General Banking Division of Jamuna Bank Limited

Origin of the Report

Now the world became dynamic. Nobody in this competitive arena will be successful until he is not linked with practical orientation. So in this regard internship program provides a good hope to connect the theoretical knowledge with practical knowledge.

Banks are the major financial institutions which intermediate between actual lenders and actual borrowers. For this intermediation, banks are to play actual lenders and charge actual borrowers.

This internship report on Jamuna Bank Limited is prepared to fulfill the partial requirement of the internship program as full credit subject of the BBA program of the University. In Bangladesh today financial sector is one of the most established areas in the macroeconomic sector. Economy and finance is carrier of the country. So for the aspects of economic development, banking sector must be reformed. In the process of forming a good economic system, private banks are paling an important role compare to the government banks in the country. For this reason I prepared my internship report on Jamuna Bank Limited.

Objectives of the Study

The broad objective of the study is:

Mix theoretical knowledge with practical knowledge.

The specific objectives of the study are as follows:

To fulfill the requirement of the degree of bachelor of Business Administration (BBA) Program.
To present an overview of Jamuna Bank Limited.
To identify problems and challenges of Jamuna Bank Limited.
To recommend remedial measures for the improvement of the activities Jamuna Bank Limited.

Scope of the Study

This report covered the overall banking system of JBL Bank Limited and also includes the relationship of the customers with the bank as well as the principals covered by the bank as a general banking system.

Methodology of the Study

Methodology includes direct observation, face observation, face-to-face discussion with employees of different departments, study of files, circulars etc. and practical work. This report is basically qualitative in nature. In all the cases depending on the requirements of data have been collected from different sources. Both the primary and the secondary information were used to prepare this report. The details of these sources are highlighted below:

Sources of Data

Both primary and secondary sources of information have been collected for the purpose of this report.

Primary Sources of information:
Face to face conversation.
Conversation with the related people to the banking sector.
Exposure on different desk of the bank.
Conversation with the clients.
Direct observation.

Secondary Sources of information:

Annual report.
Statement of affairs.
Different pamphlet regarding banking function,foreign exchange operation, credit polices and the circulars of the bank.
Different web-site/URLs.

Limitations of the Study

In preparing the report I have faced some limitations, some of those limitations are:
Bankers don’t want to disclose all the information needed to prepare this report.
Load of work place was also a barrier to prepare this report.
Due to Lack of Experience, there may have been faults in the report though maximum efforts have been given to avoid any kind of mistake.
3 months time is not sufficient to complete this report. So time constraints were another limitation.
The study was conducted only within the customers of Mirpur Branch.
Relevant data and document collection were difficult due to the organization confidentiality.
Another limitation was that data gathered could not be verified for accuracy.
Finally, the length of this internship program (12 weeks) is not sufficient to conduct a detailed study on the subject of the report.

Overview of Jamuna Bank Limited (JBL)

About Jamuna Bank

Jamuna Bank Limited (JBL) is a Banking Company registered under the Companies Act, 1994 with its head office at Chini Shilpa Bhaban, 33 Dilkusha, Dhaka‐1000. The Bank started its operation from 3rd June 2001. Jamuna Bank Limited is a highly capitalized new generation Bank started its operation with an authorized capital of Tk.1900.00 million and paid up capital of Tk.390.00 million, as of June 2011 Paid up capital of the Bank raised to Tk.3648 million and number of branches raised to 73 (Seventy Three).JBL undertakes all type of banking transactions to support the development of trade and commerce in the country. JBL’s services are also available for the entrepreneurs to set up new ventures and Balancing, Modernization, Rehabilitation & Expansion (BMRE) for industrial units. The Bank gives special emphasis on Export, Import, Trade Finance, SME Finance, Retail Credit and Finance to Women Entrepreneurs. To provide clientele services in respect of International Trade it has established wide correspondent banking relationship with local and foreign banks covering major trade and financial centers at home and abroad.

Vision

To become a leading banking institution and to play a pivotal role in the development of the country.

Mission

The Bank is committed to satisfying diverse needs of its customers through a collection of products at a competitive price by using appropriate technology and providing timely service so that a sustainable growth, reasonable return and contribution to the development of the country can be ensured with a motivated and professional work‐force.

Corporate Slogan

Your Partner for Growth

Sponsors

The sponsors of Jamuna Bank Limited are successful leading entrepreneurs of the country having stakes in different segments of the national economy. They are eminent industrialist and businessman having wide business reputation both at home and abroad.

Objectives

To earn and maintain CAMEL rating strong.
To establish relationship banking and service quality through development of Strategic Marketing Plan.
To remain one of the best banks in Bangladesh in terms of profitability and asset quality.
To introduce fully automated systems through integration of Information Technology.
To ensure an adequate rate of return on investment.
To keep risk position at an acceptable range (including any off balance sheet risks)
To maintain adequate liquidity to meet maturity obligations and commitments.
To maintain a healthy growth of business with desired image.
To maintain adequate control systems and transparency in procedures.
To develop and retain a quality work force through an effective Human Resources Management System.
To ensure optimum utilization of all available resources.
To pursue an effective system of Management by ensuring compliance to ethical norms, transparency and accountability at all levels.

Strategies

To manage and operate the bank in the most efficient manner to enhance financial performance and to control cost of fund.
To strive for customer satisfaction through quality control and delivery of timely services.
To identify customers credits and other banking needs and monitor their perception towards our performance in meeting those requirements.
To revive and update policies, procedures and practices to enhance the ability to extend better services to customers.
To train and develop all employees and provide them adequate resources so that customer’s needs can be responsibly addressed.
To promote organizational effectiveness by openly communicating company plans, policies, practices and procedures to all employees in a timely fashion.
To cultivate a working environment that fosters positive motivation for improved performance.
To diversify portfolio both in the retail and wholesale market.
To increase direct contact with customers in order to cultivate a closer relationship between the bank and its customers.

Management

JBL is managed by highly professional people. The present Managing Director of the Bank is a forward looking senior banker having decades of experience and multi discipline of knowledge to his credit both at home and abroad. He is supported by an educated and skilled professional team with diversified experience in finance and banking. The management of the bank constantly focuses on the understanding and anticipating customers’ needs and offer solution thereof. Jamuna Bank Limited has already achieved tremendous progress within a short period of its operation. The Bank is already ranked as one of the quality service providers and known for its reputation.

Management Hierarchy

Board of Director
Chairmen
Managing Director
Deputy Managing Director
Senior Executive Vice President
Executive Vice President
Senior Vice President
Vice President
Senior Assistant Vice President
Assistant Vice President
First Assistant Vice President
Senior Executive Officer
Executive Officer
First Executive Officer
Officer/Probationary Officer
First Officer
Assistant Officer

General Banking Activities of JBL

An overview of General Banking activities of JBL:

General Banking involves the following items.

Accounts opening

Clearing

Cash

Remittance

Accounts

Account Opening

Deposits

Types of Deposit Accounts-

Current Deposits
Savings Bank Deposits
Fixed Deposits (Term Deposit)
Short Term Deposits
Monthly Term Deposits
Any other deposits as may be approved/ advised by Head Office.

Account Opening Form (Personal)

Account Opening Form (Non Personal)

Procedures of Accounting Opening

Opening account with a bank is the way of creating a banker customer relationship. In other words, it is a contract between banker and customer. With this contract, bankers enter into certain obligations and responsibilities.

Proper introduction serves as a precaution against fraud and forgeries and safeguard against inadvertent overdraft to bank. Obtaining proper introduction may absolve the banker from the charges of negligence for conversion. So, while opening a new account, emphasis would be given without exception to introductory reference and inquiry. The following instruction to be followed while opening account: ‐

Introduction of Account to be obtained from a respectable client acceptable to bank.
The introduction shall be obtained in writing in the respective column of Account opening form.
For opening savings bank account of individual either singly or jointly, passports and identity cards may be accepted for introduction, but subsequently proper introduction may be obtained.
Introduction of Current Account by members of the staff may be allowed but shall be discouraged as far as possible.
Current Account shall preferably be introduced by another Current Account holder acceptable to bank.
Introduction of Account holder of other branch may be accepted with caution. In that case the introducer’s signature must be verified by authorized officer of that branch and authenticated by a forwarding letter.
Photographs of account holder must be attested by the introducer.
Letter of thanks be issued to introducer in Bank’s standard specimen.

