Retail banking

Retail banking

refers to banking in which banking institutions execute transactions directly with consumers, rather
than corporations or other banks. Services offered include: savings and checking accounts, mortgages,
personal loans, debit cards, credit cards, and so forth.

Types of banking

Commercial bank has two meanings:

Commercial bank is the term used for a normal bank to distinguish it from an investment bank. (After
the great depression, the U.S. Congress required that banks only engage in banking activities, whereas
investment banks were limited to capital markets activities. This separation is no longer mandatory.)

Commercial bank can also refer to a bank or a division of a bank that mostly deals with deposits and
loans from corporations or large businesses, as opposed to normal individual members of the public
(retail banking). It is the most successful department of banking.

Community development bank are regulated banks that provide financial services and credit to
underserved markets or populations.

Private banks manage the assets of high net worth individuals.

Offshore banks are banks located in jurisdictions with low taxation and regulation. Many offshore banks
are essentially private banks.

Savings banks accept savings deposits.

Postal savings banks are savings banks associated with national postal systems.The physical business
model of Retail Banking, that started around late eighties and early nineties, by the regular banks as
small community banks that are accessible to their customers in or close to their neighborhoods. This
new "physical model" followed the approach most of the fast food chains we engaging in

During the year 1989, a student Sanjeev "Sunny" Mishra, at Bradley University wrote a paper on Retail
Banking for his graduate course work taught by Dr. Aaron Buchko.In that paper, he simply created the
physical model for Retail Banks and defined them as small neighborhood bank branches that were
staffed with minimal staff to carry out the basic banking functions similar to a community banks. He
defined this new model, the costs associated with it and the justifications for the various banking
operations that these retail branches need to perform in order to remain profitable and to be able to
add value to their parent commercial or community banks.

Retail Banking on HSBC

My loan

Car Loan

Home Loan

Travel Loan

Lifestyle Loan

Professional Loan

Motorbike Loan

Student Loan

Furniture Loan

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Wedding Loan

CNG Conversion Loan

Medical Loan

Home Equity Loan

Personal Instalment Loan

Car loan

So you've found that new car you've always wanted. Now comes the difficult part - arranging the
funding. You approach banks and financial companies who want guarantees and securities against loans
and you feel your dream slipping away. Now with a car loan from HSBC, you can realise your dream.

Benefits

Eligibility

Benefits

No personal guarantee or cash security!

Wide range of loan amounts- the scheme covers loans ranging from BDT100,000 to BDT2,000,000 (up to
a maximum of 75% for brand new car or 70% for reconditioned car value)*

No hidden costs with low processing fees.

Competitive interest rates

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Loan against partial security is also available.

You can repay the loan in 12, 24, 36, 48 or 60 months. Your monthly instalment will be debited from
your personal account held with us.

*The loan does not cover registration, insurance and other costs.

Eligibility

At least 25 years of age

Employed for at least two years by a well established company*

Minimum monthly income of BDT20,000

*Self-employed individuals also can apply subject to proof of income and the minimum monthly income
has to be BDT 50,000.

Home loan

The decision to buy or renovate a home is one of the most important investment decision you will ever
make. HSBC's Home Loan facility will assist you in purchasing new apartment or renovate your home.

Benefits

No personal gurantee or cash security.

Competitive interest rates.

Interest is calculated on a monthly reducing balance as opposed to an annual reducing balance, giving
you a lower monthly instalment amount with HSBC.
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A maximum loan amount of 70% of the total value of the apartment or BDT2,000,000 for renovation

Loan size between a minimum of BDT 750,000 and maximum of BDT 7,500,000.

Financing for the registration cost.

Repayments by monthly instalments of up to 15 years or prior to borrower's age reaching 60 years or

retirement date, whichever is earlier.

Partial prepayment and prepayment allowed.

Who can apply?

You should be employed by a well-established company for 2 years. If less than 2 years in current job,
previous employment record will be considered.

Minimum monthly income of at least BDT 40,000. Spouses may club their incomes together and apply as
joint applicants.

Self employed individuals can also apply subject to adequate proof of income.

