INTERNSHIP

REPORT
ON

GENERAL
ACTIVITIES

BANKING

OF

RUPALI BANK LTD

(GANDARIA BR.)

GENERAL BANKING ACTIVITIES OF

RUPALI BANK Limited (GANDARIA BR.)

Prepared By:
Name
Id:

Prepared For:
Prof.
Chairman
Department of Business Administration
University

Submission Date:

24/02/2015

Acknowledgement
At first, I would like to express my deepest gratitude to Almighty Allah
for giving me the strength to finish the task within the schedule time.
I would like to give my deep gratitude, compliments and thanks from the
core of my heart to internship supervisor Prof. ----------------- whose
constant supervision and guidance enabled me to prepare this report. I am
indebted to him for his excellent support and guidance through out the
study.
I would like to thank Mr. M. Farid Uddin Ahmed, Managing Director of
Rupali Bank Ltd. for giving me the opportunity to work as an intern in
Rupali Bank Ltd. (Corp. Br.). Then Mr. Kazi Md. Neyamat Ullah, General
Manager of Rupali Bank Ltd.
I am also thankful to Mrs. Hosne Ara Begum (General Manager of Head
Office), MR. Md. Shawkat Ali Khan (Manager of Corp. Br.), and Mr.
Moniruzzaman. Chowdhury (SO of Corp. Br). They are never let me think
that I am internee in this branch. They are always treated me as employee
of the bank what make to do my work with more responsibly.
I am ever grateful to some of my friends who have helped me to complete
this report. They were Mizanur Rahman, Md .Monirul Haque (Masud). and
Abul Kashem. Also my younger brother M. A. Nasher Rono helped me to
accomplish my mission.

Finally, a silent stream of gratitude is for our most adorned parents whose
blessings are always with us in this windy world.

LETTER OF TRANSMITTAL
February 24, 2015.
Prof., Internship Supervisor,
Faculty of Business Administration, Victoria University of Bangladesh.
Dhaka-1204.
Subject: Submission of Internship Report on GENERAL BANKING
ACTIVITIES OF RUPALI BANK LTD. (Gandaria Corp. Br.)
Dear Sir,
With due respect, I would like to inform you that I have completed my
internship report on GENERAL BANKING ACTIVITIES OF RUPALI
BANK LTD. (Manikgonj Corp. Br.).
I made every endeavor to prepare this report & tried my level best to
gather relevant & insightful information about general banking of Rupali
Bank.Ltd. It is a great experience for me to work with this report. I have
tried to make the report vivid & comprehensive within the scheduled time
& limited sources.
I shall be obliged to clarify any matter or to provide any further
information regarding this report.
Thanking you
Sincerely yours
Name
ID: 000000
Program: BBA
4

University

EXECUTIVE SUMMERY
Banks are the pillars of the financial system. Specially, in Bangladesh,
proper

banking

commercial

system

bank,

is

very

Rupali

Bank

important.
public

As

first

-generation

limited(Corporate

Branch)

established a landmark in the banking community in Bangladesh .The bank

expand its activities by offering diversified product & quality service to
their customer. Their product & quality service brought them a continuous
growth in their success during the last Forty years.
I have done my internship in an important branch of Rupali Bank Ltd.,
Corporate Branch (Gandaria Corp. Br). My internship report is based on
the General Banking Activities of Rupali Bank Ltd. . For this reason, I
have worked in the several departments of that branch.
In the introduction part, I have described the origin of the report,
objectives of the study, methodology of the study and constraints of the
study. The main objective of Rupali Bank Ltd. is to maximize profit by
utilizing its resources at the optimum level & minimiging cost..
In organization part, I am tried to explain about the historical background
of Rupali Bank Ltd.. The bank doing their operation through its Head
office & Local office at Dhaka and 492 branches all over the Bangladesh.
The bank doing their works all over the world more than 492 branches and
also their one overseas branch. Rupali Bank Ltd. introduced different kind
of service such as Q-CAS service, Locker service, and different kind of
deposit schemes such as Monthly, Yearly savings scheme, Pension savings
scheme, Educational savings scheme, Marriage savings scheme , and many

other human welfare services ,..They are also providing different kind of
loan scheme such as: Agriculture Scheme, Commercial Lending, House
Building, Small/ Cottage Industry, Large /Medium Scale Industry.
In learning part, I explain an overview of general banking activities of
Rupali Bank Ltd. (Corp. Branch), which includes Account opening and
closing procedure, Operational procedure of

general banking such as:

Current account, Savings account, Short term deposit, Fixed deposits, .

What kinds of documents are required to open different kind of account.
Rupali Bank Ltd. provides three types of remittance such as: Pay Order,
Demand Draft, and Telegraphic Transfer. In the Clearing Department:
There are outward clearing and inward clearing .In the Bills for collection
department there are inward bills and outward bills and its procedure and
in Dispatch part: Outward and inward dispatch. I am explaining about the
Problems and Recommendations about the Rupali Bank Ltd. (Corp.
Branch).
At the end of the report, it is found that the branch provides all the
conventional banking services as well as some specialized financing
activities to the economy. Thus by providing this various services, Rupali
Bank Ltd. (Corporate Branch), is playing an important role in the banking
system of Bangladesh.

