Marketing of banking services of southeast bank limited

Marketing of Banking Services Of Southeast Bank Limited

CHAPTER-01 1.1: Introduction Bangladesh is a poor country, but the banking sector has improved a lot due to proper necessary and fastest action. There are 48 different banks in Bangladesh. There are 49 different banks in Bangladesh. Among them, total number of State-owned bank is 04, specialized bank 05, private bank 28, foreign bank 12. In urban area total numbers of branches of state-owned are 1,238 and rural 2,146 while specialized are accordingly 155 and 1,203. Although in urban area private bank’s branches are 1,295, in the rural area has only 490. It is very painful to say that there are 49 branches of different foreign banks in the urban area, but not a single branch till now for rural area till now. But, ratio of total banks for urban area is 41.62% and for rural 58.38%.

The principal reason banks and many competitor lenders are issued charters of incorporation by government is to make loans to their customers. Banks, thrift institutions, and other chartered lenders are expected to support their local communities with an adequate supply of credit for all legitimate business and consumer financial needs and to price that credit reasonably in line with competitively determined market interest rate. Indeed, making loans to fund consumptions and investment spending is the principal economic function of banks and their closest competitors. How well a lender performs in fulfilling the landing function has a great deal to do with the economic health of its region, because loan support the growth of new business and jobs within the lender’s trade territory.

Despite all the benefits of lending for both the institutions that makes loan and for their customer, the lending process bears careful internal and external monitoring at all the times. A bank has many services like corporate banking, retail banking SME banking, and Islamic banking. It has its pricing strategy and promotional tools. It has different loan policy. The bank has own service process.

1.2: Objective The report titled “The Marketing of Banking Services: (Case of Southeast Bank Limited)”. The objective of the report is to determine and evaluate the of the bank as well as find better scope and advantages for the potential and prospecting customer of the bank. The main purpose is to be familiar with the real world situation and practical experience in a business firm. Commercial bank, especially private bank is one of the important business sectors in Bangladesh.

Traditional system of study is totally obsolete in current world. If I have no practical knowledge with

theoretical knowledge, cannot complete in the job market. For that reason have some objectives of my study. The study mainly conducted with following objective: 1.2.1: Broad Objective The broad objective of the study is to conduct the performance analysis of the various departments of Southeast Bank Limited over the years of its operation in the Commercial Banking sector in Bangladesh.

1.2.2: Specific Objectives The specific objectives of this study are as follows:

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Relate theoretical knowledge with practical experience in several functions of the bank.

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Identify and evaluate different functional services offered by the bank to its clients.

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The process and the personnel involved in the various departments of the bank.

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To know about the pattern of the clients who are taking the services from the bank.

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To analyze the financial performance of the various departments of Southeast Bank Limited over the years of banking operations.

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Influence of Marketing Strategies in the operations of Southeast Bank Limited.

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Analyze the possible Internal Factors (Strengths and Weaknesses) and External

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Factors (Opportunities and Threats) for SEBL.

To understand how important commercial bank are functioning of a modern economy and financial system.

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To do the practical work.

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To learn the organizational behavior.

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.To knows the follow up processes for recoveries.

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To learn the making process of the proposal for approval of the head office.

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To know the dealings process with the Bangladesh Bank (BB).

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Above all, to know the overall banking process.

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To gather comprehensive knowledge on overall banking functions of SEBL.

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To trace origin of the SEBL.

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To analyze and evaluate the customer service of SEBL.

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To have a clear idea about the various aspects of customer services provided by SEBL.

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To see how the commercial are regulated and to earn practical knowledge.

1.3: Scope of the Study

The basic scope of conducting this study is to analyze the performance of various departments of Southeast Bank Limited. Through investigation and analysis of the respective departments over the years of operation can highlight the banks performance when compared to other commercial banks operating in the country. Due to modern concept in the banking operations are being practiced by different banks, the banking arena is considered to be very competitive. Therefore in keeping up with the performance through customer oriented services, SEBL must be aware of its total operation procedure which can be determined by the performance of the respective departments.

In this research work, the overall view of the banking system, its history and mechanism, policies and appraisal of SEBL and other areas of activity is extensively analyzed and the findings is clarified along with in depth study. The main part of the study covers the General Banking, operational scenario of Credit Department, Foreign Exchange, Remittance, and Retail Banking Departments of Southeast Bank Limited. This will eventually refer that how the bank help the customers securing their cash and assets, getting credit facility, exporting and importing the goods and how it remits money of the foreign clients, etc.

1.4: Methodology of the Report 1.4.1: Area of Investigation As the Banking Sector is very large, therefore only focused on specific departments of banks and taking only consideration of the operations of Southeast Bank Limited, where have been assigned to serve as an Internee. Have highlighting the operations of:

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General Banking Department

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Credit and Loan Department

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Accounts Department

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Clearing department

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Retail Banking Department

1.5: Source of Information The study is conducted on the basis of both primary and secondary data.

1.5.1: Primary Data The primary information was gathered through interviews, observation and group discussion. The primary data are collected from all the departments of Southeast Bank Limited by interviewing personnel of the respective departments. The heads of the departments or senior executives have been interviewed. However, the analysis and the explanation are the author’s.

1.5.2: Secondary Data The secondary information was gathered through

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Annual Report, Publications, Training materials of Southeast Bank Limited.

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Periodical statements of the Beak, Brochures, Booklets etc.

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Office circular

And carefully developed, disguised queries, trend and growth rate analysis, ratio analysis, graphical presentation such as pie chart, bar, graphs have been used. Raw data collected from various sources required to be processed, edited for the purpose of the study.

For this study mainly secondary source of data had been relied on, because secondary data can be an immediate and cost effective means to gaining valuable insight into research issues, provided that the information comes from reliable and timely sources. Its sample was small and no representative. The research has been started with secondary data and preceded to primary data only when the secondary data sources have been exhausted or yield marginal returns. An analytical approach has been followed to conclude the decisions.

1.6: Sampling Plan of the Report 1.6.1: Sampling Procedure The sampling procedure was conducted on the Deliberate Sampling method, where the respondents and the interviewees are considered on my convenience and priority.

1.6.2: Sampling Unit In order to carry out the research work, I focused on taking the interviews of the Personnel involved

in the different departments, Manager and Senior Level Employees, Business Clients.

1.7: Scope of the Report This report coveis Southeast bank's Products and Services. Credit Policy, Organizational Overview, Management and Organizational Structure functions performed by SBL. It also covers overview of the general banking division, processes and other functions.

1.8: Limitation of the Report I have faced the following problems that may be termed as the limitations/shortcoming of the study.

The main limitations encountered in producing this report are:

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The main constrain of the study was insufficiency of information, which was provide due to security and other corporate obligations

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The data and various information of SBL Bank are not in organized way that's why Bank foiled to provide all information.

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Due to time limitation many of the aspects could not be discussed in the present report.

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Lack of opportunity to visit more than one branch

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All the time of preparing my report I tried to gather every details of process but the major limitation is lack of adequate information,

CHAPTER-02 2.0: The Organization: South East Bank Ltd. 2.1: Historical Background: Southeast Bank Limited is a scheduled Bank under private sector established under the ambit of bank Company Act, 1991 and Incorporated as a Public Limited Company under Companies Act, 1994 on March 12, 1995. The Bank started commercial banking operations effective from May 25, 1995 during this short span of rime the Bank had been successful to position itself as a progressive and

dynamic financial institution in the country. The Bank had been widely acclaimed by the business community, from small entrepreneur or large traders and industrial conglomerates, including the top rated corporate borrowers for forward-looking business outlook and innovative financing solutions Thus within this very short period of time it has been able to create an image for itself and has earned significant reputation in the country's banking sector as a Bank with vision. Presently it has thirty four branches in operation.

The emergence of Southeast Bank Limited at the junction of liberation of global economic activities, after the URUGUAY ROUND has been an important event in the financial sector of Bangladesh. The experience of the prosperous economies of Asian Vision" has been preciously the essence of the legend of bank's success.

Southeast Bank Limited has been awarded license by the Government of Bangladesh as a Scheduled Bank in the private sector in pursuance of the policy of liberalization of banking and financial services and facilities in Bangladesh. In view of the above, the up capital adequacy requirement of Bangladesh bank.

2.2: SBL’s Vision: To be a premier banking institution in Bangladesh and contribute significantly to the national economy.

2.3: SBL’s mission:

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High quality financial services with slate of the art technology.

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Fast & accurate customer service.

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Sustainable growth strategy.

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Follow ethical standards in business.

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Steady return on shareholders' equity.

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Innovative banking at a competitive price.

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Attract and retain quality human resource.

