activities and branch network. In 2008, the Bank created
employment for 305 personnel’s.
2.11.2. Education:
National Bank Foundation was established in 1989 for fulfilling responsibilities for
welfare of the society. It has been running the National Bank Public School and College
in Moghbazar, Dhaka where about 1000 students are studying in the School section from
class I to class X, while 140 students at the college section. In 2012, 79 students
appeared at the SSC Examination and 45 students appeared at the H.S.C. Examination
and both the examinations 100% came out successfully. The bank has been
accommodating prospective graduates of recognized universities for completing their
internship.NBL also awarded stipend and scholarship to the brilliant children of the
employees of the bank.

Chapter: 3
General Banking Activities of National
Bank Ltd.

General banking Activities
3.1 General banking:
Generally all the activities of a bank are called general banking. Banking is the
summation of financial services like collection of deposit from people, collect cheques,
grant loans, safeguard money for its customers. In NBL the following departments are
under general banking:
1. Account opening Department
2. Clearing Department
3. Remittance Department
4. Deposit Department
5. Cash Department
6. Accounts Department
7. Card Department
8. Online Banking Department
9. Loan Department.
10. Mobile Banking Department.
3.2 Account Opening Department:
Account opening is the gateway for clients to enter into business with bank. it is the
foundation of banker customer relationship. This is one of the most important sections
of a branch, because by opening accounts bank mobilizes fund for investment. A
customer can open different types of accounts through this department, such as:
1. Current accounts (CD)
2. Savings account (SB)
3. Short term deposit account (STD)
4. Fixed deposit account (FDR)
5. Monthly saving scheme (MSS/NMS)

I) Types of Deposit:
Demand Deposit Time Deposits
Current Deposit Fixed deposit account(FDR)
Savings account(SB) Monthly saving scheme (MSS / NMS )
Short term deposit account(STD)
Demand Deposit
Pay Order
ii) Account Opening Procedure:

Step 1 The Account should be introduced by one of the following:
An Existing current Account holder of the Bank
Officials of the bank not below the rank of an assistant Officer
A respectable person of the locality well known to the manager
Step:2 Receiving filled up application in bank’s prescribed form mentioning
what type of account is desired to be opened
Step:3 The form is filled up by the applicant himself/herself
Two copies of passport size photographs from individual are taken
One copy of nominee’s photograph
In case of firm, photograph of all partners are taken
Applicant submit required document
Applicant must sign specimen signature sheet & give mandate
Introducer signature & account number – verified by legal officer
Step:4 Authorized officer accepts the application
Step:5 Minimum Balance is deposited

Step:6 Account is opened and a Cheque book and pay in slip book is given
iii) Deposit Schemes:

1) Savings deposit: National Bank offers a hassle free & low charges saving account for
its customers. Hence there is a restriction on the withdrawal in a month .Heavy
withdrawals are permitted only against prior notice. Interest is given upon the
lowest deposited money for that month. Withdrawal amount should not be more
than 1/4th of the total balance at a time & limit twice in a month.

Benefits (Condition Apply) Account Opening
Interest rate of 4.50%on average monthly 2 copies of recent photograph of account
balance holder
Minimum balance Tk.5000 Nominee's Photograph
Maintenance charge yearly Tk. 400. Valid photocopy of Voter ID Card
No hidden costs.
Standing Instruction Arrangement are
Available for operating account.
2) Current Deposit:
National Bank Limited offers customers current deposit facility for day-to-day business
transaction without any restriction. Current deposit is purely demand deposit. There is
no restriction on withdrawing money. No interest is given on deposited money. It is
justified when funds are to be collected and money is too paid at frequent interval.

Minimum maintenance charge yearly 2 copies of recent photograph of
Tk. 800. account holder.
No hidden costs. TIN certificate.
Minimum balance Tk.10000 Nominee's Photograph.
Standing Instruction Arrangement are Valid photocopy of Voter ID Card.
available for operating account. Agreement of the business
Easy access to our other facilities.
3) Short Term Deposit
National Bank Limited offers interest on customer's short term savings and gives facility
to withdraw money any time. Generally various big companies, organizations,
Government Department, keep money is STD account .Frequent withdrawals is
discouraged and requires prior notice. The deposit should be kept for at least seven days
to get interest.

Minimum balance Tk. 2 copies of recent photograph of
5000(personal),10000(company) account holder.
Minimum maintenance charge yearly Nominee's Photograph.
Tk. 800. Valid photocopy of Voter ID Card.
Standing Instruction Arrangement are
available for operating account.
Rate:
For Financial & Non Bank Financial institution -1%
For Institutional deposit other than Financial Institution & Non Bank Financial
Institution-4%
4) Fixed term Deposit

National Bank Limited offers fixed term savings that will scale up you’re saving Amount
with the time. Fixed deposit is one, which is repayable after the expire predetermined
period fixed by him. The period varies form 1 month to 12 months. These deposits are
not repayable on demand but they are withdrawing able subject to a period of notice.
Hence, it is a popularly known as ‘Time Deposit’ or ‘Time Liabilities”. In case of FDR it is
clearly mention that when the amount will be withdrawal & the principle & interest
amount.FDR account holder gets a FDR slip. If the account holder withdraws his money
before maturity date he does not get any interest. In case of FDR holder death, his
nominee will get the amount.
Any amount can be deposited. 1 copy of recent photograph of account

Premature encashment facility is holder.
available. Nominee's Photograph.
Overdraft facility available against
term receipt.
 FDR Rate:

FDR for 1 month and above but less than 3 4.50%
month
FDR for 3 months and above but less than 6 7.5%(below 25 lac)
month 7.75%(25 lac &above)
8% (1 crore&above)
FDR for 6 month &above but less than 1 year 7.5%(below 25 lac)
7.75%(25 lac &above)
8%(3 crore &above)
FDRfor 1 year & above 7.50%(below 25 lac0
7.75%(25 lac &above0
8%(3 crore& above)
5) Monthly Saving Scheme (MSS/NMS)
“See your small savings grow with NBL.”

