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Sylhet International University

Customer Services & Measurement of Customer Satisfaction of
Uttara Bank Ltd : Moulvibazar Branch
Uttara Bank Limited
Submitted to:
Rezaul Kobir
Sylhet ntermanational University! Sylhet "
Submitted by:
Shuaib Ahmed
ID NO-18044
Letter of Submittal
$ayma Maks%ood
Sylhet ntermanational University! Sylhet "
Sylhet .
Subject: Submission of Internship Report
Dear Sir,
It gives me enormous pleasure to submit the internship report on Customer Services
& Measurement of Customer Satisfaction of Uttara Bank Ltd :
Moulvibazar Branch
as per instruction. I expect this report to be informative as well as comprehensive.
While conducting the report, I have gathered lots of knowledge about banking system and
many unknown facts, problems and prospects of foreign exchange activities of ercantile
!ank "imited. #his internship program and preparation of report has given me the
opportunity to ac$uaint myself with this reputed bank. I believe that the experience I ac$uired
from this study will facilitate me a lot in my future career life.
It has also to be mentioned that without your expert advice and cooperation it would not have
been possible to complete this report. I shall be pleased to answer any sort of $uery you may
have regarding this report.
Shuaib &hmed
#he report titled as Sim'lifyin( Customer Services & Measurement of
Customer Satisfaction of Mercantile Bank ltd : Moulvibazar Branch of
ercantile !ank limited' has been prepared to fulfill the re$uirements of !!& degree. I am
very much fortunate that I have received sincere guidance, supervision and co(operation from
various respected people while preparing this report. Many 'eo'le of hel'ed me to
're'are this re'ort" )irst of all! %ould like to thank my academic
su'ervisor the nternshi' *ro(ram $ayma Maks%ood, Lecturer of Sylhet
nternational University for giving me the opportunity to prepare this report. She also
provided me some important advices and guidance for preparing this report. Without her
assistance, this report would not be a comprehensive one. #hen I would profusely like to
express my gratitude to all the people from ercantile !ank "imited of oulviba)ar !ranch
and *ead +ffice who have always been kind enough to answer my $ueries despite their
extremely demanding work. #hey are r. d ,olam oula, -irst .ice /resident 0 *ead of
!ranch and r.&lomoy 1oy, S2+ 0 anager +peration of oulviba)ar !ranch. I
acknowledge my indebtedness to 1.D 1ai))u)aman 3howdhury, S2+ 0 3redit In
charge, for their constant guidance and valuable suggestion from time to time.
-inally, I would like to thank the authors of the books that I4ve taken help from, which had
made my understanding clearer during the making of this report.
2xecutive Summary
Mercantile Bank Limited is a scheduled commercial bank in Ban(ladesh"
Mercantile Bank is 'rovidin( various services to its customers and they
are tryin( to im'rove every time" ,he service 'roviders of Mercantile bank
are the 'eo'le %ho are related to the develo'ment of bank and customer
reliability" -s an intern (ot the chance to attach at Mercantile bank
moulvibazar branch for #& %eeks" ,he internshi' is a %ay to relate
'ractical kno%led(e %ith the theoretical kno%led(e" Based on the
observation and .uestion ans%er session %ith the Branch Service
/0cers " found some uni.ue and common comments on customer
service" Bank has some stron( 'oints! some %eak 'oints and some
o''ortunity alon( %ith threats in their customer service" /r(anization can
take ste's to (et the better out'ut from em'loyees by (ivin( trainin(s
and by increasin( the motivation level of em'loyee1s ",o make the stron(
'oints sustainable and to develo' the %eak 'oints Mercantile Bank
em'loyee satisfaction level need to im'rove alon( %ith better customer
'acka(es" Moreover accordin( to the chan(in( economical condition
Mercantile bank have to chan(e the strate(y as %ell" Because the
customer de'ends on the service sellin( and they need to di2erentiate
their 'acka(es to arran(e better customer e3'erience" ,he level of
satisfaction amon( the customers and em'loyees can (o u' by the
dedicated ste's of or(anization and its necessary"
Cha'ter /ne
Overview the study
#"#" ntroduction""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""5
#"&" /b6ective of the 'ro6ect""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""7
#"+" Sco'e of the Re'ort""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""7
#"4" Methodolo(y of the study""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""7
#"8" Source of information"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""#9
#": Limitation"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""##
Cha'ter t%o
Review on Banking and Banks & Literature Review and organization profile
&"#" /r(anization /vervie%"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""#+
&"&" My -ctivity""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""#4
&"+" Critical /bservations Re(ardin( My Res'onsibilities """""""""""""""""""#4
&"4" ;istory """""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""#4<#8
&"8" Mission"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""#:
&":" =ision """""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""#:
&">" /b6ectives """""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""#>
&"5" Core =alues """""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""#>
&"7" /'erational net%ork or(an (ram"""""""""""""""""""""""""""""""""""""""""""""""""#5
&"#9" Mercantile Bank?s )unctional @e'artments""""""""""""""""""""""""""""""""#7
&"##" Cor'orate nformation """"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""&9

Cha'ter three
Customer Service & Product in MBL
+"#" Ae look for%ard to consolidate our 'osition focusin( on the follo%in(s
+"&" Business Bthics of MBL """"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""&&<&+
+"+" Customer Service & *roduct in MBL """"""""""""""""""""""""""""""""""""""""""""&+<&4
+"4 Ceneral Bankin( """"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""&4
+"4"9" Ceneral Bankin( in MBL""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""&8
+"4"#" /ut%ard Bills for Collections D/BCE """"""""""""""""""""""""""""""""""""""""""&:
+"4"&" n %ard Bills for Collections DBCE """""""""""""""""""""""""""""""""""""""""""""&:
+"4"+" Card Services""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""&>
+"4"4" Re'ort on Cor'orate Social Res'onsibility: """""""""""""""""""""""""""""""&5<&7
+"4"8" @ouble beneFt @e'osit Scheme""""""""""""""""""""""""""""""""""""""""""""""""+#
+"4": Mashik Sanchaya *rokal'a DMSKE /r Monthly savin(s scheme DMSSE
+"4">" )amily Maintenance @e'osit Scheme""""""""""""""""""""""""""""""""""""""""++
+"4"5 -dvance beneFt de'osit scheme D-B@SE /r -(rim Munaa -manat
D-M-*E """"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""++"
+"8"9 Loan & -dvance *roducts: """""""""""""""""""""""""""""""""""""""""""""""""""""""+4
+"8"# Consumers Credit Scheme""""""""""""""""""""""""""""""""""""""""""""""""""""""""+4
+"8"& ;ouse furnishin( Loan"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""+8
+"8"+ Car Loan scheme"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""+8
+"8"4 ,ar(et Customer"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""+:
+"8"8 ,erms and Conditions"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""+:
+":"9 Bducation Loan" """""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""+:
+":"# GualiFcation"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""+:
+":"& Loan limit """"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""+5
+":"+ B3'enses considered for loan """""""""""""""""""""""""""""""""""""""""""""""""""+:
+":"4 @octors loan scheme""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""+>
+":"8 ,erms and Conditions " """"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""+>
+":": Cotta(e Loan Scheme"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""+>
+":"> ,ar(et Customer""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""+>
+":"5 ,erms and conditions"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""+5
+":"7 -ny 'ur'ose loan""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""+5
+":"#9 ,erms and conditions" """"""""""""""""""""""""""""""""""""""""""""""""""""""""""""+5
+":"## ;ome loan scheme" """""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""+5
+":"#& ,ar(et Customer"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""+7
+":"#+ ,erms and conditions """"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""+7
+":"#4 @ocuments are re.uired for every loan""""""""""""""""""""""""""""""""""""+7
+":"#8 SMB Bankin(""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""+7<4#
+":"#: U'comin( SMB Loan """"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""4&
Cha'ter four
Analysis ased on t!e "uestionnaire
4"9 Guestions and ans%ers """"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""44<8#
4"# )eatures of Mercantile Bank Ltd"""""""""""""""""""""""""""""""""""""""""""""""""""8&
4"& SA/, analysis of MBL"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""8&
4"&"# Stren(ths """""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""8&
4"&"& Aeaknesses"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""8+<84
4"&"+ /''ortunities"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""84
4"& "4 ,hreats""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""88
Cha'ter )ive
#indings Recommendation & Conclusion
8"# )indin(s of the study"""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""8>
8"& Recommendation """""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""85
8"+ Conclusion""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""""87
Chapter one
$verview of t!e study

