Beruflich Dokumente
Kultur Dokumente
On
General Banking Activities of Mutual Trust Bank Ltd.: A Comparative
Study on Five Commercial Banks in Bangladesh
Supervised by
Sk. Habibur Rahaman
Assistant Professor & Coordinator (MBA)
Department of Business Administration
Manarat International University
Gulshan Campus, Dhaka- 1212
Submitted By
AklimaAkter
Student ID: 1335BBA02497
Batch: 35th Program: BBA, Major in Finance & Banking
Department of Business Administration
Manarat International University
Gulshan Campus, Dhaka- 1212
Dear Sir
With due respect, I would like to thank you for assisting me to prepare the internship report.
This task has given me the opportunity to explore the activities of banking sector. The report
contains a working procedure of “General Banking Activities of Mutual Trust Bank Ltd.
Compare with other Five commercial Banks in Bangladesh.” It was a great pleasure for
me to have the opportunity to work on this bank, which remains a very well position than
other bank in Bangladesh. I endeavor my best to come out with a good one.
I would be very happy to provide you with any clarification regarding the report. Therefore, I
pray and hope that you would be kind enough to accept my Internship Report and oblige
thereby.
Sincerely Yours,
_______________
AKLIMA AKTER
ID# 1335BBA02497
Batch: 35th Program: BBA, Major in Finance & Banking
I do hereby declare that the work presented in this internship report entitled “General Banking
Activities of Mutual Trust Bank Ltd. Compare with other Five commercial Banks in
Bangladesh.”embodies the result of my own research work, prepared under the supervision of
SK. Habibur Rahaman, Manarat International University, Gulshan Campus, Dhaka-1212.
I Furth affirm that the work represent in this internship is original and whole part of report
has been submitted by any other students for the completion of BBA or other degree.
_______________
AKLIMA AKTER
ID# 1335BBA02497
Batch: 35th Program: BBA, Major in Finance & Banking
This is to certify that Aklima Akter, student of BBA program of our university bearing ID:
1335BBA02497 has successfully completed the internship report on “General Banking
Activities of Mutual Trust Bank Ltd. Compare with other Five commercial Banks in
Bangladesh.”In this regard she practically worked in Baridhara Branch from September 06,
2016 to December 07, 2016 under my supervision and instruction. This report supports the
topic title and fulfils the entire requirements. I instructed her to prepare. Here by, I accept the
report as the successful completion of the internship program and during the program Aklima
Akter was sincere proactive and attentive to her work. I am pleased to certify and findings
present in the report are the authentic work of Aklima Akter. I strongly recommend the
presented by Aklima Akter for further academic recommendations and defense / viva-voce.
Aklima Akter bears a strong moral character and pleasing personality. It has indeed been a
great pleasure working with her. I wish her every success in life.
_______________
_______________
Touhid Ahmed
Senior Vice President
Mutual Trust Bank Limited
Baridhara Branch
Acknowledgement
Completion of anything requires supports from various sources. I am very much fortunate to
get the sincere guidance and supervision from a number of persons.
My sincere gratitude goes to EASHA URMI GOMES (Customer Service Officer, MTB
Baridhara Branch), for reviewing the whole report so carefully and for giving me valuable
advices and suggestions to complete the whole thing in a right manner.
My heartiest gratitude also goes to the Muhammad A.K.M ABDUL HEY (Junior
Assistant), FAVP & DM as well as to other Officers of MTB Centre Baridhara Branch who
have been so kind and helpful to me during my Internship period. They helped me in every
possible way even though they used to remain busy all through the day. Their contribution
towards this report is worth than ever. It was a great honor to work with such kind, hard-
working and helpful officers.
I am deeply indebted to my Supervisor Easha Urmi Gomes (Customer Service officer, MTB
Baridhara Branch) for his whole-hearted supervision to me. Without his supportive hand and
recommendations, it would be difficult for me to complete this Report.
Executive Summary
Now-a-days banking sector is modernizing and expanding its hand in different financial
events every day. At the same time the banking process is becoming faster, easier and is
becoming wider. Mutual Trust Bank LTD is a third generation private bank in Bangladesh. It
started its operation in 1999. The Company (Bank) operates financial activities through its
Head Office situated at Gulshan-1 Dhaka and 100 branches. MTB provides various
Consumer Banking Products, such as-Brick by Brick Savings Scheme, Monthly Benefit Plan,
Save Everyday Plan, Children’s Education Plan, Consumer Credit Scheme, Best Invest Plan.