National Bank Limited offers monthly savings scheme for its retail customers.
Customers can deposit money for a period of 3, 5 or 8 years. The monthly installment &
their rate are as follows:
Monthly Return after 3 Return after 5 Return after 8

Installment years 9.00% years 9.25% years 9.50%
500/- 20,627/- 37,896/- 70,849/-
1000/- 41,255/- 75,791/- 1,41,697/-
2000/- 82,510/- 1,51,583/- 2,83,394/-
3000/- 1,23,765/- 2,27,374/- 4,25,091/-
4000/- 1,65,020/- 3,03,166/- 5,66,788/-
5000/- 2,06,274/- 3,78,957/- 7,08,485/-
10000/- 4,12,549/- 7,57,914/- 14,16,970/-

Monthly amount can be 500 and 1 copy of your recent photograph.
multiple of it. Nominee's Photograph
Premature encashment is available for
urgent need.
Standing instruction facility can be
available to auto transfer installment to

NMS account.
Loan facility can be available up to
80% against NMS account balance.
6) RFC Deposit
National Bank Limited gives opportunity to maintain foreign currency account
through its authorized dealer branches. Bangladesh nationals residing abroad or
foreign nationals residing abroad or Bangladesh and foreign firms operating in
Bangladesh or abroad or Foreign missions and their expatriate employees.

No initial deposit is required to open the 2 copies of recent photograph
account. of account holder.
Interest will be offered 1.75% for US Dollar Nominee's Photograph.
account, 3.00 % for EURO Account and 3.25% Passport Copy.
for GBP Account. ID of residence in abroad.
They will get interest on daily product basis
on the credit balance (minimum balance of US$
1,000/- or GBP 500/- at least for 30 days)
maintaining in the account.
7) NFC Deposit
National Bank Limited gives opportunity to maintain foreign currency account through
its authorized dealer Branches. All non – resident Bangladeshi nationals and persons of
Bangladesh origin including those having dual nationality and ordinarily residing
abroad may maintain interest bearing NFCD

NFCD Account can be opened for One month, 2 copies of recent
Three months, Six months and One Year through US photograph of account holder.
Dollar, Pound Starling, Japanese Yen and Euro. Nominee's Photograph.

The initial minimum amount of $1000 or 500 Passport Copy.
Pound Starling or equivalent other designated ID of residence in abroad.
currency.
Interest is paid on the balance maintain in the
Account. This interest is tax free in Bangladesh
iv) Issuing Cheque Book:

New Account holder has to fill up an application form, which is provided by NBL .After
verifying depositor signature the authorized officer put branch seal, and put signature.
Seal, name of the account holder, account number, cheque number are recorded in the
register book. When all this function is successfully completed the client gets his cheque
book and put his signature on the register book.
There are three types of cheque book in Account Opening department:
 Ten leaves Cheque book: used only for savings accounts

 Twenty leaves Cheque book: used for current account
 Fifty leaves Cheque book: used only for current account but this is provided
those who are loyal customer or those depositors who are loyal customer when a
existing customer wants to withdraw a new cheque then he should give a
requisition slip to the bank which he gets from previous cheque book.
In Case Of lost cheque book, account holder has to place a general diary(GD) and must
have to fill an indemnity bond which has been authorized by the introducer with a
stamp Paper of 150& stop payment is given by the bank so that no payment can be
made by any branch.
Application Form for Current /Savings/STD/FDR Account holder:
 Personal account
 Information about & photo of Nominee.
 Signature of account holder
 voter id no. of nominee &account holder
 Information about & photo of account holder
 Transaction profile
 KYC(know your customer) form-1

 Introducer information
In case of current account-
 Tin Number
 Information about the business
 Agreement of the business
In case of joint account-
 Information about joint account holders
 photographs attested by introducer
 specimen signature of account holder
In case of partnership-
 Certified copy of resolution of opening an account
 Certified copy of certificate of registration
 Resolution of executive committee
 Copy of Govt. approval
In case of limited company:
 Certified copy of the memorandum & articles of association
 Certificate of the incorporation of the company
 Certificate from register of joint stock companies
 Latest copy of balance sheet
 extract of resolution of the board
 List of directors
 authorized signature
 Name
In case of fixed deposit: FDR slip contains

 Amount in figures
 Beneficiary’s name and address
 Period
 Rate of interest
 Date of issue
 Date of maturity

v) Closing of an account:
 If the customer is desired to close the account
 If NBL finds that the account is inoperative for a long duration
 If garnishee Order is issued by court.
To close the account, the checkbook is to be returned to the bank .NBL takes all the
charges by debiting the account & the remaining balance is then paid to the customer.
Necessary entries are given to the A/c closing register and computer.
3.3. Clearing Department:

Cheque, Pay order, demand draft, Pay Slip, collection of amount of other bank on behalf
of its customer is are a basic function of clearing department.
i) Meaning of clearing:
Clearing is a process one mechanism set up by the bankers for the purpose of setting
their reciprocal debts, by exchanging among themselves bills, drafts or cheques drawn
on one another. Clearing is a system by which a bank can collect customers fund from
one bank to another through clearing house.
ii) Function of Clearing Department:

 Receiving cheques for collection
 Crossing the cheque
 Posting the chequein computer
 Clearing seal &proper endorsement of the cheque
 Separation of cheque from deposit slip
 Sorting of cheque branch wise & bank wise
 Preparation of 1st clearing house validation sheet
 pass outward instrument to the clearing house
 Pass inward instrument to respective department
 Return instrument in case of dishonor
 Prepare IBCA or IDA for respective branch or HO.
iii) Meaning of Clearing House:
Clearing House is a institution where a specific areas or region scheduled banks settles
their ineptness or more specially setting this issues. The entire scheduled bank

representative meets in a specific time in specific rooms of central bank. Bangladesh
Bank performs the clearing house in Dhaka, Chittagong, Rajshahi, and Khulna& Bogra.
Where there is no branches of Bank, Sonali Bank arrange this function.
iv) Member of Clearing House:
NBL is a scheduled bank. According to the Article 37(2) of Bangladesh Bank
Order,1972,the banks, which are the member of the clearing house, are called as
Scheduled Banks .The scheduled banks clear Cheque drawn upon one another through
the clearing House.
v) Types of Clearing:
Only the regular customers who have Savings, Current, STD, Loan Account .There are
two types of clearing:
 Outward Clearing: When the branches of a bank receive cheque from its
customers drawn on the other banks within the local clearing zone for collection
through clearing house, it is Outward Clearing.
 Inward Clearing: When the banks receive Cheque drawn on them from other
banks in the clearing house, it is Inward clearing.
vi) Receiving cheque for collection:
In NBL cheques of its customers are received for collection from other banks. In case of
receiving cheque, following points should be kept in mind:
 Name of the account holder same in the cheque & deposit slip
 Amount in the cheque &deposit slip must be same in words &in figure
 The cheque should not carry a date older than the receiving for more than 6
month and Bank &Branch name of the cheque ,its number& date in the
deposit slip
 Signature for confirmation of date ,amount in word/ in figure cutting &
mutilation of cheque and Cheque must be crossed
 Account number in the deposit slip must be clear
 Depositor’s signature in the deposit slip and Cheque must be signed
After receiving cheque the the crossing seal & endorsement seal must be given before
send for clearing. After collection of the cheque officer record it in the computer,

diffentiate it according to same day or normal wise .Cheque amounting more than
500000 (five lac) are send to same day clearing.
 Endorsement:
Endorsement is done by putting signature of the drawer on the back of the negotiable
instrument for the purpose of negotiation .It indicates a promise of the drawer to make
payment to its customer.
vii) Types of clearing House:

There are two types of clearing house:
1. Normal clearing house:
 1st house: normally stands at 10 am to 11 am
 2nd house: normally stands after 3 pm and it is known as return house.
2. Same day clearing house:
 1st house: normally stands at 11pm to 12 pm
 2nd house: normally stands after 2 pm and it is known as return house.
viii) Dishonored cheque:

Return house means 2nd house where the representatives of the bank meet after 3 pm to
receive & deliver dishonored cheque may be dishonored for the following reason:
 Insufficient fund
 Amount on figure & word differs
 Cheque out of date or post dated
 Payment stopped by the drawer
 Payees endorsement irregular
 drawers signature differs
 Crossed cheque to be represented through a bank
 Other specific reason not mentioned above
The dishonor cheque entry in the return register & the party is informed about it .
Party’s signature required in the return register to deliver the dishonor cheque. After
duration, the return cheque is sent to the party’s mailing address with return memo.
3.4. Remittance e& Bills Collection Department:

Banks remit fund from one place to another through their branches. Carrying cash
money is troublesome & risky. That’s why money can be transferred from one place to
another through banking channel. This is called remittance. It is one of the safest ways
to transfer money from one place to another. Remittances of funds are one of the most
important aspects of the commercial Banks in rendering services to its customers.
Remittances are two types:
3.4.1. Local Remittance

3.4.2. Foreign Remittance
3.4.1. Local Remittance Department:
NBL has its branches spread throughout the country. It serves as best medium for
remittance of fund from one place to another. This service is available to both customers
& non-customers of the bank.
i) Remittance of funds:
The main instruments of remittance of fund are:
 Telegraphic Transfer(TT)
 Payment Order(PO)
 Demand Draft(DD)
i) a. Telegraphic Transfer(TT):
Telegraphic transfer is the quickest & safe way of transferring money from one destiny
to another destiny. It is done by telephone message.
It is an order from the issuing branch to the Sirajgong bank/branch for payment of a
certain sum of money to the beneficiary. Telex/Telegram sends the payment instruction
and is paid to the beneficiary through his account maintained with the Sirajgong branch
or through a pay order if no a/c is maintained with the Sirajgong branch.
Requirements for sending TT:
 Client should have account at National Bank & sending place.
 Client should pay commission, Vat & telex charge.
 Procedure for sending TT:
When client want to transfer money from NBL from one branch to another branch the
following ways the customer should follow:
1. At first collect TT from remittance Department.
2. Deposit money in cash department, which he mention in cash department or cheque

3. Then client collect cost memo from remittance division, which work as evidence in
favor of the client The authorized officer put test code and registers it in the TT register
then authorized officer send message to that branch by telephone or telex. This message
contains client account number, test number, amount etc.
 TT Receiving:
When a TT has come from other branch, it should mention account number, test
number, TT no. favoring name. When authorized officer receive any TT message then he
issue a debit & credit voucher. A separate type of TT confirmatory advice is sent to
Sirajgong branch on the same day. On receiving of the TT confirmation copy from issuing
branch, the particulars of TT are verified with reference to particulars already recorded
in the T.T. payable register. In case of payment of TT if the beneficiary does not maintain
any account with the Shibgonj branch, a Pay Order is issued in favor of the payee.
i) b .Pay Order:
Pay order is an order by an issuing branch or bank upon client for made payment of the
amount mentioned there in that named pay on according to client order. Pay Order
issued only for local payment.
Pay order issue Process:
1. For issuing pay order the client has to submit an application form to the remittance
department in the prescribed form properly filled up & signed by applicant.
2. Applicant has to pay in cash or through cheque
3. The bank issue a pay order duly crossed A/C payee
Charges
Up to 500000- Above 500000-
Commision-50 Comission-100
Vat – 15% of commission VAT-15%
Payment of Pay Order:

As the P.O are crossed A/C payee, the same are presented to the issuing branch for
payment either through clearing or for credit to the client account.. P.O s when
presented for payment is processed in the remittance department. On making payment,

the relative entry in the P.O. register is marked by entering the date of payment in the P.O
register.
Procedure for cancellation of pay order:
1. When client issued any pay order in the name of any payee .If payee does not accept
the pay order then the pay order then payee put his signature &seal backside on the pay
order then payee returns to the client. The client of the pay order has deposited it in
account after that authorized officer issue one debit & credit voucher.
2. If the client wants to cancel his pay order before submitted then have to submit with
an application form for deposited the amount to his account & he should paid
cancellation charge.
i) C. Demand Draft:
Demand draft is an instrument containing an order of the issuing branch upon another
branch known as Sirajgong branch for payment of a certain amount of money to the
payee or to his order on demand by the beneficiary presenting the draft itself.
 Process of Issuing a Demand Draft:

1. Get the application form properly filled up signed by the applicant
2. Complete the lower portion of the application form meant for bank use.
3. Calculate total amount in taka including bank’s commission charges etc.
4. If the cheque is presented for the payment of the D.D officer should get the cheque
duly passed for payment by the competent authority and record the particulars of the
D.D. on the cheque.
5. If the purchaser desires his account with the branch to be debited for the amount of
D.D. the officer should get the A/c holders signature verified properly, from the
Signature card on the record of the branch. & debit client’s A/C for the total amount
including commission, charges etc.
6. If cash deposit is required, request the purchaser to deposit money at cash counter.
7. The cash department, after processing of the application form, cash or cheque, will
validate the application form. The application form is sent to the remittance department
for further processing. The remittance departments issue a DD in favor of the client. The
issuing branch sends credit advice to the Shibgonj branch for making payment.
 Payment of Demand Draft:

1. Whether the draft is drawn on their branch or the draft is crossed or not.
2. The sign of the authorized officer of the issuing branch is to be verified to be sure
that draft is genuine and Endorsement on the back, the draft must be regular in case
of presented through clearing.
3. The amount of the draft should not exceed the amount written on red ink on the top
of the draft.
4. The payee is to be properly identified in case of cash payment. The particulars of the
draft i.e. number, date, amount, name of the payee should be verified.
After verification, payments are made & necessary entries are made in the D.D payable
register. If the client is from other branch, then payment are made through LBC, In case
of client of other bank, payment are made through clearing.
 Issue of duplicate draft:

 Duplicate DD not normally issued unless thoroughly satisfactory evidence is
produced regarding loss of draft .If the draft is lost or stolen, a duplicate draft
issued by the issued by the issuing branch.
 On received of the written request from the purchaser. The issuing branches
immediately issue a stop payment to the Shibgonj branch.
 After the Shibgonj has acknowledged the stop payment order & confirmed that
the local draft in acquisition remains unpaid at their end, the issuing branch
should obtain an indemnity bond .Letter of indemnity as per prescribed form
duly signed by him. The branch will thereafter write to head office, for their
approval of issuing a duplicate draft.
 The head office on receipt of the request from the issuing branch will
immediately issue a caution circular to all the branches regarding the loss of local
draft asking them to stop the payment.
 The head Office thereafter issue a clearance to the issuing branch for issuing a
duplicate draft in lieu of original reported lost and On receipt of clearance from
the head office, the issuing branch will issue a completely fresh draft in lieu of the
original reported lost. The duplicate draft will clearly resemble those of original
draft.
 Cancellation of Demand Draft:

Only the purchaser can request the issuing branch for cancellation of L.D. The Sirajgong
branch cannot cancel a L.D. The Sirajgong branch can accept cancellation instruction
only from the issuing branch. The following procedure should be followed:
 The purchaser should submit a written request for cancellation of D.D. attaching
therewith original L.D.
 The signature of the purchase will have to be verified from the original
application form.
 Prescribed cancellation charge is to be recovered from the applicant & only the
amount of the draft less cancellation charge should be refunded.
 The L.D. should be affixed with a stamp cancelled upon proper authentication &
the original should be reversed. An IDBA for the cancelled D.D. should be issued
on the Sirajgong branch. Cancellation of D.D. should also be recorded in the D.D.
issue register.
 Stop Payment of Demand Draft:

As the issuing branch issues the draft, the payee or purchaser of the draft cannot give
stop payment instructions to the drawee branch .If a paying branch receives a request
from the payee /endoree or the purchaser for stopping payment, it will ask them to
approach the issuing for the purpose.
3.4.2 Foreign Remittance Department:
Foreign remittance department involves payment of foreign draft, Payment of money
from abroad. Besides fully or partially owned exchange companies, the bank presently
have an extensive network of drawing arrangement with 37 exchange companies
located in 13 countries like Kuwait ,oman ,bahran ,saudArabi, UAE, Malaysia, Singapore,
UK, Italy ,Canada etc. Foreign department includes-
1. Payment of FTT.
2. Payment of FDD.
 Requirement for receiving:
For receiving money, clients have to fill up a prescribed form in case of western union.
For others clients have to provide the following information:
 Name of the receiver
 Name of the borrower
 MTCN number
 Phone No of both sender & receiver etc.

 Present/permanent Address
 Amount of money etc.
 photocopy of ID/passport
 Occupation etc
The officer collects the information & provides a computerized document for made
payment through pay order / instantly.
 Foreign D.D:
Moreover the banks also receive Foreign Draft which is paid through clearing to the
client.
 Bills Collection:
One of the most important functions of National Bank is to collect bills for customer:
Outward Bills for Collection (OBC): OBC exits with branches different bank outside
the local zone. The bank sends forwarding letter to the responding branch. Here one
branch sends cheque of another bank to the branch outside the local branch for
collecting bills. Here the outside branch collects bill& sends to the collecting branch &
the branch makes payment to the customer.
 Inward bills for collection (IBC): When the bank collects bill as an agent of the
collecting Branch. The bank receives a forwarding letter. Here the bank receives cheques
from outside or local branch. & collect bills & sends to the collecting branch.
 Local bills for collection (LBC):
LBC exist with different branches within the local zone. It is a transaction between two
branches within a boundary.
All the Bills for collection are recorded in register containing the following information:
 Date
 customer
 Their no.
 Drawn on
 Amount
 Particulars of instrument
 Collecting Agent
 Commission, Postage etc.
Necessary vouchers are prepared like debit, credit &contra voucher & send for transfer.

3. 5. Accounts Department:
Accounts Department is called as called as the nerve center of the bank. In banking
business transactions are done every day and these transactions are to be recorded
properly and systematically as the banks deal with depositor’s money. Improper
recording of transaction will lead to the mismatch in the debit &in the credit side. To
avoid these mishaps, the banks provide a separate department; whose function is to
cheque the mistakes in passing vouchers or wrong entries or fraud or forgery. This
department is called accounts department. If any discrepancy arises regarding any
transaction this department report to the concerned department.
Beside this the bank has to prepare some internal statement as well as some statutory
statements, which are to be submitted to the central bank & the Head Office.
i) Functions of Accounts Department:
 Recording the transactions in the cash book.
 Recording the transactions in the general & subsidiary ledger
 Preparing the daily position of the bank comprising of deposit & cash.
 Preparing the daily statement of affairs showing all the assets and liability of
the branch as per general & subsidiary ledger separately.
 Making payment of all the expenses of the branch
 Recording inter branch fund transfer & providing accounting treatment in
this regard and Preparing monthly statement of the employees
 Preparing weekly position for the branch which is sent to the head office to
maintain cash reserve requirement (C.R.R)
 Preparing weekly position for the branch which is sent to the head office to
maintain Statutory reserve requirement(S.L.R)
 Make charges of different types of duties
 Preparing the for the branch by fixing the target regarding profit & deposit so
as take necessary steps to generate & mobilize profit
 Checking of transaction list
 Recording of the voucher in the voucher register
ii) Daily Statement:
Daily statement is the most important statement to calculate the transaction of a day. It
is prepared at the end of the day. Daily statement provides actual position as well as
reliability of national bank it contains the following information:

 Total deposit  FC in hand
 Total sundry deposit  Bangladesh bank(LCY)
 Total bills payable  Bangladesh Bank(FCY)
 Total loans &advances  Sonali bank(as an agent of
 Cash in hand Bangladesh bank)
 Prize bond  Islami bank Bangladesh limited
 Standard Chartard Bank Limited
ii) Transfer Book:
Transfer book is one of the daily activities of accounting process. It is a handwritten
function. Account Officer has to make entry of each and every transaction in transfer
book without cash & clearing voucher. Transfer book contains two side of transaction as
debit & credit. Each & every transaction has to have equal amount on both side of
transfer book. All the vouchers, documents, instrument recorded into transfer book
should contain transfer seal as well as transfer no of the book. Account officer register it
in the register book before computer posting. End of banking hour account officer
calculate transferred amount and debit balance & credit balance should be equal from
the transfer book the number of voucher made on that day is calculated to record in
voucher register.
iv) Voucher Register:

Voucher register is a record book of no of voucher. Number of vouche are made each day
is recorded in voucher register as per date and under particular head. No of vouchers
are recorded under following head as:
1. Ledger C/D: No of voucher made on current deposit on a particular date.
2. Ledger S/B: No of voucher made on saving deposit on a particular date
3. Ledger cash book: No. of voucher made on cash book.
4. Ledger Income/expenditure: No of voucher made for income/expenditure
5. Ledger B/L: No of vouchers made for bills payable.
6. Ledger Subsidiary: No. of voucher made for subsidiary
7. Ledger IBTA: No of voucher made on IBTA online in a particular date.