&chievement of high economic growth is the basic principles of present economic policy. In
achieving the ob5ectives, the banking sector plays an important role. #he banking sectors
channel resources through deposit mobili)ation and providing credit for different business
venture. #he successful running of a bank business depends upon how effectively the credit
management recovered the funds. ercantile !ank "imited as new commercial banks in
!angladesh responsibility best upon it to ensure efficient and effective banking operation in a
sound manner.
ercantile !ank "imited is always ready to maintain the highest $uality services by
upgrading !anking technology prudence in manage and applying high standard of business
ethics through its established commitment and heritage. +b5ectives of a private institution
like !" are to maximi)e profit through optimum utili)ation of resources by providing best
customer4s services.
ercantile !ank "td. is committed to provide high $uality services to its constituents through
different financial products and profitable utili)ation of fund and contribute to the growth of
,D/ of the country by financing trade and commerce, helping industriali)ation, boosting
export, creating employment opportunities for the educated youth and encouraging micro(
credit leading to poverty alleviation and improving the $uality of life of the people and
thereby contributing to the overall socio(economic development of the country.
With a view to achieving the aforesaid ob5ectives of the bank, S2 "oan is of paramount
importance as the greatest share of the total revenue of the bank is generated from it. #he
success of a bank, therefore, depends on how efficiently and 5udiciously it makes use of its
available resources. In other words, prudent and efficient management of its credit portfolio is
very essential for the success of a bank.
#he accepted standards relate to safety, li$uidity and profitability of the advance whereas the
dynamic factors relates to aspects such as the nature and extent of risk, interest or margin,
S2 loan spread and S2 loan dispersal. In all business dealings, officers and employees
must be guided by the principles of honesty, integrity and safe(guard the interest of the
depositors and shareholders of the bank. #hey should strictly adhere to the !anking "aws,
1ules and 1egulations of the ,ovt. of !angladesh 6 the instructions and guidelines issued by
the !angladesh !ank 6 *ead +ffice from time to time which affect the business practices of
the !ank. *owever, the key to safe, li$uid, healthy and profitable credit operations lies in the
$uality of 5udgment used by the 2xecutive4s 6 +fficers making lending decisions and their
knowledge of the borrower and the market place.
In formulating a S2 loan 5udgment and making $uality in S2 "oan, the lending officer
must be e$uipped with all information needed to evaluate a borrower4s character,
1.2 Objective of the project
#o have a clear understanding of the business operation of ercantile !ank "imited.
#o discuss the services offered by ercantile !ank "imited.
#o assess and evaluate the growth trends of ercantile !ank "imited.
#o evaluate the profitability of ercantile !ank "imited.
#o have exposure to the credit operation and other function of ercantile !ank
.1.3 Scope of the report
#he commercial bank was ercantile !ank "imited has 78 branches all over the !angladesh.
!ut my survey was conducted only in oulviba)ar !ranch and I have the opportunity to
work in that branch only. I got the opportunity to learn different part of banking system. #he
supervisor divided the whole banking system in five parts, as a result I got the opportunity to
work in all the five divisions 9&ccount opening, -oreign remittance,3redit Division, 3ash
3ounter 0 obile banking:. y main concern was to identify the customer satisfaction
level of overall general banking.
1.4 etho!olo"# of the stu!#
-lthou(h there %ere so many limitations! it %as tried to use both the
'rimary and secondary sources of collectin( information to make the
re'ort 'resentable %ith as less abstraction as 'ossible
1.$ Sources of Information
%rimar# !ata
/rimary data is always collected from the respondent. -or this pro5ect personal Intervie&
&ith the customer has been conducted. When it became impossible to conduct face to face
interview I collected the primary data by using the Telephone Interview and also face to face.
Secon!ar# !ata
Data that were published before for some other reason can be collected using internal and
external sources.
i' Internal Secon!ar# !ata: #o furnish the report properly some papers has been
collected from the officials of ercantile !ank "imited. Information from annual
reports, 5ournals, newspapers and other published documents have been used.
!esides other published information about the organi)ation, depth interview of the
branch manager and Sub( manager have also taken. #he information mainly about
33S was taken from the authori)ed officer who deals with this scheme.
ii' ()ternal Secon!ar# *ata: -or better interpretation some data has been
collected from &nnual report of !". Internet !rowsing is also one source of
external Secondary data.
In the age of modern technology websites is one of the main sources for ant kind of study. It
can give huge data on relevant topic in a 5iffy. I am also using different website and last but
not the least, the website of !" for appropriate data.
1., Limitation
%& Lack of compre!ension' #he respondents was the ma5or problem that created many
confusions regarding verification of conceptual $uestion.
(& Limitation of time' #he most important factors that shortened the present study. Due
to time limitation many aspects could not discussed in the present study.
)& Confidentiality of data' &nother important barrier that was faced during the conduct
of this study. 2very organi)ation has their own secrecy that in not revealed to others.
While collecting data on ercantile !ank "imited, personnel did not disclose enough
information for the sake of confidentiality of the organi)ation.
*& Rus! !ours and usiness' &nother reason that acts as an obstacle while gathering
+& Personal knowledge' It another one. Since knowledge knows know bound, so this
report is incapable to present all things with more depth
3hapter #wo
Review on Banking
and Banks &
Literature Review
2.1 Or"ani-ation Overvie&
ercantile !ank "imited emerged as a new commercial bank to provide efficient banking
services with a view to improving the socio(economic development of the country. #he
philosophy of ercantile !ank "td is not to ;carry coal to the new castle<. #he main target is
to make credits available to the poor people and their activities are aimed at comprehensive
growth where people from all economic strata will en5oy the benefits of better living
standard, dignity of labor and self worth.
#he !ank determined to build a long(term customer relationship with its corporate 0 general
clients. &s a part of this, ercantile !ank ltd. is trying to expand their business with the
market leaders of each sector of business. ercantile !ank ltd. emphasi)es not only on
customer satisfaction but also emphasi)es general banking and credit management system. So
that customer can get better service from every side of overall banking.
ercantile !ank "td is always ready to maintain the highest $uality services by upgrading
!anking technology, well management system and applying high standard of business ethics
through its established commitment and heritage and is representing itself with true concept
as ;.an"lar .an/0.
2.2 # 1ctivit#:
I started my 5ourney in the bank from the very beginning part this profession. I had
opportunity to gain experience working over on different departments of ercantile !ank
"imited. I was
engaged on several tasks on respective departments such as( -ront desk, accounts department,
foreign exchange department, and cash department.
I started my work from the main and important section of the bank. -irst I have worked in the
front desk. In this desk the main work is to open the different type of accounts. #he other
important work is to provide new che$ue to the customers. #he customers can get the
signature card, solvency certificate, day start and day end che$ue book list, account transfer,
account close, entry of inward mail and outward mail and pay slip issue.
#here are a different desk in where I have learned how to issue the demand draft, pay order
and transfer by telephone. !ut now(a =days the telephone transfer is not used most of the
time. #he other important thing is to understand the code of the different type of account
opening form and the rate of interest that is provided to the customers. In the front desk I
have a chance to deal with customers. So I think it is not very to keep the mind peace all the
time. !ut I also get to know how to behave with the customer properly. !ecause the bank
will earn the maximum benefit from this section.
I have an opportunity to work in the clearing section of the general banking division. In this
section I have received the che$ue of the mercantile bank and other banks of our country. #he
customers who want to pay this che$ue to the other customers.
#hen I also work in the cash department in where I 5ust get to know after taking the money from
the customer how to keep them in a proper way. &lso after closing the cash I have to count the
cash and after keeping certain amount, send the rest of the amount to the head office.
#he another most important work is to count the voucher everyday and match with the
supplementary. It has to do daily basis and doing clean cash. #his work is under the accounts
department. I also maintain the transfer vouchers.
"astly I worked very few days in the S2 section. In this department, I have learnt that how to
processing the loan, identification of problems regarding S2 loan, types of loan and in which
sector the bank allocate the loans.

