Internship Report

On
“General Banking Activities of MTB Centre Corporate Branch”

College of Home Economics

Submitted To:
SELINA AKHTER
Associate Professor
Department of Resource Management and Entrepreneurship
College of Home Economics

Submitted By:
SADIA ISLAM
Program: MSc.
Session: 2016-17
Roll: 2554
Department of Resource Management and Entrepreneurship
College of Home Economics

Date of Submission: 10th September, 2018

 LETTER OF TRANSMITTAL

10th September, 2018

Selina Akhter

Associate Professor

Department of Resource Management and Entrepreneurship

College of Home Economics

Subject: Internship Report Submission

It is my pleasure to submit this report on “General Banking Activities of MTB Pallabi

Branch” as a part of my MSc. curriculum. I have obtained what I believe to be the most
complete information available. The experience will remain as a valuable asset of immense
useful in my life.

I have worked hard preparing this report and sincerely tried to make the paper a
comprehensive one within the given time span. I have tried to put my three month work
experience in my report and have tried my best to make it a successful one. I will be always
available for answering any query regarding this paper. I believe that the preparation to
prepare my report will help me to work in the banking sector.

I would like to express my gratitude to you for your guidance & suggestions while preparing
the report. It would be my great pleasure for me if you find my report informative and useful
to have an idea of recent state of Mutual Trust Bank Limited.

Sincerely,

Sadia Islam

MSc.

Roll: 2554

Department of Resource Management and Entrepreneurship

College of Home Economics.

 ACKNOWLEDGEMENT

First of all I would like to thank my Almighty Allah because without I would not even think
of going ahead in my internship. I would also like to thank my supervisor, Selina Akhter, for
her continuous guidance and support in my report which helped me understand my work and
for helping me throughout the report.

I have tried my level best to understand what areas I need to work on and also do a complete
analysis of Mutual Trust Bank when I was an intern. The data’s that I have collected were
through both primary and secondary sources; I collected the accounts information of the
respective branch from my branch supervisor,Kanis Fathema (JAVP) and Farhana Islam
(AO) in Mutual Trust Bank Pallabi Branch, Dhaka where I did my internship work. From
the collection of data, to finishing the term paper, I constantly tried to do my report sincerely.
So, I would again thank all the people who assisted me to complete this report.
 EXECUTIVE SUMMARY

Mutual Trust Bank Limited is private Commercial Bank in Bangladesh which is from the
third generation of banks in Bangladesh. They started their business journey from 1999 till
now. The bank performs its financial work through its Head Office, which is located in
Gulshan – 1, Dhaka and they have lots of other branches as well. MTB provides lots of
customer banking products such as Brick by Brick, Savings Scheme, Monthly Benefit Plan,
Education Plan, Consumer Credit Scheme, etc. They also provide different banking services
of MTB that consists of Online Banking Service, MTBL Tele-Banking Services, Payment
Order, issuing Cheque, MTBL SMS Banking, Locker Service, Credit Card Service, Debit
Card Service, etc. MTB also provides different types of accounts for their customer needs
like Regular Savings, Current Account, FDR, DPS, etc. Mutual Trust Bank also gives Gift
Cheque that creates interests by holding them. Mutual Trust Bank Ltd. has been established
as a well-known, eminent and most importantly a reliable bank. They try to fulfill their
consumer needs and want when they can in every case with their dignity and honor and
always focus on giving excellent customer service. By carrying on those services Mutual
Trust Bank Ltd. wants to be recognized and praised as one of the very top most banks in
Bangladesh.
 TABLE OF CONTENTS

Serial No. CONTENTS Page No.

Chapter – 1 Background of the Study 1–4
1. Introduction 2
1.1 Origin of the Report 2
1.2 Objectives of the Report 3
1.3 Methodology 3
1.3.1 Research Design 3
1.3.2 Data Collection Method 3
1.3.3 Sources of Data 3
1.4 Scope of the Report 4
1.5 Limitations of the Study 4
Chapter – 2 Organizational Overview 5 – 15
2.1 Overview of MTBL 6
2.2 Goals and Objectives of MTBL 9
2.2.1 Mutual Trust Bank Limited’s Strategic Objectives 9
2.3 Vision 10
2.4 Mission 10
2.5 MTB Core Values 10
2.5.1 Commitment 10
2.5.2 Accountability 10
2.5.3 Agility 11
2.5.4 Trust 11
2.6 Code of Conduct of MTB 11
2.7 Types of Banking Business and Products 13
2.7.1 Deposit Products 15
2.8 Corporate Social Responsibility (CSR) 15
Chapter – 3 General Banking 19 – 38
3.1 Introduction 20
3.2 Definition 20
3.2.1 Account Opening Section 20
3.2.2 Formalities for Opening Account 21
3.2.3 Issuing Cheque Book to the Customers 25
3.2.4 Other Activities 26
3.2.5 Money Transaction 29
3.2.6 Accounts Department 29
3.2.7 Other Services 30
3.2.8 Cash Section 31
3.3 Hierarchy of MTB Pallabi Branch 32
3.4 SWOT Analysis 33
Chapter – 4 On the Job Responsibilities 39 – 43
4.1 Internship Experience 40
4.2 Job Responsibilities 40
4.3 The Daily Work Routine 41
4.4 Functions of the Department 41
4.4.1 Account Opening Department 41
4.4.2 Learning Points 42
 4.4.3 Issuing Payment Order Slip 42
4.4.4 Issue of the Cheque Book 42
4.4.5 KYC Form completion 42
4.4.6 Clearing Department 42
Chapter – 5 Financial Performance Banking 44 – 53
5.1 Total Deposit Analysis of MTB Pallabi Branch 45
5.1.1 Total Deposits and its Growth Rate 45
5.1.2 Saving Deposits and its Growth Rate 46
5.1.3 Current Deposits and its Growth Rate 47
5.1.4 Special Notice Deposit and its Growth Rate 48
5.2 Total Number of Accounts of MTB Pallabi Branch 49
5.2.1 Current Deposit (CD) Account 49
5.2.2 Saving Deposit (SD) Account 50
5.2.3 Fixed Deposit (FDR) Account 51
5.2.4 Special Notice Deposit (SND) Account 52
5.2.5 Percentage (%) of Total Accounts 53
5.3 Findings about the Performance of Mutual Trust Bank 54
Limited
Chapter – 6 Recommendations & Conclusions 55 – 57
6.1 Recommendations 56
6.2 Conclusions 57
ACRONYMS 58
REFERENCE 59
 CHAPTER – 1

BACKGROUND OF THE STUDY

1. Introduction

There are different types of banks: Co-operative Banks, Savings Banks, Investment
Banks and Central Banks. Banking system occupies a vital place in a country’s economy.
It confirms distribution and reallocation of assets and keeps up the motion of economic
activities. As monetary intermediaries, banks stand between investors who invest capital
and debtors who demand capital. It assembles asset for both the public and private
sectors, and provides inventive answers to meet the requirements of entrepreneurs and
government agencies. Thus the banking segment plays a key role in the evolution of
Bangladesh’s economy. After the Independence of Bangladesh in 1971, six state owned
commercialized banks were composed, two state owned banks that specialized in lending
to the agriculture and industry, three foreign banks including Standard Chartered Bank.
The banking industry has faced momentous expansions from 1980’s. Private Banks has
entered in banking industry, Micro finance banks grew rapidly, which has provided
assistance to meet the needs of poor citizens.
Foreign trading is a large business which is run by commercial banks. Foreign trade means
the exchange of capitals and services across the border. Expertise is provided by Commercial
Banks. Foreign Trade requires a flow of goods from seller to buyer and payment from buyer
to seller. Here, Bank plays as a conciliator between the buyer and seller.

The Mutual Trust Bank (MTB) was established in Bangladesh as a banking company. I
worked in the General Banking (account opening, debit and credit card, pin received, cheque
book received, payment order, CRM, etc). This gave me the opportunity to know more on.

