deposit collection at bok
TRANSCRIPT
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CHAPTER I
INTRODUCTION
1.1 Background
Customer service department is oriented towards customers and basically manages all
the customers queries and if possible tries to solve at the front desk of the organization.
In this department the major tasks involved are videlicet: Dealing with customers,
opening and closing of accounts, handling incoming calls, providing accounts statement,
issuing check books, providing Debit Cards to the customers, maintaining record of
ATM card holders, providing e-banking facility, et cetera. Customer service department
deals with handing the various customers queries, and their grievances. It also aims at
gathering feedback about our banking financial services and promptly responding to
their raised problems.
This internship report entitled FUNCTIONING OF CUSTOMER SERVICE
DEPARTMENT AT AGRICULTURAL DEVELOPMENT BANK is prepared as per
the partial fulfillment of the degree of Bachelor in Business Administration (BBA),
Tribhuvan University. Being the student of BBA and specializing in Business and
Finance the students are honored by the internship program under this curriculum. It
helps the students develop their inner ability or the confidence level and the level of
understanding to compete in this complex and sophisticated age. It also increases the
ability of the students to tackle the business problems, to grasp the opportunities and to
face the threats. In its totality, internship program teaches us the corporate culture,
develops our public relationship skills, makes us competent and provides us an excellent
working experience.
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1.2 Objectives
Tribhuvan University covers subject of field report writing to provide the knowledge
about the different aspects of organization, and to present the fact based report on
investigation of a problem area of business operation. The main objective of this study
writing is to provide the practical knowledge for the students during the course of
learning. Besides these, the other specific objectives of the report can be shortlisted as
follows:
To study customer service departments functioning at Agricultural Development
Bank Limited.
To develop customer relationship skills, in order to facilitate the banking services
as per the need of the customers.
To acquire and analyze the details and information about the activities of
Customer Service Department intimately.
To be acquainted with the work challenges related to various work related issues
and gain necessary skills to address those problems.
To relate theoretical knowledge with practical knowledge and get an outer
exposure.
1.3 Methodology
Methodology refers to the various sequential steps in the study. A systematic method
is required to pick out an actual result for any type of study. This report is based on
secondary sources of data.
Secondary Data:
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The secondary information was mainly collected from the quarterly reports
of banks, booklets, newspapers, websites and other published documents.
1.3.1 Organizational Selection
As per the rule of Tribhuvan University (T.U) every student of BBA 8th semester has
to work as an internee at any chosen organization. The internee can select the type of
organization for his/her internship and submit a recommendation letter provided by
the campus to the organization. After approval the organization then calls the
internee and places him/her in the respective department.
1.3.2 Placement
The internee took a recommendation letter from the campus, and submitted it to the
branch manager of ADBL with a handwritten application along with curriculum
vitae. The ADBL approved the internees request to join the bank for the internship
programme and was provided with the date to join the bank for the same.
During the eight weeks internship period, the internee was placed in the customer
service department. Under this customer service department, the internee was placed
in the front desk, remittance, and check clearing section. All the factors such as
Discipline, attendance, regularity, interest towards the work, sincerity, behaviour,
and the efforts that I made to understand the banking functions were closely
monitored.
1.3.3 Duration of the Internship
As per the requirement of the Tribhuvan Universitys BBA Curriculum, an internee
has to complete eight weeks internship period in the work place. My duration of
internship started from 3rd, Ashad 2070 and ended in 30th Shrawan 2070. During this
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period, the internee came to learn about the working environment, working
procedure and culture of the organization.
1.4 Limitations
The internship report is prepared based on the observations, experiences of the
internee, informal interview with the staffs and the secondary data available on the
internet. The limitations faced during the internship period and during preparation
of the report are as follows.
Time allotted for the study was limited to eight weeks so detailed analysis
was not possible.
All the functioning of the CSD could not be analyzed in detail due to the
confidentiality policy of the ADBL.
The selection of topic is specific. It cannot represent the whole aspect of
ADBL.
Validity of the report fully depends on the information provided by the
concerned authorities.
The report is depended upon secondary source of data provided by the bank
so that the reliability of research depends upon the data provided.
The study deals merely with ADBL the conclusions drawn from the study
may not be applicable to that of other banks.
The interpretation and conclusion were drawn within the limitation of
individuals knowledge and judgmental abilities.
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1.5 Organization of the study
This internship report has been organized into five chapters namely.