Current Deposit Account

A Current Deposit Account may be opened by individual, firm, company and club, association, body corporate etc.
Funds in the Current Deposit Account is payable on demand.
No interest is payable on balances of Current Deposit Accounts.
Current Deposit Account may be opened with a minimum initial balance of Tk.5,000/‐
Minimum balance to be maintained in the account is Tk.1, 000/‐
Customer willing to open Current Deposit Account shall fill up the Account Opening Form (AOF) applicable to him/ her and Specimen Signature Card (SS Card). The customer will sign in the space provided under “Yours faithfully” and on the specimen signature cards with a designation seal.
In case of proprietorship and partnership firms the relevant account opening form is to be filled in and signed by the proprietor/ partner in their individual capacity in the space provided under “Yours faithfully” and on the specimen signature card with a designation seal in their official capacity.
In all other cases including companies etc. the persons opening the account shall fill in the relevant Account Opening Form and sign the Form in the space provided under “Yours faithfully” and in the specimen Signature Card with a designation seal in their official capacity.
Introduction of acceptable clients to be obtained as per guidelines.
The Manager’s approval for opening account shall be obtained by the concerned staff member.
Signatures of the account holder shall be admitted by affixing the stamp “Signature admitted” and signing by the authorized officer. The introducer’s signature shall be verified by affixing the stamp “Signature verified” near the signature by authorized officer.
Blank space of the Specimen Signature Card should be closed by drawing parallel lines.
The particulars of the Account Opening Form shall be entered in the Account Opened and Closed Register as per sequence provided by the computer system.
The customer shall be provided with Deposit Slip in operating the Account Number and be advised to make the initial deposit in the account. The amount of initial deposit shall be entered in the Account Opening Form.
Cheque Book shall be issued on request on completion of all formalities including initial deposit. Cheque series to be entered in the Account Opening Form at the bottom right and authenticated by authorized officer.
After posting of all particulars of the account including cheque series, one authorized officer shall check/ verify the same in the computer screen and record it in the form with signature.
Manager/ Authorized Officer shall apply sufficient intelligence and common sense to ascertain genuineness of the account holder. No account shall be opened without approval of the Manager.
Clear instruction regarding operation of the account shall be noted on the Account Opening Form and Specimen Signature Card especially in respect of death of inability of the account holders, or the person operating the account. The account holder shall confirm the instructions under specimen signature.
An indemnity shall be obtained from the customer if he/ she signs in language other than English/ Bengali.
Illiterate persons shall be discouraged to open Current Account. If opened withdrawal shall be allowed on personal appearance of the account holder.
The account opening form shall be sent to the respective computer terminal for posting and S.S. Card shall be retained serially in the S.S. Card Box under custody of Cheque Passing Officer.
taken while making posting of transactions in such accounts.
The Computer Program used by bank shall provide reference of clients. Branch Manager must ensure that their computer system provides reference of client.
Classified Deposit Ownership Program to be maintained in the Computer System for facilitating periodical returns to Bangladesh Bank.
Bank shall provide monthly statement of account to clients as per computer system of the branch.
If minimum balance of the account falls below Tk.2,000/‐ once during the half‐year, incidental charge will be recovered as per Head Office Circular.
Bank at its discretion may close any account with prior notice to the account holder.
In case of closure of account by the account holder, branch shall recover closing charges as per schedule of charges.

Savings Bank Deposit Account

Savings Bank Account may be opened in the name of adult individual who are mentally sound and also jointly in the names of two or more persons payable to either or both or all of them or to the survivor or survivors.
Savings Bank Account may be opened in the name of a minor also.
Saving Bank Account may be opened in the names of clubs, societies, association and similar institutions and even by government and semi government offices.
Account shall be opened with at‐least a minimum initial deposit of Tk.1, 000/.
Interest at the rates fixed by Head Office from time to time is applied half yearly on the balances held on daily product basis.
Not more than one account is allowed to be opened in the same name. But this will not be applicable to parents willing to open more than one account in his/ her name in respect of each minor child.
Savings Bank Account shall not be allowed to be overdrawn under any circumstances.
No interest shall be paid to such accounts in the month for violation of the above rules.
Bank shall provide monthly‐computerized statement of accounts to account holders instead of passbook.
Bank may at its discretion close any account with prior notice for repeated return of cheques due to insufficient balance.
Bank may recover charges up to a maximum of Tk.100/‐ per instances of cheque return.

Short Term Deposit Account

Deposits held in this account are payable on short notice. Normally corporate bodies, bank and financial organizations invest their funds temporarily. Now‐a‐days, private individuals having sound financial means also open this type of deposit accounts. The following rules shall apply‐

Deposits held in STD Account are payable in 7 (Seven) days notice.
Cheque books may be issued to account holders for withdrawal of funds.
Repeated withdrawal without notice shall be discouraged.
Interest is payable on balance held on daily product basis as per computer program used by bank.
For opening STD Account, AOF used for Current Deposit Account shall be used.
Other formalities are similar to Current Deposit Accounts.
Minimum balance requirement for accruing interest is Tk.100, 000 (Taka one lac) only.

Fixed Deposit Account

Fixed Deposit is neither transferable nor negotiable.
Fixed Deposit Account may be opened by individuals, firms, companies, corporate body etc.
Fixed Deposit Account shall be opened for a fixed period ranging from 3 months to 36 months or above as determined by Head Office from time to time.
Rate of interest payable to Fixed Deposit Accounts shall be approved/ advised by Head Office from time to time.
Interest on deposits shall normally be payable on maturity along with principal.
Customers may however, have the option of withdrawing interest accrued after every six months provided that the account is for more than 24 months period.
Interest ceases to accrue on overdue Fixed Deposit Account. Branch may, however, allow interest to exceptionally valued clients on deserving cases with concurrence of Head Office.
FDR may be encashment before maturity on written request of the depositor. For payment of interest, branch shall follow Head Office instruction in this regard from time to time.
In case of FDR in joint names, written consent of all holders shall be obtained before premature encashment, irrespective of instruction provided for operation of the account.
Duplicate FDR may be issued in case of loss of FDR reported by the holder. An indemnity bond executed by the depositor(s) shall be obtained on Bank’s standard form. A remark “DUPLICATE ISSUED IN LIEU OF ORIGINAL REPORTED LOST” is to be typed on top of the duplicate FDR. The original number should be used and comments to this effect be recorded in AOF, S.S. Card and FD Issue Register.
Extra care shall be taken in case duplicate FDR is proposed for lien to any bank.
Each FDR of the same depositor will be treated as separate contract.
Account Opening Form for Fixed Deposit Account contains relevant columns for mentioning all terms including rate and term of deposit and operational instruction. The bottom part of the form shall be used as credit voucher for the deposit. Specimen Signature Card duly signed by the depositor to be obtained with clear instruction for operation of the account.
Nominee form may be obtained if the depositor desires to nominate anybody to receive the proceeds of his account in case of his death. Nominee’s Signature and one copy of photograph duly attested by the depositor to be obtained.
The signature of the depositor is to be admitted by authorized officer both in AOF and S.S. Card.
The particulars of the account shall be posted in the computer system on completion of all formalities including receipt of deposit. One authorized officer shall check/ verify the particulars in the computer screen and record his comments on the AOF to this effect with signature.
Renewal of Fixed Deposit Account shall be allowed on written request of the depositor, if no intimation is received, the account shall be deemed to have renewed under the existing terms and conditions automatically.
FDR can be accepted as security against credit facility.
Offer of special interest rate on deposits is subject to Head Office approval.

The following documents duly completed shall be obtained from the customer at the time of opening different types of accounts as applicable:

Individual/ joint

Account opening form as applicable duly filled in.
Specimen Signature Card.
Two photographs duly attested by introducer.
Nominee Form (if nomination given by the account holder).
Mandate or Authority Form (if a third person is authorized to operate the account).

Proprietorship Firm

Account Opening Form.
Specimen Signature Card.
Copy of Trade License
Two photographs duly attested by introducer.
Proprietorship Rubber Stamp against all signatures of the proprietor.

Partnership Concern

Account Opening Form.
Specimen Signature Card.
Copy of Trade License
Partnerships Deed
Two photographs of each partner duly attested by introducer.
Partnership Rubber Stamp against all signatures of partners operating the accounts.
Partnership letter.

Private Limited Company

Account Opening Form.
Specimen Signature Card.
Copy of Trade License.
Copy of Memorandum and Articles of Association duly attested by the Managing Director/ Chairman of the Co.
Certificate of Incorporation.
List of Director as per return of Joint Stock Company with signature.
Resolution of the Board for opening account with the bank.
Photographs of each of the authorized signatories.

Public Limited Company

Account Opening Form.
Specimen Signature Card.
Copy of Trade License.
Photograph of Directors and account operators other than Director.
Certified copy of Memorandum and Articles of Association.
Certificate of commencement of business.
List of Directors as per returns of Joint Stock Company with their signature.
Resolution of the Board for opening account with the Bank.
Certification of incorporation.
Tin Certificate

Clubs/ Association/ Society etc. (Non-Trading Concerns)

Account opening Form for current account or SB accounts.
Specimen Signature Card.
Certified copy of Bye laws/ constitution of the organization.
List of the Executives of Managing Committee with their signature and present and permanent address.
Resolution of the Committee for opening account with the bank.
2 Photographs of each operator of the account.

Corporation/ Autonomous Bodies/ Govt. Organization

Account Opening Form as applicable.
Specimen Signature Card.
Copy of the Act or Ordinance Showing authority to open account.
Letter from the authorized persons in absence of the Board.

Account Of Constituted Attorney

Account Opening Form (As applicable)
Specimen Signature Card
Power of Attorney

A copy of Power of Attorney shall be taken and entered in the Power of Attorney Register in serial order. The serial number is to be noted along with Banks name on the Power of Attorney. Original may be returned and the copy to be attached with Account Opening Form.

Schemes offered by Jamuna Bank Limited

Monthly Benefit Scheme
Monthly Saving Scheme
Education Saving Scheme
Marriage Deposit Scheme
Double Growth Deposit Scheme
Triple Growth Saving Scheme
Lakhpoti Deposit Scheme
kotipati Deposit Scheme
Millionaire Deposit Scheme

Monthly Benefit Scheme (MBS)

Jamuna Bank Limited has introduced Monthly Benefit Scheme (MBS) for the prudent persons having ready cash and desiring to have fixed income on monthly basis out of it without taking risk of loss and without cashing the principal amount. This scheme offers highest return with zero risk. You can plan your monthly expenditure with the certain monthly income under the scheme.

Note: Government tax and other charges, if any are included with the above benefit/figure.

How to apply:

You have to open an account with any branch of JBL. The above noted monthly benefit will be deposited in this account in each month.

Eligibility:

Any person having age of above 18-years can participate in this scheme through opening a savings or current account with any branch of JBL

Customer must be Bangladeshi Nationals/Citizen.

Persons below 18-years of old may open this account with his/her legal guardian

Characteristics:

Minimum deposit: Tk.1 (one) Lac

Maximum deposit: Any amount multiple of Tk.1 (one) Lac

After opening the account, the profit element will be deposited in that account

Upon maturity the term may be renewed for the next tenure.

Overdraft facility:

The concerned customer can avail loan facility up to 80% of the initial deposit.

Terms & Conditions:

Bank reserves the right to change the rate of profit during the tenure of deposit.

No loan facility will be allowed from any other Bank(s)/Financial Institution against the deposited amount except JBL.

The initial deposited amount and term shall not be changed before maturity.