1.1 Origin of the Report:

Internship Program is designed for the student of Masters of Resource Management and
Entrepreneurship (MSc.), College of Home Economics on completing the course to acquire
experience on the practical application with the theoretical knowledge. This report was done
during my internship period in Mutual Trust Bank Ltd. to fulfill the requirement of the course
under the supervisor of Selina Akhter. The topic was selected with able guidance of
supervisor. The topic of the report is “General Banking Activities of MTB Pallabi
Branch”.

Objectives of the Report;

 General objective is to prepare and submit a report on the topic “General

Banking”.
 To observe the purposes of General Banking.
 Getting idea about how Commercial Bank works.
 To understand entire branch banking Procedures.
 To understand how other Departments of the branch function.
 To know the strength and weakness of the Bank.
 To understand in which the Bank is working with proper Efficiency.
 To find out the problems of the Bank and suggesting the way to solve the
Problems.
 To suggest the ways and means for improvement in Policy and Techniques.
  To relate the theoretical learning with the real life situation.

Methodology

1.1.1 Research Design

The report is descriptive in nature. To prepare this report gathering data is very
important. The information was collected from both primary and secondary
sources of data. The information was collected within the organization from the
Corporate Division of Mutual Trust Bank Limited.

1.1.2 Data Collection Method

This report is prepared based on information collected from two sources i.e.
Primary sources and Secondary sources.

1.1.3 Sources of Data

1. Primary Data:
a) Practical banking work.
b) Personal discussion with the officers and executives of Mutual Trust Bank
Ltd.
c) Personal interview with the customers.

2. Secondary Data:
a) Various publications on banking operation.
b) Personal investigation with bankers.
c) Different circulars issued by Head Office and Bangladesh Bank.

1.2 Scope of the Report

The scope of the study is to have an idea about General Banking of MTB. The report
starts with the outline of the organization in focus, presenting the mission and vision of
organization. It accompanied by the global perspective and look into the future. The
researcher provides information about the strengths, weakness, opportunities and threats
of the organization.
1.3 Limitations of the Study
 Legal obligation
Due to some legal obligation and business secrecy the bank was reluctant to provide
some sensitive data. Thus, this study limits only on the available published data and
certain degree of formal and informal interview and limited survey.
 Extensive nature
Although the particular study is extensive in nature, hard effort was given to make the
study worthwhile and meaningful even then there exists some limitation.
 Lack of time
The researcher was in the bank for three months so within this short span of time it is
very difficult to be familiar with all the activities of the bank
 Lack of Supervision by the bank officers
As the officers were busy with their daily working activities, they were not able to
give me much time apart from their daily working activities.
 Restricted information
There were various types of information’s that the bank officers cannot disclose due
to the security and other corporate obligations.
 Chapter – 2

ORGANIZATIONAL OVERVIEW

2.1 OVERVIEW OF MTBL

Mutual Trust Bank Limited was incorporated as a Public Limited Company in 1999, under
the Companies Act 1994 with an Authorized Share Capital of BDT 3,800,000,000 divided
into 38,000,000 ordinary shares of BDT 100 each. At present, the Authorized Share Capital
of the company is BDT 10,000,000,000 divided into 1,000,000,000 ordinary shares of BDT
10 each. It pursues to be the most praised financial institution in Bangladesh, recognized as a
dynamic, innovative and client focused company that offers a range of products and services
in the search for excellence and to create an impressive economic value. Mutual Trust Bank
also got the Certificate for Commencement of Business on the same day and was granted
license on October 05, 1999 by Bangladesh Bank under the Banking Companies Act 1991
and started its banking operation on October 24, 1999.

Mutual Trust Bank Limited, together with its subsidiaries, administers several commercial
banking services in Bangladesh. MTB provides retail banking services, including deposit
products, such as savings and current accounts, and fixed deposits, DPS; auto, personal,
home, and professional’s loan products; debit and credit cards; and locker services. They also
implement wholesale banking services which contains finance; it includes project finance,
financing for importing finance of capital machinery, lease finance, and house developing
finance; working capital finance, such as secured over drafts, cash credits, cash against
documents, short term loans, and inland and foreign bill purchases; and syndications and
structured finance, such as infrastructure, aircraft, manufacturing project, agro-based project,
and micro financing. In addition, the company offers trade finance, including export finance,
such as L/C opening, export bill discounting, and secured overdrafts; import finance
consisting of loan against trust receipts and term loans; and non-funded trade finance.

MTB also gives off-shore banking services, NRB Banking Products, and SME Banking
Services; Treasury Services, such as Money Market, Foreign Exchange, Securities Dealer,
and DIBOR Services; and Cash Management, Custody, Remittance, and Agent Banking, as
well as SMS and Internet Banking Services. Mutual Trust Bank has 115 Branches and the
Head Office is in Gulshan – 1. MTB has memberships with IBB, BAB, BAFEDA, BIBM,
BAPLC, MCCI, ICCB, DSE, DCCI, FBCCI, AmCham, and PDBL.

Mutual Trust Bank follows a Corporate Structure, which as follows:

These are all the things which consist in MTB group. They also got many awards which
includes; The Best SME Bank of the Year in 2014, The Golden Globe Tigers Summit
Awards in 2015 for Excellence & Leadership in Branding and Marketing, Best Women
Entrepreneurs Friendly Bank of the Year in 2014, The Daily Star Bangladesh Business
Award for the best Financial Institution of 2014, etc.
The Organogram of MTB is as follows. On the board of Directors is the Chairman:
Mr.Md.Hedayetullah and the Managing Director and CEO: Mr. Anis A. Khan, and the
Vice Chairman: Mrs.Khwaja Nargis Hossain and others.
2.2 GOALS and OBJECTIVES of MTBL

 To gain profit in a proper and controlled manner.

 To make profit in the financial business sector using advanced banking technologies.
 To ensure company growth by giving good service to their customers.

2.2.1 Mutual Trust Bank Limited’s Strategic Objectives:

 To ensure inflow of funds at combination of least possible cost

 To maintain a discreet credit policy
 To enhance versatility and diversification through the penetration of new market
segments, thereby fulfillment unmet needs
 To extend financial assistance to the citizens, living at dispersed locations by
expanding the network of branches
 To practice stronger IT-driven initiatives that will meet the challenges and
requirements of the banks and its clients
 To improve administrative and organizational structures in order to prepare the
platform for the best practices of corporate government.
 To enrich the banking sector with improved awareness on corporate social
responsibility
 To provide extensive career opportunities through competitive pay and benefits and a
flexible environment.

Slogan of MTB
“You can Bank on Us”
2.3 VISION

They want to be a truly world-class bank, which customers will think as a “Bank of
Choice” by providing them excellent service. MTB is focusing to be one of the best
performing banks in Bangladesh.

2.4 MISSION

MTB’s mission is by being the most sought financial institution in Bangladesh, and
they want to be known as a dynamic, innovative and client focused company that
provides a wide range of services and to create an impressive economic value.

2.5 MTB CORE VALUES

2.5.1 Commitment:

 Shareholders– Creating sustainable economic value for our shareholders by

utilizing an honest and efficient business methodology.
 Community – Committed to serve the society through employment creation,
support community projects and events and be a responsible corporate citizen.
 Customers – Render state-of-the-art service to our customers by offering
diversified products and by aspiring to fulfill their banking needs to the best of our
abilities.
 Employees – We rely on the inherent merits of the employee and honor our
relation as a part of this renowned financial institution. We work together to
celebrate and reward unique backgrounds, viewpoints, skills and talents of
everyone at the workplace, no matter what their job is.

2.5.2 Accountability:

As a bank, we are judged solely by the successful execution of our commitments; we

expect and embrace this form of judgment. We are accountable for providing the
highest level of service along with meeting the strict requirements of regulatory
standards and ethical business practices.
2.5.3 Agility:

We can see things from different perspectives; we are open to change and not bound
by how we have done things in the past. We can respond rapidly and adjust our mode
of operation to meet stakeholder needs and achieve our goals.