Introduction
Introduction to Banking Industry
Introduction of Agricultural Development Bank Limited
Analysis of Activities Done And Problems Solved
Conclusion and Lesson Learnt
CHAPTER II
INTRODUCTION TO BANKING INDUSTRY
2.1 Introduction
The term Bank is derived from the Italian word banco meaning bench. A bank is a
financial institution where you can deposit your money. It provides a system for easily
transferring money from one person or business to another. Using banks and the many
services they offer saves us an incredible amount of time, and ensures that our funds "pass
hands" in a legal and structured manner.
A bank is a financial institution licensed by a government. Its primary activities include
borrowing and lending money. Many other financial activities were allowed over time. For
example banks are important players in financial markets and offer financial services such
as investment funds. It act as payment agents by conducting checking or current accountsfor customers, paying cheques drawn by customers on the bank, and collecting cheques
deposited to customers' current accounts. It also enables customer payments via other
payment methods such as telegraphic transfer, EFTPOS, and ATM. It borrows money by
accepting funds deposited on current accounts, by accepting term deposits, and by issuing
debt securities such as banknotes and bonds. It lends money by making advances to
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customers on current accounts, by making installment loans, and by investing in marketable
debt securities and other forms of money lending.
The following definition can better signify the meaning of banking:
Bank is an organization that provides various financial services, for example keeping or
lending money. [Oxford Advanced Learners Dictionary, 2000]
According to Kent, A bank isan organization whose principle operations are concerned
with the accumulation of the temporarily idle money of the general public for the purpose of
advancing to other for expenditure.
The term commercial bankrefers to those who pull together the saving of the community
and arrange their productive use and supply the financial needs of modern business by
various means.
They accept deposit form the public on the condition that they are repayable on the demand
or on short notice. They are restricted to invest their funds in corporate securities and
finance in fixed assets. Their activities are confined to financing the short term needs of
trade and industry such as working capital financing. In addition, they grant loans in the
form of credit card and overdraft.
Commercial bank is a bank which operates currency exchanges transactions, accepts
deposits, provides loan, performs, dealing, relating to commerce except the banks which
have been specified for the cooperatives, agricultural, industrial of similar other specific
objective. [Commercial Bank Act 2031 Section 2(a)]
Banking means accepting for the purpose of lending or investment of deposits of money
from public repayable on demand or otherwise and withdraw able by cheque, drafts order or
otherwise. Banking company means any company which transacts the business of banking.
[Government of India, 1951]
The main objective of commercial bank is to mobilize idle resources for productive use after
collecting them form different places. The function of commercial bank is accepting deposit
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namely fixed, current and saving account, safety of public money, remittance of money,
letter of credit, guarantee, loans lending, locker facilities, foreign exchange, serving as agent
of client, etc. Hence, commercial bank is profit oriented financial service institution which
creates money, makes payment mechanism, extension of credit facilities and accepting bills
of exchange of their constituents.
2.2 Development of Banking Industry in Nepal
The modern history of banking in Nepal does not have a long history. It is still in its infancy
stage. It was flourished after financial liberalization policy adopted in 1980s. In context of
development of banks in Nepal, it can be summarized in following three phases:
Phase I
In 1877 AD, Prime Minister Ranoddip Singh introduced financial and economic reforms.
TejarathAdda was established at that time to provide credit facilities to the general public.
Credit facility was given by TejarathAdda on the basis of collateral of gold and silver.
Government employees would get credit at ease because government would pay them less to
deduct the credit amount. Chandra Shamsher extended the services of TejarathAdda outside
valley. TejarathAdda extended credit facilities to more and more general public and did not
accept deposit from public. Due to this reason, TejarathAdda finally faced a crisis. People
started borrowing money from lenders who charged a high interest rate and other dues.
Although Kaushi Tosh Khana was established during the regime of PrithiviNararyan
Shah, TejarathAdda is regarded as the foundation of modern banking in Nepal. However, it
was the beginning of banking in Nepal.
Phase II
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In 1937, Nepal Bank Limited (NBL) with the co-operation of Imperial Bank of India came
into existence. NBL played dual role of commercial bank as well as central bank until 26th
April, 1956, on which date, Nepal Rastra Bank (NRB) was established. NBL was a semi-
government bank. RastriyaBanijya Bank (RBB) was established in 23rd January, 1966.
Nepal Industrial Development Bank (NIDC) was established as a development bank in 1959
and Agricultural Development Bank (ADB) was established in 1968. Since 1984 the ADB
has also been allowed to do commercial banking in selected urban areas with the aim to
mobilize resources domestically and channel funds to the agriculture and rural sector. Nepal
adopted financial liberalization policy in 1984 by amending Commercial Bank Act 1974.
Liberalization was adopted to welcome private sector in banking industry and to increase
competition among them.