Beside these, Banking services of MTBL include Online Banking Service, MTBL Tele
Banking Services, SWIFT Services, Pay Order, Demand Draft (DD) Issue, MTBL SMS
Banking, Locker Service, Credit Card Service, and Visa Electronic Debit Card Service.
Baridhara Branch is the 51th Branch of MTBL, which is the most profitable branch of
MTBL. This branch is structured with General Banking & Advance Department and this
branch is supervised under one SVP & one JAVP. General Banking consists three different
sections in this branch and these are: Front Desk, Account’s Department and Cash Counter
Section. Various activities are carried out under these three sections, such as-opening of an
account, issuing of cheque books, closing of an account, stopping payment & dishonoring of
a cheque, transfer, clearing, bills collection, cash payment and cash receipt.
.A banker can also close the account of his customer or stop the operation of the account
under several considerable circumstances. A banker can stop payment of cheque of his
customer under several considerable circumstances. If the cheque is dishonored, MTBL sends
a memorandum (cheque return memo) to the customer stating all the reasons. Those
documents that are enter in the branch or exit of the branch must go through dispatch section.
MTB center corporate branch receives different types of instruments, such as cheque, PO,
DD etc. from its customers for collection. It also pays on behalf of its customers for those
instruments that come to it through clearinghouse.
Appendix:
MTBL= Mutual Trust Bank Limited
POS= Point of Sale
DD = Demand Draft
TT = Telegraphic Transfer
T.C. = Total Currency
NRB = National Regular Savings Account
A/C = Accounts
CD = Current Deposit
SB = Savings Deposit
Brick by Brick = DPS
FDR= Fixed Deposit
PO = Pay Order
LC = Letter of Credit
FBP = Foreign Bill Purchase
IBP = Inland Bill Purchase
SOD = Secured Over Draft
EBD = Export Bill Discounting
LTR = Loan Against Trust Receipt
TR = Term Loan
BB = Bangladesh Bank
PD = Primary Dealer
TP= Transaction Profile
GB= General Banking
Table of Contents
CHAPTER 01
Introduction
1.1 INTRODUCTION
In general sense we mean ―Bank as a financial institution that deals with money. There are
different types of banks like Central bank, Commercial bank, Savings bank, Investment bank,
Merchant bank, Co-operative bank etc. But when we use the term bank it generally means
commercial bank that is one which is concerned with accepting deposit of money from the
public, repaying on demand or otherwise and withdraw able on demand or otherwise and
employing the deposits in the form of loan and investment to meet the financial needs of
business and other classes of society.
Now-a-days banking sector is modernizing and expanding its hand in different financial
events every day. At the same time the banking process is becoming faster, easier and is
becoming wider. In order to survive in the competitive field of the banking sector all
organizations are looking for better service opportunities to provide their fellow clients. So it
has become essential for every person to have some idea on the bank and banking procedure.
Mutual Trust Bank is a financial institution whose main objective is the mobilization of fund
from surplus unit to deficit unit. In the process of acceptance of deposits and provision of
loan, Bank creates money. This characteristics feature sets Bank apart from other financial
institution. The bank can influence the money supply through lending and investment. The
bank is an economic institution whose main objective is to earn profit through exchange of
money and credit instruments.
Secondary Sources:
Annual reports of MTBL of the year’s 2009, and 2013.
Financial articles in Newspaper
Circulars published by Bangladesh Bank
Other relevant data from the Internet.
Methods of Data analysis:Quantitative data analysis techniques are used to analyze
data.
1.6 LIMITATIONS OF THE STUDY
Mutual Trust Bank is one of the new generation banks of Bangladesh. There were
innumerous topics to be researched and studied but that could not happen due to lack of time,
information and other accessibilities. Data collection was the biggest pain ever. I could sense
a little bit of fear factor in all employee levels regarding the sharing of data whereas I have
not asked them any confidential data.
