Retail Banking of  Dhaka Bank Limited

Executive Summary

The report is based on my internship program in Dhaka Bank Limited. I have successfully completed my internship program from Dhaka Bank Ltd. under Dispatch, General Banking Division & Clearing Division. It was Three months internship program which I started from 14th October, 2012 to 31st December, 2012. I did this internship program because it is a requirement for the BBA program for the AsianUniversity of Bangladesh.

In my internship period, I worked in Dispatch, General Banking Division & Clearing Division. It was great difference to me that I have achieved knowledge of different bank works or tasks. All employees of tree divisions were very helpful and they accept me cordially. They prefer me as a part of their team member. My faculty supervisor and on-site supervisor helped me choose the topic –  Retail Banking

 The report is categorized in six different parts. At first there is chapter One where I describe the topic of report, objective & scope of the report, methodology and limitation of report. The main objective of report is covering degree requirement of Asian University of Bangladesh discuss about the Retail Banking of Dhaka Bank Limited. The minor objective of report is to know about Dhaka Bank and its Retail Banking. Chapter two describes company profile, corporate vision, corporate mission, core values, ethical principles, achievements, strengths, financial configuration, board of directors, executive committee member, executive committee of the board of trustee of Dhaka Bank Foundation, organization chart, division of Dhaka Bank, products & services and other products & services. Third chapter describes different aspects of my job at Dhaka Bank. The analysis & findings are in chapter four. It describes the opinion and sentiment to ATM Card, DPS and Loan Service of Retail Banking of Dhaka Bank Ltd. Chapter five describes my own recommendation to Dhaka Bank which can be applied. At last chapter there is the conclusion of the report.

  INTRODUCTION:

The report is all about Dhaka Bank Ltd. It is discussed about the Customer’s satisfaction to the Retail Banking of Dhaka Bank Ltd. The report is focused on about the overview of company, overview of Retail Banking Division & also analysis Retail Banking Division of Dhaka Bank Limited.

OBJECTIVE OF THE REPORT:

There are two types of objectives of this report. One is general objective and another is specific objective:

(a) General Objective:

The general objective of this report is to cover the degree requirement of Asian University Of Bangladesh and is to discuss about the customer’s satisfaction to the Retail Banking of Dhaka Bank Ltd.

(b) Specific objective:

 To know about Retail Banking of Dhaka Bank Ltd.

 To know about customer’s satisfaction to the Retail Banking of Dhaka Bank Ltd.

 To learn about the process of Retail Banking reporting.

 To analyze the different Retail Banking Services

SCOPE OF THE REPORT:

The report is all about the customer’s satisfaction to Retail Banking of Dhaka Bank Ltd. The report has been prepared using highest concern, but there are some limitations. It is a report which can be easy for all that a primary reader do not face any problem to know about the Dhaka Bank or about the Retail Banking of Dhaka Bank Ltd. This report can be absolute alternative for anyone who wants to know everything of Retail Banking & its s different services and customer’s satisfaction to it.

METHODOLOGY:

The report is based on primary and secondary sources. To make this report, I have neither attended any seminar or training regarding Retail Banking nor worked with the reporting unit for Retail Banking. My own research and few practical knowledge has been used in this report what I understood from my primary sources.

Primary sources are collected through:

 Conducted face to face interview

 General discussion with employees and officers of Retail Banking

Secondary sources are collected through:

 Annual Report of Dhaka Bank Ltd. (2008, 2009, 2010, 2011, 2012)

 Website of Dhaka Bank

 Research reports on Retail Banking of Dhaka Bank Ltd. from Internet

LIMITATIONS OF THE REPORT:

The report has few limitations. The limitations are raised from different reasons which are given below:

 In this report, I only use my own practical and researching knowledge because I did not attend any seminar or training session regarding Retail Banking and even I did not work with the reporting unit for Retail Banking Division. So, it was impossible to me to represent the absolute details about the Retail Banking of Dhaka Bank Ltd.

 Employees were always busy with routine work and making reports. In the period of my internship, all the officers were busy with regular work. That is why I cannot gather vast knowledge about the critical issues.

  The Branch office did not have all information about Retail Banking of whole Dhaka Bank Ltd. The full information of Retail Banking of Dhaka Bank Ltd. is kept in the Head Office of Dhaka Bank Ltd.

 COMPANY PROFILE:

           A group of highly acclaimed businessmen of the country grouped together to responded to this need and established Dhaka Bank Limited in the year 1995. The Bank was incorporated as a public limited company under the Companies Act. 1994. The Bank started its commercial operation on July 05, 1995 with an authorized capital of Tk. 1,000 million and paid up capital of Tk. 100 million. The paid up capital of the Bank stood at Tk 1,547,402,300 as on December 31, 2007. The total equity (capital and reserves) of the Bank as on December 31, 2007 stood at Tk 3,125,688,713.. The Bank has plans to open more branches in the current fiscal year to expand the network.

 The Bank has a total number of 62 branches and 2 Off Shore Banking Unit at DEPZ Savar Dhaka, 3 SME Service Centers, 6 CMS Units, 1 Business Center and 1 Central Processing Centre across the country. The Bank has plans to open more branches in the current year to expand the network.

 The Bank offers the full range of banking and investment services for personal and corporate customers, backed by the latest technology and a team of highly motivated officers and staff. The Bank has launched Online Banking services (i-Banking), joined a countrywide shared ATM network and has introduced a co-branded credit card. A process is also underway to provide e-business facility to the bank’s clientele through Online and Home banking solutions.

CORPORATE VISION:

At Dhaka Bank, we draw our inspiration from the distant stars. Our team is committed to assure a standard that makes every banking transaction a pleasurable experience. Our endeavor is to offer you razor sharp sparkle through accuracy, reliability, timely delivery, cutting edge technology, and tailored solution for business needs, global reach in trade and commerce and high yield on your investments.

CORPORATE MISSION:

To be the premier financial institution in the country providing high quality products and services backed by latest technology and a team of highly motivated personnel to deliver Excellence in Banking.

CORE VALUES:

The Core values are given below:

 Customer Focus

 Integrity

 Teamwork

 Respect for the individual

 Quality

 Responsible Citizenship

ETHICAL PRINCIPLES:

The ethical principles are given below:

 We are compliant to our country’s laws and regulations.

 We reject bribery and corruption.

 We avoid compromised gifts and entertainment.

 We speak up if we suspect any actual, planed or potential behavior that may breach any laws and regulations.

 We are compliant to Anti money laundering guidelines and other prudential regulation provided by our regulators.

 We resolve customer complaints quickly and fairly.

 We maintain confidentiality and fidelity of our customer.

 We treat our colleagues with fairness and respect; work with highly motivated team spirit and fellowship bondage.

ACHIVEMENTS:

 CSR Award accorded by Banker’s Forum for outstanding contribution of DBL to the progress of the nation.

 Atish Dipankar Award accorded to Mrs. Shamshad Begum, Principal of DBTI for her remarkable contribution to banking development in the country.

 Award for participation in syndication and structure finance.

