ringkon rupali bank
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INTERNSHIPINTERNSHIP REPORTREPORT
ONON
GENERAL BANKINGGENERAL BANKING ACTIVITIESACTIVITIES
OFOF
RUPALI BANK LTDRUPALI BANK LTD (GANDARIA BR.)(GANDARIA BR.)
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“GENERAL BANKING ACTIVITIES OF “GENERAL BANKING ACTIVITIES OFRUPALI BANK Limited (GANDARIA BR.)”RUPALI BANK Limited (GANDARIA BR.)”
Prepared By:NameNameId: Id:
Prepared For:Prof. ChairmanDepartment of Business AdministrationUniversity
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Submission Date: 24/02/2015
AcknowledgementAt first , I would like to express my deepest grati tude to Almighty Allah
for giving me the strength to finish the task within the schedule time.
I would like to give my deep gratitude, compliments and thanks from the
core of my heart to internship supervisor Prof. ----------------- whose
constant supervision and guidance enabled me to prepare this report. I am
indebted to him for his excellent support and guidance through out the
study.
I would like to thank Mr. M. Farid Uddin Ahmed, Managing Director of
Rupali Bank Ltd. for giving me the opportunity to work as an intern in
Rupali Bank Ltd. (Corp. Br.). Then Mr. Kazi Md. Neyamat Ullah, General
Manager of Rupali Bank Ltd.
I am also thankful to Mrs. Hosne Ara Begum (General Manager of Head
Office), MR. Md. Shawkat Ali Khan (Manager of Corp. Br.), and Mr.
Moniruzzaman. Chowdhury (SO of Corp. Br). They are never let me think
that I am internee in this branch. They are always treated me as employee
of the bank what make to do my work with more responsibly.
I am ever grateful to some of my friends who have helped me to complete
this report . They were Mizanur Rahman, Md .Monirul Haque (Masud). and
Abul Kashem. Also my younger brother M. A. Nasher Rono helped me to
accomplish my mission.
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Finally, a silent stream of grati tude is for our most adorned parents whose
blessings are always with us in this windy world.
LETTER OF TRANSMITTALFebruary 24, 2015.
Prof., Internship Supervisor,
Faculty of Business Administration, Victoria University of Bangladesh.
Dhaka-1204.
Subject: Submission of Internship Report on “GENERAL BANKING
ACTIVITIES OF RUPALI BANK LTD. (Gandaria Corp. Br.)”
Dear Sir,
With due respect, I would like to inform you that I have completed my
internship report on “GENERAL BANKING ACTIVITIES OF RUPALI
BANK LTD. (Manikgonj Corp. Br.)”.
I made every endeavor to prepare this report & tried my level best to
gather relevant & insightful information about general banking of Rupali
Bank.Ltd. It is a great experience for me to work with this report . I have
tried to make the report vivid & comprehensive within the scheduled time
& limited sources.
I shall be obliged to clarify any matter or to provide any further
information regarding this report.
Thanking you
Sincerely yours
Name
ID: 000000
Program: BBA
4
University
EXECUTIVE SUMMERY
Banks are the pillars of the financial system. Specially, in Bangladesh,
proper banking system is very important. As a first -generation
commercial bank, Rupali Bank public limited(Corporate Branch)
established a landmark in the banking community in Bangladesh .The bank
expand its activities by offering diversified product & quality service to
their customer. Their product & quality service brought them a continuous
growth in their success during the last Forty years.
I have done my internship in an important branch of Rupali Bank Ltd.,
Corporate Branch (Gandaria Corp. Br). My internship report is based on
the General Banking Activities of Rupali Bank Ltd. . For this reason, I
have worked in the several departments of that branch.
In the introduction part, I have described the origin of the report,
objectives of the study, methodology of the study and constraints of the
study. The main objective of Rupali Bank Ltd. is to maximize profit by
util izing its resources at the optimum level & minimiging cost..
In organization part, I am tried to explain about the historical background
of Rupali Bank Ltd.. The bank doing their operation through its Head
office & Local office at Dhaka and 492 branches all over the Bangladesh.
The bank doing their works all over the world more than 492 branches and
also their one overseas branch. Rupali Bank Ltd. introduced different kind
of service such as Q-CAS service, Locker service, and different kind of
deposit schemes such as Monthly, Yearly savings scheme, Pension savings
scheme, Educational savings scheme, Marriage savings scheme , and many
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other human welfare services , . .They are also providing different kind of
loan scheme such as: Agriculture Scheme, Commercial Lending, House
Building, Small/ Cottage Industry, Large /Medium Scale Industry.
In learning part , I explain an overview of general banking activities of
Rupali Bank Ltd. (Corp. Branch), which includes Account opening and
closing procedure, Operational procedure of general banking such as:
Current account, Savings account, Short term deposit, Fixed deposits, .
What kinds of documents are required to open different kind of account.
Rupali Bank Ltd. provides three types of remittance such as: Pay Order,
Demand Draft , and Telegraphic Transfer. In the Clearing Department:
There are outward clearing and inward clearing .In the Bills for collection
department there are inward bil ls and outward bills and its procedure and
in Dispatch part: Outward and inward dispatch. I am explaining about the
Problems and Recommendations about the Rupali Bank Ltd. (Corp.
Branch).
At the end of the report , it is found that the branch provides all the
conventional banking services as well as some specialized financing
activit ies to the economy. Thus by providing this various services, Rupali
Bank Ltd. (Corporate Branch), is playing an important role in the banking
system of Bangladesh.
