jamuna bank loan

8/19/2019 Jamuna bank loan

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1.1. I NTRODUCTION

It has become essential for every person to have some idea on the bank and banking procedure.

As our educational system predominantly text based, inclusion of practical orientation program,

as an academic component is an exception to the norm. Recognizing the importance of practicalexperience, three months practical exposure is one of the most important parts of MBA program.

his is because theoretical kno!ledge gets its perfection !ith practical application. By an

internship program in bank, students can get practical kno!ledge, !hich helps to kno! the real

life situations, helping them to launch a career !ith some practical experience.

1.2. S IGNIFICANCE

his internship report contains all the information that I gathered in the three months internee in

"amuna Bank #imited. In the period of internee I have follo!ed all instructions of the officers of

"amuna Bank #imited, Ashulia Branch. My topic is $Real %state &inancing of "amuna Bank

#imited'. All these information, !hich are included in this report, !ill help the management to

identify various scopes and limitations of the bank. It specially focuses on credit department to

take decisions regarding the improvement of these departments. his is the basic rationale behind

the study. Besides, it !as a great opportunity for me to get familiar !ith the system. (o this study

is very significant for both the bank and me.

1.3. O BJECTIVE OF THE REPORT

he study seeks to achieve the follo!ing ob)ectives*

General Objec!"e#

he main ob)ective of the study is to fulfill the re+uirement of BBA program as !ell as to gain practical exposures about credit department especially on Real %state &inancing of "B#.

S$ec!%!c Objec!"e#

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• o present an overvie! of "amuna Bank #imited.

• o discuss the activities of #oan Advance system of "amuna Bank #imited.

• o find out the overall pictures of Real %state &inancing of "B#.

• o identify the problems of "amuna Bank #imited.

• o suggest remedial measure for the development of "amuna Bank #imited.

1.& S COPE OF THE REPORT

he scope of the study is +uiet !ide as this report has covered the $Real %state &inancing of

"amuna Bank #imited'. -hile preparing this report, I had a great opportunity to have an in depth

kno!ledge of all the banking activities practiced by the "amuna Bank #imited. he internship

program is helpful to bridge the gap bet!een the theoretical kno!ledge and real life experience

as the part of the BBA/ program. 0uring my three months internship period in "amuna Bank

#imited, Ashulia Branch, I have tried to observe and understand the all1banking activities

especially 2eneral banking activities and other day1to1day functions in this branch. I am also

tried to understand for different topic from the bank personnel. (ince my !ork is partially

observation and analysis based, I have used practical experience. It makes a bridge bet!een the

gap of classroom learning and practical learning.

1.' ( I)ITATION OF THE R EPORT

3 he first obstruct is time itself.

3 It !as very difficult to collect data, !hich is very essential

3 It !as very difficult to collect the information from various personnel for their )ob

constraint.3 %very organization has their o!n secrecy that is not revealed to others.

3 (ufficient books, 4ublications, &ats and &igures are not available.

3 Banking is a too vast sector !ith various changes in its functions over the day to cope up

!ith.



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3 #ack of customer cooperation.

2.1. B AC*GROUND

"amuna Bank #imited "B#/ is a Banking 5ompany registered under the 5ompanies Act, 6778

!ith its 9ead :ffice at 5hini (hilpa Bhaban, ;, 0ilkusha 5? million. he total capital,888.;; million as on 0ecember ;6, >==@. 5urrently the Bank has ?6 (ixty

:ne / branches16 in 0haka 5ity, 6> in 5hittagotang, in 2azipur, @ in (ylhet, > in Bogra, > in

aogaon, > in Munshigang, ; in (hira)gan), > in Ra)shahi, > in arayangan), > in Cushtia, > in

0ina)pur, > in oakhali and > in 5omilla.

he Bank undertakes all types of Banking transactions to support the development of trade and

commerce of the country. "B#Ds services are also available for the entrepreneurs to set up ne!

ventures and BMR% of industrial units. "amuna Bank #td., the only Bengali named ne!

generation private commercial bank !as established by a group of !inning local entrepreneurs

conceiving an idea of creating a model banking institution !ith different outlook to offer the

valued customers, a comprehensive range of financial services and innovative products for

sustainable mutual gro!th and prosperity. he sponsors are reputed personalities in the filed of

trade, commerce and industries.

he Bank is being managed and operated by a group of highly educated and professional team

!ith diversified experience in finance and banking. he Management of the bank constantlyfocuses on understanding and anticipating customersE needs. he scenario of banking business is

changing day by day, so the bankDs responsibility is to device strategy and ne! products to cope

!ith the changing environment. "amuna Bank #td. has already achieved tremendous progress



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!ithin only %ight years. he bank has already ranked as one of top +uality service providers is

kno!n for its reputation.

At present the Bank has real1time centralized :nline banking branches Frban Rural/

throughout the 5ountry having smart I1Backbone. Besides these traditional delivery points, the

bank has AM of its o!n, sharing !ith other partner banks 5onsortium throughout the

5ountry.

2.2. VISION

o become a leading banking institution and to play a pivotal role in the development of the

country.

2.3. )ISSION

he Bank is committed to satisfying diverse needs of its customers through an array of products

at a competitive price by using appropriate technology and providing timely service so that a

sustainable gro!th, reasonable return and contribution to the development of the country can be

ensured !ith a motivated and professional !ork1force.

2.&. O BJECTIVES OF JB(

3 o earn and maintain 5AM%# Rating D(trongD

3o establish relationship banking and improve service +uality through development

of (trategic Marketing 4lans.

3o remain one of the best banks in Bangladesh in terms of profitability and assets

+uality.

3 o introduce fully automated systems through integration of information technology.

3 o ensure an ade+uate rate of return on investment.

3 o keep risk position at an acceptable range including any off balance sheet risk/.

3 o maintain ade+uate li+uidity to meet maturing obligations and commitments.



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3 o maintain a healthy gro!th of business !ith desired image.

3 o maintain ade+uate control systems and transparency in procedures.

3o develop and retain a +uality !ork1force through an effective human Resources

Management (ystem.3 o ensure optimum utilization of all available resources.

3o pursue an effective system of management by ensuring compliance to ethical

norms, transparency and accountability at all levels.

2.' STRATEGIES +% JB(

3 o manage and operate the Bank in the most efficient manner to enhance financial performance and to control cost of fund

3o strive for customer satisfaction through +uality control and delivery of timelyservices

3o identify customersD credit and other banking needs and monitor their perceptionto!ards our performance in meeting those re+uirements.

3o revie! and update policies, procedures and practices to enhance the ability toextend better service to customers.

3o train and develop all employees and provide them ade+uate resources so thatcustomersD needs can be reasonably addressed.

3o promote organizational effectiveness by openly communicating company plans, policies, practices and procedures to employees in a timely fashion

3o cultivate a !orking environment that fosters positive motivation for improved performance

3 o diversify portfolio both in the retail and !holesale market

3 o increase direct contact !ith customers in order to cultivate a closer relationship bet!een the bank and its customers.

2., C ORE V A(UES

• &or the customers* 4roviding !ith caring services by being innovative in the development



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of ne! banking products and services.

• &or the shareholders* Maximizing !ealth of the Bank.