In the company part all the departments could not be presented in an elaborative way. It is
due to lack of accessibility and most of all the employees’ reluctance to talk about anything
without a favor in return. I have used many useful ratios and graphs to present my analysis
along financial statements of the past 3 years starting from 2009 to 2013. Again my study
was limited to the data given by the organization only. No external factors could be measured
which is highly critical to Risk Factors of any private banks of Bangladesh. Also there are
many soft ware’s nowadays to assess bank risk factors but I was not literate of that either. So
my study and conclusions are all based on the ratios and trends in financial data. The
information obtained was directly used for analysis. They could not be checked or verified
for 100% accuracy.
Chapter 02
Mutual Trust Bank Limited (MTBL) is a Public Limited Company by shares inBangladesh,
with commendable operating performance. Directed by the mission toprovide with prompt
and efficient services to clients, MTBL provides a wide range of commercial banking
services also. The bank has achieved success among its peer group within a short span of
time with its professional and dedicated team of management having long experience,
commendable knowledge and expertise in convention with modern banking. With all the
resources, management of the bank firmly believes that the bank would be able to encounter
problems that may arise both at micro and microeconomic levels.
2.1.1Mission statement
“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.”--- MTBL Group.
2.1.2Vision statement
Mutual Trust Bank's vision is based on a philosophy known as MTB3 V. The organization
envisions MTB to be:
1. One of the Best Performing Banks in Bangladesh.
2. The Bank of Choice.
3. A Truly World-class Bank.
2.1.3Objectives
The main object of the Mutual Trust Bank Limited (MTBL) had been to offer an interest free
banking system in the financial market. Apart from that, the bank started its operation in the
country with a view to realizing the following objectives:
The Company was incorporated on September 29, 1999 under the Companies Act 1994as a
public company limited by shares for carrying out all kinds of banking activities with
Authorized Capital of Tk. 38, 00,000,000 divided into 38,000,000 ordinary shares ofTk.100
each.
The Company was also issued 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. The bank
conducts all types of commercial banking activities including foreign exchange business and
others financial services. During the first two years of operations, the bank's main focus was
on the delivery of personalized customer services and expansion of its clientele base.
1. All types of commercial banking activities including Money Market operations.
2. Investment in Merchant Banking activities.
3. Investment in Company activities.
4. Financiers, Promoters, Capitalists etc.
5. Financial Intermediary Services.
6. Any related Financial Services.
The Company (Bank) operates financial activities through its Head Office situated at Dhaka
and 100+ branches. The Bank carries out international business through a Global Network of
Foreign Correspondent Banks.
2.2.1Hierarchy of BOD
Company Registration No:
26Gulshan branch
1.Board Committees
The Board of Directors who also decides on the composition of each committee determines
the responsibilities of each committee.
1. ExecutiveCommittees
All routine matter beyond delegated powers of management are decided upon by or routed
through the Executive Committee, subject to ratification by the Board of Directors.
2. Policy Committee
All mater relating to the principles, policies, rules, and regulation, ethics etc. for operation
and management of the bank are recommended by the Committee to the Board of Directors.
3. Management
The management of the bank is vastly on a Board of Directors, for overall supervision and
directions on policy matters by the board. The power of general supervision and control of
the affairs of the bank is exercised by the president and managing director of the bank who is
also the chief executive officer of MTBL.
2.2.3Memberships of MTBL
A Current account is ideal for carrying out day-to-day business transactions. With the
MTB Regular Current Account, anybody can access his/her account anytime, anywhere, pay
using payable at par cheques or deposit cheque at any MTB bank branch.
Clients can open fixed deposit accounts for 3 months, 6 months, and 1-year term deposit.
Mutual Trust Bank Ltd. offers competitive interest rates. Clients can place their deposit
under lien with them and take a loan, buy shares or open an account to meet their cash
requirements. Interest rates on deposits vary from time to time. Fixed deposit gives higher
interest rate than other forms of deposits. Mutual Trust Bank Ltd. is offering competitive
interest rate in FDR:
This plan offers to generate monthly income out of deposit. It has been designed to help and
assist conscious savers from all strata of the society. The minimum deposit Tk. 50,000/= or in
multiples thereof. There is no upper limit and this plan is for a 3(three) & 5 (five) years term
that cannot be changed subsequently. People will require opening a savings/current account.
