Internship Report On MCB (PIA Society Branch) 2013 by Azka Sumbel, IBIT

INTERNSHIP REPORT ON MCB BANK limited.
PIA Society, Wapda Town, Lahore
AZKA SUMBEL F10BA106 SESSION 2010-2014

An internship report submitted to the Institute of Business & Information Technology, Punjab University, and Lahore.
Institute of Business & Information Technology
Punjab University, Lahore
Dedicated to my beloved and caring Parents and to my Teachers with the support of whom I am standing at this step of my life stairs.
ACKNOWLEDGEMENT
To Him belongs the dimension of the Heavens and the earth, it is He who gives Life and death and He has power over all things. (Al-Quran)
First of all I would like to thanks Allah Almighty who really helps me in every glitch during the project and empowered me to carry out the task successfully. All respect and possible tributes go to my Holy Prophet Mohammad (S.A.W), who is forever guidance and knowledge for all human beings on this earth. I would like to admit that I completed this task due to parents who pray for my success. I feel myself indebted and highly grateful to honorable Head of Department of IBIT, Dr. Mansoor Sarwar.I would like to acknowledge my Internship Coordinator Professor Fahad Ali. Special thanks go to Professor Shahzad Khan who guided me to do internship in well renowned company to enhance my skills and abilities. He was always there to guide me whenever I felt stuck off and his encouragement always worked as morale booster for me. I am also obliged to Professor Amna Arif and Professor Hira Aftab. I have found them very helpful while discussing the tricky issues in this dissertation work. I pay special thanks to Mam Shumaila Ch. (BM) and Mr. Feroze Ali Khan (BOM) at MCB PIA Society branch, without his continuous guidance and moral support the report would not have been possible. He provided me the opportunity to work into the different departments of bank and all the resources I needed.I am obliged to Mr Usman Mahmood, Supervisor , for providing me the opportunity to have an excellent learning experience during my internship.
3 Internship Report on MCB Submitted By: Azka Sumbel
Preface
Internship, in fact, for the students of BBIThons is a golden chance to develop their capability and skill of administration and management in the practical environment of different business organization. In this contest, I selected Muslim Commercial bank limited. This is among the leading domestic financial institution, as it is the one of the oldest commercial banks in Pakistan. Moreover, particularly being the student of business and information technology, it is necessary for me to get the practical knowledge of the business processes, IT implementation and financial activities of the organization. I worked as an internee in MCB PIA Society branch, Lahore. The main objectives to study in MCB were: To get some experience in working with well reputed organization. To gain knowledge about the professional environment of the bank. To know about the technology utilized in the banks. To deal and manage with the situation of stress. This work is the collection of my observation and experience during the internship period and afterward. The source of my information for the preparation of this report also includes the written notes, literature on banking and verbal discussion with officers and my teachers and class mates. In the preparation of this report, I have received valuable assistance from the staff of Muslim Commercial Bank limited, PIA Society Lahore. I am thankful to branch manager, operational manager, supervisor and the whole staff for their cooperation.
Letter of Transmittal
The Director, Institute of Business and Information Technology, University of the Punjab, Lahore. Subject: Submission of the internship report. Dear Sir, It is to present you the internship report which is executed at MCB Bank Limited as required by the university as a degree requirement for BBIThons program. This report has been prepared in accordance with the guidelines issued by the department. It is the result of my first professional experience. The report is a practical application of whatever I studied at IBIT, Lahore. In this report, I have covered the introduction of MCB, Product and services of MCB, detail of my working and learning in retail banking of MCB and some recommendations. I have put all my efforts to summarize my knowledge and experience in this report to make it comprehensive and to meet readers expectations. Yours sincerely, Azka Sumbel Roll No.F10BA106 BBIT (Hons.) Institute of Business and Information Technology, University of the Punjab, Lahore.
Executive Summary
MCB Bank Limited, with more than 60 years of experience as one of the leading banks in Pakistan, was incorporated on July 9 in 1947. Since privatization, MCB's growth has been phenomenal. MCB is reputed as one of the soundest financial institution and as one of the leading banks in Pakistan with a deposit base of PKR. 545 bln (approx.) and total assets of PKR 766 bln (approx.) The bank has also been acknowledged though prestigious recognition and awards by Euro money, MMT, Asia Money, SAFA (SAARC), The Asset and The Asian Banker. I did my six weeks internship at MCB PIA Society, Wapda Town Lahore, and worked in Operations, Accounts, Remittance, Customer Service department, Insurance and Investment department, Credit and Advances department and got copious experience of auditing. Some of the work that I did in these departments included Clearing, Inter City Clearing, Outward Clearing, Returned Check handling, Maintenance and Issuance of checkbook, Demand draft(DD),Pay order(PO), Filling of various forms and slips(Account opening form ,Investment and insurance form ,Profile changing form ,Automated teller machine(ATM) dispute form ,DD form, PO form, Debit/Credit card requisition form, Checkbook requisition slips, Account statement requisition form, Deposit slips, Credit card payment slips), Activity checking and Stop payments and Closing of accounts, Handling of Zakat exemption applications, Auditing Rectifications, ATM cards Handling, Preparation of Insurance Plans, Lockers handling, Keys rotation handling, Payment of remittances, Critical analysis of their automated systems(BTS & EOC), start of day (SOD) and end of day (EOD) activities analysis, Analysis of BOM activities by day, weekly, fortnightly, monthly, semiyearly, yearly wise. MCB working was marvelous but there were some problems in designation of rights at branch level, in customer call back (CBC) process, virtual banking, training of the employees, incentive schemes and product innovations. Some of the recommendations include improve SYMBOLS online system, automate account opening process, efficient the business processes, Systems should be up-to-date, improve customer service, workshops for employees, job rotation, teams work to find innovative products and scholarship programs for employees. Lastly MCB has seen a rapid growth in its activities by introducing a range of products and services and showing its presence in the country by opening new branches and in future should keep this momentum and always strive to become the best.
Table of Contents
Page No. 2 3 4 5 6 11 13 14 17 18 18 18 19 19 19 20 20 20 21 22 22 22 22 23 25 26 29 33
Sr. No
TOPIC
Dedication Acknowledgement Preface Letter of transmittal Executive Summary Chapter 1: OVERVIEW OF THEORGANIZATION IN PAKISTAN 1. History of MCB 2. About MCB 3. Information about branch 4. Convenience In Every Form 5. Vision 6. Mission 7. Strategic Objectives 8. Growth With Convenience 9. Care With Convenience 10. Trust With Convenience 11. Earn With Convenience 12. Move With Convenience 13. Luxury With Convenience 14. Core Values 15. Target Market 16. Market Share 17. Major Competitors 18. Products And Services 19. Functions 20. Branch Hierarchy 21. SWOT Analysis CHAPTER 2: INTERNSHIP ACTIVITIES 1. MCB Departments 2. Week 1 activities 1. Accounts
2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20. 21. 22. 23. 24. 25. 26. 27. 28. 29. 30. 31. 32. 33. 34. 35. 36. 37. 38.
CURRENT ACCOUNT BASIC BANKING ACCOUNT Smart Dollar Account Foreign currency Account SMART SAVINGS ACCOUNT PLS SAVINGS 365 PLS SAVINGS 365-Gold SAVINGS XTRA BUSINESS ACCOUNT TERM DEPOSIT SPECIAL RUPEE TERM DEPOSIT (STD): SPECIAL NOTICE DEPOSIT (SND) Account Opening Documentation Requirement Individuals Accounts Partnership Account Joint Stock Companies Clubs, Societies and Associations Agents Accounts Trust Accounts Minor Accounts: (Age below: 18) Illiterate / Photo/ Disable Persons Accounts Account opening Classification of Accounts Dormant Accounts Inoperative Accounts Unclaimed Deposit Account Notice to the Holder of Unclaimed Deposits/ Instruments Reporting Of Unclaimed Deposits Transfer of Unclaimed Accounts to State Bank of Pakistan Retention of Documents Refund Procedure Account Closure Clearing NIFT (NATIONAL INSTITUTE OF FACILITATION TECHNOLOGY) Inward Clearing Outward Clearing Intercity Clearing
33 34 36 37 38 39 40 41 42 43 44 45 47 48 48 48 49 49 49 50 50 57 56 56 57 57 57 58 58 58 58 59 62 63 63 64 68
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Internship Report on MCB Submitted By: Azka Sumbel
39. Check Return Procedure 40. Overview of checks 41. Remittances 42. Demand Draft 43. Payment Order 44. Term Deposit Receipt 45. Call Deposit Receipt 46. DIFFERENCE BETWEEN CDR AND TDR 47. Lockers 48. Issuance of License 49. Types of Lockers 50. Insurance of Lockers 51. Renewal / Expiry of Lockers 52. CREDIT/ ADVANCES 53. Investment 54. Self-Experience 55. Departments in Which Work Has Been Done Chapter 8: SUMMARY AND RECOMMENDATION 1. OVERALL SUMMARY 2. BRIEF SUMMARY OF MY WORK 3. Suggestions BBIThons degree program 4. RECOMMENDATIONS FOR MCB BNAK LIMITED: 5. Human Resource Issues 6. Behavioral and professional training 7. Management and Strategic Issues 8. Marketing Issues: 9. Information Technology Issues Annexure Glossary References
68 68 74 75 78 79 81 83 84 84 84 84 85 87 92 93 93 95 96 97 97 97 98 98 99 99
CHAPTER 1 Overview of Organization
HISTORY OF BANKING IN PAKISTAN

At the time of independence, commercial banking facilities were provided fairly well here. There were 487 offices of schedule banks in the territories now constituting Pakistan. An Expert committee was appointed. The committee recommended that the reserves bank of India should continue their function in Pakistan until 30 September. 1948, and Pakistan would take over the management of public debt and exchange control from reserve bank of India on April 1948 and that Indian notes would continue to be legal tender in Pakistan until 30 September 1948. Moreover the banks including those having their registered office in Pakistan transferred them to India in order to bring a collapse of a new state. By 30 June 1948 the number of the offices of scheduled banks in Pakistan declined from 487 to only 195.In order to make necessary arrangement for the assumption of control and expert committee was appointed to recommend necessary steps, including the required legislation to establish a central bank for Pakistan. The governor-general of Pakistan Muhammad Ali Jinnah inaugurated the State Bank of Pakistan order was promulgated on May 12, 1948. The first Pakistani notes were issued in October 1948 in the State Bank of Pakistan withdrew the reserves Bank of India notes of the value of Rs. 125.02 crores with the help the Pakistan notes.
History of MCB
MCB Bank Limited formerly known as Muslim Commercial Bank Limited MCB Bank is not an overnight success story. Before separation of Indo Pak, the need for more Muslim banks was felt. And Muslims having strong financial capacity were thinking to invest in this sector as well. This was the idea which paved the way for setting up MCB Bank Ltd known as MCB. This was the third Muslim bank in the subcontinent. The bank was established with a view to provide banking facilities to the business community of the South Asia.
MCB Bank Limited formerly known as Muslim Commercial Bank Limited was incorporated by the Adamjee Group on July 9, 1947 in Kolkata in Bengal, under the Indian Companies Act, VII of 1913 as a limited company`. But due to changing scenario of the region, the certificate of incorporation was issued on 17 August, 1948 with a delay of almost 1 year; the certificate was issued at Chittagong. The first Head office of the company was established at Dacca and Mr. G.M. Adamjee was appointed its first chairman. It was incorporated with an authorized capital of Rs. 15 million. The Bank transferred its registered/Head office from Dhaka to Karachi on August 23, 1956 through a special Resolution. The bank was established with a view to provide banking facilities to the business community of the South Asia. The bank was nationalized in 1974 during the government of Zulfiqar Ali Bhutto. This was the first bank to be privatized in 1991 and the bank was purchased by a consortium of Pakistani corporate groups led by Nishat Group. MCB is Pakistans fourth largest bank by assets having an asset base of US$6.7 billion, and the largest by market capitalization having a market capitalization of US$4.1 billion. The Bank has a customer base of approximately 4 million and a nationwide distribution network of 1,026 branches, including 8 Islamic banking branches, and over 300 ATMs, in a market with a population of 160 million. In 2008 the head office of MCB was shifted from Karachi to Lahore in a newly constructed building, namely MCB House located at Sharea Ghous-ul-Azam, commonly known as Jail Road. During the last fifteen years, the Bank has concentrated on growth through improving service quality, investment in technology and people, utilizing its extensive branch network, developing a large and stable deposit base.
About MCB
Over the years MCB has developed strong relationships with its customers by understanding their needs and treating them with respect, dignity and importance. The
driving force behind its commitment and services is its focus on customers ensuring that it not only meets, but also exceeds their expectation. They strive to achieve excellence by ensuring that every moment of their time is spent in adding value, making sure that they do things right, first time, and every time. With the quest of quality MCB has always taken initiatives bringing banking into a new arena; from cash to the convenience of plastic; from branch banking to internet banking and from face to face customer interaction to online accessibility.
MCB now focuses on three core businesses namely Corporate, Commercial and Consumer Banking. Corporate clientele includes public sector companies as well as large local and multinational concerns. MCB is also catering to the growing middle class by providing new asset and liability products. MCB Bank Limited (Formerly Muslim Commercial Bank Limited) has a solid foundation of over 63 years in Pakistan, the Bank provides 24 hour banking convenience with a network of over 1000 branches, the largest ATM network in Pakistan over 450 ATM locations in the market.
INFORMATION ABOUT MY BRANCH