Phase III
The pace of financial liberalization actually started when the government allowed the entry
of commercial banks in joint venture with foreign bank. As a reform measure initiated in the
year 1984, government allowed ADB branches to conduct commercial banking business in
the urban areas. A Credit Information Bureau (CIB) was established in 1989 under the aegis
of Nepal Bankers Association with the objective of disseminating credit information among
its member institutions.
Nepal Arab Bank Limited (NABIL) was the first joint venture bank established in 1984
A.D., joint ventured with United Arab Emirates Bank. Then two other banks, Nepal
Indosuez Bank Ltd. (Present: Nepal Investment Bank) with Indosuez Bank of France and
Nepal Grindlays Bank Ltd. (Present: Standard Chartered Bank Nepal Ltd.) with Grindlays
Bank of London were established in 1986 and 1987 respectively. Himalayan Bank Ltd. joint
ventured with Habib Bank of Pakistan and SBI Bank Ltd. With State Bank of India were
established in 1993 A.D. Nepal Bangladesh Bank Ltd. With IFIC (International Finance
Investment and Commercial) Bank of Bangladesh was established in 1993 A.D. Bank of
Kathmandu joint ventured with SIAM Commercial Bank Public Co., Thailand was
established in 1995 A.D. Nepal Bank of Ceylon (Present: Nepal Credit and Commerce
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Bank) joint ventured with Ceylon Bank of Sri-Lanka was established in 1996 A.D. Everest
Bank Ltd. joined hands with Punjab National Bank as a joint ventured bank in1997 A.D. At
present, there are 32 commercial banks, 79 development banks, and 79 finance companies.
2.3 Functions of Commercial Bank
In Nepal, the Commercial Banks perform the following functions:
a. Accepting Deposits
This is the oldest function conducted by commercial banks. It accepts deposits in three
forms. They are as current, saving and fixed deposit accounts. Deposited amount is
repayable on demand or on short notice. Interest is provided in saving and fixed deposit
accounts whereas in current account interest provision is not given. Customers of fixed
deposit account are required to keep fixed amount with bank for a fixed period.
b. Providing Loans
This is the second important function for commercial banks. It provides loans and advances
from the money it receives from depositors. Different types of loan or credit facilities are
provided to borrowers against tangible and intangible securities. Various types of loan such
as education loan, vehicle loan or personal loan are given as per the loan need of customer.
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c. Agency Functions
The commercial bank acts as an agency and performs variety of services on behalf of its
clients. The bank makes payment of the cheques, draft and bills of exchange presented by
the customers. It can also transfer money from one place to another through use of draft,
mail transfer and telegraphic transfer on customers request. It also pays utility expenses on
behalf of its customers. The banks on the request of its customers buy and sell a companys
shares and government security bonds and also collects the interest on the same.
d. Credit Creation
Commercial banks accept deposit and advance loan to make profit and survive in the
business environment. Banks open current or loan account in the name of borrowers and
allow them to withdraw required sum according to borrowers need. Therefore banks create
credit by sanctioning loan or credit.
e. General Utility Functions
The banks do some services known as general utilities services. It carries out foreign
currencies transactions with central banks approval. Banks provides locker facilities for
safe keeping of valuable documents. It also offers investment and merchant banking
services. It gives economic and professional advices to its customers. It also issues travelers
cheques on behalf of customers name.
f. Foreign Trade Financing
Banks helps customers who deal with foreign trade. It facilitates export and import business
by issuing letter of credit. It discounts the bills of exchange drawn by Nepalese exporters on
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the foreign importers and enabled the exporters to receive money in the home currency. On
the other hand, it also accepts the bills drawn by foreign exporters.
g. Information and Other Services
Some banks provide regular bulletin on trade and economic conditions at home and abroad
countries, and special reports on commodities and markets. They may also invite enquiries
for those wishing to extend their trade and are able through their correspondents to furnish
the name of reputable and interested dealers of goods and to advice on the appointment of
suitable agents in some cases. On request, banks obtain information for customers, for
business purpose, for confidential opinions on the financial standing of companies or
industries at home or abroad countries.
CHAPTER III
INTRODUCTION TO AGRICULTURAL DEVELPOMENT
BANK LIMITED
3.1 Introduction
The Agricultural Development Bank, Nepal was established in 1968 under the ADBN Act
1967 with the main objective of providing institutional credit for enhancing the production
and productivity of the agricultural sector in our country Nepal. The Land Reform Savings
Corporation was merged with ADBN in 1973. Subsequent amendments to the Act
empowered the bank to extend credit to small farmers under group liability and expand the
scope of financing to promote cottage industries. The amendments also permitted the bank
to engage in commercial banking activities for the mobilization of domestic resources.