8. Lerdger Loan: No. of voucher made on loan.
9. Total Ledger: Summation of no of vouchers made on a particular date.
v) Cash Book Record:

Cash book record is one of the daily statements prepared at the next day of the working
day. In cash book record the information gathered from data sheet of bank record of
previous day. In cash book Dr. is placed at credit side & Cr. side is placed at Dr. Side.
Total voucher = CIBTA+ Sub diary +Bills Payable +Current Deposit +Savings +Cash
Book +loan +Income/Expenses.
CIBTA: Summation of amount of CIBTA

Subsidiary: Summation of amount of sundry deposit and sundry asset.
Bills Payable: Summation of Pay order issued, Pay slip, Demand Draft payable
Current Deposit: Amount of current deposit
Savings: Amount of savings deposit is placed.
Cash Book: Summation of amount of short term deposit, fixed deposit, MMS, NMS, LBC,
LDBC, Banks liability.
Loan: Summation of amount of Loan general, SOD general, cash credit, packing credit,
LDBP.
Income/Expenses: Summation of amount of Income/Expenses.
vi) Supplementary:
NBL prepares supplementary to keep record of all about all the transactions occurs in a
transaction day. Supplementary is prepared at the next day of the working day.
Supplementary for cash credit
 Supplementary for fixed deposit
 Supplementary for SOD
 Supplementary for Income
 Supplementary for STD
 Supplementary for NBL monthly savings scheme
 Supplementary for savings bank deposit
 Supplementary for Liability

 Supplementary for Demand Draft
 Supplementary for Pay Slip
 Supplementary for Payment Order
 Incoming Online Registered for all A/C type
Vii) Bucket Statement:
National Bank Limited prepares Bucket Statement monthly. Bucket Statement is an
accounting statement containing four parts:
 Asset Maturity Bucket
 Liability Maturity Bucket
 Interest Rate Risk Maturity Bucket
 Data Sheet
3.6. Cash Department:
Bank, as a financial institution accepts surplus money from the people as deposit and
give them opportunity to withdraw the same by cheque etc. But among the banking
activities cash department play an important role. It denies the main function of a
commercial bank receiving deposit and paying cash on demand. As the department
deals directly with customers, the reputation of the bank depends on it.
 Function of Cash Department:
A. Cash Receiving:
When customer wants to deposit his money then he deposited it by pay slip in the cash
counter .After receiving money pay slip from client ,officer do the following things:
 Officer ensure that all the writing on pay slip have been right.
 They count money & write denomination in the backside of the payslip
 Then officer put cash receive seal on the carbon copy of the pay slip
 Officer put his signature on the carbon copy of the pay slip
 Then register in cash receive register book.
B. Cash Payment:
When depositors want to withdraw money then he present or order cheque for
withdrawing cash from cash counter. At first deposit holder present his cheque on
the deposit desk. Then the authorized officer checks that Cheque and amount has
been balance in his account. When every things right then the amount has been

debited to the depositor account on which the cheque has been drawn. If there is any
doubt in the signature which has been appeared on the specimen signature card has
verified. Then bearer has sighed on the back side of the cheque& authorized officer
made payment. The authorized officers have to maintain cash payment register
which includes-
 Cheque No.
 Account No.
 Payment Amount
 Authorized signature
 Payment date
C. Transaction cash money:
At the beginning of the banking hour in charge of the cash department provides some
money from the vault to the counter officer meets client demand. Cash in charge keep
record of that amount. At the end of the banking hour balance must be equal with the
balance on the receipt &payment book.
D. Vault Requirement:
Each branch of national bank ltd has ability to maintain five million taka in their vault to
meet their daily transactpon.Because every vault has an insurance premium which limit
is five million taka. If any branches need more than five million taka then branch bring it
from principle branch or the nearest branch of NBL.
E. Cash Balance book:
In cash balance book keep record of that cash has maintained by the cash in charge. In
cash balance book opening balance book opening balance have to be always the
previous day closing balance. At the end of banking hour all receives have to be added
with opening balance then deducted all his payment from the total balance. Remaining
balance has continued as the opening balance of next transaction day.
3.7. Deposit Department:
 To record all the deposit information of SB, CD, STD, FDR, NMS, and MMS A/C
after an account is opened.
 Verify the signature with the computer recorded specimen in case of cheque
receives or payment & requisition slip.
 Confirmation of the balance in case of cheque receipt or payment.
 Made confirmation of the online deposit & payment.

 Posting all the vouchers according to cash, clearing &voucher
 Posting of all the requisition slip
 Balancing any amount of deposit & payment etc.
Any receive & payments through cheque are first posted in computer & then are send to
cash department. Online receipt & payment are also are posted in computer either in
cash or cheque & vouchers are posted in computer. So deposit plays an important
function in the overall banking activities. It is the centre of all banking act ivies. So as a
private bank NBL is trying it’s best to extend their service to the public. NBL, Sirajgong
Branch provides all kinds of commercial banking services to its customers General
banking is engaged in cash receipt, payment, cheque clearing, opening accounts, deposit
scheme, and local remittance etc. So if the MBL wants to continue a profitable business
and position itself as one of the top bank in the bank arena then it has to earn the trust
of their assets and must be concerned about their commitment to the customers.
3.8 CARDS Department:
There are different kinds of cards in NBL:
 Gold International
 Silver International
 Gold Local
 Silver Local
 Power Cards
Two key cards are as followed:

3.8.1 Credit card:
NBL Credit Card is acknowledged in numerous vendor outlet around the globe. An
extensive variety of traders incorporate lodgings, eateries, carriers, & travel operators,
shopping centers and departmental stores, doctor's facilities & demonstrative focuses,
gem specialists, gadgets & PC shops and some more.
Credit Card Fees:

Type of Card Golden Silver
Old New Old New

International $50.00 35.00 25.00 20.00
Local TK 2000/- TK 1500/- TK TK 700/-

1200/-
Dual - $35.00 - $ 20.00
Late Payment Fees:

Old New Old New
International $15.00 10.00 15.00 10.00
Local TK 500/- TK 300/- TK 350/- TK 200/-
Dual - $10.00 - $ 10.00

Card Replacement Fees:
Old New Old New
International $15.00 15.00 15.00 15.00
Local TK 500/- TK 500/- TK 500/- TK 500/-
Dual - $15.00 - $ 15.00
3.8.2 POWER CARD:

NBL Power Card is the first plastic for which consumers don’t need to keep up any
account with our any branch.
 Advantages
 It is a Pre-paid Card
 Yearly/Renewal Fee Tk. 200/ - just
 May be issued and refilled from RFCD/FC Account
 Acknowledged at all VISA POS shippers
 Money withdrawal at all ATM stalls bearing VISA and Q-trade logo(Except HSBC
in for cold hard currency Bangladesh)
 Drawing of Cash:
 From NBL ATMs - Free of charges

 From ATMs under Q-money system Tk.10.00 per exchange
 From other ATM - Tk. 100.00 for each exchange.
 Money Withdrawal Fee(aboard)- 2.00% on the money drawn sum or US$2.00,
whichever is higher.
 Just 1% stacking charge against both International and Local Power Card at the
season of Refilling.
 Yearly Tk.100 for enlistment of SMS administration.
 No Hidden Charges.
3.9 Online Banking Department:

Presently all branches of NBL are joined by ABBS network. Therefore client of one
branch can store or withdrawal his/her cash through some other branches of NBL at
least expensive cost or administration charges. Here it is specified that online offices are
accessible for Current Deposit A/Cs, Savings Deposit A/Cs & Special Notice A/Cs just.
 IBC/OBC:
By OBC, NBL implies those checks drawn on different banks which are not inside
of the same clearing house. Officer gives OBC seal on this sort of checks and later
sends a letter to the chief of the branch of the some bank situated in the branch
on which check has been drawn. After accumulation of that bill branch prompts
the concerned branch in which checks has been introduced to credit the client
account through Inter Branch Credit Advice (IBCA).
 Locker Service:
Locker administration is not accessible in Dilkusha branch of National Bank
(NBL). Be that as it may, different branches of NBL are giving office of locker
support of the motivation behind protecting the important property of clients.
The individual or association that has any record in bank office can appreciate
this administration. They keep their significant resources in financier's care.
Clients have right to take care of with a key of their individual locker gave by
bank. NBL keeps up the accompanying sorts of lockers:
 Big locker.
 Medium locker.
 Small locker.
For appreciating this administration, customers need to give charge yearly Tk.2500/ - ,
Tk.2000/ - and Tk.1500/ - for vast, medium and little locker individually.
3.10 Loan Department:
The duties of loan department are to issuing various types of loans to the respective
customers. Security on Drift (SOD) is one of the major loan which is provided by the NBL
of Shibgonj Branch. In this section of banking I got huge knowledge about loans & that
are:
 How to maintain every loan records

 How to put information regarding various loan on the computer
 Verify the form
 Verify the related documents
 Issue the application regarding loan to the head office
 Verify the security money / assets
 File up all documents according to the sequence
 Verify the signature & nominee’s name
3.10.1 Loan Products of NBL:
 Over Draft
 Lease Finance
 Home Loan
 SME Loan
 Consumer Credit
 Trade Finance
 Home loan
Force of lawyer (enrolled) and so forth.
Payment: Monitoring the movement through dispensing planning. Case in point, on the
off chance that anyone takes an advance from NBL 50crore for a building, every stride is
managed and as per that cash is given the segment of 50crore one by one.
Recuperation: After the time period bank gather the cash as per the agreement from
the customer.
 Over Draft: NBL offers overdraft facility for corporate customers for day-to day
business operations.
Benefits (Condition Apply)
 Low charges in overdraft account maintenance.

 Facility is available against deposit receipt or mortgage property.
 Low interest rate 13-16%.
 Lease Finance: National Bank Limited offers leasing facility for clients with easy
installment facility.
Financing Area
 Capital machinery.
 Different equipments.
 Gas, Diesel generator and Power plant.
 Medical equipments.
 Lift or elevator.

 Inroformation Technology equipments.
 Construction equipments.
 Consumer durables.
 Competitive monthly rental.

 Tax benefit.
 Fast processing.
 Easy handover after leasing period.
 Home Loan: NBL offers home loan facility for purchasing flats or construction of
house.
 Financing amount extends up to 70% or Tk. 75, 00,000 which is highest of total
construction cost.
 Grace period available up to 9 months in flat purchase or 12 months in
construction.
 Competitive interest rate.
 No application or processing fee.
Eligibility
 Any Bangladeshi citizen or NRB, who is capable of repayment, can apply for this
loan
 SME Loan: NBL offers financial support to small businessmen/enterprise with new
products named “Festival Small Business Loan” and “NBL Small Business Loan” has been
introduced in the Bank.
 Maximum Tk.3.00 lac (Festival Scheme) and Maximum Tk.5.00 lac (Small
Business Scheme).
 3 Months (Festival Scheme) and 5 years (including 1 month grace period (Small
Business Scheme))
 Collateral Free Advance.
Eligibility

 Any genuine and small businessmen/ entrepreneurs/enterprise having honesty,
sincerity, and integrity.
 Customer Loan: NBL offers consumer credit facility for retail customers.
Financing items
 Electronics consumer products.

 Computer or Computer accessories.
 Fast processing.
 Competitive interest rate.
 No application or processing fee.
 Easy monthly installment.
 Trade Finance: NBL provides comprehensive banking services to all. types of

commercial concerns such as in the industrial sector for export-import purpose as
working capital, packing credit, trade finance, Issuance of Import L/Cs,Advising and
confirming Export L/Cs. – Bonds and Guarantees .
 Low interest rate 13.00%-14.50%.

