22 August, 2013 The Vice Chancellor World University of Bangladesh Dhan ondi, Dha!

a"120# $u%&ect' Prayer for permission to prepare and submit Internship Report.

Dear $ir, ( )ould li!e to infor you that ( a a student of BBA *rogra a&or in +ar!eting, ( have successfully co *leted all the courses included in y BBA *rogra , -o) ( )ould li!e to *re*are re*ort on Measuring the level of Customer Satisfaction for credit department of Exim Ban !imited under the su*ervisor of S. M. "ero# Mahmood$ .ecturer, De*art ent of Business Ad inistration, World University of Bangladesh, (, therefore, *ray and ho*e that you )ould %e !ind enough to *er it and o%lige there%y, e to *re*are the re*ort

$incerely yours,

Md. %ahangir &lam /rogra ' BBA 0+a&or in +ar!eting1 Batch' 22th A 3oll' 43# De*art ent of Business Ad inistration World University of Bangladesh 0WUB1

(nternshi* 3e*ort 5n 'opic( Measuring the level of Customer Satisfaction for Credit
)epartment of Exim Ban !imited

This re*ort is su% itted to the De*art ent of Business Ad inistration, World University of Bangladesh in /artial fulfill ent of the re6uire ent for the degree of Bachelor of Business Ad inistration )ith $*eciali7ation in +ar!eting,

Submitted by( +d, 8ahangir Ala /rogra ' BBA 0+a&or in +ar!eting1 3eg ' WUB 0190:92;943# Batch ' 22thA 3oll ' 43# World University of Bangladesh 0WUB1

Submitted 'o( S. M. "ero# Mahmood .ecturer, De*art ent of Business Ad inistration World University of Bangladesh 0WUB1

)ate of Submission( **&ugust$ *+,-

,., Introduction <enerally %y the )ord =Ban!> )e can easily understand that the financial institution deals )ith oney, But there are different ty*es of Ban!s such as? Central Ban!s, co =Ban!> )ithout any *refi@, 6ualification, if refers to the ACo ercial ercial Ban!s, $avings Ban!s, (nvest ent Ban!s, (ndustrial Ban!s, Co"o*erative Ban!s etc, But )hen )e use the ter Ban!sB, Co can say Co ercial Ban!s are the *ri ary contri%utors to the econo y of a country, $o )e ercial Ban!s are a *rofit a!ing institution that holds the de*osits of a!e

individual and %usiness in chec!ing and savings accounts and then uses these funds to

loans, Both general *u%lic and the govern ent are de*endent on the services of Ban!s as the financial inter ediary, As %an!s are *rofit earning concern they collect de*osit at the lo)est *ossi%le cost and *rovided loans and advances at higher cost, The differences %et)een t)o are the *rofit for the %an!, Cro the (nce*tion of %an!ing %usiness Credit De*art ent is an i *ortant tool in increasing *roductivity and there%y increasing the inco e of %orro)er, Ade6uate flo) of Credit De*art ent can re ove the financial constraints on the %orro)er, There has %een *heno enal gro)th in the flo) of Credit De*art ent after li%eration due to govern ents desire to increase *roductivity in the country, D@i dyna ic credit *olicy to dis%urse %oth short ter Ban! .td )as glared u* through a credit, As a result the flo) of and long ter

Credit De*art ent has increased significantly, As the volu e of the loans has increased su%stantially over the years, the *ercentage of loan default increased gradually, This study is !ind of .i ited, easuring the level of Custo er $atisfaction for Credit De*art ent of D@i Ban!

,.* Rationale and Scope of the Study( Due to the increased co *etition of increased nu %er of Co ercial Ban!s and the gro)ing econo y, the e@*ectations of the custo ers have also increased than ever %efore, 3eali7ing the *resent condition, %an!s, es*ecially the Co ercial Ban!s are trying to elevate their loan giving service as uch as reacha%le to their custo ers, The ost serious difficulty facing the financial sector is the high level of interest rate and inflation rate, $o it is the duty to the to* anage ent of the Co ercial Ban!s to )or! )ith the situation, <lo%ali7ation creates a co on or uni6ue ar!et all over the )orld, The )orld is %eco ing single ar!et %y dint of advance technology in the era of glo%ali7ation )hich a!es the )orld ar!et very co *etitive and dyna ic, -o) the *eo*le )ant to leave very easy life and avoid various ty*es of difficulties, -o one can )ant to hold or carry oney in his9her )allet, Cards are very s all si7e to carry, The sco*e or areas of cards are very )ide, The sco*e or areas of cards are Credit Card De*art ents hel*s to the glo%ali7ation (t reduces the difficulties of travelers che6ue (t reduces the ris! of %earing (t creates to life lot of easier (t enhances the retail credit facility De%it *re*aid and credit *roducts ena%le *eo*le to enter %an!ing syste s, +ore Ban! de*osits in *roved 6uality and faster flo) of funds sti ulate econo ic gro)th De%it Cards are the )orldBs fastest gro)ing *ay ent *roduct and gate)ay to its %an!ing in fracture (ncreases access to icrofinance oney entioned %ello)'

Cro the a%ove discussion it is very clear to understand that the econo ic condition of the country is in rising *osition in the entire sector )hich is the indicator of *ros*erous of the econo y of the country, Cro that vie) *oint ( can say that the sco*e or area of the credits is increasing day %y day in in the )orld econo y i,e, in our country,

