comparison on deposit service/product of islami bank vs brac bank

8/3/2019 Comparison on Deposit Service/Product of Islami Bank VS BRaC Bank

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D i f f e r e n c e i n t h e D e p o s i t P r o d u c t s / S e r v i c e : I S L A M IB A N K B A N G L A D E S H L I M I T E D V S B R A CB A N K

Q u a z i S a g o t a S a m i n a

S e n i o r L e c t u r e r

D e p a r t m e n t o f B u s i n e s s

A d m i n i s t r a t i o n

E a s t W e s t U n i v e r s i t y

1 0 / 1 8 / 2 0 1 1

Khondokar Kamran Bin Khaled 2008-1-10-152

Tasnima Azam 2008-2-10-279

Dola Biswas 2008-3-10-202

MD. Mahadi Hasan 2008-3-13-067

Course: Management of Commercial Banks

Course Code : Fin 380

Sec : 01


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TABLE OF CONTENTS

Chapter 1:Introduction .............................................................. 4

Section 1 : BRAC BANK .....................................................................................................4

Background of the BRAC BANK LIMITED ......................................................................4

Section 2 : ISLAMI BANK BANGLADESH LIMITED ............................................................. 6

BACKGORUND .............................................................................................................. 6

Chapter 2 :Retail Banking (Deposit schemes and services) ....... 8

2.(I). BRAC BANK .............................................................................................................. 8

Section 1: Deposit Products (Savings Accounts) .......................................................... 8

2.(i).1.A. Triple Benefit Savings account ...................................................... 8

2.(i).1.B Savings Classic Account ............................................................... 9

2.(i).1.C Aporajita Savings Account ............................................................ 9

Section 2: Deposit Products (Current Account) ......................................................... 10

2.(i).2.A. Current Classic Account ............................................................ 10

2. (i).2.B Current Plus Account ............................................................... 10

2. (i).2.C Ezee Account ........................................................................ 10


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2. (i).2.D. Salary Account ..................................................................... 11

2. (i).2.E. Campus Account................................................................... 11

Section 3: Deposit Products (term depost) ................................................................ 11

2. (i).3.A. DPS( Deposit Premium Scheme) .................................................. 12

2. (i).3.B. Fixed Deposit General ............................................................. 12

2. (i).3.C. Flexi Deposit Premium Scheme (Flexi DPS) ...................................... 12

2. (i).3.D. Interest First Fixed Deposit (IFFD) ................................................ 12

2.(II) ISLAMI BANK ......................................................................................................... 13

SECTION 1: DEPOSIT PRODUCTS (SAVINGS ACCOUNTS) ........................................... 13

2. (II).1.a. Al-Wadeeah Current Account ................................................... 13

SECTION 2: DEPOSIT PRODUCTS (CURRENT ACCOUNT) ............................................ 13

2. (II).2.a. Mudaraba Savings Account ...................................................... 14

Section 3: Deposit Products (term depost) ................................................................ 14

2. (II).3.a. Mudaraba Waqf Cash Deposit .................................................. 14

2. (II).3.B. Mudaraba Hajj Savings Account ................................................. 15

2. (II).3.c. Mudaraba Muhor Savings Deposit Scheme ..................................... 15

2. (II).3.d.Mudaraba Monthly Profit Deposit Scheme ..................................... 15


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2. (II).3.e.Mudaraba Term Deposits:...............................................................................16

2. (II).3.F.Mudaraba Special Notice Deposits (SND) ....................................... 16

2. (II).3.G.Mudaraba special savings (pension) account ................................... 17

Chapter 3: Interest Rate Comparison of BRAC Bank and Islami

Bank Bangladesh Limited .......................................................... 18

Section 1: Savings Account ......................................................................................... 18

Section 2: Current Account ........................................................................................ 19

Section 3: Deposit Products (term depost) ............................................................... 20

Chapter 4: Conclusion...24

Bibliography: ............................................................................. 24


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INTRODUCTION

Section 1 : BRAC BANK

BACKGROUND OF THE BRAC BANK LIMITEDBRAC Bank Limited, one of the latest generation of commercial banks started its journey on July 04,

2001. It is an affiliate of BRAC (Bangladesh Rural Advancement Committee), one of the worlds largest

non-governmental development organizations founded by Sir Mr. Fazle Hasan Abed in 1972. It has been

the fastest growing Bank in 2004 and 2005. The Bank operates under a "double bottom line" agenda

where profit and social responsibility go hand in hand as it strives towards a poverty-free, enlightened

Bangladesh.