 STRENGTHS:

  A dynamic and vibrant Broad of Directors

 A strong and resilient capital base

 Highly qualified team of management professionals

 Forward Looking strategies and management policies

 Cutting edge tools and technologies to support real time on-line banking

 Well diversified line of business

 A good risk management and compliance culture

 Deep focus on quality control

 And a dedicated line of human resources

 FINACIAL CONFIGURATION:

The Financial structure of recent two years of Dhaka Bank Ltd. is given below:

BOARD OF DIRECTORS:

1. Mr. Reshadur Rahman, Chairman

2. Mr. Abdul Hai Sarker, Director

3. Mrs. Rokshana Zaman, Director

4. Mr. Altaf Hossain Sarker, Director

5. Mr. Aminul Islam, Director

6. Mr. Md. Amirullah, Director

7. Mr. Abdullah Al-Ahsan, Director

8. Mr. Khondoker Monir Uddin, Director

9. Mr. M.N.H Bulu, Director

10. Mrs. Rakhi Das Gupta, Director

11. Mr. Tahidul Hossain Chowdhury, Director

12. Mr. Jashim Uddin, Director

13. Mrs. Kamala Khatun, Director

EXECUTIVE COMMITTEE MEMBER:

1. Mr. Reshadur Rahman, Chairman

2. Mr. Abdul Hai Sarker, Director

3. Mrs. Roksha na Zaman, Director

4. Mr. Altaf Hossain Sarker, Director

5. Mr. Mohammed Hanif, Director

Executive Committee of the Board of Trustee of Dhaka Bank Foundation:

1. Mr. Reshadur Rahman, Chairman

2. Mr. Mirza Abbas Uddin Ahmed, Trustee Member

3. Mr. Abdul Hai Sarker, Trustee Member

4. Mr. A T M Hayatuzzaman Khan, Trustee Member

5. Mr. Khondoker Monir Uddin, Trustee Member

6. Mr. Mohammed Hanif, Trustee Member

7. Mr. Khandakar Mohammad Shahjahan, Trustee Member

8. Mr. Khondoker Jamil Uddin, Trustee Member

9. Mr. Md. Amirullah, Trustee Member

10. Mr. Aminul Islam, Trustee Member

CORPORATE INFORMATION:

Name of the Company:                      Dhaka Bank Limited

Legal Form:                                       A public limited company incorporated

                                                           in Bangladesh on April 06, 1995 under

                                                           the Companies Act 1994 and listed in

                                                           Dhaka Stock Exchange Limited and

                                                           Chittagong Stock Exchange Limited

Registered Office:                             Biman Bhaban (1st Floor) 100

                                                           Motijheel C/A

                                                           Dhaka – 1000, Bangladesh

                                                          Telephone: +880 2 9554514

                                                          Telefax: +880 2 9556584, 9571013,

SWIFT Code:                                   DHBLBDDH

E-Mail:                                             info@dhakabank.com.bd

Web Page:                                       www.dhakabankltd.com

Auditors:                                         ACNABIN

                                                        Chartered Accountants

Tax Consultant:                              Howlader, Yunus & Co.

                                                       Chartered Accountants

Managing Director:                      Khondker Fazle Rashid

                                                      From February 24, 2009

Company Secretary:                     Arham Masudul Huq

ORGANIZATION CHART:

Managing Director
Deputy Managing Director
Senior Executive Vice President
Executive Vice President
Senior Vice President
Vice President
Senior Asst. Vice President
First Asst. Vice President
Assistant Vice President
Senior Principal Officer
Principal Officer
Senior Officer
Officer
Probationary Officer
Junior Officer
Assistant Officer/Assistant Cash Officer
Trainee Assistant Officer/ Trainee Assistant Cash Officer
Telephone Operator
Trainee Telephone Operator

DIVISION OF DHAKA BANK:

Human Resource DivisionOperation Division
Personal Banking DivisionCard Division
Treasury DivisionFinance & Accounts Division
Computer & Information Technology DivisionAudit & Risk Management Division
Credit DivisionRisk Management Unit

 PRODUCTS & SERVICES OF DHAKA BANK:

i) Corporate Banking:

Dhaka Bank recognizes that Corporate Customers’ needs vary from one to another and a customized solution is critical for the success of their business. Dhaka Bank offers a full range of tailored advisory, financing and operational services to its corporate client groups combining trade, treasury, investment and transactional banking activities in one package. Besides we have designed a comprehensive risk management system to monitor and control our asset quality. Products of Corporate Banking are given below:

  Securitization Assets:

 A powerful and effective means of generating funds for a certain category of institutions, Securitization of Assets is still in its infancy in the need. Dhaka Bank intends to take up this challenge and play a significant role in ensuring that Securitization of Assets becomes a normal part of the range of financial instruments available for organizations who can count on a steady, but piecemeal, flow of revenue and want to translate this stream into cash resources with which to carry out further lending activities to new customers.

Corporate Finance & Advisory Services:

Given the needs of its large and varied base of corporate clients Dhaka Bank will be positioning itself to provide investment banking advisory services. These could cover a whole spectrum of activities such as Guidance on means of raising finance from the local Stock markets, Mergers and Acquisitions, Valuations, Reconstructions of Distressed companies and other expert knowledge based advice. By this means Dhaka Bank hopes to play the role of strategic counselor to blue-chip Bangladesh companies and then move

from the level of advice to possible implementation of solutions to complex financing problems that may arise from time to time.

Syndication of funds:

At Dhaka Bank Limited, the Syndications and Structured Finance unit was setup on October 30, 2004. This unit successfully closed two syndicated deals in the first and second quarters of 2004. The Syndications and Structured Finance team as a business unit soon followed up by closing another deal totaling TK. 2.10 billion for a large local corporate.

Project Finance:

Project financing is an innovative and timely financing technique that has been used to fund large-scale corporate projects. It includes understanding the rationale for project financing, preparing the financial plan, assessing the risks, designing the financing mix, and raising the funds Dhaka Bank offers a full range of services to the entrepreneurs implementing a project including structuring mode of financing, mitigation of different risks and providing advisory service for successful implementation of the project.

Syndication & Structured Finance:

Syndications & Structured Finance Unit (SSFU) of the Bank has started its journey in 2004 to complete Bank’s Corporate Banking needs by sharing risks and providing efficient financing arrangements for profitable economic undertakings. The unit offers customized, friendly, and flexible financial solutions to its clientele and attempts to ensure financial package in a cost-effective manner.

Trade Finance:

Dhaka Bank Limited (DBL) started it trade operations in 1995 and all the trade activities were carried out by DBL’s 15 (fifteen) Authorized Dealer (AD) Branches. In the year 2009, DBL established the Central Processing Center (CPC) at BGMEA Bhaban, Karwanbazar, Dhaka and Agrabad, Chittagong. Since then the CPC does the processing of all the trade activities of DBL by using state of the art technology and well groomed team. The trade activities of 40 branches are routed through the Dhaka Hub and that of the rest 12 branches are routed through the Chittagong Hub.

 Working Capital Finance:

Dhaka Bank caters to the working capital needs of the client taking into account the current asset requirement of the client. Dhaka bank extends different types of working capital facility like Back-to-Back LC, Loan against Trust Receipt (LTR), Cash Credit (CC), Overdraft (OD) facility, Short Term Loan (STL), Bank Guarantee, etc. to facilitate the business operation of the client.

ii) Retail Banking:

In 2001 Dhaka Bank Ltd. introduced its personal banking program responding to the market demand for a complete range of modern banking products & services. With time it has launched different Retail Banking Products. Products of Retail Banking are given below:

  Bundled saving products:

Dhaka Bank Bundled Savings Product is a unique package that blends all flexibilities of a current account with the interest earning provisions of a savings account, namely – Dhaka Bank Silver Account, Gold Account & Platinum Account.

Silver Account: Initial Deposit is TK. 30,000. The Interest Rate on daily balance is 7%. There are 5 customers of silver saving account in Dhanmondi Branch of Dhaka Bank. The Charge is TK. 2,000 with addition of 15% vat per year.

Gold Account: Initial Deposit is TK. 50,000. The Interest rate on daily balance is 7.5%. There are 10 customers of gold saving account in Dhanmondi Branch of Dhaka Bank. The charge is TK.3, 000 with addition of 15% vat per year.

Platinum Account: Initial deposit is TK. 1, 00,000. The Interest rate on daily balance is 8.5%. There are 39 customers of platinum saving account in Dhanmondi Branch of Dhaka Bank. The Charge is TK. 5,000 with addition of 15% vat per year.

Interest is calculated on daily balance and paid at the end of each month. There are some other benefits in these saving accounts. The first benefit is Lifetime annual fee Free ATM card. Lifetime annual fee Free Credit Card (conditions apply). Retail Loans with special rebate. Free Cheque Book leaves. Free SMS & Internet Banking. Joint Accounts may be opened.

Some documents are required to open these saving accounts. To open customers need to submit national ID or your Passport copy with photo I.D; recent 2 copies Passport sized color photo and a Passport sized color photo of the nominee.