• &or the employees* Respecting !orth and dignity of individual employees devoting their

energies for the progress of the Bank.

• &or the community* (trengthening the corporate values and taking environment and

social risks and re!ard into account.

2.-. C ORPORATE P ROFI(E

5orporate 9istory of "amuna Bank #imited1

ame of the Bank "amuna Bank #imited

(tatus 4ublic #imited company

5orporate (logan Gour partner for gro!th

5ommencement of operation "une =;, >==6

Authorized capital he 8===.== million.

4aid up capital he 6,;6;.>H million

Industry Banking industry of Bangladesh

ature of Business Banking Business !ith different financial

services==

2. B+ar/ +% D!rec+r0

Figure: 1 Board of Directors



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Cai!man

Boa!d of "i!ecto!s

#anaging "i!ecto!

"e$ut% #anaging "i!ecto!

&enio! E'ecuti(e )ice* P!esident

E'ecuti(e )ice P!esident

&enio! )ice *P!esident

)ice *P!esident

&enio! +ssistant )ice *P!esident

+ssistant )ice *P!esident

Junio! )ice *P!esident

&enio! E'ecuti(e ,-ce!

E'ecuti(e ,-ce! P!o.ationa!% ,-ce!

2. ) ANAGE)ENT H IERARCH

Real Estate Financing of Jamuna Bank Limited/ | P a g e

P!o.ationa!% ,-ce!

,-ce!


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&igure* > Management 9ierarchies

2.1 G ENERA( ACTIVITIES OF JB(

"amuna Bank #imited has its prosperous past, glorious present, prospective future and under

processing pro)ects and activities. "B# provides customer service to their customers. At the

period of internee I found the follo!ing of "B# at Ashulia branch.

0ispatch

Account :pening5he+ue clearing

#ocal Remittance

5ash department

Accounts.

&oreign exchange

5redit

Dispatch:

he main function of dispatch division is dispatching all types of documents such as :B5, IB5,

#B5, and different types of letter, different advice Also dispatch division receives letter and

documents, !hich are may be come from the different branches of "B#, other banks, negotiation

and opening bankincase of export and import/ in the name of "amuna Bank #imited.

he staff involve !ith dispatch division maintain t!o types of mail, !hich is

Inward mail & Outward mail.

Inward mail:



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-hen staff receives any letter or documents from out side of the branch then he done follo!ing

function !hich is arranged at se+uentially*

&irst put receive seal on the letter or document

4ut a serial number

Register in the in!ard book !ith receiving date.

Outward mail:

-hen it is necessary to dispatch any types of letter or document outside of the 0ilkusha branch

the dispatch staffs done follo!ing )ob, !hich are, arrange se+uentially*

4ut serial numbers

Register on out!ard mail register book !ith date.

:ut!ard dispatch is done in by courier service: 5ourier services are used !hen documents or

letters dispatch to other branches of "amuna Bank #td. It has been seen that courier services

payment has made by monthly basis.

Account Opening:

Before discussion about account opening, first !e have to kno! different types of targetcustomers of "amuna Bank #td.

Individual

4artner

"oin stock

4ublic (ector

"amuna Bank #td. offer different types of account for their target groups. hese are as follo!s

5urrent account

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(aving account

Monthly savings (cheme

&ixed erm 0eposit account &0R/

(hort term deposit (0/

&ollo!ing are broadly explaining all this type of account*

►Current Account (CD):

5urrent account is that typeEs account !here depositor can !ithdra! his deposited money at any

time there is no restriction. 5urrent account can be divided into four types, such as*1

Individual current account

4roprietary current account

5urrent partnership account

5urrent account for limited companies.

►Saving account (S):

(aving account is that account !hose interest rate is higher than current account and saving

account can be open by individual, )oint name or club, association etc.

►!onthl" Savings Scheme (!SS)

(avings is the best friend in bad days. (mall savings can build up a prosperous future. (avings

can meet up any emergences. "B# has introduced Monthly (avings (cheme M((/ that allo!s

saving on a monthly basis and getting a handsome return upon maturity. If anyone !ants to buildup a significant savings to carry out youEre cherished 0ream, "B# M(( is the right solution.

►#i$ed %erm Deposit account (#D)



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&ixed term deposit &0R/ application form has been used both for application form and as a

credit voucher for the bank. In case of &0R specimen signature card used and client give three

signatures on the specimen card. In the case of &0R it is clearly mention that !hen this amount

!ill be !ithdre! account holder receive principle amount plus interest.

&0R account holder gets a &0R slip that is provided by the "B# officer. &0R slip contains name

of account holder, deposited amount, And interest, and time of maturity. If depositor !ithdre!

his money before maturity date he does not get any interest. If account holder lost &0R slip then

indemnity bond is re+uired to issue a duplicate &0R slip. &0R account can be open by

individually or )oint name, In the case of &0R holder death, his nominee !ill get the amount.

►Short %erm Deposit (S%D)

(hort term deposit account interest is calculated at daises and its interest rate is H.== J.

►'ahpati Deposit Scheme

o become a lakhpati is a dream to most of the people of Bangladesh especially to the lo!er and

lo!er middle class income group. hey experience their expectations and !ants are enormous in

nature in our small span of life. o meet our deposit and !ants !e need right plan. Ceeping theabove in mind "B# has introduced K#akhopati (chemeK !hich has flexibility report of maturity

and monthly installment as per affordable capacity.

►!onthl" eneit Scheme (!S)

"amuna Bank #imited has introduced Monthly Benefit (cheme MB(/ for the prudent persons

having ready cash and desiring to have fixed income on monthly basis out of it !ithout taking

risk of loss and !ithout enchasing the principal amount. his scheme offers highest return !ith

zero risk. %veryone can plan your monthly expenditure !ith the certain monthly income under

the scheme.

►*ducation Savings Scheme



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%ducation is a basic need of every citizen. %very parents !ant to impart proper education to their

children. %ducation is the pre1re+uisite for socio1economic development of the country. As yet,

there is no arrangement of free education to the citizens from the government level. As such,

there should be pre1arrangement of fund to ensure higher educations the children. :ther!ise

higher education may be hindered due to change of economic condition, income of the parents at

the future time !hen higher education shall be re+uired. odayDs higher education is becoming

expired day by day. 4arents can get relief and can have peace of mind if they can arrange the

necessary fund for higher education of their children. As such, "B#, has introduced +*ducation

Savings Scheme+ !hich offers you an opportunity to build up your cherished fundD by monthly

deposit of small amount it at your affordable capacity or initial lump sum deposit to yield

handsome amount on a future date to meet the educational expenses. Fnder this (cheme you

have the different attractive options to avail the future benefit i.e. !ithdra!al of the total amountaccumulated in lump sum or !ithdra!ing monthly benefit to meet educational expense keeping

die principal amount intact or to !ithdra! both principal and accumulated profit monthly for a

certain period.

►!arriage Deposit Scheme

Marriage of children, especially daughter is a matter of great concern to the parents. Marriage of

children involves expense of considerable amount. 4rudent parents make effort for gradual

building of fund as per their capacity to meet the matrimonial expense of their children specially

daughters. 4arents get relief and can have peace of mind if they can arrange the necessary fund

for marriage of their children, no matter !hether they survive or not till the marriage occasion.