I did my internship in Muslim Commercial Bank Limited PIA Society BRANCH. And some important information about my branch which I observed is as follows:
MANAGEMENT OF THE BRANCH

BRANCH MANAGER OPERATIONAL MANAGER SUPERVISOR GENERAL BANKING ADVISOR PERSONAL BANKING ADVISOR ADVANCES/CREDIT OFFICER CLEARING OFFICER SHUMAILA CHUDHRY FEROZE ALI KHAN USMAN MAHMOOD SHAHID CH. SYED ASAD ALI USMAN SHRIEF RUSHDA AHMED 13 Internship Report on MCB Submitted By: Azka Sumbel
CSO CHIEF CASHIER CAHIER ACCOUNT OFFICER INVESTMENT OFFICER INSURANCE OFFICER TEA BOY
SWEEPER
MAHJABEEN ALI ZAHEER ABBAS ALI AZEEM MR. HAROON AHMED RAZA TEHSEEN SHAMS ARFAN AHMED SHAN MUSTAFA
GENERAL INFORMATION
NUMBER OF ACCOUNTS: Accounts in this branch of MCB are as follows: CURRENT ACCOUNT Total numbers of current accounts are 700. PLS ACCOUNT Total numbers of profit and loss accounts are 1100. REMITTANCE: Total remittance of this branch is 26.22 million. RATE OF INTEREST: The rate of interest provided by such bank is minimum 5% and maximum 11%. FINANCING: Mainly, the short term financing schemes are being dealt here. CAPITAL: Capital of branch is treated in its Head Office.
Total Summary of MCB PIA branch

Branch: Currency: 1522-PIA Society Lahore PKR Pakistani Rupee
Income:
-44,039,743.50
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Expense: Liability: Assets:
37,730,556.24 -39,561,912.78 89,041,362.38
Total deposits in actual currency: Total Advances in actual currency: Total deposits in base currency: Total Advances in base currency: Net Income:
-900,797,172.36 34,213,377.47 -900,797,172.36 34,213,377.47 -6,309,187.26
Convenience
in every form
MCB enjoys the unique position of being the Bank for Life because of its commitment to excellence and its constant endeavor to make banking convenient for everybody. MCB shares the element of convenience with water because not only is water the basis of life but also takes on the form and shape of the vessel it is kept in. MCB too quenches the thirst for convenience by taking on different forms according to the needs and requirements of the consumer.
Vision
To be the leading financial services provider, partnering with our customer for a more prosperous and secure future.
Mission
We are a team of committed professionals, providing innovative and efficient financial solutions to create and nurture long-term relationships with our customers. In doing so, we ensure that our shareholders can invest with confidence in us.
Strategic Objectives
Delivering remarkable returns to stakeholders, sustainable performance, exceeding market and shareholder expectations. Providing value added services through operational expansion, geography and upgraded systems. Building a corporate culture of equality trust and team spirit as we remain dedicated to be a socially responsible organization.
Growth
with Convenience
By empowering businesses with tailored solutions that conveniently meet their requirements, MCBs economic vision encompasses growth, prosperity and financial well-being of the people.
Care
with Convenience
At MCB, we are always eager and willing to help people who are less fortunate and people who are in any sort of distress. Our efforts are aimed at enriching their lives so that they can help themselves to live a life of convenience and ease.
Trust
with Convenience We know that in these tough economic times, people need a reliable source to act as their partner for better investments and improved results. Our vast portfolio of convenient offerings and our image as a trustworthy Bank assures local investors to have faith in the economy and makes it easier for foreign investors to invest in Pakistan.
18
Earn
with Convenience
MCB is a firm believer in the age-old wisdom of a rupee saved is a rupee earned. We understand that people want to save and earn on their savings which is why we offer a plethora of convenient solutions for savings so that people can enjoy their today by overcoming their worries for tomorrow.
Move
with Convenience With over 1100 branches all over Pakistan and virtual presence through various affiliations, MCB offers a convenient, fast and secure way of money transfer from anywhere in the world to Pakistan and all over Pakistan.
Luxury
with Convenience It is always nice to feel and see that you are being treated in a special manner. By offering convenient solutions for unconventional needs, MCB treats all its customers as royalty. Our banking services are centered on offering a sense of luxury with utmost convenience.
CORE VALUES
Integrity
We are the trustees of public funds and serve our community with integrity. We believe in being the best at always doing the right thing. We deliver on our responsibilities and commitments to our customers as well as our colleagues.
Innovation
We encourage and reward people who challenge the status quo and think beyond the boundaries of the conventional. Our teams work together for the smooth and efficient implementation of ideas and initiatives.
Excellence
We take personal responsibility for our role as leaders in pursuit of excellence. We are a performance driven, result oriented organization where merit is the only criterion for reward.
Customer Centricity
Our customers are at the heart of everything we do. We thrive on the challenge of understanding their needs and aspirations, both realized and unrealized. We make every effort to exceed customer expectations through superior services and solutions.
Respect
We respect our customers values, beliefs, culture and history. We value the equality of gender and diversity of experience and education that our employees bring with them. We create an environment where each individual is enabled to succeed.
TARGET MARKET
MCB has no target market in the whole country. Its target market varies in different cities in large cities like Karachi, Lahore, and Faisalabad where there is more corporate clients. And in small cities where corporate boniness in less than target is individual consumes. But in general MCB putting a great emphasis on customer satisfaction never refuses or overlook any of its emphasis.
MARKET SHARE
MCB has achieved the market share of 15-18% among 35 national banks and s contumacy improving it.
MAJOR COMPETITORS
MCB is leading all the national banks. Habib Bank and Allied Bank are its compatriots which are still many steps behind MCB. They are contumely trying to grasp the position of MCB but MCB has been successful every time in proving him best bank.
PRODUCT AND SERVICES

Products:

Deposits: Fixed deposits Savings deposits Foreign accounts Lending: Personal loans Travelers checks Bill payment services Smartcard/debit cards and visa cards Agricultural financing scheme
21
Services:

Other services: Lockers Cash management services Trade finance services Letters of credit Private placements Loan syndication Corporate advisory services Internet banking
FUNCTIONS
Basically there are two basic categories on the basis of functioning of MCB Bank, which are Principal function Auxiliary function
PRINCIPAL FUNCTION
The principal functions are basically the core functions of the bank that is their lifeblood of bank, which are

are
Acceptance of deposits Financing Deposits
There are basically two types of deposits and their nature vary due to time factor, which
Demand deposits
Current deposits Saving deposits

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Time deposits:
Notice time deposits Fixed term deposits
FINANCING The second important function of the MCB is to provide finances to the individuals and businesses against securities at a certain fixed rate of interest. As the different types of accounts in accepting deposits MCB also have the different types of account in which it provide the loan to its customers. Following are the different types of the accounts in which loan is made.

Demand Finances: Running Finances: Cash Finances: Fixed Asset Financing: Overdraft
AUXILIARY FUNCTION
These are the functions that have the secondary position in the bank point of view. These functions are cause to attract the customer. Banks performs this kind of functions as per demand on the extra charges. Collection of Cheques Locker Collection of Dividends: Purchase and Sale of Securities: Transfer of Funds: Issue of Traveler's Cheques: DISCOUNTING BILLS OF EXCHANGE
BRANCH HIERARCHY
OFFICES OR FIELD OFFICES

Offices means the Head office which is situated in MCB House located at Sharea Ghous-ul-Azam, commonly known as Jail Road. Field offices mean the Branches. MCB has the fourth largest domestic branch network in Pakistan. The bank has a network of over 1000 branches in Pakistan and 6 branches worldwide in 6 countries.
SWOT ANALYSIS
STRENGTHS
MCB is Successive and Market oriented. MCB investing huge sums on HR development and training. Customer default rate is lower as compared to other banks. MCB has the largest ATM network in the country. Meeting the challenges of latest Technology by introducing Smart card remit express, mobile banking etc. One of the major strengths of MCB is that it has very stable deposit base. MCB is largest private bank in Pakistan with around 1000 branches, which cover almost every part of Pakistan. The bank enjoys competitive advantage over other banks in Pakistan. The bank enjoys competitive profitability in the industry. MCB has captured majority of potential customers in Pakistan. MCB has the accounts of big organizations like OGDCL, PTCL, EFU, PTC etc.
WEAKNESSES:
Low motivational level; non-aggressive marketing. Employees dissatisfaction due to ill treatment and improper reward system. Interest rate is very meager. It is not having greater no. of branches abroad. Though ATM network is the largest in Pakistan, still some potential areas dont have the ATM. Poor IT implementation. Some management positrons needed are not professional.
OPPORTUNITIES:
Leasing sector is growing in Pakistan for the last two to three years which provides opportunity to MCB to go ahead in this area as well. MCB is providing Consumer Finances at comparatively lower rates which paves a way to grab more customers Financing to small/medium cottage industries will definitely increase its advances and profitability as well.
THREATS:
Other private commercial bank with sound profitability is also a threat to MCB e.g. UBL, Alfalah, HBL etc. For the last of many years, Pakistan is facing economic and political instability which is a big threat. Foreign banks are flourishing in field of consumer financing. People dont prefer banking culture. They mostly prefer cash transactions
CHAPTER # 2 INTERNSHIP ACTIVITIES
On my very first day, I received a warmed welcome from Madam Shumaila Gul, Branch Manager (BM) at MCB PIA Society branch. She introduced me to Mam Mehjabeen, Customer Relationship Officer (CSO). She introduced me with all the employees and elegantly mandates me about the branch. After that Mr. Usman Mahmood, Supervisor, gave me the orientation and told about the following departments in the MCB PIA Society branch. There are the few major departments in every branch of MCB bank. These are given below

Cash department Deposit department Advances & credit department Foreign exchange department Technology department (new addition in order to cope with the growing needs of day to day technology requirements)
CASH DEPARTMENT
This is very important department because cash is the most liquid asset and mostly frauds are made in this department, therefore, extra care is taken in this department and unauthorized persons are not allowed to enter the area. All the books maintained in this department are checked by an officer. The consolidated figure of receipt and payment of cash is entered in the cash balance book and drawn closing balance of cash. Opening Balance + Receipts - Payments = closing Balance.
DEPOSIT DEPARTMENT
MCB Bank deals in money and they are merely mobilizing funds within the economy. They borrow from one person and lend to another, the difference between the rate of borrowing lending forms their spread or gross profit. Therefore we can rightly state that
deposits are the blood of the MCB bank which causes the body of an institution to get to work. These deposits are liability of the bank so from point of view of bank we can refer to them as liabilities. TYPES OF DEPOSITS There are two types of deposits at MCB bank. Time deposits / liabilities Demand deposits / liabilities And on the basis of the cost to acquire these funds, a deposit can be classified as anyone of following four 1. High Cost 2. Medium Cost 3. Low Cost 4. No Cost.
CLEARING DEPARTMENT
A clearing house is a place where representative of all banks of the city get together and settle the receipts and payment of cheques drawn on each other. As the collecting banker runs certain risks in receipt of their ownership the law has provided certain protections to the banks. The Negotiable Instrument Act, 1881, lays down that drawer or holder of a cheque or draft may cross the instrument generally or specially. It further lies down that a crossed cheque can only be paid to a banker, who collects it for a customer in good faith and without negligence.
FUNCTIONS OF CLEARING DEPARTMENT: 1. To accept Transfer, Transfer delivery, clearing and collection cheques from the customers of the branch and to arrange for their collection.
2. To arrange the payment of cheques drawn on the branch and given for collection to any other branch on MCB or any other members or sub member of the local clearing house. 3. To collect amount of cheques drawn on members, sub-member of local clearing house, sent for collection by MCB Branches, not represented at the local clearing house.
LEDGERS OF DEPOSIT DEPARTMENT The following types of ledgers are concerned with deposit departments: 1. Saving Ledgers 2. Current Ledgers 3. Profit & Loss Sharing Ledgers 4. Fix Deposit Register 5. Call deposit register 6. Cumulative deposit certificate register 7. Cash book 8. Daily profit and summary book 9. Officer specimen signature book 10. Voucher register However, in MCB computerized branches all these ledgers are no more there but only day books are maintained. The rest of the work is done on cc computers.
ADVANCES DEPARTMENT
Advances are the most important source of earning for the banks. MCB is also giving full attention towards this aspect and it is also obvious from the growing portfolio of advances and from very low delinquency rate. The credit portfolio of this institution is in a very much better shape than other financial institutions of Pakistan and the
credit goes to the management and the staff who are concerned about the quantity and quality as well. 1. Loans 2. Cash Credits 3. Overdraft
TECHNOLOGY DEPARTMENT
Technological advancements are also affecting the banking industry. The foreign banks have a competitive edge over all local banks in their technologies' advancements and automated systems. Local banks have also realized the gravity oil this situation and are striving to add computerized systems to their branches MCB is ahead of all other local banks in this field and now it is in a position to even compete with foreign banks. There are more than 1045 branches of MCB all over Pakistan and out of these more than 300 branches are fully computerized Almost all .the branches of big cities are computerized; therefore, the need for a technology department at each branch is growing. Now a day, a computer division is working in each city to provide service to and the branches of that area. MCB has also introduced the now concept of online banking. There are now more than 250 branches linked through this system and they can transact with each other directly using computer systems at their own branches. Now customers do not have to wait long for their transactions and can operate their account through all the online branches.
This section is based on my observation and experience and rotation during my internship at the PIA Society Branch of MCB Limited. Following are some of my jobs that I performed or assisted in performing or overlooked in the various departments.
st
In the 1 week of my internship I learnt about the products and services of MCB, got briefing on account and account opening procedure, classification of accounts, issues related accounts e.g. zakat, withholding tax. Got briefing about Insurance policies and plans and prepared reports of BOM daily, weekly, fortnightly, monthly, yearly activities. 9 July, 2013-- Mr. Haroon, paying his services in accounts department on contract at MCB PIA Society branch, updated my knowledge about MCB products and Services and illustrates me about the accounts, accounts types and explained me the whole account opening process in a well manner. The detail of all these things is given below:
ACCOUNTS
Following are the types of account in MCB
CURRENT ACCOUNT

