INTERNSHIP REPORT

ON

GENERAL BANKING ACTIVITIES OF UTTARA BANK LTD.

IN PARTIAL FULFILLMENT OF THE REQUIREMENT FOR THE DEGREE
OF
BACHELOR OF BUSINESS ADMINISTRATION (BBA)
IN
MANAGEMENT INFORMATION SYSTEMS
AT
UNIVERSITY OF DHAKA
DHAKA-1000, BANGLADESH

Prepared By:
Neshat Akter Liza
ID: 07-028
Department of Management Information Systems
University of Dhaka

Prepared For:
Dr. Md. Abdul Hannan Mia
Professor
Department of Management Information Systems
University of Dhaka

Date of Submission: 18th February

Letter of Transmittal

To
Dr. Md. Abdul Hannan Mia
Professor
Management Information Systems
University of Dhaka

Subject: Submission of Internship Report

Sir,
It is my great pleasure to submit the internship report titled GENERAL
BANKING ACTIVITIES OF UTTARA BANK LTD. which has been
prepared as an integrated part of the course requirement of my BBA
program. My internship was held at Uttara Bank Ltd, General Banking
Department, Malibagh Branch.

It will be highly appreciated if you kindly accept the report. Your positive
action about this matter would be very much helpful for my academic
career. If you need any additional clarification or information in interpreting
this analysis, I will be glad to answer your queries.

Sincerely yours,

.
Neshat Akter Liza
ID- 07-028
Management Information Systems
University of Dhaka

2|Page

Declaration

Internship Report

I do hereby declare that the internship report on General banking

activities of Uttara Bank Ltd. has been prepared by me under the
guidance of Dr. Md. Abdul Hanna Mia, Professor, Management
Information Systems, University of Dhaka. For the partial fulfillment of BBA
program from the department of Management Information Systems (MIS),
Faculty of Business Studies, University of Dhaka.

I further affirm that the work is original and the report has not been
submitted by any other students for the completion of BBA or other degree.

.
Neshat Akter Liza
ID- 07-028
Management Information Systems
University of Dhaka

3|Page

Supervisors Declaration

This is certify that the internship report General Banking Activities of

Uttara Bank Ltd. is done by Neshat Akter Liza successfully under my
supervision as a partial fulfillment of the requirement of Bachelor of
Business Administration degree from the Department of Management
Information Systems, Faculty of Business Studies, University of Dhaka. To
the best of my knowledge and as per her declaration the report is an
authentic work on the issue and has not been submitted to anywhere for
awarding any degree. I wish his every success in life.

Dr. Md. Abdul Hanna Mia

Professor
Department of Management Information Systems (MIS)
Faculty of Business Studies
University of Dhaka.

4|Page

Acknowledgement

At first, I would like to express my deep gratitude to Almighty Allah, the

supreme authority of the universe. It is my greatest pleasure to get the
opportunity to complete my internship from Uttara Bank Ltd. I think my
experience at Uttara Bank will provide me with lots of practical knowledge
regarding the banking industry.

Now I would like to thank my academic supervisor Dr. Md. Abdul Hannan
Mia, Professor, Management Information Systems, University of Dhaka for
his untiring guidance, help, effort, and suggestion. Without his direct
guidance this report couldnt be possible. A forbearing personality, Dr. Md.
Abdul Hannan Mia, constantly inspired me to make the report better and
share his knowledge with me. I shall remain ever grateful to him for his
amazing gesture and relentless effort.

I am also thankful to my organizational supervisor Md. Hasnayen Manager,

and his team, without their direct help, suggestion, and assistance it was
impossible for me to complete this report. I was fully supported by his team
to prepare this report especially by Farhana Jesmin and Md. Masum Billah
and I am indebted to them. They very patiently taught me a lot of things
that will help me in my future career and treated me as one of them and I
am indebted to them for their support.

I would also like to thank the authority of Uttara Bank Limited for giving me
the opportunity to work in such wonderful working environment.

5|Page

Executive Summary:

The Organization to be studied for internship report is Uttara Bank Ltd.

Uttara Bank Ltd. has started its journey as a private banking organization in
1965. I was appointed in Uttara Bank Ltd at Malibagh Chowdhury Para
branch as an intern; I got the opportunity to acquire a closer understanding
to the general banking activities.
General banking is one of the most important departments for banking
sector. It is introductory department of the bank to its customer. Malibagh
Chowdhury Para branch of UBL has all required of general banking and all
these section are run by manpower with their high quality banking
knowledge.
The report consists of several chapters. Each chapter contains necessary
information. The report explains the Origin, Background, Problem
Statement, Scope, Limitations, Methodology and Objectives. The
elementary objective of this report is to explore the general banking
activities of UBL.
The report demonstrates companys vision, mission, objectives, strategies
and goals. The companys vision is To stand out as a pioneer banking
institution in Bangladesh and contribute significantly to the national
economy. The mission is to provide high quality financial services, fast &
accurate customer services and innovative banking services to up to its
remotest customers.
Companys main divisions and departments along with its sections and
sub-sections are stated. Industry Analysis has been added also.
The topic of the report is The general banking activities of UBL. The
report exemplify how general banking activities occur these activities
enhance the performance of bank.

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1. Introduction:
Banking is one of the most competitive industries of Bangladesh that has
been a huge amount of growth during the last decade. Banking
organization has become essential for almost every person to deal with
banks somehow in their bread & better life. As a result, bank has become
essential for every person to have some idea on the bank and banking
procedure. If we want to build our career in banking area only theoretical
knowledge would not help us. As internship program is established to
gather practical knowledge regarding various sector of economy, I choose
to get practical knowledge regarding banking sector and I select Uttara
Bank as my organization to work which is the leading bank in the private
banking sector.

1.1. Origin of Report:

Internship Program of Department of Management Information Systems,
University of Dhaka is a graduation requirement for the BBA students. This
report is a partial requirement of the Internship program. Assigned by the
institutional supervisor, this report is prepared for internship about The
general banking activities of Uttara Bank LTD.