CONTENTS
Part

Page

Acknowledgement

LETTER OF TRANSMITTAL

Executive Summary

5&6

INTRODUCTION PART

10

1.0 Introduction

11

1.1 Origin of the report

11

1.2 Rationale of the study

11

1.3 Objectives of the report

11

1.5 Methodology of the study

12

1.6 Constraints of the study

12

ORGANIZATION PART

13

2.0 Origin of Rupali Bank

14

2.1 Location of the bank

14

2.2 Foreign corresponding Banks.

15

2.3 Diary of events & brief profile of Rupali Bank

16

2.4 Hierarchy of the Rupali Bank

17

2.5 Vision

18

2.6 Mission

19

2.7 Core values

20

2.8 Strategic Objectives of Rupali Bank Ltd.

21
7

2.9 Ethical Principles of Rupali Bank Ltd.

22 & 23

2.10 Core strengths

24

2.11 Services & Products

24

2.11.1 Services
24
2.11.2 Products

25

2.12. Loan schemes

25 &26

LARNING PART

27

3.0 Operational producers of General Banking

29

3.1 Account opening department

29

3.1.1 Who can open A/c

29

3.1.2 Account transfer

30

3.2 Deposit Section

30

3.2.1 Types of deposit account

30

3.2.1.1 Current account

31

3.2.1.2 Savings account

32

3.2.1.3 Short term deposit account

33

3.2.1.4 Fixed deposit account

34

3.3 Kinds of depositors accounts

34-35

3.4 Formalities for opening different types of A/C

36

3.4.1 Documents for savings accounts

36

3.4.2 Documents for current accounts

36-38

3.4.3 Documents for short term deposit A/C

39

3.4.4 Documents for fixed deposit

39

3.5 Issue cheque book& payment of cheque

39

3.5.1 Issue cheque of book

39

3.5.2 How cheque book is processed

40

3.6 Closing of account

41

Local Remittance Department

42

4.0 Pay Order

43

4.1. Issuance of pay order

43

4.2. Payment of pay order

44

4.3. Issuance of duplicate pay order

44

4.4. Cancellation of pay order

45

5.0 Telegraphic Transfer

45

5.1 Steps of issuance of T.T

46

5.2 Cancellation of T.T

46

6.0 Demand Draft

46

6.1 Issuance of DD

47

6.2 Payment of DD

48

6.3 Cancellation of DD

48

Clearing Department

49

7.0 Clearing Department

50

7.1 Types of clearing

50

8.0 Bills Collection

52

8.1 Types of bills for collection

52

8.1.1 Outward bills collection

52

8.1.2 Inwards bills for collection

53

Dispatch Department

54

9.0 Dispatch

55

9.1 Inward Dispatch

55

9.2 Outward Dispatch

56

9.3 What kind of things will be dispatched

56

Findings and Recommendation

57

10.1 Problems identification

58

10.2 Recommendations

59

11.0 Conclusion

60

12.0 References

61

Introduction
Part
10

AN INTRODUCTION
The internship program of BBA is a partial requirement to take a taste of
real life challenge conducted by the intern. It is an important part of the
BBA program. This program is for 3 months duration. The period for this
program was from January 01, 2015 to March 31, 2015. During this period
I have worked closely with the employees of Rupali Bank in Corporate
Branch. This report presents the outcomes of the study during the
internship Rupali Bank Ltd.

I was assigned a topic- General Banking

Activities of Rupali Bank Ltd.

1.1 ORIGIN OF THE REPORT
To full fill the BBA degree requirement under the-------University Of
Bangladesh, this report is done. This is an individual assignment, which is
to be prepared on the basis of the practical working experiences and
working at least three month under an organization as a internship.
1.2 RATIONALE OF THE STUDY
Theoretical knowledge is not enough for a student. It is a far difference
between theoretical knowledge and practical field. Main purpose that may

11

be

to know

about the

rules, regulations,

and environment

of an

organization before getting a job.

1.3 OBJECTIVES OF THE REPORT
Every repot has its objectives. The main focus of the report is to know
about the Rupali Bank Ltd. and get an overall idea about this bank. The
objective of the report is General Banking Activities of Rupali Bank
Ltd..

1.4 METHODOLOGY OF THE STUDY

During the time of internship period, I spent my time in the different
department of the bank as a rule of internship. I worked with the different
department officers desk and acquired knowledge. To prepare this report I
have collected data or information from different sources of the bank. The
sources of data / information can be divided into two parts:
1.4.1 Primary sources
Primary sources of data means are those data what we get from the
practical work & through interview of the customer of the Bank:

Discussion with the banking officer in-charge of Rupali Bank Ltd.

Direct conversation with the customer.

Discussion with the expert person.

1.4.2 Secondary sources

The secondary sources of data are given below:
Annual Report of the Rupali Bank Ltd.
Different web site that are related to this bank

12

1.5 Constraints of the study

In the study field I face some problems or constraints of the study. They
are as follows:

All kinds of documents or paper related with my study are not

sufficient.

The Bankers do not provide all the information which are very
confidential.

Most of the time up to date information is provided by the banker.

ORGANIZATION
PART
13

2.0 ORIGIN OF RUPALI BANK LTD.

Rupali means people. This is a progressive bank. It has been operating since
it's inception in 1972 both in Bangladesh and overseas. Rupali Bank ltd. has
been playing a significant role in the economic development of the country
by mobilizing savings and challenging funds into different productive
sectors. It is also a major player in the fields of micro-credit and software
development.
Rupali Bank ltd. is a nationalized commercial bank established under the
Bangladesh Banks (Nationalization) order 1972. The bank was created by
taking over the branches of Three abandoned Pakistani banks the Muslim
Commercial Bank Ltd. Australasia Bank Ltd. and Standard Bank Ltd.; the
bank started its operations with an initial authorized capital of TK. 50
million and paid up capital of TK 50 million and later amount of paid up
capital was raised to TK.10.5 million. The authorized capital was raised to
TK 30 million in 1973. Since then the authorized and paid up capital
14

remained unchanged till December 1983. Later, both were increased from
time to time and their amount stood at TK. 8 billion and TK. 2.594 billion
respectively on 30 September 2010. The reserve funds of the bank on that
date were TK. 367 million.

2.1 LOCATION
NAME OF THE BRANCHES AT DHAKA ZONE:

1. Dhaka Divisional Office

34, Motijheel Commercial Area, Dhaka-1000
Phone : 9552214, 9551840, 9552746
Fax : 880-2-956414

2.2 FOREGIN CORRESPONDANCE:

Rupali bank has already established a worldwide network and
relationship with international banking through its four (4) overseas
Barnacles in U.A.E, subsidiaries .