No restriction on Withdrawals and frequency of transactions No profit is paid on Current Accounts Service Charges are recovered as specified in the Schedule of Charges No Zakat is to be deducted on Current Accounts. Free of cost account statements are dispatched on half yearly basis within one week after the mid-year closing. If any customer wishes to
receive the account statement other than the half yearly cycle, charges will be recovered as per the Schedule of Bank Charges RS.50

Account opening with Rs.1000 Minimum maintain balance Rs.10000 if less then minimum limit Rs.50 will deduct
Eligibility
Individuals (Single/Joint) Firms (Sole Proprietor Partnership) Companies (Public and Private Limited), Trust/ Clubs/ Societies and Associations are eligible to open Current Accounts.
BASIC BANKING ACCOUNT
To provide banking facilities to low income people without the restriction to maintain minimum balance requirement
Features The account is opened with a minimum initial deposit of Rs.1000.
BBA is a Rupee Current Account (non-remunerative account).
There is no minimum balance requirement, and hence no monthly account maintenance charges apply.
In case where balance in BBA remains ZERO for a continuous 06 month period, the account will be closed automatically.
Each month the account holder is allowed 02 deposits transactions (either cash or clearing) and 02 withdrawals (cash or clearing). All customer initiated transactions over and above this limit will be charged Rs. 25 per transaction
All ATM transactions conducted through electronic channels (i.e. ATM, Debit Card POS machine, Virtual Banking) are exempted of transaction fee. Hence the customer is allowed unlimited transactions through these channels.
ATM cards are issued to all BBA account holders in on-line branches. Card issuance and annual fee will be recovered as per Schedule of Bank Charges.
ATM transaction charges on balance enquiry / mini statement and on usage of non-MCB ATMs will apply as per Schedule of Bank Charges.
Statement of account to be mailed as per existing policy of the Bank. Charges for duplicate statement will apply as per Schedule of Bank Charges.
Eligibility Low income individuals are eligible for opening BBA with single or joint account type. Existing individual account holders can also convert their regular Savings or current account into Basic Banking Account. This facility is not offered to non-individuals
5.1.2 Smart Dollar Account
The minimum amount to be placed under this product is USD 100, 00. Complimentary Pak Rupee account without minimum balance requirement.
Free Lockers Facility Free of Charge Bank Statement & Smart Cards Discount (Up to 50%) on processing charges of Personal Loans & Car Financing.
Preferential rates on consumer loans. Waiver on collection charges for crediting the amount in Foreign Currency.
No Charges on Standing Instructions In case of any change in the above features, prescribed procedure by RBG will be applicable.
Eligibility Individuals (Single & Joint), Firms, Companies.
Foreign currency Account

Enjoy the confidence of operating an international account, locally.
MCB Foreign Currency Account offers you the option of earning attractive returns on your Foreign Currency Investment. KEY POINTS Open your account in US Dollar, UK Pound Sterling, or Euro. Open for as little as US$ 500 or equivalent. Unlimited transactions at your branch. Free Foreign Currency cash deposit and withdrawal facility. Rate of Return directly linked with international market Profit paid into your account every six months. Foreign Remittances facility available. Countrywide network of Foreign Currency Branches. Cash withdrawal in PKR equivalent Network of over a thousand branches, and hundreds of online branches, at convenient locations. General Inquiry e.g. ATM Locations, Product Information etc. Financial Services e.g. Account Balance Inquiry, Debit Card, Transaction detail, bill payments etc. Non-financial Services e.g. Internet Banking activation etc. Bank Account Statement and Cheque Book Request. Eligibility Only Individuals (Single and Joint) are eligible to open PLS Savings Accounts.
5.1.5 SMART SAVINGS ACCOUNT

Offers the opportunity to small and medium sized depositors (individuals only) to earn attractive returns on their deposits. Cash withdrawals takes place only through ATM/POS.
Individuals can open an account with a minimum initial deposit of Rs. 1,000. Profit is calculated on a monthly basis and credited to the account after each calendar quarter All ATM transactions conducted through electronic channels (i.e. ATM, Debit Card POS machine, Virtual Banking) are exempted of transaction fees. The customer is allowed unlimited transactions up to available balance in the account through these channels. The profit is calculated only on minimum deposit balance between Rs. 10,000/- and Rs. 300,000/- during a month, irrespective of the balance available in the account (as per prescribed slabs). This range can be changed by the Bank any time without giving prior notice to the customer (as and when required). Profit is calculated monthly, based on the minimum balance of the account during the month. In case minimum balance exceeds the ceiling of Rs. 300,000/- in a month, profit would only be paid on Rs. 300,000/ MCB Smart Savings account can be merged with the regular PLS Savings account any time by giving 3 months notice to the customers at the discretion of the Bank. The profit rates are estimated/provisional and subject to change any time at the discretion of the Bank. Service charges would be applicable as per Bank policy if the balance goes down below the prescribed minimum balance. Cheque book would not be issued to the account holder. ATM Card would be issued to the customer for cash withdrawals. A customer can open only one MCB Smart Savings Account in the Bank, in case a customer is found to have more than one Smart
Savings Account, the Bank reserves the right not to give the profit or recover profit if already paid to the customer on their account/s. Zakat is deducted as per the policy. Withholding Tax is also deducted from profit (where applicable) as per Income Tax Laws RATES Up to RS.199, 999 Rs.200, 000 299,999 More than Rs.300, 000 5% 7% 5%
Profit Calculation: Profit will be calculated on a monthly basis, based on the minimum balance maintained by the customer during that month. Eligibility Only Individuals (Single or Joint) are eligible to open PLS Smart Savings Account. Non-Individuals like Proprietors Company, Partnership, Trading, Collection accounts etc. are not eligible.
PLS SAVINGS 365

PLS Savings 365 also falls under the category of Savings Deposit Scheme.
It is a checking account and there is no restriction on number of
withdrawals and deposits transactions.

Account is opened with minimum deposit of Rs.300,000/ Profit is calculated on daily product basis on the balance of Rs.300,
000/- and above. However, if balances in the account fall below Rs.300, 000/- on any day, the product will be considered as well and the profit will be paid as per the rates notified by the Bank on half yearly basis.
All other terms and conditions including rates of profit, Zakat and
Withholding tax applicable to PLS Savings Bank Accounts are applicable. Eligibility All types of customers are allowed to open PLS- 365 accounts except Development Financial Institution.
PLS SAVINGS 365-Gold

Offered to Corporate Groups, Multinational Companies, and Government and Autonomous bodies. Calculation of Profit is made on daily product basis at variable rates according to Deposit Slab Range at declared rates on Half Yearly basis. There is no limitation on number of withdrawals and amount of withdrawals. The account requires a minimum deposit of Rs. 500,000 or more in order to get attractive profits. In case, account holder is not maintaining a minimum deposit of Rs. 500,000 in the account, the profit is paid at the prevailing Savings Rate. Service charges would be applicable as per Bank Policy if the balance goes below the prescribed minimum monthly average balance. All other terms and conditions including rates of profit, Zakat and Withholding Tax applicable to PLS Savings Bank Accounts are applicable. Rates Less than 10 Million
5%
39
Rs.10 Million to less than 25 Million Rs.25 Million to less than 50 Million Rs.50 Million to less than 100 Million Rs.100 Million to less than 250 Million Rs.250 Million to less than Rs.500 Million Rs.500 Million and above Eligibility
6% 6.5 7% 7.5% 8% 8.25%
Individuals and institutions can open the account.
SAVINGS XTRA
Grow with MCB Xtra by saving more and earning greater profit. MCB Savings Xtra Account offers you a wide range of attractive profit rates. KEY POINTS Initial balance for account opening required Rs.1000 Minimum balance maintain limit Rs.100000 The higher your balance, the higher your profit. Now avail attractive rates up to 8.5%.* Profit calculated on monthly basis. Profit paid into your account semi-annually.
No joining fee on Debit/ ATM Card. 50% discount on lockers. Cash deposit and withdrawal facility at hundreds of branches nationwide. Unlimited number of ATM withdrawal transactions. 3 free withdrawal transactions through the branch every month.
BUSINESS ACCOUNT
MCB Business Account lets you build your business through the accrued savings from discounted transaction fees, and more. KEY POINTS Higher the balance the higher the number of free transactions. Open a Business Account with Rs.50, 000 only. Unlimited free cash deposit and withdrawal facility at hundreds of branches nationwide. FREE SERVICES When you maintain average monthly balance of Rs.100, 000 or above Demand Drafts/Pay Orders. Cancellation for Demand Drafts/Pay Orders. Cheque Book. International ATM Gold Card.
TERM DEPOSIT
SPECIAL RUPEE TERM DEPOSIT (STD):
The Special Rupee Term Deposit is governed under the PLS rules, but offers the depositor a stable rate of return for a fixed maturity. It is a mandatory
requirement for booking a Term Deposit to have a checking account (Current/Savings) in the Bank.
Product is available in the following tenors:
3 months, 6 months, 1 year, 3 years & 5 years The minimum amount to be placed under this scheme is Rs.1000, 000/(amounts can be booked in multiples of Rs.1000). Each tenor is divided into 3 categories based on the deposit amount. Rs.1,000,000 to less than Rs.10,000,000 Rs.10,000,000 to less than Rs.25,000,000 Rs.25,000,000 and above Zakat Zakat is deducted as per the rules of Zakat & Ushr Committee (as advised and amended from time to time)
Withholding Tax
Withholding Tax, where applicable shall be deducted from the profit amount, as per Income Tax Laws in force at the time of profit payment. This deposit can be used as a security / collateral and the depositor can avail up to 75% of the principal amount upfront. The depositor also has the option of increasing the financing limit up to 90% of the principal amount, upon obtaining the necessary approvals from the relevant authority. The tenor of the financing facility should be within the maturity date of the deposit. In case of premature encashment, the depositor will bear the tax expense
Profit payment frequency Profit on the special TD is paid on the date of maturity of deposit for 3 and 6 months tenor. Deposits booked for 1, 3 and 5 years tenor is paid profit on a quarterly basis. Hence the depositor gets the opportunity of investing for a long term without compromising on cash flows. Payment of profit: Profit amount will be credited into the depositors linked/ specified current or Savings account. Cash payment of profit amount will not be allowed. Branch is required to maintain maturity date and profit payment dates for each account so that there is no delay in payment of profit to the depositor. Eligibility (Existing Account Holders) Individuals, Firms and Companies SPECIAL NOTICE DEPOSIT (SND) SND is issued for 07 and 30 days.
07 days Notice Deposit: Issued for 07 days only and if enchased before 07 days is not eligible for profit/interest. 30 days Notice Deposit: Issued for 30 days and enchased after seven days is eligible for Profit/Interest payable for 07 Days Notice Deposits. Zakat Zakat will be deducted as per Zakat rules as advised and amended from time to time. (Applicable only on PAK Rupees) Withholding Tax
Withholding Tax, where applicable will be deducted from the Profit/interest amount, as per Income Tax Laws in force at the time of profit/interest payment. These deposits are also received in multiple of Rs. 1000/If a depositor withdraws deposit on a date prior to the date of declaration of profit rates, the profit due can be paid at the rate of profit declared for the last half year.
This, however, shall be a provisional payment with the prior approval of Regional Manager. If the rate declared for said half year is more than what was paid to such deposit holders then the difference shall be paid through Payment Order. In case rate of profit announced on Special Notice Deposit is less, then customer should pay the difference. It will be appropriate if an undertaking from the customer is taken in this respect. The return on Foreign Currency SND is paid on maturity or as prescribed by the Bank or SBP from time to time.
Eligibility
Existing Account Holders (Individuals, Firms and Companies)
SMART FOREIGN CURRENCY FIXED DEPOSITS
The minimum amount to be placed under this product is USD $ 10,000. Interest rates are offered based on the amount of deposit. Free Lockers Facility Free of Charge Bank Statement & Smart Cards Discount (Up to 50%) on processing charges of Personal Loans & Car Financing.
Preferential rates on consumer loans. Interest on the smart foreign currency fixed deposits is paid on the date of maturity of deposit for 3 and 6 months tenor. Deposits booked for 1 year is paid interest on a half yearly basis. Cash payment of Interest amount is not allowed. Minimum retention period is 01 month, irrespective of the tenor for which the deposit is booked. In case depositor wishes to encash the deposit before completion of one month, only principal amount will be paid to the customer. If customer wishes to encash the deposit after one month but before maturity, the branch will pay interest at the Savings Rate for the number of days completed. o In case of any change in the above features, prescribed procedure by RBG will be applicable.
Account Opening Documentation Requirement