Requirements

Letter from your employer.

Documents stated in the Application Form.

We do not require any personal guarantee or cash security to support the loan.
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A registered mortgage in favour of HSBC and original title deed.

Property insurance is required covering fire, earthquake, flood, and cyclone.

Travel loan

Wish you had enough money to take an overseas vacation? Or travel to an exotic place of your choice?
Now you can leave all your worries and enjoy a perfect vacation with Travel Loan from HSBC. Just
provide your travel quotation along with income documents to avail the loan.

Features

No personal guarantee or cash security.

The loan amount ranges from BDT50,000 to BDT1,000,000 or a maximum of four times of your monthly
income, whichever is lower.

If you are an AutoPay customer, you can get six times or if you are a CEPS customer you can get ten
times of your monthly income.

Competitive interest rates.

Low processing fees.

You can repay the loan in 12, 24, 36 or 48 months.

Loan against partial security is also available.

Documentation-travel quotation along with other documents.

Lifestyle loan

You will be able to take the pleasure of the following benefits by availing this loan.

Features

No personal guarantee or cash security.

The loan amount ranges from BDT50,000 to BDT1,000,000 or a maximum of four times of your monthly
income, whichever is lower.

If you are an AutoPay customer, you can get six times or if you are a CEPS customer you can get ten
times of your monthly income.

Competitive interest rates.

Low processing fees.

You can repay the loan in 12, 24, 36 or 48 months.

Loan against partial security is also available.

Professional loan

You will be able to take the pleasure of the following benefits by availing this loan.

Features

No personal guarantee or cash security.

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The loan amount ranges from BDT50,000 to BDT1,000,000 or a maximum of four times of your monthly
income, whichever is lower.

If you are an AutoPay customer, you can get six times or if you are a CEPS customer you can get ten
times of your monthly income.

Competitive interest rates.

Low processing fees.

You can repay the loan in 12, 24, 36 or 48 months.

Loan against partial security is also available.

Motorbike loan

At last you've found the new motorbike that you've always wanted! Now comes the difficult part -
arranging the money, With a motorbike loan from HSBC, you can overcome all the obstacles and realise
your dream.

Features

No personal guarantee or cash security.

The loan amount ranges from BDT50,000 to BDT1,000,000 or a maximum of four times of your monthly
income, whichever is lower.

If you are an AutoPay customer, you can get six times or if you are a CEPS customer you can get ten
times of your monthly income.

Competitive interest rates.

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Low processing fees.

You can repay the loan in 12, 24 or 36 months.

Documentation: quotation of the motorbike along with other documents.

*The loan does not cover registration, insurance and other costs.

Student loan

Whether it is about securing your child's future or you getting a graduate or postgraduate degree or
completing a professional degree while you are still working, requires a considerable amount of
investment. Now, with the Student Loan from HSBC, you can make your best investment decision
without worrying about your cash flow.

Features

No personal guarantee or cash security.

Loan amount ranging from BDT50,000 to BDT750,000 or a maximum of four times of your monthly
income, whichever is lower.

If you are an AutoPay customer, you can get six times or if you are a CEPS customer you can get ten
times of your monthly income upto a maximum of BDT750,000.

Competitive interest rates. Low processing fees.

You can repay the loan in 12, 24, 36 or 48 months.

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Loan against partial security is also available.

Facility for opening a student file is also available.

To open a student file, the student has to provide a copy of the college/university admission paper and
proof of formal acceptance by student along with other documents.

Furniture loan

You will be able to take the pleasure of the following benefits by availing this loan.

Features

No personal guarantee or cash security.

The loan amount ranges from BDT50,000 to BDT1,000,000 or a maximum of four times of your monthly
income, whichever is lower.

If you are an AutoPay customer, you can get six times or if you are a CEPS customer you can get ten
times of your monthly income.

Competitive interest rates.

Low processing fees.

You can repay the loan in 12, 24, 36 or 48 months.

Loan tenure may be extended to 60 months depending on the security provided by the customer.

Loan against partial security is also available.