It can be a great help to the parents if there is any scope of deposit of a modest mount as per their

financial capacity, !hich groves very fast at high rate of interest yielding a sizeable amount on

maturity.

-ith this end in vie! "B# has introduced Marriage 0eposit (cheme, !hich offers you an

opportunity to build 1 up your cherished 1 fund by monthly deposit of serial, amount at your

affordable capacity.

►Dou,le-%riple rowth Deposit Scheme



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&or people !ho have cash flo! at this moment and !ant to get it doubled


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4ay slip

'ocal emittance

he offers various kinds of remittance allover the country through it branch net!ork. elegraphic

transfer, travelerEs che+ue and draft and che+ue can do remittance. here are t!o types of

remittance as are*

Inward remittance: -hen one bank sends these .., M, .5, or che+ue to another

bank !ithin the country it !ill be called in!ard remittance.

Outward remittance: -hen one bank got this ., M., .5 and che+ue from any bank

outside the country then it !ill be called out!ard remittance.

#oreign emittance

"amuna Bank #td. has a net!ork of 67 branches in Bangladesh and 8 more branches are going to

be added to net!ork soon.

Remittance services are available at all branches and foreign remittances may be sent to any

branch by the remitters favoring their beneficiaries.

Remittances are credited to the account of beneficiaries instantly through %lectronic &und

ransfer %&/ mechanism or !ithin shortest possible time.

"amuna Bank #td. has correspondent banking relationship !ith all ma)or banks located in almost

all the countriessend their money to their dear ones in Bangladesh.

o facilitate sending money in Bangladeshi aka directly, "amuna Bank #td. has aka 0ra!ing

Arrangement !ith many banks


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'oans and Advances

hough there !as an unfavorable business environment due to political turmoil throughout theyear "B# !as in constant efforts to explore different areas of credit operation and could raise thecredit portfolios to k.6>H7?.?; million in >==? !ith an increase of k.6H@8.@= million6?.>6J/ over that of the preceding year. he total credit as on ;6.6>.= !as k.66=66.@;million. In order to ensure compliance !ith regulatory re+uirements for avoiding risk of exposure to single borro!er, concentration on large loans, to bring in excellence in creditoperation in relation to risk management, yield, exposure, tenure, collaterals, security valuationetc.

he main focus of "amuna Bank #td. 5redit #ine


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'oan /roducts and Services:

a. eneral 'oan #acilit"

#etter of 5redit, Bank 2uarantee, 5ash 5redit, #oangeneral/ 9ire 4urchase, #ease

&inance, -ork1order &inance, %xport &inance, 9ouse Building #oan, #0B4 and &0%B4.

,. etail Credit /roducts

Any purpose lifestyle loan

#oan against salary

52 conversion loan

Real %state &inance

5ar loan

ravel loan

5onsumer loan

(tudy loan

0octorEs loan

Marriage loan

c. *lectronic /roducts:

Real time :n1#ine any branch banking

>8 hours AM

5redit 0ebit card



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elephone banking

(M( banking

Internet banking

Che0ue Clearing

he scheduled banks clear the che+ues dra!n upon one another through the clearing house. his

is an arrangement by the central bank !here every day the representative of the member banks

gather to clear the che+ues. he place !here they meet and settle their dues is called the clearing

house. he clearing house sits for t!o times a !orking day. he members submit the claimable

che+ues in the representative desks of the banks and vice versa. 5onse+uently the debit andcredit entries are given. At the end debit summation and the credit summation are calculated.

hen the banks clear the balances through the che+ue of the Bangladesh bank. he dishonored

che+ues are sorted and returned !ith the memo.

he main function of this section is to collect instrument on behalf of the customer through

Bangladesh bank through clearing house.

Outward ,ill Collection (OC) & Inward ,ill or collection (IC)

Fpon the receipts of the instruments this section examines the follo!ing things*

-hether the paying bank is !ithin the 0haka city

-hether the paying bank is out side of 0haka city

And !hether the paying bank is their o!n branch.

1 Outward ,ills or collection (OC): 5ollection of bills, !hich are beyond the clearing range

and collected through :B5 mechanism.

1 Inward ,ills or collection (IC): 5ollection of bills !hich "amuna bank does as an agent is

called collection through IB5 mechanism.Real Estate Financing of Jamuna Bank Limited

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Accounts department

Account division is the most important for all banks. In accounts division maintain all types of

accounting procedures of 0ilkusha branch and support the branch to take different types of

initiatives by providing various data and information.

4repare daily statement of affairs

Maintain transfer book

4repare daily, !eekly, monthly and +uarterly, half yearly and annual statement

Reconciliation of 5IBA

All administrative !orks.

#oreign *$change

Is the most important method of import 1financing International trade take place bet!een sellers

and buyers located in different countries. he parties to a trade transaction are not al!ays kno!n

to each other. %ven if they are kno!n to each other the seller may not have full confidence in the

carried !orthiness of the buyer or the buyer may not like to pay before he actually receives the

goods. In letter of credit the bankersE credit !orthiness is substituted for the credit !orthiness of

the importer. Fnder a bank1 cards letter of credit, the issuing bank gives a !ritten undertaking on

behalf of the buyer that the bank !ill honor the obligation of payment or expectance as the case

may be on presentation of stipulated documents. As the re+uest of the importers bank issue the

letter of credit at a merging by the govt. instruction. Bail* does not generally issue the letter of credit less then =J margin. "B# follo! the margin prescribed by the government strictly.

he %xporter needs finances at various stages, some at pre1shipment stage and the other at the

post shipment stage.



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2.3 Credit !anagement o 4'

his section lends the fund !hat the bank mobilizes through its various deposit accounts. his is

the second function of banks t!o generic function 1deposit mobilization and credit creation. he

ma)or part of banks income is derived from credit and since the banks credit is customerEs fund,

bank takes extreme caution in lending.

2.5 6hat is 'oan7

-hen an advance is made in a lump sum repayable either in fixed monthly installments or inlump sum and no subse+uent debit is ordinarily allo!ed except by !ay of interest and incidental

charges, etc. it is called a #oan. #oan is allo!ed for a single purpose !here the entire amount

may be re+uired at a time or in a number of installments !ithin a period of short span. After

disbursement of the entire loan amount, there !ill be repayment by the borro!er in installment.



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A loan once repaid in full or in part cannot be dra!n by the borro!er. %ntire amount of loan is

debited to the loan account in the name of the customer and is paid to him


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Application declaration for credit facilities from.

et !orth calculation.

Account statement

5IB report

5R2 5redit Risk 2uarantee/.

#imit proposal and approval from.

(anction latter.

Step;5: Dis,ursement

Acceptance of sanction latter.

5harge documents

(ecurity documentation :riginal deed, legal option etc./

Step;2 !onitoring

Record the transactions against credit facilities.

Make performance report on transactions.

%valuate and monitor the securities period by period.

2.< /rocedure o Dis,ursement o 'oans & Advances

o have crystal clear idea about the 5redit Management of "B# critical analysis of the

follo!ing are essential

5redit 4olicy of the Bank.Real Estate Financing of Jamuna Bank Limited

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5redit (anctioning Authority

4rocessing and screening of 5redit 4roposal.