2.3 2ritical Observations Re"ar!in" # Responsibilities:
While making this report, I observed some activities of ercantile !ank "imited. *ere I
would like to mention all the positive and negative things. "ike>
? !" plays a great role in placing right person to the right place.
? #hey are very active in performing their duties and responsibilities.
? #hey coordinate with different departments effectively and ensure proper
synchroni)ation of different departments.
? It is very difficult for them to coordinate with different departments because they have
to do some works that are not related to their duties. It hampers their routine works.
? !" is not properly e$uipped with logistics and other modern facilities. &s a result,
they re$uire much time to do any complicated tasks and to communicate with other
areas of the organi)ation.
? !"4s website is not up to date@ they need to be updated regularly.
? !" should arrange new and effective training programs for developing their
? !" should moderni)e the storage of records to work more effectively
2.4 3istor#:
ercantile !ank "imited was incorporated in !angladesh as a public limited company under
the !ank 3ompany &ct, ABBA, on ay CD, ABBB. &fter obtaining license from !angladesh
!ank to carry on banking business, the bank commenced its operation on Eune C, ABBB with
an authori)ed capital of #k 7DD million divided into 7 million ordinary shares of #k ADD each.
+n FA December CDDA, its paid up capital was #k GB8.G million.
ercantile !ank "imited went for public issue of shares on +ctober CA, CDDF. ercantile
!ank "imited has been incorporated on ay CDth, ABBB in Dhaka, !angladesh as a public
limited company with the permission of the !angladesh !ank@ !" commenced formal
commercial banking operation from the Eune DC, ABBB. #he bank stood GD branches all over
the country up to CDDB.
#here are FD sponsors involved in creating ercantile !ank "imited@ the sponsors of the
bank have a long heritage of trade, commerce and industry. #hey are highly regarded for their
competence. #he sponsors happen to be members of different professional groups among
whom are also renowned banking professionals having vast rang of banking knowledge.
#here are also members who are associated with other financial institutions insurance
3ompanies, leasing companies etc.
#he bank provides a broad range of financial services to its customers and corporate clients.
#he !oard of Directors consists of eminent personalities from the realm of commerce and
industries of the country.
#he !ank is manned and managed by $ualified and efficient professionals. r.D.
2S*&HI" *+JI2 is holding charge of anaging Director upon expiry of term of
Mr"M",aheruddin as Mana(in( @irector " Mr" Lutfar Rahman Sarker! the
former Covernor of the central bank of Ban(ladesh %as the Chief -dvisor
of the bank" ;e brin(s %ith him a %ealth of e3'erience of mana(in( both
'ublic and 'rivate sector banks"
2.$ ission:
Will become most caring, focused for e$uitable growth based on diversified deployment of
resources, and nevertheless would remain healthy and gainfully profitable !ank'
2., 4ision:
Would make finest corporate citi)en'