Deposit Pension Scheme (DPS):

Deposit Pension Scheme (DPS) is an installment-based savings’ scheme of Dhaka Bank for a single individual. Dhaka Bank DPS offers competitive interest rates and installments that are affordable for Customers. The scheme offers the flexibility of tailoring the amount of monthly deposit based on monthly cash flow position. The minimum monthly deposit is TK. 500 & maximum monthly deposit is TK. 20,000. An individual can maintain maximum 5 DPS accounts in a single name or in joint names, with any of your family members. If client maintains any other account with Dhaka Bank, along side DPS account, he/she has the option to put a standing instruction (Auto Debit) tagged with the account, to be executed the installment per month to avoid any due as instruction. Any Bangladeshi Citizen, 18 years or over, is eligible to avail the facility of Dhaka Bank DPS scheme. A minor operated by a legal guardian may also open the account. The account will immediately cease to operate in case of the followings: Death of the account holder, Failure to pay 5 consecutive installments. If the client continues the scheme up-to maturity then at maturity, the client will be awarded a bonus 1% on the

total deposit amount. If any client closes the deposit account before one year, she/he will not be entitled to any interest. Account running more than a year will be eligible for the prevailing interest offered in the savings account. Clients failing to deposit any installment will pay 5% late payment fee on the deposit installment amount as late payment fee, which will be realized at the time of depositing the next deposit Installment. Clients will have the option of taking advance up to 90% of the deposited amount at the time of application. However, to be eligible for the OD facility, the account must be at least 2 years old or the minimum ticket size of the advance will be TK. 20,000.00. To open a DPS account, it is required to do/submit the followings: Fulfilling Account opening formalities, filling in DPS application form, 2 copy passport sized Photograph of the applicant, 1 copy passport sized photograph of the nominee attested by the applicant. The monthly installment & Maturity Value of DPS are given below:

Table-1: Monthly installment & Maturity Value of DPS

Monthly deposit amount                                       Matured Value (Taka)
3 year4 year5 year6 year7 year8 year9 year10 year
50021,50029,90041,00049,00065,00073,00090,000115,000
1,00043,00059,80082,00098,000131,000146,000181,600230,000
2,00086,000119,600164,000196,000262,000292,000363,200460,000
3,000129,000179,400246,000294,000393,000438,000544,800690,000
5,000215,000299,000410,000490,000655,000730,000908,0001,150,000
10,000430,000598,000820,000980,0001,310,0001,460,0001,816,0002,300,000

§ Personnel Loan:

Personnel loan is one of the products of retail banking of Dhaka Bank. The product is a term financing facility to individuals to aid them in their purchases of consumer durables or services. The facility becomes affordable to the clients as the repayment is done through fixed installment s commonly known as EMI (equal monthly installment) across the facility period. Depending on the size and purpose of the loan, the number of installments varies from 12 to 48 months. Salaried Individuals, Professionals & Business Persons can apply for this product. The loan size is given below-

Table-2: The size of Personnel loan

Loan TypeMinimum SizeMaximum Size
Personnel LoanTK. 50,000TK. 20,00,000

The margin of equity is 50%. The interest is 18% per annum. Loan possessing fee is 2% per annum. Loans are restricted to Bangladeshi nationals falling in the categories mentioned below The minimum age for any borrower will be 21 years and the maximum age 57 years with a minimum verified Gross Family Monthly Income of TK. 20,000. Partial and early settlement fee is 1% per annum.

 Table-3: EMI Schedule of Personnel Loan

                           Interest Rate of Personnel Loan 18%
Loan Amount24 Months36 Months48 Months60 Months
100,0004,9933,6162,9382,540
200,0009,9857,2315,8755,079
300,00014,97810,8468,8137,619
400,00019,97014,46111,75010,158
500,00024,96318,07714,68812,697
600,00029,95521,69217,62515,237
700,00034,94725,30720,56317,776
800,00039,94028,92223,50020,315
900,00044,93232,53826,43822,855
1,000,00049,92536,15329,37525,394

Car Loan:

As part of establishing a personal banking franchise of Dhaka Bank Limited, the bank has successfully launched Car Loan. The product is a term financing facility to individuals to aid them in their pursuit of has a car of their dream. The facility becomes affordable to the clients as the repayment is done through fixed installment s commonly known as EMI (equal monthly installment) across the facility period. Depending on the size and purpose of the loan, the number of installments varies from 12 to 60 months. In case of brand new cars the loan tenure will be maximum 72 months. Salaried Individuals, Professionals & Business Persons can apply for this product. The loan size is given below-

Table-4: The size of car loan

Loan TypeMinimum SizeMaximum Size
Car LoanTK. 5,00,000TK. 20,00,000

Table-5: EMI Schedule of Car Loan

                                       Interest Rate of Car Loan 18%
Loan Amount24 Months36 Months48 Months60 Months72 Months
500,00024,96318,07714,68812,69711,404
600,00029,95521,69217,62515,23713,685
700,00034,94725,30720,56317,77615,966
800,00039,94028,92223,50020,31518,247
900,00044,93232,53826,43822,85520,528
1,000,00049,92536,15329,37525,39422,808
1,100,00054,91739,76832,31327,93325,089
1,200,00059,90943,38335,25030,47327,370
1,300,00064,90246,99938,18833,01229,651
1,400,00069,89450,61441,12535,55131,931
1,500,00074,88754,22944,06338,09134,212
1,600,00079,87957,84447,00040,63036,493
1,700,00084,87161,46049,93843,16938,774
1,800,00089,86465,07552,87545,70941,055
1,900,00094,85668,69055,81348,24843,335
2,000,00099,84972,30558,75050,78745,616

Home Loan:

The product is a term financing facility to individuals to aid them in their purchases of apartment or house or construction of house. The facility will become affordable to the clients as the repayment is done through fixed installment as commonly known as EMI (equal monthly installment) across the facility period. Depending on the size of the loan, the maximum period of the loan would be 180 months (15 years). The minimum age for any borrower will be 21 years and the maximum age 65 years a minimum verified Gross Family Monthly Income of TK. 40,000. Interest rate is 18% per annum. Loan possessing fee is 2% per annum. Partial and early settlement fee is 2.5% of adjusted amount within 5 years & 1.5% of adjusted amount after 5 years. The loan size is given below-

Table-6: The size of Home Loan

Loan TypeMinimum SizeMaximum Size
Home LoanTK. 5,00,000TK. 3,500,000

The maximum loan tenure for different amount of loan is proposed to be as following:

Table-7: The Tenure of Home Loan

Loan AmountTK. 5 lacks to less than TK. 5 lacks.TK. 10 lacks to TK. 35 lacks.
Max tenure5 years15 years

 The tenor will be decided at the discretion of the management. The insurance premium will be borne and arrange for by the borrower and copy of up to- date insurance policy will be submitted to the Bank on regular basis. Clients have to give the registered Mortgage of the House/Apartment as security.