Participation in the Bangladesh economy through the provision of high quality banking services BRAC

Bank doing this by increasing access to economic opportunities for all individuals and business in

Bangladesh with a special focus on currently under-served enterprises and households across the rural

urban spectrum. BRAC Bank believes that the pursuit of profit and developmental goals is mutually

reinforcing. BRAC Bank intends to set standards as the Market leader in Bangladesh by providing

efficient, friendly and modern fully automated online service on a profitable basis. It produces earnings

and pay out dividends that supports the activities of BRAC, the Banks major shareholder. BRAC Bank

goal is to provide mass financing to enable mass production and mass consumption, and thereby

contribute to the development of Bangladesh.

CHAPTER-1


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Aiming at offering commercial banking service to the customers door around the country, BRAC Bank

limited established 77 branches up-to this year. This organization achieved customers confidence

immediately after its establishment.

Within this short time the bank has been successful in positioning itself as progressive and dynamic

financial institution in the country. The is now widely acclaimed by the business community, from small

entrepreneur to big merchant and conglomerates, including top rated corporate and foreign investors, for

modern and innovative ideas and financial solution. BRAC Bank has fast growing small business lending,

remittance, savings mobilization and consumer lending businesses. In the years ahead BRAC Bank

expects to introduce many more services and products as well as add a wider network of SME unit

offices, Retail Branches and ATMs across the country.The authorized capital of BBL is Tk. 1000 million

and paid up capital of the same bank is Tk. 1200 million.

BRAC BANK LTD

...At a glance

Name of the bank BRAC Bank

Ltd

Status Public company

Ltd.

Incorporated at 20 May 1999

Inauguration of the first branch 4th

July 2001

Inauguration of the CDA Avenue Branch 24th

December

2007

Head Office 1, Gulshan Avenue

Gulshan, Dhaka-1212

Bangladesh

Chairman Mr. Muhammed A

Rumee Ali


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Managing Director Mr. A. E. A. Mohaimen

Manager of CDA Avenue Branch Syed Arshaadul Huq

No. of employees of CDA Avenue Branch 20 (permanent)

Asset growth by 103 %

Liabilities growth by 65 %

Find Under Management growth by 80 %

Number of Deposit Account 200000

Number of Advance Account 50000

Number of Branches 57

ATM Booth 177

Section 2 : ISLAMI BANK BANGLADESH LIMITED

BACKGORUND

Bangladesh is one of the largest Muslim countries in the world. The people of this country are

deeply committed to Islamic way of life as enshrined in the Holy Qur'an and the Sunnah. Naturally, it

remains a deep cry in their hearts to fashion and design their economic lives in accordance with the

precepts of Islam. The establishment of Islami Bank Bangladesh Limited on March 13, 1983, is the truereflection of this inner urge of its people, which started functioning with effect from March 30, 1983. This

Bank is the first of its kind in Southeast Asia. It is committed to conduct all banking and investment


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activities on the basis of interest-free profit-loss sharing system. In doing so, it has unveiled a new

horizon and ushered in a new silver lining of hope towards materializing a long cherished dream of the

people of Bangladesh for doing their banking transactions in line with what is prescribed by Islam. With

the active co-operation and participation of Islamic Development Bank (IDB) and some other Islamic

banks, financial institutions, government bodies and eminent personalities of the Middle East and the

Gulf countries, Islami Bank Bangladesh Limited has by now earned the unique position of a leading

private commercial bank in Bangladesh.

Islami Bank Bangladesh Limited

At a glance:

Name of the bank Islami Bank Bangladesh Limited

Status Public company Ltd.

Date of Incorporation 13th March 1983

Formal Inauguration 12th August 1983

Share of Capital

Local Shareholders 41.77%

Foreign Shareholders 58.23%

Authorized Capital Tk. 20,000.00 million

Paid-up Capital Tk. 10,007.71 million

Deposits Tk.32,830 crore

Investment(including Investment in

Shares)

Tk.32,349 crore

Import Tk.19,429 crore

Export Tk.12,774 crore

Remittance Tk.15,746 crore


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Branches

Total number of Branches 245

Number of AD Branches 43

Number of Shareholders 63001

Manpower 11,033

RETAIL BANKING (DEPOSIT SCHEMES AND SERVICES)

2.(I). BRAC BANK

SECTION 1: DEPOSIT PRODUCTS (SAVINGS ACCOUNTS)

Savings Accounts of BRAC Bank Ltd:

2.(I).1.A. TRIPLE BENEFIT SAVINGS ACCOUNT

Account opening balance: BDT 50,000 only.