OVERSEAS BRANCHES:
Name of overseas branches is given below :

ABU DHABI :

SHARJAH :

Rupali bank

Rupali Bank

Abu dhabi bank

Sharjah Branch

Obied Sayah Al-Mansuri Building

Al Qassim Building

Abu dhabi, UAE

Sharjah, UAE

DUBAI :

Al-AIN :

Rupali bank

Rupali Bank

Dubai Branch

Al-Ain Branch

Baniyas complex

Al-Nahyan Building

Deira Dubai, UAE .

Al-Ain, UAE
15

2.3 DIARY OF EVENTS &BRIEF PROFILE OF RUPALI BANK:

GENERAL INFORMATION
Certificate of incorporation
Certificate of comment of business
Bangladesh bank licence
First branch opened
Number of branch
Number of employees
Global Corresponding
Listing of share

March, 12,1972
March, 12,1972
March, 23,1972
May, 25,1972
492(present)
More than 5000
More than 183
DSE &CSE

FINANCIAL STABILITY INFORMATION

Authorized capital
Paid- up capital
Paid- up capital& reserve
Deposit
Loan and advance
Investment
Operating profit

In
In
In
In
In
In
In

Dec.
Dec.
Dec.
Dec.
Dec.
Dec.
Dec.

30,
30,
30,
30,
30,
30,
30,

2010
2010
2010
2010
2010
2010
2010

700.00 Crore
125.00 Crore
570.78 Crore
9112.63 Crore
6605.49 Crore
1476.25 Crore
250.00 Crore

CHAIRMAN OF THE BANK

Mr. Dr. Ahmed Al-Kabir

Chairman, Rupali Bank Ltd.

MANAGING DIRECTOR (MD) OF THE BANK

Mr. Md. Farid Uddin Ahmed

Managing Director, Rupali Bank Ltd.

DEPUTY MANAGING DIRECTOR OF THE BANK

Mr. Jaglul Karim

DMD, Rupali Bank Ltd.

Mr. Shaik Ahmed

DMD, Rupali Bank Ltd.

16

2.4 HIERARCHY OF
RUPALIDirector
BANK LIMITED
Managing
(MD)
Managing
Director
(MD)

Deputy
Deputy Managing
Managing Director
Director (DMD)
(DMD)
General
General Manager
Manager (GM)
(GM)
Deputy
Deputy General
General Manager
Manager (DGM)
(DGM)
Assistant
Assistant General
General Manager
Manager (AGM)
(AGM)
Senior
Senior Principal
Principal Officer
Officer (SPO)
(SPO)
Principal
Principal Officer
Officer (PO)
(PO)
Senior
Senior Officer
Officer (SO)
(SO)
Officer
Officer
Junior
Junior Officer
Officer
Assistant
Assistant Officer
Officer
Office
Office Assistant
Assistant (CT)
(CT)
Office
Office Assistant
Assistant (Gamader)
(Gamader)
Office
Office Assistant
Assistant (Peon)
(Peon)
Office
Office Assistant
Assistant (Arms
(Arms Guard)
Guard)

17

2.5 Vision of Rupali Bank Ltd.:

Vision of Rupali Bank Ltd. to expand loyal customer base
by being known as the financial partner of choice that
constantly exceeds customer expectations.

18

2.6 Mission of Rupali Bank Ltd.:

Develop

long-term

relationships

that

help

our

customers achieve financial success.

Offer rewarding career opportunities and cultivate
staff commitments.
Uphold ethical values and meet its customers
financial needs in the fastest and most appropriate
way and continue innovative works in order to
achieve human resource with superior qualities,
technological infrastructure and service packages.

19

2.7 Core values of Rupali Bank Ltd:

Social

Responsibility-we

care

for

and

contribute to our communities

Performance-we measure results and reward
achievements
Integrity-we

uphold

trustworthiness

and

business ethics
Respect-we cherish every individual
Innovation-we encourage creativity
Teamwork-we work together to succeed
The first letters of the initial words form
SPIRIT and carry equal importance

20

2.8 Strategic Objectives of Rupali Bank Ltd

Develop a customer oriented service culture with
special emphasis on customer care and convenience.
Increase our market share by following a disciplined
growth strategy.
Achieve a significant share of deposit and credits
from the existing and niche markets.
Leverage our technology platform and pen scalable
systems to achieve cost-effective operations,
efficient MIS, improved delivery capability and high
service standards.
Develop innovative products and services that attract
our targeted customers and market segments.
Maintain a high quality assets portfolio to achieve
strong and sustainable returns and to continuously
build shareholders value.
Explore new avenues for growth and profitability,
particularly by diversifying loan portfolio through
structured finance and expansion of retail and SME
financing.
Strengthen the banks brand recognition.

21

2.9 Ethical Principles of Rupali Bank Ltd. :

Customer Focus and Fairness: At RBL, our prime focus
is to achieve perfection in our customer service.
Customers are our first priority and driving force. We
wish to gain customer confidence and be their trusted
partner. We believe in fair treatment to all customers,
depositors, borrowers and clients without any
discrimination.
Quality; Quality service experience is a paramount to our
customers and we are strongly committed to fulfilling this
ideal. We have a culture of timely compliance of
regulatory requirements.
Honesty and Integrity: We ensure the highest level of
integrity to our customers, creating an ongoing
relationship of trust and confidence. We treat our
customers with honesty, fairness and respect.
Belief in our People: We recognize that employees are
our most valuable asset and our competitive strength. We
respect the worth and dignity of individual employees
who devote their careers for the progress of the bank. We
trust in equal treatment to all shareholders irrespective of
their individual size of shareholdings.

22

Teamwork : We are a firm believer in team work and feel

that loyal and motivated teams can produce extraordinary
results. We are driven by a performance culture where
recognition and rewards are based on individual merit
and demonstrated track record.
Good Corporate Governance: Effective corporate
governance procedures are essential to achieve and
maintain public trust and confidence in any company,
more so in a banking company. At RBL, we are committed
to following best practices resulting in good corporate
governance.
Corporate Social Responsibility: As a responsible
corporate , we consider it important to act in a responsible
manner towards the environment and society. Our
commitment has always been to behave ethically and
contribute towards the improvement of quality of life of
our people, the community and greatly the society, of
which we are an integral part.