Table-8: EMI Schedule of Home Loan

                                                                                      Interest Rate of Home Loan 18%
Loan Amount 60 Months 72 Months 84 Months 96 Months 108 Months 120 Months 132 Months 144 Months 156 Months 168 M0nths 180 Months
500,000 12,697 11,404 10,509 9,862 9,379 9,010 8,723 8,496 8,316 8,170 8,053
1,000,000 25,394 22,808 21,018 19,724 18,757 18,019 17,445 16,992 16,631 16,340 16,105
1,100,000 27,933 25,089 23,120 21,696 20,633 19,821 19,189 18,691 18,294 17,974 17,715
1,200,000 30,473 27,370 25,222 23,668 22,509 21,623 20,934 20,390 19,957 19,608 19,326
1,300,000 33,012 29,651 27,324 25,641 24,384 23,425 22,678 22,089 21,620 21,242 20,936
1,400,000 35,551 31,931 29,425 27,613 26,260 25,226 24,422 23,788 23,283 22,876 22,546
1,500,000 38,091 34,212 31,527 29,585 28,136 27,028 26,167 25,487 24,946 24,510 24,157
1,600,000 40,630 36,493 33,629 31,558 30,012 28,830 27,911 27,186 26,609 26,144 25,767
1,700,000 43,169 38,774 35,731 33,530 31,887 30,632 29,656 28,886 28,272 27,778 27,378
1,800,000 45,709 41,055 37,833 35,502 33,763 32,434 31,400 30,585 29,935 29,412 28,988
1,900,000 48,248 43,335 39,934 37,475 35,639 34,236 33,144 32,284 31,598 31,046 30,598
2,000,000 50,787 45,616 42,036 39,447 37,514 36,038 34,889 33,983 33,261 32,680 32,209
2,100,000 53,327 47,897 44,138 41,419 39,390 37,839 36,633 35,682 34,924 34,313 33,819
2,200,000 55,866 50,178 46,240 43,392 41,266 39,641 38,378 37,381 36,587 35,947 35,430
2,300,000 58,405 52,458 48,342 45,364 43,141 41,443 40,122 39,080 38,250 37,581 37,040
2,400,000 60,945 54,739 50,443 47,336 45,017 43,245 41,867 40,779 39,913 39,215 38,651
2,500,000 63,484 57,020 52,545 49,309 46,893 45,047 43,611 42,478 41,576 40,849 40,261
2,600,000 66,023 59,301 54,647 51,281 48,768 46,849 45,355 44,178 43,239 42,483 41,871
2,700,000 68,563 61,582 56,749 53,253 50,644 48,651 47,100 45,877 44,902 44,117 43,482
2,800,000 71,102 63,862 58,850 55,225 52,520 50,452 48,844 47,576 46,565 45,751 45,092
2,900,000 73,641 66,143 60,952 57,198 54,395 52,254 50,589 49,275 48,228 47,385 46,703
3,000,000 76,181 68,424 63,054 59,170 56,271 54,056 52,333 50,974 49,891 49,019 48,313
3,100,000 78,720 70,705 65,156 61,142 58,147 55,858 54,077 52,673 51,554 50,653 49,924
3,200,000 81,259 72,985 67,258 63,115 60,023 57,660 55,822 54,372 53,217 52,287 51,534
3,300,000 83,799 75,266 69,359 65,087 61,898 59,462 57,566 56,071 54,880 53,921 53,144
3,400,000 86,338 77,547 71,461 67,059 63,774 61,263 59,311 57,771 56,543 55,555 54,755
3,500,000 88,877 79,828 73,563 69,032 65,650 63,065 61,055 59,470 58,206 57,189 56,365
3,600,000 91,417 82,109 75,665 71,004 67,525 64,867 62,800 61,169 59,869 58,823 57,976
3,700,000 93,956 84,389 77,767 72,976 69,401 66,669 64,544 62,868 61,532 60,457 59,586
3,800,000 96,496 86,670 79,868 74,949 71,277 68,471 66,288 64,567 63,195 62,091 61,196
3,900,000 99,035 88,951 81,970 76,921 73,152 70,273 68,033 66,266 64,858 63,725 62,807
4,000,000 101,574 91,232 84,072 78,893 75,028 72,075 69,777 67,965 66,521 65,359 64,417

 ATM/ Debit Card:

Dhaka Bank offers the facilities of ATM/Debit Card to account holders. Recently, Dhaka Bank has invested a great deal on expansion of its ATM infrastructure. Apart from providing facilities through our own channels, we also have come into terms with other major ATM service providers (Dutch Bangla Bank and Brac Bank) only to bring in more area of coverage to provide ATM and POS service to DBL clients. As a result DBL Customers can enjoy the facilities of over 1400 ATM and POS throughout the country.

Card Feature:

 Maximum withdraw-able amount on a day is TK. 50,000.00

 Issuance of ATM Card at the time of opening personal account

 First year service charge is absolutely free

 Auto ATM card renewal facility

 Utility payments – T&T, Mobile phones, DESA, etc

 Fund Transfer

 Mini statements

 PIN change

  Credit Card Service:

         Dhaka Bank Visa Dual Currency Credit offers clients a convenient and flexible way to pay for purchases at home and abroad and on the web. That is why Dhaka Bank has developed processes to guarantee delivery of client’s card in just 7 days when clients apply for a fully secured card; for an unsecured card it will be ready in just 10 days. Salaried individuals, Professionals & Business persons can apply. The client needs to have minimum TK. 25,000 income for applying for credit card. The minimum age for any applicant will be 21 years and the maximum age 55 years. There are some other features of credit card. The features are:

  Supplementary Cards.

 Cash Advance facility up to 50% of Card limit

 E-Commerce Facility for use on over the Internet

 Usable at all Merchants and ATMs that display the “VISA” logo

  Credit Facility absolutely free for as many as 45 days

 Quick Replacement of Lost/Stolen Card

 Convenient Card Bill Payment options

 Special promotions and discount offers exclusively for Cardholders

 Card Dues Notification through SMS

 Auto renewal before expiry

 Card Annual / Renewal Fees:

Table- 9: Card Annual/ Renewal Fees

Card Type Basic Card Supplementary Card
Classic LocalBDT 1,000/-BDT 500/-
Gold LocalBDT 2000/-BDT 1000/-
Classic DualBDT 2000/-BDT 1000/-
Gold DualBDT 3000/-BDT 1500/-

  Sopno Jatra Student Service:

 Shopno Jatra Student Services [SJSS] of Dhaka Bank Limited is designed to provide “One Stop Solution” for Bangladeshi students going overseas for study purpose. Understanding the need, this exclusive service is modified to provide same day banking solution at lowest charge/fees. Shopno Jatra Student Services [SJSS] offers Transfer of Student Application Charges to foreign educational institute, Opening/ processing of student file, Issuance of Foreign Currency for Tuition Fees & Living Expenses, Issuance of Student International VISA Card, and Special Study loan. Dhaka Bank, has a dedicated student service wing is pioneer to launched Student International VISA Card for the first time in Bangladesh, which allows the students of flexibility & safety of plastic money, which they can avail for living expenses. Card is affordable & easy to re-charge is the fastest solution to remit living expenses to the students. Dhaka Bank is given this service in different locations. The locations are:

 Retail Banking Division, Adamjee Court (Ground Floor) 115-120 Motijheel C/A Dhaka-1000

 Foreign Exchange Branch, Biman Bhaban (1st floor) 100 Motijheel C/A, Dhaka-1000

 Dhanmondi Branch, House # 20, Road # 7 Dhanmondi R/A, Dhaka 1207

 Banani Branch, 73/B Kemal Ataturk Avenue Banani, Dhaka-1213

 Bazar Branch, Summit Centre (1st floor) 18 Karwan Bazar, Dhaka-1215

 Gulshan Branch, Plot # 7, Block # SE(D), Holding # 24 Gulshan Avenue; Gulshan-1, Dhaka-1212

 Uttara Branch, House # 01, Road # 13, Sector # 1 Uttara, Dhaka-1230

 Lal Dighir Par Branch, Sylhet, 960 Laldighirpar Kotwali, Sylhet

 Agrabad Branch, Chamber House 38 Agrabad C/A, Chittagong

The students/clients come to the branch for Sopno Jatra Student Service. Student submits his/her request to open a student file to branch official with all the required documents. Respective DBL officer immediately fax/ e-mail the copy of the offer letter & the check list to SJSSC for spot assessment/ eligibility for opening the student file. SJSSC will confirm the branch official by the email whether the student is eligible to open a student file in DBL. Base on assessment, eligible applicants will be allowed to open an account with DBL. Brach official will open the CASA account and provide the account Number to the applicant. Applicant will be requested to deposit required funds to his/her newly open account. Meantime SJSSC will send the NOC of the student to the branch. Upon confirmation of the fund availability, Branch official will follow the next procedures: Take the print out of the NOC on the branch letterhead pad. Sign the NOC & endorsed student passport for the issuance. Applicant will be requested to come after 4 P.M to collect his/her FDD. For TT (swift copy) come next after 2 P.M. and VISA card come after 48 hours. For Visa card request forward to the request to DBL card division with required documents. By the next day, sent a complete file of the student to SJSSC keeping the original at branch. DBL Agents send student directly to Sopno Jatra Student Service Centre. Student submits his/her request to open a student file to SJSSC official with all the required documents. Respective DBL official on spot assesses the eligibility of the request based on institution’s valid offer letter. Based on assessment eligible applicants will be allowed to open an account number to the applicant. Applicant will be requested to deposit required funds to his/her newly opened account. Upon receiving such deposit slips from the students, DBL SJSSC official will open student file in favor of the applicant, endorse the student’s passport issue NOC and deliver. Applicant will be requested to come after 4 PM to collect his/her FDD. For TT and Visa card to come next after 2 P.M. SJSSC official will process applicant’s other request by passing necessary accounting entries. Deliver the card along with PIN to designate of official of SJSSC within the service delivery deadline. The process flow of VISA card issuance is given below:

 Card division will receive a Visa card issuance request from DBL Shopno Jatra office along with required documents i.e., card application from signed by applicant, photocopy of the applicant’s passport. NOC of the student file.