 Minimum processing time.
 Low service charges.
3.11 Mobile Banking Department:
 Customer satisfaction
3.11.1 ATM Booth Facilities:
From the study of the graph we find that the customers are disagree & strongly disagree
about the ATM booth facilities of NBL.Bank should establish some other ATM booth in
various location on Dhaka city to satisfy those valued customers of NBL.
Strongly Agree 2
Agree 1
Neutral 6
42 | P a g e Disagree 9 Banking Activities”

“An Analysis of General
Strongly Disagree 15
3.11.2 Satisfied With Interest Rate:
The satisfaction level is too high than the dissatisfaction level in the view point of bank
interest rated that is provided by NBL. So we can say that the customers of NBL is
satisfied with the bank interest rate.
Strongly Agree 9
Agree 14
3.11.3 Problem in Neutral 7 Money Withdraw:
From the inspection Disagree 0 of the graph we find that

customers didn’t face any problem in withdraw
their money where Strongly Disagree 0 some customer are confused
about this matter so it is the responsibility of bank
to turn those confused customer in to a satisfaction level.
Strongly Agree 0
Agree 0
Neutral 8
3.11.4 Disagree 12 Cooperativeness with

Customers: The graph shows that the satisfaction
bar is quite higher than Strongly Disagree 10 the dissatisfaction bar. So
from the graph it is clear that customers believe
that the staffs are cooperative.
Strongly Agree 10
Agree 17
Neutral 3
3.11.5 Automation & Security:
Disagree 0
Strongly Disagree 0
From the observation we find that the customers are very satisfied with its automation
system & security system because the graph shows that maximum people believe the
bank in the view point of these two matters.
Strongly Agree 14
Agree 10
Neutral 6
Disagree 0
3.11.6 Strongly Disagree 0 Satisfied With Services:
Service of the bank is quite good. Most of the customers are satisfied with its service. So
it is up to the bank to retain the level or even make it higher for a long time.
Strongly Agree 8
Agree 16
Neutral 6
Disagree 0
Strongly Disagree 0

Chapter: 4
Learning Knowledge of Internship

Learning Knowledge of Internship
4.1 Definition of Internship:

Internship is a process to achieve practical knowledge about some theoretical lesson. Its
most important aspect is to acquire knowledge about the real position. As a practical
subject, Management needs some practical knowledge. Management of Business studies
includes an internship programs for its Bachelor of Business Administration (BBA) programs.
According to Poling Efro (1977).
“Social Research is such a scientific effort which tries to discover new information
through some rational and organized system, which tries to examine the reliability of
former information, and which tries to make to new theories, systems and conceptions to
understand and Explain a human attitude”.
Practical work is achieved to fulfill our knowledge. In practical work, we can realize
some problems and possible determinants of their solution.
4.2 Importance of Internship:

Goods and services are produced for the purpose of using in daily life. Similarly,
Theoretical knowledge is acquired for the purpose of applying in the practical life. The
propensity of application of theoretical knowledge in practical life successfully
internship program is absolutely necessary because theoretical knowledge will be
fruitful if it can be applied in the practical life. When we can implement the theoretical
knowledge practically, we can say the knowledge is successful; otherwise the achieved
knowledge is valueless. Internship program is the way of implementing the theoretical

knowledge practically. However, the importance of internship may be described in the
following ways:
 As internship program is the practical implementation of the theoretical

knowledge, it helps to increase the quality and effectiveness of the trainer.
 We can only know the problems of an organization in directly through theoretical
knowledge, but we can know the nature of the problems, problems of the various
departments, methods of solving the problems through the practical training. So
it is very important to identify the problems and eradicate the problems.
 The trend of all activities is an organization becomes growing through practical
training.
 To Innovate new technique of management.
 To realize the present condition of the institution.
 To make policy for development of the organization.
 It mentally prepares for their professions.
 Internship program acts as a bridge between theoretical knowledge and
managerial practice. Internship acts as a guideline during the service period.
 By internship program students can understand limitations, shortages
and practicability of their knowledge and thereby can take necessary action
for removing these limitation and shortages.
4.3 Internship experience:
This report has been done as per the requirement for successful completion of the
Internship program. Exposure to the business world and acquiring practical work
experience was the primary objective of this report. I was attached with National Bank
Ltd at its Shibgonj Branch for my internship. Through internship I got the basic idea
about the corporate culture and practices. It was a great experience. 01 May 2017 to 31
July 2017 these three month journey of my internship with National Bank Limited was
very delightful. I enjoyed a lot. All the stuffs of the bank are very friendly and helpful. I
was very lucky to get chance to experience in different departments within these three
months. Those are described below:

4.3.1 Front Desk:
The first department I worked was front desk. I was there from 1 st May to 24th May &
May in charge was Dilruba Akter (Assistant Officer) is also there to help me to
understand my job. I found Front Desk a little difficult. My job was to attain and help the
clients directly. I had to help clients by providing information, helping to fill up Account
opening, DPS opening, MSS opening, DBDS opening, SBDS opening, FDR opening, MBS
opening, SSS opening forms etc.
4.3.2 Clearing
The 2nd department I worked was clearing. May 25th to June 20 I was also appointed in
clearing department. My in charge was Salman Ahmed (Assistant Officer), and Raqibul
Hassan (Officer) in clearing department cheque from other banks transaction happens.
My job was to entry those transactions in a register and at the end of the day sum up the
amount and check with the automated amount from computer. The amount must be
same.
4.3.3 Cash Department:
I was in cash department from 21 st June to 2nd July. My in charge was Salman Mahmud
(Officer). There were also some other stuff working in cash are Polash Kanti Paul
(Assistant Officer), and Salman Ahmed (Cash In Charge).My duty in cash was to entry
cheque and deposits slips amount and number in registers and give the serial number to
the cheque and deposit slip according the register entry number. There were two
register one is to entry the cheque number and amount. Another register is for entering
deposit slips number. Cheques are entered in debit register because with cheque bank
gives money to customer which is debit and deposit slips are entered in credit register
because with using deposit slip customer deposit money to bank which is earning for
bank and that is why it is credited. At the end of the day I had to sum up register
individually and check them with automated amount get through the computer. The
amount must be some other wise it will be revised thoroughly and correct the mistake.
Another job I did there is sorting the cheque according the prefix of the account number.
I had to also sort out the Demand Payable Slip (DPS) according their type. There are

three types of DPS; 3yrs, 5yrs and 8 yrs. 1 to 10 of every month are considered as DPS
hour. Everyone becomes so busy. I got two days of DPS hour and understand what
actually happens. Those days I had to enter lots of cheques, Deposit slips and sort a huge
amount of DPS.I also entry the IPO Share items. I work this in PC.
4.3.4 Accounts Department:
Accounts Department is under General banking. 3 rd July to 20th July, I worked in

accounts. Within that period of time my in charge were changed two times because of
their transfer. So I get the chance to work with two in charge. In accounts first I got Zoha
Afsana (Senior Officer), she was also my onsite supervisor. Dilruba Akter (Assistant
Officer) was my in charge. My main job in accounts is sorting the voucher. After voucher
sorting me had to attach them with related supplementary. Voucher is actually proved of
the transaction. There are various types of voucher and they are categorized by different
number. Which I had to separate and sort group wise. Supplementary is the automated
list of all transactions. Each of the transaction has related voucher. My job was to attach
them according the number and check the amount of transaction. In voucher and
supplementary the amount will be same. Otherwise there must be some problem which
will be identified and revised. After attaching next job was balancing. Balancing means
doing sum and ensuring that debit and credit is equal. Next step is to make a cover page
which is a brown color hard paper. Then prepare it for binding in an organized format. It
is prepared for binding and I did another job was entry the amount date wise in a
register.
4.3.5 Foreign Remittance:
The 5th department I worked was Foreign Remittance. July 23 rd to July 31st I was also
appointed in Remittance department. My in charge was Shaila Monower ( Senior
Officer), and Raqibul Hassan (Officer) in Remittance department Foreign Remittance
from other Exchange Service transaction happens. My job was to entry those
transactions in a register and at the end of the day sum up the Pin Number and check
with the automated amount from computer. The amount must be various.