23

2.10 Core strengths:

Quick decision making

Efficient team performance

Satisfied customer
Internal control

2.11 SERVICES AND PRODUCTS

Services and products are given below:

24

2.11.1 Services:

ATM SERVICES

LOCKER SERVICES

Locker services

Small
Medium
Large

Yearly charge
Tk.1000
Tk.1500
Tk.2000

Security deposit

Name of Branch

Tk.3000
Tk.2500
Tk.2000

Corporate branch
Corporate branch
Corporate branch

Security deposits are refundable when lockers surrender to the bank.

2.11.2 Products:
Deposit schemes

Revised interest rate on deposit

Current (CD)
Savings (SB)
Short Term Deposit (STD)

0.00%
4.50%
3.50%

Fixed deposit
3 (three) month FDR
6 (six) month FDR
1year FDR
2 year FDR

7.50%
7.75%
8.00%
8.50%

25

But the rate of interest may be change at the condition of bank and
economy.
2.10 Loan schemes:
Rupali Bank Ltd. is a Govt. oriented bank. So they are always be with the people. They
provide loan to every sector. But at the moment following major loan
schemes are provided by the Bank.

LENDING CATAGORIES

LOAN SCHEME
Agriculture Scheme

Loan to primary producers

LENDING
RATES
10.00%

Loan to agriculture input traders 10.00%

Commercial Lending

and fertilizer dealers/distributors

Jute Trading

10.00%

Working Capital

Other commercial Lending

Jute

13.00%
12.00%

House Building

Other than jute

Real State Developers

13.00%
12.00%

Other Loans

Individual/Housing Finance co.

12.00%
For NBFIs/NGOs (non banking 10.00%
financial institution)

Small/ Cottage Industry

Large

/Medium

Consumer Credit scheme

Others
Term Loan

Scale Term Loan

13.00%
13.00%
11.50%
12.00%

Industry
Loan against Export

Jute Goods Exports

11.00% fixed

26

LEARNING PART
27

Based on General Banking (GB)

OPERATIONA
L
PROCEDURE
28

OF
GENERAL
BANKINGS

3.0 GENERAL BANKING

General banking department is the heart of all banking activities. This is
the busiest and important department of a branch, because funds are
mobilized, cash transactions are made; clearing, remittance and
accounting activities are done here.
Since bank is confined to provide the services everyday, general banking
is also known as retail banking. In Rupali Bank ltd. , Corporate Branch,
the following departments are under general banking section:

Account opening section

Deposit Section
Cash Section
Remittance section

29

 Clearing section
Dispatch

3.1 Account opening department

3.1.1 Who Can Open A/C?

Persons over 18 years (except some restricted persons)

Account of Club
Association
Agent
Govt. & Semi Govt. Organization
Liquidators
Married Women
Pordanshil Women
Illiterate Persons

3.1.2 Account Transfer

Customer has to submit an application mentioning that he/she wants to

transfer his/her A/C to their desired branch and the officer will verify
the signature. Customer has to be certified by different department of
bank that he/she has no liabilities to the bank. Then total particulars of
A/C holder will be prepared and sent to the customer's desired branch.

3.2 Deposit Section

3.2.1 DIFFERENT TYPES OF DEPOSIT ACCOUNT
A deposit account is an account at a banking institution that allows money
to be held on behalf of the account holder. Some banks charge a fee for

30

this service, while others may pay the client interest on the funds
deposited.
The account holder retains rights to their deposit, although restrictions
placed on access depend upon the terms and conditions of the account and
the provider.
The Rupali Bank ltd. offers the following types of

accounts to its various

customers:
a. Current account.

Individual current account

Proprietorship current account

LTD. Company current account

Club, Societ y current account

b. Savings account
c. Short term deposit
d. Fixed deposits
e. Rupali Pension Schem
3.2.1.1 CURRENT ACCOUNT:

Current account is purely a demand deposit account. There is no

restriction on withdrawing money from the account. It is basically
justified when funds are to be collected and money is to be paid at
frequent interval. Some important points have been discussed in the
project part.

Rules:
The primary rules for opening current account are given below:

31

 Current account can be opened for individuals and individuals and

business concerns including non-profit organizations.
A Current Account shall be opened with a minimum balance of
tk.10000.00 at Rupali Bank ltd.: Corporate Branch.
A Current A/C shall be opened with an initial cash deposit.
Cheque book shall be issued to the account holder having a
minimum balance of tk.5000.00.
A current account holder can draw cheque on their accounts for any
amount and any number of times in a day subject to the availability
of balance.
No interest should be allowed on current accounts.
The bank reserve the right to refuse or close any account without
assigning any reason thereof.
Notice, Stopping payment of any cheque shall be made by the
account in writing, which shall be recorded.

3.2.1.2 SAVINGS ACCOUNT:

This deposit is primarily for small-scale savers. Hence, there is a
restriction on withdrawals in a month. Heavy withdrawals are permitted
only against prior notice. Some Important Points have been discussed in
project part.

Rules:
The primary rules for opening saving account are given below:

32

 Savings bank account shall be open in the name of adult individual

or jointly in the names of two or more person payable either or both
all of them or clubs, associations, and similar types of institutions.
Saving A/C shall be opened with an initial minimum cash deposit
Tk. 10000 and depositors always have to maintain till account
closed.
No person should be allowed to open more than one account in
his /her name. .
Cheque book shall be issued to the A/C holder having a minimum
balance Tk.5000 in the account.
A savings A/C holder shall deposits money as often as he wishes.
Rate of interest shall be altered from time to time.
Interest shall be allowed only on accounts bearing a minimum
balance
tk 5000.00-per calendar month.
The reserve the right to stop issuance of new cheque book to any
customer.
Saving account shall not be allowed to be conducted as current
account.
A saving account shall not allow being overdrawn.
Notice, Stopping payment of any cheque shall be made by the
account holder in writing, which shall be recorded.
3.2.1.3 SHORT TERM/SHORT NOTICE DEPOSIT A/C (STD/SND)

33

Normally various big companies, organizations, Government Departments

keep

money

in

STD/SND

account.