2.5.4 Trust:

We value mutual trust, which encompasses transparent and candid communications

among all parties.

2.6 CODE of Conduct of MTB

Mutual Trust Bank has implemented several code of conduct for their employees to
follow. There are eleven codes of conducts in total. Their employees are working on
fulfilling all these codes.

Code I: Our code of conduct is in alignment with the bank’s Vision, MTB3V!

Code II: We aspire to be one of the most admired banks in the nation and be
recognized as an innovative and client focused company, enabled by cutting-edge
technology, a dynamic workforce and a wide array of financial products and services.

Code III: We ensure that our employees act with integrity, competence, dignity, and
in an ethical manner when dealing with customers, prospects, colleagues, agencies
and the public.

Code IV: We maintain knowledge of and comply with all applicable laws, rules and
regulations of any government, governmental agencies, regulatory organizations,
licensing agencies, or professional associations governing the employee’s
professional activities.

Code V: We prioritize the bank’s interest above personal interest. As an objective,

employees are required to: Disclose the conflicts of interest including beneficial
relationship with customers of any of its associates; state only MTB’s view and not
her/his own, when speaking in a forum in which audiences would reasonably expect
that s/he is speaking as a representative of MTB.
 Code VI: We deliver service professionally, respect customers and treat them
courteously and consistently; Respect the confidentially and privacy of customers, or
anybody with whom they do business.

Code VII: We are responsible and accountable for using the goodwill and assets of
MTB and its customers, whether tangible, intangible, intellectual or electronic, in a
manner both responsible and appropriate to the business and only for legal and
authorized purposes.

Code VIII: We treat colleagues, customers and anyone with whom we do business,
with respect, dignity, fairness and courtesy; we commit to maintain a work
environment that is free from discrimination or harassment based on race, religion,
creed, sex, disability, age or any other relevant category.

Code IX: We commit to avoid any professional conduct involving dishonesty, fraud,
deceit or misrepresentation or carry out any act that reflects adversely on our honesty,
trustworthiness or professional competence; we also commit to support international
and local efforts to eliminate corruption and financial crime.

Code X: We are committed to not utilize position for personal gain or for gain of
another person. All of us must ensure that any information in our possession that is
not publicly available and may have a material effect on the price or value of
objectives is not provided to anyone who may be influenced to subscribe, buy or sell
shares or conduct any other business transactions with another person including
family and friends.

Code XI: Control The Code is designed to provide practical assistance in performing
our daily tasks and resolving situations, which may present potential ethical conflicts.

.7 Types of Banking Business and Products

Mutual Trust Bank started their banking journey and gives the types of products and services.
  SME Banking
 Wholesale Banking
 Privilege Banking
 Retail Banking
 NRB Banking
 Card Services
 Treasury Options

SME Banking
MTB started its SME banking in 2017 and is one of the leading SME banks in the country.
They offer SME services which includes SME Loan Products and SME Deposit Products.
SME Loan Products are MTB Small Business Loan (SBL), MTB Digoon, Bhagyobati,
Microfinance, Krishi, Mousumi, Green Energy Loan, Gunabati, Krishijat, Light Engineering,
IT Genius and Youth Line. SME Deposit Products are MTB Probaho and MTB Buniad.

Wholesale Banking
MTB works on term finance, working capital finance and cash management unit in wholesale
banking. Term finance services include Project Finance, Financer for Importing Capital
Machinery, Lease Finance, House Building Finance, Term Loan to NBFI and Term Lending.
Working Capital Finance includes Secured Overdraft, Cash Credit, and Cash against
Document, Short Term Loan, Loan General and Time Loan. Cash Management Unit includes
MTB Nationwide Collection Service; Web based Banking Services, Payments Solutions,
Capital Market Services, High Value Account Services, Motor Vehicle Fee Collection
Solution and MTB Tuition Fees Collection Service. They also provide Trade Finance
containing Back to Back L/C, Export Bill Discounting, Secured Overdraft and Packing
Credit.

Privilege Banking
MTB started their Privilege Banking service in 2010 in order to serve the lifestyle of
privilege banking customers. The privileges that the customers get are queue less banking in
a relaxed environment where customers are served by respective dedicated relationship
managers along with complimentary airport limousine service, protocol from airport service,
health-checkups supports at well-known hospitals, discounts at exclusive privilege partner
outlets for dining, shopping, traveling, etc. which enable to live the life in the manner that
their hearts desire.

Retail Banking
MTB Retail Banking provides a wide range of simple different services for their respective
clients and customers. The services are Regular Savings, Current Account, Ruby, Inspire,
Brick by Brick, Millionaire Plan, Senior, Junior, Care, Shanchay, Fixed Deposit, Double
Saver, Education Plan, Monthly Benefit Plan, Kotipati and MTB Gift Cheque.

NRB Banking
MTB provides a wide range of deposit products in local currency for the NRBs who living
abroad and want to save their money to use in their future and also to maintain their families.
NRB Banking products are NRB Savings Account, NRB Deposit Pension Scheme and NRB
Fixed Deposit Account.

Card Services
MTB provides MasterCard and Visa Cards for their customer that allows them to withdraw
their money from MTB booths and even the booths of other banks. The cards that they
provide are Debit Cards and Credit Cards.

Treasury Options
MTB Treasury gives refined solutions supported by a large sales force and a state of the art
dealing room in Bangladesh. It provides services like – Money Market, Corporate Sales,
Foreign Exchange, etc.

2.7.1 Deposit Products:

 Regular Savings Account

 MTB Senior
  MTB Inspire
 MTB Ruby
 MTB Junior
 MTB Shanchay
 MTB Care
 Current Account
 Fixed Deposit
 MTB Double Saver
 Monthly Benefit Plan
 Brick by Brick
 MTB Education Plan
 MTB Millionaire Plan
 MTB Kotipati
 MTB Gift Cheque

2.8 Corporate Social Responsibility (CSR)

CSR is the corporate social responsibility is known as the business practice in which a
company participates in the benefit of society. There are two different views of CSR which is
the classical view and also the social economic view, where the thoughts of classical view is
to make profits in an organization and the thoughts of social view is to improving welfare of
the society besides making profits. The advantages of CSR are the satisfaction of the
customers, satisfaction of the organizations employees.

CSR in Bangladesh Banking Sector

Bangladesh is a third world country and therefore it has several problems. Government help
alone cannot solve the problems when they occur. Businesses like banks etc are considered
the affluent sector of the country, and if they help to contribute to the problems it can be a big
help to the people. CSR program is a big initiative to help out socially in the country through
financial contribution.

Bangladesh Bank started the activities of performing CSR in the banking field of Bangladesh
in 2018. They issued the elaborate decree titled “Mainstreaming Corporate Social
Responsibility in banks and financial institutions in Bangladesh. Recently, Bangladesh Bank
also provided the direction of the agenda of CSR of the financial sector, and declared that
those banks will be in accordance with the CSR rules who are contributing on improving
livestock, fisheries, agriculture, as well as giving relief help to the people in need in disasters.
Bangladesh bank has told the banks to include the activities of CSR in their main activities of
the banks and not only as a donations and aids in short term. Bangladesh Bank also advised
the banks that the annual report of CSR should also carry the banks environment, social and
economic sectors in both qualitative and quantitative way; this is in accordance to the Global
Reporting Initiatives.

CSR of Mutual Trust Bank

Mutual Trust Bank is also involved in CSR activities which includes the education sector of
the needy in the rural parts of Bangladesh. They also focus on the health of nutrition of the
people and helping any humanitarian and disaster crisis relief, cultural, sports etc in
Bangladesh. There are several activities that MTB has provided which include:

 Donation of blankets in North Bengal

Mutual Trust Bank donated the blankets to the people who were poor suffering from extreme
cold weather in Sapahar which is in the district of Naogaon. MTB said that they had always
been beside the needy and people who are not so advantaged in terms of wealth. They
declared that they will always be helpful in the society in natural calamities of cyclone, cold
weathers, floods or any national crisis. MTB also introduced loan substances for the poor
farmers and SME customers and they have ideas to bring forward more banking products and
CSR programs for the people lacking sufficient money in the society and by these activities
MTB would like to be the bank of choice of the people of the country.