2.4: SBL’s Core Values:

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Integrity

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Respect

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Fairness

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Harmony

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Team spirit

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Courtesy

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Commitment

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Service Excellence

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Insight and Spirit

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Enthusiasm for Work

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Business Ethics

2.5: SBL's Core Strengths:

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Transparent and quick decision making;

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Efficient team of performers

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Satisfied customers

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Internal control

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Skilled risk management

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Diversification

2.6: SBL’s Client Commitments:

Ours is customer focused modem banking institution in Bangladesh. Our business motives center on the emerging needs of the market our commitments to the clients re the following:

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Provide service with high degree of professionalism and use of modern technology.

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Create life-long relationship baaed on mutual trust and respect.

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Response to customer needs with quickness and accuracy.

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Sharing their values and beliefs

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Grow as our customers grow.

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Provide products and services at Competitive pricing

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Ensure Safety and security of customers' valuables in Crust with us.

2.7: SBL's corporate culture: Southeast Bank is one of the most disciplined Banks with a distinctive corporate culture.

Making. The people of bank can see and understand events, activities, objects and situation in a distinctive way They mould their manners and etiquette, character individually to suit the purpose of the Bank and the needs of the customers who are of paramount importance to them The people in the Bank see themselves as a tight knit team/family that believes in working together for growth. The corporate culture they belong has not been imposed; it has rather been achieved through their corporate culture.

2.8: Business Objectives of Southeast Bank:

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Make sound investments.

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Meet capital adequacy requirement at all the time.

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Ensure a satisfied work force.

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Ensure 100% recovery of all advances.

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Focus on fee-based income.

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Adopt an appropriate management technology

2.9: Corporate Slogan: .....A bank with vision

2.10: Diary of Events: Vice Chairman of the Bank

Serving Period

General Mr. RagibInformation Ali

March, 1995 to June, 1998

Certificate of Incorporation Mr. Azim Uddin Ahmed

March 12, 1995 July, 1998 - June, 1999

Certificate of Commencement of Business Mr. Ragib Ali

March 12, 1995 July, 1999 - September, 2002

Bangladesh Bank license Mr. Azimuddin Ahmed

March 23, 1995 September, 2002 - August, 2003

First Branch Opened Mr. Ragib Ali Dividend offered in 2008

May 25, 1995 August, 2003 to September, 2004 35%

M/S Tilla Ghar Holdings Limited represented by 29th September, 2004 till date Number of Branches 46 as on 31/12/2008 Mr. Abdul Hye Number of Employees 1231 as on 31/12/2008 Managing Director of the Bank Serving Period Global Correspondents 587 as on 31/12/2008 Mr. Syed Anisul Huq April 4, 1995 - April 3, 2000 Listing of Shares DSE & CSE Mr. Shah Md. Nurul Alam July, 1999 - May 11, 2002 Financial Stability (Taka in million) Syed Abu Naser Bukhtear Ahmed 30th May 2002 - 30th Sep. 2004 Authorized Capital June 30, 2009 10,000.00 Mr. Muhith (M.D. C.C.) PaidM.A. - up Capital

2004 June 30, 01st 2009Oct. 2004 - 20th Oct. 3,422.64

TotalNeaz Capital (Tier I + Tier II) Mr. Ahmed

June 30, 21st 2009October, 2004 - 25th 7960.96 March 2009

Deposit Mr. M.A. Muhith (M.D. C.C.) Advances

June 30, 2009 80,235.51 28th March, 2009 - 21st June, 2009 June 30, 2009 63,108.25

Mr. Mahbubul Alam Investments

22nd June, 2009 till date June 30, 2009 18,698.40

Serving Period Operating Profit June 30, 2009 1,726.40 Company Secretary * Initial public offering of shares of Tk. 150.00 million was completed in 1999 Mr. A.K. Qureshi January 18, 1995 - January 17, 2004 Chairman of the Bank Serving Period Mr. Muhammad Shahjahan January 18, 2004 till date Mr. M.A. Kashem March, 1995 - June, 1998 Mr. Ragib Ali

July, 1998 - June, 1999

Mr. Yussuf Abdullah Harun

July, 1999 - September, 2002

Mr. Ragib Ali

September, 2002 - August, 2003

Mr. Azimuddin Ahmed

August, 2003 - September, 2004

Mr. Alamgir Kabir, FCA

29th September, 2004 till date

2.11: Management Team: Mr. Mahbubul Alam Managing Director Mr. Syed Imtiaz Hasib Deputy Managing Director Mr. Serajul Islam Executive Director Mr. Faruq Ahmed Siddiqui Chief of capital Market Division Mr. Muhammad Shahjahan Senior Executive Vice President & Company Secretary.

Mr. Mohammad Gofran Senior Executive Vice President Mr. S.M.Mainuddin Chowdhury Senior Executive Vice President Mr. Shahid Hossain Senior Executive Vice President

2.12: Organizational Structure of Southeast Bank Limited: The Chairman is the head of the Board of Directors. There is one Managing Director who is also the President mainly controls and supervises the major division of the bank. One Deputy Managing Director reports to him. Four Executive Vice Presidents (EVP) and one Senior Executive Vice President (SEVP) report to the Deputy Managing Director. Executive vice President Control the Senior Executive Vice President controls the human resource and marketing divisions. Four Vice Presidents work under Executive Vice Presidents.

The organization structure of Southeast bank Limited is quite horizontal were each person reports to only one person which refers to a very group-working environment for example. Each officer reports to the FAVP or AVP or FVP or VP or SVP or EVP, AVP or FVP or VP or SVP or EVP reports to the SEVP; SEVP report to the Deputy Managing Director and he report to the Managing director

In the organization structure of Principal Branch, SBL we can also observe that each person reports to only one person. One Executive Vice President is the head of branch one First Vice President (Operation Manager) and the in Charges of credit and foreign exchange department directly report to the EVP. The Operation Manager controls the general banking, cash, accounts and computer department.

SL. No.

Designation

1.

Managing Director

2.

Deputy managing Director-1

3.

Deputy managing Director-11

4.

Senior Executive Vice President

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Executive Vice President

6.

Senior Vice President

7.

Vice President

8.

First Vice President

9.

Senior Assistant Vice President

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Assistant Vice President

11.

Senior Principal Officer

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Principal Officer

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Executive Officer

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Management Trainee

15.

Senior Officer

16.

Probationary Officer

17.

Officer

18.

Trainee Officer

19.

Junior Officer

20.

Trainee Junior Officer

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Organizational Layout of Southeast Bank Limited in Cash Department:

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Organizational Layout of Southeast Bank Limited in Information Technology Department: SL. No.

Designation

1

Head Cashier

2

Senior Officer-Cash

3

Officer- Cash

4

Junior Officer-Cash

5

Junior Officer-Cash

2.13: Five years performance at a glance: In Million Taka Particulars 2009 SL. No. Designation Authorized Capital 10,000.00

2008

2007

2006

2005

3,500.00

3,500.00

3,500.00

2,500.00

Paid up1 Capital Senior Officer 3,422.64

2,852.20

2,281.76

2,112.74

1,056.37

Reserve2 Fund / Others Officer

4,804.81

4,186.60

2,828.18

1,180.47

96,669.05 Junior Officer 77,497.57 Computer Operator 21,350.23

68,714.67

55,474.05

46,056.18

38,258.15

60,281.26

48,164.60

41,147.28

32,551.09

12,299.61

8,462.86

6,265.55

5,113.14

Import Business

69,582.92

58,019.77

38,470.34

35,125.12

29,079.30

Export Business

46,724.47

42,178.60

28,771.36

25,874.61

13,511.10

Guarantee Business

11,916.74

15,078.99

9,008.32

8,656.80

7,975.00

Remittance Business

23,800.00

15,221.87

11,040.17

13,479.83

3,507.40

Total Income

13,702.25

10,250.13

8,670.47

6,766.11

4,689.55

Total Expenditure

9,087.79

7,237.55

5,754.27

4,703.45

3,216.11

Deposit 3 Advance 4 Investment

6,504.62

Operating Profit

4,614.66

3,012.58

2,916.20

2,062.66

1,473.44

Net Profit after Tax and 1,870.19 Provision

887.24

1,222.97

909.88

374.20

Fixed Assets

4,338.35

2,685.56

1,708.11

1,300.39

790.62

Total Assets

112,676.98

81,181.53

64,370.69

53,706.12

43,294.81

2.14: SWOT ANALYSIS FOR SEBL: SWOT is a short form that is used to describe the particular strengths, weakness, opportunities and threats that are strategies factors for a specific company. For the Southeast Bank Limited I found it as follows: Strengths:

Opportunities:

 Efficient management.

 Market leadership.

 Leading Retail loan providers

 Growth of the banking sector.

 Better employee relations.

 Difficult consumer service scheme of the

 Better location of the branch.

SJIBL.

 Better financial standing.

 Make the goodwill.