If the Scheme is closed within 6-months, customer will get the deposited amount only and no interest/profit will be paid for the Scheme. If it is closed after 6-months, customers will get the deposited amount along with the interest at the normal savings rate up to the time of closure.

Monthly Savings Scheme (MSS)

Savings is the best friend in your bad days. Small savings can build up a prosperous future. Savings can meet up any emergencies. JBL has introduced Monthly Savings Scheme (MSS) that allows you to save on a monthly basis and get a handsome return upon maturity. If you want to build up a significant savings to carry out your cherished dream, JBL MSS is the right solution.

Eligibility:

MSS account can be opened at any Branch of JBL.

For opening a MSS account, maintenance a savings account with JBL is required.

Facility:

The concerned customer can avail loan facility up to 80% of the deposited amount.

The can deposit the monthly instilment at any branch of JBL and the same through on-line banking.

Monthly installment can be automatically collected from your savings account maintained with JBL.

Customer can choose any day from 1^st to 20^th day of every month as installment date.

Terms & Conditions:

Bank reserves the right to close the scheme if customers fail to deposit 3-consecutive installments.

Duties and taxes on the deposit, if any, are payable by the customers as per government rules.

The above figures are indicative only and subject to change from time to time.

Documents required:

Declaration from customer regarding liability with other Banks & Financial Institutions.

Declaration from customer regarding loan default status

Documentation as per usual Bank practice.

Education Savings Scheme

JBL has introduced ‘Education Savings Scheme’ which offers you an opportunity to build up your cherished fund’ by monthly deposit of small amount it at your affordable capacity or initial lump sum deposit to yield handsome amount on a future date to meet the educational expenses. Under this Scheme you have the different attractive options to avail the future benefit i.e. withdrawal of the total amount accumulated inlump sum or withdrawing monthly benefit to meet educational expense keeping die principal amount intact or to withdraw both principal and accumulated profit monthly for a certain period.

Marriage Deposit Scheme

Marriage of children, especially daughter is a matter of great concern to the parents. Marriage of children involves expense of considerable amount. Prudent parents make effort for gradual building of fund as per their capacity to meet the matrimonial expense of their children specially daughters. Parents get relief and can have peace of mind if they can arrange the necessary fund for marriage of their children, no matter whether they survive or not till the marriage occasion.

It can be a great help to the parents if there is any scope of deposit of a modest amount as per their financial capacity, which grows very fast at high rate of interest yielding a sizeable amount on maturity. With this end in view JBL has introduced Marriage Deposit Scheme, which offers you an opportunity to build up your cherished fund by monthly deposit of small amount at your affordable capacity.

Eligibility:

Marriage Deposit account can be opened in the name of children below the age of 18 years along with legal guardian.

For opening a marriage deposit account, maintenance a savings account with JBL is required.

Terms & Conditions:

Bank reserves the right to close the scheme if customers fail to deposit 3-consecutive installments.

Duties and taxes are payable by the customers as per government rules.

The above figures are indicative only and subject to change from time to time.

Money Laundering Prevention Act shall be exercised as per rules of Bangladesh Bank.

Double/Triple Growth Deposit Scheme

For people who have cash flow at this moment and want to get it doubled/tripled quickly JBL has introduced Double/Triple Growth Deposit Scheme that offers you to make double/triple your money within 6(six) years and 9.5 (nine and a half) years respectively resulting a high rate of interest.

Eligibility:

Any person having age of above 18-years can participate in this scheme through opening a savings or current account with any branch of JBL

Customer must be Bangladeshi Nationals/Citizen.

Persons below 18-years of old may open this account with his/her legal guardian

Characteristics:

Minimum deposit: Tk.1 (one) Lac.

Maximum deposit: Any amount multiple of Tk.1 (one) l Lac.

How to apply:

You have to open an account with any branch of JBL having deposit of the above figure.

Overdraft facility:

The concerned customer can avail loan facility up to 80% of the deposited amount.

Terms & Conditions:

Bank reserves the right to change the rate of profit during the tenure of deposit.

No loan facility will be allowed from any other Bank(s)/Financial Institution against the deposited amount except JBL.

The initial deposited amount shall not be changed before maturity.

Lakhpati Deposit Scheme:

To become a lakhpati is a dream to most of the people of Bangladesh especially to the lower and lower middle class income group. We experience our expectations and wants are enormous in nature in our small span of life. To meet our deposit and wants we need right plan.

Keeping the above in mind JBL has introduced “Lakhopati Scheme” which has flexibility in report of maturity and monthly installment as per affordable capacity.

Terms & Conditions:

Bank reserves the right to close the scheme if customers fail to deposit 3-consecutive installments.

Duties and taxes are payable by the customers as per government rules.

The above figures are indicative only and subject to change from time to time.

Money Laundering Prevention Act shall be exercised as per rules of Bangladesh Bank.

Kotipati Deposit Scheme:

To become ‘Kotipati’ is simply a dream for the most of the populace of Bangladesh. It is realizable for high income group who have strong determination and savings habit. If you decide and plan to save money from your regular income, you can own Tk1.00 crore easily by making a planned savings.

In this regard, JBL has introduced “Kotipati” Deposit Scheme” offering the savings plan fit to your income and to execute your dream to be a Kotipati by monthly deposit at your affordable capacity. You can take advantage of the “Kotipati Deposit Scheme” from JBL and plan for your golden future accordingly.

Eligibility:

Kotipati Deposit account can be opened at any Branch of JBL.

For opening a Kotipati deposit account, maintenance a savings account with JBL is required.

Terms & Conditions:

Bank reserves the right to close the scheme if customers fail to deposit 3-consecutive installments.

Duties and taxes on the deposit, if any, are payable by the customers as per government rules.

The above figures are indicative only and subject to change from time to time.

Money Laundering Prevention Act shall be exercised as per rules of Bangladesh Bank.

Millionaire Deposit Scheme

It is a dream for many small savers to become a Millionaire. The word ‘Millionaire’ is really exciting. This dream can be a reality if you have a calculated plan and strong determination. JBL has introduced ‘Millionaire Deposit Scheme’ which has flexibility in respect of period and monthly deposit as per your affordable capacity for giving a sum of Tk.1.00 (one) million i.e. Tk.10 (ten) Lac at a time.

Eligibility:

Millionaire Deposit account can be opened at any Branch of JBL

For opening a millionaire deposit account, maintenance a savings account with JBL is required.

Customer can deposit monthly installment through any of our online branches

Understanding instruction system, Customer can deposit money automatically his accounts.

Terms & Conditions:

Bank reserves the right to close the scheme if customers fail to deposit 3-consecutive installments.

Duties and taxes on the deposit, if any, are payable by the customers as per government rules.

The above figures are indicative only and subject to change from time to time.

Money Laundering Prevention Act shall be exercised as per rules of Bangladesh Bank.

Instructions for Handling Account Holders

Individual Account

Most of the accounts of a branch are individual. As such they deserve regular attention of the members of the staff of a branch. An individual account holder may nominate his near and dear ones to inherit his deposit in case of his death. He/ she can also give mandate or authority to operate his account in his short absence.

Joint Account
At the time of opening accounts in the name of two or more persons, clear and specific instructions shall be obtained regarding operation of the account and payment of balance to the survivor(s) or surviving members in the event of death of one or more joint account holders.
The instructions as far as possible shall be obtained in the handwriting of the parties concerned, under the signatures of all the joint account holders.

Instructions in the either or Survivorship form may be taken in the following manner.

a) If the account is opened in the name of two persons instruction may be: Either or Survivor or singly or jointly.

b) If the account is in the names of more than two persons instructions may be: By either or Survivor singly or by any two or more of them or by all of them.

In case of death of any joint account holders, if the specific instructions are either a or b, the balance will be payable to the survivor(s).
In the absence of specific instructions in the “Either or Survivorship” form, balance of the joint account will be payable to the survivors and the legal representatives of the deceased joint account holders.
In the event of any of the Joint Account holders becoming bankrupts, all operation in the joint account shall be stopped until fresh instructions are given by the remaining solvent account holders jointly under their signature and the official assignee.
In the event of death of any joint account holders, the survivor or survivors shall be requested to close the old account and open a new account in the name of surviving account holders.

Account of Proprietorship Concern

While opening accounts in the names of proprietorship concern care should be exercised that the person opening account is the proprietor of the firm. Obtaining trade license issued by Municipal Authority/ Union Parishad can be a proof. On specific instruction the account may be operated by persons authorized by the proprietor.
In case of death of proprietor, all operations in the account shall be stopped. Procedure laid down in Para (r) may be followed. On the death of the proprietor authority given by him ceases and the authority holder cannot be allowed to operate the account.

Accounts of Partnership Firm

A partnership account shall be allowed to be opened and operated by any one partner of the firm under his signature provided a partnership letter has been signed by all the partners of the firm in their individual capacity.

Partnership Deed or Partnership Letter should be thoroughly studied to know the names and address of all the partners. Nature of business, names of partners authorized to operate the account including authority to draw, endorse, accept bills, mortgage and sell property belonging to firm. It should also be ascertained about the position of the firm on retirement of any partner, death or insolvency of any partner.

In case of death of partner, if the deceased partner was operating the account singly, the balance shall be paid to the heirs of the deceased and the surviving partners as per orders of the Court agreement or arrived at between the surviving partners and heirs of the deceased. In the later case, the recipient shall execute indemnity bond as explained in para ® regarding deceased account.

If a partnership Deed is submitted the same should be accepted and recorded with the bank.

In case of death of a partner who was not operating the account the surviving partners shall be advised to close the partnership account and open a new account.

An operating partner may give mandate to a third person to operate the account in place of him.