1.2. Problem Statement:

This Internship report titled as General banking activities of Uttara
Bank LTD In the current banking business world, general banking is
covering a large area of banking activities.
1.3. Objective of the report:
The internship report is about analyzing the general banking activities. The
report is made to get practical exposure to organizational environment as
7|Page

well as to understand the system and methodology adopted in conducting

day to day banking by the Uttara Bank Limited.

1.4. Specific objectives:

Some other objectives of the report are given below:
To have an exposed on the banking environment of Bangladesh
To point out the tools of other tasks adopted by Uttara Bank Limited.
To evaluate employees customer satisfaction of Uttara Bank Limited.
To gain practical knowledge regarding the bank and its current
functions.
Historical background of the Uttara Bank Limited.
To have some practical experience of job life.

1.5. Scope of the Report:

Uttara Bank Limited is one of the traditional banks of Bangladesh the report
provided me with an opportunity to explore the general banking activities of
Uttara Bank Limited. This report covers actual opinion of the customer or
the potential customers and the guest who came through Uttara Bank of
Malibagh branch. It also covers the organizational overview & structure,
background, basic functions, transaction procedure, customer dealings &
performance of the bank.
Apart from that, it provided me a great deal of exposure to interact with high
profile managers of the company.

1.6. Methodology:
The methodology of the study required data at first. This methodology was
chosen to provide an initial rapid assessment of this complex and dynamic
sector. Basically, this is a theoretical study. But there are some quantitative
information incorporated to pin point the reality. Throughout the study
several subjects are highlighted requiring future study. The methodology of
the report includes direct observation, oral communication with the
employee of all departments of Uttara Bank Limited Malibagh branch.
8|Page

1.6.1 Data Source:

Data for this report was extracted from primary sources as well as
secondary sources.
Primary Data:
Primary Data was collected though questionnaire survey on customers
satisfaction, practical desk work and direct interview was done with
employees of Uttara Bank Limited.
Secondary Data:
Majority of the information was collected from Annual Report of UBL,
informal discussions mainly with supervisor and team members,
document of UBL Malibagh branch, newspaper (financial express) and
UBL official web sites.
1.6.2 Questionnaire design:
The questionnaire was designed in such a way so that the view of
respondents articulated properly regarding each and every issue. There
were five options for each question and respondent were only allowed to
select one answer.

1.7. Limitation of the study:

Every process usually carries limitations with it. This study is not an
exception. The limitations that were faced on the way to this internship
report are stated below:
Time constraint was a big factor and I had to do this report along with
my regular office work.

9|Page

 Data availability is another big issue here because company was not
willing to disclose few the confidential information regarding their
managerial strategies and plans.
I have no previous experience which is hampered my work
They do not use modern equipment to record the database regarding
the customer and client.
The website of the bank is not that much rich to collect data.
As the data was collected through the surveyor, it might hamper the
data validity and reliability.
Even though there are some limitations, I tried my level best to collect
adequate data and information to make the report meaningful.

2. About UBL:

2.1. Overview of UBL:

UTTARA B ANK LIMITED is one of the oldest and largest Commercial
bank in the private sector in Bangladesh. it provides mass banking services
to the customers through its branch network all over the country .this bank
has been playing vital role in socio economic ,industrial and agricultural
development of the country.

The prosperity of country depends on its economic activities. Like any other
sphere of modern socio economic activities, banking is an powerful
medium of bringing about socio economic changes of a developing country.
Without adequate banking facilities agriculture, commerce and industry
cannot be flourished. A suitable developed banking system can provide the
necessary drives for the economic growth of the country. Because banking
system is linked with the whole economy of the country.

UTTARA BANK LIMITED is a private commercial bank, offers a range of

mass banking services and products in Bangladesh. Its deposit products
include savings bank account, fixed deposit accounts, current accounts,
10 | P a g e

pension accounts, and foreign currency accounts. The bank loan and lease
services are composed micro credit, SME financing, industrial loans,
working capital financing , export credit , import credit, bill purchase, letter
of credit, letter of guarantee, lease financing, transport financing consumer
loan schemes and house building loans. It also offers various remittance
services including remittance of fund from abroad to Bangladesh.

2.2. Historical Background of the UBL:

At first Uttara Bank Limited was established in 1964 named as an
EASTERN BANKING CORPORATION. After liberation war it was changed
to Uttara Bank .In 1984 it issued its share through stock exchange and
named as Uttara Bank Limited. Uttara Bank is one of the largest and oldest
private sector commercial banks in Bangladesh with years of experience.
Adaption of modern technology, both modern equipment and banking
practice ensure efficient service to their customers. Within 207 branches at
home and 600 affiliates worldwide create efficient networking and well
capability. Uttara Bank is serving both clients and country. It started its
banking business through opening of import letters of credit in favor of
foreign suppliers on behalf of various import clients. After starting operation
as a commercial bank from November 1 , 1985 onwards, side by side with
the traditional products it also started providing all types of foreign
exchange related services to its different categories of clients. As such the
establishment of a strong international division was felt since the very
inception of the bank. The division has been managing by executives and
officers who are well conversant with foreign exchange related to
operations so that the branches dealing in foreign exchange related
transactions could get all the supports from the head office, besides giving
international trade related support to the branches the division is
responsible for proper maintenance of the nostrums accounts investment of
excess foreign reserves, for ensuring proper compliance of the foreign
exchange regulation by the branches handling foreign exchange business.

2.3. UBL at Glance:

Business name: Uttara Bank Limited (UBL)
It is one of the oldest private commercial Bank in Bangladesh.
11 | P a g e

 It was formally known as Eastern Banking Corporation.

It has been working as private commercial Bank from the year of
1983.
Currently it is operating with 207 branches in home & 600
international correspondents.
All the branches of UBL are fully computerized with changing
environment.
About 3,562 employees are in the winning team of UBL.
The Head Office is located at Banks own 18-storied building at
Motijheel, the commercial center of the capital, Dhaka.
Registered Office is located at90, Motijheel Commercial Area, Dhaka1000, Bangladesh, GPO Box- 217 & 818.