 Interesting consumer schemes.

 Perform more quickly services.

 Quick delivery of foreign exchange.

 Go beyond the national boundaries.

 On line Banking

 SMS banking.

 ATM facility  Simultaneously Islamic Banking

Weakness:

Threats:

 Inadequate work force.

 Political instability.

 Conservative loan facility.

 Intense competition.

 Profit rate is less than others.

 Government rules and regulation.

 Lack of sufficient own ATM booths

 Economical variation.  Policy of competitive banks.

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SWOT analysis for SBL.

CHAPTER-03 3.0: MARKETING ANALYSIS OF SEVEN P’S 3.1: PRODUCT MIX: The banks primarily deal in services and therefore, the formulation of product mix is required to be in the face of changing business environment conditions. Of course the public sector commercial banks have launched a number of policies and programs for the development of backward regions and welfare of the weaker sections of the society but at the same time it is also right to mention that their development-oriented welfare programs are not optimal to the national socio-economic requirements.

A proportional contraction in the number of customers is found affecting the business of public sector commercial banks. The changing psychology, the increasing expectation, the rising income, the changing lifestyles, the increasing domination of foreign banks and the changing needs and requirements of the customers at large make it essential that they innovate their service mix and make them of worked class.

Marketing aims not only offering but also at creating\innovating the services\ schemes found new to the competitors vis-a vis- to the customers. The enhanced customer patronage would be a reward to the bank. The additional attractions, the product attractiveness would be a plus point of a mix, which would help in many ways. The formulation of product mix is found to be a difficult task that requires world-class professionalism.

Southeast Bank Limited has started its operation as a Conventional May 25, 1995. But pretty soon afterwards, within few months, the Bank has taken up the Challenge to start Islami Banking Operations. The Challenge is not so much as in operating Islamic Banking but in maintaining both the forms in Parallel.

At first will describe different kind of products under general banking.

3.1.1 Current Account (CD): •

Current Account can be opened for individuals and business concerns including non-profit organization.

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A current Account shall be opened with a minimum balance of TK.5, 000.

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A current Account shall be opened with an initial cash deposit.

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Minimum Balance 10 be maintained in current a/c is TK.5,000.

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Frequent transactions (both deposits and withdrawals) are allowed in the account.

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Cheque book shall issue to the account holder having a minimum balance of Tk.5,000/intbea/c.

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A current Account holder can draw cheques on their accounts for any amount and any number of times in a day subject to the availability of balance.

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No interest shall be allowed on a current a/c.

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Statements of account shall be dispatched to all account holders by the bank specified in the A/c opening form while opening an a/c.

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A Current Account can be overdrawn subject to arrangement.

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The hank at its discretion shall realize charges for dishonored/bounced cheque drawn on bank but returned for insufficient balance as per his rate approved by Head Office from time to time.

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The bank reserves the right to reserves or close any account without assigning any reason thereof.

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Every change of address shall be intimated to the bank.

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“Notice” stopping payment of any cheque shall be made by account holder in writing, which shall be recorded.

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The bank shall accept “Standing Instructions” from the account holder(s) to make periodical payment to Insurance Companies, Clubs, Societies, and Landowners. Bills Payment to shopkeepers/Finns etc. against payment of prescribed service charge.

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Documents required for current Deposit account:

The following documents duly completed shall be obtained from the customer at the time of opening of I. Individual/Joint A/C II. Partnership A/C III. Proprietorship A/C

IV. Societies, Clubs. Associations A/C •

Current Deposit account opening Form

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Specimen Signature Card

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Two copies of Passport size photograph duly authenticated by (he

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Photocopy of the Trade License Duty Attested

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Mandate or authority form for operating on an individual. Proprietorship is to be obtained if a customer wants to authorize another person to operate an account on his behalf

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Certified true copy of bye-laws/rules and regulations/ constitutions in case of societies, clubs, associations and limited Companies in case of corporations and autonomous bodies, Act/Ordinance etc.

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Certified true copy of the Resolution Authorizing opening and opening and operating of account with the Bank passed by the Executive Committee/Managing Committee of the Society/Club or Association, Limited Companies etc. In case of corporations and autonomous bodies copies of the Act or Ordinance showing authority to open account and letter from the authorized person in the absence of any board.

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List of members of the Executive Committee/List of Directors.

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Partnership Deed or in lieu there of partnership letter in case of partnership firms.

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Copy of Passport/Nationality Certificate/Voter ID of the persons operating and account

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KYC. Transaction Profiles

3.1.2 Savings account (SB): •

Savings Bank Account shall be opened in the name of adult individual o jointly in the names of two or more persons payable either or both or all of them or to the survivor or survivors.

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Savings account shall be opened in the names of Clubs, Associations and similar institutions.

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A savings a/c shall be opened with an initial cash deposit.

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No person shall be allowed to open more than one a/c in his/her name. But this /her name in respect of each minor child.

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Present and permanent address of the person in detail shall be obtained.

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Cheque book shall issue to the a/c holder having a minimum balance of TK.5000/=

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A saving a/c depositor shall deposit money as often as he wishes.

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The minimum balance required to be maintained at all limes is TK.5000/- and the bank reserves the right lo change the minimum balance requirement and/or to close such accounts without prior notice if the balance fails below this amount.

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A depositor can withdraw from his Savings Bank Deposit Account twice in a week, 25% of his/her balance or TK.25000/- whichever is lower. If any depositor wants to withdraw mote than 25% of (he balance or more than TK 25000/-.7 days prior notice is required to be served to the Bank for the information .otherwise the customer shall not be entitled to get interest for that month. To any depositor repeatedly withdraws more than 255 of the balance or more than TK.25000/- or more than twice in a week, service charge as applicable for Current Account shall he applicable to that SB account.

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Interest shall be applied on half yearly basis at the prescribed rates as advised by Head Office from time to time.

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Rates if interest shall be altered from time to time and the customer from die concerned Branch should ascertain this. Any alteration in me shall be displayed at the Branch premises.

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Interest shall be allowed only on account bearing a minimum balance of TK.5,000/- per calendar month. Subject to the foregoing, calculations shall be made for each calendar month on the lowest credit balance/monthly minimum balance in an account for that month.

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Statement of account shall be dispatched to all Account Holders by the Bank on a quarterly/half yearly basis as per desire of the customers to be specified in the a/c opening form while opening an a/c.

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It is in the interest of the account holder to inform the Bank of every change of address immediately for regularity of records.

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The Bank reserves the right to refuse or close any account without assigning any reason thereof.

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The bank reserves the right to stop issuance of new cheque book to any customer.

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Saving Bank Account shall not be allowed to be conducted as Current Account

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If the provisions of these rules are contravened continually the Bank shall be empowered to levy a service charge at its discretion.

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The Bank reserves the right to alter or introduce new rules al any lime.

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The depositor shall hold the Bank free from any and all responsibilities for and to indemnify the Bank against any loss or damage of funds, securities or properties deposited with the Bank due to any negligence on the part of the customer or any order of Government or other legal Authority, law, levy, tax,

embargo, moratorium, exchange restriction or any other causes what so ever beyond Bank's control.

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A serving account shall not allow being overdrawn.

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"Notice" stopping payment of any cheque shall be made by account holder in

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The Bank shall accept "Standing Instructions" from die account holders to owner Bills Payment to shopkeepers/Firms etc. against payment of prescribed service charge

 Documents required for savings accounts:

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Account Opening Form

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Specimen Signature Card

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Mandate or authority shall be obtained in case the customer wants to authorize another parson to operate the account

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Two copies of recent photograph of the A/C holder and mandate duly attested by the account holder.

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Copy of passport/Nationality Certificate/ Voter ID of the persons operating the account.

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KYC. Transaction Profile.

3.1.3 Special Notice Deposit (SND) Account: Special Notice Deposit (SND) is an interest bearing deposit where advance notice is required for

withdrawal. SND Account is very much similar to CD Account.

3.1.3.1 Features and Benefits •

Bank pays attractive interest.

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Personalized MICR Cheque Book is available.

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Nominal service charge.

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Any branch banking facility (Cash withdrawal and deposit from any branch)

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Bank accepts and supports Standing Instructions.

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Nomination facility is available to nominate beneficiary for account proceeds.

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Interest is payable on half yearly basis.

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Charge free statement of A/C, Balance Confirmation Certificate twice in a year on half yearly / yearly basis.

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Option is available to collect e - Statement on monthly basis.

3.1.3.2 Eligibility •

SND Account can be opened both for Individual and Corporate bodies.

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SND Account can be opened both for resident and non - resident Bangladeshi Nationals.

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Age bar for Personal SND Account: 18 years or above.

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Joint account can be opened.

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Minor account can be opened under the supervision of his / her / their guardian.