 MTB celebrated their 10th Anniversary through blood donation

Mutual Trust Bank celebrated their 10th anniversary on October 24th 2009 through donating
blood. There are many people suffering in the hospitals that are extremely sick and in urgent
need for blood, so many employees and officials of MTB from different branches came
forward for their blood donation.

 MTB sponsored the 11th South Asian Games Dhaka

The ‘Managing Director’ and ‘CEO’ of Mutual Trust Bank, Mr Anis A Khan, gave a check
of BDT 5 million to Mr. Ziaul Haque Khondker, who is the Convener and Marketing and
Sponsors Committee of the 11th South Asian Games in a small arranged ceremony.
  Donation by MTB of BDT 1.00 Million to Prime Minister’s Relief and Welfare
Fund for the victims of Cyclone AILA

Mutual Trust Bank donated BDT 1 million to the Relief and Welfare Fund of the people for
the sufferers of the AILA cyclone, where there were many victims who lost their homes,
families, foods, etc. The money donated by MTB will be of help to the needy in the tragedy
of the cyclone.

 MTB distributed Iftar to the Orphans and disadvantaged people in Ramadan

There are many less advantaged people and children who do not get proper food in Ramadan
even if they fast in Ramadan. Mutual Trust Bank officials Deputy Managing Directors,
Quamrul Islam Chowdhury and Mr. Hashem Chowdhury donated the foods of iftar among
the people from MTB. 

 MTB donated 10,000 books on moral values to the students of Viqarunnisa

Noon School & College

Mutual Trust Bank Ltd distributed 10,000 books on moral values which are titled “Ishoper
Galpo – Mullobodher Prothom Path” to the students of Viqarunnisa Noon School & College.
They were given on a small ceremony in the auditorium of VNC. Mr. Quamrul Islam
Chowdhury, Deputy Managing Director was the Chief Guest and Mr. Md. Hashem
Chowdhury, Senior Vice President was present as the Special Guest in the ceremony. They
said that the books will help the students gain knowledge on the values of society and getting
rid of the ideas of corruption, terrorism, etc. from the minds of the future generation.

 MTB donated BDT 25.00 Lac to Prime Minister’s Relief Fund

There are many family members who were affected in the BDR Pilkhana Mutiny where
many martyred army officials were killed. The Director and Founder of Mutual Trust Bank,
Mr. Syed Manzur Elahi gave a cheque of BDT 25 Lac to the Prime Minister’s Relief &
Welfare Fund from MTB to assist the affected people.

 MTB donated winter clothes to poor madrasa students of Rampura

Deputy Managing Director, Mr. Quamrul Islam Chowdhury, the Head of MTB Infrastructure
Division, Md. Mahbubur Rasheed and Head of MTB Communications Department, Md.
Tauhidul Alam handed over the winter clothes to the less advantaged people of the madrasa
to protect them from the extreme cold.

 MTB observed World Environment Day 2014

Mutual Trust Bank celebrates World Environment Day by planting trees near Gabtoli Water
Bus Terminal on June 4, 2014. They also gave small sapling to customers in various branches
of MTB.
 Chapter – 3

General Banking

3.1 Introduction

General Banking is the starting point of all the banking operations. It is the
department which provides day-to-day services to the customers. Every day it
receives deposits from the customers and meets their demand for cash by honoring
cheque. It opens new accounts, recruit funds, issue bank drafts and pay orders, etc.
Banking financial institution is a monetary establishment which works as a negotiator
or mediator between two parties: borrower and lender. This negotiation of mediation
is done by taking money from various forms of lenders and lending them to other
several forms of potential investors. Different forms of accounts and special saving
schemes under General Banking are provided by the bank.

3.2 Definition

Everyday transaction of banking system is the main operation which is handled by

General Banking sector. It has to meet the customers demand for cash and to receive
investment from them. It opens new accounts, forwards customer’s money from one
place to another through issuing bank draft, payment order, endorsement, collects all
bills like local cheque collection, inward and outward bills collection for customers.
In MTB Centre Corporate Branch, departments under General Banking section are:

 FRONT DESK / ACCOUNTS OPENING SECTION

 BACH / RTGS Cell
 Other Customer Service Section

3.2.1 Account Opening section

 Responsibility of the Customer Service starts with opening of new account in the
name of new customer. This is the starting point of the client bank relationship. By
opening an account, the bank bridge it’s customer to avail the facilities provided by
the bank. This is one of the most important sections of a branch, because by opening
accounts, bank mobilizes funds for investment. Many rules and regulations are
followed and various documents are taken while opening an account.

i. Current Account:
Both individuals and business open this type of account. Frequent transactions are
(deposits as well as withdrawal) allowed in this type of account. A Current account
holder can draw cheque on his account, any amount, and any number of times in a
day as the balance in his account permits.
 Generally opened by the businessmen, government and semi-government
organizations; with proper introduction.
 No interest is given upon the deposited money.
ii. Savings Account:
Individuals for savings purposes open this type of account. This deposit is primarily
for small scale savers. Based on deposited amount interest is given here. Interest on
these accounts calculated and accrued monthly and credited to the account half-
yearly.
 An appropriate introduction is required for opening the account.
 A depositor may withdraw money from his / her account.
iii. Fixed Deposit:
A deposit which is payable at a fixed date or alter a period of notice is a time deposit.
While accepting these deposits, a contract is done between the bank and the customer.
When the banker opens an account in the name of a customer, there arise contracts
between the two. This contract will be a valid one only when both the parties are
competent to enter into contracts.

3.2.2 Formalities for Opening Account

For opening the account, the first hand requirements:

 Application on the prescribed form

 Introduction of the applicant
 Two copies of passport size recent photograph with attested by the introducer

At first Customer Service Desk wants to know whether the customer has introducer to open
the account or not? If yes then give him / her printed Account Opening Form along with
Specimen Signature Card, Customer Transaction Profile Form and Information form on
Money Laundering (Positive Pay). After that, request the customer to fill up the form duly
and submit the form with required documents.

Steps taken at the time of Opening the Account

Before opening of a Current or Savings Account, the following formalities must be

completed:

1. Customer fills up the 2. Customer must 3. Letter of

application form in the have to sign on Introduction is
prescribed manner specimen signature required for individual
card

4. Bank official scrutinizes

the introduction and
examines the documents
submitted

6. The Bank 5. Initial deposit must

official issued a be in the form of cash.
7. Now the account is
ready for operation cheque book for No cheque or draft is
the customer acceptable to the Bank

1. For opening an account, at first the prospective account holder will apply for opening
an account by filling up account opening form. Account opening form consists of the
Name of the Branch, Type of Account, Name of the Applicant(s), Present Address,
Permanent Address, NID, Date of Birth, Nationality, Occupation, estimated Monthly
 Income, Nominee(s), special instruction (if any), Initial Deposit, Specimen
signature(s) of the Applicant(s), Introducer’s information, etc. Moreover have to fill
up KYC form: This form has been introduced by the Bangladesh Bank to prevent
money laundering. KYC form helps to assess the customer. Clear instructions with
regard to operations are found in KYC. If the transaction of a customer is suspicious
or not matched with the KYC then Bank Branch will report it to Bangladesh Bank.
2. Signature of the prospective Account Holder in the account opening form and on the
‘Specimen Signature Card’ duly attested by the introducer. Moreover two copies of
passport size photograph duly attested by the introducer.

3. The prospective customer should be properly introduced by the followings:

 An existing customer of the Bank.
 A respectable person of the locality who is well known to the Manager or
authorized officer.
4. The authorized officers analyze the introduction and examine the documents have
submitted. Then the concerned authority will allocate a number for the new account.
5. The customer then deposit the ‘Initial Deposit’ by filling up a deposit slips.
6. After depositing the cash, one cheque book and Pay-in-slip is issued.
7. Then the account is considered to be opened.