2.5 Objectives
3ustomer satisfaction is influenced by specific product or service features ,perceptions of
product and services $uality, and price....
%ro!uct an! service features
3ustomer satisfaction with a product or services is influenced significantly by the
customers evaluation of product or services features .In conducting satisfaction studies
!" will determine through some means what the important features and attributes are for
their services and then measure perceptions of those features as well as overall services
2onsumer (motions
customers emotions can also affect their perceptions of satisfaction with products and
services .Specific emotions may also be induced by the consumption experience itself ,
influencing a consumers satisfaction with the services.
1ttributions for service success or failure
&ttributions the perceived cause of events influence perceptions of satisfaction as well. when
they have been surprised by an outcome consumers tend to look for the reasons, and their
assessments of the reasons can influence their satisfaction.
%erceptions of (6uit# or 7airness
3ustomer satisfaction is also influenced by perceptions of e$uity and fairness. Hations of
fairness are central to customers perceptions of satisfaction with products and services
particularly in services recovery situations.
2.8 2ore 4alues:
#or t!e customer
/roviding with caring services by being innovative in the development of new banking
product and services
#or t!e s!are!older
aximi)ing wealth of the bank
#or t!e employer
1especting worth and dignity of individual employees devoting their energies for the
progress of the bank
#or t!e community
Strengthening the corporate values and taking environment and social risks and reward
into account.
2.9 Operational net&or/ or"an "ram:
2.1: ercantile .an/0s 7unctional *epartments
#he ercantile !ank "imited has the following departments, which includes the whole
operations of the bank. #he departments are listed below with their ma5or section in the
following table.
*epartments in ercantile .an/ Limite! ajor Sections *epartment ;ame
,eneral !anking Department
3redit Department
-oreign 2xchange Department
2orporate Office
*uman 1esources Department
International Division
I# 9Information #echnology:
3ard Division
2.11 2orporate Information
3(1* O77I2(
8A, Dilkus5ha 3ommercial &rea
-ax> K77(C(BG8ACAF
Swift> !"!!DD*
2(mail> mbl<
Website: &&&.mblb!.com
Chapter Three
3.1 +e loo/ for&ar! to consoli!ate our position focusin"
on the follo&in"s:
ore emphasis on S2 financing.
&chievement of agriculture credit target.
&ll out efforts to improve deposits mix by procuring low cost and no cost deposits.
Innovation of need based deposits and loans products and services.
Incorporate technology based advanced products and solutions.
#o hire and retain $ualified human resources according to need of the !ank.
#o continue and increase 3S1 activities.
#o remain compliant in the sprit of law and industry practice.
3.2 .usiness (thics of .L
!" believes that business ethics practices provides a foundation for the stability and
sustainable growth of the bank, and supports the bank<s efforts in achieving its stipulated
goals. #he bank therefore encourages all parties to conduct business and perform their duties
in accordance with business ethics practices.
#he bank conducts its business in accordance with the law and regulations set by the
central bank and other regulatory authorities. #he bank does not finance in any
pro5ect, detrimental to the community or country and thus prohibited by the credit
policy of the bank.
#he bank complies with various standards which are generally acceptable for
conducting the banking business and always refrain from doing aggressive business
while extending credit facilities.
In conducting business, the bank adheres to !angladesh !ank4s instructions while
setting interest rates of deposits and loans. It also keeps our interest spread 9difference
between interest rate charged on loans and interest rate paid on deposits: at or below
GM as advised by !angladesh !ank.
#he bank offers $uality services to its customers with the principles of warm
friendship and mutual support. #he bank applies only those charges6 fees that are
disclosed by the schedule of charges of the bank.
#he bank keeps and safeguards the information of its customers in confidential and
not discloses such confidential information to others unless with the consent of the
customers or as re$uired by the law.
3.3 2ustomer Service > %ro!uct in .L
?.L believes that@ customers are the /e# factor behin! achievin" to!a#0s stron"
position in the .an/in" In!ustr#. Ahat is &h#@ .L never leaves an# stone unturne! to
satisf# its e)istin" an! potential customers throu"h superior customer services
!" believes that customer service excellence is central to sustainable, long(term business
success. We have to be consistent in that view, because we have to recogni)e that an authentic
difference that puts our people and customers first is good for them and good for business.
+ur continuous strive for complete customer satisfaction helped the !ank to attain the
remarkable growth rate in many lines of business. #he !ank always remained very
competitive in offering services to the customers and redesigned its products to meet
customers need. !" each year has been increasing its branch and &# network to provide
banking services to mass people. Humber of correspondent relationships is augmented and
agreements with foreign exchange remittance companies are being signed to facilitate the
non(resident !angladeshi to remit their hard(earned money to the doorsteps of the beneficiary
easily and $uickly. +ur customer group ranges from individuals, big corporate clients, H,+s,
S2 and 1etail. Individed attention has been paid to our customers to provide them prompt
and need based service. We always listen to our customers and offer products and services
that respond to their changing needs. Improved access to financial services for all sections of
the community is important for our business, our customers and our communities.
3.4 Beneral .an/in":
It is the most important side for a bank. !ank is nothing but a middleman between lenders
9surplus sector: and borrowers 9deficit sector:. #o provide loan, bank needs a huge amount of
money from the lenders. ,eneral !anking is the side where bank offers different options to
the clients to deposit 9save: and remit their money. #o invite the clients, bank offers different
options in front to their clients. ost of these options are very much similar between the
banks, but the customer services and facilities may not be the same.
3.4.: Beneral .an/in" in .L
A. &ccount +pening.
C. 3learing.
F. 1emittance.
1. Account $pening' Isually a person needs to open an account with the bank to take
services from it. Without opening an account, one can get a few services from the
bank. So we can say that banking begins with the opening of an account with a bank.
,enerally, there are three types of accounts in !">
a: 3urrent Deposit &ccount 93D &ccount:
b: Savings !ank &ccount 9S! &ccount:
c: -ixed Deposit &ccount

a: Current ,eposit Account' 3urrent account is purely a demand deposit account
because the bankers are bound to pay the amount to the account holder on demand at any
time. It is a running and active account which may be operated upon any number of times
during a working day. #here is no restriction to the number and the amount of withdrawals
from a current account.
b) Savings Bank Account' #his is an account for a student, an employee, a widow
and an organi)ation that is not working for profit. It pays interest to the client and
the service charge of this account is less than the 3D account.
a! #i-ed ,eposit Account' -ixed amount of money from the customers for a fixed
period of time with interest under the term plan time to time. +ne can open -ixed
Deposit &ccount for A month 9ADM interest rate:, F months 9ACM interest rate:, 8
months 9ACM interest rate: and A year 9AC.GDM interest rate:. It is also called #erm
2. Clearing' #he procedure by which an organi)ation acts as an intermediary and
assumes the role of a buyer and seller for transactions in order to reconcile orders
between transacting parties that is clearing. & client of !" receives a che$ue of
another bank, which is located within the clearing range, deposit the che$ue in the
account at !". How !" will not pay the money until the che$ue is honored
3.4.1 Out&ar! .ills for 2ollections CO.2'
3ustomers deposit che$ue, draft etc for collection, attaching with their deposit sleep.
Instrument within the range of clearing are collected through local clearing house, but the
other which are outside the clearing range are collected +!3 mechanism.
& customer of !" principal branch "ocal +ffice Dhaka is depositing a che$ue of Sonali
!ank. How as a collecting bank !" principal branch will perform the following task>
1eceived seal on deposit slip.
!" "ocal +ffice /rincipal !ranch crossing indicating them as collecting banks.
2ndorsement given /ayees &63 will be credited on reali)ation'.
2ntry on register, from where a controlling number is given.
3ollecting bank can collect it either by its branch of by the drawers bank. #hey will forward
the bill then to that particular branch. +!3 number will be given on the forwarding letter.
How following procedures will take place in case of the following two cases.
.ills 2ollecte! Ahrou"h .ranch:
If the bill is forward to a branch they will collect it through I!3 procedure. 3ollecting branch
will receive an I.!.3.& from that particular agent branch according treatment from the angle
of collecting branch will be.
*+N &63 concerned branch Dr
3ustomer &63 3r
Income &63 commission@ postage 3r
In this case commission will be charged by the collecting branch, not the agent branch.
.ills 2ollecte! Ahrou"h *ra&er0s .an/:
&ccounting treatment for the collecting branch will be
a. 3learingOOOOOOODr
b. 3ustomers &63OOOOOOOO.3r
3.4.2 In&ar! .ills for 2ollection CI.2'
In this case bank will work as an agent of the collection bank. #he branch receives a
forwarding letter and the bills. Hext steps are>
2ntry in the I.!.3 register, I.!.3 number given.
2ndorsement given(our branch endorsement confirmed'.
#he instrument is sent to clearing for collectionOOOOO..Dr.
iscellaneous 3reditor &63 +!3OOOOOOOOO3r.
3. Remittance: 1emittance refers to sending of money that is the process of sending
money from one place to another place called remittance. !anks remit funds one place
to another through the network of their branches. #he main instrument for remittance of
funds in drafts, mail transfer, telephone transfer and traveler4s che$ues.
*eman! *raft C**': & bank draft is an unconditional order issued by one branch of a
bank on its branch to pay a certain sum of money to the named person or order of
Aele"raphic Aransfer CAA': #elegraphic or #2"2P transfer means fund6money
transfer from one branch to another branch not in same area. Sometimes the remitter of
the funds re$uires the money to be payee immediately. In that case the banker as
re$uested by him to remit the funds telegraphically. #he bank passes #.# by a secret
code, which input by the ,! in(charge 0 branch manager.AL
%a#ment Or!er C%DO': /ay order gives the payee the right to claim payment from the
issuing bank. It can be enchased from issuing bank only. Inlike che$ue, there is no
possibility of dishonoring pay order because before issuing pay order, bank takes out
the money of the pay order in advance. /ay order cannot or crossed and it is not a
negotiable instrument.
3.4.3 2ar! Services:
.L 2ar!s: !" 3ardholder can en5oy the following benefits and much more.
1. 2re!it 2ar! CLocalDInternationalD*ual'
2. *ebit 2ar!.
3. %re=%ai! 2ar!
1. 2re!it 2ar!:
Local: -or domestic use only.
International: It can used internationally to withdraw cash from &#.
*ual: Single card with double benefits. Ho hassle to carry two cards 9local 0
international:. & single credit card can be used both locally and internationally to
withdraw cash from &# and for /+S transaction.
2. *ebit 2ar!:
.IS& debit card is mainly tagged with deposit account 93D6S!6SHD: that is automatically
debited from the &63 having available balance. Debit card also be used for purchasing goods,
services, payments of utility bills etc as well as withdrawal of cash from &#.
3. %re=%ai! 2ar!:
#hose who have no account with !" may avail pre(paid card facilities. /re(paid card
may be e$ually used at home and abroad. #he pre(paid cardholders pay first buy later. /re(
paid card offers the convenience and security of electronic payment in situations where one
might otherwise use cash, such as a birthday gift or a monthly allowance for a young adult.
2xamples include gift cards and salary payment
2ash 1!vance 7ee:
.L car! to .L 1A: Ho fee
.L car! to other E=cash 1A: #k. AD per transaction.
.L car! to other 1A: CM of transaction amount or #k. ACG whichever is higher.
7or International car!: ISD F or CM transaction amount whichever is higher.
Particulars 2008 2