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Account can be opened in the name of Trust / Club / Association / Societies / Non - Trading Concerns.

3.1.3.3 Requirements Applicants must satisfy the following documentation requirements:  Personal Banking •

Photocopy of Citizenship Certificate / Passport / Voter I.D. Card / National I.D. Card / Driving License.

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Two copies of recent passport size photograph duly attested by the introducer.

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Certified document(s) for source of income.

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Tax Certificate.

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Proof of communication address: Photocopy of an Electricity Bill / Gas Bill / Wasa Bill / Telephone Bill.

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The account requires to be introduced by an existing and satisfactory account holder of Southeast Bank Limited.

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Initial deposit of Tk 5,000/- for urban clients and Tk 1,000/- for rural clients.

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Nominee form and photograph of nominee(s) (signature attested by the account holder). In case of minor nominee, copy of the birth certificate and photograph required;

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Personal Information Form.

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Transaction Profile.

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KYC Form.

 Corporate Banking •

Sole Proprietorship Concern

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Copy of valid Trade License;

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Declaration for opening foreign currency account duly filled in and signed;

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Recent passport size photograph(s) of signatory attested by the introducer.

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Photocopy of Citizenship Certificate / Passport / Voter I.D. Card / National I.D. Card / Driving License.

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Sole Proprietorship Declaration;

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Initial deposit of Tk 5,000/- for urban clients and Tk 1,000/- for rural clients.

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Official Seal;

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Tax Certificate;

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Personal Information Form.

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Transaction Profile;

•

KYC Form

 Partnership Concern •

Copy of Partnership Deed of the Firm (Registered / At least notarized);

•

Firm Registration Certificate (if registered);

•

List of Partners with their addresses;

•

Copy of valid Trade License;

•

Recent passport size photograph(s) of signatory / signatories attested by the introducer.

(Photograph(s) of the signatory / signatories of non - residents of Bangladesh shall be attested by the their respective Embassy / Mission authority);

•

Photocopy of Citizenship Certificate / Passport / Voter I.D. Card / National I.D. Card / Driving License. (Photocopy of valid Passport of the signatory of non - residents of Bangladesh shall be attested by the their respective Embassy / Mission authority);

•

Resolution of the partners of the firm for opening the account and authorization for its operation duly certified by managing partner of the firm;

•

Initial deposit of Tk 5,000/- for urban clients and Tk 1,000/- for rural clients.

•

Official Seal;

•

Tax Certificate;

•

Personal Information Form.

•

Transaction Profile;

•

KYC Form

 Private Limited Company •

Certified true copy of Certificate of Incorporation;

•

Certified true copy of the Memorandum & Articles of Association of the Company duly attached;

•

Certified true copy of Certificate of Commencement;

•

Certified true copy of Form XII of the company;

•

Extract of the Resolution of the Board Meeting of the Company for opening the account and authorization of its operation duly certified by the Chairman / Managing Director of the Company;

•

Recent passport size photograph(s) of signatory / signatories attested by the introducer.

(Photograph(s) of the signatory / signatories of non - residents of Bangladesh shall be attested by the their respective Embassy / Mission authority);

•

Photocopy of Citizenship Certificate / Passport / Voter I.D. Card / National I.D. Card / Driving License. (Photocopy of valid Passport of the signatory of non-residents of Bangladesh shall be attested by the their respective Embassy / Mission authority);

•

List of Directors with addresses;

•

Copy of valid Trade License;

•

Official Seal with designation;

• •

Initial deposit of Tk 5,000/- for urban clients and Tk 1,000/- for rural clients.

Tax Certificate;

•

Personal Information Form.

•

Transaction Profile;

•

KYC Form;

 Public Limited Company: •

Certified true copy of Certificate of Incorporation;

•

Certified true Copy of the Memorandum & Articles of Association of the

Company

duly attached; •

Certified true copy of Form XII of the company;

•

Extract of the Resolution of the Board Meeting of the Company for opening the account and authorization of its operation duly certified by the Chairman / Managing Director of the Company;

•

Recent passport size photograph(s) of signatory / signatories attested by the introducer.

(Photograph(s) of the signatory / signatories of non - residents of Bangladesh shall be attested by the their respective Embassy / Mission authority);

•

Photocopy of Citizenship Certificate / Passport / Voter I.D. Card / National I.D. Card / Driving License. (Photocopy of valid Passport of the signatory of non - residents of Bangladesh shall be attested by the their respective Embassy / Mission authority);

•

List of Directors with addresses;

•

Copy of valid Trade License;

•

Official Seal with designation;

•

Initial deposit of Tk 5,000/- for urban clients and Tk 1,000/- for rural clients.

•

Tax Certificate;

•

Personal Information Form.

•

Transaction Profile;

•

KYC Form;

 Trusts / Clubs / Associations / Societies / Co - operatives / NGO / Non - trading Concerns •

Certified true copy of the constitution / By - Laws / Trust Deed / Memorandum and Articles of Association;

•

Certificate of Registration of the Association / Club / Charity / Trust / Society / Co operative / NGO / Non - trading concern for inspection and return (along with a duly certified photocopy for Bank’s records);

•

List of members of the Governing Body / Executive Committee of the Association / Club / Charity / Trust / Society / Co-operative / NGO / Non - trading concern with their addresses;

•

Extract of Resolution of the Association / Club / Charity / Trust / Society / Co operative / NGO / Non - trading concern for opening the account and authorization of its operation duly certified by the Chairman / Secretary of the Association / Club / Charity / Trust / Society / Co-operative / NGO / Non - trading concern etc.

•

Recent passport size photograph(s) of signatory / signatories attested by the introducer.

(Photograph(s) of the signatory / signatories of non - residents of Bangladesh shall be attested by the their respective Embassy / Mission authority);

•

Photocopy of Citizenship Certificate / Passport / Voter I.D. Card / National I.D. Card / Driving License. (Photocopy of valid Passport of the signatory of non-residents of Bangladesh shall be attested by the their respective Embassy / Mission authority);

•

Official Seal mentioning designation

•

Initial deposit of Tk 5,000/- for urban clients and Tk 1,000/- for rural clients.

•

Personal Information Form.

•

Transaction Profile;

•

KYC Form

 Fees & Charges •

Bank & NBFIs : 3.00%

•

Corporate Premium Account (average balance Tk 100 crore & above): Will be fixed upon specific approval from Head Office on case case basis.

•

Mother Account (IPO): Will be fixed upon approval from Head Office on case to case basis.

•

Cheque Book Issuance fee

•

Taka 150/- for cheque book of 20 leafs

•

Taka 300/- for cheque book of 50 leafs

•

Standing Instruction charge TK 100 for compliance of each Instruction

•

Account Closing Charge Taka 350/-.

•

VAT applicable for all fees & charges @15%.

•

Half yearly Service Charge

•

Taka 1,000/- on each account of urban branches.

•

Taka 500/- on each account of rural branches.

•

Online Transactions - free of service charge..

Special Notice Deposit (SND) Customers Below Tk. 1.00 Crore

Tk. 1.00 Crore & Tk. 25.00 Crore & Tk. 50.00 Crore & above but below above but below above but below Tk. 100.00 Crore Tk. 25.00 Crore Tk. 50.00 Crore Tk. 100.00 Crore & above

4.50%

5.00%

5.50%

6.00%

8.00%

Mother Account (IPO): Will be fixed upon approval from Head Office on case to case basis.

3.1.4 Short term Deposit A/C: •

Short Term Deposit A/C [STD/Special notice deposit account are opened usually by Corporations, Banks, Financial Institutions. Public Limited

•

The deposits held in these accounts shall be payable on 7 to 30 days prior notice. IF otherwise, interest for the month shall not be allowed.

•

The rate of interest on such deposit is subject to change to be fixed by Head Office from time to time.

•

Interest shall be paid in the client's account on daily product basis to be calculated at the end of each calendar year.

•

Statement of account shall be dispatched to all account holders by the Bank on a monthly/quarterly/half yearly basis as per desire of the customers to be specified in the A/C

opening form while opening an A/C.  Documents required for short term Deposit Account: Short term deposit account shall be opened in the account opening forms used for current deposit account and the documents required for current A/C shall be equally applicable for STD A/C. In case of a STD A/C on the lop of current deposit A/C opening form the word -"Short Term Deposit Account" shall be written in the block letters and the notice period shall be noted on the Specie] Instructions column.

3.1.5 Fixed Deposits A/C:

•

Fixed deposits are neither transferable nor negotiable.

•

Fixed Deposits shall be opened singly or jointly

•

Fixed Deposits shall be opened in the name of a minor jointly with the guardian

•

Fixed Deposits shall be opened tot a period of one month and above

•

Interest on Fixed Deposits shall be payable at the rates fixed by Head Office from time to time, depending on the period of maturity.