Corporate Office
Regional Office
Worldwide Affiliates
Total Branches
Authorized Dealer Branches
Treasury & Dealing Room
Training Institute
Man Power

2
12
600
227
39
1
1
3562

Figure: UBL Network

2.3. Location of UBL:

UBL has its own building of 18 stored that is using as head office located at
Motijheel Commercial Area of Dhaka city. Bank has also its own building in
the following locations-

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Local office,
Eastern Plaza branch,
Hotel Isakha branch,
Dar-us-salam road branch,
Lease financing unit in Eastern Tower Building,
Training institute of the Bank at Eastern plus (145, shantinagar),
Dhaka,
Nabagram branch in Manikgonj,
Zonal office and KDA branch in Khulna and Shaheb Bazar branch in
Rajshahi.

2.4. Vision, Mission, Goals and Strategies:

2.4.1. Vision statement:

To stand out as a pioneer banking institution in Bangladesh and contribute
significantly to the national economy.

2.4.2. Mission statement:

High quality financial services with the help of the latest
technology.
Fast and accurate customer services.
Balance growth strategy.
High standard business ethics.
Innovative banking at a competitive price.
Steady return on Shareholders equity.
Quality human resources.
Firm commitment to the society and the growth of national
economy.

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2.4.3. Goals:
Uttara bank will be the absolute market leader in the number of loans given
to small and medium sized enterprises throughtout Bangladesh. It will be a
world-class organization in terms of service quality and establishing
relationships that help its customer to develop and grow successfully. It will
be the bank of choice both for its employees and its customers, the model
bank in this part of the world.

2.4.4 Strategy of UBL:

To strive for customers best satisfaction & their confidence
To manage & operate the bank in the most effective manner.
To identify customer needs & monitor their perception towards
meeting those requirement
To review & updates policies, procedures & practices to
enhance the ability to extend better service to customer.
To train & develop all employees & provide them adequate
resources so that the customer needs are reasonably
addressed.
To cultivate a congenial working environment.
To diversify portfolio both the retail & wholesale market

2.5. Organizational structure of Uttara Bank Limited:

Truly organizational form follows function for banks usually are organized to
carry out the roles assigned to them as efficiently as possible. Bank size is
also a significant factor in determining how banks are organized. However,
a Banks role and size are not the only determinants of how it is organized
or how well it performs. Government regulation has played a major role in
shaping the performance and diversity of banking organizations that

14 | P a g e

operate around the globe. The organizational structure of Uttara Bank Ltd.
is as under:

Chairman
Vice Chairman
Directors
Managing Directors
Additional Managing Director
Deputy Managing Director
Executive General Manager
General Manager
Deputy General Manager
Assistant General Manager
Senior Principal Officer
Principal Officer
Senior Officer
Officer G-II
Assistant Officer
Figure: Organizational structure

2.6. Different Division and Department of UBL:

2.6.1 Human Resource Division:

Personnel Department
Disciplinary Department
Test Key Department
Research & Planning Department
Risk Management Department

2.6.2. Central Account Division:

15 | P a g e

 Account Department
Reconciliation Department

2.6.3. Credit Division:

Approval Department
Admin. & Monitoring Department
Lease Finance Department
Recovery Department

2.6.4. Internal Control & Compliance Division:

Audit & Inspection Department
Monitoring Department
Compliance Department

2.6.5. Banking Control & Common Services Division:

Anti-money Laundering Department

Branches Operation Department
Business Promotion Department
Green banking Department

2.6.6. Board & Share Division:

Board Department
Share Department

2.6.7. International Division:

Corresponding Banking Department
Remittance Department
Trade Service department

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2.6.8. Treasury Division:

Front Office
Back Office
Assets & Liability management Department

2.6.9. Establishment Division:

General Service Department

Transport Department
Stationary & Record Department
Engineering Department

2.6.10. Information & communication Technology Division:

MIS Department
Development & Support Department
Card Department

2.6.11. Corporate Banking Division:

Credit Marketing Department
Credit business Development Department

2.7. Capital and Reserve Fund:

2.8. Capital adequacy:

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2.9. Human Resources:

The Bank gives preference for the development of its employees. For that
reason, the bank undertakes different training program & Research &
Development (R&D) time to time. Development of human resources is
going on in the following waysBanks own training institute has been striving to bring about a qualitative
change and improvement in human resources of the bank by imparting
continuous different training throughout the whole year.
Guest speakers specialized in banking participate in each training program
of the Bank in addition to highly educated faculty members of the staff of
the Bank participated.
A member of executives and officials are sent to various training institutions
including Bangladesh Institute of Bank Management (BIBM) and abroad
for higher training.

Board of Director:
Azharul Islam
Mr. Iftekharul Islam
Mr. Syed A.N.M. Wahed
Engr. Tofazzal Hossain
Mr. Asif Rahman
Mr. Faruque Alamgir
Mr. Md Arif Rahman
Col .Engr.M.S Kamal
Mr. Abul Barq Alvi
Dr. Md. Nazmul Karim Chowdhury
Mr. M. Tajul Islam
Mr. Md. Kamal Akhtar
Dr. Md, Rezaul Karim Mazumder
Mr. Shaikh Abdul Aziz

Chairman
Vice Chairman
Director
Director
Director
Director
Director
Director
Director
Director
Director
Independent Director
Independent Director
Managing Director

Figure: Board of Director

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2.10. Product & Services of UBL:

The product and services of uttara bank limited can be broadly classifies
into two groups. i.e. depository product, loan product. These are given
below:

General Banking
Different account
open, issues of DD,
TT, PO
Clearing, FD,
Differnt Scheme etc

Credit and
Advance
SOD general Loan,
House building loan,
Lease finance
Staff loan,CCS etc

Foreign exchange
Export/Import
Remittanc

Figure: services of UBL

4. Malibagh Branch of Uttara Bank:

Malibagh branch is one of the potential branches of Uttara bank. It started
functioning from 1967. It is situated at the 2nd floor of 90/B- Malibagh
Chowdhury Para, Dhaka-1219. As an online banking branch, the branch
has been continuing to extend especial importance on giving online
banking service to customer. With the enthusiastic endeavor of good
number of skilled officer the branch has been recording significant growth
in its business during last couple of years. There exists a congenial

19 | P a g e

atmosphere among the officers in the branch. Historical data, customer

profile and team spirit of the officers give hope to its management that the
branch will see notable success in its future operation.
Malibagh branch of Uttara bank limited conduct all types commercial
business activities, such as rendering personal credits, local and foreigh
remittance , loans and advances, bill receiving and collection, So bank
strategy is gradually cover total area of banking.