MTB Centre Corporate Branch maintains all of its accounts in computer; they also follow
a register of all accounts before opening accounts. After depositing the initial deposit,
branch records it in the system. Then it distributes all relevant papers to respective
department.

Documents Required:

a) Personal Account (Individual / Joint):

 03 (three) copies of P / P size photo (attested by Introducer)
 01 (one) copy of P / P size photo of Nominee (attested by Applicant)
 National ID card / Passport / Driving License / Commissioner / Chairman
Certificate
b) Proprietorship Business Account:
 03 (three) copies of P / P size photo (attested by Introducer)
  National ID card / Passport / Driving License / Commissioner / Chairman
Certificate
 Trade License
 TIN and VAT Certificate
c) Partnership Business Account:
 01 (one) copy of P / P size photo of each partners (attested by Introducer)
 01 (one) copy of P / P size Photo of each Signatories
 National ID card / Passport / Driving License / Commissioner / Chairman
Certificate (any two) of each partner
 Trade License
 Partnership Deed (must be registered)
 TIN and VAT Certificate in the name of Business
 Board Resolution (Original Copy)
 18-A Permission from Bangladesh Bank (for GSA and Agents only)
d) Private Ltd. Company Business Account:
 01 (one) copy of P / P size photo of each Directors (attested by Introducer)
 01 (one) copy of P / P size photo of each signatories (attested by Introducer)
 National ID card / Passport / Driving License / Commissioner / Chairman
Certificate (any two) of each Shareholders
 Trade License
 Memorandum of association
 Board Resolution (Original Copy)
 TIN and VAT Certificate in the name of Business
e) Public Ltd. Company Business Account:
 01 (one) copy of P / P size photo of each Directors (attested by Introducer)
 01 (one) copy of P / P size photo of each signatories (attested by Introducer)
 National ID card / Passport / Driving License / Commissioner / Chairman
Certificate (any two) of each Shareholders
 Trade License
 Memorandum of association
 Articles of Association
 Board Resolution (Original Copy)
 TIN and VAT Certificate in the name of Business
f) Joint Venture Company Business Account:
  01 (one) copy of P / P size photo of each Directors (attested by Introducer)
 01 (one) copy of P / P size photo of each signatories (attested by Introducer)
 National ID card / Passport / Driving License / Commissioner / Chairman
Certificate (any two) of each Shareholders
 Trade License photocopy of each individuals
 Joint Venture Deed (must be registered)
 Board Resolution (Original Copy)

g) Association / Club Account:

 01 (one) copy of P / P size photo of each Directors (attested by Introducer)
 01 (one) copy of P / P size photo of each signatories (attested by Introducer)
 National ID card / Passport / Driving License / Commissioner / Chairman
Certificate (any two) of each Member
 Resolution of Governing Body (Original Copy)
 Constitution / By laws / Rules
 Certificate of Registration
 Trust Deed (for Trust Account only)
 TIN and VAT Certificate in the name of Business
h) NGO Account:
 01 (one) copy of P / P size photo of each Directors (attested by Introducer)
 01 (one) copy of P / P size photo of each signatories (attested by Introducer)
 National ID card / Passport / Driving License / Commissioner / Chairman
Certificate (any two) of each Partner
 Board resolution (Original Copy)
 TIN and VAT Certificate in the name of Organization
 Certificate of Registration of Societies
 Certificate of Bureau of NGO
 Photocopy of Memorandum of Society
 Certificate of Micro Credit Authority (if Applicable)
3.2.3 ISSUING CHEQUE BOOK TO THE CUSTOMERS

A customer needs a cheque book to open account, especially for Savings Account and
Current Account Holders. Thus, he can withdraw money whenever needed. For cheque book,
a Requisition Slip is prepared and signed by the Account Holder; a new cheque book is
issued after that.

Procedure of issuance of a Cheque Book in Flowchart:

Requisition Slip filled Banker verifies Banker issues new

properly along with the the Slip Cheque Book if
Cheque Book number everything is right

Enter the new Cheque Book number in the Register

Book against the specific Customer’s name

 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 Cheque Issue Register.
 Officer also entry the customer’s name and the account number in the same Register.
 Account number will be written on the cover of the Cheque Book and on the
Requisition slip.
 The word ‘issued on’ along with the date of issuance will be written down on
Requisition slip.
  Number of Cheque Book and Date of Issuance is also written on the application form.
 Next, the customers will be asked to sign in the Cheque Book Issue Register.
 At the last, the respected Officer signs in the requisition slip and put his / her initial in
the Register and hand over the Cheque Book to the customer.

3.2.4 Other Activities

Issuance of Deposit Slip

If a customer decides to deposit money, he / she have to collect a Deposit Slip from the
Customer Service Department of the Bank.

Deposit Sector

Deposit is the main function of bank. From the beginning of Banking System it is known to
us that deposit collection is the main operation of the Bank.

Closing the Account

Upon the request of a customer, an account can be closed. After receiving an application
from the customer to close an account, the following procedure is followed by a banker. The
customer should be asked to draw the final cheque for the amount standing to the credit of his
/ her account less the amount of closing and other incidental charges and surrender the
unused cheque leaves, the account should be debited for the account closing charges etc., and
an authorized officer of the Bank should destroy unused cheque leaves.

A banker can also close the account of his customer or stop the operation of the account
under following considerable circumstances:

 Death of Customer.
 Customer’s insanity and insolvency.
 Specific charge for fraud forgery.
 Stop payment of cheque.
  A banker can stop payment of cheque of his customer under following considerable
circumstances.
 Order of the court.
 The officer will see the condition of account and verify everything.

Department of Cash Payment

A bank’s cash sector expresses the liquidity strength of the bank. As it has to deal with
money, it is also susceptible. This department does the most vital work, which is,
contributing to the earnings of bank along with providing customer satisfaction with their
superior and quick services. Cash Payments can be made very quickly as it takes a few
seconds to see the account balance. The transaction which involves cash is called Cash
Transaction, which involves:

1. Cash Payment
2. Cash Receipt

Process of Cash Payment:

 The cheque leaf is checked to see if it is worded in the right way. Branch Seal, Date,
Total Amount to be withdrawn (in figure and word) and Signature of the Drawer are
covered in the cheque leaf. It is also checked whether the ‘bearer’ word is crossed
away or the cheque is in the name of any establishment. From cheque holder, a
receiver signature is also taken on the back of the cheque and the denominations of
notes are also written there.
 Signature confirmation is done by matching signature with the sample from the
recorded system, giving confirmation of the verifier and confirmation seal.
 Account is debited and the cheque is cancelled by the officer. Then it is posted in the
computer system and transaction number and posting stamp is attached on the cheque.
 Cash Payment Officer takes the cheque.
 A ‘Cash Paid’ stamp is attached on the cheque, and then this entry is taken in the
Cash Payment Register.
 Entry is posted in the debit drawer account and notes the transaction number on the
top of the cheque.

Cash Receipt Procedure:

  First it is checked whether the deposit slip is properly filled up with every details
needed (e.g. account number, amount in figure and word, depositor’s sign).
 Cash receiving Officer takes the cash, counts them twice and matches with the deposit
slip and also writes down the value of notes at the back of the cheque.
 The cash receiving officer also writes down the amount in figure and words in front
side of the cheque.
 A signature of cash receiving Officer and ‘Cash Received’ stamp is attached on the
front side of the cheque.
 It is added in the Record Book and a Scroll Number is written in the cheque.
 The system credits and places the deposit slip in the concerned account.
 Depositors get a counter folio as a receipt. System balances the cash by getting one
combined cash debit voucher posting.