Frequent

withdrawal

is

discouraged and requires prior notice. The deposit should be kept for
at least seven days to get interest. The interest offered for STD/SND
is less than that of savings deposit. Interest is calculated based on
daily minimum product and paid two times in a year .

Rules:
The primary rules for opening short term account (STD/SND) are given
below:

Short-term/Short Notice deposit a/c (STD/SND) special notice

deposit

accounts

are

opened

usually

by

corporations,

banks,

financials institutions, public limited companies etc.

The rate of interest on such deposit is subject to change to be fixed

by Head office from time to time.

Interest shall be paid in the clients account on daily product basis

to be calculated at the end of each calendar year.

Statements of account shall be dispatched to all account holders by

the bank on a monthly/ quarterly /half yearly as per desire of the
customers to be specified in the A/C opening form while opening an
A/C.

3.2.1.4 FIXED DEPOSITS A/C:

Fixed deposits account is a kind of a/c where any one can open FDR. This
accounts is basically periodical a/c. Maturity period of this account is
3months, 6 months, 1 year and above, and two year and above.

34

Rules

Fixed deposits are neither transferable nor negotiable.

Fixed deposits shall be opened singly or jointly.

Fixed deposits shall be opened in the name of a minor jointly with

the guardian.

Fixed deposits shall be opened for a period of one month and above.

Interest on fixed deposits shall be payable at the rates

fixed by

Head Office from time to time, depending on the period of maturity.

Interest on accrued on FDR shall be paid on maturity of instrument.

The FDR shall be paid before the expiry of the maturity period at
request of the party. For payment of interest of premature FDR that
case Head Office circular issued from time to time is to be
followed.

If an FDR is issued to one individual, additional name shall be

included in the FDR ay his request.

3.3 KINDS OF DEPOSITORS ACCOUNTS:

Branches shall open accounts for the following categories of depositors:
Individuals: Any adult competent to enter into contracts
can open an individual account. Individual accounts can be
opened for adults (i.e. over 18 yeas of age) who are
competent to enter into contracts.
Joint Account: More than one adult jointly or adult with
minor(s) shall constitute joint accounts.
Sole

proprietorship

concern

owed

by

Concerns: A business
a

single

adult

person

or

trading

is

sole

proprietorship concern.

35

 Partnership firms: A business concern owned and managed

by more than one person whether registered or not is a
partnership firm.
Private Limited Company: A corporate body formed and
registered

under

Companies

Act,

1913

with

limited

liability having a Certificate of Incorporation give y

Registrar of Joint Stock Companies.
Public Limited Company: A corporate body formed and
registered under Companies Act, 1d913 with limited
liability of the shareholders and with no upper ceiling on
the number of shareholders. It shall have the following
valid documents:
Clubs/Associations/Societies: These organizations shall be
created and registered under Societies Registration Act.
They may not be registered organizations. Some of them
shall be registered under Companies Act.
Co-operatives: These are corporate bodies registered under
Societies Act.
Non-Government

Organizations:

Non-Government

Organizations (NGOs) are voluntary organizations created

& registered under Societies, Registration Act or Cooperative Societies Act.
Non-trading Concerns: These are organizations registered
under Societies Registration Act or Companies Act or Cooperative Societies Act.

3.4 Formalities for Opening Different Types of A/C

The following documents duly completed shall be obtained from the
customer at the time of opening of:
36

3.4.1DOCUMENTS REQUIRED FOR SAVINGS ACCOUNTS:

Documents that are require for opening saving account given below:

Two copy Passport Size Photo.

Account Opening From

Mandate or authority shall be obtained in case the

customer wants to authorize another person to
operate the account.

Copy of Passport/Nationality Certificate/Voter ID of

the persons operating the account.

KYC (Know your Customer) Form.

3.4.2 DOCUMENTS REQUIRED FOR CURRENT ACCOUNT:

There have different categories of current account. That are in following
and documents that are require for that categories are given below:

Current Individual/joint A/c

Current Partnership A/c

Current Proprietorship A/c

Limited company A/c

Societies, Clubs, Associations A/c

Current Individual / Joint Account

1. Introducer of the account.
2. Two photographs of the signatories duly attested by the introducer.
3. Identity (copy of passport).
4. Joint Declaration Form (For joint a/c only).
5. Employees Certificate (in case of service holder).
37

6. KYC (Know your Customer) Form.

Current Partnership account
1. Introduction of the account.
2. Two photographs of the signatories duly attested by the introducer.
3. Partnership letter duly signed by all partners (Sign should be
similar as stated in Partnership Deed).
4. Partnership Deed duly certified by Notary public.
5. Registration (If any).
6. Updated Trade license.
7. KYC (Know your Customer) Form.
Current Proprietorship account
1. Introduction of the account.
2. Two

photographs of the signatories duly attested by the

introducer.
3. Valid copy of Trade License.
4. Rubber stamp.
5. TIN number certificate.
6. Identity (Copy of passport).
7. Permission letter from DC/ Magistrate (in case of newspaper)
8. KYC (Know your Customer) Form.
Limited company
1. Introducer of the account.
2. Two photographs of the signatories duly attested by the Introducer.
3. Valid copy of Trade License.
4. Board

resolution

of

opening

A/C

duly

certified

by

the

Chairman/Managing Director.
5. Certificate of Incorporation.
6. Certificate of Commencement (In case of Public limited company).
38

7. Memorandum article of association.

8. List of directors along with designation & specimen signature.
9. Latest certified copy of Form xii (to be certified by register of
joint stock companies) (In case of Directorship change).
10.

Rubber Stamp (Seal with designation of each person)

11. Certificate of registration (In case of Insurance Company

Obtained from department of Insurance from the Peoples Republic
of BD)
12.

KYC (Know your Customer) Form.