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CONTENTS
Part PageAcknowledgement 3
LETTER OF TRANSMITTAL 4Executive Summary 5&6
INTRODUCTION PART 10
1.0 Introduction 11
1.1 Origin of the report 11
1.2 Rationale of the study 11
1.3 Objectives of the report 11
1.5 Methodology of the study 12
1.6 Constraints of the study 12
ORGANIZATION PART 13
2.0 Origin of Rupali Bank 14
2.1 Location of the bank 14
2.2 Foreign corresponding Banks. 15
2.3 Diary of events & brief profile of Rupali Bank 16
2.4 Hierarchy of the Rupali Bank 17
2.5 Vision 18
2.6 Mission 19
2.7 Core values 20
2.8 Strategic Objectives of Rupali Bank Ltd. 21
2.9 Ethical Principles of Rupali Bank Ltd. 22 & 23
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2.10 Core strengths 24
2.11 Services & Products 24
2.11.1 Services
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2.11.2 Products 25
2.12. Loan schemes
25 &26
LARNING PART 27
3.0 Operational producers of General Banking 29
3.1 Account opening department 29
3.1.1 Who can open A/c 29
3.1.2 Account transfer 30
3.2 Deposit Section 30
3.2.1 Types of deposit account 30
3.2.1.1 Current account 31
3.2.1.2 Savings account 32
3.2.1.3 Short term deposit account 33
3.2.1.4 Fixed deposit account 34
3.3 Kinds of depositors accounts 34-35
3.4 Formalities for opening different types of A/C 36
3.4.1 Documents for savings accounts 36
3.4.2 Documents for current accounts 36-38
3.4.3 Documents for short term deposit A/C 39
3.4.4 Documents for fixed deposit 39
3.5 Issue cheque book& payment of cheque 39
3.5.1 Issue cheque of book 39
3.5.2 How cheque book is processed 40
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3.6 Closing of account 41
Local Remittance Department 424.0 Pay Order 43
4.1. Issuance of pay order 43
4.2. Payment of pay order 44
4.3. Issuance of duplicate pay order 44
4.4. Cancellation of pay order 45
5.0 Telegraphic Transfer 45
5.1 Steps of issuance of T.T 46
5.2 Cancellation of T.T 46
6.0 Demand Draft 46
6.1 Issuance of DD 47
6.2 Payment of DD 48
6.3 Cancellation of DD 48
Clearing Department 49
7.0 Clearing Department 50
7.1 Types of clearing 50
8.0 Bills Collection 52
8.1 Types of bil ls for collection 52
8.1.1 Outward bills collection 52
8.1.2 Inwards bills for collection 53
Dispatch Department 54
9.0 Dispatch 55
9.1 Inward Dispatch 55
9.2 Outward Dispatch 56
9.3 What kind of things will be dispatched 56
Findings and Recommendation 57
10.1 Problems identification 58
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10.2 Recommendations 59
11.0 Conclusion 60
12.0 References 61
Introduction Part
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AN INTRODUCTION
The internship program of BBA is a partial requirement to take a taste of
real life challenge conducted by the intern. It is an important part of the
BBA program. This program is for 3 months duration. The period for this
program was from January 01, 2015 to March 31, 2015. During this period
I have worked closely with the employees of Rupali Bank in Corporate
Branch. This report presents the outcomes of the study during the
internship – Rupali Bank Ltd. I was assigned a topic- General Banking
Activities of Rupali Bank Ltd.
1.1 ORIGIN OF THE REPORT
To full fill the BBA degree requirement under the-------University Of
Bangladesh, this report is done. This is an individual assignment, which is
to be prepared on the basis of the practical working experiences and
working at least three month under an organization as a internship.
1.2 RATIONALE OF THE STUDY
Theoretical knowledge is not enough for a student. It is a far difference
between theoretical knowledge and practical field. Main purpose that may
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be to know about the rules, regulations, and environment of an
organization before getting a job.
1.3 OBJECTIVES OF THE REPORT
Every repot has its objectives. The main focus of the report is to know
about the Rupali Bank Ltd. and get an overall idea about this bank. The
objective of the report is “General Banking Activities of Rupali Bank
Ltd.”.
1.4 METHODOLOGY OF THE STUDY
During the t ime of internship period, I spent my time in the different
department of the bank as a rule of internship. I worked with the different
department officer’s desk and acquired knowledge. To prepare this report
I have collected data or information from different sources of the bank.
The sources of data / information can be divided into two parts:
1.4.1 Primary sources
Primary sources of data means are those data what we get from the
practical work & through interview of the customer of the Bank:
Discussion with the banking officer in-charge of Rupali Bank Ltd.
Direct conversation with the customer.
Discussion with the expert person.
1.4.2 Secondary sources
The secondary sources of data are given below:
Annual Report of the Rupali Bank Ltd.
Different web site that are related to this bank
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1.5 Constraints of the study
In the study field I face some problems or constraints of the study. They
are as follows:
All kinds of documents or paper related with my study are not
sufficient.
The Bankers do not provide all the information which are very
confidential.
Most of the time up to date information is provided by the banker.
ORGANIZATION PART
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2.0 ORIGIN OF RUPALI BANK LTD.
Rupali means people. This is a progressive bank. It has been operating since
it 's inception in 1972 both in Bangladesh and overseas. Rupali Bank ltd. has
been playing a significant role in the economic development of the country
by mobilizing savings and challenging funds into different productive
sectors. It is also a major player in the fields of micro-credit and software
development.
Rupali Bank ltd. is a nationalized commercial bank established under the
Bangladesh Banks (Nationalization) order 1972. The bank was created by
taking over the branches of Three abandoned Pakistani banks the Muslim
Commercial Bank Ltd. Australasia Bank Ltd. and Standard Bank Ltd.; the
bank started its operations with an initial authorized capital of TK. 50
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million and paid up capital of TK 50 million and later amount of paid up
capital was raised to TK.10.5 million. The authorized capital was raised to
TK 30 million in 1973. Since then the authorized and paid up capital
remained unchanged till December 1983. Later, both were increased from
time to time and their amount stood at TK. 8 billion and TK. 2.594 billion
respectively on 30 September 2010. The reserve funds of the bank on that
date were TK. 367 million.