 Having checked the documents, Card division will inform DBL Sopno Jatra Office if there arises any discord. If there is no dissonance Card division will proceed with the request.

 Card division will Debit applicant’s account to the requested by student for living expense to upload the fund in student’s VISA card.

 Card Division will send the card and PIN to respective branches within 2 PM next day.

The documents required for this service are:

*Valid Offer letter / I-20 * Valid Passport * Valid Offer letter with Course Duration & refund policy. * All Original certificates. * Refund policy in case of FTT (SWIFT) with Banking Details like Swift code, Account Name, Account Number, Bank Name.

* 3 Copies of passport size photographs of student and 2 copies of Nominee. * National ID card/ Passport of the Nominee. * Account Name must be in favor of the institution for FTT (SWIFT).

iii) Small and Medium Enterprises (SMS):

            Dhaka Bank has come forward to extend its services towards Micro and Small & Medium Enterprises. Since inception, the Dhaka Bank has held socio-economic development in high esteem and was among the first to recognize the potentials of SMEs. Recognizing the SME segment’s value additions and employment generation capabilities quite early, the Bank has started SME financing in Bangladesh in 2003, focusing on stimulating the manufacturing sector and actively promoting trading and service businesses.

iv) Global Trade Service (GTS):

            Global Trade Services (GTS), Head Office consists of two units- Financial Institutions or FI and Remittance Unit. FI arranges correspondent banking network, credit lines and other facilities required for 15 Authorized Dealer (AD) branches and one Offshore Banking unit of DBL. With a vast network (320+) of correspondents throughout the globe, Dhaka Bank Limited is one of the banks in Bangladesh enjoying credit line facility from International Finance Corporation (IFC) under its Global Trade Finance Facilitation Program (GTFP) for confirmation of the L/Cs issued by itself. Dhaka Bank Ltd. provides the following services:

• Import Letter of credits

• Export Letter of credits, negotiation & documentary collection

• Local guarantees against counter guarantees

v) Islamic Banking Service:

                       Dhaka Bank Limited offers Shariah based Islamic Banking Services to its clients. The bank opened its First Islamic Banking Branch on July 02, 2003 at Motijheel Commercial Area, Dhaka. The second Islamic Banking branch of the bank commenced its operation at Agrabad Commercial Area, Chittagong on May 22, 2004. Dhaka Bank Limited is a provider of on line banking services and any of its clients may avail Islamic Banking services through any of the branches of the bank across the country.

Dhaka Bank Islamic Banking Branches offer fully Shariah based, Interest free, Profit-Loss Sharing Banking Services. Dhaka Bank Shariah Council is closely monitoring its activities. Besides, Dhaka Bank is an active member of Islamic Banking Consultative Forum, Dhaka and Central Shariah Board of Bangladesh.

vi) Capital Market Service:

                Capital Market Operation besides investment in Treasury Bills, Prize Bonds and other Government Securities constitute the investment basket of Dhaka Bank Limited. Interest rate cut on bank deposits and government savings instruments has contributed to significant surge on the stock markets in the second half of 2004, which creates opportunities for the Bank in terms of capital market operations. The Bank is a member of Dhaka Stock Exchange Limited and Chittagong Stock Exchange Limited.

vii) Locker Service:

A client could use the locker facility of Dhaka Bank Limited and thus have the option of covering your valuables against any unfortunate incident. DBL offer security to our locker service as afforded to the Bank’s own property at a very competitive price.

OTHER PRODUCTS & SERVICES OF DHAKA BANK:

         The Dhaka Bank is also providing some other products/services. The products/services are:

 Gift Cheque

 Deposit Double

 Salary Account

 Smart Plan

  Gift Cheque:

Dhaka Bank has recently refurbished its Gift Cheque. The features of the gift cheque are as follows:

• Can be encashed at any branch even if the encashing branch is not the issuing branch of the instrument.

• Interest will be applicable only if the instrument is encashed after three months from the date of issue in the following manner:

1. No Interest if encashed before three months from the date of issue.

2. 6% if encashed after three months and before twelve months from the date of issue.

3. 7.25% if encashed after twelve months from the date of issue.

• The gift cheque may be encashed using either of the two modes, (a) cash or (b) Fund Transfer. Encashment of gift cheque is not allowed over clearing.

• Dhaka Bank Limited issues gift cheques in three denominations of Tk.100, Tk.500 and Tk.1000

v Deposit Double:

Deposit Double is a time specified deposit scheme for individual clients where the deposited money will be doubled in 6 years. There are some key differentiators of the product. The key differentiators are:

  • · The minimum deposit will be BDT 50,000.00 (either singly or jointly). The client will have the option of depositing any amount in multiples of BDT 10,000 subject to a maximum of Tk 20, 00,000 in a single name and Tk 35, 00,000 in joint name.

 The tenure of the scheme will be 6 years.

 If any client chooses to withdraw the deposit before the tenure, then she/he will only be entitled to prevailing interest rate on savings account in addition to the initial deposit. However, withdrawal of the deposited amount before one year will not earn any interest to the depositor(s).

 Clients will have the option of taking advance up to 90% of the initial deposited amount. The lending rate will be tied up with the interest rate offered on the deposit.

 The matured value is subject to taxes and other Govt. levies during the tenure of the

*Products Feature:

Table-10: Product feature of Deposit Double

Deposited AmountMinimum TK. 50,000 (Singly or Jointly) with multiple of TK. 10,000. Maximum TK. 20,00,000 (in single name) and TK. 35,00,000 ( in joint name).
Initial Deposit dateAny date of month
Tenure5 years 4 month

  Salary Account:

Dhaka Bank has launched a special package of savings account for employees belonging to institutions with which Dhaka Bank has a corporate agreement. With this package salaried employees of these institutions enjoy interest on a daily balance. The key features of the Salary Account are:

 Interest to be calculated on a daily balance basis

 No Periodic Service Charge

 ATM Card Facility

 Credit Card Facility

 On-line Banking Facility

 Internet & SMS Banking Facility

  Smart Plan:

Smart Plant offers the opportunity to multiply initial cash to 10 times in 6 years. The customer deposits at least Taka 10,000 or multiple of it to avail the opportunity. In single name one can deposit maximum Taka 50, 00,000. Dhaka Bank shall contribute 4 times of client’s deposited amount to build up a fund for issuance of Smart Plant. Maturity period of the Smart Plant is 6 years.

The total Smart Plant amount (customer’s deposit + Bank Contribution) will double in 6 years. For example; if client deposits Taka 10,000, bank shall contribute Taka 40,000, altogether the Smart Plant amount will be Taka 50,000. On maturity (after 6 years) the Smart Plant amount will be Taka 1, 00,000. The client will repay the bank contribution amount in 72 equal installments. After repayment of all installments the matured value will be credited in client’s savings account.

 Online Banking Service:

 Dhaka Bank Limited introduces Net Banking and intends to maintain the lead with enhanced facilities through this media. Client can get access to real time account information through the Internet. Transfer money from his/her account, utility bill payment and more. Through on–Line Banking Services, clients can deposit to and withdraw from his/her account held with a particular branch up to a limit of Tk: 10,000.00 through any branch of Dhaka Bank Limited.

  Internet Banking Service:

Through Internet banking the client can access the account to view and print the balance account statement for last 20 (twenty) transactions.

  MY EXPERIENCE WITH DHAKA BANK LTD

 My internship started at Dhaka Bank Ltd. started on 14th October, 2012 to 31 December,2012. During these three months I was assigned at Dhanmondi Branch of Dhaka Bank Limited. It was enjoyable but I understood doing job actually being there. This practical orientation is very helpful for the development and preparation for the job world. I learned different new things from Dhaka Bank. The things I have learned:

 Meaning of responsibility.

 Punctuality and regularity is very important.

 Ability to Interact different people.