Club / societies account

1. Introduction of the account.
2. Two photographs of the Signatories duly attested by the introducer.
3. Board Resolution for Opening A/C duly certified by President/
Secretary.
4. List of Existing Managing Committee.
5. Registration (if any).
6. Rubber Stamp.
7. Permission letter from Bureau of N.G.O. (In case of N.G.O. A/C).
8. KYC (Know your Customer) Form.

In case of foreign person:

1. The person who want to open a/c he/she must have the
permission latter from the Govt.
2. Permission from Board of Investment.

3.4.3

DOCUMENTS

REQUIRED

FOR

SHORT

TERM

DEPOSIT

ACCOUNT:

39

Short Term Deposit Account (STD) shall be opened in the Account

Opening Forms used for Current Deposit Account and the documents
required for current A/c should be equally applicable for STD. In case of a
STD A/c on the top of current deposit A/c opening form the word-"Short
Term Deposit Account shall be written in block letters and the notice
period shall be noted on the serial Instructions column.
3.4.4 DOCUMENTS REQUIRED FOR FIXED DEPOSIT ACCOUNT
(FDR):
For open fixed deposit account (FDR) no other papers are require. Any

one can open this a/c by depositing cash or cheque. After the end of
maturity depositor get interest based on contract. Here have tow option
at the end of maturity. Thats are depositors may withdraw the FDR
amount or he/she can renew his FDR account.

3.5 ISSUE CHEQUE BOOK AND PAYMENT OF CHEQUE

3.5.1 ISSUE OF CHEQUE BOOK:
Cheque books required for current use shall be taken out from the
main stock after necessary entry in the register.
Separate folios of register shall be allocated for current account
cheque books of 20 and 50 leaves and savings bank account cheque
book of 10leaves.
The cheque books taken out from the main stock for daily
consumption shall be kept in a security box under lock and the
dealing officer shall be responsible for safe custody.
At the time of opening account, the customer shall require to sign a
cheque book requisition slip. If the account openings form if found
complete in all respect, then the cheque book is issue to the
customer.

40

 All subsequent cheque book shall be issued to the account holder

against the cheque book requisition slip extracted from a previous
cheque book issued to him /her.
Upon receipt of the requisition slip duly filled and signed, the
dealing officer shall get the signature of the A/C holder verified by
the deposit in change/ Authorized officer.
In case if the requisition slip is lost, then the in charge officer will
saw all kind of previous report of the customer and depend that the
cheque book is issued.
3.5.2 How cheque book is processed?
The leaves of the chequebook under issue shall be counted to ensure
that all leaves and the requisition slip are intact.
The name and the account number shall be written on the cheque
book cover and its requisition slip.
The account number shall be entered on all leaves on the cheque
book with initial of the cheque book officer.
The name and the account number of the customer shall be entered
in the cheque book issue requisition against the particular cheque
book series.
Cheque book shall be delivered to the customer at him counter
against their acknowledgement on the requisition.
After issuing cheque book the requisition slip shall sent to the
system for recording the cheque series.

41

3.6 CLOSING OF ACCOUNTS

The formal ways of closing of accounts are following:
A customer may close his/her account at any time by submitting an
application to the branch manager.
Unused cheque page have to submit with Application.
Verification of signature of applicant that he or she signed for
opening and closing A/C form.
Access duty fee will applied if deposit is above Tk.10, 000.
Verification of loan that the A/C holder has on the bank if have then
the A/C cannot be close.
The interest rate will provide if the A/C exist to June. If he or she
closes A/C before June or December then A/C holder wont get any
kind of interest if A/C holder has huge number of money in that
case he can claim for interest.
Closing charges are taken for the A/C closing. Whatever the amount
that depositor has it make no effect at the closing charge.
The amount that depositor has after closing the A/C. The amount
will pay to the depositor by using pay slip.
At last, depositor will receive the pay slip and submit the pay slip
to the cash counter of that Bank. Finally the depositor will receive
his or her rest of amount.
For Ltd. Company the A/C holder is behalf of the company, cannot
close the A/C. He or she has to submit the decision of Board of
director (BOD) that A/C should be closed.

42

REMITTANCE
DEPARTMENT

43

4.0 ISSUANCE AND PAYMENT OF PAYORDER

Definition of pay order:
A pay order is a written order, issued by a branch of

bank, to pay a

certain sum of money to a specific person or a bank. It is also termed as a

bankers cheque as the bank drawn upon and payable issues it by itself. A
pay order is issued and paid by the same branch of the bank and such as;
the drawer and drawee are same. The person or the organization in whose
favor it is issued is known as payee or beneficiary. It is some times sold to
an individual on payment of issued who may not be a customer and is
called the purchaser. Pay order part:

The actual pay order.

The second counterfoil to be retained by the payee.

Another counterfoil to be retained by the issuing branch as record.

4.1 ISSUANCE OF PAY ORDER:

The purchaser shall signs the standard application from giving detail
particulars and request to issue of pay order. The payee or beneficiary
shall not to be fictitious. His full name and address shall be written on the
application.
Steps of issuances of pay order:
Purchaser

applies

through

banks

prescribe

payment

order

application.
Purchasers deposit the money through the application from.

44

 Bank official fill up the columns of the instrument with help the
application from.
Make necessary entry in the payment order register.
After joint order signatures in the instrument the payment order is
handed over to the purchaser and the purchaser put the signature on
the counter part of the instrument as acknowledgement of receipt of
the instrument.

4.2 PAYMENT OF PAY ORDER:

It shall be paid to payee or beneficiary after proper identification or
it may be credited to as account.
A pay order is transferable. As it is banker cheque payable to order
the payee/ beneficiary may transfer it, by giving proper discharge
on its back, to some one else who receive as the transferee.
It is not generally collected for a person other that original payee
except in case the

where the depositor is a valued client known to

the bank.
Before making payment the signature of issuing officers shall be
verified and the date pf payment shall be marked in the register.

4.3 ISSUANCE OF DUPLICATE PAY ORDER:

For issuance of duplicate pay order thus, may be made after observing the
following steps we have to follow:
Written request from the purchaser, in case of loss from custody of
the purchaser along with the copy of GD entry.
Written request from the purchaser.
Head office approval of issuance of duplicate pay order.