2.= Credit Sanctioning Authorit" o 4'

0elegated po!ers are expected to be exercised by the authorized executives sensibly keeping the

bankEs interest in mind. In exercising the po!er the delegated authorized executives shall also

have credit restriction, tools and regulations, as governed by Banking 5ompany Act, Bangladesh

Bank, and other usual credit norms. 9o!ever, the follo!ing guidelines are laid do!n before the

executives of "B#. &or exercising the delegated po!er

he borro!er must be a man of integrity and must en)oy good reputation in the

market.

he borro!er must have the capacity and capability for utilizing credit* 4roperly

and 4rofitability.

he enterprise of the borro!er must be viable and profitable i.e. proposal of the

borro!er must be evaluated properly and carefully so as to ascertain its profitability.

he enterprise must generate sufficient fund for debt and servicing.

A customer to !hom credit is to be allo!ed should be far as possible !ithin the

command area.

o sanctioning officer can sanction any credit to any of his near relatives and toany company !here his relatives have financial interest.

2.> %ools or Appraisal Credit

%he 3? C@s o ood and ad 'oan



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In addition to the formal credit appraisal, the credit an official of "B# tries to )udge the possible

client based on some criteria. hese criteria are called the 5Ds of good and bad loan. hese are

described belo!*

3. Character: Make sure that the individual or company they are lending has outstanding

integrity.

5. Capacit": Make sure that the individual or company they are lending has the capability of

repaying the loan.

2. Condition: Fnderstanding the business and economic conditions that !hether it !ill change

after the loan is made.

8. Capital: Make sure that die individual or the company they are lending has in appropriate

level of investment in the company.

9. Collateral: Make sure that there is a second !ay out of a credit but do not allo! that to

drive the credit decision.

. Complacenc": :fficial do not rely on past. hey remain alert every time !hether any

mistake is taking place or not.

. Contingencies: Make sure that they understand the riskN particularly the do!nside

possibilities and that they structure and price the loan consistently !ith the understanding.



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3?. Competition: hey do not get clean a!ay by !hat others are doing.

2.3? Credit !onitoring and Supervision Cell

"B# is a uni+ue characteristic in its loan management to make sure that there !ill be no bad loan

in its1loan portfolioN "B# established a loan monitoring and supervision cell headed by a &irst

Assistant Oice 4resident. 9e along !ith other official fre+uently visits customer premises or

business !hether loan amount, !hich is taken, is used properly or not. (ometimes customer need

more fund to run the business profitably, then the monitoring authority takes necessary steps to

meet customerEs need.

2.33 /rocessing and Screening o Credit /roposal

here are some common regulatory directives governed by Banking 5ompanies Act, Bangladesh

Bank and the #a! of the (tate !hich or to be follo!ed strictly at the time of screening a credit

proposal. In addition, credit proposals are appraised critically by "B# 5redit officers from

various angles to )udge the feasibility or viability of the proposal.

he customers at the branches of the bank place credit proposals. -hen a customer comes !ith a

credit proposal, the 5redit 0epartment of the Branch makes an open discussion !ith the

customer on different issues of the proposal to )udge the !orthiness of the proposal and the

customer. If the proposal seems to be !orth !hile in all respects then the proposal is placed

before the credit committee of the bank. After threadbare discussion, if the committee agrees in

principle the proposal is sanctioned as par the delegated business po!er of the branch.

9o!ever, if the magnitude of the proposal is beyond the delegated business po!er of the branch

they for!ard it to the 9ead :ffice !ith recommendation for sanction


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5ommittee


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Flow Chart of Credit Proposal

2.35 Credit !onitoring-Supervision

angladesh an /erspective:

he Bangladesh Bank formulates and implements monetary and Bank supervision policies and

advises the 2overnment on economic policy !ithin the frame!ork of the Bangladesh Bank order

67H>. he Banking companies


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either, or its o!n motion or on being directed to do so by the 2overnment shall, cause an

inspection to be made by one or more of its of any banking company ad its books of account.

An inspection team normally consisting of a 0eputy 0irectors as a term leader and t!o Assistant

0irectors inspects each bank branch. In case of large branches having advances of k. .== 5roreand above a "oint 0irector leads the inspection team instead of a 0eputy 0irector. he leader of

the team fixes up time and place !here the team !ills meet on the date of Inspection. he leader

of the team is supplied !ith a. directive for inspection, !hich is addressed to the Manager of the

branch coDP6cerned. he team reaches the concerned bank branch before it opens for transactions

and cash is brought out of the vault. he first duty of the team is to take into their custody.

casebook and general ledger before starting physical verification of cash balance. It includes the

verification of foreign currencies, prize bonds, stamp and stamp papers and stock of checkbooks,

0. 0. forms and shares securities. Fsually the books off account of the book are examined ason a particular data but inspections, especially to find out cases of violation of Bank 5ompany

Act, 6776, 5redit restricttions and other instructions issued by Bangladesh Bank and

2overnment from time to time.

/*#O!AC* */O%

ormally after loan sanction, bankers are taking care of the client performance. Rene!al of theloan is depends on the performance report. In performance report the transaction bet!een bank

and the client are recorded. (o !hen turnover of the loan is high then it is good client. If the

client takes his allo!ed loan and deposit it fe! times, then the client is less risky but the bank

canEt get more benefit from the client because of lo! turnover. Bank expected higher turnover to

get more benefit. 4erformance report !ill sho! all of this. 4erformance report sho! the debit

and credit transactions average balance for the period, average monthly debit, average monthly

credit, accountEs highest balance, accountEs lo!est balance, number of time loan ad)usted.

According to performance report bank make a list of good and bad borro!er and sho! the present position of the clients and rank them according to good or bed borro!er.

S*CBI%

Real Estate Financing of Jamuna Bank Limited2/ | P a g e


28/66

It is essential that the proposal define clearly the purpose of the facility, the sources of the

repayment, the agreed repayment schedule, the value of security #and, MachineryEs, (ecurity

paper, etc./ and the customer relationships consideration implicit in the credit decision.

-here security is to be accepted as collateral for the facility all documentation relating to thesecurity shall be in the approved form.

All approval procedures and re+uired documentation shall be completed and all securities shall

be place, prior to the disbursement of the facilities.

he bank for creation of mortgage on the property1 re+uires the follo!ing documents*

:riginal (ale 0eed favoring o!ner of the landed property.

5ertified copy of Mutation Chatian.

0uplicate 5arbon Receipt :5R/.

5ertified copy of the (ale 0eed of the previous o!ner of the same property.

Fp1to1date Rent receipt and Municipal ax Receipt.

5learance from RA"FC < -:RC( MII(RG if the property is lease hold property of

any of them/ in connection of availing the loan facility from "amuna Bank #imited,

0haka by mortgaging the property. Oaluation 5ertificate.

RA"FC approved plan of the building !ith the approval letter.

(ite 4lan < Mouza Map

4hotograph of the property from three different angles and the o!ner of the landed property.

Board Resolution for mortgaging the property if the same belongs to any #imited

5ompany.



29/66

5ertified copy of 5(, (.A, R.( Chatians.

he borro!er is re+uest to submit the la!yer and creation of mortgage on the property intended

to mortgage against the advance.