I got the opportunity to work in different departments of Dhaka Bank Ltd. I was rotated in few different departments, such as Dispatch or Reception, General Banking division, Clearing division & Account Division. These three departments of Dhaka Bank are significant departments. Each division has a department head. There are six employees in general banking department including head of department. There are three employees in clearing department including head of department. There are three employees in credit department including head of department. There are four employees in foreign exchange department including head of department.

At first I was assigned at dispatch. I had multiple works in dispatch. I enjoyed there because I learned many practical things. My supervisor explained me my jobs in dispatch. My main job in dispatch was receiving all letters application from different organizations & customers. Then I had to give seal and inward those letters in inward register book. I had to take those letters to the Executive Vice President, Vice President & First Assistant Vice President for marking the letters by them. I had to take them to the proper department and get the receiving signature in inward register book. Another job was keeping record of all outgoing letters in outward register book. My other jobs were collecting application for new check book, giving application for opening or closing account & other application form and giving them new deposit book & new check book after arriving from head office.

Next I was assigned in the general banking sector. Here job was quite different from dispatch. Here my supervisor and other senior employees helped me a lot. My one of the job was helping customers in filling the application and telling them about require documents needed with application. I had to record information of customer’s details & transaction profile in computer. I had to give seal on gift check. I had to update customer’s information.

 I was also assigned in clearing department. Here all jobs of check are done. Here I learned to work of check. My job was to collect check and deposit slip. I had to put seal of clearing in deposit slip of bank copy and customer copy & returned the customer copy to customer. I had to record the check details in computer. I had to keep check bundles according to date in shelf.

 I was also assigned in account division. The financial & account officer explained me my job very accurately and also helped me a lot. In account division I had to do balance of vouchers. I also had to keep records of vouchers in a register book.

Questions of Survey:

Customer’s Satisfaction to ATM Card, DPS & Loan Account

1. How is the Deposit Pension Scheme (DPS) to you?

    Ans: a) Very Satisfactory, b) Satisfactory, c) Average, d) Dissatisfactory,

2. How is the maturity amount of Deposit Pension Scheme (DPS) to you?

Ans: a) Very Satisfactory, b) Satisfactory, c) Average, d) Dissatisfactory, e) Very Dissatisfactory

3. How is the time to get the maturity amount of Deposit Pension Scheme of DBL (DPS)?

Ans: a) Very Satisfactory, b) Satisfactory, c) Average, d) Dissatisfactory, e) Very Dissatisfactory

4. How is the installment of Deposit Pension Scheme (DPS) to you?

Ans: a) Very Satisfactory, b) Satisfactory, c) Average, d) Dissatisfactory, e) Very Dissatisfactory

5. How is the service of Deposit Pension Scheme (DPS) than other banks?

Ans: a) Very Satisfactory, b) Satisfactory, c) Average, d) Dissatisfactory, e) Very Dissatisfactory

6. How is the loan service of DBL to you?

Ans: a) Very Satisfactory, b) Satisfactory, c) Average, d) Dissatisfactory, e) Very Dissatisfactory

 7. How the interest rate of loan is to you?

Ans:a) Very Satisfactory, b) Satisfactory, c) Average, d) Dissatisfactory, e) Very Dissatisfactory

 8. How is the monthly installment amount of loan for you?

 Ans: a) Very Satisfactory, b) Satisfactory, c) Average, d) Dissatisfactory, e) Very Dissatisfactory

 9. How is the time you get the loan service?

 Ans: a) Very Satisfactory, b) Satisfactory, c) Average, d) Dissatisfactory, e) Very Dissatisfactory

 10. How is the loan service of DBL than other banks?

 Ans: a) Very Satisfactory, b) Satisfactory, c) Average, d) Dissatisfactory, e) Very Dissatisfactory

 11. How is the ATM card of DBL for you?

 Ans: a) Very Satisfactory, b) Satisfactory, c) Average, d) Dissatisfactory, e) Very Dissatisfactory

 12. How is the service of taking out money from ATM booth?

 Ans: a) Very Satisfactory, b) Satisfactory, c) Average, d) Dissatisfactory, e) Very Dissatisfactory

 13. How is the number of ATM Booth in Dhaka Bank?

 Ans: a) Very Satisfactory, b) Satisfactory, c) Average, d) Dissatisfactory, e) Very Dissatisfactory

 14. How is the charge of ATM card of DBL?

 Ans:a) Very Satisfactory, b) Satisfactory, c) Average, d) Dissatisfactory, e) Very Dissatisfactory

 15. How is the customer service from ATM card department of DBL?

 Ans: a) Very Satisfactory, b) Satisfactory, c) Average, d) Dissatisfactory, e) Very Dissatisfactory

 16. How is the ATM card of DBL than other banks?

 Ans: a) Very Satisfactory, b) Satisfactory, c) Average, d) Dissatisfactory, e) Very Dissatisfactory

ANALYSIS & FINDINGS:

After taking interview of customers in Dhaka Bank Limited I got a clear image of customer’s satisfaction to ATM Card, DPS & Loan Service of Retail Banking division. There are both satisfy customers and dissatisfy customers to Retail Banking of Dhaka Bank Ltd.

From Survey, I found that out of 100 percent 50% of the sample size said that they are mostly satisfied with the ATM card service, 17% satisfy & 33% moderate. In opinion of most of the customer ATM card service is satisfactory to them because it is beneficial for them. Customer can take out money from ATM booth properly. But sometime ATM card gets stuck in ATM booth. Customers think Dhaka Bank does not have sufficient to number of ATM booth. There should more ATM booth in Dhaka Bank. In view of customer the charge of ATM card is considerable. But customer thinks that customer service of ATM card should be better. Sometimes customer faces few problems with ATM card but they do not get service from ATM card division. Customers cannot always come to bank for their job. So they phone in bank. But they do not get line to the person of ATM card division. In the case of comparing ATM card service of Dhaka Bank with other banks, some customers think ATM card service is better than other banks but few customers think it is not.

 How satisfied you are by Deposit Pension Scheme:

ResultFrequencyPercentCumulative Percent
Mostly Satisfy

6

75%

75%

Satisfy

2

25%

100%

Moderate

Dissatisfy

Mostly Dissatisfy

Total

8

100%

Here I find that among 100 percent 75% clients are mostly satisfied & 25% are satisfied to the Deposit Pension Scheme (DPS). In view of customers Deposit Pension Scheme (DPS) is another satisfactory service to them. It is a beneficial service to them because they can deposit maturity amount for future & they can use it for their need. The customer does not face any problem in DPS service. In opinion of customers the maturity amount of DPS is satisfactory. They get the maturity amount of DPS in time. But very few customers think that Dhaka Bank pays the maturity amount of DPS lately. The monthly installment of DPS is considerable and suitable to customers. The DPS service of Dhaka Bank is better to most Customers. Very few customers do not give any comment.

How satisfied you are by Loan Service:

ResultFrequencyPercentCumulative Percent
Mostly Satisfy

4

57%

57%

Satisfy

57%

Moderate

1

14%

71%

Dissatisfy

2

29%

100%

Mostly Dissatisfy

Total

7

100%

From the survey, I have found that out of 100 percent 57% clients are most satisfied, 14% clients are moderate and 29% are dissatisfied to Loan Service of Dhaka Bank Ltd. The Loan service of Dhaka Bank is a satisfactory and beneficial to customers. Because it helps to meet the customer’s different needs. In opinion of most customers there is no problem in loan service of Dhaka Bank. But opinion of some customers is the interest rate of loan is high. The interest rate should be low. The installment of loan is considerable & suitable to customers. The customer gets the loan from Dhaka Bank in time. The loan service of Dhaka bank is moderate to customers. The loan service of Dhaka Bank is better than other banks to some customers & to some customers the loan service of Dhaka Bank is not better than other banks.

SWOT ANALYSIS:

Strengths:

 Strong Corporate Identity:

 According to the customers, DBL is the leading provider of financial services identity worldwide. With its strong corporate image and identity, it has better positioned itself in the minds of the customers. This image has helped DBL grab the personal banking sector of Bangladesh very rapidly.

  Strong employee bonding and belongings:

 DBL employees are one of the major assets of the company. The employees of DBL have a strong sense of commitment towards organization and also feel proud and a sense of belonging towards DBL. The strong organizational culture of DBL is the main reason behind its strength.