009 2010 2011 2012

3.4.4 Report on 2orporate Social Responsibilit#:
!" believes that 3orporate Social 1esponsibility 93S1: is integral and inseparable
part of the long(term business and sustainable growth and success, which plays an
important role in promoting values both locally and internationally. #he !ank
integrates all social, environmental and socioeconomically issues in the time of its
decision making. In line with its slogan( Q!anglar !ankQ !" is fully committed to
conduct its banking business in an economically, environmentally and socially
sustainable manner. 3ontribution in 3S1 programs is always supported and
encouraged by the !oard of Directors of the !ank. #he anagement reports to the
!oard on 3S1 activities and is responsible to implement a specific line of approving
authority, control and monitoring for financial support to such activities.
!" sets its .ision Statement(QWould make finest corporate citi)enQ and ission
Statement(QWill become most caring, focused for e$uitable growth based on
diversified deployment of resources, and nevertheless would remain healthy and
gainfully profitable !ankQ, which in fact focuses on the peoples< interests and the
!ank<s profitability as well. In line with !ank<s .ision and ission Statement, 3S1
activities have been fully integrated into the business functioning, which ultimately
acting as a catalyst to build up an ever(lasting warm relationship with all the
stakeholders and society people. #he !ank does 3S1 activities, besides its own fund,
through ercantile !ank -oundation, which acts as a helping hand to the distressed
people of the country. In the table below, sector(wise spending of the !ank for 3S1
purpose in CDAD has been furnished>
Sectors C.*A in illions'
2ducation R.AB
*ealth AF.AG
Disaster anagement AA.7R
Sports R.77
&rt 0 3ulture AL.LC
+thers AA.LD
#otal 8G.BA
3.4.$ *ouble .enefit *eposit Scheme
Inder this scheme, one can deposit a certain amount of money for a period of seven and half
year. &fter R A6C years, the deposit amount will be doubled.
3.4., ashi/ Sancha#a %ro/alpa CSF' Or onthl#
Savin"s Scheme CSS'
#he prime ob5ective of this scheme is to encourage the people to develop their habit of
saving. Inder this scheme, one can save a fixed amount of return every month and get a
lucrative amount of return after five, eight or ten years.
3.4.5 7amil# aintenance *eposit Scheme:
Inder this scheme, one can deposit a certain amount of money for five years and in return
he6she will receive benefits on monthly basis. !enefit start right from the first month of
opening an account under the scheme and continue up to five years. +n maturity the principal
amount will be paid back
Aime .enefit *eposit Scheme
Inder the ;A.G #imes !enefit Deposit Scheme4 a deposit of minimum !D# GD,DDD.DD 9fifty
thousand: or its multiples will be received for a period of LC months 9F.G years:. +n maturity
after LC months, A.G times of the deposited amount will be paid back to the account holder as
per example given below>
3.4.8 1!vance .enefit *eposit Scheme C1.*S' or 1"rim
unafa 1manat %ro/olpo C11%'
Inder this Scheme, one can deposit a certain amount of money for two years. #he depositor
will receive the benefit on yearly basis. #he benefit amount of first year will be received in
advance at the time of deposit. +n maturity, the depositor will get back the principal amount
with the benefit amount of second year.
S"eial Savin# Sheme $SSS! : )or further stren(thenin( of the de'osit
base of the bank and meet the di2erent nature of demand of the
de'ositors MBL have develo'ed
3.$.: Loan > 1!vance %ro!ucts
3.$.1 2onsumers 2re!it Scheme:
*elp fixed(income people for buying house hold durable.
-or the amount up to #k. A,DD,DDD the period in two years.
Interest rate will be charged $uarterly rest.
Aerms > 2on!ition:
Interest rate: A8M p.a.
Ris/ fun!: AM
Supervision 2har"e: D.CGM per year on outstanding balances.
Special 7eatures
#he loan amount is directly credited to the customer4s account.
3.$.2 3ouse 7urnishin" Loan:
%urpose: #o purchase different household items such as #elevision, 1efrigerator, &ir(
3onditioners, Washing achine, 3omputer and other household furniture 0 motor cycle etc
for personal6family use. Inder this scheme, the *ouse furnishing product is hypothecated to
the bank.
Aar"et customer: 2mployees of listed multinatioal, corporate 0 IH bodies, educational
institution, H,+ and ,overnment officials. !usinessman 0 "and "ord. Self(employed
professionals and businessman maintaining &63 with !" 0 other bank.
Aerms > 2on!itions:
inimum income: #k. AD,DDD for ,ovt service holders, #k. AG,DDD for private
service holders and #k. FD,DDD for !usinessman6professionals.
inimum loan si-e: #k. GD,DDD only.
a)imum loan si-e: #k. G,DD,DDD only.
Interest rate: A8M p.a.
%is& 'und: ()
Aenor: inimum AC months 0 maximum 8D months.
Loan processin" fee: AM of the loan amount plus AGM .&# on the processing fees.
.3.$.3 2ar Loan Scheme:
%urpose: /urchase of non(commercial new and reconditioned vehicles for personal use of an
individual customer
3.$.4 Aar"et customer:
Salaried person' 2mployees of listed multinational, corporate 0 IH bodies,
!ank6-inancial Institution, educational institutions, H,+ , ,overnment higher
officials and other service holders etc. renowned !usinessman having at least G years
business experience.
Businessman. Professionals & Land Lord' !usinessman, /rofessionals 0 "and
"ord. Self(employed professionals and businessman maintaining a6c with other bank.
"and "ord must have to submit 1ental deed, ownership of property and to some
extent copy of utility bill.
3.$.$ Aerms > 2on!itions:
Minimum income' Salaried person '#k. CG,DDD6( for ,ovt. employee #k. FD,DDD6(
for private service holder. !usinessman, /rofessionals 0 "and "ord '#k. LD,DDD6(
Minimum loan size' 9!oth are same: !D# C,DD,DDD6(
Ma-imum loan size' 9!oth are same: "oan amount would be max 7DM of the vehicle
price but not.
/enor' 9!oth are same: -or !rand Hew 3ar>AC to RC months 0 1econditioned 3ar>
AC to 8D months.
,own payment' DM 9Hew: or CDM 91econdition: inimum.
0nterest rate' 9!oth are same: AGM p.a.
Risk fund' AM
Supervision C!arge' D.CGM per year on outstanding balances.
Loan processing fee' AM of the loan amount plus AGM .&# on the processing fees.
3.,.: (!ucation Loan:
%urpose: &ny student of !angladeshi Hational with excellent educational track record to
provide financial assistance for further educational purposes like study abroad or within the
3.,.1 Eualification
*olds excellent result in SS36*S36+("evel6&("evel or e$uivalent from any
recogni)ed educational institution at home or abroad for pursuing undergraduate
course in home.
*olds excellent result in SS36*S36+("evel6&("evel or e$uivalent from any
recogni)ed educational institution at home or abroad for pursuing post(graduate
courses in home or abroad as well.
2ducational program must commensurate with the career prospect of the borrower.