Accounts of Joint Stock Companies

A Joint Stock Company is a separate legal entity. The shareholders may die or become insolvent. The company shall continue to exist unless the number of share holders falls below the minimum number of members.
The minimum number of members is two and maximum is 50 excluding employees and ex‐employees. Private Limited Company cannot invite public to subscribe to its shares and therefore, not required to issue a prospect us. Right to transfer share is restricted. It can commence business as soon as it receives certificate of incorporation. It need not obtain “Certificate of Commencement of Business”.
Public Limited Company must have minimum of seven members. There is no restriction on maximum number though it is always advisable to keep it within manageable limit. A public Limited Company raises its capital generally through public issues and therefore, a prospectus is required to be issued. Share of public Limited Company can be transferred. It however cannot commence business until and unless “Certificate of Commencement of Business” has been obtained.
Approval of Head Office to be obtained for opening account in the name of a New Public Limited Company for the deposit of share money.
No cheque book shall be issued or withdrawals allowed from the account of the newly floated companies unless a certified copy of commencement of business is produced by the company.
If the company fails to produce such certificate as mentioned at para (v), the deposits accepted by the bank on their behalf representing share money, received in anticipation of the commencement of business, shall be refunded in lump sum to the Directors of the company obtaining a joint receipt from all of them subject to prior approval of Head Office.
Account of Limited Companies operated by the Managing Agents of the company shall not be opened or allowed to be operated unless a certified copy of the Managing Agent’s, Agreement is obtained and the authority of the persons signing on behalf of the firm or company or the Managing Agent is verified.
No advance shall be allowed to any company unless it is ascertained that Memorandum and Articles of Association of the Company authorize the company in that behalf. And it is authorized to secure the advance against securities offered by it.

Accounts of Clubs/ Societies/ Associations

No overdraft shall be allowed in the accounts of clubs, Societies and Associations without prior approval of Head Office.
No cheque drawn on the accounts of Clubs and Societies shall be collected for credit to private account of the office bearers of the societies and clubs.
In case of transfer or death of any of the office bearer of the club/ society operating the account, all operation shall be stopped until such time that a fresh resolution is passed in future by The Executive/ Managing Committee determining the method of its operation and delegation of powers to the new office bears, and advised to the Bank.

Inter Branch Transfer of Account

In case of transfer of Savings or Current account to another branch, a letter of request should be obtained and action be taken after verification of the signature and taking proper approval of the Manager. The request of the account holder desiring the transfer of the account shall be taken an application.
When the application is received Manager of the branch will check up the same and if found in order will approve transfer of the account. The relative specimen signature cards and account opening form shall then be taken out from file for transfer by the concerned department.
The following entries shall be passed by the branch transferring the account.
- Debit: Party’s account.
- Credit: JBL General Account {Transferee branch (IBCA to be issued)}.
The transferring branch should not recover any charges from the account holder for transfer of the account.
The forwarding letter as per the following specimen shall be signed by the Manager.
At the time of transferring the account the branch may retain photocopy of AOF and SS Card together the application and preserve in Account transfer file.
Entries shall be made in the Account opened and Closed Register and a note to this effect “Account Transferred to ………….. Branch on…………. shall be made therein.
The Account Opening Form, SS Card and the IBCA shall be dispatched under cover of the forwarding letter as per specimen to the transferred branch under registered A/D/ Courier Mail.
Ordinarily a newly opened account should not be transferred to another branch. The holder should better be advised to close the account.
It must be carefully noted that no overdraft, cash credit, demand loans or any other account representing party’s liability or obligation shall be transferred from one branch to another without prior Head Office approval.
Measures to be taken by the Transferred Branch.
The transferred branch sends a letter of acknowledgement to the transferee branch on receipt of the papers/ documents of the account.
All the enclosures to be checked and verified in terms of number and contents.
Intimation shall be sent to the account holder by post/ courier mail requesting him to call on the manager with the intimation letter sent to him.
A new account number shall be allocated and IBCA is responded in the following manner.
- Debit: JBL General Account (Transferee Branch).
- Credit: New Account (Under advice to the holder).

New cheque book against the account opened shall not be issued to the account holder unless:

a) The properly tallied with the same mentioned in the transfer‐forwarding letter.

b) The party calls on personally and signs the cheque requisition slip with acknowledgement.

c) Fresh Set of Account Opening Form and SS Card with fresh introduction are obtained and formalities completed as required for opening Account.

Issuance of Cheque Books

General Service Division of Head Office will supply required Cheque Books to branches against their requisition from time to time. On receipt of these cheque books/ other security stationery, the branch shall record the stock in the Security Stationery Stock Register. While recording the stock, the Prefix number shall invariably be mentioned.
A few Cheque Books required for current consumption of the Deposit Department shall be taken out from the main stock under control of an authorized officer. The concerned issuing officer will keep these cheque books in a box under lock and key and issue the same to the clients during the day. The Cheque Books will be entered in the Cheque Book Issue Register and be issued to clients against their acknowledgement in the register.
Separate folios will be opened in the Cheque Book issue Register for CD/ SB/ STD account cheque books.
The customers can deposit and transfer money very easily within a short time through the clearing house by Magnetic Ink Character Recognition (MICR) coded cheque books.
When a cheque book is required by a new customer, the cheque requisition slip pasted on top of each cheque book is to be got signed by him. The officer responsible for issuing cheque book shall get the signature of the account holder verified from the officer in‐charge of the Deposit Department and issue the cheque book to the customer after putting his initial in the case of cheque series subject to the condition that account opening form is complete in all respects and otherwise in‐order.
The requisition slip shall be sent to the respective Computer Terminal for posting in the respective account. All subsequent Cheque Books shall be issued against Cheque Requisition Slips extracted from the previous cheque books issued to the customer, However, the requisition slip pasted with subsequent cheque book on its first page shall be destroyed.

The cheque requisition slip duly filled in by the customer shall be forwarded to cheque posting Terminal to ascertain:

The average balance maintained by the customer.
Whether previous cheque leaves are properly consumed.
Cheques are not frequently returned for insufficient funds in the account.
Payment of Cheque is not frequently stopped.
The manner in which the account is operated.
The account is not dormant.

If any of the defects is noticed by posting officer, he/ she shall make remark on the requisition slip and forward it to Cancellation Officer who will decide whether cheque book should be issued to the customer.
In cases, where the account is found in order and the party is known, the cancellation officer shall verify the signature on the slip and send it back to cheque book issuing officer for issuance of the same.
In case of a Dormant Account, the party shall call on the Manager personally for identification purpose. The Manager on being satisfied about the bona-fides of the applicant shall allow issuance of cheque book.
In case of slightest difference in signature or suspicion aroused about the bona-fides of the person presenting the cheque requisition slip, proper inquiries shall be made by contacting the account holder. The officer must be satisfied before finally issuing the cheque book.

In case where requisition slip extracted from a previous cheque book is not presented, every possible care shall be exercised to establish the bona-fides of the case, particularly when address of a constituent has been recently changed and/ or a simultaneous request to change the address is made.

If the cheque book/ cheque requisition slip is reported lost, the branch shall take extra care in issuing fresh cheque book and take the following extra steps :

An Indemnity on bank’s standard form shall be obtained from the client counter signed by another customer of the branch having reasonable balance in the account.
Stop payment shall be made for the unutilized cheque leaves (Detailed procedure in relevant chapter).

On completion of the formalities, fresh cheque book shall be issued to the client. The client shall personally receive the cheque book against acknowledgement.
If the cheque book is issued through bearer, his signature must be attested by the account holder on the request letter. The requisition will however be filled in/ signed by the account holder. The bearer will receive the cheque book against his acknowledgement on the reverse of requisition slip and Cheque Book Issued Register. The party’s acknowledgement may be obtained by sending him a letter through bearer.

The issuance of the cheque book will be processed as under:

It should be ensured that all the leaves and blank requisition slip are intact and the printed serial numbers are in‐order.
The name and account number of the customer shall be written in the cheque books cover and the cheque requisition slip.

The account number shall be affixed on all the leaves of the cheque book including the cheque requisition slip under the signature of the issuing officer, whose signature should be recorded in the deposit department.
Cheque Books shall be delivered to the customer over the counter after obtaining his acknowledgement in the cheque requisition slip as well as cheque book issue register.
In special circumstances, cheque book may be delivered through bank messenger. But in that case similar acknowledgement or subsequent confirmation shall be obtained from the client.
Cheque Book sent by post shall be dispatched to client under cover of a latter in a sealed envelope under Registered A/D. The client shall be asked to confirm receipt of the cheque book. The A/D on return together with the confirmation is tagged with the requisition slip.
The cheque requisition slips against which cheque books have been issued shall be stitched together with vouchers of the day.
At the close of the day, the Security Box containing the cheque books shall be placed in safe or inside the Store Room under the supervision of the authorized officers.

Stop Payment Order and their Revocation

Instruction for stopping payment of any cheque shall be obtained from the account holder in writing.
If stop payment instructions are received over telephone or Telex a provisional note in respect thereof shall be kept with cancellation officer, pending receipt of written instructions from the account holder. Should the cheque be presented in the meantime, the same should be returned with objection “drawers confirmation required”.
The date and time on which those instructions received shall be marked on the letter and signed by an authorized officer.
The signature of the account holder shall be verified on the letter and accordingly the cancellation officer/ posting officer will be asked to insert the cheque number and stop payment in the computer terminal.
Meanwhile if the cheque is already paid the account holder shall be informed immediately.
An acknowledgement Memo in Bank’s printed format may be issued to the account holder as to the actions regarding stop payment.
The stop payment letters received from the party shall be filed in the “stop payment file”.
When a stopped cheque is presented for payment, the remark “Payment Stopped by drawer” should be written in bold letter in red ink across the face thereof and returned to the payee with return memo under usual manner.
Revocation instruction regarding “Stop Payment” shall be obtained from the account holders in writing. The signature of the account holder shall be verified with the signature on the previous letter. The Stop Payment instruction shall be revoked from the account by withdrawing the cheque number from computer system and note to this effect shall be made on the letter for reference.
The revocation letter shall be filed with the previous letter which contained “Stop Payment” instructions.
The revocation instruction shall be acknowledged by sending a letter to the account holder.