Interest rate of up to 8% p.a., credited to the account every month. No Debit card Fee and no yearly/ half yearly Account maintenance Charges. First cheque book of 12 pages for free. There is a 10% tax on the interest earned in the savings account. There is also Government

Excise Duty on the deposit/ balance level of the account.

Customer gets half yearly statements (every six months) in the TBS account. The depositor can withdraw maximum TK. 20000 from the ATM booth and TK. 100000 from the

POS machine.

CHAPTER-2


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2.(I).1.B SAVINGS CLASSIC ACCOUNT

Savings Classic Account offers interest rate of 5.5% p.a.

The minimum account opening balance requirement is BDT 15,000. Any balance greater thanzero will be eligible for interest.

The account maintenance fee is BDT 300 + VAT for every half year. Annual Debit Card Fee is BDT 600 + VAT. The account offers free cheque book facility provided

the minimum balance is maintained.

Savings Classic Account Fund Transfer, closing of Savings Classic Account is same as theindividuals Triple Benefits Savings Account.

2.(I).1.C APORAJITA SAVINGS ACCOUNT

Aporajita Account is a savings account for female customers. This account offers interest rate of 6.5% p.a., credited to the account on a monthly basis. The minimum account opening balance requirement is BDT 5,000. Any balance of greater than

zero will be eligible for interest.

There is no Annual Account Maintenance Fee. Annual Debit Card Fee is BDT 600 + VAT. This is anon-cheque-book account.

Tax rate on the Interest & on the Aporajita Savings Account is same as the individuals TripleBenefits Savings Account.

Customers will not get any cheque book for the Aporajita Savings Account. Section 3: DepositProducts (Current Accounts).


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SECTION 2: DEPOSIT PRODUCTS (CURRENT ACCOUNT)

2.(I).2.A. CURRENT CLASSIC ACCOUNT

Current Classic Account is a non interest-bearing account with cheque book & VISA Debit cardfacility.

The minimum account opening balance requirement is BDT 15,000. The account has a maintenance fee of BDT 500 + VAT for every half year and Annual Debit Card

Fee is BDT 600 + VAT. The account comes with a 12 page cheque book free.

Customers can close a savings account by filling in an account closing form. Customers canwithdraw all the amount end leave the funds to meet the account closing charges.

Customer can also transfer the money left to another BBL account by fund transfer option.

2. (I).2.B CURRENT PLUS ACCOUNT

Current Plus Account offers you the freedom of unlimited transactions. There is no intercitytransaction fee for this account.

The minimum account opening balance requirement is BDT 25,000. There is no Annual DebitCard Fee or any other upfront fees.

The account has a Half-Yearly Account Maintenance Fee of BDT 500 + VAT. However, the fee willbe waived if the account maintains an average balance of Taka 25,000 or above for the last six

months. The account comes with a 25 page first cheque book for free.

Any person or organization that has a legal standing in Bangladesh can open a Current PlusAccount.

Closing of Current Plus Account is same as the Current Classic Account.

2. (I).2.C EZEE ACCOUNT


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Ezee Account is a non-cheque, interest-bearing current account which offers interest rate of 4%p.a.

The minimum account opening balance requirement is BDT 2,000. Any balance greater thanzero will be eligible for interest. There is no Annual Account Maintenance Fee.

Annual Debit Card Fee is BDT 600 + VAT. This is a non-cheque-book account.

2. (I).2.D. SALARY ACCOUNT

Organization minimum 10 employees and a payout of Tk. 1 lac per month and an average salary per

employee of Tk. 10,000 per month can open a salary account.

Salary Account is a non-cheque book individual account for employees of different CorporateHouses, offered interest rate is 4% p.a. Any balance greater than zero will be eligible for interest.

There is no Annual Account Maintenance Fee in Salary Account. Annual Debit Card Fees is BDT300 + VAT. Cheque Book facility is also available for this account.

2. (I).2.E. CAMPUS ACCOUNT

Campus Account is an interest-bearing current account exclusively offered for universitystudents with an interest rate of 4% p.a.