•

The branch shall take prior written approval from Head Office on case-to-case basis in case of issuance of any FDRs for the period above one year.\

• •

Interest accrued on FDRs shall be paid only on maturity of the instruments.

In case of pre-mature encashment of FDR, interest shall be paid as per the circular to be issued by Head Office from time to time.

•

Different amounts of FDR purchased on different dates by any depositor shall be considered as separate deposits and rate of interest shall be applied as per the prescribed rate sheet for those deposits.

•

Payment of FOR shall be made on demand after the expiry of the maturity period on presentation of FDR duly discharged by the depositors(s).

•

The FDR shall be paid before die expire of the maturity period at the request of the party. For payment of interest on premature FDR Head Office Circular issued from lime to time, is to be followed.

•

If an FDR is issued to one individual, additional name(s) shall be added/ included in the FDR at his request.

•

If FDR is in joint names and request for adding additional named.) comes of all other depositors.

•

Each time FDR is opened it shall be considered as a separate contract.

•

Various deposits in the name of (be same depositor or in the names of the

 Documents required for FDR Account: •

Account opening form for FDFL

•

Specimen Signature card.

•

KYC

3.1.6: Special savings Schemes: The types of special purpose Deposits/Savings schemes along with their operational procedures are: 3.1.6.1 Pension saving scheme (PSS):

•

With this scheme One can save on a monthly basis and this shall ultimately grow into a large amount of money the duration of 4, 6, 8 and 10 years.

•

Monthly installment size to be deposited TK500/ or multiple up to TK.25000/-

•

A person of 18 years of age and above can open the account.

•

A person can open more than one PSS account for different amount at any branch of the Bank and in such case separate form shall be filled.

•

The applicant shall open a Cc/Saving Account with the branch from where monthly installment shall be realized automatically.

•

Separate photograph and introduction shall not be required for PSS account as this is covered in his/her SB/CD account opened with the bank.

•

PSS account can be opened any time of the month. But if the account is opened after 10 th of any month in That case 1st installment shall be due from the following month and shall be realized m the following month.

•

The account holder shall give a standing instruction to the branch and installments shall be realized to the PSS account by debiting designated CD/SB account within the first 5 (five) working days of the month.

•

An account holder requires nominating one or more person(s)s) as his/her nominee(s).

•

PSS account can be opened at any working day of the month.

•

One can close the account before maturity.

Customer Friendly Monthly Deposit Schemes Installment

Amount built Amount built Amount built Amount built up after up after 6years up after up after 10years

Pension Savings Scheme (P.S.S.)

•

Size (Tk)

4years (Tk)

(Tk)

8years (Tk)

(Tk)

500.00

30.500.00

52,000.00

78,000.00

1,11, 500.00

1,000.00

61,000.00

1,04,000.00

1,56,000.00

2,23,000.00

1,500.00

91,500.00

1, 56,000.00

2,34,000.00

3,34,500.00

2000.00

1,12,000.00

2,08,000.00

3,12,000.00

4.46,000.00

2,500.00

1,52,500.00

2,60,000.00

3,90,000.00

5,57,500.00

3,000.00

1,83,000.00

3,12,000.00

4,68,000.00

6,69,000.00

Maturity values of PSS in different period

3.1.6.2 Monthly saving scheme (MSS):

•

With this scheme One can save on a monthly basis and this shall ultimately grow into a large amount of money the duration of 3 years or 5 years

•

Monthly installment size to be deposited TK500/ or multiple up to TK.25000/-

•

A person of 18 years of age and above can open the account.

•

A person can open more than one MSS account for different amount at any branch of the Bank and in such case separate form shall be filled.

•

The applicant shall open a Cc/Saving Account with the branch from where monthly installment shall be realized automatically.

•

Separate photograph and introduction shall not be required for MSS account as this is covered in his/her SB/CD account opened with the bank.

•

MSS account can be opened any time of the month. But if the account is opened after 10 th of any month in That case 1st installment shall be due from the following month and shall be realized m the following month.

•

The account holder shall give a standing instruction to the branch and installments shall be realized to the MSS account by debiting designated CD/SB account within the first 5 (five) working days of the month.

•

An account holder requires nominating one or more person(s) as his/her nominee(s).

•

MSS account can be opened at any working day of the month.

•

One can close the account before maturity.

Monthly Scheme

Saving (MSS)

Monthly Installment

Approximate Matured Amount (Taka)

500.00

3 Years 21,405.00

5 Years 40,750.00

1,000.00

42,810.00

81,500.00

1,500.00

64,215.00

1,22,25000

2,000.00

75,620 00

1,63,000.00

2,500.00

1,07,025.00

2,03,750.00

3.000.00

1,28,430.00

2,44,500.00

3,500.00

1,49,835.00

2,85,250.00

4,000.00

1,71 ,240.00

3,26,000.00

4,500.00

1,92,645.00

3,66,000.00

5,000.00

2,14,050.00

4.07,500.00

 Maturity value, of MSS in different period 3.1.6.3: Monthly income Scheme (MIS):

•

The Bank introduced "Monthly Income Scheme (MIS)" which shall generate a regular fixed monthly income to meet individuals' various needs.

•

Duration of the account: 3 (three years and 5 (five) years.

•

Amount to be deposited: TK. 100000/- or it's multiple

•

Deposited amount shall be returned on maturity.

•

Amount of fixed monthly income to be paid as per HO circular issued from time to time.

•

An account holder may close the account at time by a written application by giving reasonable notice in writing to the branch concerned.

•

All rules/instructions/operational procedures to be followed as per the HO circular to be issued from time to time.

3.1.6.4: Millionaire Deposit Scheme (MDS) Account: Millionaire Deposit Scheme is a time specified monthly deposit scheme for clients where the deposited money will become millions on maturity.  Features and Benefits •

Tenor: 4,5,6,7,8,9 and 10 years term;

•

Deposit on monthly installment basis;

•

Attractive rate of interest;

•

Account can be opened at any working day of the month;

•

Monthly installment can be deposited through a standing debit instruction from the designated CD/SB Account;

•

Monthly installment can be deposited in advance;

•

An account can be transferred from one branch to another branch of the bank;

•

Credit facility for maximum of 2 years can be availed at any time during the period of the scheme;

•

Allowed to open more than one MDS Account for different amount at any branch of the Bank;

 Eligibility •

MDS Account can be opened both for Individual and Corporate bodies.

•

Only Resident Bangladeshi National is allowed to open Personal MDS Account.

•

Age bar for opening of Personal MDS Account: 18 years or above.

•

Joint account can be opened.

•

Minor account can be opened under the supervision of his / her / their guardian.

 Fees & Charges •

Account transfer fee is Taka 500/-;

•

Account closure fee is Taka 500/-;

•

Penalty of Taka 200/- for failure to pay monthly installment within the stipulated time;

•

VAT applicable for all fees & charges @15%.

3.1.6.5: Double Benefit Scheme (DBS) Account: Double Benefit Scheme is a time specified deposit scheme for clients where the deposited money will be doubled on maturity.  Features and Benefits • Amount to be deposited TK 10,000 or its multiple; • Deposited amount will be doubled in 7.5 years; • Account can be opened at any working day of the month; • Allowed to open more than one DBS Account at any branch of the Bank; • Loan facility against lien of DBS Account; • The Scheme is covered by Insurance and Insurance Premium is borne by the bank; • Premature closure facility.  Eligibility •

DBS Account can be opened both for Individual and Corporate bodies.

•

Only Resident Bangladeshi National is allowed to open Personal DBS Account.

•

Age bar for opening of Personal DBS Account: 18 years or above.

•

Joint account can be opened.

•

Minor account can be opened under the supervision of his / her / their guardian.

 Fees & Charges •

No fees and charges

3.1.6.6: Fixed Deposit Receipt (FDR):

Fixed Deposit Receipt offers the customers the opportunity to invest a fixed amount for a fixed period at a fixed rate of interest. The customers have the option to re - invest their funds both principal amount and interest amount on maturity or principal amount and the interest amount being paid into their SB or CD accounts.  Features and Benefits • Money can grow with attractive interest rate with flexible tenure.

• Automatic renewal facility at maturity.

• Loan facility against FDR to meet urgent financial needs.

• The customer may avail loan facilities against FDR as security.

• Premature closure facility at savings rate.  Eligibility •

FDR Account can be opened both for Individual and Corporate bodies.

•

Only Resident Bangladeshi National is allowed to open Personal FDR Account.

•

Age bar for opening of Personal FDR Account: 18 years or above.

•

Joint account can be opened.

•

Minor account can be opened under the supervision of his / her / their guardian.

•

FDR can be issued for senior citizen with attractive rate.

 Fees & Charges Both Individuals and Corporate.