  Efficient Performance:

 It has been seen from customers’ opinion that DBL provides hassle-free customer services to its client comparing to other financial institutions of Bangladesh.

  Young Enthusiastic Workforce:

 The selection & recruitment of DBL emphasizes on having the skilled graduates & postgraduates who have little or no previous work experience. And this type of young & fresh workforce stimulates the whole working environment of DBL.

  Empower Workforce:

 The human resource of DBL is extremely well thought & perfectly managed. As from the very first, the top management believed in empowering employees, where they refused to put their finger in every part of the pie. The employees are not suffocated with authority but are able to grow as the organization matures.

  Hospitable Work Environment:

 All office walls in DBL are only shoulder high partitions & there is no executive dining room. Any of the executives is likely to plop down at a table in its cafeteria & join in a lunch, chat with whoever is there.

  Strong Financial Position:

 It has been seen that the net profit has been gradually rising over the years. Furthermore, DBL is not just sitting on its previous year’s success, but also taking initiatives to improve.

Weakness:

 Discouraging small entrepreneurs:

DBL provides clean Import Loan to most of its solvent clients. But they usually do not want to finance small entrepreneurs whose financial standing is not clean to them.

  Absence of strong marketing activities:

 DBL currently don’t have any strong marketing activities through mass media e.g. Television. TV ads play vital role in awareness building. DBL has no such TV ad campaign. Although they do a lot of CSR activities compared to other banks.

  Not enough innovative products:

 In order to be more competitive in the market, DBL should come up with more new attractive and innovative products. This is one of the weaknesses that DBL is currently passing through but plans to get rid of.

  Diversification:

 DBL can pursue a diversification strategy in expanding its current line of business. The management can consider options of starting merchant banking or diversify it to leasing and insurance. As DBL is one of the leading providers of all financial services, in Bangladesh it can also offer these services.

  Lack of proper motivation:

 The salary at DBL is very decent, but it lacks other sorts of motivation. Incentives such as bonuses are given for acquiring a particular figure, but all in all these are the only motivational factors

 High cost of maintaining account:

 The account maintenance cost for DBL is comparatively high. Other banks very often highlight this. In the long run, this might turn out to be a negative issue for DBL.

  Outdated Software & Hardware at DBL, Dhanmondi:

Some of the PCs in this branch have very outdated hardware which is very slow and affects the customers and hence the performance of the bank as a whole. The softwares themselves are pretty old – Flexcube is from 2003, Microsoft Office XP is used. All of these prevent smooth operations.

Opportunities:

  Distinct operating procedures:

 Repayment capacity as assessed by DBL of individual client helps to decide how much one can borrow. As the whole lending process is based on a client’s repayment capacity, the recovery rate of DBL is close to 100%. This provides DBL financial stability & gears up DBL to be remaining in the business for the long run.

  Country wide network:

The ultimate goal of DBL is to expand its operations to whole Bangladesh. Nurturing this type of vision & mission & to act as required, will not only increase DBL’s profitability but also will secure its existence in the log run.

  Experienced Managers:

 One of the key opportunities for DBL is its efficient managers. DBL has employed experienced managers to facilitate its operation. These managers have already triggered the business for DBL as being new in the market.

  Huge Population:

 Bangladesh is a developing country to satisfy the needs of the huge population, a large amount of investment is required. On the other hand, building EPZ areas and some Govt. policies easing foreign investment in our country made it attractive to the foreigners to invest in our country. So, DBL has a large opportunity here.

  Bigger Market:

 Although the GDP per head decreased a bit, there is a huge untapped market that requires loans and intends to deposit also.

 Threats:

Upcoming Banks:

 The upcoming private, local, & multinational banks posse’s serious threats to the existing banking network of DBL: it is expected that in the next few years more commercial banks will emerge. If that happens the intensity of competition will rise further and banks will have to develop strategies to compete against and win the battle of banks.

  Similar Products are offered by other banks:

 Now-a-days different foreign and private banks are also offering similar type of products with an almost similar profit margin. So, if all competitors fight with the same weapon, the natural result is declining profit.

  Industrial Downturn:

 Bangladesh is economically and political unstable country. Flood, draught, cyclone, and newly added terrorism have become an identity of our country. Along with inflation, unemployment also creates industry wide recession. These caused downward pressure on the capital demand for investment.

  Financial crisis:

Although people have recovered a bit from the shock, it may still pose as a threat. People are still hesitant to take loans or even deposit them.

Marketing Mix of DBL:

 Products:

Dhaka Bank has several products such as Corporate Banking, Retail Banking, Small & Medium Enterprises (SMS), Global Trade Service, Islamic Bank Service, Capital Market Service & Locker Service. They also have some other services such as Gift Cheque, Deposit Double, Salary Account & Smart Plan. Here we are analyzing customer’s satisfaction to ATM Card, DPS and Loan Service of Retail Banking.

 Dhaka Bank offers the facilities of ATM/Debit Card to account holders. With ATM card account holders can withdraw money from ATM Booth as their need. They are providing ATM card with many unique feature. The Account holder can withdraw money of TK.50, 000 per day. The service charge of ATM card of first year is absolutely free. The account holders can transfer money by ATM card. They can change the pin code. They get auto renewal facility.

 Deposit Pension Scheme (DPS) is an installment-based savings’ scheme of Dhaka Bank for a single individual. Dhaka Bank DPS offers competitive interest rates and installments that are affordable for Customers. The Dhaka Bank offers DPS of 4 years to 10 years. One customer can have five DPS accounts. The minimum monthly deposit of DPS is TK. 500 & maximum monthly deposit is TK. 20,000. After maturity of customer can withdraw the amount or keep in the account of bank. If customer continues the DPS he/she will be awarded 1% on total deposit amount. If customer fails to pay installment in time he/she will be penalty 5% on deposit installment amount. Clients will have the option of taking advance up to 90% of the deposited amount at the time of application. After maturity of DPS customer gets an amount. The amount can vary with the maturity time. The maturity amount can be approximately minimum TK.50, 000 to maximum TK. 4,000,000. If customer continues the DPS he/she will be awarded 1% on total deposit amount. To open a DPS account, it is required to do/submit the followings: Fulfilling Account opening formalities, filling in DPS application form, 2 copy passport sized Photograph of the applicant, 1 copy passport sized photograph of the nominee attested by the applicant.

 The Dhaka Bank offers to the customer three types of loan such as personnel loan, car loan and home loan. Personnel loan is a term financing facility to individuals to aid them in their purchases of consumer durables or services. Depending on the size and purpose of the loan, the number of installments varies from 12 to 48 months. The size of personnel loan is minimum TK. 5, 00,000 to maximum TK. 20, 00,000. Salaried Individuals, Professionals & Business Persons can apply for this product. The minimum age for any borrower will be 21 years and the maximum age 57 years with a minimum verified Gross Family Monthly Income of TK. 20,000. The car loan is a term financing facility to individuals to aid them in their pursuit of has a car of their dream. Depending on the size and purpose of the loan, the number of installments varies from 12 to 60 months. In case of brand new cars the loan tenure will be maximum 72 months. The size of car loan is minimum TK. 5, 00,000 to maximum TK. 20, 00,000. Salaried Individuals, Professionals & Business Persons can apply for this product. The minimum age for any borrower will be 21 years and the maximum age 4257 years a minimum verified Gross Family Monthly Income of TK. 50,000. The home loan is a term financing facility to individuals to aid them in their purchases of apartment or house or construction of house. Depending on the size of the loan, the number of installments varies from 60 months to 180 months. The minimum age for any borrower will be 21 years and the maximum age 65 years a minimum verified Gross Family Monthly Income of TK. 40,000. The size of home loan is minimum TK. 5, 00,000 to maximum TK. 35, 00,000.

The ATM card has a yearly charge. The customer has to give TK. 230 per year for ATM card service. There is no other charge of ATM card service. But customer gets free service of ATM card for the first year.

 The customer has to give installment against Deposit Pension Scheme (DPS). The installment can be maximum TK.500 to TK. 20,000. There is no any other charge of DPS. If customer fails to pay installment in time he/she will be penalty 5% on deposit installment amount. If customer closes the DPS before one year he/she will not get any interest on deposit installment.