,.- .b#ectives of the Study( The a&or o%&ectives of this study are as follo)s' Ban! .td,

To identify the consu ersB satisfaction level a%out the service 6uality of the Credit De*art ent of D@i To find out the )ea!nesses of their service, To give reco endations to overco e their )ea!ness,

,./ Methodology of the Study( To conduct the study %oth /ri ary and $econdary sources of data )ill %e utili7ed and these are e@*lained as under' 'he Primary sources of data are as follo0s( (ntervie)ing through infor al discussion )ith the res*ective clients, officers and staffs of D@i Ban! .i ited, Cace to face conversation )ith the %an! staff, /ractical des!)or! during internshi* *rogra , Direct o%servations 'he Secondary sources of data are as follo0s( Annual re*ort 020121 of D@i Ban! .i ited,

Credit ris! +anage ent +anual, 3elevant Boo!s, 8ournals, /eriodicals, 3esearch *a*ers, We% sites of D@i 0))),e@i %d,co 1

1.4.1 Research Questions:

The Euestionnaires ad inistrated to the res*ondents has %een one section )hich is on Customer Satisfaction !evel of Credit )epartment $ervices of D@i 6uestions, All these 6uestions have %een designed )hich relates to D@i close ended, Ban!, consist of 1# Ban! credit card

de*art ent, co *rises 1# 6uestions under section, All these 6uestions are %oth o*en ended

1.4.2 Research Design: A descri*tive research under conclusive research )as used to conduct this research %ecause according to -,F, +alhotra 020031 a descri*tive research is a ty*e of conclusive research and it can %e conducted to deter ine the *erce*tion of *roduct or service characteristics, 1.4.2 Research Method: The researcher used 6uantitative the research 6uestion, 1.4.3 Research Approach: The researcher used 6uestionnaire to gather those 6uantitative data, (n the introduction *art of the 6uestionnaire the reason of the research as )ell as the instruction to fill u* the 6uestionnaire )as )ritten, All *artici*ation )as voluntary and the *artici*ants )ere allo)ed to )ithdra) )ithout at any ti e )ithout sho)ing any reason, The custo ers did not have to ans)er all the 6uestions if they do not )ant to and they )ere given the li%erty to leave any of the 6uestions they didnBt li!e, The researcher e@*lained the 6uestions to the custo ers if they do not understand any, conducted, 1.4.5 Sampling Method: The researcher surveyed those custo ers )ho )ere conveniently availa%le, According to -,F, +alhotra 020031 this is called convenience sa *ling and itBs a ty*e of non" As ta!ing *ersonal intervie) )as ti e consu ing, it )as not ethod to gather infor ation fro the custo ers on

*ro%a%ility sa *ling, The age of the *o*ulation )as a%ove 14 and as there )as a li itation of ti e the sa *le si7e )ere 100, 1.4.6 Sur e! "nstrument: (n the current study, the researcher utili7ed a structured 6uestionnaire to collect *ri ary data fro the sa *le, The 6uestionnaire used in this study is co *rised of t)o *arts, =strongly disagree $U3VEUA. (n the first *art there )ere 6uestions on *erce*tions of the res*ondents on service 6uality of Credit De*art ent at DG(+ Ban!, A five"*oint .i!ert scale ranging fro H 1> to =strongly agree H #> )as used to easure the 21 ite s, This 21"ite

scale is develo*ed %y /arasura an, Ieitha l, and Berry 01:441, $ince /arasura an et al, 01:441 introduced the $D3VEUA. instru ent, any researchers have also used, e@tended and develo*ed this scale to study service 6uality in different sectors of the service industry 0Cic! J 3itchie, 1::1? Ba%a!us J +angold, 1::2? Coyle J Dale, 1::3? Cronin J Taylor, 1::2? .e)is J /escetto, 1::K? $ ith, 1::#? Buttle, 1::K? .a , Wong, J Leung, 1::;? .i J Tang, 2000? 5ldfield J Baron, 2000? <ounaris, $tatha!o*oulos, J Athanasso*oulos, 20031, The second and last *art contains 6uestions a%out *ersonal *rofiles of the res*ondents including na e, age and se@, 1.4.# Data $ollection %rocedure: The researcher gathered data fro the custo ers )hen they ca e for service at the

Credit De*art ent of Mead office and /antha*ath %ranch office of DG(+ Ban! The researcher *rovided 6uestionnaire to those custo ers )ho )ere interested in *artici*ating in the survey, 1.4.& Data Anal!sis %rocedure: After co *leting the survey the data )as analy7ed %y +icrosoft D@cel, Then the findings )ere reco ade, Based on the findings the *resent situation )as e@*lained and ade, endation )as

1.5 'imitations o( the stud!: Convenience sa *ling created sa *ling error, The sa *le si7e )as s all,

 The survey )as

ade at +oha!hali head office and /antha*ath %ranch office of the

Credit De*art ent of DG(+ Ban!