Wedding loan

You will be able to take the pleasure of the following benefits by availing this loan.

Features

No personal guarantee or cash security.

The loan amount ranges from BDT50,000 to BDT1,000,000 or a maximum of four times of your monthly
income, whichever is lower.

If you are an AutoPay customer, you can get six times or if you are a CEPS customer you can get ten
times of your monthly income.

Competitive interest rates.

Low processing fees.

You can repay the loan in 12, 24, 36 or 48 months.

Loan against partial security is also available.

CNG conversion loan

Save the environment as you save money. HSBC offers a low cost

CNG conversion loan

solution backed by local knowledge and global expertise.

Features

Competitive interest rates

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Maximum loan tenure 2 years

No personal guarantee or cash security required

Loan amount ranging from BDT30,000 to BDT50,000

Medical loan

HSBC, backed by local expertise and global financial knowledge, offers a low cost Medical Loan solution
under the My Loan scheme. You can now set your mind at ease by making HSBC a part of your life.

Features

No personal guarantee or cash security required

Loan amount ranging from BDT30,000 to BDT1,000,000

Low processing fees

Competitive interest rates

You can repay the loan in 12, 24, 36, 48 or 60 months. Your monthly installment will be debited from
your personal account held with us.

Home equity loan

Introducing HSBC's Home equity loan - an opportunity for you to release some of the value tied up in
your home. Whether you want to renovate your home or expand your own business, you can potentially
receive cash loans against the equity in your house. Let your home work for you with HSBC's Home
equity loan.
Benefits

Loan facility against your fixed asset, a residential house or apartment, not more than 15 years old

More flexibility with a loan tenure of maximum 7 years

Loan amount of BDT 500,000 - 6,000,000

A maximum of 60% of the property valuation would be offered as loan with 25% cash security

A wide range of loan purposes - purchase of land, apartments, office space, renovation, extension or
construction of houses, shops etc, education expenses for children and many more

Clubbing of income amongst spouse, father and son/daughter, mother and son/daughter is possible

Partial prepayment and early settlement facilities

Competitive interest rates on a monthly reducing balance

Who can apply?

Any salaried individual or self-employed individual with a minimum monthly income of BDT 50,000 can
apply for the loan facility. The salaried individual must be employed in a well-established organization
for at least two years (only last two employers would be considered). Self-employed individuals should
have at least two years professional experience or business establishment.

Requirements

Registered Mortgage and original title deed

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Irrevocable General Power of Attorney (IGPA)

Property insurance covering fire, earthquake, flood and cyclone

Partial cash security is required for a loan facility of above 20% against your property valuation.

Personal Installment Loan

Any purpose loan - no invoices

Wish you had enough money to take an overseas vacation? Or renovate your home? Maybe buy a
computer? Now you can do all these apd more, with a Personal Instalment Loan from HSBC. Invoices or
quotations are not required for whatever you intend to purchase.

No personal guarantee - no cash security

We believe in our customers. That is why we do not require any personal guarantees or cash security to
support the loan; You do not even have to make a down payment to take the loan.

Simple documentation

The Personal Instalment Loan from HSBC assures you of one thing - simplicity. This means completing
very simple and easy documents when applying for the loan. We offer a very competitive interest rate
with low processing fees. In addition, if you have an autoPay salary account with us, you will be entitled
to a discounted rate.

Who can apply?

You should be 25 years of age and employed by a well-established company for Q years. with a
minimum monthly income of BDTl5,000. Self-employed individuals can also apply subject to proof of
income.

How much would you get?

The loan amount ranges from BDT50,000 to BDT750,000 or maximum four times your monthly income,
whichever is lower.

How do you repay?

Loan repayments are made in the form of equal monthly instalments (EMI). You have the flexibility of
choosing the repayment period (12, 24 or 36 instalments). Your monthly instalment can be
automatically debited from your personal account held with HSBC. We also allow partial prepayment
and prepayment.

How do you apply?

Just call or visit one of our branches in Dhaka or Chittagong (numbers given overleaf). We will be happy
to help you with your application. Call today! *