The minimum account opening balance requirement is BDT 2,000. Any balance greater thanzero will be eligible for interest. There is no Annual Account Maintenance Fee. Annual Debit

Card Fee is BDT 600 + VAT.

Tax rate on the Interest, Salary Account statements on the Campus Account is same as theindividuals Current Account.

Customers will get cheque book and Visa debit card for the Campus Account. Campus Accountin the name of the person, individuals or joint, will also get Visa debit card.

SECTION 3: DEPOSIT PRODUCTS (TERM DEPOST)


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2. (I).3.A. DPS( DEPOSIT PREMIUM SCHEME)

BRAC bank has a range of options for both installment size and maturity.

The monthly installment can be as low as BDT 500 or any multiples of it i.e. BDT 1,000, BDT2,500, BDT 5,000 and so on. You are also free to choose the maturity of your DPS. You may

select a period of 4/7/11 or 14 Years, depending on your convenience.

Customers will get a Savings Account and On-Line Banking Facility and auto trans fer facility also.

2. (I).3.B. FIXED DEPOSIT GENERAL

Fixed Deposit General is a non-transactional account that gives interest and principal at maturity.

Minimum amount required to open the General FD account is BDT 50,000. FD General can be opened for 1/3/6/12/24/36 months. Interest is paid on maturity, calculated

on 360 days, as per the Interest Rate Matrix.

10% Government Tax shall apply to the interest amount.

2. (I).3.C. FLEXI DEPOSIT PREMIUM SCHEME (FLEXI DPS)

Flexi Deposit Premium Scheme is a non-transactional account that a customer uses for interest earning

and savings purposes through monthly installment basis.

Minimum amount required to open an FDPS account is BDT 500 and its multiples. FDPS can beopened for 1/2/3/4/5/6/7/8/9/10 years.

Interest is accrued to the FDPS account on monthly basis. Interest (after adjusting 10%Government tax on the interest amount) will be paid at maturity date, as per the Interest Rate

Matrix.

2. (I).3.D. INTEREST FIRST FIXED DEPOSIT (IFFD)
http://www.bracbank.com/DPS.phphttp://www.bracbank.com/DPS.php


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Interest First Fixed Deposit is a non-transactional account that a customer uses for interest earning in

advance and savings purposes. The unique feature of this product is that interest is given upfront, at the

time of opening the fixed deposit.

Minimum amount required to open an IFFD account is BDT 100,000. IFFD can be opened for 3/6/12 months. Interest (after the adjustments of 10% Government tax

on the interest amount) is immediately transferred to the link account, as per the Interest Rate

Matrix.

2.(II ) ISLAMI BANK

SECTION 1: DEPOSIT PRODUCTS (SAVINGS ACCOUNTS)

2. (II).1.A. AL-WADEEAH CURRENT ACCOUNT

Profit

bearing

Transaction Account

types

Minimum balance Negotiable Instrument

No

Transactional

(more than one during banking hour) Current

Tk.500

(Govt. tax is to be maintained in

the A/C)

Yes

(Cheque)

This account maintains under Al-Wadeeah principle of Islamic Shariah.

Deposit from this account is invested along with other deposit but bank does not share profit with Al-

Wadeeah current account holders as bank does not use that money for long time and has to always

ready to fill customers withdrawal on demand.

Tk. 50 is charged half yearly if minimum balance is not maintained. Account closing charge is

tk.50. Bank charges Tk.300+VAT for debit card and charge for online services. But within the city it does

not charge for online cash withdrew up to Tk.100, 000.

SECTION 2: DEPOSIT PRODUCTS (CURRENT ACCOUNT)


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2. (II).2.A. MUDARABA SAVINGS ACCOUNT

Profitbearing Transaction Accounttypes Negotiableinstrument Profit rate for 2010(67% of investment

income earned)

Yes Non-

transactional

Savings NO 5 years 9.19%

10 years 7.80%

Accounts under this Scheme may be opened for monthly deposits of Tk.500/-, Tk1,000/-Tk.2,000/-,

Tk.3,000/-,Tk.4,000/- and Tk.5,000/- only. The deposit will be received on Mudaraba principle

Account under the Mudaraba Muhor Savings Account shall only be opened in the name of wife.