'ime 'able

&ctivity
Submission of the Proposal Data and (nfor ation Collection )ata &nalysis Derive Data Collection and *ossi%le reco analysis Report 0riting 3 illustration A end ents, revisions and *resentation 'otal

)uration 1Month2
N +onth endations fro 1 N +onths 1 +onth - months

TABLE OF CONTENTS

Title
.etter of Trans ittal Declaration Certification Ac!no)ledge ent D@ecutive $u Chapter , Introduction 1,1 (ntroduction,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,0 1,2 3ationale and $co*e of the $tudy,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,0 1,3 5%&ectives of the $tudy,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,0 1,2 +ethodologyOOOO,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,0 1,2,1 3esearch Euestion,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,0 1,2,2 3esearch Design,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,0 1,2,3 3esearch +ethod,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,0 1,2,2 3esearch A**roach,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,0 1,2,# $a *ling +ethod,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,0 1,2,K $urvey (nstru ent,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,0 1,2,; Data Collection /rocedure,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,0 1,2,4 Data Analysis /rocedure,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,0 1,# .i itation of the study,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,0 Chapter * .rgani4ational .vervie0 2,1 A%out the Co *any,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,0 ary

2,2 Mistory of D@i 2,3 +ission of D@i

Ban!,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,0 Ban!,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,0 Ban! .td,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,0

2,2 Cinancial /erfor ance of D@i

2,# Ca*ital and 3eserve Cund,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,0 2,#,1 De*osit,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,0 2,#,2 (nvest ent,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,0 2,#,3 ( *ort Business,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,0 2,#,2 D@*ort Business,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,0
Chapter 'heoretical .vervie0

3,1 Bac!ground of Cards,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,00 3,1,1 What is Card,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,00 3,1,2 De%it Card,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,00 3,1,3 Credit Card,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,00 3,1,2 Ty*es of Credit Card,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,00 3,1,# Credit Cacility,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,00 3,1,K .oan,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,00
Chapter / )ata Collection and &nalysis of the Report

2,0 Data Collection and Analysis of the 3e*ort,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,O,00 2,1, Data Collection and Analysis of (ndividual ite s or Euestions,,,,,,,,,,,,,,,,,,,,,,,O,00 2,2 5verall Data Collection and Analysis,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,00

Chapter 5 #,1 DiscussionOOOOOOOOOOOOOOOOOOOOOOOOOOOO #,3 3eco 00 #,2 ConclusionOOOOOOOOOOOOOOOOOOOOOOOOOOOOO,,00 endationOOOOOOOOOOOOOOOOOOOOOOOOOOO,,00 #,2 .i itationsOOOOOOOOOOOOOOOOOOOOOOOOOOOOO,,00 3eference OOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOO,00 A**endi@OOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOO,00

Chapter -

-.+ 'heoretical .vervie0( -., Customer Satisfaction

Customer satisfaction, a ter fre6uently used in ar!eting, is a easure of ho) *roducts and services su**lied %y a co *any eet or sur*ass custo er e@*ectation, Custo er

satisfaction is defined as Pthe nu %er of custo ers, or *ercentage of total custo ers, )hose re*orted e@*erience )ith a fir , its *roducts, or its services 0ratings1 e@ceeds s*ecified satisfaction goals,P PWithin organi7ations, custo er satisfaction ratings can have *o)erful effects, They focus e *loyees on the i *ortance of fulfilling custo ersB e@*ectations, Curther ore, )hen these ratings di*, they )arn of *ro%le s that can affect sales and *rofita%ility, , , , These effective,P Therefore, it is essential for %usinesses to effectively a%le do this, fir s need relia%le and re*resentative has anage custo er satisfaction, To %e easures of satisfaction, etrics 6uantify an i *ortant dyna ic, When a %rand has loyal ar!eting, )hich is %oth free and highly custo ers, it gains *ositive )ord"of" outh

P(n researching satisfaction, fir s generally as! custo ers )hether their *roduct or service et or e@ceeded e@*ectations, Thus, e@*ectations are a !ey factor %ehind satisfaction, When custo ers have high e@*ectations and the reality falls short, they )ill %e disa**ointed and )ill li!ely rate their e@*erience as less than satisfying, Cor this reason, a lu@ury resort, for e@a *le, ight receive a lo)er

satisfaction rating than a %udget dee ed su*erior in Ra%soluteR ter s,P Purpose of Customer Satisfaction

otelQeven though its facilities and service )ould %e

Custo er satisfaction *rovides a leading indicator of consu er *urchase intentions and loyalty, Custo er satisfaction data are a ong the ar!et *erce*tions, Their *rinci*al use is t)ofold' Within organi7ations, the collection, analysis and disse ination of these data send a essage a%out the i *ortance of tending to custo ers and ensuring that they have a *ositive e@*erience )ith the co *anyBs goods and services, ost fre6uently collected indicators of

Although sales or )ill

ar!et share can indicate ho) )ell a fir

is *erfor ing currently,

satisfaction is *erha*s the %est indicator of ho) li!ely it is that the fir Bs custo ers a!e further *urchases in the future, +uch research has focused on the ost strongly reali7ed at the e@tre es, 5n a five" etric relationshi* %et)een custo er satisfaction and retention, $tudies indicate that the ra ifications of satisfaction are return custo ers and *oint scale, individuals )ho rate their satisfaction level as R#R are li!ely to %eco e ight even evangeli7e for the fir , 0A second i *ortant end, This related to satisfaction is )illingness to reco etric is defined as the end a %rand end it ight reco