4.1. Objectives of the Branch:

To provide banking service to the people within the commanding
area.
To keep position in the competitive market.
To contribute in profitability of UBL.

4.2. Department of Branch:

The Branch has following department:
1.
2.
3.
4.
5.
6.

Account opening department

Cash department
Local & foreign remittance department
Clearing department
Loans and Advances department
Customer service department

4.3. Number of employees of the Branch:

SL
1.
2.
3.
4.

Designation

Number of
employee
Senior Principal Officer 1
& manager
Deputy manager
1
Principal Officer
4
Assitant Officer
3
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5.
6.
7.

Senior officer
Officer (Grade-2)
Staff
Total

2
3
6
20

Figure: number of employees of Malibagh branch

4.4. Product of UBL Malibagh branch:

Deposit
modes

Service

Product

Loan &
Advance

Remittance

Figure: Product of UBL Malibagh Branch

Deposit Modes:

Fixed deposit
Double benefit deposit scheme
Deposit pension scheme
Monthly deposit scheme
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 Short term deposit

Saving bank deposit
Current deposit
Remittance:

Pay order
Demand draft
Telegraphic Transfer
Mail transfer

Service:

Money gram
Instant cash
Express money
SWIFT service

Loan & Advance:

Demand loan
Term loan
Commercial loan
Other loan

5. ACCOUNT OPENING DEPARTMENT:

The relationship started with the customer and the bank by opening the
account. Initially all the accounts are opened with a deposit of money by
the customer .But in this day there are several types of rules and regulation
provided by the government for opening the account. This is only for the
terrorist (JMB) arise of our country that damages the total nation. Now if
anyone wanted to open his/her account then they must sign in the money
22 | P a g e

laundering, they have to tell about their money sources and face various
types of question.

5.1. Function of the Department:

The function of the department is to perform the following main function:

Accepting deposit
Opening of account
Cheque book issue
Transfer of account
Closing of account

5.1.1 Accepting deposit:

Deposits are life blood of a commercial bank. Without deposit there are no
accounts can be opened. In Malibagh branch there are various types of
account are offered for the various customers. They are different group.
They are like

Demand deposit account

Time deposit account

Fixed deposit account

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Figure: Various types of figure

Demand deposit account
The amount in account are payable in demand so it is called demand
deposit account. The following accounts are under demand deposit
account:

Sving Bank
Account

Fixed
Deposite
Receipted
Account

Depository
product

Current
Bank
Account

Short Term
Deposite

Figure: Depository product

Current Account:
These types of account can be opened by both individual and business
concern. A current account holder can draw cheque on his account for any
amount for any number of times in a day as the balance in his account
permits. When the amount is large than the account holder may be remind
it a few days ago. This account provides no interest. The minimum balance
to be maintained is Tk 2000/-.No new account can be opened with a
cheque.
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 Saving Account:
Individual for saving purpose open this type of account. Current interest
rate of this account is 3.50% per annum. A minimum balance of Tk. 1000 is
required to be maintained in a SB account interest on CB account is
calculated and accrued monthly and credited to the account half yearly
Interest calculation is made for each month on the basis of the lowest
balance at credit of an account in that month. A depositor can withdraw
from his SB account not more than twice a week up to an amount not
exceeding 25% of the balance in the account.
Any Bangladesh National residing home or abroad may open saving
account with UBL.
This account may be opened in single or joint name
The account holder may nominate his nominee in this account.
The nominee can get the balance amount without submitting succession
certificate after the death of account holder.

Requirement for opening of the A/C

Account opening form as per format below. The account opening

form and signature card to be filled in and duly signed.
Two copies passport size photos of the account holder.
Photo of nominee (if any) duly attested by the account holder.
Photocopy of the 1st 7 pages of the passport for non-resident
Bangladeshi national.
Signature in the account opening form/card must be same with the
signature of the passport.

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 Special Notice Term Deposit (STD)

The deposit in this account is withdrawal on prior notice varying from 7 to
29 days and 30 days or more. The interest is paid on the balance of the
account. Current interest rate is 5.00% per annum.
Govt., Semi govt., Autonomous organization and an individual may open
STD account with UBL.
UBL offers attractive/competitive rate of interest in STD Account.
7 days notice required to withdraw big amount.

Opening procedure:
For opening such A/C, application prescribed from along with a set of
specimen signature duly verified by Bangladesh mission abroad or by a
reputable bank of any other person known to the bank, should be obtained
by the brandies. In case of persons, already maintain any F.C A/C or
N.F.C.D. A/C with them, reference to that F.C A/C will serve, the purpose of
introduction, the branch may verify the signature from the specimen
signature and already available with them. Only one such F.C A/C can be
maintained and the balance in the A/C should not exceed $ 30,000/- or
equivalent pound sterling at any one time. The A/C holder is also required
to submit photocopies of passport, visa and work permit/contract. As this is
a current account no interest is paid to the A/c holder.

Time deposit Account:

The amount in this A/C is payable only after stipulated time. The following
A/Cs are under time deposit A/C: Fixed Deposits which are repayable after
the expiry of fixed period and negotiable.
Bearer certificate of deposits (BCD), which are repayable after the expiry of
fixed period but are negotiable. These are not renewable. Non-resident
foreign currency deposits are them deposits maturing after 1 month, 3
26 | P a g e

months, 6 months and 1 year. This A/Cs can be opened either in US dollar
or pound sterling. No interest is paid in case of premature encashment.

Fixed deposit Account

These are deposit, which are made with the bank for a fixed period
specified in advance. The band need not maintain each reserve against
these deposits and therefore, bank gives high rate of interest on such
deposits. A FDR is issued to the depositor acknowledging receipt of the
sum of money mentioned therein. It also contains the rate of interest and
the date on which the deposit will due for payment.