Below Tk. 1.00 crore

Tk. 1.00 crore & above

5.50%

6.00%

b. 2 (two) months

6.00%

6.50%

c. 3 (three) months

8.75%

9.00%

d. 6 (six) months

8.75%

9.00%

8.75%

9.00%

Fixed Deposit For a. 1 (one) month

e. 1 (one) year

For Senior Citizen Scheme: 9.25% (For any amount)

3.1.7 Loans & Advances 3.1.7.1: Working Capital Finance: This is a loan facility designed to meet day to day operation of business concerns and manufacturing companies.  Features and Benefits • Easy Documentation.

• Fast Processing.

• Any branch banking facilities.

• Individual & Global limit facility for the customer.  Eligibility •

A viable business case for financing.

•

Feasibility report

•

Loan Application

•

Sets of documents based on financing requirements.

 Fees and charges •

13% p.a. at quarterly rests subject to change(s) that may be made by the Bank from time to time

•

Standard processing fee.

3.1.7.2: Overdraft: This is a demand credit facility to meet day to day operational requirements. 

Features and Benefits •

OD against hypothecation of stock of goods in trade / raw materials

•

OD limit against assignment of bills receivables / work orders

•

OD against cash collateral

•

OD under earnest money scheme

•

Tenure of OD is one year

•

Easy Documentation.

•

Lower Cost & Fast Processing

•

Easy to use and easy to pay facility

•

Freedom to use limit through Cheque Book, ATM, Online Transfer etc.

•

Any branch banking facilities.

•

Global limit exposure for the client

•

Interest payable on the account utilized.

 Requirements •

A viable business case for OD facility

•

Collateral securities

 Fees & Charges •

13% p.a. at monthly / quarterly rests subject to change(s) that may be made by the Bank from time to time.

•

Standard processing fee.

3.1.7.2: Project Finance: This is a term loan facility provided by the Bank for acquisition of fixed assets and machinery for any Project.  Features and Benefits •

Term finance.

•

Financing for turnkey projects.

 Requirements •

A viable business case.

•

Project feasibility report.

•

Loan Application.

•

Sets of documents based on type of project and nature of financing.

3.1.7.3: Syndicated Loan: Large projects are financed through raising funds through participation of more than one bank by joint financing against a set of common terms and conditions laid down in a loan agreement.

 Features and Benefits •

Borrowers can access from a diverse group of financial institutions for funding.

• Funds can be raised at competitive price.

• Flexibility in structuring & pricing.

• Save the time and efforts of approaching / negotiating with individual banks for sanction.

• We work as lead Bank / Arranger / Participant / Syndicate Agent.  Requirements • A viable business case • Project feasibility report • Loan Application • Sets of documents based on type of project and nature of financing requirements.

3.1.7.4: Packing Credit: We provide pre - shipment finance in the form of Export Packing Credit (PC) to assist cash flows for manufacturing or packing goods for export from Bangladesh.  Features and Benefits •

Easy Documentation.

•

Fast Processing.

•

It is a revolving limit for one year but renewable.

•

Allow the Exporter to purchase of raw materials, cost of processing the same to

finished goods, packing and dispatching of goods.

•

PC disbursement made case to case basis with an expiry date up to 90 - 180 days.

•

Global Loan Limit exposure for the client.

•

Case to case PC limit determines against each export LC on the basis of export LC / Accepted BTB bills.

•

Increase the present cash flow of the exporter to improve the financial condition and strengthen the financial ability.

•

Online Banking facilities for repayment

 Requirements • Application received from the customer for disbursement of PC. • Viability report along with business proposal.

• Photograph of signatory to be attested by Chairman of the company.

• Copy of valid trade license • Official seal with designation • Tax Certificate • KYC Form • Transaction Profile  Fees and charges • Application Form for request for loan facility – Taka 250/-.

• 2% on approved loan amount.

• We are realizing only interest (i.e. 7% p.a. at quarterly rest or as fixed by Head Office from time to time) from PC account.

• Half yearly Service Charge: • Taka 1,000/- on each account for urban clients • Taka 500/- on each account for rural clients

3.1.7.5: Loan Against Export Bill: This is a demand loan facility for the exporters in the form of negotiation or acceptance of export bills by the Bank.  Features and Benefits • Easy Documentation.

• Fast Processing.

• Local or Foreign Bill negotiation or acceptance.

• Increase the present cash flow of the exporter to improve the financial condition and strengthen the financial ability.

• Simplify the financial procedure.

• Global loan limit exposure for the client.

• Any branch banking facilities for repayment.  Requirements • Export LC / Contract submission by the Exporter at the time of negotiation / collection of documents.

• Photograph of signatory to be attested by Chairman of the company.

• Copy of valid trade license.

• Official seal with designation.

• Tax Certificate.

• KYC Form.

• Transaction Profile.

 Fees and charges • Application Form for request for loan facility – Taka 250/-.

• 2% on approved loan amount.

• 7% or 13% p.a. at quarterly rest or as fixed by Head Office from time to time.

• Document negotiation charge @ minimum TK. 1000 per documents.

• Postage charges at actual.

3.1.7.6: Loan Against Trust Receipt: We provide post shipment finance i.e. LTR to manage immediate liquidity of importers.  Features and Benefits • Easy Documentation.

• Fast Processing.

• Allow an importer to take possession of the goods for resale.

• Increase the present cash flow of the exporter to improve the financial condition and strengthen the financial ability.

• Global loan limit exposure for the client.

• Online banking facilities for repayment.  Requirements • Application received from the customer for LTR facility.

• Photograph of signatory to be attested by Chairman of the company.

• Copy of valid trade license • Official seal with designation • Tax Certificate • KYC Form • Transaction Profile  Fees and charges • Application Form for request for loan facility – Taka 250/-.

• 2% on approved loan amount.

• 13% p.a. at quarterly rests subject to change(s) that may be made by the Bank from time to time.

• Half yearly Service Charge: • Taka 1,000/- on each account for urban clients • Taka 500/- on each account for rural clients 3.1.8 Islamic Banking: • Mudaraba Savings (SB) Account • Al - Wadiah Current (CD) Account • Mudaraba Short Term Deposit (STD) • Mudaraba Fixed Deposit Receipt • Mudaraba Double Benefit Scheme • Mudaraba Millionaire Deposit.

• Mudaraba Hajj Sanchay Prokalpa 3.1.9 Western Union Money Transfer Services Western Union, a global leader in money transfer service, helps to send money to loved ones quickly and reliably with convenience and control through more than 245,000 Western Union Agent locations in over 200 countries and territories. Western Union money transfer service is ideal for transferring money virtually at any time, anywhere, providing a high level of security, flexibility and reach with the fastest, easiest money transfer solutions.

With the signing of the Representation Agreement between Western Union Financial Services, Inc., U.S.A. and Southeast Bank Ltd., Bangladeshi Wage Earners abroad can now send their hard - earned money through Western Union and their families and friends can receive the money in minutes by visiting any of the 56 branches and 10 SME locations of Southeast Bank Ltd. all over Bangladesh.

The Beneficiary does not have to pay any fee to receive the money transfer.

With Western Union and Southeast Bank Ltd., money transfer has never been so easy; it is a 3 step process:  The sender will receive money receipt with Money Transfer Control Number (MTCN) from any of the Western Union agent location outside Bangladesh after depositing money.

 The sender will inform the money transfer detail (amount of money sent, sender's name, receiver's name, destination country, and MTCN) to the receiver.  The receiver will receive the money from any of the 66 Branches of Southeast Bank Ltd. by showing a valid Identification and filling a form.

Money transfers can be received from 10:00 A.M. to 4:00 PM on Sunday through Thursday and from 10:00 A.M. to 12:00 PM on Saturday in 17 Authorized Dealer branches.

3.1.10 Dual Currency VISA Credit Card 3.1.10.1: Features and Benefits:  •

Single Card-Dual Use (Local & International): SEBL Visa (Dual) Credit Card has unique feature of allowing limits both for local and international usage in a single card. However, one may opt for separate cards if he / she find the same convenient for him / her. SEBL Visa (Dual) Credit Card is accepted at any merchant locations or payment counters displaying Visa logo in any part of the world.

 Widely Accepted at Merchants & ATMs Worldwide  Competitive Annual / Renewal Fee  20 - 50 Days Interest Free Credit Facility: •

SEBL Visa Credit Card allows free credit facility on purchase up to minimum 20 days and maximum 50 days without any interest if there is no outstanding amount on the card account in the previous month's bill.

 50% Cash Drawing Facility at ATMs and any Southeast Bank Branch: •

SEBL Credit Cardholder can draw cash up to 50% of the credit limit against his / her card.

Cash may be drawn from all ATMs or payment counters having Visa logo. Cash withdrawal facility is also available from any of our branches across the country. No interest free grace period is available for any cash advance.