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Agricultural Development Bank Limited (ADBL) is an autonomous organization largely
owned by Government of Nepal. The bank has been working as a premier rural credit
institution since the last three decades, contributing a more than 67 percent of institutional
credit supply in the country. Hence, rural finance is the principal operational area of ADBL.
Besides, it has also been executing Small Farmer Development Program (SFDP), the major
poverty alleviation program launched in the country. Furthermore, the bank has also been
involved in commercial banking operations since 1984.
The enactment of Bank and Financial Institution Ordinance (BAFIO) in February 2004
abolished all Acts related to financial institutions including the ADBN Act, 1967. In line
with the BAFIO, ADBL has been incorporated as a public limited company on July 14,
2005. Thus, ADBL operates as a "A" category financial Institution under the legalframework of BAFIO and the Company Act, 2053.
3.2 Vision
To be a Mass-based Complete Bank serving from Urban to Rural.
3.3 Mission
To deliver comprehensive banking solution strengthening its extensive network.
3.4 Major Objectives
Nepal Bank Limited has the following objectives:
To provide quality banking services,
To adopt market driven strategy,
To obtain sustained and competitive return on investment.
3.5 Corporate Conduct
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In achieving its corporate objective in pursuit of its corporate mission and vision, ADBL
will:
comply with all relevant legislation, codes of conduct and standards of good
corporate citizenship in Nepal while maintaining full autonomy in the management
of its operations;
conduct its operations in an open and transparent manner;
put local resources to work for local development, serving the rural community and
its aspirations;
provide a full and balanced rage of financial products and services that satisfies the
needs of the rural population of Nepal, on a profitable and sustainable basis;
strive consistently to provide improved products and services to its clients at
reasonable cost, using modern banking, information and communication technology
in the most appropriate form to its clients needs;
be vigorous in building reputation for professionalism, competitive pricing,
reliability and quality of service and innovation;
operate in accordance with best banking practice, acting with financial prudence and
keeping in mind the need to balance profitability with asset preservation and
liquidity and to safeguard depositor's funds;
work together with its employees to develop their capabilities to contribute to
achievement of the bank's objectives, promoting excellence, rewarding achievement
and providing them the opportunity to share in the bank's success;
develop mutually acceptable relationship with government in the pursuit of
improvement in living standards in rural areas, while respecting best financialpractices;
ensure that its activities contribute to the environmental stability and overall
improvement of living standards in Nepal; and
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judge the bank's success against the measures that include profitability, portfolio
quality in terms of minimal arrears and non-performing loans, portfolio worth, total
deposits, geographic outreach and public image.
3.6 Organizational Structure
3.6.1 Board of Directors
The Board of Directors is the apex body of the bank. It formulates policies as well as
strategies and provides guidance to the management. The Board comprises a total of
nine members; four members representing Government of Nepal and four members
representing individual shareholders. Besides, one member is nominated by the Board as
per the BAFIA. The Board is supported by Audit Committee and Governance Sub-
Committee in the area of internal control and good governance respectively.
The day to day operation of the bank is executed by the Chief Executive Officer. The
Chief Executive Officer is closely assisted by four Deputy General Managers and 18
Division Chiefs. Moreover, Chief Executive Officer is supported by Assets and
Liabilities Management Sub-Committee for various activities related to risk
management.
The bank has three-tier organization structure consisting of Head office, Regional
offices (ROs) and field offices. Field offices are further categorized into three levels;
main branch, branch and sub-branch depending particularly upon their volume of
business. The head office is the policy making body at the top, field offices are
implementing units at the bottom and ROs with monitoring and supervisory role are in
between.
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ADBL is also operating a Central Training Institute (CTI) at corporate level in Bode,
Bhaktapur under Head Office Structure and five Regional Training Centers (RTCs) with
residential facilities in five development regions. The CTI and RTCs conducts training
and seminars particularly for enhancing abilities and skills of organizational members
Table 3.1: Board of Directors
Chairman
Mr. Pramod Kumar Karki
Nayabaneshwor, Kathmandu
Tel: 01-4471259 (Res.) 01-248752 (Off.)
Member
Mr. Lok Darshan Regmi
Joint Secretary, Ministry of Finance
Tel: 01-4211355 (Off.)
Member
Mr. Ram Prasad Pulami
Joint Secretary, Ministry of Agriculture
Tel: 01-4211665 (Off.)
Member
Ms. Laxmi Devi Manandhar
Samakhusi, Kathmandu
Tel: 01-4353768 (Res.)
Member
Mrs. Mira Dhonju
Dhumbarahi, Kathmandu
Tel: 01-4438919 (Res.)