The details of Account Opening Application, Specimen Signature Cards and other Documents to be obtained for different types of accounts are as follows:
Individuals Accounts
1. Application for Opening Account (SF-1AA). 2. Specimen Signature Card (SF-6). 3. Attested photocopy of Computerized National Identity Card (CNIC) or Passport. It is a mandatory requirement to verify the CNIC of the customer before opening the accounts, from NADRA Online systemVERISYS
4. In case of a salaried person, attested copy of his/her service card or any other acceptable evidence of service, including but not limited to a certificate from the employer. 5. In case of illiterate person, a passport size photograph of the new account holder besides taking left & right thumb impressions on the Account Opening Form & Specimen Signature Card 6. In case CNIC does not contain a photograph, Banks may allow the said customer to open the account, subject to provision of the following documents: 7. A copy of the photograph duly attested by gazette officer/Nazim. 8. A copy of CNIC without photograph duly attested by the same person who has attested the photograph as per above. 9. A confirmation in writing to the effect that they have no other document bearing their photograph. 10. Moreover, the particulars/CNIC of such persons must be confirmed from NADRA in writing or through its VERYSES system.
Partnership Account
1. Application for Opening Account (SF-1AA). 2. Specimen Signature Card (SF-6). 3. Attested photocopies of Computerized National Identity Card (CNIC) of all partners. 4. Attested copy of Partnership Deed or Letter of Partnership (CF13), in lieu of the partnership deed, if not available) duly signed by all partners of the firm.
5. Attested copy of Registration Certificate with Registrar of Firms. In case the partnership is unregistered, this fact should be clearly mentioned on the Account Opening Form. 6. Authority letter in original, in favor of the person authorized to operate on the account of the firm.
Joint Stock Companies
Copies of the following documents duly certified by the authorized officer of the:
1. Resolution of Board of Directors for opening of account specifying the person(s) authorized to operate the company account. 2. Memorandum and Articles of Association. 3. Certificate of Incorporation. 4. Certificate of Commencement of Business. 5. Attested photocopies of Computerized National Identity Card (CNIC) of all the directors. Clubs, Societies and Associations
Certified copies of: 1. Certificate of Registration issued by the Registrar of Cooperative Societies/ Registration Authority. 2. Bye-Laws/ Memorandum and Articles of Association of the Society containing official seal of the Registration Authority. 3. Permission of the registration authority for opening of Account in the name of Association as required under section 37 (d) of Cooperative Societies Act, 1925.
4. List of members of the Managing Committee duly certified by the Registrar of Societies. 5. Resolution duly passed by the members of Managing Committee in their meeting regarding opening and operation of account in the name of said Society. It must be ensured that the mandate for operation of Account given in the Resolution is not in violation of the provision of Bye-Laws/ Memorandum and Articles of Association. 6. Attested copies of CNIC of the authorized officials/ persons. Agents Accounts 1. Certified copy of Power of Attorney 2. Attested photocopy of Computerized National Identity Card (CNIC) of the agent. Trust Accounts
1. Attested copy of Certificate of Registration 2. Resolution duly passed by the Trustees regarding opening and operation of Account in the Bank in the name of said Trust Deed. 3. Attested copies of CNIC of all the trustees. 4. Certified copies of Letter of Administration/ Instrument of Trust.
Minor Accounts: (Age below: 18)
A Minor is a person who has not attained the age of 18 years, if the Court appoints guardian of his/her person or property, then the period of his minority extends to the age of 21.
1. An account in the name of minor is allowed to open by his guardian, preferably jointly in the name of guardian / Minor or Minors, payable to either or survivor opener of the Account.
2. Title of Account is on the Minors Name (As per Form B) &word Minor be added to the Title of Account. 3. In the Account Opening Application, the particulars of the Guardian will be filled out in the column of Personal Information. 4. Attested copy of Computerized National Identity Card (CNIC) of the Guardian. 5. Attested photocopy of Form-B of Minor.
Illiterate / Photo/ Disable Persons Accounts
1. Attested photocopy of Computerized National Identity Cards (CNIC). 2. Two Attested Photographs. (One photograph shall be pasted on the Account Opening Form and other will be pasted on Specimen Signature Card. 3. Left thumb impression (Right thumb impression in case of female) on the account opening application & Specimen Signature Card (SSC)
Account opening
Client/Account Opening Process Steps
1. Customer comes into the branch and requests for opening an account. 2. Customer Services Officer (CSO): delivers the Account Opening Application along with the terms and Conditions (AT&C) and relevant documents to the customer. 3. Customer: receives the Account Opening Form (AOF) from CSO and submits duly completed AOF and relevant documents to the CSO. 4. CSO: checks that all the fields in the Account Opening Form have been duly filled, and the relevant account documentation required from the customer depending on the type of account are completed and attached.
Account Opening Form (AOF) Specimen Signature Card (SSC) Account Terms & Conditions acknowledgement Attested copy of CNIC Copy of employment or student Card & other verification documents as required on case-to-case basis.
Obtain customers signatures on the AOF and SS Card (in person). Moreover one signature card will be used to capture per signature of the client (In case of Joint Account Holders use additional signature card). Subsequently takes the form to the Relationship and Operations Manager for Verification and authorization. 5. Operations Manager/ Account Maintenance Officer (AMO): Verifies introducers signature from Branch Teller Module > Transactions > Non- Financial Transactions > Customer Signatory (Screen # BT44).
Sign-off and affix stamp on the Account Application. Forwards AOF & Client Profile Form to Relationship Manager. Relationship/ Branch Manager Interviews the customer. Completes and sign off Know Your Customer (KYC)/ Client Profile Form. Returns the same to the CSO for further processing.
6. Customer Services Officer (CSO):
Selects SYMBOLS Branch Teller Module > Transaction > Non-Financial Transaction > Client Definition (Screen # BT41) to create a client.
Insert Client Short Name. This is used as the default Title of Account whenever an account is opened. Input Client full Name. Pop-up box will appear on the screen: Input or select appropriate ID Type & insert CNIC number & press OK. (Box will close automatically) Insert Country Code, State, Country of Citizen, Country of Risk. In the next section of the same screen, insert Client Indicator as N Normal, S Staff and/or V VIP Account. Input address as written in Account Opening Application- SF-1AA. Select Account Executive & Client Type then press F-10 or click save icon available on Tool Bar.
System generates the client number and Pop-up box appear on the screen with the following message: SUCCESSFULLY OPENED 09 DIGIT CLIENT NO xxxxxxxxx
CSO notes down the client number on the account opening form. In case of joint account holders, separate client numbers will be given to each client.
Account Opening:
Uses SYMBOLS BT Module > Transaction > Non-Financial Transaction > Account Opening > select type of account Current or PLS (Screen # BT42) and for Term Deposit (Screen # BT422).
Input Account Type, insert Client Number and press enter.

Client information will be retrieved on the screen:
Service Charges: Service Charges TAB shows following two charges attached with the account. SVC- Service Charges Current SVP- Service Charges PLS ZAK- Zakat Service Charge Service Charges (SVC & SVP) are not link with the exempted accounts. (The above exemption would be applicable only on those accounts where account holders have provided relevant documentary evidence to the branch) Zakat Deduction service charge type (ZAK) is only attached with the accounts where Zakat Declaration Form is not submitted by the customer (Only for Muslims). Zakat deduction is not applicable on Non-Muslims. Select ZAK as Type, ZK as frequency & press enter Next Charge Date by default appears as for the next year. For example: If account opening date is 07th November, 2006 than Next Charge date should be 07th November, 2007. Note: ZK is the auto frequency type for Zakat Deduction. System generates the account number: CSO note down Client &/or Account Number on the Account Opening Application and Deposit slip. Provides the initial Cash Deposit slip to the customer. Forwards the Account Opening Form, relevant documents, cheque book requisition & ATM Request to the Branch Operations for further processing.
8. Customer: Deposit cash in the account & obtains the receipt from the teller and leaves the branch. 9. Operations Manager:
Admits customers signature, affix stamp & sign-off the Application/ SS Card. Account Maintenance Officer: Verifies customer data (inserted in BT by CSO) with the Account Opening Application & other relevant documents. STEP 1 AMO scans customers signature in the Branch Teller Module (BT) > Transactions > Non-Financial Transactions > Customer Signatory > (Screen # BT45) Input or Select Client Number, press enter customer Name will appear on the screen, Input Name of Signatory & Description System shows message at the bottom Scanning to SYMBOLS Pop-up box appears on the screen and shows message Loading image. Press Ok and then Click Save icon or press F10. Popup appear as Transaction completed: Records applied and saved. STEP 02 Select Branch Teller Module >> Transactions >> Non-Financial Transactions >> Account Signatory (Screen # BT 44). Enter Account number, press enter and save. Keep Specimen Signature Cards (SSC) in fire proof cabinets. Forwards Account Opening Application along with the relevant documents to the Centralized Operations (in a sealed envelope via courier) for insertion of Client information in Kernel Module (Financial Management), issuance & dispatch of Thank You Letter to the New Customer and introducers. Also enclose covering note which contains the total number of forms in the envelope. 10. Central Processing Division (CPD): performs the following functions: Selects Kernel Module > Static > Client Information > Client (Screen # FM144) and completes client opening screen # 144 in Kernel Module (Financial Management).
Dispatches Thank You Letter to the customer and introducer. After three working days, returns account opening application, relevant documents, copy of Thank You Letter, Account Details Report & Covering Letter to the branch for their record. Also enclose undelivered Thank You Letters, if there are any. 11. Operations Manager/ Account Maintenance Officer: Receives account opening applications from CPD counts the total number of forms and tallies the number mentioned on the covering letter. After verification branch forwards acknowledgement to CPD. Keep Account Opening Forms along with the relevant documents in the Fire Proof Cabinets or Vault for record. Keep Signature Cards in the Fire Proof Cabinets in a sequential order.
After this, Mr. Tehseen briefed me about the insurance plans and policies and also discussed the related critical issues about it.
INSURANCE
Insurance plan MCB has the alliance with the 5 companies which deals with the insurance. 1. ADAM (sister concern of MCB-owned by Mansha Group) 2. EFU (eastern federal union) 3. ALICO (American life insurance company) 4. JLI (Jubilee life insurance) 5. Islam /Pak Qatar family Takaful EFU, ALICO, JLI are the multinational companies. Islam/Qatar family insurance is rib bah free. SHARIAH board is monitoring its operations. Chairman of this board MUFTI TAQI USMANI assure the public that funding will be as per Islamic rules.
10 July, 2013--Mr. Haroon about the remaining things related to Accounts. I got briefing on classification of accounts and handling of these accounts. The detail explanation of it is described below:
CLASSIFICATION OF ACCOUNTS
Dormant Accounts
Checking accounts are classified as dormant accounts on the following conditions: Current accounts not operated for 12 months and Savings accounts not operated for one year shall be classified as dormant accounts according to the new circular of august 2013.. Half yearly profit shall continue to be applied as usual on Savings account only.
Inoperative Accounts
Current Accounts not operated for 2 years and Savings accounts not operated for 3 years shall be classified as Inoperative accounts Half yearly profit shall continue to be applied as usual.
Unclaimed Deposit Account

If a Current & Savings Accounts remains Inoperative for 08 & 07 years respectively will be classified as Unclaimed Deposit Account. In addition to this, Bank Drafts, Government Drafts, Payment Orders, Mail Transfers, Fixed/Term Deposits etc. remains outstanding for 10 years from the date of issuance will be classified as Unclaimed Accounts.
Banking Companies Ordinance 1962 under section 31 clearly defines that Banks are required to transfer the Unclaimed Deposits to State Bank of Pakistan (SBP) on the completion of a period of Ten (10) years without any delay. All unclaimed deposits including time deposit or any other kind of deposits or financial instrument (Pay in slips, Payment Orders, Demand Draft, TT, MTs or any other financial instruments) However, Deposits/Instruments recorded in the name of Minor or Government Department/Agency or Courts of Law are not transferred to SBP. No profit/interest is paid on deposits transferred to Unclaimed Accounts. Similarly, no service charges are deducted.
Notice to the Holder of Unclaimed Deposits/ Instruments

03 months prior to the completion of Unclaimed Deposits, branches are required to intimate the account holder in writing via mail on the customers address regarding the settlement of their deposits/instruments. If on the expiry of the three months period no acknowledgement or reply is received from the holder of unclaimed Deposit/Instrument, the entire funds should be transferred to SBP. Branches are required to maintain complete record of letters sent tithe holders of Unclaimed Deposits Branches are also required to send written intimation to the Government Institutions, Agencies, Court of Law and Minors (After acquiring the age of maturity) for the settlement of their deposits/instruments.
Reporting Of Unclaimed Deposits

Branch submits list of unclaimed deposits/ instruments separately for Pak Rupee and in Foreign Currency (FCY) on the Form XI (Annexure- I-05-B) within thirty days after the close of each calendar year.
Transfer of Unclaimed Accounts to State Bank of Pakistan

The amount of unclaimed PKR and FCY deposits/ instruments is transferred to SBP at the end of each calendar year along with a list of unclaimed deposits/instruments. In case of Frozen FCY deposits / Instruments of 1998, as and when become unclaimed, the Bank/DFIs will surrender the equivalent PAK RUPEES to State Bank
Retention of Documents
Preserve all signature cards and documents indicating the Signing Authority and other documents in the dual custody of Operations Manager and Designated Authorized Officer.
Refund Procedure
All claims lodged with the Branch about Unclaimed Balances transferred to State Bank of Pakistan (SBP), should be forwarded to State Bank of Pakistan through Principal Office and after getting Proceeds from State Bank of Pakistan same shall be paid to the Claimant.
While forwarding any claim for refund, branches are required to obtain the following documents:
Original application for refund long with verification of attested signature/thumb impression of the claimant by the Branch Operations Manager or Designated Authorized Officer with the name and stamp. Claimants address and contact number must be clearly mentioned in the application. Copy of Intimation Letter sent to the holder of unclaimed deposit/instrument. Attested copy of CNIC of the claimant. Certificate as per Annexure- I-05-C.
3.6 Account Closure

For the purpose of account closing a form has been constructed to aide this process. Whenever the client wants to close the account, the only responsibility of the bank is to collect the issued cheque book from the customer and to get the constructed application form of account closing completely filled. After that the payment of the entire amount in the account is paid to the client.
1. Customer: Presents duly completed account closure application to the CSO. 2. Customer Services Officer- CSO:
Receives account closure application Confirms Account balance from the Branch Teller Module Informs account balance and returns the same to the customer, in order to fill out the cheque of the complete amount (Account Balance)
Designated Authorized Officer Verifies customers signature on Account Closure Application.