Monthly income will be credited to their account.
o Best Invest
Best Invest offers people efficient high return investment plan. This plan helps them
to build up a sizeable income in easy and affordable installments. Best Invest offers two
separate and convenient term deposit periods for 4 years and 6 years respectively. This plan
allows them to own 5 times the initial invested amount. Best Invest is available in units
worth Tk.50,000/- each. They will invest Tk.10,000/- as down payment for purchasing 1
(one) unit and the Bank will provide loan for Tk.40,000/-.The customer also has the option
to buy units in multiples of Tk. 50,000/- but maximum up to Tk. 10,000,000/-. This is a
unique high return plan catering to all income groups.
No. Deposit Products Loan Products Visa Cards
1 Brick by Brick Savings Small Business Loan Local Classic Credit Card
Scheme
2 Monthly Benefit Plan Home Loan Local Gold Credit Card
9 Millionaire Plan
10 Best Invest Plan
Foreign Trade
MTBL is one of the best performers in the foreign trade sector in the past few years. It
provides a wide range of banking services to all types of commercial concerns such as Import
& Export Finance and Services, Investment Advice, Foreign Remittance and other
specialized services as required. Although it is a private commercial Bank, they have a strong
global network that helps them to undertake international trade smoothly and efficiently.
Just a few of its features are listed below for each of the services. Later in this same chapter,
these issues have been discussed in detail in regard to foreign exchange.
1. Import Business: Mutual Trust Bank supports its customers by providing facilities
throughout the import process to ensure smooth running of their business. The facilities are:
2. Export Business: Mutual Trust Bank offers extra cover to its customers for the entire
export process to speed up receipt of proceeds. The facilities are:
3. Remittance: Mutual Trust Bank provides to its customers the following services:
b. TT/ DD Issue
c. DD/ Cheque collection
d. Endorsements
2.5Branches:
Mutual Trust Bank Limited is a fast growing commercial bank in our country. It has
established a good operating network throughout the country. At present it has 100
Branches all around the country.
Rangpur&Barishal Division:1&1
2.6Banking services
Online banking service
Mutual trust bank is playing a pioneering role among its competitors in providing real time
online banking facilities to its customers. Mutual trust bank online banking offers a customer
to deposit or withdraw any sum of money from any branch anywhere. Any account holder
having a being account with the bank can avail this service.
Swift Services
Pay Order
MTBL provide this type of service. When clients want to give money to others for
any purpose they can give pay order. it is safe because they should not carry the
money and the receivers can encase the money. There is no option for dishonor, the
client have to deposit money before do pay order.
Mutual Trust Bank Ltd. Credit Cards are issued in two types namely Gold and Classic for
both local and international use. The Local Cards can be used at any ATM displaying the
Logo of MTB for withdrawal of cash and at any POS displaying Logo of MTB for purchase
of goods and services within Bangladesh whereas the International Cards can be used at any
ATM and POS displaying logo of MTB anywhere in the world. International credit card is a
dual currency card and as such anyone can use the same plastic at home and abroad. Classic
cards are for lower limits and less costly.
Description:
50% cash advance facility.
Useable at all ATMs bearing visa logo.
5000 outlets for shopping in Bangladesh.
Buy now pays later.
Up to 45 days interest free period.
View account information, summary of all your accounts and access account
statements Order cheque book
Transfer funds to any MTB account.
Set up payees (within MTB), to whom you transfer funds regularly.
View credit card details and pay any MTB credit card bill.
Pay utility bills.
Manage your profile information.
Chapter 03
MTB Centre Corporate Branch is the important branch of Mutual Trust Bank Ltd. It is
situated in 120 Gulshan Avenue, Dhaka 1212. It is the corporate branch of MTBL. The
customers of the branch are mostly businessmen and mostly of the Baridhara, Mohakhali, ,
Badda, khilkhet, Banani, ProgatiSarani, Shahzadpur, Rampura, Khilgaon area. The branch
has three sections for providing better service to the customers. The sections are:
I was assigned at the MTB Baridhara Branch of Mutual Trust Bank Limited to complete my
internship program. During my internship program I had a lot of fun, but most importantly I
realized how to work under the pressure of responsibilities. The things that I have learned at
Mutual Trust Bank are:
Meaning of responsibility
Necessity of commitment
Punctuality and regularity is very important
Ability to interact with different sorts of people
Mutual Trust Bank Limited has always been prepared the internship program for its internees.
Both parties strictly follow it.
I was rotated across all 3 different departments in the past 3 months. However, my main
concentration was General Banking section and thereby, I allocated maximum time to work
at GB section. Therefore, in this report I have described about my job responsibilities at GB.