Member
Mr. Janak Raj Shah
Baijanath-5, Achham
Member
Mr. Ramesh Kumar Mahat
Samakhusi-29, Kathmandu
Tel: 01-4353297 (Res.)
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Member
Mr. Chhetra Bahadur Sejuwal
Chhandannath, Jumla
Tel: 01-4314350 (Res.)
Member
Mr. Tej Bahadur Budhathoki
Baneshwor, Kathmandu
Tel: 01-4262690 (Off.)
Company Secretary
Mr. Dashrath Joshi
Kusunti, Latitpur
Tel: 01-4262620 (Off.)
3.6.2 Management Team
Table 3.2: Chief Executive Officer
NameTelephone Email
Mr.Tej Bahadur Budhathoki 4262797,4262690 [email protected]
Table 3.3: Deputy General Managers
NameFunctional Area Telephone Email
Mr. Sagar
Chandra
Joshi
Business
Operation
4262885
Mr. Naresh
Man
Pradhan
Human Resource 4252356 /
9851040413
Mr. Hira
Raj Nepal
CBS,
Implementation,
Monitoring
4263826
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Mr. Upendra
Bdr Karki
Service
Mr Anil
Kumar
Upadhaya(Acting)
Regional Office,
Kathmandu
4485467,
4476282
Table 3.4: Division Chiefs
Division
Name Telephone EmailCompany
SecretariatMr. Dasharath Joshi 4262620
Office of the
CEOMr. Hem Lal Shrma 4262620
Branch
ManagementMr. Bijaya Swar 4263387
LoanMr. Chandan
Kumar Shrestha
4223819
Risk
ManagementMr. Bishnu Aatreya 4250736
Small & Micro
Enterprise
Development
Mr. Ujwol
Acharaya4252353
Planning Mr. Dilip Jung Shah 4252354
InformationTechnology
Mr. BhabindraKhatri 4250737
General
Service
Mr Mukunda
Sharma4262613
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Finance &
Account
Mr. Monohar
Shrestha4252358
Human
Resource
Management
Mr. Seshraman
Acharaya4219241
Internal Audit
& Inspection
Mr. Kamalapati
Paudel
4242145, 4258620,
4222297
Project
DirectorateMr.Ghuran Thakur 4262708
Office of
Gratuity Fund
Management
Mr. Janaka Brd
Thapa4242144
Legal DivisionMr.Poshan Raj
Lamichhane4246175
Tresury
Division
Dr. Shivaram
Koirala4260453
Central
Training
Institute
(Director)
Mr. Kirti Devkota 6635268
PIO Mr. Ghuran Thakur
3.7 Branch Network of ADBL
Head Office
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Fig 3.1: Branch Network of ADBL
3.8 Products and Services Offered by ADBL
3.8.1 Deposits
Of the many function of the commercial bank, acceptance of deposit is one of them.
The bank allows for opening the three types of accounts to accept deposit for their
customers. Through this account bank collects money from public and lend money to
those who need them ADBL has following facilities regarding deposit:
Field Office
Main
Branch
Regional Office
Sub-
Branch
Branch 18 Regional
Offices
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A. Current account
ADBL's current account saves you the hassle of carrying cash. Mainly this account is
intended for business/corporate houses, this account can be opened from our
commercial banking branches throughout the country. This account is non-interest
bearing and it comes with a check-book-you just need to write a check whenever and
wherever it's convenient.
i. Statement of Transactions
The bank will provide you a statement of transaction upon your request.
ii. Account and Cheque Book
A current account can be opened with a minimum amount decided by the specific
branch. Once your account is opened you will receive cheque-book containing 25
personalized cheques. To replace your cheque book once you run out of cheques just
present the replacement form at the back of your current cheque book at your home
branch and will arrange a new one for you. Our dedicated staff will be happy to help
you so that you can start to maximize the benefits of ADBL's current account
immediately.
Account Opening
You need to bring the following documents to open the current account.
Personal Account
a) Personal Identification (Citizenship Certificate and two copies of Photograph)
b) Nominee Declaration
Proprietorship Account
a) Declaration of sole proprietorship
b) Copy of renewed Registration Certificate
c) Identification paper of account operator(s)
d) Income tax registration/renewal certificate
Partnership Account
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a) Letter of partnership duly signed by all partners
b) Copy of the partnership Agreement
c) Certified copy of partnership Registration and Renewal
d) Identification paper of account operator(s)
e) Income tax registration/renewal certificate
Account of Corporate Bodies
a) Memorandum and Article of Association of the Company
b) Resolution of Board of Directors to open and operate an account
c) List of Directors duly signed by respective directors with home address and
phone numbers.
d) Certificate of Company Register's Office
e) Identification paper of account operator(s)
f) Income tax registration/ renewal certificate
Accounts of Clubs, Societies and Associates (all documents to be duly certified by
the charity)
a) List of Office bearers and Address
b) Copy of by-laws/ Constitutions
c) Copy of Resolution to open and operate the Account
d) Certification of registration and renewal certificate
f) Identification paper of account operator(s)
B. Saving Account
Saving deposit account can be opened in any of our commercial branches. Your
interest is calculated and credited to your saving account on minimum daily balance.