3. Customer: Fills out the cheque of the total amount and presents the same to the Teller for encashment. 4. Teller: Verifies the customers signature & amount from the system Selects transaction type "CQWR" (Cheque withdrawal) from List of Values Debits the entire amount from the customers account. Enters the transaction details i.e. customer's account number, currency, amount of withdrawal and cheque number etc. (If transaction amount exceeds the Tellers limit, screen pop-ups Authorization required message. Chief Teller authorizes/approves the transaction). Note: In case of any Restraint on the account: Teller informs the customer to submit a written application to the CSO, in order to remove the restraint from the account. 5. CSO: Receives restraint removal application from the customer & forwards the same to the Relationship Manager for signature verification and deletion of restraint from the account in order to close customers account. 6. Account Maintenance Officer (AMO) verifies the details and removes restraint from the customers account. Forwards the application to the Teller in order to close the account. 7. Teller: After receiving the application from the AMO, inserts the transaction details in the system, it will generate the following entries: Branch Teller Module: DR: Customer Account CR: Cash in Vault Accounting Entry for Account Closure Charges: Dr: Cash In Vault/ Customers Account Cr: Miscellaneous Earning (A/c Closure)
Counts the cash and deliver the same to the customer. 8. Customer: Counts the cash and leaves the branch.
After that I was assisted to Madam Rushda (Clearing officer) and critically observed the clearing process.
11 July, 2011st Ramadan Holiday 12 July, 2013Prepared reports of Branch Operational Manager (BOM) daily, weekly, fortnightly, monthly, semiyearly, and yearly activities.
nd
In the 2
week, I learnt about the clearing (intercity, outward,) and maintain
the record of leave application of the employees, learnt about the Pay Order, Demand Draft, CDR, Lockers Payments ,Checkbook Issuance, checkbooks maintenance, ATM cards and checkbook entries ,request and issuance, Depositing, online transfer via EOC, BTS, Systems reports and check return handling, General ledger handling and posting, cash vault handling, ATM cash process, Keys rotation handling, learnt to fill all kind of forms that are illustrated above. 15 July, 2013I was assisted to mam Rushda (Clearing officer). She explained me about the clearing and illustrates the whole process of clearing and check return handling. The explanation is given below
CLEARING
Fund transfer between two banks and branches is called clearing There are two types of clearing Outward clearing Inward clearing OUTWARD CLEARING Outward clearing is to send the cheques to other branch
There are three types of outward clearing 1. Same day clearing 2. Normal clearing 3. Intercity clearing 1. SAME DAY CLEARING In same day clearing send the cheque in the morning and receive the payment in the evening, There are two conditions in the same day clearing Cheque will be 500000 or above Member of the same day 2. NORMAL CLEARING In normal clearing send the cheque today and receive the payment next day. No condition will impose in normal clearing like same day clearing. 3. INTERCITY CLEARING Clearing between two cities is called intercity clearing. In intercity clearing cheque will clear in two or three days. To understand the process of clearing we first need to understand and comprehend the workings and the purpose of the state banks institution called NIFT.
NIFT (NATIONAL INSTITUTIONAL OF FACILITATION TECHNOLOGY)

In the process of clearing NIFT plays a very important role. NIFT (national institutional facilitation technology) has a very vital role as it is the middle man in the purpose of clearing and issuances of cheque books to the customer on demand of the bank or branch. This institution has been formed by the State Bank of Pakistan and it performs the duties of receiving all the clearing cheques
from all the branches of all the banks and taking them to the state bank. At the SBP first the NIFT forms a list of all the cheques from all the banks and then forwards it to the SBP representative. That person categorizes all these cheques according to their respective banks and branches and forms another list of his own. Then these sorted cheques are again given to the NIFT ag5nt and he then takes them to the head offices of their respective banks and from there they are distributed to the respective branches also through NIFT. This way NIFT delivers all the cheques to their parent branch from which they have been issued. INWARD CLEARING In the morning time I am received the inward clearing from the NIFT employee and then I count the instruments which I received and match with the summery which is also attached with these instruments. Than give these instruments to the computer operator who posts these instruments, after posting all these instruments then he again give me the instruments and I enter all these instruments into the clearing sheet in his Debit side. MEMO ON CHEQUES RETURN Also prepare the Memo on (S.F 16) in which the details of objections are given that for purpose we return this instrument, and charge RS 200/- per instrument CALCULATE THE DIFFERENCE VOUCHERS OF CLEARING Difference voucher means the difference between the Out ward Clearing and In Ward Clearing. If the liabilities are outstanding on our side which means that our branch will pay this difference amount than I will prepare the H-O Credit Voucher and if the Liabilities are outstanding on their side which means that now we are receiving the difference amount so I will prepare the H-O Debit Voucher. If liabilities are outstanding on our side than made Credit voucher If liabilities are outstanding are on their side than made Debit Voucher
CALCULATE THE DIFFERENCE VOUCHERS OF CLEARING RETURN
I have also made the difference voucher of those cheques which are R.U.P means Return Unpaid. Means those cheques which our branch is returned and those cheques which other banks returned our cheques which we send for clearing and it had been rejected If liabilities are outstanding on our side than made Credit voucher If liabilities are outstanding are on their side than made Debit Voucher Then finally enter all these difference vouchers in to the clearing sheet and balancing with the computer. So this the complete process of Clearing.
OUTWARD CLEARING
When the account holder of our bank receives payment from any other party in the form of cheque, and that cheque is not of our bank or branch, and our account holder deposits it in his MCB account then that cheque has to pass from the process of outward clearing.
All the cheques deposited in one day of other banks are then again sent through the NIFT to the SBP which sends them to the head offices of their respective banks which through NIFT sends the instruments to the respective branches from which they were issued. This process of outward clearing is exactly opposite to the process of inward clearing which I explained in detail before. This process of outward clearing is also of three days. PROCEDURE OF OUT WARD CLEARING
First of all receive the instrument from different customers which they present on our branch.
Separate these instruments with in city clearing wise and intercity wise.
Giving the receiving slip to the customers. Write Down the detail of these entire instruments which I received from customer in to the Clearing Register. Paste the Cross Stamp and clearing stamp at the front of these instruments Face. Paste the Payees Account Credited stamp at the back of these instruments. Calculate the amount of all these instruments Prepare the delivery summery report Prepare the Clearing Bundle Cover Also prepare the Add List
After each and every thing is completed now put all these instruments into the NIFT bag and closed this bag with seal. Than the third copy of delivery summery along with deposit slips keeps in our custody, and then enter all these vouchers in to the clearing sheet in his Credit side so this is the complete procedure of out ward clearing.
INTERCITY CLEARING
There is the new concept of clearing which is named as intercity clearing. State Bank of Pakistan now revises his policies and introduces this concept, because before this action if any instrument which is belong to out of city, so in order to clear this instrument we sent this cheque through CC Cheque Collection. Under cheque collection procedure it took five to six days which time taking even though the CC procedure is not yet finished but minimum up to the certain extent. Now in most of the big cities intercity Clearing performing his job instead of CC, with the help of intercity clearing time duration is definitely minimum.
Facility of Inter City Clearing is now offer in these cities Karachi Lahore Mulatn Gujranwala Rawalpindi D.G Khan Hyderabad Islamabad Sialkot Bahawalpur Quetta Peshawar PROCEDURE OF INTERCITY CLEARING First of all receive the instrument from different customers which they present on our branch. Separate these instruments intercity clearing wise. Giving the receiving slip to the customers. Write Down the detail of these entire instruments which I received from customer in to the intercity Clearing Register. Paste the Cross Stamp, clearing stamp and intercity stamp at the front of these instruments face.
Paste the Payees Account Credited stamp at the back of these instruments. Calculate the amount of all these instruments Prepare the delivery summery report for each city Prepare the Clearing Bundle Cover for each city
After each and every thing is completed now put all these instruments city wise into the separate envelope of every city and all these envelopes put in to the NIFT bag and closed this bag with seal. Than the third copy of delivery summery along with deposit slips keeps in our custody city wise. But intercity payment procedure is different I cannot credit the particular account until or unless I am receive the NILL value voucher through NIFT, and also receive the summery from NIFT about all these instruments which I am sent separately into different cities. When I receive the NILL value voucher then enter these vouchers into the clearing sheet Dr H-O Cr A /C
Also charge the commission on inter-city clearing which is RS 200/- per instrument. And also made the commission voucher that is account Debit and Mise Earning is Credit Dr A /C Cr Mise Earning (General)
CHECK RETURN PROCEDURE when any check is returned from the bank or when the bank itself return the check to the other branch/bank then two slips are attached along with the check. The first slip indicates the reason of check return and second slip is check information return slip. 16 July, 2013on this day, Miss Rushda explained about the checkbooks, checkbook issuance and requisition, checkbook entries in the system and all related things to it. And while sitting with her I critically observed the whole process of clearing as well as of payments of remittance. The whole process is illustrated further below:
OVERVIEW OF CHEQUE
Cheque book is a safe custody instrument. Cheque is used for cash withdrawal and making payments. Cheque books are relatively sensitive items hence due care must be exercised while handling them.
Issuance of Cheque book for New Account Holders

MF-80R is used for cheque book issuance to the New Account Holders as well as the exiting customers (In absence of existing cheque book or cheque book requisition slip).
Issuance of Cheque book for Existing Customer

Prior to issuance of a new cheque-book, please ensure that the affair of the account is satisfactory in all respect (customer maintaining minimum balance requirement, account is not dormant /blocked/ inoperative, the relationship activity is within the prescribed norms of banking regulations & the customers signatures are verified as per the required practice). Cheque books should be issued to the account holder or his/her authorized representative at the Banks counter if DAO is fully satisfied. However, in exceptional cases the Operations Manager may allow issuance/ dispatch of cheque book to the customers through courier after completing all the relevant formalities.
Handling of Undelivered Cheque books

All processed cheque books that remain uncollected by the customers for six months from the date of issuance must be destroyed by the branches after the recovery of Cheque book issuance charges and Excise Duty (If any).
The cheque-book custodian (Designated Authorized Officer) records the details of all such cheque books in the Annexure 1- 09-A. Branch Manager would approve the list for destruction and sign-off. Custodian (Designated Authorized Officer) destroys the books/leaves in the presence of the Branch Manager and obtains his/her signature. Ensure proper notation on cheque-book issuance Report for the books destroyed.
Procedure for Issuance of Cheque books