Recently, Bangladesh Bank has been declared, designed and enforced a unique format
of form for every banks. This format should hold the important document in a same manner
and process respectively for different kind of accounts Mutual Trust Bank Ltd. is not
different from this practice. Accounts opening process can be as follows:
Step 1
Receiving filled up application in bank’s prescribed form mentioning what type of
account is desired to be opened.
The form is filled up by the applicant himself/ herself
Two copies of passport size photographs from individual are taken and in
case of firms
photographs of all partners are taken
Officer are taken information from customer by key information system
Step 2
Applications must submit required documents
Applications must sign specimen signature sheet and give mandate
Introducer’s signature and accounts number-verified by legal office
Step 3
Filling & signing up KYC or Know Your Customer Form
Filling TP or Transaction Profile.
Filling & signing up Owner Information Form.
Step 4
Authorized Officer accepts the application
Step 5
Minimum balance is deposited-only cash is accepted
Step 6
Account is opened and a cherub book and pay-in-slip book is given
II. Information Collected to Open Account:
III. Dormant Account
If any account is inoperative for more than one year is called dormant account. To operate
these accounts manager permission is necessary.
IV. Transfer of Account
An account can be transferred from branch to branch and only from the same bank.
Following steps are considered for this purpose:
• Application in written to the Manager of the account maintaining branch
• Manager sends a request to the manager of the desired branch of depositors
• Sends original Account opening application and specimen signature sheet with the
balance remained in the account at he sent Manager’s request
• New account is opened at desired branch.
Clearing Process
Cheque received from the clearinghouse of Mutual Trust Bank
Party’s A/c…Dr.
Mutual Trust Bank General A/c…Cr
a. OBC (Outward Bills for Collection) Cheques of other branch of Mutual Trust
Bank Ltd.withinits clearing house area. These cheques are directly sent to the
respective branch and request them to send IBCA. When it comes, then customer’s
A/c is credited for the cheque.
b. Clearing Cheques for another bank outside the clearing area these cheques are sent
to clearing house via Baridhara Branch. When drawer bank honor the cheques,
then the account of cheque depositors are credited.
i. MoneyGram:
ii. MoneyGram is a money transfer medium/agent serves both domestic &
international services. Its identification number consists of 8 digits.
iii. Western Union:
Western Union is a money transfer medium/agent serves both domestic &
international services. Its identification number consists of 10 digits.
iv. X-Press Money:
X-Press Money is a money transfer medium/agent serves both domestic &
international services. Its identification number consists of 16 digits.
v. MTB Exchange (UK) Limited:
MTB Exchange (UK) Limited is a fully owned subsidiary company of Mutual Trust
Bank in Bangladesh.
2. Local Remittance
Sending money of customers in the form of remittance from one place to another, from
oneperson to another inside and outside the national boundary is another earning source of
every bank. In addition, this service is an important part ofcountry’s payment system.
Through this service, people can transfer their funds from one placeto another place very
quickly. There are several techniques for collecting local remittance. Theseare:
3.1.5 Pay Order
Pay order is an instrument, which is used to remit money through banking channel. The
instruments are generally safe as most of them are crossed. Pay order gives the payee the
right to claim payment from the issuing bank. It is payment from issuing branch only within
the clearing house area of issuing branch. Payment is made through clearing.
From the above accounting treatments it is clear that the money, which is received by the
bank from selling the instrument, is kept under bills payable account. It is current liability on
the part of bank, which implies that, money received in this purpose has to be paid to the
payees collecting bank on placement of the instrument.
V. When PO is lost:
In case the instrument is lost, the holder whether payee or buyer will inform it to the issuing
bank immediately. Bank will mark stop payment on the Bills Payable (P.O.) register. Buyer
will then ask for a new instrument by submitting a G.D. Copy and indemnity bond(issued by
court). A new Instrument will be delivered marked “In lieu of”.
4. Closing account:
General banking department also close the accounts when any customer wants to close. The
process of closing account-
Submitting an application to the branch.
On receipt of the application, the signature of the account – holder shall be
verified and the number of unused cheque leaves shall be noted thereon and
applications shall than be sent to the ledger keepers who shall write thereon the
balance of the account and initial it.