DOCB!*%A%IO*

A document is a !ritten statement of facts of proof or evidence arising out of particular

transaction, !hich on placement may bind the parties there to ans!erable and liable to the court

of la! for satisfaction of the charge in +uestion.

he execution of documents in proper form and according to the re+uirements of la! is kno!n

as documentation. he documentation does establish a legal relationship bet!een the lending

bank and the borro!er he terms and conditions of loans and advances, the securities charged

and the repayment schedule are recorded in !riting 4roper documentation is a safeguard the

future interest of the bank.

0ocument is necessary for the ackno!ledgement of debt by the borro!er and charging of

securities to the bank by him. 4roper and correct documentation is essential not only for the

safety of an advance but also necessary for taking legal action against the debtors in case of non1

payment of dues. 0epending on the types of loans advances different documents are re+uired.

(uch as*

I. 0emand 4romissory 0.4/ ote.

II. #etter of partnership in case of partnership concerns/ or Resolution of the Board of

0irectors in case of #imited 5ompanies/.

III. #etter of arrangement.

IO. #etter of disbursement.



30/66

O. #etter of pledge in case of pledge goods/.

OI. #etter of hypothecation in case of advances against shares/.

OII. rust Receipts in case of # R facility/.

OIII. #etter of lien and transfer authority in case of advance against 4(4, B(4, etc./

IQ. #etter of lien and o!nership in case of advance against shares/.

Q. #etter of lien for packing credits in case of 4acking 5redit/.

QI. #etter .of lien inc case of advance against &0R/

QII. #egal documents for mortgage of property as drafted by #egal Adviser/.

2.32 'oans (eneral)

-hen an advance is made in a lump sum repayable either in fixed monthly installment or in

lump sum and no subse+uent debit is ordinarily allo!ed except by !ay in interest and incidental

charges etc. his is loans general/. #oan is allo!ed for a single purpose !here the entire amount

may be re+uired at a time or in a number of installments !ithin a period of short spam. After

disbursement of the entire loan amount, there !ill be only repayment made by the borro!er.

his loan is repayable !ithin fe! months or fe! years.

Securities:

6. #ien on fixed. (hares


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. 9ypothecation of stock


32/66

!a$imum 'imit:

H=J of ac+uisition 5ost,

Securit"-Collaterals:

he follo!ing securities are acceptable.

:!nership of leased assets before the period of loan ad)ustment.

5ollateral securities in the form of #and Building


33/66

CREDIT RISK

Financial risk BusinessIndustry Risk !ana"ement Risk Security Risk Relationship Ris

#e$era"e

#i%uidity

Pro&ta'ility

Co$era"e

Si(e of Business

)"e of Business

Business *utlood

Industry +ro,th

!arket Competition

Barriers to Business

E-perience

Succession

Team .ork

Security Co$era"e

Collateral Co$era"e

Support

)ccount Conduct

/tili(ation of #imit

Compliance of Co$enantsConditio

Personal Deposits

a) *valuation o #inancial is:

Risk that counter parties !ill fail to meet obligation due to financial distress. his

typically entails analysis of financials i.e. analysis of leverage, li+uidity, profitability

interest coverage ratios. o conclude, this capitalizes on the risk of high leverage, poor

li+uidity, lo! profitability insufficient cash flo!.

,) *valuation o usiness-Industr" is:

Risk that adverse industry situation or unfavorable business condition !ill impact

borro!ersD capacity to meet obligation. he evaluation of this category of risk looks at

parameters such as business outlook, size of business, industry gro!th, market

competition barriers to entry


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F!45re # Cre/! R!08 a a 4lance

According to the importance of risk profile, the follo!ing !eitght ages are proposed for

corresponding principal risks.

4rincipal Risk 5omponents -eight*

• &inancial Risk =J

• BusinessJ• (ecurity Risk 6=J

• Relationship Risk 6=J


Step II )llocate ,ei"ht a"es to principal Risk Components

Step III Find out the key Parameters


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4rincipal Risk 5omponents* Cey 4arameters*

• &inancial Risk #everage, #i+uidity, 4rofitability 5overage Ratio

• Business


36/66

1Industry gro!th ;J

1 Market 5ompetition >J

1 %ntryJ

!anagement is 351%xperience J

1(uccession 8J

1eam -ork ;J

Securit" is 3?

1(ecurity coverage 8J

15ollateral coverage 8J

1(upport >J elationship is 3?

1Account conduct J

1Ftilization of limit >J

15ompliance of covenantsJ

14ersonal deposit 6J

After the risk identification !eightage assignment process as mentioned above/, the next

steps !ill be the input to actual parameter in the score sheet that is very essential to arrive at

the scores corresponding to the actual parameters.

his manual also provides a !ell1programmed M( %xcel based credit risk scoring sheet to arrive

at a total score on each borro!er. he excel program re+uires inputting data accurately in

particular cells for input and !ill automatically calculate the risk grade for a particular borro!er

based on the total score obtained. he follo!ing steps are to be follo!ed !hile using the M(

%xcel program.


Step 0 Input data to arri$e at the score on the key


37/66

a) :pen the M( Q# file named, CESCO*ESF**%

b/ he entire Q# sheet named, C is protected except the particular cells to input data.

c) Input data accurately in the cells !hich are OD**D are colored *''O6.

d) All the cells provided for input must be filled in order to arrive at accurate risk grade,e) -e have also enclosed the M( %xcel file named, CEScoreESheet in 50 R:M for

use.

he follo!ing is the proposed 5redit Risk 2rade matrix based on the total score obtained by an

obligor.

um,er is rading Short Score

6 (uperior (F4 = 6==J cash covered 2overnment 2uarantee International Bank

> 2ood 20 @

; Acceptable A554 H1@8

8 Marginal


38/66

2.3 Causes o #ault 'oan:

In finance, default occurs !hen a debtor has not met his or her legal obligations according to the

debt contract, e.g. has not made a scheduled payment, or has violated a loan covenant condition/

of the debt contract. A default is the failure to pay back a loan. 0efault may occur if the debtor is

either un!illing or unable to pay their debt. his can occur !ith all debt obligations including

bonds, mortgages, loans, and promissory notes.

-hen BanksE loan falls to doubtful or bad then they need to recover it as Bank needed. he

causes of fault #oan are given belo!*

Intentionally

Business &ault

• %conomic recession

• #o! production

• 5orruption

&irm diverted to unproductive source.

Invest in another sector.

#ack of Monitoring

2.3< %he ecover" Department:

he Recovery 0epartment should directly manage accounts !ith sustained dc6crioralion a Risk

Rating of (ub (tandard ?/ or !orse/.