2.1 LOCATION
NAME OF THE BRANCHES AT DHAKA ZONE:
1. Dhaka Divisional Office34, Motijheel Commercial Area, Dhaka-1000Phone : 9552214, 9551840, 9552746Fax : 880-2-956414
2.2 FOREGIN CORRESPONDANCE:
Rupali bank has already established a worldwide network and relationship with international banking through its four (4) overseas Barnacles in U.A.E, subsidiaries .
OVERSEAS BRANCHES:
Name of overseas branches is given below :
ABU DHABI : SHARJAH :
Rupali bank Rupali Bank
Abu dhabi bank Sharjah Branch
Obied Sayah Al-Mansuri Building Al Qassim Building
Abu dhabi, UAE Sharjah, UAE
DUBAI : Al-AIN :
Rupali bank Rupali Bank
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Dubai Branch Al-Ain Branch
Baniyas complex Al-Nahyan Building
Deira Dubai, UAE . Al-Ain, UAE
2.3 DIARY OF EVENTS &BRIEF PROFILE OF RUPALI BANK:
GENERAL INFORMATION
Certif icate of incorporation March, 12,1972
Certificate of comment of business March, 12,1972
Bangladesh bank licence March, 23,1972
First branch opened May, 25,1972
Number of branch 492(present)
Number of employees More than 5000
Global Corresponding More than 183
Listing of share DSE &CSE
FINANCIAL STABILITY
INFORMATIONAuthorized capital In Dec. 30, 2010 700.00 Crore
Paid- up capital In Dec. 30, 2010 125.00 Crore
Paid- up capital& reserve In Dec. 30, 2010 570.78 Crore
Deposit In Dec. 30, 2010 9112.63 Crore
Loan and advance In Dec. 30, 2010 6605.49 Crore
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Investment In Dec. 30, 2010 1476.25 Crore
Operating profit In Dec. 30, 2010 250.00 Crore
CHAIRMAN OF THE BANK
Mr. Dr. Ahmed Al-Kabir Chairman, Rupali Bank Ltd.
MANAGING DIRECTOR (MD) OF THE BANKMr. Md. Farid Uddin Ahmed Managing Director, Rupali Bank Ltd.
DEPUTY MANAGING
DIRECTOR OF THE BANKMr. Jaglul Karim DMD, Rupali Bank Ltd.
Mr. Shaik Ahmed DMD, Rupali Bank Ltd.
2.4 HIERARCHY OF RUPALI BANK LIMITED
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Managing Director (MD)
Deputy General Manager (DGM)
General Manager (GM)
Deputy Managing Director (DMD)
Senior Principal Officer (SPO)
Assistant General Manager (AGM)
Principal Officer (PO)
Senior Officer (SO)
Officer
Junior Officer
Assistant Officer
Office Assistant (CT)
Office Assistant (Gamader)
Office Assistant (Peon)
Office Assistant (Arms Guard)
2.5 Vision of Rupali Bank Ltd.:
Vision of Rupali Bank Ltd. to expand loyal customer base
by being known as the financial partner of choice that
constantly exceeds customer expectations.
2.6 Mission of Rupali Bank Ltd.:
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Develop long-term relationships that help our
customers achieve financial success.
Offer rewarding career opportunities and cultivate
staff commitments.
Uphold ethical values and meet its customer’s
financial needs in the fastest and most appropriate
way and continue innovative works in order to
achieve human resource with superior qualities,
technological infrastructure and service packages.
2.7 Core values of Rupali Bank Ltd: Social Responsibility-we care for and
contribute to our communities
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Performance-we measure results and reward
achievements
Integrity-we uphold trustworthiness and
business ethics
Respect-we cherish every individual
Innovation-we encourage creativity
Teamwork-we work together to succeed
The first letters of the initial words form
“SPIRIT” and carry equal importance
2.8 Strategic Objectives of Rupali Bank Ltd
Develop a customer oriented service culture with special emphasis on customer care and convenience.
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Increase our market share by following a disciplined growth strategy.
Achieve a significant share of deposit and credits from the existing and niche markets.
Leverage our technology platform and pen scalable systems to achieve cost-effective operations, efficient MIS, improved delivery capability and high service standards.
Develop innovative products and services that attract our targeted customers and market segments.
Maintain a high quality assets portfolio to achieve strong and sustainable returns and to continuously build shareholders’ value.
Explore new avenues for growth and profitability, particularly by diversifying loan portfolio through structured finance and expansion of retail and SME financing.
Strengthen the bank’s brand recognition.
2.9 Ethical Principles of Rupali Bank Ltd. :
Customer Focus and Fairness: At RBL, our prime focus is to achieve perfection in our customer service.
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Customers are our first priority and driving force. We wish to gain customer confidence and be their trusted partner. We believe in fair treatment to all customers, depositors, borrowers and clients without any discrimination.
Quality; Quality service experience is a paramount to our customers and we are strongly committed to fulfilling this ideal. We have a culture of timely compliance of regulatory requirements. Honesty and Integrity: We ensure the highest level of integrity to our customers, creating an ongoing relationship of trust and confidence. We treat our customers with honesty, fairness and respect.
Belief in our People: We recognize that employees are our most valuable asset and our competitive strength. We respect the worth and dignity of individual employees who devote their careers for the progress of the bank. We trust in equal treatment to all shareholders irrespective of their individual size of shareholdings.
Teamwork : We are a firm believer in team work and feel that loyal and motivated teams can produce extraordinary results. We are driven by a performance culture where recognition and rewards are based on individual merit and demonstrated track record.
Good Corporate Governance: Effective corporate governance procedures are essential to achieve and maintain public trust and confidence in any company, more so in a banking company. At RBL, we are committed to following best practices resulting in good corporate governance.
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Corporate Social Responsibility: As a responsible corporate , we consider it important to act in a responsible manner towards the environment and society. Our commitment has always been to behave ethically and contribute towards the improvement of quality of life of our people, the community and greatly the society, of which we are an integral part.