Interest on Deposits
Particulars rate of interest:

Deposits
Saving deposits

Interest Rate
3.50%

Special Notice Deposits (STD)

5.00%

Fixed Deposits (3 months)

5.00%

Fixed Deposits
(6 months)

5.00%

Fixed Deposits (1 year)

5.00%

Fixed Deposits (2 years )

5.00%

Monthly deposits and payment amount of Uttara bank LTD:

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Monthly
Installment
size (tk)

Period
(Years)

500
1000
2000
5000
10000
15000
20000
25000
30000

2
2
2
2
2
2
2
2
2

Amount
payable
on
maturity
(tk)
13192
26385
52770
131924
263849
395773
527698
659622
791547

Monthly
Installment
size (tk)

Period
(Years)

500
1000
2000
5000
10000
15000
20000
25000
30000

3
3
3
3
3
3
3
3
3

Amount
payable
on
maturity
(tk)
20731
41461
82923
207307
414614
621920
829227
1036534
1243841

Monthly
Installment
size (tk)

Period
(Years)

500
1000
2000
5000
10000
15000
20000
25000
30000

5
5
5
5
5
5
5
5
5

Amount
payable
on
maturity
(tk)
37995
75990
151980
379949
759898
1139847
1519796
1899745
2279695

5.2. Opening of Account:

It includes two steps. They are
1. Account opening procedure.
2. Classification of customer.
5.2.1. Account Opening Procedure:
Documents needed for each accounts separately:
(Current/Savings accounts)

Current Account
1. Limited Company

Certificate of Incorporation.
Certificate of Commencement of business.
Memorandum of association.
Article of association.
Power of attorney.

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 Resolution of the board of directors authorizing opening of an

account.
Societies/Club/Association.
Other than above mentioned common documents resolution of who will
operates the account must be noted.

2. Proprietorship firm
Name of the authorized persons, designation, specimen, signature
card,
trade license
Photo copy of national ID card/passport/chairman certificate.
An existing current account holders identification

3. Partnership Firm
Account must be opened in the name of the firm.
The form should describe the names and address of the entire
partner.
Trade license from City Corporation is needed.
Partnership deed.
Letter of authority is achieving.

Account Opening procedure:

Account opening form duly filled up.
Specimen signature cards in duplicate.
Certified copy of bylaws, rules and regulations in case of
corporations and autonomous body are to be obtained.
Certified copy of the resolutions-authorizing opening of an account.

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 List of members of the executive committee and list of directors are

to be obtained.
Partnership deed, in case of partnership.
Certificate of incorporation in case of both public and private limited
companies.
Memorandum/Articles of Associations, Resolution of the Board of
Directors authorizing opening of the account for limited companies
and corporation.
5.2.2 CLASSIFICATION OF CUSTOMER:
It includes the following things:

Individual (personal)
Proprietorship (Sole trades)
Partnership firms (Registered or unregistered)
Joint stock companies (Private limited companies/public ltd.)
Public sector corporations
Municipalities/ Municipal/ Corporations/ Local Bodies etc.
Clubs / Societies / Associations / Schools / Colleges / Universities
etc.
Executors / Administrations
Trustees
Illiterate Persons
Constituted Attorney
Wage Earners.

5.3. Issue of Cheque Book:

According to Section 60f Negotiable Instruments Act, 1881, a cheque is A
Bill of Exchange drawn on a specified banker and not expressed to be
payable otherwise than on demand. To facilitate withdrawals and
payments to third parties by the customer, UBL provides a cheque book to
the customer Cheque book contains 10 leaves for savings account while

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for current account is 25 or 50 or even 100 leaves. A Cheque book issuing

register is maintained in this regard. This register contains the Cheque
book number, leaf number, issuing date.

5.3.1. Procedure of issuance of a fresh cheque book:

A customer who opened a new account initially deposits minimum
required money in the account.
The account opening form is sent for issuance of a cheque book
Respected officer first draws a cheque book
Officer then sealed it with branch name
In charge officer enters the number of the cheque book in register
book
Officer also enters the customer name and the account number in
the same register
Account number is written down on the face of the cheque book.
The name of the customer is also written down on the face of
cheque book.
Number of cheque book and date of issuance is also written on
the application form
Next the customer is asked to sign in the cheque book issue
register.
Then the respected officer signs on the face of the requisition slip
put his initial in the register and handover the cheque to the
customer

5.3.2. Issue of new cheque book:

All the procedure for issuing a new cheque book for old account is same
as the procedure of new account. Only differences are those:
Account holders have to submit the requisition slip of the oild
cheque book with date, signature and his/her address.

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 Computer posting is then given to the requisition slip to know the

position of account and to know how many leaves still not used.
The number of the new cheque book is entered on the back of yhe
old requisition slip and is signed by officer.

5.3.3. When the cheque book is lost:

If the cheque book is lost, the customer has to furnish a guarantee
indemnifying by an application to the bank. After fulfilling this, a new
cheque book is issued. Seldom customers are allowed to use loose cheque
if the customer want to draw money without presenting previously issued
cheque. A separate register is maintained in this regard. But this is highly
discouraged in UBL. In a few days ago when the account holder will busy
than he send a representative, the banker issued cheque and provide a
acknowledgement with the cheque book. When the acknowledgement is
return by the account holder by the signature then he can draw the cheque.

5.4. Transfer of Account:

The customer submits an application mentioning the name of the
branch to which he wants the account to be transferred.
His signature card , advice of new account and all relevant document
are sent to that branch trough registered post.
The balance standing at credit in customers account is sent to the
other branch trough Inter Branch Credit advice(IBCA).
Not exchange should be charged on such transfer
Attention is also given in this connection

5.5. Closing of Account:

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The following circumstances are usually considered in case of closing an

account or justifying the stoppage of the operation of an account:
Notice given by the customer himself or the customer is desirous to
close the account
Death of the customer
Customers insanity and insolvency.
If the branch finds that the account is inoperative for a long time.
If Garnishee Order is issued by the court of law on the bank branch

A customer can close out his A/C at any time by submitting an application
to the branch. Upon the request of a customer an account, the following
procedure is followed by a banker:
1. The customer should be asked to draw the final cheque for the
amount standing to the credit of his a/c less the amount of closing
and other incidental charges and surrender the unused cheque
leaves.
2. The a/c should be debited for the account closing charges etc. and
an authorized officer of the bank should destroy unused cheque
leaves.
3. In case of joint account the applicant for closing the a/c is to be
signed by all the joint holders even if the a/c is prepared by either of
them
4. The last cheque for withdrawal of the available balance in the a/c is
to be signed by all the joint holders.
6. Local Remittance Department
UBL has its branches spread throughout the country and therefore, it
serves as best mediums for remittance of funds from one place to
another. This service is available to both customers and non-customers of
the bank. The department, which provides the facility, is known as local
remittance department

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6.1. Functions of the Local Remittance Department:

The following are the main functions performed by the credit department:

Issuing & payment of Demand Draft.