0o!n 2rading process should be done nomadically and should not be postponed unit the annual

revie! process.

he 5RFDs primary functions are*Real Estate Financing of Jamuna Bank Limited

30 | P a g e

http://en.wikipedia.org/wiki/Financehttp://en.wikipedia.org/wiki/Financehttp://en.wikipedia.org/wiki/Loan_covenanthttp://en.wikipedia.org/wiki/Debthttp://en.wikipedia.org/wiki/Bond_(finance)http://en.wikipedia.org/wiki/Mortgage_loanhttp://en.wikipedia.org/wiki/Loanhttp://en.wikipedia.org/wiki/Promissory_notehttp://en.wikipedia.org/wiki/Financehttp://en.wikipedia.org/wiki/Loan_covenanthttp://en.wikipedia.org/wiki/Debthttp://en.wikipedia.org/wiki/Bond_(finance)http://en.wikipedia.org/wiki/Mortgage_loanhttp://en.wikipedia.org/wiki/Loanhttp://en.wikipedia.org/wiki/Promissory_note


39/66

• 0etermine Account Action 4lan


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2.3= *A' *S%A%* #IACI O# 4'

9ome o!nership is a basic need and a dream of every individual. (ince housing industry plays a

vital role in the national economy, our bank has come for!ard for Real %state financing for Individual as !ell as 0evelopers. he main ob)ective of Real %state &inancing is to promote Real

%state 0evelopers and Individuals.

• Scope o eal *state 'oan:

&or 5onstruction of Residential Building T5RBU

&or 5onstruction of 5ommercial Building T55BU

&or &lat 4urchase T&4U

&or Building 4urchase TB4U

&or 0evelopers T0%OU

• /urpose:

5onstruction < %xtension < Renovation of Residential < 5ommercial Building.

4urchase of Building


41/66

• !a$imum Age 'imit: H= T(eventyU years at the end of loan tenor.

• !inimum Income : et Income


42/66

(uch other

documents as

re+uired by the

Banks

appointed

#a!yer.

• e0uir

ement

or

esidential

uilding:

Applicant

e0uisite

Documents

#or sel;emplo"ed


:!nership deed of the property photocopy/

Bia deed for > years

0evelopment agreement )oint venture/ !ith the land o!ner if any/

Registered 4o!er of attorney

Recent (urvey Report math parcha duly attested/

Mutation parcha !ith mutation proposal sheet.

0uplicate carbon receipt !ith mutation order sheet.

5(. (A. R( porcha 4(. B(. R(. 4orcha applicable only for 5hittagong/

Fp to date #and tax Receipt if any/

Fp to date 9olding tax receipt.

Approved plan


43/66

#or usinessman

#or

'andlord

O%*

"B# may ask for 4ersonal2uarantee from acceptable person if necessary.


(tatement of Business details

#atest 4rofit #oss account and balance sheet of the business for businessmen

rade #icense as proof of business age

months

0eclaration of other assets if any/

itle deed of rented premises months banks statements in applicantEs name

Ftility bill in the name of applicant for rented property


44/66

2.3= Dierent Interest ates or eal *state #inancing or Fouse uilding

'oan etween 4' with some other ,ansH

Jamuna Bank Limited 13B!ac Bank Limited 1/0&tanda!d Bank Limited 16nited Comme!cial Bank Limited 1/Easte!n Bank Limited 13"utc Bangla Bank Limited 15

/AC%ICA' 6O DBI I%*SFI/



45/66

In this three months of my internship period I !orked in various departments of "B#. But among

the all departments I like the credit department most. Because the !ork of credit department is

very important and interestingN actually this department does the toughest !ork in the bank. I feelvery comfort !ith the members of clearing department too. All the members of this department

helped me a lot to complete my internship report.

My main activity !as*

• o inform the customers about loan opportunity provided by the bank.• 2ive the idea about interest rate !ith the installment amount to the customers.• Inform the customers about !hat are the document re+uired for the specific loan.• 5heck the document as re+uired for the safety of the loan.

/roJect /art

acground Stud":



46/66

"B# introduces the most convenient practical Real %state &inancing that suits your all home

financing needs. #et it be for flat purchase, construction for residential building, construction for

commercial building, building purchase for developers extension or renovation 1 "B# is here

!ith the ultimate solution for you. -ith so many attractive features in it 1 the home you !anted

to buy, or to extend the existing one or renovate the same is no longer a distant dream.

hese loans are alternative of term loan and are the loans made to finance those !ho re+uire real

estate financing loans for both commercial and non1commercial purposes. Being a variant of

term loan, in this cash too, banks usually have predetermined optimum exposure level, !hich

shall al!ays be kept in mind in considering financing under this category. Besides borro!erDs

standing is thoroughly checked and only fairly cleared clients are entertained.

Real %state &inance for commercial purposes shall ideally be li+uidated, !ithin the time frame of repayment, through the income to be generated from the pro)ect. 9o!ever, clientDs

resourcefulness is of paramount importance, the sector being highly sensitive to economic

shocks.

%ntire location, nature of the property !hether freehold or lease holds if lease hold, conditions

of lease as !ell as confirmation of up to date payment of installment etc. shall be considered/,

estimated cost vis1V1vis borro!erDs stake, suitability of buildingDs proposed use, duly passed

plan


47/66

0uring my Internship I !ork on "B# 5redit department especially on Real %state &inancing

section. (o I see !hat types of problem face a "B# Real %state &inancing customers. I talk to

them and !ant to identify as a customer !hat types of service they !ant. Are they happy the

present interest rate and service of "B#W Are they satisfied !ith the "B# credit sanction

procedureW

o find out these types of ans!er I am doing this research.

!" /roposal

"B# should provide more +uick service in 5redit department. hey also need to +uick for the

loan sanction procedure. I think they also consider about their service, they can divvied 5redit

5ommittee from head office to others branch.

/roJect Duration:

6 Month* 66 March >=66 to 66 April >=66

Cost:

Par!c5lar A6+5n 9BDT:

!o,ile ill: >==Communication: >==Others: ==%otal 7==

!ethodolog"



48/66

he study has been conducted among ?= employees of "amuna Bank #imited employed in

different level of management hierarchy and the customers of credit department. Both primary

data and secondary information have been used. 4rimary data have been collected by

+uestionnaire survey. he +uestionnaire contained only liker scale. (econdary information has

been collected through studying of their Annual Report of "amuna Bank #imited. -ebsite and

other related sites also used here.

Sampling /lan:

/opulation: he population of this study is defined as follo!s*

a. *lement: %mployees and 5ustomers of Ashulia Branch.

,. Bnit: :nly those customers in "B# at different level.c. %ime: 6 Month 6= March, >=66 to 6= April, >=66/.

Sample siGe:

he sample size of this study has been consisted of the customers of "amuna Bank #imited

operating in Ashulia branch. A total of ?= people had been selected randomly. he population has

been defined both male and female.

Sampling /rocedure:

&or conducting this study personnel !ere randomly selected from the total personnel. he

personnel that are the population consist of 5ustomers both male and female/ of "amuna Bank

#imited.

Data Sources:

In order to meet the data re+uirements and collect the above mentioned information follo!ing

sources has been used*



49/66

/rimar" Data Sources: 4rimary data has been collected from the individual customers of "B#

by face to face +uestions and ans!er and oral conversation !ith different employees as !ell.

Secondar" Data Sources: Important sources of secondary data for conducting this research

!ere*

0ifferent reports and )ournals of "amuna Bank #td.