Scrutiny of cheques/ voucher

Before posting in the computer system, the cheque/ vouchers are to be checked by the concerned officer with reference to the following:

Cash Cheques

The cheque is drawn on the bank and branch where it is presented for payment.
The cheque is an open cheque i.e. uncrossed.
In case it is an order cheque (Payable in cash) the payee is identified to satisfaction.
It is not post‐dated, undated or stale.
The words and figures tally.
The cheque is duly signed by the drawers.
Cuttings and alteration have been authenticated under full signature of the drawer.
There is no over writing whatsoever.
Any material part of the cheque is not mutilated.
The cheque is not unusually of huge amount and also with‐drawl is not rare and sudden. In such cases the matter should be brought to the notice of the Manager by the posting officer.
The cheque leave bears the initial of cheque book issuing officer.

Payment of Instrument, Dishonor of Instrument

Cash Debit Voucher

In case of cash debit voucher, the following points should be checked:

It is signed by the authorized officer along with the Manager.
It is signed by the payee on the reverse and payee’s signature is verified.
It bears the Stamp “Pay Cash”.

Clearing Cheques

In case of clearing cheque, it is checked that: ‐

Collecting Bank’s Clearing Stamp bearing correct date is affixed on the face of the cheque and the cheque is presented in the 1^stor 2^ndclearing as stamped.
The collecting bank’s discharge is correct.
Other points similar to those as explained above are followed.

Transfer Delivery

The following points to be checked:‐

The Transfer Delivery Stamp is affixed on the face of the cheque and bears correct date.
The collecting bank’s discharge is correct.
Other points similar to those explained above are followed.

Cash Transfer

It shall be checked that: ‐

The Cash Transfer Stamp is affixed on the face of the cheque.
Branch discharge is correct.
Branch crossing seal is applied.
Other points similar to explain above are followed.

Voucher

It shall be checked that: ‐

It is correctly written and dated.
Two attorney holders sign it jointly.
Amount in words and figures tallies.
Appropriate head of account is given together with computer number.

Cancellation of Cheques

The cancellation officer should be an authorized officer of the bank/ branch.
He/ She shall keep all Specimen Signature Card under his effective control during transaction hours.
The cancellation officer shall retain only the signature cards admitted by the authorized officer in serial order.
Before passing any cheque, the signature of the drawer must be verified. In case, signature of the drawer differs, cheques shall not be passed unless the drawer’s confirmation is obtained or a reference is made to Manager for his instruction.
The cancellation officer shall not pass any cheque unless cheque is posted in the computer system.
He/ she should check the irregularities of the cheque if any.
The cheque series number with Prefix should be checked to safeguard fraud and forgeries.
The cancellation shall be done by drawing redline across the signature of the drawer of the cheque. He/ She shall sign in full in red ink near the drawer’s signature.
Cheques over Tk.50, 000/‐ shall be cancelled by two authorized officers jointly. Branch must issue office order regarding cheque passing schedule according to its size and volume of work load. The cancellation officer shall follow the schedule in variably.
In case of cash payment cheque a “Pay Cash” stamp shall be affixed on the cheque and signed by the cancellation officer.

Payment of Cheques after Banking Hours

Payment of cheques after banking hours should be discouraged. Payment to the drawer only may be made in special cases as deemed by the Manager. The cheque should be paid after ascertaining sufficient balance in the account and on completion of other formalities.

However, such cheques should bear date of actual payment or prior to that date.

Dishonor of Cheques/ Instruments

Bankers are under legal obligation to honor customer’s cheque if funds permit. If they honor a cheque through oversight when there are no funds. To the credit of the drawer’s account Bank may loss the money. On the other hand, if they dishonor it through inadvertence they may pay damage for wrongful dishonors. Therefore, it is incumbent upon the bankers to proceed with caution in the matter of dishonoring cheque drawn on them. A banker is not under statutory obligation to give a written answer on a dishonored cheque. But as per practice, as well as agreement of Banker’s Clearing House a banker should return it with Return Memo giving the appropriate reason for the dishonor. While giving such reasons, due care should be taken to see that the credit of the customer is not damaged by an unwarranted/ exaggerated answer. It should also be ensured that such reason does not mislead the payee.

In the event of dishonoring a cheque it must be entered in the Cheque Returned Register and the authorized officer must sign in the register and the Cheque Return Memo.

The following reasons are generally used for returning cheques/ instruments

Effects not cleared, please present again.
Not arranged for
Payee’s endorsement required.
Payee’s endorsement irregular.
Payee’s endorsement illegible.
Drawer’s signature differs from specimen recorded in the office.
Endorsement requires bank’s confirmation.
Alteration requires drawer’s signature in full.
Cheque is post dated.
Cheque is out of date.
Exceeds arrangement.
Amount in words and figures differ.
Crossed cheque must be presented through bank.
Payment stopped by the drawer.
Full cover not received.
Vernacular endorsement requires confirmation
Instrument Mutilated/ requires confirmation.
Banks discharge irregular/ required.
Not drawn on us.
Funds insufficient.
Cheque incomplete.
Clearing stamp required.
Clearing date irregular.

Payment of FDR & Short Notice Deposits

Fixed Deposit Receipts (FDR)

In computerized system of accounting the branches get daily print report of FDR maturity together with interest payable and related deductions. The following steps shall be taken by the branches to make payment of FDR on maturity.

FDR duly discharged by the holder(s) on the back of it to be obtained.
The signature(s) shall be verified by authorized officer.

Following entries shall be passed for payment of the FDR on maturity:

Dr: Exp. Control A/C : Interest on FDR
Cr: Sundry Deposit : Interest payable on FDR
Dr. Sundry Deposit : Interest payable on FDR
Cr: Fixed Deposit A/C : Interest paid on FDR
Dr. Fixed Deposit A/C: AIT (10%) on interest and excise duty.
Cr. Sundry Deposit A/C: AIT (10%) on FDR and excise duty payable.

In case of cash payment the following shall be done

Dr: Fixed Deposit A/C : (by FDR itself)
Dr: Fixed Deposit A/C: Interest payable (by cash debit voucher for interest payable amount.)
Cr: Cash
The FDR holder shall sign on the back of the Cash Debit Voucher for payment of interest only and holder’s signature shall be verified by authorized officer.
Cash Debit Voucher shall be signed by two authorized officers one of them must be the Manager.
In case of payment through transfer the following entries shall be passed
Dr: Fixed Deposit A/C: (FDR itself for principal amount shall be the debit Voucher) and for the interest amount by a debit transfer voucher.
Cr: Bills payable A/C: Pay Slip/ Pay order (For total amount).

Cr. SB/ CD A/C of the holder as per instruction.
- Branch must ensure recovery of Excise Duty from each FD Account once in a year irrespective of its closure/ renewal as per Head Office instruction.
- Premature Encashment of FDR is permissible. Interest however, shall be payable at prevailing Savings Bank rate or as per rate fixed by Head Office from time to time.
- In case of premature encashment branch shall reverse the interest already credited to sundry Deposit A/C in excess of the actual interest payable on the date of payment invariably.
- No penal interest shall be recovered for premature encashment but usual income tax and excise duty shall be recovered.
- Fixed Deposit Account may be renewed automatically incase of non‐receipt of official request from the holder on the same terms and conditions if the rate is acceptable to bank.
- The holder may renew the Fixed Deposit Account on revised terms and conditions acceptable to bank with written approach.
- Branch shall affix a stamp “renewed for further ‐‐‐‐‐‐‐ months at interest rate of ‐‐‐‐‐” on the back of the Receipt for each renewal duly signed by two authorized officers.
- On closure of the account the Account opening Form and Specimen Signature Card shall be marked cancelled and preserved in a separate file for future reference.

Short Term Deposit

Deposits under this category is withdraw able at a minimum of 7 (seven) days notice. Withdrawal from the account shall be allowed on the following manner ‐

If cheque book is issued, withdrawal by cheque shall be allowed against 7 (seven) days notice.
If no cheque book against the account is issued with drawl may be allowed as per written instruction of the client either by pay order/Demand Draft or through transfer to his /her current account with the branch.

Closing of Accounts

For different reasons, the account holder(s) may request for closure of his/ their account with the bank. On receipt of such letter of request for closure of account, the Manager should ascertain the reasons to satisfy himself that the constituent is not severing his relations for grievance from the bank which may possibly be redressed. If for genuine reason the account holder(s) approach for closure of his/their account, the following steps shall be taken:

The application shall be received together with unused cheque leaves.
The signature of the account holder shall be verified
The number of unutilized cheque leaves shall be noted on the letter.
The Manager shall approve closure of the account and ascertain liability position (if any) and closing charges at prescribed rate to be recovered.
The account holder may be requested to withdraw the balance on deduction of the charges. Otherwise the balance payable may be paid by way of pay Slip / Pay Order in favor of the account holder
After closure of the account, “Account Closed” Stamp shall be affixed on the account opening form, S.S. Card and in the Account Opened and Closed Register with date under signature of an authorized officer.
The Account opening form together with S.S. Card and the request letter shall be retained in Account closed file to be maintained in branches for Current and Savings Accounts separately.
If the balance is paid by way of Pay Slip/Pay order, the debit advice may be delivered to the account holder either by hand or by mail.
The unused cheque leaves shall be destroyed by authorized officer and shall be recorded on the application for reference under joint signature.

Interest Application

Computerized branches need not require calculating interest manually. The computer system will guide officials as per program incorporated. Branches need to pass vouchers only where needed to balance the figures. Interest rates however will be decided by Head Office from time to time.

Balance Inquiries & Statements

Balance Inquiries

The account holder may enquire about his/her balance in the account. The client may be advised to fill and sign the Balance Requisition Slip (BRS) or to produce the Letter of Authority (LOA) duly signed by the account holder.
The signature of the account holder shall be verified on the BRS or LOA before disclosing the balance.
If a slip is required to be sent by mail or hand, it shall be sent in a closed envelope addressed to the account holder.