Instalment must be deposited within 6th to 25th of each month. If the 25th of any month is a Govt.

holiday then instalment may be deposited on the preceding working day. Advance Instalments may be

allowed to be deposited.


2. (II).3.A. MUDARABA WAQF CASH DEPOSIT

Waqf to be done in perpetuity and the account shall be opened in the title to be decided bythe Waquif. Deposits/Cash will be received as endowment on Mudaraba principle.

The Bank will manage the Waqf Fund on behalf of the Waquif. Waquif will have theright/opportunities to create Cash Waqf at a time or he/she may start with a minimum

deposit of Tk. 50,000/- only and the subsequent deposit shall also be made in thousand or

in multiple of thousand taka.

The Waquif or the beneficiary under this Scheme shall get the share of minimum 65% ofthe investment income


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2. (II).3.B. MUDARABA HAJJ SAVINGS ACCOUNT

Profit

bearing

Transaction Account types Negotiable

instrument

Installment Profit rate for 2010(67% of

investment income earned)

Yes Non-

transactional

Savings

( for 1 year to 25

year scheme)

NO Each month

(based on

scheme year)

01-10 years 9.19%

11-20 years 9.60%

Account holder has to maintain a pass book where installment is recorded. Bank charges Tk.10for getting a new pass book that lost.

If any depositor intends to perform Hajj before the maturity of deposit, then he can do soby depositing the balance amount fixed for the year along with his savings in the

Mudaraba Hajj Savings Account.

2. (II).3.C. MUDARABA MUHOR SAVINGS DEPOSIT SCHEME

Accounts under this Scheme may be opened for monthly deposits of Tk.500/-, Tk1,000/-Tk.2,000/-,

Tk.3,000/-,Tk.4,000/- and Tk.5,000/- only. The deposit will be received on Mudaraba principle

Account under the Mudaraba Muhor Savings Account shall only be opened in the name of wife. Installment must be deposited within 6th to 25th of each month. If the 25th of any month is a

Govt. holiday then installment may be deposited on the preceding working day. Advance

Installments may be allowed to be deposited.

2. (II).3.D.MUDARABA MONTHLY PROFIT DEPOSIT SCHEME

The Deposit shall be for a period of 5(five) years. The amount is refundable on maturityas per Mudaraba principle.


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Under this Scheme Deposits shall be received on Mudaraba principles in the amounts ofTk.100,000/- and multiples thereof. Specially designed Monthly Mudaraba Profit Deposit

Receipt will be issued there-against.

In case of premature withdrawal before 1(one) year, no profit shall be payable. In case of pre-mature withdrawal after 1(one) year profit shall be payable at the rate

applicable for Mudaraba Savings Deposit. In such cases excess monthly profits so far

paid shall be adjusted.

Monthly Mudaraba Profit Deposit receipts will be acceptable as security

2. (II).3.E.MUDARABA TERM DEPOSITS:

Anyone can take this scheme for tk.1000 or tk. 100 multipliable any amount. Bank provides non-transferable documents for this term deposit. Profit is not paid in case of withdrew money within 3 months.

2. (II).3.F.MUDARABA SPECIAL NOTICE DEPOSITS (SND)

Profit

bearing

Transaction Account

types

Negotiable

Instrument

Minimum

balance

Notice for

withdrew

Profit rate for 2010

(67% of investment

income earned)

Profit

bearing

Transaction Account

types

Maturity Negotiable

Instrument

Profit rate for 2010(67% of


Yes Non-Transactional Term

deposit

3 months, 6 months,

12 months, 24

months and 36

months

No

3 months 6.22%

6 months 6.50%

12 months 6.80%

24 months 7.26%

36 months 8.21%


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yes Transactional Savings Yes (cheque) Tk.25,000 7 days before For clients 3.89%

For Banks 1.77%

Bank provides profit half-yearly or adjust yearly after calculating of profit and loss account.

Bank does not grant profit whenever balance decline from Tk.25, 000. Customer has to givenotice before 7 days for withdrew. And then, profit is given on daily basis. Customer can deposit

money any day during banking hour.

Bank will charge half yearly at a specific rate whenever balance decline from minimum balanceTk.25, 000. And Tk. 20 will be charged for closing the account.