*ercentage of surveyed custo ers )ho indicate that they )ould reco to friends, When a custo er is satisfied )ith a *roduct, he or she to friends, relatives and colleagues, This can %e a *o)erful Curther, they can hurt the fir satisfaction, -.* Credit department %y a!ing negative co end is a !ey

ar!eting advantage,1

(ndividuals )ho rate their satisfaction level as R1,R %y contrast, are unli!ely to return, ents a%out it to *ros*ective etric relating to custo er custo ers, Willingness to reco

Credit de*art ent in a %an! that evaluates the financial condition of credit a**licants and aintains a log of loan *ay ents on currently outstanding loans, Credit infor ation is gathered on a confidential %asis and stored for future reference, The credit de*art ent also res*onds to re6uests %y other lenders for credit infor ation on a *articular %orro)er,

-.- Credit management scenario The )ord =Credit> is derived fro %roadly, credit is finance the .atin )ord =credo> eaning, =( %elieve>, $*ea!ing credit is a&or ercial

ade availa%le %y one *arty 0lender, seller, or shareholder9o)ner1 to

another 0%orro)er, %uyer, cor*orate or non"cor*orate fir 1, +ore generally the ter

used narro)ly for de%t finance, (n %an!ing area credit is considered as one of the finance all of the su%"sectors of financial arena, )hich co *rises agricultural, co and industrial activities of a nation,

functions, Ban! lending is i *ortant for the econo y in the sense that it can si ultaneously

(n our country defaulting loan is an alar ing situation for %an!ing sector, Des*ite the a**lication of a nu %er of re edial easures, loan default *ro%le continued to haunt the , a $ince 1:4:, Bangladesh follo)s %oth =overdue criteria> and =6ualitative criteria> to dee Ban!, %an! loan, ter short"ter

loan classified or unclassified, According to overdue criteria, as suggested %y Bangladesh anagers usually divide all loans into five categories 0continuous loan, de and loan *aya%le in ore than five years and ention account agricultural credit 9 icro credit1, and then o%serve *eriods ela*sed for loan *aya%le )ithin five years, ter

re*ay ents, All trou%led loans are then further reclassified as s*ecial

0$+A1, su%standard, dou%tful and %ad9losses to co *ly )ith international nor s of loan classification, To fight )ith this situation, Bangladesh Ban! has *rovided a guideline as *olicy guideline, (n this guideline these things are included" !ending 6uidelines (ndustry and Business $eg ent Cocus Ty*es of .oan Cacilities $ingle Borro)er9<rou* .i its9$yndication .ending Ca*s Discouraged Business Ty*es .oan Cacility /ara eters Cross Border 3is!

$o e ris! factors also included in guideline those need to %e assessed for a loan, They are A ount and ty*e of loan0s1 *ro*osed, /ur*ose of loans, .oan $tructure 0Tenor, Covenants, 3e*ay ent $chedule, (nterest1 $ecurity Arrange ents

(n addition to this ris!s so e other ris! areas should %e considered such as %orro)er analysis ,industry analysis ,su**lier9%uyer analysis, historical financial analysis, *ro&ected financial *erfor ance, account conduct, adherence to lending guidelines, loan structure, security, na e lending etc, -.-., 'ypes of loans and advances offered by E7IM Ban The a!ing of loan and advance is al)ays *rofita%le to a %an!, As the %an! the general *eo*le in the for of de*osit, the o%ili7es itigating factors,

savings fro co

ost i *ortant tas! of it is to

dis%urse the said de*osit as loan or advance to the ain *ur*ose of the co de*ends on the efficient DG(+ Ban! .i ited has )ise and sector )ise, ercial %an! is to

ass *eo*le for the develo* ent of

ercial, industrial )ho are in need of fund for invest ent, .i!e other %usiness fir , the a!e *rofit, The *rofita%ility of the %an!s anner and avenues in )hich the resources are e *loyed, The ade so far efficient use of the de*osit and has the classified rates ode

under control, The Ban! dis%urses loan in different for , (t varies in *ur*ose )ise,

Classification of &dvance( Commercial 3 Industrial Credit 1, (ndustrial Credit $che e, 2, +icro Credit $che e for the *oor, 3, Co ercial credit,

,. Industrial Credit Scheme DG(+ Ban! .td is a scheduled %an! underta!ing all ty*es of %an!ing o*erations, Through 100S share o)ned %y the <overn ent, the Ban! o*erates li!e a *rivate %an!, The very

na e, D@*ort ( *ort Ban! of Bangladesh .i ited, is indicative of the nature of the %an!, (t is %lend of develo* ent and co ercial %an!ing functions, ediu and long ter loans and and Articles As a one of the soundest %an!s in Bangladesh, DG(+ Ban! is uni6ue in its o%&ectives, The %an! is entrusted )ith the res*onsi%ility of *roviding short, other financial assistance for *ro otion of industrial sectors, The +e orandu

of Association of the %an! sti*ulate that #0 *ercent of loan a%le funds shall %e invested in s all and cottage industries sector, Thus the %an!Bs *riority re ains )ith *ro oting and financing s all scale industries in the country, =$ all (ndustry> eans enter*rises e *loying fe)er than #0 )or!ers and 9 or )ith a fi@ed illion, ainly )ith fa ily la%or, illion *er unit of ca*ital invest ent of less than T!, 100

=Cottage (ndustry> covers household %ased units o*erated cottage !eading Criteria of industrial credit scheme .eading criteria is an i *ortant *art of credit ris! a2 Entrepreneur(