1. Customer: Visits the branch and presents cheque book requisition slip. (Available in the existing cheque book) In case of new customers or lost requisition slip/Cheque book, customer fills out a cheque book Requisition slip 2. CSO: receives requisition slip from the customer. Confirms Account balance from the Branch Teller Module >. Also confirm the status of account (Active, Dormant, and Inoperative). In case of dormant or inoperative account, CSO request the customer to perform a financial transaction on the cash counter in order to activate the account & process cheque book issuance request. System does not permit the processor to submit the cheque book request by disabling the SUBMIT icon on the screen, if account has dormant or inoperative status. CSO Forwards cheque book requisition slip to Designated Authorized Officer to verify customers signature from the Branch Teller moduleBT 3. Designated Authorized Officer/ Account Maintenance Officer (AMO) Verifies customers signature through Branch Teller Module >
Input account number, press enter, account information & signature appears on the screen. Sign-off and affix stamp Signature Verified stamp on the requisition slip. Returns requisition slip to CSO for further processing. 4. Customer Services Officer (CSO- Input USER) Receives Requisition Slip. Log in to Cheque book Registration System (CBR). Input Account Number & click on submit icon. Next screen shows the customers account details. (At the bottom of the screen all the Cheque Book Request that are linked to the customers account are shown along with their status). Click to the option Proceed available on the above screen. Input Number of Leaves as requested by the customer. Click on submit icon, system saves the cheque book request with the New status. 5. Designated Authorized Officer/ Account Maintenance Officer (Approver) Approver inserts Login ID and password in the Cheque book Request System in order to approve the cheque book requests. Click on submit icon. Click on customers Name link, Cheque book Request Details will appear on the screen. Check details with the Requisition Slips and select Application Status as Accepted Click on SUBMIT ICON. Keep Cheque book Requisition Slips in the Fire Proof Cabinets under Dual Control. Approver ensures that all the above fields are properly
filled by the Input user and approve the Cheque Book Request accordingly. 6. Central Processing Division (CPD) Inserts USERID & Password and submit. Main Menu Bar screen appears, clicks on Print Cheque book Tab on the top Menu Bar. Screen will show the details and total number of request received from all the SYMBOLS Branches. Click on Print Icon & system gives following message The Cheque book Request has been set to Printed. Details of the Cheque book Request automatically upload in the text file. Forwards Text File to NIFT via e-mail. 7. NIFT: Forwards Text file to Printer for marking Magnetic Ink Character Recognition (MICR) & Account Details (Number & Title of Account) 8. Printer: Receives cheque book requisition slips from the NIFT for marking MICR codes. After one working day, delivers the same to the respective branches along with the covering schedule. Forwards the details (Via e-mail- Text file) of the printed cheque books to the CPD for verification and for uploading the cheque series in the CBR system Central Processing Division (CPD) Receives Text File from Printer and updates the cheque series in the system. After uploading the series in the system, Printed status automatically changed into Received.
9. Designated Authorized Officer Receives processed cheque books from Printer along with the covering schedule. Mark received on the cheque book covering Schedule (report) and sign off the same. Notes down cheque series on the Cheque book requisition slip on which customers signature is already verified. Note down the receipt date on the right corner of the cheque book. Attach requisition slips with the respective cheque books. Keeps the cheque books in the safe custody under dual control. (Strong Room or Fire Proof Cabinets). Designated Authorized Officer daily delivers the cheque book Box to CSO for onward delivery to the customers. 10. CSO (Customer Service Officer) Daily generates Cheque book Issuance Report and maintain in a box file. Match the total number of cheque books received in day with system generated report.
Collection of Cheque book by the Customer 1. Customer: Visits the branch to collect his/her cheque book. 2. Customer Services Officer - CSO: Retrieves the cheque book from the box. Detach requisition slip from the cheque book. Obtains Customers signature on the cheque book requisition slip & Issuance Report. Ensures that the signatures are duly verified. Delivers the cheque book to the customer. 3. Customer: Collects cheque book and leaves the branch. 4. Customer Services Officer (CSO) After obtaining the acknowledgement (Signature),
Attach Cheque book series with the account by using Branch TellerBT >> Transactions >> Non-Financial Transactions >> Cheque book Issuance (BT- 47) Input or Select Account Number, press enters. Input appropriate Size Type e.g. S Small System will show Number of Leaves. Input Start Cheque Number, system shows the End Cheque Number. Press F10 or Click on save icon available on the tool bar. System automatically debit customers account and credit Income Head (Miscellaneous Earning). Auto Account Entry: Dr: Customers Account (CBIC) Cr: Miscellaneous Earning- (Account No.) Cr: Stamp Duty (If any) CSO enters Login ID & Password in CBR system in order to change the Received Status to Delivered.
Click on View Request option available on Tool Bar, cheque book details report displays on screen, CSO click on Customers Name & verifies the cheque series and changes the status into Delivered After performing the above task, system shows the message The Application Status has been set to Delivered. Forwards all the requisition slips to the Designated Authorized Officer for the validation of Daily Cheque Issuance Listing Report for the day. At end of Day, returns all the undelivered cheque books to Designated Authorized Officer for stock balancing. 5. Designated Authorized Officer:
Generates Daily Cheque Issuance Listing Report from MCB Reports and verify the details from the entire requisition slip issued in a day. There is a report available in SYMBOLS that provides details of the entire cheque books issued to all the account holders in the branch since the account opening date.
REMITTANCES
This covers the services and products that Bank offers to its customers for Funds Transfer. Currently Bank is offering following Products & Services for Fund Transfer: (Locally & Internationally). Payment Order Demand Draft (Local & Foreign Currency) Telegraphic Transfer (Local & Foreign Currency) Mail Transfer (Local Currency) Note: But here now a day the time of online transfer so TT (Telegraphic Transfer ) and MT( Mail Transfer) not in practically use because people like online quick and safe transfer of amount even DD ( Demand Draft ) and PO ( Pay Order ) use for documentary prove
-----After that I was assisted to Mr. Shahid, Customer Banking Officer (CBO). He narrated me about the demand draft (DD), pay order (PO); call deposit receipt (CDR). And provide me opportunity to have some exposure regarding it. He explained me the system entries and the all related things. Then he explained the whole process of online transfers via EOC & Branch teller System (BTS), handling and management of vouchers, extraction of System reports and their verification, General ledger posting, ATM and Checkbook entries. And he related the handling of lost ATM cards and machine stuck cards. After that, he practically showed me and illustrate me lockers handling and the required information
about it in a well-organized manner. I elaborated all these processes further below:
Demand Draft
Features Demand Draft is a written order. Drawn by one branch of a Bank upon another branch of the same Bank, or upon other Bank to pay a certain sum of money to or to the order of a specified person. It is issued by one branch of a bank and payable by another branch of the same bank or another bank Demand Draft is a negotiable instrument. Demand Draft is neither issued payable to bearer nor drawn on branches situated within the same city. Legal provisions as to crossing, endorsement, collection and payment in due course are similar to those as for cheques and other negotiable instruments. It is to be ensured that the purchaser of Demand Draft is able to at least sign his name. Thumb impression is not to be accepted on Funds Transfer Application except in cases where purchaser is maintaining an account with the issuing branch. A person unable to sign and not having an account may be advised to apply for the DD through a literate person to sign on his behalf. Parties involved in the Demand Draft 1. Purchaser: Is the person, firm, company or local authority. 2. Issuing or Drawing Branch: The Branch which issues a Draft on another Branch. 3. Drawee Branch: Is the Branch on which a draft is drawn.
4. Payee / Beneficiary
ACCOUNTING ENTRY FOR DD ISSUANCE DEBIT PARTY ACCOUNT CREDIT HO (specific branch of MCB on which DD issued) Accounting entry for DD Payable Branch DEBIT HO (Specific branch by which DD issued) CREDIT DD PAYABLE
Once the DD present to the branch then the following entry will pass
DEBIT
DD PAYABLE PARTY ACCOUT CREDIT
CREDIT
Payment of Demand Draft via Cash When Demand Draft is presented at the counter of a Drawee branch for cash payment, identification of a payee is required. If a payee is the customer of a branch, his signature can be verified from the specimen signatures on the record.
A Crossed DD cannot be paid in cash, except to a banker who collects the same for credit to his customers account. As such, a crossed DD cannot be presented by the Payee for Cash payment at the counter. Payment of Demand Draft in Transfer/ Clearing Payment of Demand Drafts can also be made in Transfer/ Clearing. A complete procedure for collection / payment has been explained in the section of Cash and Counter Services (Inward Clearing Revalidation of Demand Draft Since DD is payable within six months from the date of its issue, therefore, an instrument being older than six months requires revalidation before payment. Following procedure will be used: The signature on such letter should be duly verified. DD should be presented to the Issuing branch. Particulars of the DD should be compared with those given in the RSBS or Branch Teller Module. o A rubber stamp reading Revalidated on -------- should be affixed on the DD under signature of two authorized officers of the branch with IBS or AS Numbers.
PAYMENT ORDER
Payment Order is used for making payments within a city. Literal definition of Payment Order is as follows: A Pay Order is a written authorization for payment, made in a cheque form issued and payable by the bank, to the person named and addressed therein on his giving a proper discharge thereon.
FEATURES It is issued by and drawn upon and payable by the same branch of the bank
It is neither transferable nor negotiable and as such it is payable to the payee named therein It is in a receipt from and therefore is payable only after obtaining a discharge of the payee on adequate revenue stamp Pay Order cannot be issued to a minor Pay Order meant for banks own payment but in practice these are also issued to customers for making payment. Pay Order is issued for payments within the same city
CHARACTERISTICS OF THE PAYMENT ORDER It is issued by and drawn upon and payable by the same branch of the Bank. It is neither transferable nor negotiable and as such it is payable to the payee named therein. PARTIES INVOLVED IN THE PAY ORDER PURCHASER: Purchaser is a person, firm, company, Government/Semi Government Organization or local authority. ISSUING/PAYING BRANCH: These issues/pays on presentation of the instrument. PAYEE: Payee is the person named on a bill to whom, or to whose order, payment is to be made. Where a bill is not payable to bearer, the payee must be named or otherwise indicated therein with reasonable certainly. ACCOUNTING ENTRIES FOR P.O ISSUANCE DEBIT: PARTY OR CASH CREDIT: PAY ORDER ISSUANCE ACCOUNTING ENTRY WHEN PAY DEBIT: PAY ORDER CREDIT: PARTY
TERM DEPOSIT RECEIPT

Term Deposit Receipt is basically used for the saving purpose, and it is also use for transfer purpose, which means amount moves from one account to another account, in term deposit receipt specific time period is mentioned and during this particular period no one can withdraw this amount from his account, so when we talk about some specific time period it may be three months, six months three years etc. basically it depends open on customer according to his desire I made this Term deposit receipt. Term Deposit Receipt is basically a profit oriented instrument, because customer deposits his money for specific period of time and on behalf of this bank will pay some percentage of profit which depends upon the amount of deposit higher the deposit higher will be the percentage of profit. Basically TDR is profit oriented instrument so thats why zakat is als o applicable on it, no commission is charged on this term deposit receipt.
5.8.3.1 PROCEDURE OF ISSUANCE OF TERM DEPOSIT RECEIPT First of all receive the request letter from customer on (S.F 265) Also receive the cheque which is transfer from cheque to TDR. The client can also made his TDR by depositing cash but his account must be opened in our branch which is necessary because TDR payment is made only through account no counter payment is made on behalf of this TDR. Fills the TDR block and write down the complete information on it. Date of issued TDR Received from On Account of Amount in wards and Amount in Figures Than send this TDR for signature one from the Accountant and one from the Manager.
Taking all this information in to the TDR register that is TDR Serial number 58/15 Customer name Account number Issued date Expiry of this TDR Deposit Receipt which is TDR block Number
RENEWAL OF TERM DEPOSIT RECEIPT When the customer fills the S.F 265 which is TDR application form, in this form one option is given and the option is ROLLOVER THE SAME TENURE If the customer tick this option while filling this form than automatically the renewal of TDR is happened no need for any customer request, which means that customer is agree with rules and regulation, and if the customer is not tick this option than he again gives us the request letter on which he wants to extend this time period of TDR, for this purpose he will also come to the branch with original TDR and change the date which is mentioned on this TDR. PAYMENT PROCEDURE OF TERM DEPOSIT RECEIPT The payment procedure of TDR is only made through account no counter payment is made for this Term Deposit Receipt. Customer transfers this TDR at the expiry of this TDR in to his own account and then present a cheque and mention the required amount which he wants to withdraw. DEDUCTION OF ZAKAT THEREON Because TDR is profit oriented instrument so thats why zakat is applicable on it, now the percentage of zakat which is deducted from the whole amount which is available in his account is 2.5%. So this is the simple rule of Zakat deduction
VOUCHER IN SHEET OF TDR Dr Cheque TO CR Term Deposit Receipt (General)
CALL DEPOSIT RECEIPT

CDR is just like a hard cash, basically CDR is used for transfer purpose means amount transfer from one account to another account, CDR is used for Bidding purpose or some time government introduces different housing scheme and here he mentioned that you must submit the CDR instead if net cash, but in now a days when the government of Pakistan impose .2% withholding tax of the amount which is withdrawal over RS.25000/- in a day
ISSUANCE OF CALL DEPOSIT RECEIPT Receive the request letter from customer and also receive the cheque and verify this cheque weather this postdated, stale cheque or not and also check the sign verification of this customer which is mentioned on this cheque and compare with signature card which is scanned in computer. Than send this cheque for posting here and see that is it enough amount in his account which he written down on this cheque, if yes than further processing.
Fills the CDR block and write down the following information on it
Issue date of this CDR In favor of On account of Amount in wards Amount in figures
CDR serial number i.e. 58/07 Than take the signature, account number his contact number at the back side of the copy which we kept as record Paste stamps on this cheque that is Branch crossing stamp Transfer stamp on this cheque CHARGES OF CDR Bank charge Rupees 50/- per CDR ENTER THESE VOUCHERS INTO TRANSFER SHEET Debit Cheque Credit CDR Also made commission voucher, and this commission is deducted from his account the customer may this commission charger through cash or I can charge from his account Debit Account Credit Earning (General) MAINTENANCE OF RECORDS OF CDR For the purpose of maintenance of CDR record I used the CDR register. This register uses to write down the following things Date of Deposit Deposit number i.e. 58/10 Deposit Receipt i.e. 770012 Depositor name Account number Due Date (At Call) At Call means that the bank will provide the same amount to the customer who made this CDR at any time.
PAYMENT PROCEDURE OF CALL DEPOSIT RECEIPT