2.10 Core strengths:
Quick decision making
Efficient team performance
Satisfied customer
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Internal control
2.11 SERVICES AND PRODUCTS
Services and products are given below:
2.11.1 Services:
ATM SERVICES
LOCKER SERVICES
Locker servicesYearly charge
Security deposit Name of Branch
Small Tk.1000 Tk.3000 Corporate branch
Medium Tk.1500 Tk.2500 Corporate branch
Large Tk.2000 Tk.2000 Corporate branch
Security deposits are refundable when lockers surrender to the bank.
2.11 .2 Products:
Deposit schemesRevised interest rate on deposit
Current (CD) 0.00%
Savings (SB) 4.50%
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Short Term Deposit (STD) 3.50%
Fixed deposit
3 (three) month FDR 7.50%
6 (six) month FDR 7.75%
1year FDR 8.00%
2 year FDR 8.50%
But the rate of interest may be change at the condition of bank and
economy.
2.10 Loan schemes:
Rupali Bank Ltd. is a Govt. oriented bank. So they are always be with the people. They
provide loan to every sector. But at the moment following major loan schemes are
provided by the Bank.
LOAN SCHEME LENDING CATAGORIES
LENDING
RATES
Agriculture Scheme Loan to primary producers 10.00%
Loan to agriculture input traders
and fertilizer dealers/distributors
10.00%
Commercial Lending Jute Trading 10.00%
Other commercial Lending 13.00%
Working Capital Jute 12.00%
Other than jute 13.00%
House Building Real State Developers 12.00%
Individual/Housing Finance co. 12.00%
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Other Loans For NBFIs/NGOs (non banking
financial institution)
10.00%
Consumer Credit scheme 13.00%
Others 13.00%
Small/ Cottage Industry Term Loan 11.50%
Large /Medium Scale
Industry
Term Loan 12.00%
Loan against Export Jute Goods Exports 11.00% fixed
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LEARNING PARTBased on General Banking (GB)
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OPERATIONAL PROCEDURE
OFGENERAL
BANKINGS
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3.0 GENERAL BANKING
General banking department is the heart of all banking activit ies. This is the busiest and important department of a branch, because funds are mobilized, cash transactions are made; clearing, remittance and accounting activities are done here.
Since bank is confined to provide the services everyday, general banking is also known as ‘retail banking’. In Rupali Bank ltd. , Corporate Branch, the following departments are under general banking section:
Account opening section Deposit Section Cash Section Remittance section Clearing section Dispatch
3.1 Account opening department
3.1.1 Who Can Open A/C?
Persons over 18 years (except some restricted persons)
Account of Club
Association
Agent
Govt. & Semi Govt. Organization
Liquidators
Married Women
Pordanshil Women
Illiterate Persons
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3.1.2 Account Transfer
Customer has to submit an application mentioning that he/she wants to
transfer his/her A/C to their desired branch and the officer will verify
the signature. Customer has to be certified by different department of
bank that he/she has no liabilities to the bank. Then total particulars of
A/C holder will be prepared and sent to the customer's desired branch.
3.2 Deposit Section
3.2.1 DIFFERENT TYPES OF DEPOSIT ACCOUNT A deposit account is an account at a banking insti tution that allows money
to be held on behalf of the account holder. Some banks charge a fee for
this service, while others may pay the client interest on the funds
deposited.
The account holder retains rights to their deposit, al though restrictions
placed on access depend upon the terms and conditions of the account and
the provider.
The Rupali Bank ltd. offers the following types of accounts to its various
customers:
a. Current account.
Individual current account
Proprietorship current account
LTD. Company current account
Club, Society current account
b. Savings account
c. Short term deposit
d. Fixed deposits
e. Rupali Pension Schem
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3.2.1.1 CURRENT ACCOUNT:
Current account is purely a demand deposit account. There is no
restriction on withdrawing money from the account. It is basically
justified when funds are to be collected and money is to be paid at
frequent interval. Some important points have been discussed in the
project part .
Rules:
The primary rules for opening current account are given below:
Current account can be opened for individuals and individuals and
business concerns including non-profit organizations.
A Current Account shall be opened with a minimum balance of
tk.10000.00 at Rupali Bank ltd.: Corporate Branch.
A Current A/C shall be opened with an initial cash deposit .
Cheque book shall be issued to the account holder having a
minimum balance of tk.5000.00.
A current account holder can draw cheque on their accounts for any
amount and any number of t imes in a day subject to the availabili ty
of balance.
No interest should be allowed on current accounts.
The bank reserve the right to refuse or close any account without
assigning any reason thereof.
”Notice, “Stopping payment of any cheque shall be made by the
account in writ ing, which shall be recorded.
3.2.1.2 SAVINGS ACCOUNT:
This deposit is primarily for small-scale savers. Hence, there is a
restriction on withdrawals in a month. Heavy withdrawals are permitted
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only against prior notice. Some Important Points have been discussed in
project part .
Rules:
The primary rules for opening saving account are given below:
Savings bank account shall be open in the name of adult individual
or jointly in the names of two or more person payable either or both
all of them or clubs, associations, and similar types of institutions.
Saving A/C shall be opened with an init ial minimum cash deposit
Tk. 10000 and depositors always have to maintain t ill account
closed.
No person should be allowed to open more than one account in
his /her name. .
Cheque book shall be issued to the A/C holder having a minimum
balance Tk.5000 in the account.
A savings A/C holder shall deposits money as often as he wishes.
Rate of interest shall be altered from time to time.
Interest shall be allowed only on accounts bearing a minimum
balance
tk 5000.00-per calendar month.
The reserve the right to stop issuance of new cheque book to any
customer.
Saving account shall not be allowed to be conducted as current
account.
A saving account shall not allow being overdrawn.
” Notice, “Stopping payment of any cheque shall be made by the
account holder in writing, which shall be recorded.
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3.2.1.3 SHORT TERM/SHORT NOTICE DEPOSIT A/C (STD/SND)
Normally various big companies, organizations, Government Departments
keep money in STD/SND account. Frequent withdrawal is discouraged and
requires prior notice. The deposit should be kept for at least seven days
to get interest. The interest offered for STD/SND is less than that of
savings deposit . Interest is calculated based on daily minimum product
and paid two times in a year .