<enerally, fi@ed assets and o*erating costs together do not e@ceed T!, 0,#0

anage ent )hich is doing %efore lending,

Dntre*reneur9 *ro oter have to %e credit)orthy and ca*a%le enough to run the *ro*osed *ro&ect efficiently, b2 8iability of the pro#ect( The *ro&ect should %e via%le in line )ith organi7ational, technical, co econo ic *oints of vie), c2 'echnical viability( The *ro&ect should %e technically sound and environ ent" friendly, Technology transfer in case of %orro)ed !no)"ho) ought to %e ensured, Building should %e )ell *lanned and )ell"constructed at a suita%le location, Technical *rocess *ro*osed should *refera%ly %e a *roven one, d2 Commercial viability( +ar!et *ros*ect and *otential for the *roduct has to %e fully assured at co *etitive *rices, +ar!eting channel e@isting for the *roduct should %e accessi%le to the entre*reneur, e2 "inancial viability( There should %e reasona%le de%t"e6uity ratio as deter ined %y the Ban! on individual case %asis, De%t service coverage ratio should %e at least 2,# ti es at the o*ti u (33 should *refera%ly %e not less than 20 *ercent, level of *roduction, ercial, financial and

The *ro&ect should %e found via%le in financial analysis done %y the Ban!, f2 Economic viability( The *ro&ect should ensure %enefit to the national econo y and create sufficient e *loy ent o**ortunity and increasing inco e, $avings9 Darnings of foreign currency *. Micro Credit Scheme for the poor The %oard of Directors of DG(+ Ban! in *ursuance of the o%&ectives of the Ban! and recogni7ing the need for hel*ing the lo) inco e *eo*le for ulated +icro Credit $che e for the *oor, They *rovide lone through -<5 also, Credit )elivery System( Three alternate delivery syste s are %eing used to reach credit to the ur%an *oor %orro)ers, These are' DG(+ Ban! *rovides loan to -<5s )hich on"lend to the *oor %orro)ers, -<5s then %eco e res*onsi%le to -<5s, The Ban! *rovides loan to the ur%an *oor %orro)ers through -<5s or the Ban! directly e@tends loan to the %orro)ers, The -<5s assist the Ban! in hel* grou*s and %y the Ban!, DG(+ *rovides loan to the ur%an *oor %orro)ers direct )ithout the assistance of any -<5, DG(+Bs staffs *erfor all re6uired functions of otivation, grou* for ation and onitoring and su*ervision of loan utili7ation Borro)ers !oan Si4e( .oan ay %e sanctioned to individual e %ers organi7ed in a grou* as )ell as to -<5s, The ay %e rela@ed for deserving cases, The a@i u ini u li it of loan *er *erson is T!, 1#,000, (t a!e re*ay ent to the Ban!, otivation, for ation of self" onitoring and su*ervision of loan utili7ation, Cor this the -<5 is *aid a fee a!e re*ay ent to the Ban!, The su% %orro)ers re*ay loan to the ay give an additional di ension,

loan si7e is T!, 2,000 *er %orro)er, There is no si7e li it for loan to -<5s, e %ers the Ban! charges 10S interest rate, When DG(+ Ban! handles

Interest Rate( Cor lending to -<5 Security9 Collateral( +icro Credit o*eration on its o)n, the interest is charged at the rate of 1#S *er annu ,

(n all cases stoc!s9 e6ui* ent *rocured )ith the loan *roceeds re ain hy*othecated )ith the Ban!, The e %er %orro)ers sign D,/ ote, Mo)ever, the loans are collateral free, D,/ note and their relevant charge for s are signed %y authori7ed e@ecutives of -<5s, -. Commercial Credit( The ty*es of co ercial credits are given %elo), i. .verdraft 1.)2( (t is a continuous advance facility, By this agree ent, the %an!er allo)s his custo er to overdraft his current account u* to his credit li its sanctioned %y the %an!, The interest is charged on the outstanding a ount not on the sanctioned a ount, 5D is of t)o ty*es *racticed in DG(+ Ban! .i ited, Secured .verdraft 1S.)2( DG(+ sanctions $5D against different securities li!e CD3, Wor! 5rders etc, 'emporary .verdraft 1'.)2( (t is given to the valued custo ers only, (t is not that instru ent, de*osited in the %an!, (t is given %y the %ranch to a certain li it, CC is a favourite anager discretionary *o)er, oney u* uch secured, Usually it for)ards )ithout any security or so eti es e@ercise lien against the ii. Cash Credit 1CC2( By this agree ent, a %an!er allo)s his custo er to %orro)

ode of %orro)ing %y traders, industrialists, etc for

eeting their )or!ing ca*ital re6uire ents, (t is o*erated li!e overdraft account, De*ending on the needs of the %usiness, the %orro)er can dra) on his cash credit account at different ti e and )hen he gets cash credit, Cash Credit 1:ypothecation2( My*othecation is a legal transaction )here%y goods are ade availa%le to the lending %an!er as security for a de%t )ithout transferring eans nothing, (t is given against registered ortgage of either the *ro*erty in the goods or *ossession, The %an!er has only e6uita%le charge on stoc!s, )hich *ractically land and %uilding, hy*othecation of goods and *ersonal guarantee of directors, Cash Credit 1Pledge2( /ledge is the %ail ent of goods as security for *ay ent of a de%t or *erfor ance of a *ro ise, Transfer of *ossession in the &udicial sense, (n case of *ledge goods the %an! ac6uires the *ossession of the goods or a right to hold goods until the re*ay ent for credit )ith a s*ecial right to sell after due notice to the %orro)er in the event of non"re*ay ent, iii. !oan 16eneral2( (t is given against *ersonal guarantee, hy*othecation of goods and land and %uilding, oney can ad&ust the lia%ility, DG(+ Ban! charges interest on the daily outstanding %alance of the account, Based on charging securities? there are t)o for s of