Bank Statement

In the event of a balance statement required by an account holder, he/she may be provided with such statement as per computer print with a Bank Branch seal and a authorized signature by the branch against his/her written request. Statement may be delivered as per instruction of the account holder.

Balance Confirmation

In a computerized system of accounts, the computer program will provide print report of balance confirmation of Accounts along with a sub‐joined part. It will contain the full address of the account holder. The balance confirmation shall be dispatched to account holder in a window envelope. Follow‐up should be made to get back the sub‐joined part duly signed by the account holder.
On receipt of the confirmation from the party regarding his/her balance duly signed, it shall be preserved in a file after verification of signature.
Balance confirmation for debit balances in case of over‐draft, cash Credit and/or loan accounts shall be dealt with separately. The sub‐joined part to be received from clients duly signed by them and preserved in their document file after verification of signature

Clearing & Transfer

Clearing

Clearing Department plays a vital role in General Banking. This department receives cheques, DD, P.O. etc from depositors attached with a deposit slip. Then these instruments are posted in the creditors account temporally. After posting those instruments, are segmented bank wise. Branches of JBL with in Dhaka sent instruments to the local branch (Dilkusha Branch) for collection along with the report in which particulars of the instruments are described. Then the authorized officer of the local branch accumulates all information in a excel report and the instruments of twelve branches (including the local branch) are segmented bank wise. All instruments are now ready for collection at the 1^stclearing house. There are two types of House:

1^stClearing House and
Same‐day clearing House

CONDITIONS FOR SAME-DAY CLEARING

The Instrument’s value must be over Tk.5 lac

Outward clearing

All cheques, demand drafts and other credit instruments tendered for the credit of customers account will be delivered by the depositor at the clearing counter. Any deposits received by post will also be sent over to the clearing counter. The counter officer shall at the time of receipt examine such deposits carefully to ensure that ‐

The name of the account is very clearly written on the Deposit slips.
The particulars of deposits such as cheque numbers, names of bank etc. are properly entered on the deposit slip.
The depositor has signed the Deposit Slip.
On item deposited payees discharge and the chain of endorsement, are in order.
All cheques and other instruments will be crossed immediately on receipt with the banks special crossing stamp. Items intended/selected for the next day’s clearinghouse will be branded with the bank’s clearing stamp with date. If the deposits are made at a time when it is too late for these to be presented to drawee banks the same days the stamp “Too late for today’s clearing” will be affixed on the counter foil.
All branches of Jamuna Bank Limited are computerized and operate in Clearing House with computer FTP server. All clearing items will first be sorted out bank‐wise and then entered in a computer printed slip prescribed for the purpose. These Schedules/Slips are in fact list of cheques etc. delivered by Jamuna Bank Limited to other banks through the clearing House.
All these slips are summarized in a bigger computer printout which reflects in details the instruments etc. presented by the bank to Clearing House and contains the names and account number to which the credits will be posted. These sheets serve the purpose of a Clearing House Register.
Bank also prepare, another summery sheet (Validation Sheet) from computer which contain the total a number of cheques etc. delivered to different banks in the Clearing House and cheques received from different banks with correct total of amount.
The Credit vouchers should then be released for posting in the computer. It will be the responsibility of Deposit Department, however, not to allow any drawings against such items before the fate is definitely known. Reversal entries for any clearing item returned unpaid should invariably be made by a separate debit voucher.
All clearing item will be passed through the bank’s Local Office/Main Branch’s Account with Bangladesh Bank.
Entries to be passed by Local office/ Main Branch.
Other branches routing their Clearing Instruments shall send through banks own FTP server to Local Office/Main Branch supported by IBDA for the total amount.
Local Office/ Main Branch shall respond the IBDA to the debit of their account with Bangladesh Bank/Sonali Bank in a consolidated manner.
In case of return of cheques unpaid in the Clearing House, Local Office /Main Branch shall issue IBDA on the branch which lodged the cheques in clearing to reconcile the accounts.
All IBDAs originated in connection with Clearing House shall invariably be responded on the same day and under no circumstances shall be kept pending.

Inward Clearing

Local Office/Main Branch shall receive cheques etc drawn on Jamuna Bank Limited branches from the Clearing House. On receipt of the cheque etc. they shall segregate the same branch‐wise and issue IBDA on branches against total amount of cheque etc. and shall arrange delivery of the IBDA together with the cheques etc. within Clearing House time schedule.
Branches shall send the cheques dishonored by them supported by IBDA issued on Local Office/Main Branch, within Clearing House time schedule for enabling Local Office/ Main Branch to return these instruments in the 2^ndClearing House (Return House).

Transfer Delivery

All such instruments drawn on easily accessible local Branches of JBL (say within Dhaka city) and deposited for credit of customer’s account shall be treated as “Transfer Delivery”.
Jamuna Bank Limited is yet to introduce transfer delivery system of collection amongst its branches in Dhaka. Till such time the branches shall continue to collect proceeds through outward bills for collection procedure as laid down in bills chapter.

Internal Transfer

Transfer Book shall be maintained for entering transfer cheques/vouchers.
Serial number shall be allotted both on the debit and credit side of the book, which shall be required for recording the daily transactions. The same serial number shall be noted on the voucher entered in the book including their contra credit and debit voucher and or a set of credit or debit vouchers of a transaction.
Entries in the debit and credit column of the book shall be directly made from the respective debit and credit vouchers. At the end of the banking hours the total of the debit and credit shall be arrived at and tallied with the computer figure in Transfer Head.
Transfer Stamp is affixed on the face of voucher; Vouchers are released from Transfer book. It is balanced and signed by the writer and Book is checked and signed by the authorized officer.
In a computerized system scroll is done by the computer system. But branch shall maintain the Transfer Book manually as a safe guard against easy detection of mistakes and issuing vouchers if any.

Cash

Receipt of Cash

Cash may be deposited either by deposit Slips for SB/ CD/ CC accounts or by other credit voucher like single credit voucher, pay order/ Draft/ T.T. application forms. Branches shall ensure the following:

Cash receiving officer shall check the deposit slip/ credit voucher/ application form as to its title of account, number and amount in words and figures.
The cash currency notes shall be counted physically /by cash counting machine as per denominations of the currency notes on the back of the voucher /deposit slip. The officer will enter the particulars in the cash Receiving Register and sign on the related deposit slip/voucher and affix “Cash Received” Stamp with date. He/she shall write the amount in words and figures in red ink across the deposit slip/voucher/ application form in token of receipt of the money. He /She shall send the register along with the deposit slip/voucher for signing on the same and authenticating the receipt in the register by the in‐charge of the department.
The officer in‐charge shall retain the original of deposit Slip and other vouchers and send them to respective desk for postings/actions. The duplicate voucher (counter foil) shall be handed over to the depositor/client.
At the close of business the cash receiving officer shall add all the entries in the register and if agreed with the actual cash received by him, shall hand over the register for checking by officer‐in‐charge.
Receiving Cash officer will hand over the cash to the entire cash in‐charge duly checked by him.

Payment of Cash

Cheques, Cash Debit Vouchers, Fixed Deposit Receipts, Monthly Term Deposit Receipts, Bearer Certificates of Deposit, Demand Drafts, may be placed for payment at the counter by clients, beneficiaries and various departments for encashment. Branches shall ensure the following:

The instrument is checked for any apparent discrepancy and evidence of posting and cancellation.
Specimen Signature of cancellation officer shall be available with cash paying officer for convenience of payment.
On being satisfied, the cash paying officer shall count cash for payment and the denominations of notes are written on the reverse of the instrument invariably.
Signature of the bearer is obtained on the behind of the instrument and compared with the signature already obtained from the bearer while presenting the instrument.
If the presenter is found to be the same person, cash is handed over to the bearer/presenter.
“Cash Paid” Stamp is affixed on the face of the instrument and signed by the cash paying officer.
Particulars of the instrument are entered in the cash payment register.
Paid instruments are preserved with the cash paying officer.
At the close of bank hour, the amount entered in the cash payment register is totaled. The total must agree with the totals of cash paid.
The total is written in the cash payment register in words and figures.
The officer‐in‐charge of cash department shall check the entries and instruments to ascertain that the payment has been made correctly and shall release the instruments from cash payment register by his initials against each entry in the cash payment register.
The officer‐in‐charge also checks and signs the entries.

Accounts

Accounting System

The branches of the bank operate as independent accounting unit. They submit statement of affairs and other prescribed returns direct to Head Office where these are consolidated in the form of a statement showing assets and liabilities of whole Bank as at the close of business on Thursday and at the last working day of each month.

The system of transactions of the bank is essentially double entry system of book keeping. But for quick and accurate recording as well as for arriving at daily financial position specialized form of double entry system book keeping, named slip system under self‐balancing method is followed by the bank. The golden principle of debiting or crediting is the same as those of double entry system. In the bank, instead of recording transactions in a journal initially, these are directly recorded and posted in the ledger (computer) separating the debits and credits by slips or voucher system.

Half‐Yearly and Annual Closing of Accounts

Half – Yearly Closing

For ascertaining the financial position of the Bank, accounts are closed as on 30^thJune every year. For Half‐Yearly closing many important accounting jobs are to be done about which a detailed circular is issued by Head Office from time to time. Branches will do the needful as required by the circular.

Annual Closing

Annual closing of accounts is done as on 31^stDecember every year about which Head Office issues a detailed circular from time to time. Branches will perform annual closing works as per the circular

Accounting Ratios for Management Use

Jamuna Bank Ltd prepares a Budget every year and each branch is given business goals/targets at the beginning of the year. These goals and targets include business goals in the areas like deposit, advance, foreign exchange business, non-funded business, ancillary business, profit etc. The performances of the branches in these areas are reflected in their income, expenses, cost of fund, profit etc. Top management, while appraising the performance of the branches, frequently needs much information which may help in judging and rating the performance of the branches and the Bank in the business areas as mentioned above. For helping top management in this exercise, many accounting ratios are to be calculated and analyzed for arriving at decisions for effectiveness and profitability. Not only top management, Branch-in-charge or concerned can department also use these ratios for analyzing performance and improving efficiency of the branches or departments and the Bank.