3.2.5 Money Transaction:

Sending / Transfer money from one place to another place for the customer is another
important service of banks. And this service is an important part of country’s payment
system. For this service, people, especially businessmen can transfer funds from one place to
another place very quickly. There are three methods of transaction:

a) Payment Order (PO):

 Pay Order gives the payee the right to claim payment from the issuing bank.
 From issuer branch only.
 Within the clearing house area of issuing branch.
b) Demand Draft (DD):
 Demand Draft is an order of issuing bank on another branch of the same bank
to pay specified sum of money to payee on demand.
 From ordering branch only.
 Outside of the Clearing House area of issuer branch. Payee can also be the
buyer.
c) Telegraphs Transfer (TT):
  Issuing branch requests another branch to pay specified money to the specific
payee on demand by Online.
 Payment from ordered branch.
 Any place in the country.

Clearing Section:

This section receives all kinds of Cheque in favor of the client for clearing as the part of their
Banking Service.

c.2.6 Accounts Department:

The most fragile and classified sector in a bank is the Accounts Section. Under the
Computerized Banking System, recording all Monetary Exchange of the Branch and
assuring precision are the main job of this sector.

i. DAILY TASK:

Routine of daily tasks of the Accounts Department are as follows:

 Recording the transactions in the cashbook.

 Preparing the daily position of the branch comprising of Deposit and Cash.
 Making payment of all the expenses of the Branch.
 Recording inter branch Fund Transfer and providing accounting treatment in
this regard.
 Recording of the vouchers in the Voucher Register.
 Packing of the correct vouchers according to the Debit Voucher and Credit
Voucher.

ii. PERIODIC TASK:

 Preparing the monthly salary statements for the employee.
 Publishing the basic data of the Branch.
  Preparing the weekly position for the branch comprising of the breakup of
sector wise Deposit, Credit, etc.
 Preparing the budget for the branch by fixing the target regarding Profit and
Deposit so as to take necessary steps to generate and mobilize deposit.

c.2.7 Other Services:

SMS Banking

One of the main goals of MTBL is making the banking process more convenient. So they
have introduced “SMS Banking Service” to cope up with modern banking trend. MTB
SMS Banking remains worry free. Visit nearest MTB Branch or call 16219 to register.

Facilities of SMS Banking

 Access account from anywhere in the world through mobile phone.

 Ability to make balance inquiries without visiting the bank.
 Ability to receive mini statement of last 5 transactions.
 Transaction alert gets you informed whenever there is a cash withdrawal
transaction on your account.
c.2.8 Cash Section

Cash Department is the most vital and sensitive organ of the branch as it deals with all
kinds of cash transactions. This department starts the day with cash in vault. Each day some
cash that is opening cash balance are transferred to the cash officers from the Cash Vault.
Net figure of the Cash Receipts and Payments are added to the opening cash balance. The
figure is called Closing Balance. This Closing Balance is then added to the vault. And this
is the final cash balance figure for the bank at the end of any particular day.
c.3 Hierarchy of Branch (MTB Centre Corporate Branch):

Md. Azam Ali Khan

(Branch Manager)

Md.Arif Mahmud
( Deputy Manager)

Md.Khandaker Khalid Alam

(Credit Administration Unit)

Foreign Exchange Credit Department General Banking

Department Department

Md.Khandaker Khalid Alam

Rezaul Karim (SO) (JAVP ) Kanis Fathema
(JAVP)
Md.Shakawat Hossain (SO)
 Farhana Islam (AO)
Md.Fahad Khan (SO)

Table 1: Hierarchy of MTB Centre Corporate Branch

c.4 SWOT Analysis

SWOT Analysis is an important tool for evaluation the company’s Strengths, Weakness,
Threats and Opportunities. It helps the organization to identify evaluate its performance and
can scan the micro environment, which in turn is would help the organization to navigate in
the turbulence ocean of competition. In the following statements, the SWOT Analysis of
MTB are given below:
 STRENGTHS:

 MTB has strong non-interest earning Base.

 Wide Branch Network among the 3rd generation Banks.
 Low infection in loan exposure.
 Wide product line.

1. Top Management

The top management of the bank, the key strength for MTBL has contributed heavily towards
the growth and development of the bank. The top management officials are highly educated
and some of the most experienced banking personnel of our country.

2. Company Reputation

The reputation of the bank is increasing day by day. People are relying on this bank
gradually.

3. Sponsors

The sponsors of the bank are some of the top companies and top business personnel of our
country. In assessing the collateral aspect of a loan request, the loan officer must ask, does
the borrower possess adequate net worth or own enough quality assets to provide adequate
support for the loan? The loan officer is particularly sensitive to such features as the age,
condition, and degree of specialization of the borrower’s assets.

4. Modern Facilities and Computer

From the very beginning, MTBL tries to furnish their work surroundings with modern
equipment and facilities. For speedy service to the customer, MTBL had installed money-
counting machine in the teller counter. The bank has computerized banking operation under
software called PC banking. More over computer printed statements are available to internal
use and occasionally for the customers. MTBL is equipped with telex and fax facilities.

5. Stirring Branches

From the formative stage of MTBL tried to furnish their branches by the impressive style.
Their well-decorated branches gets attention of the potential customer, this is one kind of
positioning strategy. The Basundhara City Branch is also impressive and is comparable of
foreign banks.

6. Interactive Corporate Culture

The corporate culture of MTBL is very much interactive compare to other local organization.
This interactive environment encourages the employee to work attentively. Since the banking
jobs is very much routine work oriented and lovely environment boots up the work capability
of the employees.

Weaknesses:

 It has high cost of fund.

 It has highly exposed to volatile garment business.
 It has excessive dependency on term of deposit.
 Inadequate delegation of power.
 Inadequate IT infrastructure.

1. Limitation of Information System (PC Bank)

PC bank is not comprehensive banking software. It is desirable that a more comprehensive

banking system should replace PC bank system.

2. Hierarchy Problem
The hierarchy problem treated as a weakness for MTBL, because the employee will not stay
for a long. So there will be a chance of brain drain from this bank to other bank. Another
important aspect of credit policy is pricing of loans. MTBL bank’s management determine
rate of interest through considering the cost of their allocated fund. Bank’s management
proves their skill by determining their loan pricing which reflects on their high rate of
profitability. Comparing to the newly established Bank’s, MTBL bank’s loan pricing is
competitive

3. Advertisement Problem

There is another weakness for MTBL is advertisement. Their media coverage is so much low
that people do not know the bank thoroughly.

Opportunities:

 It has credit card business.

 It has scope of market penetration through diversified products and wide
banking network.
 It has regulatory environment favoring private sector development.

1. Diversification

Mutual Trust Bank can pursue diversification strategy in expanding its current line of
business. They do not serve not only the army but also the general people. At the initial stage,
Concerned Branch Manager has the authority to consider whether the bank is going to give
loan to the particular borrower. After submitting the proposal to the Head Office, it is their
responsibility to take the final decision to disburse the loan.

2. Business Banking

The investment potential of Bangladesh is foreign investors. So MTBL has opportunity to

expand in business banking. Loan follow-up means the technique of supervision (of loan).
The branch manager keep a close and constant watch on all their loans and advances to
ensure that timely action is initiated in each case for adjustment of account or its renewal, if it
is decided to continue the facility. For this purpose each branch maintain a diary or card in
prescribed format in which the due date of expiry of loan facilities are noted down. At least
thirty days before the date of expiry of any loan facility, a notice send to the borrower
reminding him of the due date of repayment and making formal demand of repayment are
renewal as the case may be. Vigorous follow up actions there after taken by issuing repeated
reminders and putting pressures on the borrower by calling on him personally.

3. Credit Card

There is an opportunity to launch Credit Card in Bangladesh by MTBL. Beside this, MTBL
can acquire services for cards like VISA, MASTER CARD, etc. So that they can enhance the
market based card service.

Credit policy is the guideline for the bank’s credit division. It generally aims at firstly
creating healthy loan assets to ensure good interest earnings for the bank, secondly ensuring
ultimate safety through good selection of assets based on its salability and thirdly improving
discipline on use of resources. It provides limit to total loan of a bank in relation to its deposit
funds, limits of its exposure to different sectors, limits of risk assets on types of security,
limits of loans to single borrower entity and limits of loan approval authority at different tiers
is the single most important document of guidance to managers and executives of a bank.