Relevant business research books

Annual report of "B# >==71>=6=/

-eb1site of the bank

Anal"sis o Data: &or analysis of data Microsoft %xcel have used. o entry data coding option

has been used at the initial stage. Both 4arametric and non1parametric statistical tools !ere used

to derive a meaningful conclusion from the empirical data. he measure of dispersion,

correlation co1efficient, index numbers and regression analysis !ere applied. In addition, basic

statistical techni+ues of different measures of central tendency have been used in analyzing the

data.



50/66

F/O%F*SIS D*K*'O/!*%

-ith a vie! of fulfilling the ob)ectives some relevant hypothesis have been formulated for this

study*

6. 9A* 5ustomers are satisfied !ith the "B# Real %state &inancing.>. 9A* 5ustomers are satisfied !ith the interest rate of "B# Real %state &inancing.;. 9A* "B# +uarterly Real %state &inancing Installment system perfect for the customers.

8. 9A* "B# provides +uick service as a Real %state &inancing.. 9A* 5ustomers think Real %state &inancing loan processing time is high.

?. 9A* 5ustomers are accepting to pay late fee charge.

H. 9A* 5ustomers think "B# loan service charge is flexible.

@. 9A* 5ustomers are satisfied !ith the "B# credit sanction procedure.

7. 9A* 5ustomer think "B# employees are co1operative.

6=. 9A* 5ustomers are satisfied !ith the "B# loan settlement system.



51/66

raphical epresentation and Interpretation o esearching Data

3. F?: 5ustomers are not satisfied !ith the "B# Real %state &inancing.FA* 5ustomers are satisfied !ith the "B# Real %state &inancing.

In other !ords,

9=* X Y >.

9A* X Z >.

Y ?=

9ere Q Y 8.8

[ Y 8.78

\ 5al Y Q 1 X/ < [ < ]n/ Y >.7H

6

4

Chart Title

&t!ongl% disag!ee "isag!ee

eite! ag!ee no!

disag!ee

+g!ee

&t!ongl% +g!ee

&ig o.6* RespondentsE vie! to!ards satisfied !ith the "B# Real %state &inancing.

At J level of significance, follo!s \ distribution \=.= Y 6.?8

(ince \ 5alZ \ tab, the null hypothesis is not accepted. (o it can be said that at J level of significance, 5ustomer are satisfied !ith the "B# Real %state &inancing.

?= J respondents had Agree that they are satisfied !ith the "B# Real %state &inancing.



52/66

5. F?: 5ustomers are not satisfied !ith the interest rate of "B# Real %state &inancing.

FA: 5ustomers are satisfied !ith the interest rate of "B# Real %state &inancing.

9=* X Y >. 9A* X Z >.

Y ?=

9ere Q Y 8.8

[ Y 8.8>

\ 5al Y Q 1 X/ < [ < ]n/ Y ;.;;

/

4/

4/

Chart Title


eite! ag!ee no!

disag!ee

+g!ee

&t!ongl% ag!ee

&ig o.>* RespondentsE vie! to!ards !ith the interest rate of "B# Real %state &inancing.


(ince \ 5alZ \ tab, the null hypothesis is not accepted. (o it can be said that at J level of

significance, "B# customers are !ith the interest rate of "B# Real %state &inancing

7;J respondents had agreed that, !ith the interest rate of "B# Real %state &inancing.



53/66

2. F?: "B# +uarterly Real %state &inancing Installment system not perfect for the customers.

FA: "B# +uarterly Real %state &inancing Installment system perfect for the customers.

In other !ords, 9=* X Y >.

9A* X Z >.

Y ?=

9ere Q Y ;.@H

[ Y ?.;

\ 5al Y Q 1 X/ < [ < ]n/ Y 6.?H

1/

03

Chart Title


eite! ag!ee no!

disag!ee

+g!ee

&t!ongl% ag!ee

&ig o.;* RespondentsE vie! to!ards Installment system perfect for the customers.


(ince \ 5alZ \ tab, the null hypothesis is not accepted. (o it can be said that at J level of significance, Installment system perfect for the customers.

Around @;J respondents have agreed about Installment system perfect for them.



54/66

8. F?: "B# doesnEt provide +uick service as a Real %state &inancing.

FA: "B# provides +uick service as a Real %state &inancing.

In others !ord,

9=* X Y >.9A* X Z >.

Y ?=

9ere Q Y >.;;

[ Y @.6H

\ 5al Y Q 1 X/ < [ < ]n/ Y 6.>;

42

33

0

1/

Chart Title


eite! ag!ee no!

disag!ee

+g!ee

&t!ongl% ag!ee

&ig o.8* RespondentsE vie! to!ards +uick service as a Real %state &inancing.


(ince \ 5alZ \ tab, the null hypothesis is accepted. (o it can be said that at J level of significance,"B# doesnEt provide +uick service as a Real %state &inancing.

Around 8>J respondents strongly disagree and ;;J disagree !ith the +uick service of "B# as aReal %state &inancing.



55/66

9. F?: 5ustomers does not think Real %state &inancing loan processing time is high.

FA: 5ustomers think Real %state &inancing loan processing time is high.

In others !ord,

9=* X Y >.

9A* X Z >.

Y ?=

9ere Q Y ;.;;

[ Y H.

\ 5al Y Q 1 X/ < [ < ]n/ Y >.;7

10

2/

45

Chart Title

&t!ongl% disag!ee

"isag!ee

eite! ag!ee no!

disag!ee

+g!ee&t!ongl% ag!ee

&ig o.* RespondentsE vie! to!ards loan processing time is high.

.

At J level of significance, follo!s \ distribution \=.= Y 6.?8(ince \ 5alZ \ tab, the null hypothesis is not accepted. (o it can be said that at J level of significance, "B# loan processing time is high.

Around 8?J respondents have strongly agree and >HJ agree that "B# loan processing time ishigh.Real Estate Financing of Jamuna Bank Limited

55 | P a g e


56/66

. F?: 5ustomers are not accepting to pay late fee charge.

FA: 5ustomers are accepting to pay late fee charge.

In others !ord,

9=* X Y >.

9A* X Z >.

Y ?=

9ere Q Y ;.H;

[ Y .=

\ 5al Y Q 1 X/ < [ < ]n/ Y 6.@7

/

2

6/

/

Chart Title


eite! ag!ee no!

disag!ee

+g!ee

&t!ongl% ag!ee

&ig o.?* RespondentsE vie! to!ards accepting to pay late fee charge.

At J level of significance, follo!s \ distribution \=.= Y 6.?8(ince \ 5alZ \ tab, the null hypothesis is not accepted. (o it can be said that at J level of significance, accepting to pay late fee charge.

Around ?H J respondents are accepting to pay late fee charge.



57/66

.

9A* X Z >.

Y ?=

9ere Q Y >.;;

[ Y H.6H

\ 5al Y Q 1 X/ < [ < ]n/ Y >.>;

16

2

55

Chart Title

&t!ongl% disag!ee

"isag!ee

eite! ag!ee no!

disag!ee

+g!ee&t!ongl% ag!ee

&ig o.8* RespondentsE vie! to!ards "B# loan service charge is flexible.


(ince \ 5alZ \ tab, the null hypothesis is not accepted. (o it can be said that at J level of significance, "B# loan service charge is flexible.



58/66

Around J respondents strongly agree and >=J agree that loan service charge is flexible.