2. (II).3.G.MUDARABA SPECIAL SAVINGS (PENSION) ACCOUNT

Profit

bearing

Transaction Account

types

Negotiable

instrument

Monthly

installment amount

Profit rate for 2010(67% of


Yes Non-

transactional

savings No Tk.100-

Tk.500,Tk.1000,

Tk1500,Tk.2500,

Tk.5,000

10 years term 9.19%

5 years term 7.80%

Installment must be deposited within 6th to 25th of each month. If 25th is govt. holiday depositshould be deposited on following working day. Installment can be deposited through cheque,

advance and so on.

After the maturity account holder is given a lump sum amount of money or fixed amountmonthly basis payment. In case of monthly basis, rest of the money is treated as mudaraba

saving deposit.

CHAPTER-3


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INTEREST RATE COMPARISON OF BRAC BANK AND ISLAMI BANK

BANGLADESH LIMITED

Interest is generally provided by most of the banks in our country apart from the Banks those who

follow Islamic Banking rule or Shariah. Thus, BRAC bank provides interest on the money kept in the

different type of deposits. On the contrary, Islamic Bank Bangladesh Limited follows the Islamic Shariah.

It is committed to conduct all banking and investment activities on the basis of interest-free profit-loss

sharing system known as Mudaraba. Mudaraba is an ancient form of financing practised by the Arabs

since long before the advent of Islam. In Islamic financing, a type of partnership in which one partner

provides the capital while the other provides expertise and management. Each gets a prearranged

percentage of the profits , but if confronted by loss the partner providing the capital also bears the

losses instead of profit.

The differences between the profit/loss sharing rate and the interest of these two banks can be

summarized as follows:

SECTION 1: SAVINGS ACCOUNT

S Final Rate ofprofit (67.00% of


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N Islami Bank Bangladesh

limited

InvestmentIncome

earned through

deployment of

Mudaraba Fund)

for 2010

BRAC

Bank Interest Rate

1 Mudaraba Savings Account

For Client

For Banks

5.30%

2.48%

Triple

Benefit

Savings

Account

Monthly average balance Rate

Below Tk. 50,000 0%

From Tk. 50,000 to less than Tk. 5 lac 4%

From Tk. 5 lac to less than Tk. 25 lac 6%

Tk. 25 lac & above 8%

2 N/A Aporajita

Account

Day end balance Rat

Below Tk. 50,000 0%

Tk. 50,000 to less than Tk. 5 lac 4%

Tk. 5 lac to less than Tk. 25 lac 6%

Tk. 25 lac to less than Tk. 25 crore 8%Tk. 25 crore & above 8.5%

3 N/A Savings

Classic

Account

Monthly minimum balance Rate

Below Tk. 50,000 0%


Tk. 5 lac to less than Tk. 25 lac 6%

Tk. 25 lac to less than Tk. 25 crore 8%

Tk. 25 crore & above 8.5%

4 N/A Future

Star

Account

Monthly Average Balance Rate

Below Tk. 50,000 4%


Tk. 1 lac & above 8%

NB : Islamic Bank Bangladesh Limited only provides one type of Savings account whereas BRAC Bank provides 4 different types of sav

account for facilitating different types of people for different savings need for the future.

SECTION 2: CURRENT ACCOUNT

Final Rate of

profit (67.00% of

investment

Interest Rate


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Islami Bank Bangladesh limited Income earnedthrough

deployment of

Mudaraba Fund)

for 2010

BRAC Bank

1.Al-Wadeeah Current Account No Profit / Loss

bearing.

Current Classic

Account

Non interest-bearing

2. N/A Current Plus Non Interest Bearing,but enjoys Cash

Back as their

deposits grow.

3. N/A EZee Account 4%

4. N/A Salary Account 4% interest on anydeposit amount(*On

daily balance)

5. N/A Campus Account 4%NB : Islamic Bank Bangladesh Limited only provides one type of current account whereas BRAC Bank provides 5 different

types of current account for facilitating the business and the organization.



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S\N Islami Bank Bangladesh

limited

Final Rate of

profit (67.00% of

investment Income

earned through

deployment of

Mudaraba Fund) for

2010

BRAC

Bank

Interest Rate

1 Mudaraba Hajj Savings

11 to 25 years term

(Weightage of proportion

to investment fund 1.10)

01 to 10 years Term



9.19%

7.80%

DPS.