All related correspondence with other Branches &Banks.
Compliance of audit & Inspection.
Balance of D.D. payable & D.D. paid with advice.
Attached to Sanchaya Patra and wage Earners Development Bonds.
Payment of Incoming TT.
Issuing, encashment of pay order and maintenance of record and
proof sheet.
Issuing and encashment of all kinds of Sanchaya Patras and Wage
Earners Development Branches.
All related statements & correspondences with Bangladesh Bank &
other Branches.
Issuance of Local Drafts.
Issuing and encashment of BCD.
Issuing of outgoing TT.
Issuance of Local Drafts.
Issuance of T.T. ICA. IBCA & IBDA.

6.2Transaction Types:
Collection of cheque

Up to Tk. 25000 @ .15% minimum Tk.10.

Above Tk.25, 000 -1, 00,000 @ .10% minimum Tk.50.
Above 1, 00,000 -5, 00,000 @ .10% minimum Tk.150.
Above 5, 00,000 @ .05%, minimum Tk.600 maximum 1,200.

Name of Transaction Code

Bank Draft 1
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Mail Transfer (M.T) 3

T.T 4
B.Cs 6
S.Cs 7
Cash Remittances 8
Sundries 9
Head Office Transaction 10
Foreign Exchange Transaction 12
Reversing & Cancellation 27

Bank Charge for DD Issuing

@ .15% minimum Tk.25.

Cancellation of DD
Up to 1,000------------------------Tk.25.
Above 1,000-----------------------Tk.40.
Payment Order

Up to Tk. 1,000----------------------Tk.10.
1,000-1, 00,000----------------------Tk.25.
1, 00,000-5,00,000------------------Tk.50.
Above Tk.5, 00,000-----------------Tk.100.

Cancellation of Pay Order

Up toTk.500-----------Tk.10.
Above Tk.500---------Tk.25.

6.3. Remittance of Fund:

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Any one of the following methods may make remittance of funds one place
to another.

Telegraphic
Transfer (T.T)

Demand Draft
(D.D)

Pay Order (P.O)

Mail Transfer
(M.T)

Figure: Ways of remittance of fund

6.3.1. Telegraphic Transfer:

It is an order from the issuing branch to the Drawee Bank/Branch for
payment of a certain sum of money to the beneficiary. Telex/Telegram
sends the payment instruction and funds are paid to the beneficiary through
his account maintained with the Drawee branch or through a pay order if no
a/c is maintained with the Drawee branch.

T.T Issue Process:

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 The applicant fill up the relevant part of the prescribed application

from in triplicate duly signs the same and gives it to the Remittance
Department.
Remittance Department will fill up the commission part meant for
Banks use and request the Applicant to deposit necessary cash or
check at the Tellers counter.
The Teller after processing the Application form, Cash or check will
validate the Application form. The first copy is treated as Debit Ticket
while the second copy is treated as Credit Ticket and sent to
Remittance Department for further processing. The third copy is
handed over to the Applicant as customers copy.
Remittance Department will prepare the Telex/Telegram in
appropriate form, sign it and send it to the telex Operator / Dispatch
Department for transmission of the message.
Remittance Department will prepare the necessary advice.
Debit Advice is sent to the client if clients a/c is debited for the
amount of T.T.
Debit Ticket is used to debit the clients a/c if necessary.
T.T Confirmation Advice is sent to the Drawee Branch.
Credit Ticket (2nd copy of the Application Form) is used to credit the
UBL General Accounts.

Accounting Entry:

Dr. Cash/clients A/C

Cr.UBL General A/C
Cr. Communication
Cr. Commission

Payment of T.Ts:

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 On receipt of T.T payment the Drawee branch passes Instructions the

following entries if the T.T is found to be correct on verification of Test
Number.
i. Dr. UBL General a/c
Cr. Remittance Awaiting Disposal- T.T payable a/c
ii.

Dr. Remittances Awaiting Disposal-T.T payable a/c

Cr. Clients account /P.O. A/C.

In case the beneficiary does not maintain any a/c with the Drawee branch a
P.O is issued in favor of the payee and sent to his banker/local address as
the case may be.
Every branch maintains a prescribed T.T. Payable Register. All the
Particulars of T.Ts are to be properly recorded in this Register duly
authenticated.
A
separate
type
of
T.T
confirmatory
advice/confirmation copy of Telegram from the Issuing branch, the
particulars of the T.T are verified with reference to particulars already
recorded in the T.T payable Register.
The Confirmatory advices are kept attached with the relative Ticket
No further responding entry is required to be passed on receipt of such
confirmation copy. On payment of T.T the particulars are to be incorporated
in the Extracts of Responding Debit entries as usual and sent to HORC.

6.3.2. Demand Draft (D.D):

Local Draft is an instrument containing an order of the Issuingbranch upon
another branch known as drawee branch, for payment of a certain sum of
money to the payee or to his order on demand by the beneficiary
presenting the draft itself.
Figure: Flowchart for a DD
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6.3.3. Pay Order (P.O):

This is an instrument issued by the branch of a bank for enabling the
customer to pay certain amount of money to the order of certain
person/firm/organization/office within the same clearing house area of the
pay order issuing branch.