Before the account is closed the Deputy Manager shall approve the application
after ascertaining the liability, if any.
The account shall be debited for the account closing charges.
Officer of the department will destroy unused cheque leaves.
In case of joint account the application to close the account shall be signed by all
the joint holders, even if the account is operated by any of them or by an
attorney.
The account closes stamp shall be affixed on the computer sheet, AOF and
Specimen Signature Cards.
However, the MTB Centre Corporate Branch clears its checks as well as the checks of
other branches as no other branch is allowed to represent directly. The other branches
send the instruments along with IBDA. Mutual Trust Bank Ltd. Local office acts as an
agent in this case.
3.1.8 Debit Card
Mutual Trust Bank Ltd. Debit Card can be used at any ATM displaying Logo of MTB
for withdrawal of cash and at any POS displaying Logo OF MTB for purchase of
goods and services within Bangladesh. ATM transactions are to be secured by
Personal Identification Number (PIN) known by the concerned customer only. POS
transactions will not require PIN. However, all the transactions are to be authorized
by the system electronically.
Mutual Trust Bank Ltd. debit card is issued against any individual savings/ current
account maintained with any branch of Mutual Trust Bank Ltd. Using the debit card
without using cheques 24 hours in a day, 7 days in a week, and 365 days in a year can
operate the designated savings/current account.
o Submission of Application
3.1.12 In balance:
Sometimes customers come to check their balance on account. The officer will tell him the
balance if the account belongs to him.
If any of branches or a local branch of another bank wants to keep a sealed packet
with a branch, it may be kept in the main safe under joint custody or a locker may be
allotted for the purpose. Branch where no lockers have been provided may also accept
such sealed packet as safe deposit.
Formalities
70,000,000,000
60,000,000,000
50,000,000,000
30,000,000,000
20,000,000,000
10,000,000,000
-
2011 2012 2013 2014 2015
In the above chart we can see that the deposits MTBLS’ have from the year 2011 to 20115. We
can see that the deposit, I think most of the depositor they deposited money for long-termyear
2011-2013and the others sitefrom 2013 -2015 we can see that depositor deposit their money for
short term.
DEOPSI
T
Demand and Time Deposit
140,000,000,000
120,000,000,000
100,000,000,000
80,000,000,000
Axis Title 60,000,000,000
40,000,000,000
20,000,000,000
-
2011 2012 2013 2014 2015
A time deposit which is payable at the fixed date or after short notice is known as the Time
Deposit. Here in this graph we can see that the demand is increasing with the change of time. At
2011 it was 60 billion, which was changed to almost 70 billion at 2012. In the year 2013 the
demand rose to 80 billion, which was pretty high. As the increasing rate was going on in 2014 it
reached the amount 100 billion. At last in 2015 we reported the amount increased to 120 billon on
that year. So we can say that there is continuing increase in the demand sector with time lapse .
Sector
58,236,070,020 75,368,729,652 84,640,395,660 97,270,633,407 118,686,72
wise 0,280
Deposi
t
120,000,000,000
100,000,000,000
80,000,000,000
Axis Title
60,000,000,000
40,000,000,000
20,000,000,000
-
2011 2012 2013 2014 2015
Here in this graph we can see the sector wise deposit according to the time. In 2011 it was near
around 60 billion which increased to almost 76 billion in the fiscal year 2012. Here the sector
wise deposit in on the rise which reached to the level of 85 billion in the year 2013.In year 2014
the increase was continuing which reached the level of 98 billion and it reached the level of 119
billion in 2015. As far seeing the graph we can say that the rate of increase was high 2011-2012
which was slow down among the year 2012-2013 and 2013-2014. But the rate again increased a
little bit in the fiscal year 2015.
(a) Strength:
(b) Weakness:
1. Reluctance to ad campaign.
Particulars Markentile Trust bank The city Bank Mutual Trust ShahajalalIslami
Bank Ltd. Ltd. Bank Bank
Savings A/C 3.50% 3% 3.50% 3.75% 4.00%
Fixed Deposit 1 month- 3 months- 1month- 1month- 1month-3.00%
Scheme 3.50% 5.50% 3.50% 3.25% 3months-5.50%
3 months- 6 months- 3months- 2months- 6months-5.50%
5.00% 6.75% 5.00% 3.40% 10months-
6 months- 12months- 6months- 3months- 5.50%
5.00% 5.75% 5.00% 5.75%
1year-5.00% 1year-6% 6months-
2years-5.00% 2year-6.50% 5.75%
3years-5.00% 3years-6.50% 1year-6%
2years-6.25%
3years-6.50%
SND A/C BDT 1 lac to Below TK. 1 Below BDT
crore-2.50% 10 million-
less than BDT
1 crore to 3.25%
1 Cr.-2.50%; below 25 BDT 10
crore-4.00% million to
BDT 1 Cr. to
25 crore to below BDT
less than BDT below 50 250 million-
crore-3.50% 3.50%
25 Cr.-
50 crore to BDT 250
3.00%; below 100 million to
crore-6.50% below 500
BDT 25 Cr. to
tk 5 crore& million-3.75%
less than bdt Above-6.50% BDT 500
million to
50 Cr.-3.50%;
below 1
BDT 50 Cr. to Billion-4.00%
BDT 1 Billion
less than BDT
& Above-
100 Cr.- 4.25%
4.00%;
BDT 100 Cr.
& above-
4.50%
Interest rate of Mutual Trust Bank is decreasing day by day comparing with other
commercial bank.
In case of loan, interest rate is too much high comparing with other banks.
In opening A/C some additional documents are needed as compared with theoretical
record. Like trade license, member of Dhaka chamber of commerce and industry (DCCL)
in Dhaka city. Again some documents are not essential practically as referred in theory.
For example, the photo of the person who will open A/C, and sometime introducer.
There is a rule to deposit at least an amount of money in case of opening an account. But
it is not strictly followed. Sometimes more money is asked from a new customer who
discourages him to open an account in the bank.
When a client try to open an A/C he must have to need an introducer, sometime it may
create a problems for the clients, most of the times this rules are not followed.
The degree of relationship between banker and customer determines how much theory is
deviated from practical work
Most of the time customers enter their debit card in the machine but they don’t get any
money but their balance has been credited from the account.
It is easy to make pay order or bank draft for clients.
Chapter-4
Recommendations &Conclusion
4.1 Recommendations
The authority should recruit more employees to serve the customers. They can recruit
experienced employee as well as fresh graduate.
The bank should train their employee to make them more efficient.
The bank should introduce more products based on the market demand.
The bank should reduce their minimum account balance to attract more customers.
It is need to increase interest rate.
The salary of the worker need to be rise, as a result experienced people from other
bank will be attract to join Mutual Trust Bank Limited.
The bank should renovate its Front Desk as it remains extremely busy the whole time
and GB is the base for any bank.
The bank can open more branches to reach to more customers.
The bank can open branches or foreign booth because many people send money from
abroad every year to Bangladesh.
The marketing department of the bank should more efficient to reach at the heart of
the customer.
The bank should be more profit concern as well as took part to the economics
development of the country.
The departments of the bank should more efficient to make profit by satisfying
customers.
Being a clear transparent the bank can provide the best support to the customer as
earn profit.
4.2Conclusion
As an organization the Mutual Trust Bank Limited has earned the reputation of top banking
operation in Bangladesh. The organization is much more structured compared to any other
bank operating local or foreign in Bangladesh. It is relentless in pursuit of business
innovation and improvement. It has a reputation as a partner of consumer growth.
With a bulk of qualified and experienced human resource, Mutual Trust Bank Limited can
exploit any opportunity in the banking sector. It is pioneer in introducing many new products
and services in the banking sector of the country. Moreover, in the overall-banking sector, it
is unmatched with any other banks because of its wide spread branch networking thought the
country.
This report tries to figure out most of the indicators of problems and strengths of Mutual
Trust Bank Limited as a valid pretender in the competitive banking sector of Bangladesh. A
severe cut throat competition is going on currently in this sector and that’s why Mutual Trust
Bank Limited has to work out with different dimensions like – product diversification, market
forecasting, proactive activities undertaken by Mutual Trust Bank Limited and some
suggestion to get rid of the predicaments that ex
References:
Rose, Peter S, & Hudgins, Sylvia C. (2011-2012). Bank Management & Financial
Website: http://www.answers.com/topic/credit-risk
News Bangladesh, Economy of Bangladesh: The Banking System, ( 2012, Oct 25).
Index Mundi, Bangladesh -Inflation rate (consumer prices) (%), (2012, January 1).