iv. Bills Portfolio( Branch *urchases de and %ills of e@change that are called =Draft> acco *anied %y docu ents of title to goods such as %ill of lading, rail)ay recei*t, and truc! recei*t, The *urchase of %ill of e@change is dra)n at an issuance, i,e, for a certain *eriod aturing on a future date and not *aya%le on de and or sight, v. 'erm !oan( DG(+ Ban! is advancing %oth short and given against land and %uilding along )ith hy*othecation of ra) aterials, a!e *ay ent to the seller su%&ect to ediu ter credit to the industrial sector on the %asis of their ca*ital structure, constitution and li6uidity consideration, (t is achinery, *ersonal guarantee of directors and

vi. !etter of Credit( An underta!ing %y the %an! to goods to the %uyer9 %an!,

su% ission of docu ents dra)n in strict co *liance )ith the sti*ulated ter s giving title to vii. Bac to Bac !etter of Credit( .etter of credit for i *orting ra) o*ened against lien of an e@*ort ite s, /ay ent is usually settled fro evidence to a seller of its )illingness to *er it hi legal for that all such %ills )ill %e honored, e@*ort *roceeds, The ter /C 0/ac!ing Credit1 is also aterials9 accessories e@*ort *roceeds, A

letter of credit is an instru ent %y )hich a %an!er for account of a %uyer gives for al to dra) on certain ter s and sti*ulates in

viii. Export Cash Credit( Advance allo)ed as ash credit for *rocessing goods for e@*orts, The advance is usually ad&usted fro used for such advance, ix. !oan &gainst Imported Merchandise 1!IM2( .oan allo)ed against i *orted erchandise and storing the sa e in %an!Bs custody, The %an! through its a**roved clearing agent clears the erchandise, The advance is ad&usted %y delivering the goods against *ay ent %y the i *orter, x. !ocal Bill Purchase 1!BP2( Advance allo)ed against %ills dra)n under an inland .9C o*ened and acce*ted %y a local %an!, $uch local .9C is usually o*ened as %ac! to %ac! .9C against e@*ort .9C, xi. Payment &gainst )ocuments 1P&)2( The %an! that esta%lishes the letter of credit is %ound to honor its co it ent to *ay for i *ort %ills )hen these are *resented for *ay ent, if dra)n strictly in ter s of the letter of credit, (n fact, the a ount stands as advance to the i *orter, )hich is ad&usted %y delivery of docu ents against *ay ent or %y allo)ing *ost i *ort finance such as .(+ or .T3, xii. "oreign Bill Purchase 1"BP2( /ost e@*ort credit allo)ed against e@*ort %ills, (f the %ills are dra)n as *er ter s of the .9C, the %an! *urchases the sa e and *ay e6uivalent a ount of

the %ill to the credit of the clientBs account, The advance is ad&usted on reali7ation of e@*ort *roceeds through foreign agent,

-./ Bac ground of Cards Credit cards )ere first introduced to the UF %y Barclaycard in 1:KK, They offered a )ay of %orro)ing and the to get, ;hat is Card< Card is a chea* or net)or!, The na e of card is *lastic (t is %eing used, (nstead of che6ue, (t can %e used in sho**ing, oney, (t is the alternative of che6ue, agnetic stri* %ased financial instru ent *hysically sha*ed *iece of a!e transaction under certain *lastic through )hich a *erson 0o)ner of the card1 can easily oney ti e )ith no interest, At first *eo*le had to *ay off their %ill every onth, (t soon %eca e *ossi%le to %orro) ode %orn, Today, oney for as long as *eo*le li!e su%&ect to interest charges

ore than 20 years on, cards are incredi%ly )ides*read and easy

-./., )ebit Card A de%it card 0also !no)n as a %an! card or chec! card1 is a *lastic card that *rovides an alternative *ay ent ethod to cash )hen a!ing *urchases, Cunctionally, it can %e called an either the %an! account or fro electronic che6ue, as the funds are )ithdra)n directly fro on the (nternet, and so there is no *hysical card, The use of de%it cards has %eco e )ides*read in any countries and has overta!en the che6ue and in so e instances cash transactions %y volu e, .i!e credit cards, de%it cards are used )idely for tele*hone and (nternet *urchases, and unli!e credit cards the funds are

the re aining %alance on the card, (n so e cases, the cards are designed e@clusively for use

transferred fro date,

the %earerBs %an! account instead of having the %earer to *ay %ac! on a later

De%it cards can also allo) for instant )ithdra)al of cash, acting as the AT+ card for )ithdra)ing cash and as a che6ue guarantee card, D@i can also offer =cash%ac!>9 =cashout> facilities to custo ers, )here a custo er can )ithdra) cash along )ith their *urchase, -./.* Credit Card A credit card is *art of a syste of *ay ents na ed after the s all *lastic card issued to

users of the syste , (t is a card entitling its holder to %uy goods and services %ased on the holderBs *ro ise to *ay for these goods and services, The issuer of the card grants a line of credit to the consu er 0or the user1 fro D@i account is a etony , a charge card, )here a charge card re6uires the %alance to %e onth, (n contrast, credit cards allo) the consu ers to ArevolveB their )hich the user can %orro) oney for *ay ent to an or as a cash advance to the user, Usage of the ter =credit card> to i *ly a credit card