 100% Cash Drawing Facility at purchase mode through Card Cheque: •

Cardholders can issue Account Payee Card Cheque against local limit. Transaction mode of Card Cheque will be treated as Purchase.

 Easy Repayment: •

Cardholder has also the option of paying a minimum of 5% of his / her bill amount every month and thus can enjoy the flexibility to plan repayment in installment basis.

 Auto Payment facility: •

If a cardholder maintains an account with any of the SEBL branches, he / she can instruct us to realize the monthly bill against his / her credit card from his / her SB/CD/STD account automatically.

 Payment of International Roaming Bill of Mobile Phone: •

Cardholder can pay his / her international roaming bill of cell phone through Credit Card.

 Auto Debit Facility of Mobile Phone Post Paid Subscribers.  Free Supplementary Cards: •

Supplementary cards are issued against a Principal Card. While each supplementary cardholder will have his / her own independent usage within the principal card - holder's credit limit, the expenses will be charged to the principal card - holder's account. Separate limit but not exceeding the principal may be fixed for each supplementary card.

 •

SMS Push - Pull Service: Cardholder can enquire about his / her credit card status through his / her cell phone.

•

Push services: 1. Transaction alert 2. Bill status

•

Pull services: 1. Balance enquiry 2. Statement status 3. Minimum due status 4. Last transaction enquiry

 24 hours Customer Service.

3.1.10.2: Rate of Interest: • Any amount that remains outstanding after the payment due date will attract an interest @ 2.50% per month calculated on daily basis from the date of transaction until the entire amount is paid in full.

• In case of cash advance, the interest @ 2.50% per month will be charged and calculated on daily basis from the date of transaction until cash advance is paid in full.

3.1.11 SWIFT Services The Society for Worldwide Inter Bank Financial Telecommunication ("SWIFT") operates a worldwide financial messaging network. Messages are securely and reliably exchanged between banks and other financial institutions. Southeast Bank Limited has SWIFT services. The Bank's SWIFT address is SEBD BD DH. 3.1.12 Locker Service A client must have a CD or STD or SB or any type of account in the respective branch where they wants to avail the locker service.

3.1.13 SMS Banking o

o

Pull Services: •

Account Balance Inquiry

•

Foreign Currency Exchange Rate

•

Branch Location / Telephone No.

•

ATM Booth Location

Request Services: •

Fund Transfer

•

Mobile Bill Payment

•

Cheque Book Request

o Execution Services: •

Stop Payment

•

Stopped Cheque Leaf Reactivation

•

PIN Change

o

Alert Services: •

Debit Alert

•

Clearing Cheque Return Alert

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Loan / Time / Scheme Deposit Maturity Alert

3.1.14 Foreign Trade o

o

Export: •

Export LC Advising

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Export Packing Credit

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Export Bill Negotiation

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Retention quota facility for the exporter

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Provide complete documentation, lower cost, faster processing.

Import: •

Import Services

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Import Letters of Credit

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Import Collection Bill Services

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Back to Bank L/C facility against Export LC.

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Post shipment finance such as LIM, LTR etc for your immediate liquidity.

3.2: PRICING MIX The pricing decisions or the decisions related to interest and fee or commission charged by banks are found instrumental in motivating or influencing the target market.

The pricing policy of a bank is considered important for raising the number of customers’ vis-à-vis the accretion of deposits. Also the quality of service provided has direct relationship with the fees charged. Thus while deciding the price mix customer services rank the top position.

The banking organizations are required to frame two- fold strategies. First, the strategy is concerned with Profit and fee charged and the second strategy is related to the Profit paid. Since both the strategies throw a vice- versa impact, it is important that banks attempt to establish a correlation between two. It is essential that both the buyers as well as the sellers have feeling of winning.

Pricing Bank Products Starts With Three Basic Questions.

i. What rate does the bank need to meet its financial objectives?

The answer is, “it depends.”

Some considerations for loan and deposit pricing are: •

ROA or ROE objectives

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Related income taxes

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Earning assets to total assets

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Equity-to-asset ratio

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Cost to service earning assets being funded or deposits funding an earning asset

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Pricing for the activities and risks associated with the product

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Rate tiers based on product balances

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Asset and liability mix

Another element to consider in the pricing of earning assets is the risk of loss. Most notably, this is relevant in loan pricing. Many banks assign a risk weighting to individual loans over a certain size or based on loan type and assign a credit risk charge based on those ratings.

Customer relationships are difficult to assign a value to in the pricing process. Customers will generally press for some price concessions in consideration of other relationships they have with the bank.

Asset and liability mix also impacts pricing results. Generally speaking, banks operating with higher loan-to-asset ratios are able to afford to pay more for deposits. Likewise, banks can afford to be more competitive on certain deposit products if they have fewer maturities in a particular timeframe or less total outstanding balances in a product line.

ii. What is the market rate for the core product?

Customers have more distribution channels available to them today than at any other point in history.

In the past 10 years, the number of bank locations has increased quite a much. Of course, there are the mortgage bankers, the Internet, and a host of other financial service providers competing for bank’s customer’s loan and deposit business.

The point is the competitive marketplace always ensures that if a financial institution is charging too much for loans or paying too little for deposits, its share of the market will likely dwindle as existing and prospective customers find alternative providers. Bank can do all maths you want to determine

required pricing points, but if bank’s pricing is uncompetitive, its market share will shrink.

iii. What would the bank have to do to sales and operations to make its rates the most competitive in its market?

Pricing is a key issue for the associates who sell bank products to your customers. The fact is, lenders want the lowest rates, and people dealing with depositors want to pay the highest rates. Bank need the right balance of fee income, strategies to reduce operating costs, and a healthy asset and liability mix to change bank’s required pricing.

Based on these the bank has set the service charge for a current account Tk. 350/- per six month and for current account Tk. 500/- per six month. For different type of loan bank are charging customers in the form of interest rate and for some other services like money transfer through different system they are charging based on the system or negation with the company like Western Union, Placid Express etc.

3.3: PLACE This component of marketing mix is related to the offering of services. The services are sold through the branches.

The two important decision making areas are: •

Making available the promised services to the ultimate users

•

Selecting a suitable place for bank branches.

The number of branches of SEBL: 59 in Bangladesh and 30 in the Dhaka.

Location of the Branches: SEBL has always try to be with its customer that is why wherever a feasible amount of potential customer is there they had put a branch near to that. SEBL is a leading bank of the country but not with maximum branches. They have gone for meeting maximum customer’s need with minimum possible branches as branch increases cost for the bank. So they have put 59 branches in most priorities areas according to their study. They are always observing market and researching over it to bring out maximum benefit out of the existing market. So we can find a

branch of SEBL every nearby location either commercially, economically important. They tried to match their profitability by fulfilling their targeted customer’s need.



Why they select this place (Shyamoli Branch) as branch?

•

The selection of a suitable place for the establishment of a branch is significant with the view point of making place accessible.

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The safety and security provisions convenient to both the parties, such as the users and the bankers.

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Shyamoli is the middle point. Because, Darus Salam, Mirpur-1, Adabor, Mohammadpur, Agargang are around the place. There are so many small, medium, and large industries and it is a very good place to do banking with.

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Infrastructure facility: Near to bus stop and located just beside where three roads has meet and well crowded area.

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Market coverage is very well.

 Location of ATMs: Southeast Bank Limited is a member of the E-cash Shared ATM Network.

E-Cash has a network of 32 ATM's located in strategically important locations on five important cities / towns of the country namely: Dhaka, Chittagong, Sylhet, Cox's Bazar and Rajshahi. We are providing ATM service coverage to our 30 branches. SEBL has established its booths in an environment where customers can take maximum benefit out of it. That is why they have chosen place like: •

Commercial Place

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With branch

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Market place

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Student gathering place

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Shopping mall

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Regular public gathering places

3.4: PROMOTION MIX

Promotion mix includes advertising, publicity, sales promotion, word- of-mouth promotion, personal selling and telemarketing etc. Each of these services needs to be applied in different degree. These components used in the SEBL’s banking business in the following ways: •

Advertising: Advertising is paid form of communication. Banking organizations use this component of the promotion mix with motto of informing, sensing and persuading the customers. SEBL is promoting different kind of advertisement time to time on television channels by showing their offering to their existing and potential customers.

•

Print media: The bank gives different kinds of advertisement in newspapers and magazines about different product, or news. These normally included their recent activities like signing some contracts with other companies, launching new product, annual meeting, money transfer facility with Western Union, big financing together with other bank(s), different kind of notices, job openings, sponsoring some event etc. They also have poster, billboards, leaflet, signage, logo and bank’s name printed in their different kind of officially used instruments like cheques, forms, files etc.