3.,.2 Loan Limit
7or stu!ies in .an"la!esh: aximum #k. G lac.
7or stu!ies abroa!: aximum #k. CD lac.
3.,.3 ()penses consi!ere! for Loan:
-ees payable to Iniversity63ollege6*ostel
2xamination6"ibrary6"aboratory -ee
/urchase of !ooks62$uipments6Instruments6Iniforms
#ravel 2xpenses6/assage money for studies abroad
/urchase of 3omputers ( essentials for completion of the course
&ny other expense re$uired to complete the course ( like study tours, pro5ect work,
thesis, etc.
3.,.4 *octors Loan Scheme:
%urpose: -or purchasing items to support professional needs of above customer segment to
setup a chamber6clinic6hospital on a small scale
Aar"et customer: ,eneral practitioner, !!S 0 -3/S doctors6dentists or specialist doctors
having -3/S or a post(graduate degree and speciali)ation in a particular area of treatment
such a medicine specialist, 2ye specialist, 2H# specialist 3ardiac surgeon6specialist etc
3.,.$ Aerms > 2on!itions:
Minimum income' #k. CG,DDD for general physician 0 #k. LD,DDD for speciali)ed
Minimum loan size: #k. C,DD,DDD only.
Ma-imum loan size' #k. G lac for general practitioner, #k. AG lac speciali)ed doctors
0 #k. GD lac for owner of clinic6hospital or diagnostic center.
/enor' inimum AC months 0 maximum 8D months.
0nterest rate' ALM p.a. that may be changed upon from time to time.
Risk fund' AM
Supervision C!arge' D.CGM per year on outstanding balances.
Loan processing fee' AM of the loan amount plus AGM .&# on the processing fees.
3.,., 2otta"e Loan Scheme:
%urpose: 3onstruction of semi(pucca building of C types along with pure drinking water
-oundation up to plinth level, pucca floor, brick wall, roof of corrugated iron
-oundation up to plinth level, pucca floor, corrugated iron sheet fencing, roof of
corrugated iron sheet6tiles.
3.,.5 Aar"et customer:
Salaried People' 2mployees of govt6autonomus body, financial institution,
different public 0 company, teachers of educational institutions.
Professional' Doctor6medical professionals, engineer, accountants , I#
professionals , management consultant
Self12mployed' !usinessman
3.,.8 Aerms an! 2on!itions:
Loan amount' Ip to RDM of the total cost of the semi(pucca6 corrugated iron sheet
fencing construction and pucca floor space along with pure drinking water
facility6tubr(well will be inclusive in the pro5ect cost.
0nterest rate' AFM p.a. or rate set forth by the &"3+ with monthly compounded.
Risk fund' D.GDM
Penal interest' If the customer fails to deposit any installment FM penal interest shall
be recovered per month on the defaulted loan amount.
Loan processing fee' D.GDM of the loan amount plus AGM .&# on the processing fees.
3.,.9 1n# %urpose Loan:
Purpose' #o meet instant personal financial re$uirement. #he customer has to declare the
purpose of the loan merely to the dealing officer but submission of supporting document is
not mandatory
/arget customer' 2mployees of reputed H3s, large local corporate, employees of mid(
range local companies, reputed educational institutions, banks6financial institution, diagnostic
center, hospital, hotels, restaurant, telecommunication, airlines, real(estate developers of
repute, insurance companies, H,+s, aid agencies, IH bodies and all other salaried
employees including ,overnment 2mployees etc
3.,.1: Aerms > 2on!itions:
Minimum income' #k. AD,DDD for ,ovt employee 0 #k.AG,DDD for private service
Minimum loan' #k.GD,DDD only.
Ma-imum loan' #k.G,DD,DDD only
,own payment' Hil
0nterest rate' A8M p.a.
/enor' inimum AC months 0 maximum 8D months.
Loan processing fee' AM of the loan amount or !D# #k. ADDD whichever is higher.
Risk fund' AM
Penal c!arges' FM to be reali)ed on the overdue loan amount or minimum !D# CDD
whichever is higher.
3.,.11 3ome Loan Scheme:
/urchasing apartment
3onstructing new house
1enovation of !uilding or &partment
#aking over of *ouse !uilding "oans from other !anks6Hon !ank -inancial
3.,.12 Aar"et customers:
Salarie! %eople: 2mployees of govt6&utonomous body, financial institution,
different public limited company6private limited company having corporate structure,
teachers of any school6college6university.
%rofessional: Doctors6edical professional, 2ngineer, &ccountants, I# /rofessionals,
anagement 3onsultant.
Self=(mplo#e!: !usinessman 9length of business at least for G years.
3.,.13 Aerms > 2on!itions:
Loan amount: Ip to 8DM of the total cost of construction of house. Ip to RGM of
purchase price6of new apartment6house6existing house6apartment.
Interest rate: AFM p.a. or rate set forth by the &"3+ with monthly compounded.
%enal interest: If the customer fails to deposit any installment FM penal interest shall
be recovered per month on the defaulted loan amount.
Loan processin" fee: AM of the loan amount plus AGM .&# on the processing fees
will be reali)ed from the customer before disbursement of the loan.
*.+.(, -ouments re.uired 'or every loan:
#wo copies of passport si)e photographs.
In case of service holder, applicant should provide ;Salary 3ertificate4 from the
employer mentioning regular and confirmed employee having minimum continuous
service for G years.
Statement of !ank &ccount for last A 9one: year.
!usiness 6 self employed persons will re$uire providing documentary evidence of
minimum G years.
#IH certificate with recent Income tax return submission acknowledgement receipt.
2I. en6uir# from !ul# fille! in.
3.,.1$ S( .an/in"
#" .L 231F1.
&" .L 1;1;G1.
+" .L 231LAI HL*31;.
4" .L SI;BL( %1G(;A LO1;.
1. .L 231F1:
Small and edium 2ntrepreneurs of our country are striving to play significant role in the
steady growth of ,D/ through profitable expansion of existing business as well as setting up
new venture in the competitive business world but most of the times they fail to address the
same due to dearth of capital and with a view to overcome this situation and for achievement
of 5ustified level of business growth, ercantile !ank is assisting S2 customers offering
3*&S&' loan facility.
2. .L 1;1;G1:
&bout GDM of our total population is women but their active role in the development flow of
business as entrepreneur is not satisfactory and notable. -or balance 0 sustainable economic
growth with inclusiveness all classes people of the society, active involvement of the women
in the business is immediately re$uired and our bank has given highest priority for the
financing to the women 2ntrepreneurs offering a loan facility &H&HT&'.
3. .L 231LAIHL*31;:
S2 need working capital at anytime to penetrate prevailing business opportunities and to
run the existing business smoothly encountering the threat as well as exploring opportunities.
*owever, in order to help the S2 customers to operate their business uninterruptedly.
ercantile !ank "imited has introduced continuous loan facility styled
%urpose: #o meet up any 5ustifiable and acceptable working capital limited.
Aerm > 2on!ition:
Loan limit' #k. D.GD lac to #k.GD lac for S2 customers 0 #k. D.GD lac to #k. GDD lac
for 2 customers.
Minimum income' inimum income must be commensurate with the amount of loan
0nterest rate' #he interest rate is sub5ect to change based on the market conditions 0
policy of the !ank.
Penal interest rate' CM higher over the prescribed rate on overdue amount on as per
policy of the !ank.
$t!er fees & c!arges' &s per policy 0 scheduled charges of our !ank.
/enure of t!e loan' A year on the revolving basis.
.L SI;BL(%1G(;A LO1;:
Seasonal product6crops as well as religious and cultural festivals create short(term additional
business opportunity for S2 in our country. &s such, they re$uire special business
arrangements in addition to conduct day to day business activities to cope up with seasonal
demand that increase sale and profit. In order to patroni)e S2 customers for capturing this
seasonal business opportunity. ercantile !ank "imited has introduced SIH,"2/&T2H#
"+&H' facility.
%urpose: #o meet up legitimate short(term working capital re$uirements of business entity
Aerms > 2on!ition:
Loan Limit' #k. D.GDlac to #k. GD lac
Minimum income' inimum income must be commensurate with the amount of loan
0nterest rate' #he interest rate is sub5ect to change based on the market conditions 0
policy of the !ank.
Penal interest rate' AM higher over the prescribed rate on overdue amount on as per
policy of the !ank.
Other fees > char"es: &s per policy 0 scheduled charges of our !ank.
Aenure of the loan: aximum B months.
3.,.1, Hpcomin" S( loan:
1. .L SORI**3I.
2. .L OHSHI.
-ouments re.uired 'or every S/E loan:
.alid trade license of the applicant along with C years old trade license preferable.
1egistered partnership deed9In case of partnership firm:.
3opy of emorandum and articles of association.
&ttested copy of passport6national voter ID6citi)enship certificate from ward
commissioner6I/ chairman of the proprietor6partners.
Deposit a6c statements for the last AC months.
Statement of all loan accounts.
Standard 3I! report et
Chapter Four
Analysis ased on t!e