4 years- 8.5%

7 years- 9%

11 years-9.5%

14 years-9.75%

2 Mudaraba Muhor

Savings (MMS)

10 Years Term



05 Years Term



9.19%

7.80%

Fixed

Deposit


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ifference

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eposit

Products:

ISLAM

I

BAN

K

3 Mudaraba Waqf Cash

Deposit



9.60%

General.

Flexi DPS

4 Mudaraba Special

Savings Scheme

(Pension):

a. 10 Years term



b.05 Years Term



9.19%

7.80%

Interest

First Fixed

Deposit.

5 Mudaraba Monthly

Profit Deposit Scheme

(MMPDS):

a) 05 Years Term



b) 03 Years Term


8.55%

8.21%

N\A


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eposit

Products:

ISLAM

I

BAN

K


6 Mudaraba Special

Notice Deposits (SND)

a) For Clients(Weightage of

proportion to

investment fund .55)

3.89%

N\A

7 Mudaraba Term

Deposits:

a) 36 Months



b) 24 Months (Weightage

of proportion to


c) 12 Months (Weightage

of proportion to


d)06 Months (Weightage

of proportion to


e)03 Months (Weightage

of proportion to


8.21%

7.26%

6.80%

6.50%

6.22%

N\A


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ISLAM

I

BAN

K

CONCLUSION

Today banking business becomes more competitive than before. Now customers are more aware and

become smart to compare between the banks. And then choose the most convenient bank for them for

dealing with their hard earned cash and business finance.

Considering the fast moving and altering business era in the world each and every business

organizations need to upgrade their ways of business to keep pace in the changing situation. It is very

true that the most of the customers do not hesitate to term BRAC Bank better than other banks. Its

profit is gradually increasing. The local banks have recently focused their attention to customer service,

satisfaction regarding deposit-banking services. Moreover there are a good number of private banks

that are into the competition. Therefore it is better for BRAC Bank not to let the situation be worst and

should emphasize on serving customers effectively and efficiently to ensure better services.

On the contrary, Islamic banks in Bangladesh have become, to an extent, successful in the field of

savings and investment mobilization. As a result, the growth of Islamic banking in terms of branch

expansion was evident not only in Islamic banking companies but also in Traditional banking companies.

Islamic banking is growing well in terms of resource mobilization. These indicate that premises of Islamic

banking system in Bangladesh have become stronger, although Islamic-banking system is working side

by side with Traditional banking system. As such we can portray the example of the Islamic Bank

Bangladesh Limited as they are offering a vast source of deposit schemes to attract more and more

customers. The banking system of the country will forward towards Islamic banking system in future

and it is really promising for other countries.

As so, our countries banking sector is becoming more dominant and will boost exponentially when both

the Islamic Banks and as well as the traditional banks will flourish in prosperity.

CHAPTER-4


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ISLAM

I

BAN

K

BIBLIOGRAPHY:

http://www.qfinance.com/dictionary/mudaraba

http://users.bart.nl/~abdul/article2.html

http://www.bracbank.com/eoi.php

http://www.bracbank.com/Schedule-of-Charges.php

http://www.islamibankbd.com/introduction.php

http://www.bracbank.com/schedule_of_charges/20110801Rate%20of%20Interest.pdf

http://www.islamibankbd.com/profit_rate_2010.pdf

http://www.islamibankbd.com/awca.php

http://www.islamibankbd.com/mtdr.php

http://www.bracbank.com/company_profile.php
http://www.qfinance.com/dictionary/mudarabahttp://users.bart.nl/~abdul/article2.htmlhttp://www.bracbank.com/eoi.phphttp://www.bracbank.com/Schedule-of-Charges.phphttp://www.islamibankbd.com/introduction.phphttp://www.bracbank.com/schedule_of_charges/20110801Rate%20of%20Interest.pdfhttp://www.islamibankbd.com/profit_rate_2010.pdfhttp://www.islamibankbd.com/awca.phphttp://www.islamibankbd.com/mtdr.phphttp://www.islamibankbd.com/mtdr.phphttp://www.islamibankbd.com/awca.phphttp://www.islamibankbd.com/profit_rate_2010.pdfhttp://www.bracbank.com/schedule_of_charges/20110801Rate%20of%20Interest.pdfhttp://www.islamibankbd.com/introduction.phphttp://www.bracbank.com/Schedule-of-Charges.phphttp://www.bracbank.com/eoi.phphttp://users.bart.nl/~abdul/article2.htmlhttp://www.qfinance.com/dictionary/mudaraba

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