=. F?: 5ustomers doesnEt satisfy !ith the "B# credit sanction procedure.FA: 5ustomers are satisfied !ith the "B# credit sanction procedure.

In others !ord,

9=* X Y >.

9A* X Z >.

Y ?=

9ere Q Y >.88

[ Y @.>@

\ 5al Y Q 1 X/ < [ < ]n/ Y 6.;6

5

33

00

Chart Title

&t!ongl% disag!ee

"isag!ee

eite! ag!ee no!

disag!ee

+g!ee

&t!ongl% ag!ee

&ig o.@* RespondentsE vie! to!ards satisfied !ith the "B# credit sanction procedure.


(ince \ 5alZ \ tab, the null hypothesis is accepted. (o it can be said that at J level of significance5ustomers doesnEt satisfy !ith the "B# credit sanction procedure.



59/66

Around =J respondents have strongly disagreed and ;8J respondents have disagree !ith the"B# credit sanction procedure.

>. F?: 5ustomer think "B# employees are not co1operative.

FA: 5ustomer think "B# employees are co1operative.

9=* X Y >.

9A* X Z >.

Y ?=

9ere Q Y 8.>

[ Y 8.>?

\ 5al Y Q 1 X/ < [ < ]n/ Y ;.=7

00

62

22

Chart Title

&t!ongl% disag!ee

"isag!ee

eite! ag!ee no!

disag!ee

+g!ee

&t!ongl% ag!ee

&ig o.7* RespondentsE vie! to!ards "B# employees are co1operative.



60/66


(ince \ 5alZ \ tab, the null hypothesis is not accepted. (o it can be said that at J level of significance, "B# employees are co1operative.

Around ?>Jrespondents have identified that "B# employees are co1operative.

3?. F?: 5ustomers are not satisfied !ith the "B# loan settlement system.

FA: 5ustomers are satisfied !ith the "B# loan settlement system.

In others !ord,

9=* X Y >.

9A* X Z >.

Y ?=

9ere Q Y ;.@

[ Y .8;

\ 5al Y Q 1 X/ < [ < ]n/ Y 6.@?

13

/

6/

13

Chart Title


eite! ag!ee no!

disag!ee

+g!ee

&t!ongl% ag!ee

&ig o.6=* RespondentsE vie! to!ards satisfied !ith the "B# loan settlement system




61/66

(ince \ 5alZ \ tab, the null hypothesis is not accepted. (o it can be said that at J level of significance, customers are satisfied !ith the "B# loan settlement system.

Around ?HJ respondents have identified that "B# loan settlement system is satisfied.

#indings:

6. ?= J respondents had Agree that they are satisfied !ith the "B# Real %state &inancing.

>. 7;J respondents had agreed that, !ith the interest rate of "B# Real %state &inancing.

;. Around @;J respondents have agreed about Installment system perfect for them.

8. Around 8>J respondents strongly disagree and ;;J disagree !ith the +uick service of

"B# as a Real %state &inancing.

. Around 8?J respondents have strongly agree and >HJ agree that "B# loan processing

time is high.

?. Ma)ority of respondents are accepting to pay late fee charge.

H. Around J respondents strongly agree and >=J agree that loan service charge is

flexible.

@. Around =J respondents have strongly disagreed and ;8J respondents have disagree

!ith the "B# credit sanction procedure.

7. Around ?>Jrespondents have identified that "B# employees are co1operative.

6=. Around ?HJ respondents have identified that "B# loan settlement system is satisfied.



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ecommendations:

"B# should need to provide more +uick service in Real %state &inancing for example they

need a call center department that !ill be very popular no! a day.

hey need !ork more +uick in loan processing time.hey also need to provide more conscious about credit sanction procedure.&orm my point of vie! they can open division !ise loan sanction committee, as a result

head office loan sanction committees some presser !ill reduce.

Conclusion:

As an organization the "amuna Bank #imited has earned the reputation of top banking operation

in Bangladesh. he organization is much more structured compared to any other banks operatinglocal or foreign in Bangladesh. It is unyielding in pursuit of business innovation and

improvement. It has a reputation as a partner of consumer gro!th.

-ith coverage of +ualified and experienced human resource, "amuna Bank #imited can exploit

any opportunity in the banking sector. It is pioneer in introducing many ne! products and

services in the banking sector of the country. Moreover, in the overall1banking sector, it is

unmatched !ith any other banks because of its !ide spread branch net!orking thought the

country.

his report tries to figure out most of the indicators of 4roblems and (trengths of "amuna Bank

#imited as a valid pretender in the competitive banking sector of Bangladesh under the #oan

Management especially in Real %state &inancing. A severe cut throat competition is going on

currently in this sector and thatEs !hy "amuna Bank #imited has to !ork out !ith differentReal Estate Financing of Jamuna Bank Limited

62 | P a g e


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dimensions like product diversification, market forecasting, proactive activities undertaken by

"amuna Bank #imited and some suggestion to get rid of the predicaments that exist.

I am hopeful that time may emerge in near future !hen this poor nation !ill come into the light

of development if the conventional banks !orking in our country advance along !ith "amunaBank to take part into various !elfare programs.

1/ESTI*2)RIES

0ear (ir


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2) Do "ou thin 4' 0uarterl" eal *state #inancing Installment s"stem perect or "ou7

A. (trongly 0isagree. 0isagreeC. either agree nor disagreeD. Agree

*. (trongly agree8) Do "ou thin 4' provides "ou a 0uic service as a eal *state #inancing7

A. (trongly 0isagree. 0isagreeC. either agree nor disagreeD. Agree*. (trongly agree

9) Do "ou thin 4' eal *state #inancing loan processing time is high7 A. (trongly 0isagree

. 0isagreeC. either agree nor disagreeD. Agree*. (trongly agree

) Do "ou accept to pa" late ee charge7 A. (trongly 0isagree. 0isagreeC. either agree nor disagreeD. Agree*. (trongly agree


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>) Do "ou thin 4' emplo"ees are co;operative7

A. (trongly 0isagree. 0isagreeC. either agree nor disagreeD. Agree

*. (trongly agree

3?) Are "ou satisied with the 4' loan settlement s"stem7

A. (trongly 0isagree. 0isagreeC. either agree nor disagreeD. Agree*. (trongly agree

Customer@s name Signature o customer

i,liograph":



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!agaGines-oos:

4 Oersheney “Banking Law & Practice”

Chan "ain “Financial Management”

Basley Brigham “Essentials of Managerial Finance.” .

%ugene &. Brigham “Intermediate Financial Management”

he 0aily %nglish e!spaper “The Dail !tar” “The Dail "#ser$er”

5redit Risk 2rading Manual, Bangladesh Bank, >==?

5redit 4olicy 2uidelines, "amuna Bank #td. >==?.

A2M report >==7 of "amuna Bank #td.

%leven %xtra :rdinary 2eneral Meeting, >==7

4eter (. Rose. $%ommercial Bank Management.”

I M 4andy $&inancial Management'

6e,sites:

!!!.)amunabank.bd.com

!!!.siblbd.com

!!!.epb.gov.bd

!!!.mincom.gov.bd

!!!.bangladesh1bank.org

!!!.cpd1bangladesh.org

!!!.adb.org