•

Publicity: For the purpose of publicity SEBL took different steps time to time. Among them road shows, campus visits, sponsorship is very often founded. On the completion of 15 years of banking the bank decorate every branches, launch road shows, give away flower to customers from the branch to selected customers are done as a part of it recently. Sometimes SEBL goes to different campus to facilitate and give information to student customers about the banks offerings. SEBL also sponsors different type of events. These includes different knowledge based shows, cultural shows, band shows, sports event etc. They provide leaflet form branches about different offerings and the bank as a part of their publicity. From almost every branch greeting cards on different occasion like anniversary of the bank, eid, New Year (Bangla and English) etc.

•

Sales promotion: As a part of sales promotion the bank time to time gives gifts, special offer, commission, incentives time to time to its customers. They give gifts on special occasions, send greeting cards and offer other facilities on special occasion or special customers.

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Personal selling: The bank encourages personal selling rather pushes personal selling through its employees. Time to time they gives target to every employee to achieve certain amount of account opening under their references, bring customers for applying for loans.

•

Word-of- Mouth: Much communication about the banking services actually takes place by word- of- mouth information, which is also known as word- of- mouth promotion. The oral publicity plays an important role in eliminating the negative comments and improving the services. This also helps the banker to know the feedback, which may simplify the task of improving the quality of services. SEBL is trying its best to provide standard service to its customers so that they produce word-of-mouth marketing for them.

3.5: PROCESS

Whenever we talk about process of a service organization first thing that comes in my mind is the service blueprint of that organization. In Figure 3.1 we will see the service blueprint for SEBL, Shyamoli Branch.

 Service Blueprint of SEBL In the figure first we can see some components as physical evidence of the branch. Then in customer part a customer enters into the bank suppose to open a new saving account. At first he is greeted by the doorman (onstage) and asked reason for coming into the bank. When the customer tells him that he is here to open a saving account the doorman directed him to the front desk. Information “where to open a saving account” was in his mind because the management has provided him that kind of information on briefing. Doorman introduces him to the officer in front desk and if there is gathering, customers asked to maintain serial.

When his turns comes officer tells him about the specification of saving account and other schemes.

When customer chooses saving account the officer gives him the form and instructs him how to fulfill it. After customer complete the form and done with other required activities the officer input the required information by the computer system they are using and notify them that their account has been opened successfully and they can operate it now with a specific account number. So the customer leaves the branch by opening his saving account Now let’s see the banking process in another way.

•

Flow of activities: There has to be adherence to certain rules and principles in the banking operations. The activities have been segregated into various departments accordingly.

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Standardization: SEBL has got standardized procedures got typical transactions. In fact not only all the branches of a single-bank, but all the banks have some standardization in them.

This is because of the rules they are subject to. Besides this, each of the banks has its standard forms, documentations etc. Standardization saves a lot of time behind individual transaction.

•

Customization: There are specialty counters at each branch to deal with customers of a particular scheme. Besides this the customers can select their deposit period among the available alternatives.

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Number of steps: numbers of steps are usually specified and a specific pattern is followed to minimize time taken.

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Simplicity: In SEBL various functions are segregated. Separate counters exist with clear indication. Thus a customer wanting to deposit money goes to ‘deposits’ counter and does not mingle elsewhere. This makes procedures not only simple but consume less time.

•

Customer involvement: ATM does not involve any bank employees. Besides, during usual bank transactions, there is definite customer involvement at some or the other place because of the money matters and signature requires.

3.6: PEOPLE All people directly or indirectly involved in the consumption of banking services are an important part of the extended marketing mix. Knowledge Workers, Employees, Management and other Consumers often add significant value to the total product or service offering. It is the employees of a bank which represent the organization to its customers.

In a bank organization, employees are essentially the contact personnel with customer. Therefore, an employee plays an important role in the marketing operations of a service organization. To realize its potential in bank marketing, SEBL become conscious in its potential in internal marketing - the attraction, development, motivation and retention of qualified employee-customers through need meeting job-products. Internal marketing pave way for external marketing of services. In internal marketing a variety of activities are used internally in an active, marketing like manner and in a coordinated way.

The starting point in internal marketing is that the employees are the first internal market for the organization. The basic objective of internal marketing is to develop motivated and customer conscious employees. A service company can be only as good as its people. A service is a performance and it is usually difficult to separate the performance from the people. If the people don’t meet customers' expectations, then everything will be lost. Therefore, investing in people’s quality in service based business means investing in product quality.

3.7: PHYSICAL EVIDENCES Physical evidence is the material part of a service. Strictly speaking there are no physical attributes to a service, so a consumer tends to rely on material cues. There are many examples of physical evidence, including some of the following: •

Internet/web pages

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Paperwork

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Counter

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Machineries used in banking (e.g. calculator, money counter, protector etc)

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Brochures

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Furnishings

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Business cards

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Computers

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Server

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Security cameras

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The building itself

The physical evidences also include signage, reports, punch lines, other tangibles, employee’s dress code etc.

•

Signage: each and every bank has its logo by which a person can identify the company. Thus such signages are significant for creating visualization and corporate identity.

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Financial reports: The Company’s financial reports are issued to the customers to emphasis or credibility.

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Tangibles: Bank gives pens, writing pads to the internal customers. Even the passbooks, chequebooks, etc reduce the inherent intangibility of services.

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Punch lines: Punch lines or the corporate statement depict the philosophy and attitude of the bank. Banks have influential punch lines to attract the customers.

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Employee’s dress code: SEBL bank follows a dress code for their internal customers. This helps the customers to feel the ease and comfort.

CHAPTER-4 4.0 GAP ANALYSIS: 4.1 CUSTOMER GAP:

Expected service Customer gap

Perceived service

Analysis: •

Many clients do not exactly know what the bank charges for their different services. For example, account closing charge, transfer charge.

•

Many clients do not know that the bank charges a fixed amount after six months.

•

Some do not understand the terms and conditions of the bank.

4.2 THE PROVIDER GAP: 4.2.1 GAP-1: Not knowing what customers expect

 Southeast Bank has the following problems: •

Insufficient marketing research

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Lack of interaction between management and customers.

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Lack of market segmentation.

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Lack of encouragement to listen to customer complaints.

4.2.2 GAP-2: Not selecting the right service designs and standards.

 Southeast Bank has the following problems: • •

Their service standard is not so good.

Customers do not have clear and specific idea about their service.

•

Service is not customer driven

•

The bank does not have any formal process for setting service quality.

4.2.3 GAP-3: Not delivering to service design and standards.

Southeast Bank has the following problems:  SEBL has inappropriate evaluation and compensation systems.  Customers do not have knowledge about their roles.

4.2.4 GAP-4: Not matching performance to promises

 Southeast Bank has the following problems •

SEBL does not exactly have adequate information for customers.

•

Promises are either higher or lower than expectation.

CHAPTER-5 5.1 Summary of Findings: In this research, some weaknesses and gap of marketing services of ONE Bank has been found out.

For example, •

Insufficient marketing research

• Lack of interaction between management and customers.

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Promises are either higher or lower than expectation.

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Lack of market segmentation.

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Lack of encouragement to listen to customer complaints.

5.2 Suggestions: •

Customer complaints should be carefully listened.

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Employees must be trained for better service to customers

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For customer care they should have a desk where only customer will be given their needed service or information.

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Cash counter remains always busy. Thus there should have more staffs.

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Service charge should be lower than current rate as customers are not satisfied.

 Conclusion

In today’s world of business without bank's co-operation, it is almost impossible to run any business or production unit of business. Exports and import need finance in various stages of their activities.

Southeast Bank Limited is playing a vital role in financing import and exports of the country and helping the businesses by providing funds to run.

There are lots of local and foreign banks competing in banking industry in Bangladesh and the Southeast Bank Limited is keeping its promises for about fifteen years among them very successfully.

In this competitive market Southeast Bank has to compete not only the others commercial banks but also the public banks and other financial institution also. In near future I think bank and mobile companies will come together to foster the banking service and make it available to people’s hand.

To survive in this dynamic market and lead it from the front the bank must take every initiative very wisely and so far they have successfully utilized their human resource efficiently compare to other private and public banks.

Before internship I had idea about banking but that was only bookish. Now after completing my internship period and preparing term paper on it I got practical aspect of banking. It will definitely help me to see the things from banking perspective also.

 Bibliography •

Annual Report of Southeast Bank Ltd.

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Annual Report 2005-2009 (Southeast Bank Ltd).

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http://www.sebankbd.com/

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www.reportbd.com

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www.en.wikipedia.org/wiki.com

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Different Brochures, Forms published by Southeast Bank Ltd.

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Zeithaml V A , Bitner M J (2006) “Services Marketing”, Chapter-1, pp. 25-28, Chapter-9, pp. 267-272, 4th ed. India: MacGrow,