General banking activities of JBL at Mirpur Branch

General banking is the heart of total banking system. This department collects money from the customer & used this deposit to core profit. General banking department performs the core function of Bank, operates the day-to-day transactions. It is the storage point of all kinds of transaction of foreign exchange department, loans and advances department and itself. In fact, bank operates with the people’s money. And this process starts with the General Banking department. The activities of the General banking department of JBL are mainly divided into the following categories:

•Account opening section.

•Accounts Section.

•Clearing Section.

•Remittance Section.

•Cash Section

Account Opening Section:

The relationship between customer and banker begins with opening of an account by the customer. Opening an account binds banker and customer in to contractual relationship. All kinds of fraud and forgery start by opening an account. So, they should take extremely cautious measurers in selecting customers.

Types of Account in JBL:

Mirpur Branch has the following types of accounts:

Current Account
Saving Account
Fixed Deposit Account
STD(Short Term Deposit)

Current Account Opening

A current account is a running and active account, which may be operated upon any number of times during a working day. There is no restriction on the number & amount withdrawals from current A/C. As the banker is under obligation to repay these deposits on demand, they are called demand liabilities of a banker. To meet such liabilities the banker keeps sufficient cash reserves against such deposit. There are two facilities for the person who opens a current account. They are: A person can open a current account or any entity the entry can be a partnership firm, Ltd, company proprietor ship firm, association, clubs etc. for opening a current A/C of the above, the requirements and steps, which are followed by this branch are the following

For a Person

There is an individual application form for opening personal current account. The person, who wants to open this type of A/C, is said to fulfill the following requirements:

•Name

•Father’s/husband’s name

•Mandate in writing

•Declaration of nominee

•Letter of introduction

•Specimen signature

•Two copies of passport photographs

•Nominee’s photograph

•Initial deposit, etc

For Joint stock companies, Association, Clubs etc:

In case of opening a current A/C of joint stock companies, association, clubs etc. the following requirements are said to fulfill:

•True copies of certificate of incorporation or registration

•True copies of memorandum and articles of association (in case of limited companies)

•Regulations by laws (in case of associations, clubs etc.)

•True copies of resolution of the board of directors of managing committee/governing body, regarding conduct of A/C

•Certificate list containing names and signature of directors/officer bearers.

For Partnership/Proprietorship Company:

To open a current A/C on the name of any partnership or proprietorship company, the following documents are required:

•Filled up application form stating about the name and address of the firm.

•Partnership deed.

•Trade license

•Two copies of photograph.

•Introducer who is also an account holder, etc.

For Public and Private limited company

The documents required opening a current A/C would be:

•True copy of memorandum of association and article of association abide be the laws.

•Copy of certificate of incorporation or registration, trade license.

•In order to open an account, the customer is first of all asked to fill up the application form given from the bank. The bank requires few documents of the client due to the procedure, such as proposal for opening an account, name and full address occupation.

•True copy of resolution of managing director/governing body regarding conduct of the A/C.

Saving Account Opening

Bank imposes certain restriction on the number and amount of withdrawals from a savings A/C, which varies from bank to bank. Normally prior notice is not required for small amount of withdrawals but bank appreciate prior notice for withdrawals big amount. Saving Bank Account is an interest bearing account & may be opened by:

Adult Individual	Club
Joint two or more person	Association
Minor	Govt. or Semi-Govt.

Savings account interest rate at in now 7% but as it is not constant it changes time to time. Not more than one account is allowed in the same name. Saving account shall not be overdrawn under any circumstances. Even not more than 25% balance can be withdrawn without seven days notice. The minimum balance in the saving account is Tk. 5000 has as its own printed application form for opening a saving account. The application form contains the following particulars, which are to be fulfilled by the individual account holder.

•Name of the account holder

•Business or profession of account holder.

•Present and permanent address of the account holder

•Special instruction regarding the operation the accounts (if any)

•Introduction by any account holder of or by a person acceptable to the branch.

•Verification by the concerned of the branch

•Specimens signature card

•Two copies of photographs of account holed attested by the introducer.

•One copy of nominee’s photograph attested by the account holder.

•Photocopy of passport/certificate of mandatory or employee certificate/identity card.

Fixed Deposit Receipt (FDR):

Fixed deposits are time deposits or time liabilities. These are the deposits in which an amount of cash is deposited in Bank for a fixed period specified in advance. Before opening a Fixed Deposit Account a customer has to fill up an application form, which contains the followings-

•Amount in figures

•Beneficiary’s name and address

•Time period

•Rate of Interest

•Date of Issue

•Date of maturity

•How the account will be operated (singly or jointly)

•Signature (s)

•F.D.R. no.

•Special instructions (if any)

After fulfilling the above information and depositing the amount, FDR account is opened and a FDR receipt is issued and it is recorded in the FDR Register, which contains the following information-

•FDR account no.

•FDR (Fixed Deposit Receipt) no.

•Name of the FDR holder with address

•Maturity period

•Maturity date

•Interest Rate.

In case of FDR Account, the bank does not have to maintain a cash reserve. So, JBL offers a high interest rate in these accounts.

Renewal of FDR

Customer supposes to inform the bank in writing 15 days before the maturity date for encashment. If not, bank normally renews the amount just after the maturity date. Renewal will be for previously agreed maturity period.

Loss of FDR

If the instrument is lost from the possession of the holder, the holder is asked to fulfill the following requirements-

•Holder should inform the bank immediately

•Record a GD (General Diary) in the nearest Police Station.

•Furnish an Indemnity Bond

•On fulfilling the above requirements, SBL is then issued a duplicate FDR

Short Term Deposit Account

It means which payable in a short notice. The deposits may be accepted for the period and rates of interests fixed by the Bank. Normally corporate bodies, banks, financial organizations, private individuals deposit their funds temporary. The rate of interest on Short Term Deposit (STD) is 6.0 %. Deposits held in STDA are payable in 7 days. But repeated withdrawal without notice is discouraged has its own printed application form for opening a STD account. The application form contains the following particulars, which are to be fulfilled by the individual account holder.

•Name of the account holder

•Business or profession of account holder

•Address of the account holder

•Special instruction regarding the operation of the accounts.

•Introduction by any account holder of the branch or by a person acceptable to the branch.

•Verification by the concerned officer of the branch

•Specimens signature card

•Photograph of the account holder

• Nominee’s photograph

•Form must be filling up carefully, etc.

Reason for dishonor of cheque:

♦ Insufficient of fund.

♦Not arrange for.

♦Effects not cleared.

♦May be presented again.

♦Exceeds arrangement

♦Full covers not receive.

♦Payments stop by the drawer.

♦Cheque in postdate.

♦Drawer signature is difference.

♦Amount in word and figure differ.

♦Crossed cheque must be presented through a bank.

♦Clearing stamp require.

Transfer of an Account

Account holder may transfer his account from one branch to another. For this, he/she must apply with proper reason to the manager of the branch where he is maintaining account. Manager then requests to the manager of that branch where the A/C holder wants to transfer his account. Besides, he also sends original copy of account opening form and SSC (Specimen Signature Card) and photocopy of application for transferring the account with the balance remained in the account.

Closing of an Account

An account may close-

•When the customer desirous to close the account.

•When the account is inoperative for a long time.

•In case of customer’s death, insanity or insolvency.

•When the court on that particular A/C issues Garnishee Order. The A/C closing procedure in brief following-

•A customer may close his/her account any time by submitting an application to the manager. So the banker has to check the account of the customer & then checked the balance of this account.

•The customer is then asked to draw a final cheque for the final account in the account excluding account close charge and other incidental charges.

•The customer then surrenders remaining cheques to the respected officer who tears off these cheques. Vouchers are then issued debiting the particular account and crediting.

•In case of joint account the application to close the account must be signed by the holders should also sign the last cheques for withdrawal of the available balance in the account.

•If the information is not real, insolvency, insanity or even death of clients notices the bank may stop payments without any prior notice.

•CD & SB may be inoperative for a certain period, this case it would be treated as Dormant Account.

•If CD & SB Account are inoperative for 5 (five) years may be treated as unclaimed Account.

•To close an account, the checkbook is to be returned to the bank charges Tk. 200/= for the same by debiting the amount from his account and rest amount is then paid to the customer. Necessary entries are given to the account closing register and computer. Finally make sure that A/C holder is completely free from all dues.

Account Section:

In banking transactions are done every day and these transactions are to be recorded properly and systematically as the banks deal with the depositor’s money. Any deviation in proper recording may hamper public confidence and the Bank has to suffer a lot. Improver recording of transactions will lead to the mismatch in the Debit and Credit side. To avoid these mishaps, the bank provides a separate department whose function is to check the mistakes in passing vouchers or wrong entries or fraud or forgery. This department is called Accounts Department.

Nature & Procedure

•This is the most confidential department of a bank. Recording all kinds of transactions of the branch, confirming their accuracy and preparing statements are the main job of this department.

•All records, transactions and all types of statements are kept carefully at Account Section.

•After ending transactions period all departments send bills & vouchers of transactions to this department.

•The account section of Mirpur branch is fully computerized although it follows some manuals for storing information.

•Double entry book keeping system, slip system under self-balancing method is followed the bank.

•The computer now maintains the ledgers. Computer also provides all the statements required for the branches, head office and Bangladesh Bank. Accounts department compares all figures/amounts, contents of transaction with supplementary statement prepared by computer. If any discrepancy arises regarding any transaction then this department reports to the concerned department.

Function of Accounting Department:

We can divide the functions of accounting department into two categories. One is day to day task and another is periodical task.

v Day to day functions:

Here day to day function refers to the everyday tasks. Accounting department of JBL performs the following day to day functions:

♦ Preparing the daily position of deposit and cash

♦ Recording of inter branch fund transfer.