Pay Order issue Process:

For issuing a Pay Order the client is to submit an application to the

Remittance Department in the prescribed form (in triplicate) properly filled
up and duly signed by Applicant . The processing of the pay order
Application form, deposit of cash/cheque at the tellers counter and finally
issuing an order etc, are similar to those of processing of D.D Application.
As in case of D.D each branch should use a running control serial number
of their own for issuance of a pay order. This control serial number should
be introduced at the beginning of each year, which will continue till the end
of the year.
A fresh number should be introduced at the beginning of the next calendar
year and so on.

Pay Order Charges:

For issuing each Pay Order commission at the rate prescribed by Head
Office is realized from the client and credited to Income A/C as usual.

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Entries:

Dr.

Tellers Cash

/Clients A/C -------------Debit

Cr. Pay Order A/C ------------------------------Credit

Cr. Commission A/C --------------------------------Credit

6.3.4. Mail transfer (MT):

In the prescribed format the purchaser/drawer branch instruct the drawer
branch to pay a specified sum of money to the payee named in the IBCA
preferably by crediting his account.

7. Cash Section:

The cash section with all types of negotiable instrument, cash and other
instrument and treated as a sensitive section of the bank. It includes the
vault, which is used as the store of case instrument. If the cash stock of
goes beyond this limit the excess cash is then transferred to Bangladesh
Bank. Keys to the room are kept under control of cash officer and branch in
charge. The amount of opening cash balance is entered into a register.
After whole days transaction the surplus money remains in the cash
counter is put back in the vault and known as the closing balance. Money is
received and paid in this section.

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7.1. Cash Receipt:

At first the depositor fills up the deposit in slip. There are two types of
deposits in slip in this branch. One for saving account and another for
current account.
After filling the required deposit in slip depositor deposits the money.
Officer at the such counter receives the money, count it enter the amount of
money in the scroll register kept at the counter, seal the deposit in slip and
sign on it with date.
Then this slip is passed to another officer who enters the scroll number
given by the cash counter in his register along with the amount of the
money, sign the slip and keep the banks part of the slip. Other part is given
to the depositor.
All deposits of saving account are maintained be one officer and other
accounts by another officer
At the end of the day entries of both of these registers are cross checked
with the register kept at the counter to know whether the transaction are
correct or not.

7.2. Cash Payment:

Cash Payment of different instruments is made in the cash section.
Procedure of cash payment against cheque is discussed under elaborately.
Cash payment of cheque includes few steps:
First of the entire client comes to the counter with the check and give
it to the officer in charge there. The officer checks whether there are

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two signatures on the back of the cheque and checks his balance in
the computer. After that the officer will give it to the cash in charge.
Then the cash in charge verifies the signature from the signature card
and permits the officer in computer to debit the clients account by
giving posting. A posted seal with teller number is given.
Then the cheque is givento the teller person and he after checking
everything asks the drawer to give another signature on the back of
the cheque.
If the signature matches with the one given previously then the teller
will make payment keeping the paying cheque with him while writing
the denomination on the back of the cheque.
Cash paid seal is given on the cheque and make entry in the
payment register.

There are few things that shall be scrutinized and checked before making
payments.
i)
ii)
iii)
iv)
v)

Name of the drawer

Account number
Specimen signature
The validity of the cheque and make it sure that it is not post
dated or undated.
The amount in words and figures are same.

7.3. Cash Balance Calculation:

The calculation is done by the officer in charge of cash section and then
manager or authorized officer will check the balance and sign in the cash
balance book. The balance is maintained in the balance book. Opening
balance of current day is the closing balance of the previous day. Total
receive of the current day is added with the opening balance and total
payment is deducted for calculating the closing balance or cash balance.

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7.4. Sorting & Stitching:

Sorting:
At the end of the day, the amount of cash has to be sorted out in order to
identify the different type notes like- 1000, 500, 100, 50, 20, 10, 5, 2, 1 & so
on. Hundred pieces of any type of note create a bundle and ten bundles
make a ring. In this way cash is actually sorted out.

Stitching:
After sorting out the cash, bundles are stitched along with a slip bearing the
name of the bank, total number of notes and the signature of the cash-InCharge. Two round seals are given at the both sides of the bundles.

8. Clearing Department:
According to the Article 37(2) of Bangladesh Bank order, 1972, the banks,
which are the member of the clearing house, are called as scheduled
banks. The scheduled banks clear the chouse 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 gathers to clear
the chouse. Banks for credit of the proceeds to the customers accounts
accept chouse and other similar instruments. The bank receives many such
instruments during the day from account holders. Many of these
instruments are drawn payable at other banks. If they were to be presented
at the Drawee Banks to collect the proceeds, it would be necessary ti
employ many messenger for the purpose. Similarly, there would be many
chouse drawn on this messengers of other banks would present bank and
them at the counter. The whole process of collection and payment would
involve considerable labor; delay, risk and expenditure are substantially

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reduced, by the representatives of all the banks meeting at a specified

time, for exchanging the instruments and arriving at the net position
regarding receipt or payment. The place where the banks meet and settle
their dues is called the Clearing house.

8.1. Functions of the Department:

The following are the main function s performed by the department:

Pass outward instruments to the clearing house.

Pass inward instruments to respective department.
Return instruments incase of dishonor
Prepare IBCA or IBDA for the respective branch and HO.

8.1.1. Inward Clearing:

When a particular branch receives instrument which drawn on themselves
and sent by other member bank for collection are trated as inward clearing.

Inward Bills for Collection (IBC):

In this case bank will work as an agent of the collection bank branch
receives a forwarding letter and the bill. Next steps are:

Entry in the IBC register, IBC number given.

Endorsement given-our branch endorsement given
The instrument is sent to clearing for collection.
Miscellaneous creditor a/c.

8.1.2. Outward Clearing:

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When a particular branch receives instrument drawn on the other bank with
in clearing zone and those instruments for collection through the clearing
arangement is consider as outward clearing for that particular branch.