Rules:
The primary rules for opening short term account (STD/SND) are given
below:
Short-term/Short Notice deposit a/c (STD/SND) special notice
deposit accounts are opened usually by corporations, banks,
financials institutions, public l imited companies etc.
The rate of interest on such deposit is subject to change to be fixed
by Head office from time to time.
Interest shall be paid in the client’s account on daily product basis
to be calculated at the end of each calendar year.
Statements of account shall be dispatched to all account holders by
the bank on a monthly/ quarterly /half yearly as per desire of the
customers to be specified in the A/C opening form while opening an
A/C.
3.2.1.4 FIXED DEPOSITS A/C:
Fixed deposits account is a kind of a/c where any one can open FDR. This
accounts is basically periodical a/c. Maturity period of this account is
3months, 6 months, 1 year and above, and two year and above.
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Rules
Fixed deposits are neither transferable nor negotiable.
Fixed deposits shall be opened singly or jointly.
Fixed deposits shall be opened in the name of a minor jointly with
the guardian.
Fixed deposits shall be opened for a period of one month and above.
Interest on fixed deposits shall be payable at the rates fixed by
Head Office from time to t ime, depending on the period of maturity.
Interest on accrued on FDR shall be paid on maturity of instrument.
The FDR shall be paid before the expiry of the maturity period at
request of the party. For payment of interest of premature FDR that
case Head Office circular issued from time to time is to be
followed.
If an FDR is issued to one individual, additional name shall be
included in the FDR ay his request.
3.3 KINDS OF DEPOSITORS ACCOUNTS:
Branches shall open accounts for the following categories of depositors:
Individuals: Any adult competent to enter into contracts
can open an individual account. Individual accounts can be
opened for adults (i.e. over 18 yeas of age) who are
competent to enter into contracts.
Joint Account: More than one adult jointly or adult with
minor(s) shall constitute joint accounts.
Sole proprietorship Concerns: A business or trading
concern owed by a single adult person is a sole
proprietorship concern.
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Partnership firms: A business concern owned and managed
by more than one person whether registered or not is a
partnership firm.
Private Limited Company: A corporate body formed and
registered under Companies Act, 1913 with limited
liabili ty having a Certificate of Incorporation give y
Registrar of Joint Stock Companies.
Public Limited Company: A corporate body formed and
registered under Companies Act, 1d913 with limited
liabili ty of the shareholders and with no upper ceiling on
the number of shareholders. It shall have the following
valid documents:
Clubs/Associations/Societies: These organizations shall be
created and registered under Societies Registration Act.
They may not be registered organizations. Some of them
shall be registered under Companies Act.
Co-operatives: These are corporate bodies registered under
Societies Act.
Non-Government Organizations: Non-Government
Organizations (NGOs) are voluntary organizations created
& registered under Societies, Registration Act or Co-
operative Societies Act.
Non-trading Concerns: These are organizations registered
under Societies Registration Act or Companies Act or Co-
operative Societies Act.
3.4 Formalities for Opening Different Types of A/C
The following documents duly completed shall be obtained from the
customer at the time of opening of:
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3.4.1DOCUMENTS REQUIRED FOR SAVINGS ACCOUNTS:
Documents that are require for opening saving account given below:
Two copy Passport Size Photo.
Account Opening From
Mandate or authority shall be obtained in case the
customer wants to authorize another person to
operate the account.
Copy of Passport/Nationality Certificate/Voter ID
of the persons operating the account.
KYC (Know your Customer) Form.
3.4.2 DOCUMENTS REQUIRED FOR CURRENT ACCOUNT:
There have different categories of current account. That are in following
and documents that are require for that categories are given below:
Current Individual/joint A/c
Current Partnership A/c
Current Proprietorship A/c
Limited company A/c
Societies, Clubs, Associations A/c
Current Individual / Joint Account
1. Introducer of the account.
2. Two photographs of the signatories duly attested by the introducer.
3. Identity (copy of passport).
4. Joint Declaration Form (For joint a/c only).
5. Employee’s Certificate (in case of service holder).
6. KYC (Know your Customer) Form.
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Current Partnership account
1. Introduction of the account.
2. Two photographs of the signatories duly attested by the introducer.
3. Partnership letter duly signed by all partners (Sign should be
similar as stated in Partnership Deed).
4. Partnership Deed duly certified by Notary public.
5. Registration (If any).
6. Updated Trade license.
7. KYC (Know your Customer) Form.
Current Proprietorship account
1. Introduction of the account.
2. Two photographs of the signatories duly attested by the
introducer.
3. Valid copy of Trade License.
4. Rubber stamp.
5. TIN number certificate.
6. Identity (Copy of passport).
7. Permission letter from DC/ Magistrate (in case of newspaper)
8. KYC (Know your Customer) Form.
Limited company
1. Introducer of the account.
2. Two photographs of the signatories duly attested by the Introducer.
3. Valid copy of Trade License.
4. Board resolution of opening A/C duly certified by the
Chairman/Managing Director.
5. Certificate of Incorporation.
6. Certificate of Commencement (In case of Public limited company).
7. Memorandum article of association.
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8. List of directors along with designation & specimen signature.
9. Latest certified copy of Form – xii (to be certified by register of
joint stock companies) (In case of Directorship change).
10. Rubber Stamp (Seal with designation of each person)
11. Certificate of registration (In case of Insurance Company –
Obtained from department of Insurance from the Peoples Republic
of BD)
12. KYC (Know your Customer) Form.
Club / societies account
1. Introduction of the account.
2. Two photographs of the Signatories duly attested by the introducer.
3. Board Resolution for Opening A/C duly certified by President/
Secretary.
4. List of Existing Managing Committee.
5. Registration (if any).
6. Rubber Stamp.
7. Permission letter from Bureau of N.G.O. (In case of N.G.O. A/C).
8. KYC (Know your Customer) Form.
In case of foreign person:
1. The person who want to open a/c he/she must have the
permission latter from the Govt.