The customer whose name, account number is mentioned on this CDR he is only person who can take this amount through his account not in counter payment. Basically CDR is mostly used for transfer purpose thats why his payment is made only through account.
DIFFERENCE BETWEEN CDR AND TDR:

CDR Non-interest bearing instrument Demand at Call No Zakat is deducted Use for Transfer Purpose Charges on CDR VS TDR Interest bearing instrument Demand after the specific period Zakat is deducted Use for saving Purpose No Charges on TDR
Lockers
Basically it is a facility which is provided by the bank to its customers in order to secure their money gold important property documents etc. before this locker concept people are very much worried about the loss of their money, gold and important documents so now the people are very much relax because now they use this facility quite frequently. ISSUANCE OF LICENSE It is not an easy task to get the license of opening the locker facility in the branch for every bank, for this purpose the bank should get permission from State Bank of Pakistan who is the bankers bank; without his permission nobody can provide this facility to the customers. The branch who wants to get license he must sent a written request letter to State Bank than the state bank officer visit this branch
and see that is there enough place to provide the license of lockers to this branch or not? If they are satisfy they charge the license fee from this branch. TYPES OF LOCKERS Small Size Rs.224 Medium Size Rs.352 Large Rs.560 INSURANCE OF LOCKERS Bank will also pay the insurance on behalf of this lockers so in case of any bank misshape then the insurance company will accept the certain claim but it depends open the size of the lockers Small Size Locker Claim up to RS 500,000/Medium Size Locker Claim up to RS 10, 00,000/Large Size Locker Claim up to RS 15, 00,000/(Rent RS 1400 per Annum) 16% FED (Key Security Rs.2000) (Rent RS 2200 per Annum) 16% FED (Key Security Rs.2000) (Rent RS 30,000) (Key Security Rs.2500) 16% FED
RENEWAL / EXPIRY OF LOCKERS Usually the time period of this facility is one year, at the end of the time period the bank will ask to the client that weather he will continue this facility or not if the customer says yes then he will pay the charges again in order to use this facility which is provided by the bank. PROCEDURE OF USE OF LOCKERS One key is given to the customer and the other key is handed over to any bank person who is the authorized person, and the locker is opened with both keys. The authorized person who keeps keys He/She note following things Customer name Signatures of customers
Time of lockers operating Account number Leaving time Customers can use this locker during the banking hour that is 9: Am to 5: PM. 17 July, 2013Today, I was assisted to Mr. Feroze Ali, Branch Operational Manager (BOM). I updated the employee leave files, filled leave application forms. Learnt cash vault handling. Got briefing on Keys rotation and updated all the record of keys rotation, learnt ATM cash handling and many other managerial tactics under BOM supervision. 18 July, 2013 Today, I seated with Miss Mehjabeen (CSO) and learnt call back customer (CBC) process for check verifications and for others things, learnt to fill different slips and forms. Filling of various forms and slips includes Account opening form, Investment and insurance form, Profile changing form, Automated teller machine (ATM) dispute form, demand draft( DD) form, Pay Order( PO) form, Call deposit receipt (CDR) / TDR form, Debit/Credit card requisition form, Checkbook requisition slips, Account statement requisition form, Deposit slips, Credit card payment slips. 19 July, 2013I paid my services as a CSO under Miss Mehjabeen supervision and got a lot of exposure regarding it. In the 3rd week, I just did a critical observation of the entire department and assisted them in doing their work. 22 July, 2013 Today, I was seated with BOM, learnt many petty things. Interacted with their valued customers and made contacts, learnt how to tackle clients elegantly. And also got briefing on managerial issues. 23 July, 2013 I was accommodated with Mr. Shahid. And critically observe the whole business processes and systems. 24 July, 2013 done meeting with Miss Shumaila Gul Ch. (BM) and discussed in detail MCB business processes and its strategies. We also talked about MCB Management and its responsibilities.
25 July, 2013 Critically observed IT implementation in the branch, and discussed issues with BOM. 26 July, 2013 Performed various tasks observed the business processes profoundly.
th
In 4
week, In the fourth week I did auditing rectifications. And resolve all the
issues about the cash, clearing, accounts, depositing, credit cards, and Visa debit cards (VDC). And got a good performance appraisal letter from BOM on audit rectification. In 5
th
week, I removed the discrepancies of various files. And did meeting with
BM and BOM and learn many managerial tactics and skills. And also update the record of rotation of keys. 5 August, 2013I was remained accommodated with BOM, Updated the record of key rotation. 6 August, 2013 Today, I have really brilliant meeting with BOM and BM. I learnt many excellent business things from them. 7 August, 2013 8 August, 2013 9 August, 2013 EID HOLIDAYS
In my 6th week, I got the briefing on ADVANCES/Credit, LC, Bank Guarantee, and learnt about the investment and leasing and of cash department. And after EID due to absence of their employees I got an opportunity to handle the Clearing and Payment seat completely with other petty issues checkbook issuance and check return handling etc. And In my spare time I used to pay my services as a CSO, and assisted to BOM for different activities. I learnt a lot under BOM supervision. I learnt the tactics to handle the stressful situations, and. learnt customer relationship management.
13 August, 2013 I, completely, handled the clearing & remittance seat in a well manner. I did all the things by myself independently. It was a really good exposure for me. 14 August, 2013 Independence Day Holiday 15 August, 2013I handled the clearing & payment seat because of the absence of the employees. 16 August, 2013 I was accommodated with Mr. Usman Shreef. He briefed me in detail about the credit and advances. L learnt how to prepare the cases of the clients. The details are given below:
CREDIT/ ADVANCES
It is another major department of the branch. Bank provides this facility to the people who need advance money to meet their requirements. For getting the advances, the first step is the preparation of credit proposal. Some principles of lending are considered whenever financing being is made. These principles are: Character Capacity Collateral Capital Condition REQUIRED INFORMATION An assessment of his business abilities Accurate & up-to-date financial statements Market reports about the borrower Party dealing with other banks Nature and structure of borrower business Names of proprietors, partners or Directors Detail of companies associated with borrower business Financial condition of borrower business
PREPARATION OF CREDIT PROPOSAL At first, a formal application for credit approval is obtained from the party along with complete group position. The parties credibility report is also obtained from the banks from which the party has been doing the business. The party creditability report is also taken from the head office of Trade information Division. For obtaining credit, party has to submit the last two years Balance Sheet and Profit & Loss Statement duly attested but authorized auditors. If the party also involve in export or import business then the bank also consider the data of three years about imports and exports. The Current and Debt equity ratio is also calculated by the bank. Then recommendations are made the type of data required to prepare the credit proposal is to be gathered from different departments. Some data is obtained from the foreign exchange department. Some data is obtained from current account department and some data is available in Advance Department. The purpose for which the financing is required should be explained very clearly. The securities offered by the party to the bank are also evaluated. In case of pledging of the property in shape of land or building the complete evaluation of the property should also be attached. After all the requirements and necessary documents for applying for advances is fulfilled by the party then, the case is sent to the Chief Manager for approval. If the manager fined any discrepancies, he may write on these documents. If the credit limit is in his range, he may approve the party for credit. If the amount is exceeding the Chief Manager send the case is forward to the Circle Office for approval and here the same procedure is repeated and if the credit amount is in the range of GM, he can approve and if the credit amount is very large from Circle Office, the case is then sent to Head Office and if it is a real big then is to be decided by Board of Director. MCB provides advances which are two types. These are two types of advances: Secured Advances Unsecured Advances
In secured advances, the bank takes any security against the loans while in case of unsecured advance no security is taken by the bank. MCB divided the advances in to two major types: Fund Based Non Fund Based In the fond base advances, the funds of MCB is involved and in Non-Fund based only guarantee is given by the bank.
FUND BASE ADVANCE MCB have following Fund base facilities of advance in its corporate branches. The details of these types would be later. These are as follows: Demand Finance (DF) Cash Finance (CF) Running Finance (RF) DEMAND FINANCE This is a type of secured loan and demand loan never allowed without security. It is a type of long term financing. MCB also gives loan under the head of demand finance to individuals, industrial units commercial business etc. CASH FINANCE In this, the borrower gives a specific reason for the need of cash. MCB gives the facility of cash credit to business. The amount is passed through voucher and credit to the party account. Normally 0.60 paisa per thousand is charged on daily basis to customer. RUNNING FINANCE These finances as evident by the name are given to the business to meet their daily needs. The mark up is charged on daily balances. This type of advances is given to trade, commerce and manufacturing for general purpose. Normally 0.60 paisa per thousand is charged is charged on daily basis. It is drawn through Cheque.
LETTER OF CREDIT A letter of credit is a written instrument issued by a bank authorizing the seller to draw in accordance with certain terms and stipulating legal forms, that all such bills will be honored. HOW A LETTER OF CREDIT IS OPENED? Application for a letter of credit Line of credit Opening of the letter of credit Handling of the documents Payment by the importer to the bank Liability of the issuing bank APPLICATION FOR A LETTER OF CREDIT An importer prepares an application on the prescribed form available from the bank. The information which are supplied in the application are based on the contract of sale and include only the importer feature of contract such as the value of the merchandise, port of shipment, port of unloading, expiry date of the papers and brief description of the goods. If the bank is satisfied with the applications, it will signed and acceptance agreement with the importer. LETTER OF CREDIT Before issuing a letter of credit, bank takes all necessary precautions for securing its credit. The bank first examines the customers credit standing, the type of goods to be imported, the market demand for the goods, the collateral offered to cover the credit. Then it establishes the amount i.e. the line of credit. OPENING OF LETTER OF CREDIT The letter of credit can be opened by mail or by cable. When it is opened by mail, the issuing bank sends letter of credit and to carbon copies to the importer. The importer then dispatches the letter of credit to the exporter in foreign country by mail. One carbon copy is kept for the record. The second carbon copy after signing is sent to the
bank by the importer. If an importer directs the bank to open letter of credit by cable, the importers bank sends a cable to the corresponding bank in the foreign country with a request to notify the exporter. HANDLING OF THE DOCUMENTS When the exporter receives a letter of credit, he presents the required documents and the draft to the bank in his own country after shipping of documents. If the bank is satisfied with the documents in the importing country and pays the exporter at official rate in the currency of his own country. PAYMENT BY IMPORTER TO THE BANK When a bank approves the application of a customer for opening letter of credit, it does not lend money to the importer. The bank only lends the importer to use the credit standing of the bank to the exporter in the foreign country. The bank makes a contract with the importer that when the draft if send by the negotiating bank for payment the importer will make the payment to the bank not later than the day only the bank is to honor the obligation. In case of a sight letter of credit the payment to the corresponding bank is to be made on the day the draft and documents are received. When the time of letter of credit is used the importer is to arrange the payment not later than the day on which the draft is to mature. OPENING OF LETTER OF CREDIT IN MCB Before opening of L/C certain requirements are necessary that are The applicant must has import registration number He must has account in that bank He must pledges his security against the L/C amount
19 August, 2013 Studied the credit cases of clients and discussed different issues regarding it. The requirement documents are attached in the Annexure. 20 August, 2013 I got briefing from Mr. Ahmed on Investment and its different policies.
INVESTMENT
MCB also provides the facility to its customer to invest their money in MCB different investment schemes and earn profit from them. investment and insurance employees are contractual at MCB branch. These employees work for the various branches of MCB. There is one home branch, some are shadow and sleeping branches. Home branch is the one which gives them targets. In shadow branches they visits but not regularly. And in sleeping branches they just visit when that branch require. Investment plans can be seen in annexure.
SELF-EXPERIENCE
Regularity Punctuality Auditing Audit Rectification Clearing(inward, outward, intercity) Keys Rotation Handling Account Opening Account Closing Account activation Stop Payment Interaction with people & professionals Issuance of Cheque Book Checkbook record handling Visa debit card Marketing Remittances Payment Symbols system
Facing stress environment managerial skills
Overall, it was a good experience. I didnt feel social isolation. Staff was really good and cooperative. Supervisor helped me a lot and provided me great opportunities to learn various things. It was a very nice experience of working at MCB PIA society branch.
Chapter # 3
SUMMARY AND RECOMMENDATION
Overall Summary
MCB is a valuable and well reputed organization in our country. MCB has a greater volume than other banks. I have just completed my internship from the said organization my internship program started as on July 09, 2013 and ended on August 20, 2013. I have achieved a lot of opportunities to enhance my knowledge and to polish my skills by attaining my work task as assigned to me during the internship period. During my internship / training I have worked in different departments and taken much more practical experience as well as I applied my academic knowledge on my practical works and enjoyed very well. During the period, I have done work in different departments with my entire consideration and taken understanding about the work. Knowledge about the following works in the departments has been attained during the period some of my experiences has been explained are as mentioned here under: DEPARTMENTS IN WHICH WORK HAS BEEN DONE
Account opening department Transfer department Clearing and collection department Advances department. Remittance Customer service department Insurance department Investment department Auditing
BRIEF SUMMARY OF MY WORK