Outward Bills for collection (OBC):

Customer deposit, cheque etc for collection attaching with their deposit
receipt. Instrument within range of clearing are collected through local
clearing house but the other which are the outside the clearing range are
collected through OBC mechanism. A customer of UBL principal branch
local office Dhaka is depositing a cheque of Sonali Bank Coxs bazaar.
Now as a collection bank UBL principal branch will perform the following
tasks:
Received seal on deposit slip
SBL local office principal branch crossing indicating them as
collecting bank
Endorsement give payees a/c will be credited on realization.
Entry on register from where a controlling number is given
Collection bank can collect it either by its branches of by the drawers bank
they will forward the bill then to that articulate branch. OBC number will be
given on the forwarding letter.

8.2. Accounting entries of Clearing Department:

The following entries are given if the cheques are honored,

Customer A/C -------------Debit

UBL General A/C ----------Credit
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UBL Principal Branch clears its cheques through the Head Office as well as
the cheques of other branches, because it is only permitted. The other
branches send the instruments through I.B.D.A UBL Principal Branch acts
as an agent in this case. For this concern branch gives the following
entries,

UBL General A/C ---------Debit

Customers A/C ------------Credit

If the instrument is dishonored, the instrument is returned to the concerned

branch through I.B.D.A. along with the following entries, Incase of return
(For inward instrument)
UBL General A/C--------------Debit
Customers A/C -----------------Credit

In case of return (For outward instrument)

Customers A/C------------------Debit
UBL General A/C---------------Credit

8.3. Bills & Cheque Collection:

Checks, drafts etc. are drown on bank located outside Clearing house are
sent for collection. Principal Branch collets its clients above-mentioned
instruments from other branches of UBL and branches other than UBL. In
case of outward bills for collection customers account is credited after
46 | P a g e

finishing the collection processor. And in ward bills customers is debited for
this purpose. So it placed dual role as follows:
i)
ii)

Collecting Banker
Paying Banker.

There is one officer working over desk in this department.

8.4. Functions of the Department:

The following are the main functions performed by the department:

Preparing of Outward & Inward Collection Item.

Inter-Branch Transfer.
Batch posting & checking as an when require.
Other works as an when require.

8.5. Applicability of Collection:

Collection is done when:

Paying Bank is located outside Dhaka City:

Collection department of Principal Branch, UBL sends outward
bills for collection (OBC) to the concerned paying bankto get inter
Bank Credit Advice (IBCA) for paying Bank. If the paying Bank
dishonors the instrument, the same is returned to principal Branch
Paying Bank is other branches of UBL situated inside Dhaka City.

Collection Department sends transfer delivery item to other

branches of same bank situated inside Dhaka City. Upon receiving
IBCA customers A/C is credited.

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8.6. Daily Task:

The routine tasks of the Account Department are as follows:

Recording the transaction in the cashbook

Recording the transaction in general and subsidiary ledger.
Preparing the daily statement of affairs showing all the assets and
liability of the branch as per general ledger and subsidiary ledger
separately.
Preparing the daily position of the branch comprising of deposit
and cash.
Making payment of all the expences of the branch
Checking all the vouchers are correctyly passed to ensure the
conformity with the Activity Report, if otherwise making it correctly
by calling the respective official to rectify the voucher
Recording the voucher in the Voucher Register.
Packing of the correct voucher and the credit voucher.

Major problems in General banking Activities:

Problem in general banking arises while issuing and responding
different types of D.D, M.T, P.O, T.T,SC, LSC,IBP and D.D.P. due to
different between actual amount and written amount in those botcher.
This problem most repeated occurs in general banking for
misunderstanding of written amount or not consciously read the
amount in words in advice.
Another problem is while issuing and responding of M.T, T.T and
same message are sending from different branch. These happen due
not use the seal of message confirmation by telephone. Then it needs
to send several message and much hazards occurs in reconciliation

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 Another problem occur due to not getting of advice of M.T, T.T,D.D

from different branch and making schedule for reconciliation is not
possible for head office.
Another problem occur in clean cash when so many boucher may
attach with other categories.
Most serious problem is that many branch of Uttara bank have not
telephone.

Findings:
In Uttara Bank Ltd. the coordination among lower, mid, and top level
management is very good.
In Uttara Bank Ltd. the prompt decision making by the management
among their own supervision.
In Uttara Bank Ltd. the lagging behind technologically.
Improper record keeping system found by the employers or
employees by Uttara Bank Ltd.
Lack of job rotation. Only a selected number of officers are involved
or engaged in general banking department in Malibagh branch of
UBL. So that in case of emergency other officer cannot handle the
department.
In Uttara bank ltd. There is huge network with correspondent banks
abroad; it means it worked all over Bangladesh as well as the other
country.
In Uttara Bank Ltd. The experienced and skilled officers in general
banking department as well as some other department.
There is no record of opening a student file in the branch which is one
of the potential businesses for a bank/branch.
In banking sector this banks well reputation in International arena.
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 In Uttara Bank Ltd, the increasing demands from the corporate

customers for discount in service charges.

CONCLUSION:

Uttara Bank Ltd. Is the largest non-govt. organization through out or the
region. It is working mass people about aquaculture, social welfare and
income generation of this region.
Leadership style process accomplished half of its organizational activities.
Employees are the lifeblood of organization & leadership style are the way
to motivate & maintain that.
Work mood is associated leadership style in many senses. An appropriate
leadership style can bring the job satisfaction among employees.
Uttara Bank Ltd. Malibagh Branch, Dhaka. It is such non-govt. organization
is highly concerned with those factors of leadership style. They apply an
effective style to implement the organizational objectives. From apply an
effective style to see that effective leadership style bring a great and fruitful
success of the organizations.

RECOMMENDATIONS:
Uttara Bank Ltd. Is the 2nd generation bank and providing its service since
many years . Since its establishment it has provided so many banking
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services to the people of this country, but need to walk with the concept of
modern banking system. Today the 3rd generation banks are providing the
modern banking services such as- internet banking, SMS banking, debit &
credit card facilities, ATMs services, electronic banking, corporate banking,
retail banking, &SME banking etc. whereas Uttara bank are still providing
their traditional banking service. I think it should go more effectively to the
general people of the country with the concept of modern banking system.
Now a day it is very difficult for any bank or financial institute to run its
operation smoothly because of hard competition. So to survive in the
market it should come out from its traditional concept and provide modern
banking service.

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