Initial deposit ranges are depending upon the branch and it's level. Any balance
below minimum amount will be liable to incidental charges as fixed by the bank
from time to time. Customer opening this account gets a free cheque book. The bank
offers Any Branch Banking facilities (ABBS) to its customer.
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Transaction Records
When you open your account you will get a account number to keep track of your
saving and transactions. You have to update your passbook by our bank staff at our
branch.
Account Opening
You need to bring the following documents to open the saving account.
Personal Account
a) Personal Identification (Citizenship Certificate and two copies of Photograph)
b) Nominee Declaration
Proprietorship Account
a) Declaration of sole proprietorship
b) Copy of renewed Registration Certificate
c) Identification paper of account operator(s)
d) Income tax registration/renewal certificate
Partnership Account
a) Letter of partnership duly signed by all partners
b) Copy of the partnership Agreement
c) Certified copy of partnership Registration and Renewal
d) Identification paper of account operator(s)
e) Income tax registration/renewal certificate
Accounts of Clubs, Societies and Associates (all documents to be duly certified
by the charity)
a) List of Office bearers and Address
b) Copy of by-laws/ Constitutions
c) Copy of Resolution to open and operate the Account
d) Certification of registration and renewal certificate
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f) Identification paper of account operator(s)
C. Fixed Account
Features
a) Fixed Deposit can be opened with a minimum balance of NRs.
10,000
b) Payable on maturity
c) Penal interest is levied on withdrawal of fixed deposit prior to maturity
d) Interest is payable monthly
e) Tax is deducted at source from the interest on saving deposit as per the
income Tax Act, 2058 (2001)
f) Nomination facility is available
g) Strict confidentiality is assured
Tenure of Fixed Deposit
Six Months
One Year
Two Years
Above Two Years up to Five Years
Eligibility
Individual
Minors
Trust
Association
Clubs
Societies
Corporate Offices
Documents
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The copy of the following certified documents has to be submitted while requesting for
opening of Account.
Personal Account
Identification Car in the form of Citizenship
Certificate/ Passport/Other ID/PAN Card
Minors
Guardianship to verified with related documents
Nominees form
Photograph of the nominee
Signature of the nominee
Clubs/Societies and Association
Copy of Registration Certificate
Copy of Bye-Laws
Copy of resolution to open and Operate the Account
List of Members
Corporate Body
Certificate of Incorporation
Memorandum and Article of Association of the Company
Resolution of Board of Directors to open and operate the Account
Sample of Company Seal
Name of Directors of the Board
Partnership Account
Certificate of Partnership Registration
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Copy of Partnership deed, if any
Proprietorship Account
Registration Certificate
Identification of Proprietors
3.8.2 Remittance
The function of remittance department is to remit and receive funds through SWIFT,
Telex, Draft and Fax to or for the customers from any part of the world within few
minutes. This department also sells and buys foreign currency to and from the customers
but this function of buy and sell of foreign currency is done through the head office
only. ADBL is an authorized agent/sub-agent of following national and international
remittance companies which enables the customers to receive money from different
countries. The main objectives are to provide safe and secure transfer of money to the
right person after identifying the receiver and sender.
2. ADBL Remittance Products
A) Inward Remittance (receiving of money in Nepal)
Remitters who are abroad can transfer money payable from ADBL through:
Western Union Money Transfer Services
One can remit money within Nepal through ADBL REMIT, starting from August
B) Outward Remittance
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ADBL has been transferring money (Indian Currency) to major cities of India by issuing
draft which is payable either by Standard Chartered Bank or ICICI bank on the request of
the customer.
3.8.3 Loans and Advances
Auto Loan
Education Loan
Foreign Employment Loan
Home Loan
Residential Loan
Agricultural Production Loan
Livestock Loan
Small and Cottage Industry Loan
Products and Inputs Marketing Loan
3.8.4 Others Services
A. ABBS (any branch banking service)
ADBL has extended its branches all over the 75 districts throughout the country
Nepal. This service is free of charge to valuable customer. In this banking service,
customer having account with ADBL can access their account from any branch
having T24 software.