Threats:

 It has increased competition for the market for public deposits.

 Market share for lowering interest rate.
 Deteriorated export, import and guarantee business due to indecent
competition as well as economic slump.

1. Contemporary Banks

The contemporary banks of Mutual Trust Bank like: Dhaka Bank, Dutch-Bangla Bank,
National Bank, The Trust Bank, Mercantile Bank is its major rivals. They are carrying out
aggressive campaign to attract lucrative clients as well as big time depositors. MTBL should
remain vigilant about the steps taken by these banks, as these will in turn affect MTBL
strategies.
2. Multinational Bank

The Rapid expansion of multinational bank poses a potential threat to new PCB’s. Due to the
booming energy sector, more foreign banks are expected to operate in Bangladesh.
Moreover, the existing foreign banks such as HSBC, AMEX, CITI N.A, and Standard
Chattered are now pursing an aggressive branch expansion strategy. Since the foreign banks
have tremendous financial strength, it will pose a threat to local bank to a certain extant in
terms of grabbing the lucrative clients.

3. Default Culture

Default culture is very much familiar in our country. For a bank, it is very harmful. As
Mutual Trust Bank is new, it has not faced it seriously yet. However as the bank grows older
it might become big problems.

After determining the total extendable limit of loan in the policy, it becomes essential for
MTBL Bank to fix limits of loans for disbursing the loans in the different sector to diversify
the risk. MTBL Bank emphasis in the following sector to disbursement of their loan.
 Chapter – 4

On the Job Responsibilities

4.1 Internship Experience

Internship is very significant for anyone because it is the best time to gather realistic
information. I have completed my internship program within 24th June to 23rd September,
2018. I have learnt many things about General Banking in these three months Internship
Program. I have found a responsive working atmosphere and I felt like I was one of them.
Each of my colleagues assisted me very much to understand all the works easily.

I worked on how to open different kinds of accounts, e.g. Regular Savings Account, Fixed
Deposit Account, DPS (MTB Brick by Brick) Account, Monthly Savings Account, MTB
Millionaire Account. I also learned how to verify the National ID Card, bank has access to
the Bangladesh Election Commission website to verify NID.
4.2 Job Responsibilities

The Report has been prepared on the basis of experience gathered during the period of my
Internship. Within this time of period, I mainly worked in General Banking and Accounts
Department. Bank does not follow any guideline or fixed any responsibilities for Intern.
Mainly I have done many pending works of the Account Opening Section and Accounts and
Clearing Department. Besides that I have done different types of tasks in different desks
whenever they assigned me to do like:

o Opening accounts
o Issuing cheque books
o Changing account information
o Providing client statements
o Debit card and Credit card received and give it to customer
o Debit and Credit card pin received and give it to customer
o

4.3 The Daily Work Routine

I start my work in the bank in the official time, from 10:00 am to 6:00 pm. I have worked in
different desks from starting office time to till end of the office time.

4.4 Functions of the Department

4.4.1 Account Opening Department:

Here I have learned the procedure of opening an account and the documents that are
needed for opening an account and types of accounts dealt by Mutual Trust Bank Limited.
Various types of accounts along with their features which includes Current Account (C/A),
Savings Account (SB), SND, FDR, etc. The employee of MTB assisted me how to deal with
clients versatile questions regarding different accounts opening, what amount of interest rate
they will get from these different categories of accounts, how to locate desired cheque books
from the locker according to customers’ requirements and many more.
o Giving the customers the information what type of documents will be required to
open an account. I used to tell them they need two copies of their photograph and one
photograph of the nominee and the photocopy of client’s and nominee’s National ID
and photocopy of Source of Income of account holder.
o Correction of uncompleted forms which have detected by internal audit. Like there
were some forms where unfilled of putting account number, title name, occupation of
account holder, etc. Some form kept without proper mailing address, TIN, National
ID card number and so on. My Job was to complete that information from attached
information to fulfill the forms.
o Then I have to fill up Know Your Customer (KYC) Form of Individual, Non-
Individual, Beneficial and Corporate Risk Rating. In risk rating, my task was to find
risk level and risk rating of that account holder or corporate by considering TP form
for the purpose of measuring overall risk assessment.
o Distribution of desired Cheque book by asking their name, account number and then
verifying them.
o Used the photocopy machine, scanner and printer for required purpose.
o Finding the DPS, old accounts which have closed.

4.4.2 Learning Points:

I have learned different works throughout my internship program which are

given below:

Firstly, I put the account number, UCIC number and then the account holder’s
personal information like name, address, date of birth, nominee’s relation with
account holder. Then the amount of monthly income also I have put with the
occupation of the account holder as well as if it is a savings or current account, the
introducer’s information is necessary. Finally, sector code of the account holder, i.e.
Service holder, Businessman, Student or House-wife, etc. is also posted.

I have also learned how to present their features to the customers.

4.4.3 Issuing Payment Order slip:

The Pay Order form must be filled up at first. The form includes information
like, to which individual it issued, and the sum of money and the name of the client.
The Pay Order block is prepared in which in the front page “NOT OVER ……..TK
ONLY” is written in Block Letter after receiving cash in the cash counter.

4.4.4 Issue of the Cheque Book:

Many steps are followed while issuing Cheque book. The verification of
account holder’s signature is done at first. Then the Cheque book is given. The book’s
serial number is written down in the requisition slip and cheque register. After
completing all steps, the account holder’s signature is taken on the cheque register.

4.4.5 KYC Form completion:

The abbreviation of KYC is Know Your Customer. Account holder’s full

information is given here which includes submitted documents for identification,
amount of monthly income, the source of income, etc.

4.4.6 Clearing Department:

Banks for credit of the proceeds to the customer‘s account accept cheque and other
similar instruments. The bank receives many such instruments during the day form account
holders. Many of these instruments are drawn payable at other banks. As cheque payment
order or bill come from a bank with the range of local clearing house then it is sent for
collection through clearing house. The cheque may be crossed or notify a customer of
Mutual Trust Bank.
 Chapter – 5

Financial Performance Banking

5.1 Total Deposit Analysis of MTB Pallabi Branch

5.1.1 Total Deposit and its Growth Rate:

Particulars 2013 2014 2015 2016 2017

Total Deposit 4263.67 4380.62 5099.29 8274.40 11,133.03
Growth Rate ------- 2.67% 14.09% 38.37% 25.68%
Table – 1: Total Deposit and its Growth Rate (in millions)
 12000

10000

8000

6000
Total Deposit
Growth Rate
4000

2000

0
2013
2014
2015
2016
2017

Figure – 1: Total Deposit of MTB Pallabi Branch

ANALYSIS

The figure – 1 shows that, the total deposit amounts are increasing gradually during (2013 –
2017) periods. The growth rate increased vigorously until 2016 where in 2017 growth rate
decreased by 12.69%. Between 2013 and 2017, about Tk. 6,869.36 million increased in Total
Deposit.

5.1.2 Saving Deposits and its Growth Rate:

Particulars 2013 2014 2015 2016 2017

SD 284.86 510.99 756.97 934.37 1.418.89
Growth Rate ------- 44.25% 32.50% 18.99% 34.15%
Table – 2: Saving Deposits and its Growth Rate
 1600

1400

1200

1000

800 Saving Deposit

Growth Rate
600

400

200

0
2013 2014 2015 2016 2017

Figure – 2: Total Saving Deposits (in millions)

ANALYSIS

The figure – 2 shows that, the Total Deposit amount of Savings account increased gradually
during (2013-2015) periods. The Growth Rate decreased in 2016 by 18.99%, where in 2017
it increased to 34.15%. Between 2013 and 2017, about Tk. 1134.03 million increased in Total
Saving Deposits.