4.: 1nal#sis
-or preparing my report I surveyed on LD customers of !" during my Internship
period. #hey provide me with the information I needed. #he evaluation and the
respective graphical presentation are given below>
*ifferent t#pes of 1ccount :
I have found that ma5ority of the customers are influenced opening D!DS &63, then
some of the customers are opening Savings &63 0 3urrent &63 and few of the
customers are opening -D1, "oan , S!DS 0 SHD &63.
.etter interest rate:
#his is one of the important $uestion asked to the customers of !". #here are
ma5ority of the customer are choose this bank for their better interest rate, then some
are choose good facility and then reputation, nice environment 0 know personnel.
%ersonal relationship :
aximum customers says that they are very satisfied their personal relationship with
their clients, some of the customer are satisfied, few customer are says average and
minority of the customers are dissatisfied.

.an/in" nee!s:

I have found that ma5ority of the customer are very satisfied his6her banking needs,
some of the customer are satisfied and some customer are average 0 dissatisfied.
Reliabilit# :

a5ority of the customer says that his6her bank are offer reliable saving scheme, it is
excellent for their and they are very satisfied and some customers are says it is good
saving scheme.
Hnnecessar# aintainin" :
a5ority customers are very satisfied his6her bank4s unnecessary charge for
maintaining account, some customer are satisfied, few are says average and minority
are dissatisfied.
2ompetitive interest rate:
&ccording to the customers his6her bank offers competitive interest and most of the
customers are very satisfied, some of the says they are satisfied and minority people
are says banks offers average competitive interest rate.
(fficienc# :
It is also another important $uestion asked to the customer of !". #here are
ma5ority customers are very satisfied when handling his6her account efficiency
without mistakes, some customers are satisfied 0 average and few of them are

%rovi!e satisfie! information :
any customers says that bank provide all information for their need and they are
very satisfied. ore of the customer are satisfied and few of them are average 0
-ast service >

In case of these services the customers are very satisfied for their very fast service
which is seen in the figure $uite clearly. Some are says fast 0 average.

ajor stren"th :
&ccording to the customers, high interest rate on deposit is the main strength of !",
low interest rate on lending 0 image of the bank is other strength and also skilled
manpower plays a vital role.

ajor &ea/ness :
#he bank4s ma5or weakness is its &# service. /roduct variation is also other lacking.
%erformance of .L compare! to other private commercial ban/:
3ompared to all other /rivate 3ommercial !ank the performance of !" is not so
bad from the view point of the customers.

Ahe teller operation of .L :
a5ority of the customers are very satisfied with the teller operation or cash
department of !" and they also says teller operation are very fast, more of the
customers says fast, some of the customers says average and ma5ority are call slow.