2. Permission from Board of Investment.
3.4.3 DOCUMENTS REQUIRED FOR SHORT TERM DEPOSIT ACCOUNT:Short Term Deposit Account (STD) shall be opened in the Account
Opening Forms used for Current Deposit Account and the documents
required for current A/c should be equally applicable for STD. In case of a
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STD A/c on the top of current deposit A/c opening form the word-"Short
Term Deposit Account” shall be written in block letters and the notice
period shall be noted on the serial Instructions column.
3.4.4 DOCUMENTS REQUIRED FOR FIXED DEPOSIT ACCOUNT (FDR):For open fixed deposit account (FDR) no other papers are require. Any
one can open this a/c by depositing cash or cheque. After the end of
maturity depositor get interest based on contract. Here have tow option
at the end of maturity. That’s are depositors may withdraw the FDR
amount or he/she can renew his FDR account.
3.5 ISSUE CHEQUE BOOK AND PAYMENT OF CHEQUE
3.5.1 ISSUE OF CHEQUE BOOK:
Cheque books required for current use shall be taken out from the
main stock after necessary entry in the register.
Separate folios of register shall be allocated for current account
cheque books of 20 and 50 leaves and savings bank account cheque
book of 10leaves.
The cheque books taken out from the main stock for daily
consumption shall be kept in a security box under lock and the
dealing officer shall be responsible for safe custody.
At the t ime of opening account, the customer shall require to sign a
cheque book requisition slip. If the account openings form if found
complete in all respect, then the cheque book is issue to the
customer.
All subsequent cheque book shall be issued to the account holder
against the cheque book requisition slip extracted from a previous
cheque book issued to him /her.
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Upon receipt of the requisition slip duly fi lled and signed, the
dealing officer shall get the signature of the A/C holder verified by
the deposit in change/ Authorized officer.
In case if the requisition slip is lost, then the in charge officer will
saw all kind of previous report of the customer and depend that the
cheque book is issued.
3.5.2 How cheque book is processed?
The leaves of the chequebook under issue shall be counted to ensure
that all leaves and the requisition slip are intact.
The name and the account number shall be written on the cheque
book cover and its requisit ion slip.
The account number shall be entered on all leaves on the cheque
book with initial of the cheque book officer.
The name and the account number of the customer shall be entered
in the cheque book issue requisition against the particular cheque
book series.
Cheque book shall be delivered to the customer at him counter
against their acknowledgement on the requisition.
After issuing cheque book the requisition slip shall sent to the
system for recording the cheque series.
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3.6 CLOSING OF ACCOUNTS
The formal ways of closing of accounts are following:
A customer may close his/her account at any time by submitting an
application to the branch manager.
Unused cheque page have to submit with Application.
Verification of signature of applicant that he or she signed for
opening and closing A/C form.
Access duty fee will applied if deposit is above Tk.10, 000.
Verification of loan that the A/C holder has on the bank if have then
the A/C cannot be close.
The interest rate will provide if the A/C exist to June. If he or she
closes A/C before June or December then A/C holder won’t get any
kind of interest if A/C holder has huge number of money in that
case he can claim for interest .
Closing charges are taken for the A/C closing. Whatever the amount
that depositor has i t make no effect at the closing charge.
The amount that depositor has after closing the A/C. The amount
will pay to the depositor by using pay slip.
At last, depositor will receive the pay slip and submit the pay slip
to the cash counter of that Bank. Finally the depositor will receive
his or her rest of amount.
For Ltd. Company the A/C holder is behalf of the company, cannot
close the A/C. He or she has to submit the decision of Board of
director (BOD) that A/C should be closed.
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REMITTANCE DEPARTMENT
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4.0 ISSUANCE AND PAYMENT OF PAYORDER
Definit ion of pay order:A pay order is a written order, issued by a branch of bank, to pay a
certain sum of money to a specific person or a bank. It is also termed as a
banker’s cheque as the bank drawn upon and payable issues i t by itself. A
pay order is issued and paid by the same branch of the bank and such as;
the drawer and drawee are same. The person or the organization in whose
favor it is issued is known as payee or beneficiary. It is some times sold
to an individual on payment of issued who may not be a customer and is
called the purchaser. Pay order part:
The actual pay order.
The second counterfoil to be retained by the payee.
Another counterfoil to be retained by the issuing branch as record.
4.1 ISSUANCE OF PAY ORDER:
The purchaser shall signs the standard application from giving detail
particulars and request to issue of pay order. The payee or beneficiary
shall not to be ficti tious. His full name and address shall be written on the
application.
Steps of issuances of pay order:
Purchaser applies through bank’s prescribe payment order
application.
Purchasers deposit the money through the application from.
Bank official fill up the columns of the instrument with help the
application from.
Make necessary entry in the payment order register.
After joint order signatures in the instrument the payment order is
handed over to the purchaser and the purchaser put the signature on
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the counter part of the instrument as acknowledgement of receipt of
the instrument.
4.2 PAYMENT OF PAY ORDER:
It shall be paid to payee or beneficiary after proper identification or
it may be credited to as account.
A pay order is transferable. As it is banker cheque payable to order
the payee/ beneficiary may transfer i t, by giving proper discharge
on its back, to some one else who receive as the transferee.
It is not generally collected for a person other that original payee
except in case the where the depositor is a valued client known to
the bank.
Before making payment the signature of issuing officers shall be
verified and the date pf payment shall be marked in the register.
4.3 ISSUANCE OF DUPLICATE PAY ORDER:
For issuance of duplicate pay order thus, may be made after observing the
following steps we have to follow:
Written request from the purchaser, in case of loss from custody of
the purchaser along with the copy of GD entry.
Written request from the purchaser.
Head office approval of issuance of duplicate pay order.