A credit card is different fro *aid in full each

%alance, at the cost of having interest charged, +ost credit cards are issued %y local %an!s or credit unions, and are the sha*e and si7e s*ecified %y the ($59(DC ;410 standard as (D"1, This is defined as 4#,K0,#3,:4 'ypes of credit card Credit card of D@i $ilver <old Cric!et /latinu (t deserves ention that the study has not ta!en into consideration the cric!et and *latinu card has %een has %een divided into four categories' in si7e,

credit cardholders, The reason is cardholders in %oth the cases are very fe) in nu %er, The %an! is of the vie) that cric!et card is not offered regularly and *latinu recently issued, $o, the study has included only silver and gold credit cardholders,

Credit "acility D@i Ban! .td, Visa Credit card offers a@i u 2# days credit facilities free of interest and ini u *ay ent is #S of outstanding %illing *ay ent for easy re*ay ent and convenience

of the custo ers,

-./.- !oan D@i Ban! .td launched $aturday an interest"free loan sche e for college and university students, first of its !ind %y a financial institution in the country, The %an!Bs gesture as *art of cor*orate social res*onsi%ility has %rought s ile to 30 students of the Dha!a University and Dha!a +edical College and Mos*ital, .oan reci*ients )ill get T!3000 a onth until co *letion of their studies, Bangladesh Ban! 0BB1 governor $alehuddin Ah ed handed over the loan oney to the reci*ients at a cere ony, Me also distri%uted the second install ent of D@i Ban! scholarshi* oney a ong #03 students, $*ea!ing at the cere ony the central %an! chief called u*on the financial institutions, including %an!s, to *atronise educational institutions in re ote areas for infrastructure develo* ent and ca*acity %uilding,>5ur financial institutions have already co e for)ard *roviding scholarshi*s to students as *art of cor*orate social res*onsi%ility 0C$31,> he said,$ide %y side *roviding scholarshi*, the BB governor said, the financial institutions should *rovide assistance to the educational institutions in rural areas, The BB governor said' =We need to give due attention to ca*acity %uilding of the educational institutions, es*ecially in rural areas,> +d -a7rul (sla , chair an, +d Fa7i +oshiur 3ah an, anaging director of D@i Ban! .td, a ong others, s*o!e on the occasion, $*ea!ing on the occasion, +d -a7rul (sla said' =5ur su**ort to students )ill continue,> Me said D@i Ban! )ill continue *roviding interest free loan to eritorious students, =The reci*ients )ill re*ay the loan after getting e *loy ent,> (sla said, To e@tend invest ent facilities to an individual for *urchasing a ne)9reconditioned i *orted car9&ee* fro sho)roo , To ensure invest ent to a *erson )ho has the ca*acity to aintain the car9&ee* %ut )ill hel* to accu ulate the ca*ital at a ti e, To *rovide invest ent facility very *ro *tly and easiest condition to a deserving custo er9a**licant, Cacility of re*ay ent %y 12 to K0 e6ual onthly install ents to %e deter ined on the %asis of onthly inco e of the custo er, Interest Rate Maximum !oan 20 .ac Max 'enor # Lears

=uestionnaire

)ear Respondent$ As a student of ;orld >niversity of Bangladesh, ( have assigned to conduct a research *rogra internshi* re*ort on Measuring the level of Customer Satisfaction for credit department of Exim Ban !imited. To acco *lish the goal of conducting the research ( need your valua%le *artici*ation and o*inion on a series of 6uestionnaire listed %elo), Lour res*onse )ill %e !e*t confidential and only %e used for the acade ic *ur*ose, Than! you in advance for your valua%le *artici*ation, $incerely Lours, Md. %ahangir &lam /rogra ' BBA 0+a&or in +ar!eting1 Batch' 22th A 3oll' 43# De*art ent of Business Ad inistration World University of Bangladesh 0WUB1

Personal information of the Respondent -a e of the 3es*ondent' OOOOOOOOOOOOOOOOO,,OOOOOOOO,,, Age' OOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOO,, <ender' OOOOOOOOOOOOOOOOOOOOOOOOOOOOOO,,OO,, 5ccu*ation' OOOOOOOOOOOOOOOOOOOOOOOOOOOOOOO,, -a e of the 5rgani7ation' OOOOOOOOOOOOOOOOOOOOOOOOO,,, Designation' OOOOOOOOOOOOOOOOOOOOOOOOOOOOOOO, Contact info' cell' OOOOOOOOOOOOOOOOOOOOOOOOOOOOO D" ail' OOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOO, Lou )ill %e no) given a series of state ents regarding your o*inion a%out Measuring the level of Customer Satisfaction for credit department of Exim Ban !imited, /lease indicate the e@tent to )hich you agree or disagree )ith the scale )here ( ans)er, (n the current study, the researcher utili7ed a structured 6uestionnaire to collect *ri ary data fro the sa *le, The 6uestionnaire used in this study is co *rised of t)o *arts, (n the first =strongly disagree H 1> to $U3VEUA. scale is *art there )ere 6uestions on *erce*tions of the res*ondents on service 6uality of Credit De*art ent at DG(+ Ban!, A five"*oint .i!ert scale ranging fro =strongly agree H #> )as used to easure the 21 ite s, This 21"ite ar! indicates your strong disagree ent and # using a five *oint .i!ert and circle your