Chapter: 5
Concluding Remarks

Concluding Remarks
5.1. Findings of the study:

 NBL committed to their prospective customer to honor its cheque within 30 seconds
after submission but unfortunately most of the time they are unable.
 NBL provides high quality financial services to strengthen the well-being and
success of individual industries & business communities.
 Lack of motivation in mid and lower level officers.
 NBL has not yet setup proper networking system, which is very important to
compete with the others in this technical world.
 The software those are used by the Bank is not compatible to the technical world.
The others competitive Banks are attracting the people with new technologies for
the new generation.
 Modern technology is hardly used to maintain documentation, yet they are using
register-based document.
 Lack of promotional initiatives to expand the Foreign Exchange business.
 Strictly implement Credit Risk Grading process
 In a few case it has been observed that the right person is placed in the right
position.
5.2. Recommendations:
 The bank should take the initiative to develop an effective research and
development center to get innovative ideas to capture the competitive market.

 Management should set proper planning for its operations of each and every
work for the whole bank as well as all branches of NBL.
 Accounting system of the Bank should be software base.
 The number of customer is increasing. To keep the commitment NBL must
increase its manpower. So the customer gets their result without wasting time.
 NBL should take necessary action to motivate its officers to encourage them to
work hard to make them believe that they are also a part of the team and the bank does
think about them.
 Stuck up advances should be reduced through more recovery at lower rate of
interest.
 NBL should take necessary step to increase their network facilities.
 Automated Teller Machine (ATM) card facilities are not easy of NBL. So they are
losing their many potential customers. So I think NBL should take necessary step to easy
their ATM card facilities for their customers. .
 Top management must ensure the proper implication of IT in all branches.
 In order to provide service, full-scale online system should be implemented.
faster
 Management should place right person in the right place
 The bank should go for advertising about their services and facility for their
client.
5.3 Conclusion:
The research paper is all about the General Banking and new products and services of
National bank ltd. National Bank is the first private bank of Bangladesh. The existing
products were successful to reach the consumer’s mind and as a result the number of
NBL has increased day by day. The old customers were satisfied with the existing
Products but day by day the numbers of consumers are increasing and with that the new
generation is getting connected with NBL.
In the changing concept of banking, financing in some areas, especially in advances to

agriculture, small industries, small borrowers and export oriented industries are
assuming great importance. Investment is the most important asset as well as the
primary source of earning for the bank. On the other hand this is also the major source

of risk for the bank. So the bank should always try to make an appropriate balance
between its return and risk involved with the investment portfolio. Close supervision
and effective follow up of investment activities might reduce the risk to a great extent.
An unsupervised investment might be stuck up. Consequently not only the depositors
but also the general share holders will be deprived of getting back their money from the
bank.
So as a private bank NBL is trying it’s best to extend their service to the public. NBL,
Shibgonj Branch provides all kinds of commercial banking services to its customers.
Foreign Exchange department is doing well in rending all the services related to the
international trade and remittance. Though the advance of Shibgonj Branch is high, the
Credit department will be in a good position if the Branch able to recover that. General
banking is engaged in cash receipt, payment, cheque clearing, opening accounts, deposit
scheme, and local remittance etc. So if the NBL wants to continue a profitable business
and position itself as one of the top bank in the bank arena then it has to earn the trust
of their assets and must be concerned about their commitment to the customers.

Bibliography:
Reference Books
 Money, Banking, and Financial Markets, Miller & Vanhoose, 2 nd Edition

 Banking Law & Practice,P.N.Varsney
Annual Reports
 Annual Reports of National Bank Limited. 2007-2008

 Circulars of Bangladesh Bank
Other References
 Different published and unpublished journals of NBL.

 Own Effort
Websites
 www.nbl.com
 www.bangladeshbank.org.bd
 www.bankingsectorofbangladesh.com

Appendix:
List of Abbreviation
NBL National Bank Limited

CCH Cash Credit Hypothecation
CIB Credit Information Bureau
DD Demand Draft
ECC Export Cash Credit
ERC Export Registration Certificate
FDBP Foreign Documentary Bills Purchased
FDR Fixed Deposit Receipt
L/C Letter of Credit
LDBP Local Documentary Bills Purchased
LIM Loan Against Imported Merchandise
PO Payment Order
STD Short Term Deposit
TR Trust Receipt
TIN Tax Identification Number
SS Substandard
DF Doubtful
BL Bad or Loss
SOD Secured Overdraft
BRPD Banking Regulation & Policy Department

General Banking Activities of National Bank Limited. 2

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General Banking Activities of National Bank Limited. 2

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Chapter: 01

1|Page “An Analysis of General Banking Activities”

1.2 Objectives of the study:

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1.4. Methodology of the study:

 Secondary sources of data:

1.5 Limitations of the study:

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Banking Industry of Bangladesh

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2.2 Law of Banking:

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2.3 Banking in Bangladeshi Perspective:

2.4 Historical Background:

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Ensuring highest standard of clientele services through best application of latest

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2.9. Organ gram Of NBL:

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ii) Account Opening Procedure:

Step:5 Minimum Balance is deposited

iii) Deposit Schemes:

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Benefits (Condition Apply) Account Opening

3) Short Term Deposit

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4) Fixed term Deposit

Any amount can be deposited. 1 copy of recent photograph of account

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5) Monthly Saving Scheme (MSS/NMS)

“See your small savings grow with NBL.”

Monthly Return after 3 Return after 5 Return after 8

Benefits (Condition Apply) Account Opening

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Benefits (Condition Apply) Account Opening

Benefits (Condition Apply) Account Opening

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iv) Issuing Cheque Book:

 Ten leaves Cheque book: used only for savings accounts

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In case of fixed deposit: FDR slip contains

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3.3. Clearing Department:

ii) Function of Clearing Department:

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vii) Types of clearing House:

viii) Dishonored cheque:

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3.4.1. Local Remittance

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Payment of Pay Order:

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 Process of Issuing a Demand Draft:

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 Issue of duplicate draft:

 Cancellation of Demand Draft:

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