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4.4 CANCELLATION OF PAY ORDER: If the purchaser request for cancellation of pay order after i ts issue
and before it is passed to payee. The same can be done after
obtaining a writ ten request from him and verifying his signature on
the letter of request.
But if the purchaser request for cancellation and refund the amount
after laps of some time, the consent of the payee for cancellation of
pay order shall be required to b produce red by the purchaser.
If the purchaser is a valued customer of pay order may cancelled as
very special case, in the absence of written consent from the payee
after obtaining sufficient indemnity from the purchaser.
5.0 ISSUANCE AND PAYMENT OF TELEGRAPHFIC TRANFERTelegraphic Transfer (T.T) may be affected at the writ ten request of any
person and against value received from him. A written application on our
prescribed from duly signed by the purchaser shall be obtained .If the
application for issue of (T.T) contains instruction to debit the account of
purchaser his signature shall be verified.
The application from shall be invariably checked on the following points:
That we have a branch in the place on which telegraphic transfer
will be issued.
The amount of T.T commission and telex/fax charge shall be
received from the purchaser.
A cost memo has to be correctly prepared by the officer concerned
as to the account, name of beneficiary, instruction regarding mode
of payment and the place of payment.
The concerned officer shall correctly prepare the test.
T.T over telephone may be transmitted on account of valued clients
of the bank. Branches with teleprinter/fax facili ties shall transmit
T.T massage through telex/fax.
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5.1 STEPS OF ISSUANCE OF T.T:
A customer applies through banks prescribed application from.
Amount of T.T +commission+ Telegram charge is recovered in
cash /transfer voucher.
Separate folio in T.T register is maintained branch wise.
A cost memo is given to the client.
Massage transmitted –to drawee branch over Telex/ Telephone/ Fax
and Internet etc
5.2 CANCELLATION OF T.T:
Whenever a T.T massage has been duly transmitted, payment
thereof cannot be stopped, no
Matter whether the amount has been paid to the beneficiary or not.
However, the applicant of a T.T may asked for stopping the T.T
and for refund the amount
Only if the massage has not been transmitted.
In such case, care must be taken to see that entries made in books
/register as well as the
Vouchers are cancelled immediately.
6.0 ISSUANCE AND PAYMENT OF DEMAND DRAFT
Definit ion of demand draft (DD)
Demand Draft is an instrument containing an order of the issuing branch
upon known as drawee branch, for payment of a certain some of money to
the payee.
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The following are the essential feature of demand draft issued by the
bank.
It is drawn by one branch of the bank upon some other branch of the
bank.
It is payable on demand.
Its payment is to be made to the person whose name is mentioned .
6.1 ISSUANCE OF DEMAND DRAFT
The customer has to complete the form, which is treated as an
application from. The application from shall be checked the
following points:
The place of payment shall be such where the bank has a
branch.
Full name of the payee.
The amount in words and figures is the same.
The purchaser signs the application.
If the purchaser is not an account holder he his address on the
application.
The voucher is given to the customer to deposit the cash.
The cashier receives the cash and delivers the voucher to the
remittance department.
Draft shall be prepared and entered in DD issue register.
6.2 PAYMENT OF DEMAND DRAFTS
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The branch shall exercise proper care while paying drafts:
When the demand draft is present for payment, the particulars of the
draft are cheeked with the advice and signatures therein verified.
Payment of the DD has not stopped is to be ensured.
In case the advice is not received when the demand is presented, the
bank will st ill pay the draft after satisfying itself that the
instrument is in order.
On payment draft in the absence of the relative advice the drawee
branch shall inform the issuing branch and obtained confirmation
about the payment.
The drawee branch shall ensure that the payment of the instrument
is made in due course.
6.3 CANCELIATION OF DEMAND DRAFT
To cancel the DD the bank has to do following things:
Receiving the written application along with the original draft by
the issuing branch from the purchaser.
Confirmation to be obtained from the drawee branch regarding non-
payment of the DD.
Taking two signatures with revenue stamp on the reserve side of the
DD.
After completing the entire things bank can cancel the DD.
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CLEARINGDEPARTMENT
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7.0 Clearing Department:
The amount of Cheques, Pay Order (P.O), and Demand Draft (D.D)
Collection from other banks on behalf of its customer is a basic function
of a Clearing Department.
Clearing: Clearing is a system by which a bank can collect
customers fund from one bank to another through clearing house.
Clearing House: Clearing House is a place where the
representatives of different banks get together to receive and deliver
Cheques with another banks.
Normally, Bangladesh Bank performs the Clearing House in Dhaka,
Chittagong, Rajshahi, Khulna & Bogra. Where there is no branch of
Bangladesh Bank, Sonali bank arranges this function.
Member of Clearing House: NCC BANK limited is a scheduled
Bank. According to the Article 37(2) of Bangladesh Bank Order,
1972, the banks which are the member of the clearinghouse are
called as Scheduled Banks. The scheduled banks clear the cheque
drawn upon one another through the clearinghouse.
7.1 Types of Clearing
A) Outward Clearing: When the Branches of a Bank receive cheques
from its customers drawn on the other Banks within the local
clearing zone for collection through Clearing House, i t is Outward
Clearing.
B) Inward Clearing: When the Banks receive cheque drawn on them
from other Banks in the Clearing House, i t is Inward Clearing.
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Bills for Collection
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8.0 Bills Collection
In modern banking the mechanism has become complex as far as smooth
transaction and safety is concerned. Customer does pay and receive bill
from their counterpart as a result of transaction. Commercial bank’s duty
is to collect bil ls on behalf of their customer.
8.1Types of Bills for Collection
Outward Bills for Collection (OBC).
Inward Bills for Collection (IBC).
8.1.1 Outward bills collection (OBC)
OBC means Outward Bills for Collection .OBC exists with different
branches of different banks outside the local clearinghouse. Normally two
types of OBC:
OBC with different branches of other banks
OBC with different branches of the same bank
Procedure of OBC:
Entry in the OBC register.
Put OBC number in the cheque.