ar!s indicate strong agree ent

)ith each state ent, /lease ans)er the 6uestions as you *erceive the

develo*ed %y /arasura an, Ieitha l, and Berry 01:441, $ince /arasura an et al, 01:441 introduced the $D3VEUA. instru ent, any researchers have also used, e@tended and develo*ed this scale to study service 6uality in different sectors of the service industry 0Cic! J 3itchie, 1::1? Ba%a!us J +angold, 1::2? Coyle J Dale, 1::3? Cronin J Taylor, 1::2? .e)is J /escetto, 1::K? $ ith, 1::#? Buttle, 1::K? .a , Wong, J Leung, 1::;? .i Tang, 2000? 5ldfield J Baron, 2000? <ounaris, $tatha!o*oulos, J Athanasso*oulos, J

=uestionnaire
Measuring the level of Customer Satisfaction for credit department of Exim Ban !imited 1Bata signal Branch2

This survey is %eing conducted to deter ine Measuring the level of Customer
Satisfaction for credit department of Exim Ban !imited, (t

ay ta!e a**ro@i ately 4

to 10

inutes to co *lete this 6uestionnaire, There is no right or )rong ans)ers

*rovided, /artici*ation in this survey is co *letely voluntary, Lou can rest assured that all your given infor ation )ill %e !e*t strictly confidential, /lease try to fill in the entire 6uestionnaire %ut you have the o**ortunity to )ithdra) at any given ti e, /lease tic! 0[1 the %est ans)er as *er your o*inion,

1 $trongly Disagree

2 Disagree

3 -or disagree

# $trongly Agree

-either Agree Agree

=>ES'I.?S
Purposive =uestions
Strongly agree

R&?@I?6S
&gree ?either &gree ?or disagree 3 )isagree Strongly )isagree

1, When the Credit De*art ent of D@i soT 2, When you have a *ro%le , D@i

Ban!

*ro ises to do so ething %y a certain ti e, do they

Ban!Bs Credit

# #

2 2

3 3

2 2

1 1

De*art ent sho)s a sincere interest in solving it, 3, D@i Ban!Bs Credit De*art ent *erfor s the service right the first ti e, 2, D@i Ban!Bs Credit De*art ent *rovides its

services at the ti e it *ro ises to do so, #, The Credit De*art ent of D@i Ban! !ee*s custo ers infor ed a%out )hen services )ill %e *erfor ed, K, D *loyees in Credit De*art ent of D@i give your *ro *t service, ;, D *loyees in Credit De*art ent of D@i are al)ays )illing to hel* you, 4, D *loyees in Credit De*art ent of D@i are never too %usy to res*ond to your re6uest, :, The %ehavior of e *loyees in Credit De*art ent of D@i Ban! instills confidence in you, Ban! Ban! Ban!

10, Lou feel safe in your transactions )ith Credit De*art ent of D@i Ban! Ban!

11, D *loyees in Credit De*art ent of D@i are consistently courteous )ith you, 12, D *loyees in Credit De*art ent of D@i have the !no)ledge to ans)er your 6uestions, 13, The Credit De*art ent of D@i you individual attention, 12, The Credit De*art ent of D@i

Ban!

Ban! gives Ban! has

# # #

2 2 2

3 3 3

2 2 2

1 1 1

e *loyees )ho give you individual attention 1#, The Credit De*art ent of D@i Ban! has your %est interests at heart, 1K, D *loyees of Credit De*art ent of D@i understand your s*ecific needs, 1;, The Credit De*art ent of D@i Ban!

# # # # #

2 2 2 2 2

3 3 3 3 3

2 2 2 2 2

1 1 1 1 1

Ban! has

odern loo!ing e6ui* ent, 14, The *hysical facilities of the Credit De*art ent of D@i Ban! are visually a**ealing, 1:, The e *loyees of the Credit De*art ent of D@i Ban! a**ear neat, 20, +aterials associated )ith the service 0such as *a *hlets or state ents1 are visually a**ealing at the Credit De*art ent of D@i Ban! 21, The Credit De*art ent of D@i Ban! has

convenient %usiness hours,

Lou are also re6uested to ans)er the follo)ing 6uestions, $e@ Age +ale 0"1# 1#"30 Ce ale 30"2# 2#"K0

References

&nnual Reports 3 others(

Annual re*orts 02011"20121 of D@i

Ban! .td,

(sla , +, -urul 0200;1, An "ntroduction to Sampling Methods. 3evised ed, Boo! World, Dha!a, Fotler, /, and Ar strong, <, 020101 %rinciples o( Mar)eting 13 Dditions, (ndia' /earson /u%lications, /arasura an, A, Ieitha l, V A and .,., Berry, 020001 =$D3VEUA.' A +ulti*le" (te scale for easuring consu er *erce*tion of service 6uality> Ieitha l, A, and Bitner, +, 020001, Ser ice Mar)eting* Third Ddition, (ndia' Tata +c<ra) Mill, ))),e@i %d,co ))),google,co ))),)i!i*edia,co