45

4.4 CANCELLATION OF PAY ORDER:

If the purchaser request for cancellation of pay order after its issue
and before it is passed to payee. The same can be done after
obtaining a written request from him and verifying his signature on
the letter of request.
But if the purchaser request for cancellation and refund the amount
after laps of some time, the consent of the payee for cancellation of
pay order shall be required to b produce red by the purchaser.
If the purchaser is a valued customer of pay order may cancelled as
very special case, in the absence of written consent from the payee
after obtaining sufficient indemnity from the purchaser.

5.0 ISSUANCE AND PAYMENT OF TELEGRAPHFIC TRANFER

Telegraphic Transfer (T.T) may be affected at the written request of any
person and against value received from him. A written application on our
prescribed from duly signed by the purchaser shall be obtained .If the
application for issue of (T.T) contains instruction to debit the account of
purchaser his signature shall be verified.
The application from shall be invariably checked on the following points:
That we have a branch in the place on which telegraphic transfer
will be issued.
The amount of T.T commission and telex/fax charge shall be
received from the purchaser.
A cost memo has to be correctly prepared by the officer concerned
as to the account, name of beneficiary, instruction regarding mode
of payment and the place of payment.
The concerned officer shall correctly prepare the test.
46

 T.T over telephone may be transmitted on account of valued clients

of the bank. Branches with teleprinter/fax facilities shall transmit
T.T massage through telex/fax.

5.1 STEPS OF ISSUANCE OF T.T:

A customer applies through banks prescribed application from.
Amount of T.T +commission+ Telegram charge is recovered in
cash /transfer voucher.
Separate folio in T.T register is maintained branch wise.
A cost memo is given to the client.
Massage transmitted to drawee branch over Telex/ Telephone/ Fax
and Internet etc

5.2 CANCELLATION OF T.T:

Whenever a T.T massage has been duly transmitted, payment thereof

cannot be stopped, no
Matter whether the amount has been paid to the beneficiary or not.
However, the applicant of a T.T may asked for stopping the

T.T

and for refund the amount

Only if the massage has not been transmitted.
In such case, care must be taken to see that entries made in books
/register as well as the
Vouchers are cancelled immediately.

6.0 ISSUANCE AND PAYMENT OF DEMAND DRAFT

47

Definition of demand draft (DD)

Demand Draft is an instrument containing an order of the issuing branch
upon known as drawee branch, for payment of a certain some of money to
the payee.
The following are the essential feature of demand draft issued by the
bank.
It is drawn by one branch of the bank upon some other branch of the
bank.
It is payable on demand.
Its payment is to be made to the person whose name is mentioned .

6.1 ISSUANCE OF DEMAND DRAFT

The customer has to complete the form, which is treated as an
application from. The application from shall be checked the
following points:
The place of payment shall be such where the bank has a
branch.
Full name of the payee.
The amount in words and figures is the same.
The purchaser signs the application.
If the purchaser is not an account holder he his address on the
application.
T he voucher is given to the customer to deposit the cash.
The cashier receives the cash and delivers the voucher to the
remittance department.
Draft shall be prepared and entered in DD issue register.

48

6.2 PAYMENT OF DEMAND DRAFTS

The branch shall exercise proper care while paying drafts:

When the demand draft is present for payment, the particulars of the
draft are cheeked with the advice and signatures therein verified.
Payment of the DD has not stopped is to be ensured.
In case the advice is not received when the demand is presented, the
bank will still pay the draft after satisfying itself that the
instrument is in order.

On payment draft in the absence of the relative advice the drawee

branch shall inform the issuing branch and obtained confirmation
about the payment.
The drawee branch shall ensure that the payment of the instrument
is made in due course.

6.3 CANCELIATION OF DEMAND DRAFT

To cancel the DD the bank has to do following things:
Receiving the written application along with the original draft by
the issuing branch from the purchaser.

49

 Confirmation to be obtained from the drawee branch regarding nonpayment of the DD.
Taking two signatures with revenue stamp on the reserve side of the
DD.
After completing the entire things bank can cancel the DD.

CLEARING
DEPARTMENT

50

7.0 Clearing Department:

The amount of Cheques, Pay Order (P.O), and Demand Draft (D.D)
Collection from other banks on behalf of its customer is a basic function
of a Clearing Department.
Clearing:

Clearing is a system by which a bank can collect

customers fund from one bank to another through clearing house.

Clearing

House:

Clearing

House

is

place

where

the

representatives of different banks get together to receive and deliver

Cheques with another banks.
Normally, Bangladesh Bank performs the Clearing House in Dhaka,
Chittagong, Rajshahi, Khulna & Bogra. Where there is no branch of
Bangladesh Bank, Sonali bank arranges this function.
Member of Clearing House:

NCC BANK limited is a scheduled

Bank. According to the Article 37(2) of Bangladesh Bank Order,

1972, the banks which are the member of the clearinghouse are
called as Scheduled Banks. The scheduled banks clear the cheque
drawn upon one another through the clearinghouse.

7.1 Types of Clearing

A) Outward Clearing: When the Branches of a Bank receive cheques
from its customers drawn on the other Banks within the local

51

clearing zone for collection through Clearing House, it is Outward

Clearing.
B) Inward Clearing: When the Banks receive cheque drawn on them
from other Banks in the Clearing House, it is Inward Clearing.

Bills for
Collection

52

8.0 Bills

Collection

In modern banking the mechanism has become complex as far as smooth

transaction and safety is concerned. Customer does pay and receive bill
from their counterpart as a result of transaction. Commercial banks duty
is to collect bills on behalf of their customer.

8.1Types of Bills for Collection

Outward Bills for Collection (OBC).
Inward Bills for Collection (IBC).

8.1.1 Outward bills collection (OBC)

OBC means Outward Bills for Collection .OBC exists with different
branches of different banks outside the local clearinghouse. Normally two
types of OBC:
OBC with different branches of other banks
OBC with different branches of the same bank

Procedure of OBC:
53

 Entry in the OBC register.