The repayment of personnel loan is done through fixed installments commonly known as EMI (equal monthly installment). The installment of personnel loan is varied with the time. The margin of equity of personnel loan is 50%, the interest is 18% per year, loan possessing fee is 2% per year and partial and early settlement is 1% per year. The repayment of car loan and home loan is also done through fixed installments commonly known as EMI (equal monthly installment). The Margin of equity of car loan is 50%, interest rate is 18% per year, loan possessing fees is 2% per year, partial and early settlement fee is 1% per year. The interest rate of home loan is 18% per year, loan possessing fee is 2% per year. The Partial and early settlement fee is 2.5% of adjusted amount within 5 years & 1.5% of adjusted amount after 5 years.

Promotion:

There is absence of strong promotional activities in Dhaka Bank Limited for their products & services such as campaign trough TV and Media. They mostly promote their products and services through billboard & leaflet. They give advertisement by billboard to attract the attention of people. They distribute leaflet to customers to let them know about the offered products and services. But Dhaka Bank should also do promotional activities through mass media like TV. Many banks do promotional activities through media such as Markentile Sports news of a media channel. They also do CSR activities to promote their products and services. Some of their CSR activities are given next pages:

Health:

• Donation of passenger lifts and two haemodialysis machines to BIRDEM Hospital and Tk. 1.2 million per year from 2006 for supporting operating costs.

• Donation of Tk. 10 million to Centre for Women and Child Health Hospital for setting up pathological laboratory.

• Setting up of a 10-bed ward at the proposed Ahsania Mission Cancer and General Hospital, sponsoring Society for the Welfare of Autistic Children (SWAC).

• Donating to Bangladesh Eye Hospital, Sponsorship for Shield Trust.

Disaster Relief:

• Among Dhaka Bank’s contribution as corporate social responsibility, a few initiatives are donation to Asiatic Society of Dhaka.

• Relief operation for flood victims at a cost of Tk. 5.0 million.

• The bank distributed 10 kg rice, 1 kg pulse, and 1 kg salt to each of the 10,000 distressed families of Araihazar, Sirajdikhan and Belkuchi.

Social Welfare:

• Renovation of the auditorium of Dhaka Reporters Unity.

• Sponsoring of Anti Drug Debate Festival, Distribution of winter cloths by the employees of the bank.

• Sponsoring of Bangladesh Under-19 cricket team.

• Awareness creation for Road Safety, Blood Donation, Eye Donation, Prevention of AIDS.

• Provided financial assistance for Educational Development Trust of Scholastica to support and nurture academically gifted students.

• Sponsorship for BADC School.

Environment:

• Sponsored the city beautification program initiated by Dhaka City Corporation.

• Dhaka Bank Fountain in front of Ministry of Foreign Affairs.

• Dhaka Bank Head Office, beautification at Jashimuddin Crossing at Uttara costing 1.5 m, and also in front of Dhaka Bank Head Office costing 1.2 m.

Place:

      Dhaka Bank Ltd. has 62 branches, 1 Off Shore Banking Unit at DEPZ Savar Dhaka, 7 SME service centre, 1 Klosk (Business Center) and 1 Central Processing Centre. Dhaka Bank provides its products and services by these 62 branches. The local office of Dhaka Bank is situated in Motijheel. The Islamic Banking Branch is in Sara Tower of Motijheel. Dhaka Bank has its branches in Bangshal, Bannani, Imamgonj, Islampur, Mohakhali, Gulshan, Uttara, Dhanmondi, Karwan Bazar, Savar, Moghbazar, Gazipur, Mirpur, Keraniganj, Baridhara, Joypara of Dohar & Gulshan. The branches of Dhaka Bank in other cities are Agrabad Branch, Khatungonj Banch, Jublee Road Branch, CDA Avenue Branch, Hathazari Branch, Halishahar Branch, Patiya Branch Fatikchari Branch, New Market Branch and Islamic Banking Branch in Chittagong, Narayangonj branch, Pagla Bazar Branch, Bhulta Branch & BB Road Branch in Narayangonj, Madhabdi Bazar Branch in Narshingdi, Belkuchi Branch in Sirajganj, Laldighirpar Branch, Uposhahar Branch & Goalabazar Branch in Sylhet, Moulvibazar Branch in Moulvibazar, Sonaimuri Branch in Noakhali, Rajshahi Branch in Rajshahi, Bogra Branch, Cox’s Bazar Branch & Chakaria Branch in Cox’s Bazar, Konabari Branch in Konabari, Rangpur Branch in Rangpur, Satkhira Branch in Satkhira, Feni Branch in Feni, Saidpur Branch in Saidpur, Khilgaon Branch in Khilgaon, Comilla Branch in Comilla, Barisal Branch in Barisal, KDA Avenue in Khulna, Sirajgong Branch in Sirajgong, Habiganj Branch in Habiganj, Bhairab Bazar Branch in Kishorgonj and Jessore Branch in Jessore. Every Branch has detailed address in website of Dhaka Bank Ltd.

 Recommendation

Many Recommendations can be applied to Dhaka Bank Ltd. which is given below:

 Dhaka Bank Ltd. should decrease their interest rate of loan. If they decrease their interest rate of loan from 18% to 16%, more customers will take loan facility of Dhaka Bank. Then their business will increase.

  DBL should decrease their margin of equity from 50% to 40% or 35%. If they do it their business will increase.

 DBL should increase the number of PCs with updated hardware and software.

 If anybody wants to import then he must have an account. But in DBL if any body wants to open an account in DBL that time he must have an introducers which was doing anything in the DBL or employee of DBL. For that reason they lost many client or deposit.

 The Dhaka Bank should give a student loan to students of our country. This may encourage the students to come forward do something for the economy.

 Improve and maintain a consistent relationship with customers, especially at retailing.

 Dhaka Bank provides loan in large industrial sector. But a client in large industrial sector is limited. So, they can’t serve the economy of the country that much. So, they should expand their loans more in agriculture, new industries etc for better economic growth of the country.

 In a competitive financial market, their products & services need to focused more on customers need then simply offering what the customers are offering

 They should do more marketing activities to improve their presence in the minds of the target market and also the potential target market. As we see that, Media coverage of DBL is not so strong. To attract new clients, they should go for mass media coverage.

 DBL does not have sufficient number of ATM booth. For benefit of customer & institution they should increase the number of ATM booth.

Conclusion:

 The last 3 months was quite interesting to do my internship at Dhaka Bank Limited, Dhanmondi Branch. I found out about the nature of actually working in a professional environment. It was a great experience for me that I have done my internship program in this bank. By doing internship from Dhaka Bank Ltd, I learned many banking operation which will be a great path in my future career life.

Retail Baking is a significant part of a bank. The Retail Banking of Dhaka bank provide different products & services such as bundled saving products, personnel loan, car loan, home loan, ATM/Debit Card, Credit Card & Sopno Jatra Student Service. Many customers are taking facility of these products & services. The customers are getting opportunity to meet their urgent need and fulfill their dreams by different loan services. The Dhaka Bank is trying to provide loan with substantial interest rate & installment. So the customer can repay the installment easily. There is no risk in the loan. The ATM cards provide the facility to draw money for customers from ATM booth near them. The Dhaka Bank is trying to provide proper ATM card service to attract more customers. The Dhaka Bank is thinking to increase the number of ATM booth for the demand of customer. Because Dhaka Bank does not have sufficient number of ATM booth. The DPS provides facility of installment base saving to customer with substantial installment. After maturity customers get a good-looking amount. They can draw out the money or save the money in the bank. They can use the maturity amount in their emergency time of life. Anyone can open DPS with require documents. Many customers open DPS and many are still coming to open DPS.

Here employees are very co-operative and friendly. They treated me as part of the bank and helped me a lot in my work. I really enjoy working with them. They are also well behaved and helpful to customers and visitors. They always try to give best service to customer.

References:

 www.dhakabankltd.com

  http://www.scribd.com/doc/35813419/Dhaka-Bank-Actual-Report

  http://dspace.bracu.ac.bd/bitstream/handle/10361/825/Imran%20Hossain.pdf?sequence=1

  Soft Copy / CD of Annual Report of 2007, 2008, 2009 & 2010 from Dhaka Stock Exchange.

Dhaka Bank Limited