ercantile .an/ is al&a#s trust&orth# from all aspect :
I have found that ma5ority of the customers are very satisfied for their bank4s
trustworthy, then satisfaction 0 average level are not so bad.
4.1 7eatures of ercantile .an/ Limite!
,here are so many reasons behind the better 'erformance of
Mercantile Bank Limited than any other ne%ly established banks:
*ighly $ualified and efficient professionals.
ercantile !ank "imited has established a core 1esearch 0 /lanning Division
comprising skilled person from the very inception of the !ank.
3hief 2xecutive +fficer 932+: of the bank is r. Dewan u5ibur 1ahman who has
rich experience to managing the bank management.
ercantile !ank "imited has become a member of SWI-# system to expedite foreign
exchange transaction.
#he bank has established corresponded relationship with ADC of foreign bank.
#he inner environments of the all branches of ercantile !ank "imited are well
!anking operation of the all branches of ercantile !ank "imited have been
computeri)ed to provide the promptly 0 fre$uently customer services.
ercantile !ank "imited provides attractive interest rate than the other financial
#he bank provides loan to the customers U lower interest rate with easy and flexible
condition than the others do.
/rofit earning is not the main aim of the ercantile !ank "imited the bank is
responsible to maintain the social duties.
#he bank fre$uent arranges customers meeting to achieve their valuable suggestions.
"etter of 3redit 9"63: commissions and other charges are very lower than the others
4.2.: S+OA 1;1LGSIS O7 .L
S+OA analysis is one of the most acceptable yardsticks to measure the gigantic performance
of the management and provides notion about the Strength, Weaknesses, +pportunities and
#hreats of the company or company4s pro5ect. Its helps the organi)ation to evaluate its
performance and scar the micro environment, which in turn would help the organi)ation to
navigate in the turbulent ocean of competition.
4.2.1 SAR(;BA3S
Strong Security Counter' Strong security counters measurement to provide BB.BBM
security about customer4s privacy.
3ell /rained 2mployee: !" has sufficient number of well trained employees who
are efficient, responsible and totally committed to their respective 5obs.
$nline Banking' !"4s +nline !anking web server is certified by AC7 bit data
encryption SS" 9Secure Socket "ayer: server certificates issued by .eriSign.
/op Management' #he top management of the bank is a key strength for !". #hey
are highly committed towards the growth and development of the bank. &ll the top
management officials have reputed of banking experience, skill and proficiency.
#oreign Branc!es' !" has branches in !irmingham and Whitechapel in "ondon
Strong Corporate 0dentity' !" is the leading provider of financial services identity
country wide. With its strong corporate image and identity it can better position in the
minds of customers. #his image has helped !" grab the personal banking sector of
!angladesh very rapidly.
0nteractive Corporate Culture' #he corporate culture of !" is very much
interactive compare to other local organi)ation. #his interactive environment
encourage working attentively. Since the banking 5ob is much routine oriented, !"
has friendly, interactive and also lovely environment boots up the working capability
of the employees
4.2.2 +(1F;(SS(S
S!ortage of Branc!es' !" has a very narrow operating span in Sylhet division. It
has only G branches in Sylhet, Subidba)ar, oulviba)ar, !eaniba)ar, Sunamgon5 and
A S2 branch in Habigon5.
Lack of Customer Convenience' !" has only A branch and A &# booth in
oulviba)ar town so it creates a negative impression to the customers of scattered
locations of oulviba)ar.
Advertising & Promotion' &dvertising 0 /romotion is one of the weak point of
!". It does not have any effective truck for aggressive marketing activities. #his
lacking pushes the bank for behind from the other competition. We hardly do
promotional then the other competitors.
4.2.3 O%%ORAH;IAI(S
Customer 0mpression' 3ustomers4 psychological impression to the use of debit and
credit card will be positive aspects of exploring online banking. 2xpansion of fiber
optic cable in 3hittagong intensifies this opportunity much more.
Customer Confidence' &s !" is the first !angladeshi !ank providing new
technological supports such as +nline !anking, &# facilities etc.
Brokerage 4ouse' !" has brokerage house and has large number of clients so it has
a great opportunity to gather those clients as the bank4s customers.
4.2.4 A3R(1AS:
Product Mi-' ost of the commercial banks are offering varieties of products and
services to the customers also they are continuously updating their existing products
which are a threat for !" since it has lack in this aspect.
5pcoming Bank' #he upcoming local private banks can also pose threats to the
existing private commercial banks. It is expected that in the next few years more local
private banks and foreign banks may emerge. If that happens, the intensity of
competition will rise further so !" will have to develop strategies to compete
against and win the competition.
/ec!nological /!reat' &s online banking is wholly I# based, software as well as
server capacity has been updated over the period. #he installation cost is also high. So
it4s a technological threat for !" online banking system because the end users take
the updated technological advantages.
Chapter Five
Recommendation &
$.1 7in!in"s of the stu!#:
#he interest rates offered by !" on different deposit are very attractive. 2specially
in -ixed deposit.
#he saving scheme of !" is reliable for the customer.
!" offers relatively good service to its customers such as front desk, cash
department, loan section, foreign remittance.
1emittance from different countries is processed very $uickly.
aximum customer believes that !" caters all of their banking need.
!" does not have variation of the product. While others banks are offering different
scheme for the different classes of people.
#hrough loan and advances are ma5or income source for banks but there are limited
schemes for personal credit which does not attract a satisfactory levels of customers.
#he &# service is ma5or weakness of !".
!" is always trustworthy for their customers.
$.2 Recommen!ations
&lthough the #rust !ank "td is performing very well in our country, but as per my
observation and understanding, I think they need a little modification in their procedures to
be the number one organi)ation. Such as(
-ixed deposit rate has to be higher than others banks. So that the customers can
maintain for long time relationship.
#here is few branches in Sylhet division. So many customer are deprive to get service
of !". So the number of branches needs to be more as soon as possible.
!" should provide some loan for new entrepreneur.
!" should emphasi)e on promotional activities for attracting their customers about
their services and also for expanding their business. #he promotional activities is
advertising, personal selling, public relation etc.
!" should offer versatile product that are varieties of accounts to attract every class
of customers and obviously to compete with other existing private commercial banks.
!" should establish new6update financial products to attract potential depositors.
&# booth is essential for !". So !" should be setup more &# both in
oulviba)ar as early as possible.
$.3 2onclusion:
Since the banking service especially the private !anks are doing an outstanding business, so
it is clear that the modern people are more concerned about securing their valuable assets and
get high($uality and timely services. -or this reason lot of new commercial bank has been
established in last few years and these banks have made this banking sector very competitive.
!" !ank is the most promising private commercial bank in !angladesh. 2very day !"
!ank endeavor to increase their product and services although they provide a wide range of
product of services to their customers. !" !ank is helping the economy of !angladesh by
remitting of funds both local and foreign. -or helping the people the bank provides bridge
financing loan, working capital loan to its corporate clients. &s modern function !" !anks
provides credit card facility, &# card facility and any branch banking facility to its
customers. #his pro5ect concentrated mostly on the customer services 0 Satisfaction of the
oulviba)ar branch and identified some valuable information that could make the services
more attractive and also enhance the banks reputation among the customers.
With the current performance of the !ank and with little improvement here and there will
certainly make !" !ank one of the best /rivate !ank in !angladesh in the near future.
$.4 ReferenceIII
Shan, &. 1. 9CDD7:, !ank anagement = & -und 2mphasis, A
Services arketing, valarie Veithaml, ary Eo !itner, Dwayne D ,remler 0 &5ay /andit
, 9CDAC(CADF: Gth 2dition.
Interview with the 3redit section In(charge of ercantile !ank "imited, oulviba)ar
Interview of different types customer of oulviba)ar !ranch of ercantile bank ltd.
3ircular of ercantile !ank "imited 9CDAC(CDAF:
/roduct program guide 9consumer 0 retail banking division: version A.A
date> AB.DR.CDAA
Website of ercantile !ank "imited( &&&.mblb!.com.
&nnual 1eport 9CDAC: of ercantile !ank "imited.