“Crossing seal” on the left corner of the cheque & “payees
account” will be credited on realization “seal” on the back of the
cheque with signature of the concerned officer.
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Despatch the OBC cheque with forwarding.
Reserve the photocopy of the cheque, carbon copy of the
forwarding and deposit slip of the cheque in the OBC file.
8.1.2 Inward bills for collection (IBC)
When the banks collect bills as an agent of the collecting branch, the
system is known as IBC. In this case the bank will work as an agent of the
collection bank. The branch receives a forwarding letter and the bil l.
Procedure of IBC:
IBC against OBC: To receive the OBC cheque first we have to
give entry in the IBC Register .The IBC number should put on
the forwarding of the OBC with date.
Deposit of OBC amount: OBC cheque amount is put into the
“sundry deposit-sundry Creditors account”, prepare debit &
credit voucher of i t. If the OBC cheque is honored, send credit
advice (IBCA) with signature & advice number of the concern
branch for the OBC amount.
If the OBC cheque is dishonored, the concerned branch is
informed about i t.
Again place in the clearing house or send the OBC cheque with
Return Memo to the issuing branch according to their
information.
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DISPATCHDEPARTMENT
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9.0 DISPATCH:
The dispatch department of Rupali bank is so much effective. This
department is mainly known as the mail transaction of the bank with
other. This department is divided into two parts. Those are given below:
Inward dispatch
Outward dispatch.
Transaction systems of inward and outward dispatch are given below:
9.1 INWARD DISPATCH:
Dispatch seal, date, signature, and endorsement are given on letter
and documents received from courier, special messenger.
All letters and documents are recorded in the inward dispatch
register.
All mails are placed to the Head of Branch.
Manager assigns all mails to respective officials through
endorsement.
It is properly field and recorded.
Fax / Telex etc, received shall be placed before the Head Office
Branch/ Divisional Head Office and marked by the concerned
officer and subsequently all those entered in the inward mail
register.
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9.2 OUTWARD DISPATCH:
All the outgoing letters documents with covering letters etc, are
received in duplicate from various department.
Acknowledgement is given on the duplicate copies and the original
lit ters.
All letters and documents are signed and given dispatch number.
All letters and documents are recorded in the outward dispatch
number.
All offices copies, master copies are properly filed and recorded.
9.3 What kind of things will be dispatch?
CIBT (Computerized inter Banking Transaction).
Pay order
Latter of credit (LC)
Local Payment.
Corresponded Letter.
Demand Draft Advice.
Mail Transfer Advice.
OBC (Other Banking Collection).
Foreign Telegraphy Transfer advice
Foreign Demand Draft advice
Swift massage
Foreign Document etc.
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FINDINGSAND
RECOMMENDATION
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10.1 Problems Identification
Each and every problem identification here is only related to Rupali Bank
ltd., Corporate Branch.
The first problem of this bank is that the employees are not
punctual.
They have no uniform. For that reason some customers find i t,
difficult to identify the bank employee.
Some superior officers of this bank are not available sometime. For
that some of the depositors have to suffer.
The cash counter of this bank is l itt le bit congested and the
procedure of handling cash is also traditional.
In general banking department they follow the traditional banking
system. The entire general banking procedure is not fully
computerized. Even now they are using type writer which is very
much time consuming.
Account Opening form is in English which many people are unable
to understand.
They have lacking in marketing activities and they are not providing
necessary advertisement of their product service to the general
people.
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They are using so many employees in General Banking section as a
result i t is becomes more expensive.
Now a day computer leads every sphere of lives effective including
general banking activities, But Rupali Bank ltd. does not have
experts in computer.
10.2 Recommendations:
Management of the bank should pressurize employees for being
punctual.
Rupali Bank ltd. should arrange uniform for the employees.
If for some reason superior officer can not be at his/her desk.
During that time bank should arrange different ways to perform
his/her duties for the help of customers.
Cash payment section and cash received section should be separated
by using data based software.
Nearly every bank follow traditional system in general banking
activit ies but bank should introduce computerized system, it will
reduce time, labor and cost also.
Our mother language is Bengali . So the bank should arrange form in
Bengali. The people who are not able to understand English they
can use this form.
To increase their have the employees service they need more
marketing activities. Marketing department should be more aware
on this problem.
Head office of Rupali Bank ltd. should decide to reduce some
employee from General Banking section of corporate branch.
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The bank waste enough time of their clients in providing services as
it lacks in expert computer operators. To remove this problems, I
think, bank should arrange some sort of training programs in this
sector.
ConclusionDuring the three months internship program at Rupali Bank ltd.
(Corporate Branch), almost all the desks have been observed more or less.
This internship program, at first , has been arranged for gaining knowledge
of practical banking and to compare this theoretical knowledge with
practical knowledge. Comparing practical knowledge with theoretical,
involves identification of weakness in the branch activit ies and making
recommendations for solving the weakness identified. Though most of the
departments and sections are covered in the internship program, it is not
possible to go to the depth of each activities of branch because of some
internal l imitation. Highest effort has been given to achieve the objectives
of the internship program.
During the internship, i t is found that the branch provides all the
conventional banking services as well as some specialized financing
activit ies to the economy. Thus by providing this various services, Rupali
Bank (Corporate Branch), is playing an important role in the banking
system and economic development of Bangladesh.
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ReferencesTHE followings Sources have been used from Rupali Bank Head Office
and Corporate Branch:
Prospectus of Rupali Bank ltd .
Annual Report of RUPALI BANK LTD. (2003)
Annual Report of RUPALI BANK LTD. (2004)
Annual Report of RUPALI BANK LTD. (2005)
Annual Report of RUPALI BANK LTD. (2006)
Documents that they provide for employee training.
Some documents are taken from Rupali Bank Ltd. web site and other
source by using internet. The web site addresses are followings:
www.rupali-bank.com
www.banglapedia.search.com
www.google.com
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Search names are following:
History of Rupali Bank Ltd.
Rules of Rupali Bank Ltd.
PDF. Files about loan
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