B. Safe deposit vaults
It is one of the best protections for the most important valuables of customers.
ADBL offers safe deposit vault to store items. Customers can safeguard their
important papers like insurance policies, family records such as birth certificates,
deeds, titles, mortgages, leases, contracts, bonds, certificates of deposit. Other items
include jewels, medals, rare stamps and negatives for important photos in case of fire
or theft.
CHAPTER IV
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ANALYSIS OF ACTIVITIES DONE AND PROBLEMS
SOLVED
4.1 Activities performed in Customer Service Department
During the two months of internship period, the internee was able to learn a lot about the
operational procedure of Agricultural Development Bank Limited. Mostly the internee was
placed at the front desk of the customer service department. The general activities for an
internee at the customer service department was opening account of the customers, issuing
cheque book, generating statements of account, handling customers queries and grievances,
filing and indexing, and providing various information about the products to the customers.
Customer Service Department is oriented towards handling customer queries and
grievances. CSD is one of the busiest desks at a bank. The staffs at the desk need to respond
to each and every customers call courteously and pass the important one to the managers or
supervisors. The important task the intern learnt at this department can be described as
below:
Account Opening process and requirements
Agricultural Development Bank provides three types of account services to its valued
customers: saving account, current account and fixed account.
Basic requirement for opening the personal account are:
Customers name, gender, marital status, date of birth, permanent and temporary
address (phone number), fathers name or husbands name, and all other relevant
detail filled in the account opening form correctly by the accountholder.
Agree with the terms and conditions of the bank.
Sign the specimen cards.
Certified true copy of identification document i.e. citizenship or Passport and Birth
Certificate in case of minor account.
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Two photograph of account holder.
In case of Joint Account
The account holder should present in the business desk during the time of account
opening.
Agree with the terms and conditions of the bank.
Fill in the applications form correctly by the customer.
The citizenship of the parties involved in the joint account must be presented.
Two photographs of each party involve in joint account.
The account holder should decide on the signature that is either one signature is
acceptable or both signatures are compulsory.
In case of Foreign National
Certified true copy of Passport.
Documents should be certified from concerned Embassy.
Certified True copy or valid Visa.
All documents of personal account for all the joint parties.
After ascertaining completion of basic requirement, the bank assigns an account holder,
accepts deposit slip (voucher) and issues a cheque book.
Process of opening new account
After fulfilling the requirement of the issued account opening form and customer
information form by the customers, it is received by the CSD. Then, thorough checking and
verification are done to see any discrepancies. Once the verification is done with the original
documents, a stamp is affixed on the photocopy of all the supporting documents. The
signature for the account operation and image of the accountholder is scanned and kept
along with the customers detail in the T24 software. Finally all these details are taken to the
operating head for verification and approval.
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Account closing process and requirements
It is another important task done under account operation. It is very rare that you encounter
an account closing request at the customer desk at ADBL. People close their accounts
because of many reasons.
Procedures to close an account are given below:
Step1. The customer is asked the reasons for closing the account and tries to convince not to
close the account by explaining the benefit of the account and the charges taken for
closing the account.
Step2. If the customers are willing to close the account, he/she must fill up the form
specifying the reason.
Step3. After submission of the firm to CSD, it is confirmed from the various department that
the customer is not enjoying and sort of facility from the bank at present.
Step4. The client is then asked to return all his account related belongings like a check book.
It is received by the employee at the front desk and is cancelled or destroyed.
Step5. Then finally the account of the applicant is closed with certain charge.
Preparing and distributing functions
Another activities performed in the customer service department is preparing and
distribution of various requested document to the clients. Various documents that a client
can get from this department on requested are:
Balance Enquiries
Cheque Books
Account Statement
Indexing and filing of data related to the opening and closing of the accounts is also
performed by the customer service department.
Balance Enquiry
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Mainly the balance certificate is demanded by the individual or corporation to know the
status of their account. Everyday around 20 to 40 customers come for the request of balance
enquiry. The bank provides the balance information to only the account holder. The bank
provides the certificate to the corporation if the letter about the request certificate presented
in the letter head with the signatures of the members and the stamp of the corporation. The
statement can be issued to an individual also by fulfilling the same process.
Indexing and Filing
The internee performed the job of indexing and filing of the KYC forms of the customers,
inward and outward letters of ADBL, details about accounts closed and statements disbursed
to customers.
Cheque Book Distribution
Clients, especially the ones holding current account in the bank request for the cheques book
quite often. Everyday about ten to fifteen customers request for the cheques book. The client
has to fill up the cheque request slip available in the customer department. After the
submission of the request slip, the cheque book is then provided to the requester. The
account holder must present to collect the cheques book and sign in the register and
requisition slip.