5.1.3 Current Deposits and its Growth Rate:

Particulars 2013 2014 2015 2016 2017

CD 70.07 136.37 304.58 210.11 380.52
Growth Rate ------- 48.62% 55.23% (44.96%) 44.78%
Table – 3: Current Deposits and its Growth Rate
 600

500

400

Growth Rate
300
Current Deposits

200

100

0
2013 2014 2015 2016 2017

Figure – 3: Total Current Deposits and its Growth Rate (in millions)

ANALYSIS

The Figure – 3 shows that the Total Deposit amount of Current account increased gradually
until 2015 periods. The Growth Rate decreased by 44.96% by 2016 where in 2017 it
increased to 44.78%. Between 2013 and 2017, about Tk. 310.45 million increased in Total
Current Deposits.

5.1.4 Special Notice Deposit (SND) and its Growth Rate:

Particulars 2013 2014 2015 2016 2017

SND 231.12 175.74 239.06 239.24 368.66
Growth Rate ------- (31.51%) 26.49% 0.075% 35.11%
Table – 4: Special Notice Deposit and its Growth Rate
 400

350

300

250

200
SND
150 Growth Rate

100

50

0
Growth Rate
2013
2014
2015 SND
2016
2017

Figure – 4: Special Notice Deposit and its Growth Rate (in millions)

ANALYSIS

The Figure – 4 shows that the Total Deposit amount of Special Notice Deposit account
decreased in 2014 comparatively from 2013 period. In 2016 only 0.075% partially increased
from 2015. Between 2013 and 2017, about Tk. 137.54 million increased in Total Special
Note Deposit.

5.2 Total Number of Accounts of MTB Pallabi Branch:

Particulars CD SD FDR SND Other TOTAL

Deposits
2013 400 3864 1153 35 1624 7076
2014 480 4955 1226 45 2047 8753
2015 591 6041 1223 56 2266 10177
2016 708 7454 1111 68 2513 11854
2017 632 8157 994 81 2377 12241
 TOTAL 2811 30471 5707 285 10827 50101
Table – 5: Total number of Account analysis of MTB Centre Corporate Branch

5.2.1 Current Deposit (CD) Account:

Current Deposit
Current Deposit

2017 632

2016 708

2015 591

2014 480

2013 400

Figure – 5: CD Account

ANALYSIS

From 2013 to 2016, the account of Current Deposit increased from 400 to 708 respectively.
In 2017 it decreased to 632 accounts.

5.2.2 Saving Deposit (SD) Account:

 Saving Deposit
Saving Deposit

8157
7454
6041
4955
3864

2013 2014 2015 2016 2017

Figure – 6: SD Account

ANALYSIS

From 2013 to 2017 the account of Savings Deposit increased which is 3864 to 8157
respectively.
5.2.3 Fixed Deposit (FDR) Account:

Fixed Deposit
Fixed Deposit

1153 1226 1223

1111
994

2013
2014
2015
2016
2017

Figure – 7: FDR Account

ANALYSIS

From 2013 to 2015, the account of Fixed Deposit increased to 1153 to 1223 respectively.
After 2015 period it gradually decreased to 994 accounts by 2017.
5.2.4 Special Notice Deposit (SND) Account:

2017 81

2016 68

2015 56

2014 45

2013 35

0 10 20 30 40 50 60 70 80 90

SND

Figure – 8: SND Account

ANALYSIS

From 2013 to 2017, the account of SND increased from 35 accounts to 81 accounts.
5.2.5 Percentage (%) of Total Accounts:

Total Accounts
6%
22%
CD SD

1% FDR SND

11%
Other
Deposits
61%

Figure – 9: Percentage of Total Accounts

ANALYSIS

Mutual Trust Bank Ltd – MTB Centre Corporate Branch have Total Accounts are 50,101
where CD, SD, FDR, SND and Other Deposits are 5.61%, 60.82%, 11.39%, 0.57% and
21.61% respectively.
5.3 Findings about the Performance of Mutual Trust Bank
Limited

After analyzing the financial performance of Mutual Trust bank limited, the researcher have
found some important observation that need the attention. By analyzing these observation
following findings have been placed to perform efficient operation of financial performance.

 They have fewer counters for clients to open accounts as we can see from
the analysis.
 Working process is slow to open more accounts and less equipment to
work on.
 Low performance on customer satisfaction.
 Because of less counter / desk, not all the client getting good attention.
 Saving Deposits is increased in 2017 by 34.15% where in 2016 it was
18.99%. This state that the Bank’s Saving Deposit is increasing Day by
Day.
 The computer training is necessary for the employees. Because there are
some senior manager who have very limited knowledge of computer. It
affects the banking system and works.
 Chapter – 6

Recommendations & Conclusions

6.1 Recommendations

Mutual Trust Bank is a renowned bank in Bangladesh with many growth opportunities.
Based on the results above, it can be said that Mutual Trust should increase their ideas in the
strategic field and introduce more products and services that fulfills the needs and
requirements of customers. The information collected gave several ideas by which service
can be improved.

The ideas that can help for the betterment of their service are given below:

 They should increase the amount of counters and employees so that more customers
can be served without waiting.
 MTB should focus on the customers that they already have increased their loyalty
towards the bank so that those existing customers will recommend the service to their
friends and relatives.
 Working process should be faster with better technology like faster computers, and
other operating systems and also printers which are easy to use.
 Research should be performed on a regular basis to understand the expectations of the
customers who are left dissatisfied.
 Individual attention can be given to customers in order to better understand the
customers’ needs and to satisfy them.
 They can increase their number of branches to reach an even wider range of
customers across various parts of the country.
 Employees training, workshops, seminars can be increased so they are more
professional to all sorts of problematic situation and customers.
 The bank should focus on increasing their profit more and also by keeping their social
welfare help for the development of Bangladesh.
6.2 Conclusions

Mutual Trust Bank Ltd is serving an essential role in the financing of the people of
Bangladesh. It is one of the leading commercial banks in Bangladesh.  MTBL is known as a
very dependable and good bank, and the increasing number of its clients shows that it’s
increasing acceptance among their customers. MTBL is trying hard in their performance in
financial condition. MTBL is rapidly increasing their total number of clients and account
holders, and currently they are should focusing on their level of customer satisfaction. They
want to prevent loss of customers to numerous competing banks. MTBL should increase their
number of branches and ATM booths more to serve even more people around the country.

I got the opportunity to work practically in a well-known bank as MTB. I got to interact with
the employees to provide the services and also the customers to understand their
expectations. It has increased by Masters of Business Administration and made the
knowledge that I have learnt from University more accurately. MTB is much more structured
than many banks in Bangladesh and is always looking for improvement. With time, they can
succeed on becoming the country’s top banks and everyone’s “BANK of Choice”.
 ACRONYMS

IBB – Institute of Bankers Bangladesh

BAB – Bangladesh Association of Banks

BAFEDA – Bangladesh Foreign Exchange Dealer Association

BIBM – Bangladesh Institute of Bank Management

BAPLC – Bangladesh Association of Publicly Listed Companies

MCCI – Metropolitan Chamber of Commerce and Industry

ICCB – International Chamber of Commerce

DSE – Dhaka Stock Exchange

DCCI – Dhaka Chamber of Commerce and Industry

FBCCI – Federation of Bangladesh Chambers of Commerce and Industry

AmCham – American Chamber of Commerce in Bangladesh

PDBL – Primary Dealers Bangladesh Limited

SME – Small and Medium Enterprise

DIBOR – Dublin Inter-Bank Offer Rate

UCIC – Unique Customer Identification Code

 REFERENCE

About Us (n.d.). Retrieved from Mutual Trust Bank Ltd.:

http://www.mutualtrustbank.com/about-us/

Bank info (n.d.). Mutual Trust Bank Limited. Retrieved from Bank Info beta:

http://bankinfobd.com/banks/28/Mutual_Trust_Bank

Deposit Products (n.d.). Retrieved from Mutual Trust Bank Ltd.:

http://www.mutualtrustbank.com/retail/deposit-products/

Mission & Vision (n.d.). Retrieved from Mutual Trust Bank Ltd.:

http://www.mutualtrustbank.com/about-us/mission-vision/