♦ Checking whatever all the vouchers are correctly passed.

♦ Recording the voucher in the voucher register.

♦ Packing and maintains the total debit and credit vouchers.

Periodical Functions:

Periodical functions of accounts department include the preparation of different weekly, monthly, quarterly and annual statement. The accounts department prepares the following statement:

Monthly statement of deposits, loans and advances, profit and loss etc.
Quarterly statement of deposits, loan and advances, profit and loss a/c etc.
Yearly statement of classified loans and Advances.

Clearing Section:

According to the article 37(2) of Bangladesh Bank Order, 1972, the bank, which are the member of the clearing house are called the Scheduled Banks. The scheduled banks clear the cheques drawn upon one another through the clearing house. This is an arrangement by the central bank where every day the representative of the member banks gather to clear the cheques. Meaning of Clearing: Clearing means the banking machineries set up for setting payment of cheque, drafts, bills etc drawn on other bank called clearing.

Clearing House:

A place provides an arrangement by which various respective of each clearing bank assemble there each business day to exchange local cheque, drafts, bill of exchange etc. which are received by them for collection from their customer. Its objectives are to settle balances/drawing between the banks of a city, town or a region with a minimum of inconvenience and labor.

Clearing Bank

The bank that clears the instrument drawn on other bank through the central clearing house is called clearing bank.

Types of Clearing

There are two types of clearing system:

i)Inward Clearing: When a particular branch receives instruments, which on them and sent by other member bank for collection are treated/termed as inward clearing.

ii)Outward Clearing: Means a particular branch receives instruments drawn on the other bank within the clearing zone and those instruments for collection through the clearing arrangement is considered as outward clearing for that particular branch.

Procedure of clearing

Local Bills Collection Cheque (LBC)

Are those cheques, which are collected and paid by two different branches of a bank, situated in the same city.

Outward Bills Collection Cheque (O.B.C)

Are those cheques that are collected and paid by two different branches opponent bank situated in the outstation.

Method/Procedure of Inward Clearing

•Receipt of Instrument (Cheques, Demand Draft, Payment Order, Bills which pay by cheque etc)

•Entry in to inward clearing register.

•Preparation of voucher(s).Clearing cheques must have three important seal before sending to the clearing house. These are:

•Special Crossing Seal

•Clearing Stamp

•Endorsement

Post these cheques in Nikash of a computer. After these procedures, print out the entry and copy in one or more floppy disks. Then sort this bank wise and branch wise. After completing the above procedures, sent the instruments to local office through special messenger. In case any return entry in return register with the return reason. Do not charge any charges for the return cheque.

Clearing Return Outward

When bank return some instrument received in inward clearing for some reason.

•Preparation of reason memo

•Entry in to cheque returned registered.

•Preparation of schedule

•Proceeds are sent to main branch with IBDA

Types of Deposit	Interest Rate
`Short Term Deposit	6.50%
Savings Deposit (Urban)	7.00%
Savings Deposit(1 year)	8.00%
FDR(1/2 Month)	12.00%
FDR(1/2 Month)	11.50%
FDR(3 Month)	12.25%
FDR(6 Month)	13%
MTDR(1Month)	7.75%
MTDR31Month)	11%
MTDR(6Month)	11.25%
MTDR(12Month)	11.50%

Local Remittance Section:

Local remittance is one of the main components of General Banking. The activities of Local remittance are:

•Telegraphic Transfer

•Demand Draft

•Pay order

Telegraphic Transfer:

It is an order from the issuing branch to the drawee bank/ branch to payment of a certain sum of money to the beneficiary. The payment instruction is sent by telex and fund are paid to the beneficiary through his account maintained with the drawee branch or through a pay order if no account is maintained with the drawee branch.

Procedure of issuing TT:

Following procedures are followed while issuing of TT:

The applicant fills up the relevant parts of the prescribe application from in triplicate,duly signed the same and gives it to the GB.
GB will fill up the commission part for bank’s use and request the applicant to deposit necessary cash or cheque at the cash booth.
GB will prepare necessary advice. Debit advice is sent to the client if clients account is debited for the amount of TT.
TT. Confirmation Advice is sent to the drawee branch.

GB will prepare telex in appropriate form, sign it and send it to the telex operator for transmission of the message,

Demand Draft

: When a draft drawn on a branch situated outside the local area is known as demand draft. For exam: JBL (KTG) is draws a draft for branch to pay TK on its. Sometimes customers use demand draft for the transfer of money from one place to another. For getting a demand draft, customer has to dill up an application form. The form contains date, name and address of the applicant, signature of the applicant, cheque number, draft number, name of the payee and name of the branch on which the DD will be drawn and the amount of the DD.

Process of issuing Local draft:

Followed procedures are followed while issuing local draft:

Get the application from properly filled up and signed by the applicant.
Complete the lower portion of the form for the bank’s use.
Calculate the total amount including the bank’s commission.
If the client wants to debit his account for the payment of the draft amount, the officer should get the account holder’s signature verified properly, from signature card on record of the branch and debit clients account for the total amount including commission.

Pay order:

It is a direct order to pay a specific amount of money to a specified of party. For using a pay order, the client is to submit an application to GB in the prescribed form. This form should be properly filled up and signed. The procedure of the issuing pay order is similar to that of the local draft. For using pay order JBL charges commission on the following rate:

•For TK 1 to 100000, the commission is TK. 25

•For TK. 100000 to 500000, the commission is TK. 40

•For TK. 500000 to above, the commission is TK. 50

Pay Order Issuing Process:

For issuing a PO, following formalities are to be maintained. This are-

•Duly filled up the application form by the customer.

•Deposit money either in cash or by cheque with necessary charges.

•Prepare the instrument and make necessary entries in the Bills Payable Register where payee’s name, date, PO no. etc are noted.

•Deliver the instrument to the customer after scrutinized and approved by authority bytaking signature of the customer on the counterpart.

Payment of Pay order:

The pay order is prescribed to the bank either through clearance or for credit to the client’s account. While payment, relative entry is given in the pay order register with the date of payment.

Cancellation of Pay order:

The following procedure should be followed for the cancellation of the pay order:

The client should submit a written request for canceling the pay order attaching there with the original pay order.
The signature of the purchaser will have to be verified from the original application form.

Manager’s prior permission is to be obtained before refunding the amount of the pay order.

The original entries should be reversed with narration.
Cancellation of the pay order should also be recorded in the register

Amount(TK)	Commission	VAT	Total
Tk. 1 to Below 1 Lac	Tk. 25	@15%-3.75	28.75
Tk. 1 Lac to below 5 Lac	Tk. 50	@15%-7.50	57.50
Tk.5 Lac – Above	Tk60	@155-9.oo	69.00

Chapter Five

Summary of Findings, Conclusion and Recommendations

Findings:

On the basis of previous analysis and practical experience of three months internship program, the following findings are observed during the research period.

The first problem is related to increasing market competition. As a new bank JBL has facing some problems in case of compete with some well-set banks.
As a new bank JBL facing lack of experienced personnel, which create some problems in case of offering better service to the customers and clients.
The overall high cost of capital is a barring to its market expansion and due to this the operational expenses are increased.
High cost of setting the latest technology based services is an obstacle to its rapid expansion.
In case of online banking low speed of network is a problem and it consumes valuable time of the busy customers.
In sanctioning loan it is not always possible to study the proposal due lack of time and experienced manpower.
Due to increased competition JBL has to face increasing promotional and advertising cost and it is an obstacle to rapid expansion to reaching the large people at a time.
Jamuna Bank has lack of training packages.
It has a lack of compensation packages.

Conclusion:

From the very of human civilization, banking activities are critical job and the present days banking business is very competitive and complex. Banking sector, as a service of Bangladesh continues to contribute a great deal in the economy of Bangladesh.

Jamuna bank Limited is the third generation most modern commercial bank which has passed eleventh years in operation and now enjoying the twelfth years of operation. In this age of competition, every bank is passing the operational functions in hard competition. JBL is marching in an aggressive way to reach all levels of clients and customers, which ensure certain, and maintaining position in the market.

This report is done on the subject of the General banking Activities of Jamuna Bank Limited, On Mirpur Branch. From the survey and observation of the study I tried to gain some practical experience on critical general banking system. From the survey of the study I have also gain some practical knowledge on account opening, cash receipt and payment, sanctioning of loan and advances, local and foreign remittances, complex clearing process etc. I think this experience will set me in the advantageous position in future.

Recommendations:

Jamuna bank Limited as a new generation commercial bank is facing a lot of problems as compared with the other banks. These problems are related to operation of daily banking activities, opening new branches, Bangladesh bank’s rules and regulations, customer services, customer behavior, maintenance of liquid asset, lack of experienced personnel etc. Now I would like to recommend the following:

The competing banks performance should be monitored regularly.
New branches should be opened in the economically promising area.
Attractive incentive packages should be provided to the employees.
JBL should introduce new technology in order to attract more customers so that cost of setting new technology can be achieved.
Bank should regularly review and update the present marketing strategy.
Bank’s own training institute should be established.
JBL should recruit experienced personnel from other banks and financial institutions in order to provide better and efficient banking services and ensuring growth. Multipurpose new schemes should be introduced to attract the clients and to enhance the deposit.
In case of sanctioning loan and advances the documents should be properly verified and appraised in order to ensure repayment of the loan amount.

Bibliography

Annual Report of Jamuna bank ltd 2007-2011
Raquib Abdul (2007),Principle and Practice of Islami banking, Rohel Publication,38/2-Ka,banglabazar,Dhaka-1100
Chowdhury, L.R. (2010) Foreign Exchange,Published by L.R. Chowdhury,
139,Azimpur Road,Dhaka-1205.
Different manuals of Jamuna bank ltd
Different circulars of Jamuna bank ltd
Prospects of Jamuna bank ltd 2010
www.Jamunabankbd.com
www.google.com