Put OBC number in the cheque.
Crossing seal on the left corner of the cheque & payees
account will be credited on realization seal on the back of the
cheque with signature of the concerned officer.
Despatch the OBC cheque with forwarding.
Reserve the photocopy of the cheque, carbon copy of the
forwarding and deposit slip of the cheque in the OBC file.

8.1.2 Inward bills for collection (IBC)

When the banks collect bills as an agent of the collecting branch, the
system is known as IBC. In this case the bank will work as an agent of the
collection bank. The branch receives a forwarding letter and the bill.
Procedure of IBC:
IBC against OBC: To receive the OBC cheque first we have to
give entry in the IBC Register .The IBC number should put on
the forwarding of the OBC with date.
Deposit of OBC amount: OBC cheque amount is put into the
sundry deposit-sundry Creditors account, prepare debit &
credit voucher of it. If the OBC cheque is honored, send credit
advice (IBCA) with signature & advice number of the concern
branch for the OBC amount.
If the OBC cheque is dishonored, the concerned branch is
informed about it.
Again place in the clearing house or send the OBC cheque with
Return

Memo

to

the

issuing

branch

according

to

their

information.

54

DISPATCH
DEPARTMENT

55

9.0 DISPATCH:
The dispatch department of Rupali bank is so much effective. This
department is mainly known as the mail transaction of the bank with other.
This department is divided into two parts. Those are given below:
Inward dispatch
Outward dispatch.
Transaction systems of inward and outward dispatch are given below:

9.1 INWARD DISPATCH:

Dispatch seal, date, signature, and endorsement are given on letter
and documents received from courier, special messenger.
All letters and documents are recorded in the inward dispatch
register.
All mails are placed to the Head of Branch.
Manager

assigns

all

mails

to

respective

officials

through

endorsement.

56

 It is properly field and recorded.

Fax / Telex etc, received shall be placed before the Head Office
Branch/ Divisional

Head Office and marked by the concerned

officer and subsequently all those entered in the inward mail

register.

9.2 OUTWARD DISPATCH:

All the outgoing letters documents with covering letters etc, are
received in duplicate from various department.
Acknowledgement is given on the duplicate copies and the original
litters.
All letters and documents are signed and given dispatch number.
All letters and documents are recorded in the outward dispatch
number.
All offices copies, master copies are properly filed and recorded.

9.3 What kind of things will be dispatch?

CIBT (Computerized inter Banking Transaction).
Pay order
Latter of credit (LC)
Local Payment.
Corresponded Letter.
57

 Demand Draft Advice.

Mail Transfer Advice.
OBC (Other Banking Collection).
Foreign Telegraphy Transfer advice
Foreign Demand Draft advice
Swift massage
Foreign Document etc.

FINDINGS
AND
58

RECOMMENDATIO
N

10.1 Problems Identification

Each and every problem identification here is only related to Rupali Bank
ltd., Corporate Branch.
The first problem of this bank is that the employees are not
punctual.
They have no uniform. For that reason some customers find it,
difficult to identify the bank employee.
Some superior officers of this bank are not available sometime. For
that some of the depositors have to suffer.
The cash counter of this bank is little bit congested and the
procedure of handling cash is also traditional.

59

 In general banking department they follow the traditional banking

system.

The

entire

general

banking

procedure

is

not

fully

computerized. Even now they are using type writer which is very
much time consuming.
Account Opening form is in English which many people are unable
to understand.
They have lacking in marketing activities and they are not providing
necessary advertisement of their product service to the general
people.
They are using so many employees in General Banking section as a
result it is becomes more expensive.
Now a day computer leads every sphere of lives effective including
general banking activities, But Rupali Bank ltd. does not have
experts in computer.

10.2 Recommendations:
Management of the bank should pressurize employees for being
punctual.
Rupali Bank ltd. should arrange uniform for the employees.
If for some reason superior officer can not be at his/her desk.
During that time bank should arrange different ways to perform
his/her duties for the help of customers.
Cash payment section and cash received section should be separated
by using data based software.

60

 Nearly every bank follow traditional system in general banking

activities but bank should introduce computerized system, it will
reduce time, labor and cost also.
Our mother language is Bengali. So the bank should arrange form in
Bengali. The people who are not able to understand English they
can use this form.
To increase their have the employees service they need more
marketing activities. Marketing department should be more aware
on this problem.
Head office of Rupali Bank ltd. should decide to reduce some
employee from General Banking section of corporate branch.
The bank waste enough time of their clients in providing services as
it lacks in expert computer operators. To remove this problems, I
think, bank should arrange some sort of training programs in this
sector.

Conclusion
During

the

three

months

internship

program

at

Rupali

Bank

ltd.

(Corporate Branch), almost all the desks have been observed more or less.
This internship program, at first, has been arranged for gaining knowledge
of practical banking and to compare this theoretical knowledge with
practical knowledge. Comparing practical knowledge with theoretical,
involves identification of weakness in the branch activities and making

61

recommendations for solving the weakness identified. Though most of the

departments and sections are covered in the internship program, it is not
possible to go to the depth of each activities of branch because of some
internal limitation. Highest effort has been given to achieve the objectives
of the internship program.
During the internship, it is found that the branch provides all the
conventional banking services as well as some specialized financing
activities to the economy. Thus by providing this various services, Rupali
Bank (Corporate Branch), is playing an important role in the banking
system and economic development of Bangladesh.

References
THE followings Sources have been used from Rupali Bank Head Office
and Corporate Branch:
Prospectus of Rupali Bank ltd .

62

Annual Report of RUPALI BANK LTD. (2003)

Annual Report of RUPALI BANK LTD. (2004)
Annual Report of RUPALI BANK LTD. (2005)
Annual Report of RUPALI BANK LTD. (2006)
Documents that they provide for employee training.
Some documents are taken from Rupali Bank Ltd. web site and other
source by using internet. The web site addresses are followings:
www.rupali-bank.com
www.banglapedia.search.com
www.google.com
Search names are following:
History of Rupali Bank Ltd.
Rules of Rupali Bank Ltd.
PDF. Files about loan

63