In the 1st week of my internship I learnt about the products and services of MCB, got briefing on account and account opening procedure, Insurance plans, prepare reports of BOM daily ,weekly , fortnightly, monthly ,yearly activities. In the 2nd week, I learnt about the clearing (intercity, outward,) and maintain the record of leave application of the employees, learnt about the Pay Order, Demand Draft, CDR, Lockers Payments ,Checkbook Issuance, checkbooks maintenance, ATM cards and checkbook entries ,request and issuance, Depositing, online transfer via EOC, BTS, Systems reports and check return handling, General ledger handling and posting, cash vault handling, ATM cash process, Keys rotation handling, learnt to fill all kind of forms that are illustrated above. In the 3rd week, I just did a critical observation of the entire department and assisted them in doing their work. In 4th week, I did auditing rectification. And resolve all the issues about the cash and clearing. And got a good performance appraisal letter from BOM on audit rectification. In 5th week, I removed the discrepancies of various files. And did meeting with BM and BOM and learn many managerial tactics and skills. And also update the record of rotation of keys. In my 6th week, I got the briefing on ADVANCES/Credit, LC, Bank Guarantee, and learnt about the investment and leasing and of cash department. And after EID due to absence of their employees I got an opportunity to handle the Clearing and Payment seat completely with other petty issues checkbook issuance and check return handling etc. And In my spare time I used to pay my services as a CSO, and assisted to BOM for different activities. I learnt a lot under BOM supervision. I learnt the tactics to handle the stressful situations, and. learnt customer relationship management.
Recommendations for BBIT hons degree program

While working at MCB I strongly felt that my bbit(hons) degree is a good blend of all business, management, Marketing, finance, and of IT subjects. But I felt there should be Islamic economics subject in the roadmap of BBIT hons degree program and make it mandatory for all the students so that we can understand the economics in the color of Islamic rules. A practical project of every subject should be assign to students rather than the term assignments. In this way we can easily cope with gap of practical and theoretical knowledge.
RECOMMENDATIONS FOR MCB BNAK LIMITED:

After doing a deep study and witnessing everything that goes on in a branch, I would then like to make the recommendations that; First of all, the management needs to overlook the major problems that the organization is currently facing and then develop strategies to eradicate them. Some of the suggestions that I would like to give at the end are: HUMAN RESOURCE ISSUES
Recruitments should be strictly on merit basis and induction should be after

proper and extensive training. Most of the bank employees, are sticking to one seat only with the result that they become master of one particular job and lose their grip on other banking operation. In my opinion all the employees should have regular job experience all out-look towards banking. The promotion policy should be adjusted. Refresher Courses for the staff are most important in any international organization. Alt the employees should have these courses according to their requirement. Foreign experts can also be called for this purpose.
Bank should give some more incentive to its employees in order to remove the conflict between lower and higher officers and should try to improve the working condition of the bank. Such system should be designed that every employee who has some problems with his officers can communicate it to the higher management and some steps must be taken to improve that. Improvement should be made in the salary package of the employees as it is comparatively less when compared to the other operating banks in Pakistan Behavioral and professional training Last suggestion is that there is proper education and training of the staff of the organization and also the work on the behavior of the staff. If there is proper training and behavior it is good of the organization and this step hold the customer for long period of time MANAGEMENT AND STRATEGIC ISSUES
The higher authorities should form team-based management rather than

centralized management. It would result in improvement in uplifting the morale of the employees. Foreign branches should be opened in order to capture the international market and to earn international repute for the bank. Working environment, equipment, furniture and staff dressing should be according to the modern banking style. Proper attention should be paid to upgrade customer services. Attention should be given to improve the network of branches as well ATM network New and improved technologies should be used in order to get 24 hours connectivity MARKETING ISSUES:
PROMOTION AND MASS MEDIA PUBLICITY MCB Bank can improve its Marketing strategies to acquire more promotion and mass media publicity by the use of effective channels of promotions like TV, Newspaper Advertisements. It can also improve its magazine publication that it releases each month. BETTER REWARD SYSTEM Better reward system is one of the most important requirements in order to reduce the problem of Employee retention and improve Employee motivation. CONTINUOUS TRAINING OF EMPLOYEES There is lack of proper and continuous training of employees that needs to be solved. Creation of enhanced performance appraisal system. Proper use of stationary. Implementation of enhanced Marketing system. INFORMATION TECHNOLOGY ISSUES make the SYMBOL system more efficient and make sure its connectivity all the time in order to provides more convenience to customers. There should be centralized online system to minimize the duration of different processes. There should be an online account opening system to avoid the extra struggle of scanning each form and maintenance of the record of each form. And to avoid exhaustive searches in case of some dispute. CC should be automated. The branch should have some rights to call directly to the customer for their checks clearing. Virtual banking should be very easy for the customer. There should be a user friendly interface for it. And as currently it is dependent to Internet Explorer 8. It should be independent to search engine.
Quematic machine should be used to provide the facility to customer and to avoid messy conditions in the branch. SYMBOLS System Security Loophole While working at symbols system, I keenly observed that it requires the supervision on the transactions which exceeds the limit of 50,000/-. On 50, 000 to 250,000 ranged transactions requires the supervision by the Supervisor but if amount exceeds from this limit it also requires the supervision of Operational Manger as well as of supervisor And if amount exceeds from the limit of 50,00,000/- it also demands the supervision of Branch manager. But that system doesnt enforce it. If the transaction of 100,000,000/- and supervisor enters his supervision then system will allow that transaction although the BOM and BM didnt supervise it. It shouldnt be like that. System should enforce the supervision of all these three authorities to ensure secure transactions. Next Internship in the Organization It was really a good experience at MCB PIA Society. Banks played the vital role in country economics. So knowledge of banks business processes is vital for every business student. So I suggest to all my juniors to do their internship at MCB.
ACCOUNT OPENING FORM OF MCB
KYC (know your customer) FORM
SPECIMEN SIGNATURE CARD (SS CARD)
MOTHERS INDEMNITY FORM
To The manager MCB Bank Ltd LHR.
Mothers name indemnity

Further to the account opening request submitted by me to MCB Bank Ltd __________ branch, I hereby disclose & confirm that my mothers name is ______________________ I further undertake to abide by all the rules & regulations for maintenance of account at the bank and to provide any/ all information and documentary support in evidence thereof in respect of my/ my businesss identity/ verification, if required by the bank now or at any later stage. Also I wish to certify that the information/ undertaking provided above is true in all respects and I shall be fully responsible for any/ all consequences in case any information provided by me to the bank prove to be false at any later stage in which case the bank shall be fully entitled to close the depository relationship without any prior intimation to me.
Signed by applicant Mr/ Mrs._____________________________ CNIC No._______________________
LETTER OF THANKS
12-09- 2013
NAME-----------------------------------
ADDRESS
ACCOUNT# Subject: Thank you for opening an account with us.

Thank you for choosing MCB BANK LTD .We value the trust and confidence you have pleased in us and offer you a host of financial services, privileges and benefits. It has always been our endeavor to ensure a rewarding experience by providing Superior Services. MCB accounts provide the convenience of banking on the internet and enjoy 24 hrs easy accesses to your accounts through the largest ATM Network located in all major cities of Pakistan. We offer you a wide range of banking products and are committed to provide our valued customers the best in financial services.
YOU ARE REQUESTED TO BRING THIS LETTER AFTER ONE WEEK OF ACCOUNT OPENING IN ORDER TO COLLECT YOUR ATM CARD AND/OR CHEQUE BOOK.
Sincerely
Manager Customer Services

This is computer generated letter and does not require a signature.
CHANGE OF ADDRESS FORM
MCB Bank Limited, PIA Housing Society, Lahore

Ph. No. 5180970,35955853
The Manager MCB BANK LTD Lahore DATE:-___________
Subject:- REQUEST FOR CHANGE IN CUSTOMER PROFILE (ADDRESS/CONTACT NOs.) Dear Sir, I, ___________________________ S/O,D/O,W/O ______________________________ having CNIC number ___________________ maintaining CD/PLS/KB account number ____________ in your Branch. I want to change my mailing /home address / contact number as given below:-
New Mailing Address __________________________________________________________________________________
E-MAIIL: CELL No. TEL No: (HOME) TEL No (OFF)_________________________________________________________

REASON FOR CHANGE OF ADDRESS/PHONE NUMBER
I solemnly declared that the said address/phone number is correct and changed on my request without any responsibility on the Bank and any of its officials. Customer Name __________________________
Customer Signature ___________________________
FOR BANK USE ONLY
Signature Verified By Supervisor/BOM
Authorized By BM
Updated By BOM
*Copy of CNIC should be obtained and verified/confirmed from original CNIC. *Copy of utility bill should be obtained in case of address amendment and different from CNIC. *Request should be submitted by the account holder himself/herself which must be verified/confirmed from CNIC.
MCB CALL CENTER FORM
MCB Visa card-Application Form
DIFFERNCE IN SIGNATURE FROM CNIC FORM
ATM DISPUTE FORM
ATM DELETION FORM

TO MCB BANK LIMITED PIA HOUSING SOCIETY BRANCH (1522) LAHORE.
DATED:
ATM DELETION REQUEST

Sir, I am running my Personal / Company Account #-------------------------------------------In your branch. My ATM SMART CARD having problem, I want to delete my ATM CARD.NO-----------------------------------------.
I WILL BE VERY THANKFUL TO YOU
BEST REGARDS
Name _______________________________________________
Signature ____________________________________________
DEPOSIT SLIP
CREDIT CARD CASH PAYMENT SLIP
ACCOUNT ACTIVATION APPLICATION
Checkbook issuance leaf
DD/PO Form
CDR Form
CREDIT SLIP
DEPOSIT SLIP
CHECK RETURN MEMO
CLEARING VOUCHER COVER
TRANSFER VOUCHERS COVER
CASH VOUCHER COVER
A SNAPSHOT OF SERVICE CHARGES OF MCB PRODUCTS AND SERVICES
Documents of files that we maintain the keep the complete record of our customer
ADAM jee life insurance plan of 10 years
Insurance Proposal Form
MCB Investment form
Investment KYC (know your customer) FORM 130 Internship Report on MCB Submitted By: Azka Sumbel
Glossary
MCB ATM FED WHT TDR CDR PBA BBA PLS TD AOF AMO KYC SSC GBO ICO CSO DD PO FTA CPD NIFT TDR RTC IBC OBC MO HO Muslim Commercial Bank Automatic Teller Machine Federal Excise Duty with Holding Tax Term Deposit Receipts Call Deposit Receipts Personal Banking Advisor Basic Banking Account Profit and Loss A/C Term Deposit Account opening Foam Account maintenance officer Know your customers Specimen Signature card General banking officer Internal control officer Customer service officer Demand Draft Pay Order Fund Transfer Application Central Processing Division National Institute of Facilitation Technology Term Deposit Receipt Rupee Travel Cheque Inward Bills for Collection Outward Bills for Collections Main Office Head Office
REFERENCES
Introduction: http://mcb.com.pk/mcb/about_mcb.asp
Organization Information http://mcb.com.pk/mcb/mission_vision.asp Corporate information: http://mcb.com.pk/mcb/corporate_information.as Internship Activities: PBO (Mr. Syed ASAD) BOM (Mr. Feoze Ali Khan) Supervisor (Mr. Usman MAhmood) Credit (Mr. Usman Shreef) CSO (Miss Mahjabeen) Remittance (Miss Rushda)

Internship Report On MCB (PIA Society Branch) 2013 by Azka Sumbel, IBIT

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Internship Report On MCB (PIA Society Branch) 2013 by Azka Sumbel, IBIT

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INTERNSHIP REPORT ON MCB BANK limited.

PIA Society, Wapda Town, Lahore

AZKA SUMBEL F10BA106 SESSION 2010-2014

Institute of Business & Information Technology

Punjab University, Lahore

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CHAPTER 1 Overview of Organization

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HISTORY OF BANKING IN PAKISTAN

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INFORMATION ABOUT MY BRANCH

MANAGEMENT OF THE BRANCH

Total Summary of MCB PIA branch

Internship Report on MCB Submitted By: Azka Sumbel

Expense: Liability: Assets:

37,730,556.24 -39,561,912.78 89,041,362.38

-900,797,172.36 34,213,377.47 -900,797,172.36 34,213,377.47 -6,309,187.26

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PRODUCT AND SERVICES

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Acceptance of deposits Financing Deposits

Current deposits Saving deposits

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Notice time deposits Fixed term deposits

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OFFICES OR FIELD OFFICES

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CHAPTER # 2 INTERNSHIP ACTIVITIES

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BASIC BANKING ACCOUNT

Features The account is opened with a minimum initial deposit of Rs.1000.

BBA is a Rupee Current Account (non-remunerative account).

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5.1.2 Smart Dollar Account

Eligibility Individuals (Single & Joint), Firms, Companies.

Foreign currency Account

5.1.5 SMART SAVINGS ACCOUNT

PLS SAVINGS 365

withdrawals and deposits transactions.

PLS SAVINGS 365-Gold

6% 6.5 7% 7.5% 8% 8.25%

Individuals and institutions can open the account.

Product is available in the following tenors:

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Existing Account Holders (Individuals, Firms and Companies)

SMART FOREIGN CURRENCY FIXED DEPOSITS

Account Opening Documentation Requirement

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Joint Stock Companies

Signed by applicant Mr/ Mrs._______ CNIC No._