CHAPTER V
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CONCLUSION AND LESSON LEARNT
5.1 Summary
The main objective this study was to conduct a detailed study on the functioning
of Customer service department at Agricultural Development Bank Limited. The other
purposes for carrying out this study were to develop customer relationship skills, to be
acquainted with work ethics and organizational culture of the banking industry, and get a
first hand field experience of working in the banking sector.
During the period of internship the internee mostly worked under the customer service
department and the remittance department. On course of the internship, the internee
performed activities such as; opening account of the customers, issuing cheque book,
generating statements of account, handling customers queries and grievances, filing and
indexing, remitting and receiving of funds on behalf of the customers, cheque clearance and
providing various information about the products to the customers.
5.2 Conclusion
Internship plays an important role in matching the knowledge gained from theoretical
perspective of education with the practical exposure at workplace. It also provides an
opportunity to learn about the activities of the bank and its corporate culture. Within a short
span of time an internee like me learned so many things like dedication, commitment to
meet targets, interpersonal and communication skills etc, which will certainly help in
coming days.
Agricultural Development Bank is focused on serving the agricultural needs of the rural as
well as urban peoples by providing various financial products and services to uplift the
agricultural sector. To meet this objective, ADBL has been aggressively expanding its
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branches throughout the nation. ADBL, Prithivi Chowk, aims at maintaining cordial and
lifelong relationship with its customers through responsive Customer Service Department.
The CSD is very much responsive to satisfy the financial needs of its valued customers. It
provides three types of core account services videlicet: saving account, current account and
fixed deposit account. The CSD of the ADBL offers other additional services like printing
monthly account statements, printing check books, and handling customer queries.
The customer service department of Agricultural Development Bank deals with the
customers which are the most valuable assets to the bank. ADBL is constantly attempting to
provide better or quality financial services to its valued customers by providing unique,
customized and personalized products. The CSD of ADBL deals with the various behavioral
issues of its customers that are critical to make their customer feel satisfied. The main aim of
CSD is to provide comfortable and friendly environment to its customers that ultimately
adds up to its goodwill in the long run.
5.3 Lesson Learned
During the eight weeks of internship period, the internee learned about the banking cultureof Agricultural Development Bank Limited and the importance of work ethics to maintain in
organizations working environment. Through internship, the internee developed self-
confidence, interpersonal skills, professional qualities, and time management skills. The
valuable lessons that the internee learned apart from the basic activities of the CSD are as
follows:
Learned about the functioning of the Customer service department of ADBL and its
general banking practices and corporate culture.
Learned to communicate and deal with the customers belonging to different classes.
Learned to handle the grievances of the customers.
Learned to be calm under the adverse conditions and tactfully handle the complex
situations.
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Learned about the importance of time and punctuality.
Learned to socialize with the professionals.
Learned the importance of displayed emotion on the work place.
Learned to use office equipments like fax, photocopy, cheque writer, printer etc.
Learned to use different banking software like T24, and MS office tools.
Learned about the procedure in account opening and closing of the individuals or the
corporate.
Learned about the procedure of distribution of check books, balance enquiries and
account statement.
Learned about the procedure of cash deposit and withdraw.
Learned about the procedures in filling the files and indexing.
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BIBLIOGRAPHY
Thapa, K. & Parajuli, B. (2010) Financial Institutions and Markets. Januka
Publication Pvt. Ltd: Kathmandu.
Bank. (2000). (Sixth Ed.), Oxford Advanced Learners Dictionary: Oxford Press
Government of India. 1951. Indian Banking Company Act1949 (5(i) (b), (c): New Delhi,
The Stationery Office.
Agricultural Development Bank Limited, Brochures.
Websites visited:
http://en.wikipedia.org/wiki/Bank (August 19, 2012)
https://en.wikipedia.org/wiki/Commercial_bank (August 19, 2012)
http://www.investopedia.com/articles/07/banking.asp (August 19, 2012)
http://www.nrb.org.np (August 19, 2012)
http://adbl.gov.np (August 19, 2012)
http://en.wikipedia.org/wiki/Bankhttps://en.wikipedia.org/wiki/Commercial_bankhttp://www.investopedia.com/articles/07/banking.asphttp://www.nrb.org.np/http://www.nrb.org.np/http://en.wikipedia.org/wiki/Bankhttps://en.wikipedia.org/wiki/Commercial_bankhttp://www.investopedia.com/articles/07/banking.asphttp://www.nrb.org.np/