An Internship Report
On
Credit Management System of Jamuna bank Limited
SUBMITTED BY
Jannatun Nesa
ID: 2201011010
Batch: 51st -A
Major: Finance
Department of Business Administration
Uttara University
SUBMITTED TO
Sonia Rezina
Assistant Professor
School of Business
Uttara University
Date of Submission:
Letter of Transmittal
Sonia Rezina
Assistant Professor
School of Business
Uttara University
Subject: Request for approval of Internship Report
Dear Madam,
With the passage of time, I am student of Uttara University standing on the other entity of
my course completion, hence are finalized with my internship report naming as “Credit
Management System of Jamuna bank Limited”. Vividly enough, my research comprises
adequate endeavors. But no doubt, my contribution will be best evaluated on your sharp
scale of acceptance & analytical remarks.
Consequently, I am submitting my report on your very concern. Hopefully, you will
discover my well-researched, informative approach as a hallmark of hard work. Rather,
in case of any further clarification or elaboration as to my report, I would welcome the
opportunity to consult with you to explore how my findings could best meet your needs.
Faithfully Yours,
----------------------
Jannatun Nesa
ID: 2201011010
Batch: 51st -A
Major: Finance
Department of Business Administration
Uttara University
Letter of Authorization
This is certifying that Jannatun Nesa, a student of BBA, ID No. 2201011010 has successfully
completed her internship and submitted the report entitled “Credit Management System of
Jamuna bank Limited” under my supervision for the partial fulfillment for the award of BBA
degree.
She has done her job according to my supervision and guidance. She has tried her level best to
do this successfully. I think this program will help her in the future to build up her bright
career.
I wish her success and prosperity.
Sonia Rezina
Assistant Professor
School of Business
Uttara University
Student’s Declaration
I hare by declare that the Internship Report on “Credit Management System of Jamuna bank
Limited” Include the results of my own works, pursued under the supervision of
Sonia Rezina, Assistant Professor Department of Business Administration School of
Business, Uttara University.
I further assure that the work presented in this report is original and no part or whole of
this
Report has been submitted to, in my form, any other University or Institution for any
degree
or any other purpose.
----------------------
Jannatun Nesa
ID: 2201011010
Batch: 51st -A
Major: Finance
Department of Business Administration
Uttara University
Acknowledgement
I am Jannatun Nesa and would like to express my heartiest gratitude to those who helped
me all the way through to complete my internship report on Jamuna Bank Limited.
At the very beginning, I want to thank my academic supervisor Sonia Rezina, Assistant
Professor Department of Business Administration School of Business, Uttara University,
for providing me all the necessary helps for the completion of this report. Thank you,
Madam, for guiding me to start and complete successfully of this report. Secondly, I
would like to thank, Md. Razaul Karim (officer & Credit In-Charge), for giving me the
opportunity to work in JBL Boardbazar Branch. Again, I would like to convey my thanks
to Sujoy kumar Bakshi (Trainee Assistant Officer (G) grade 1 ), for helping me to prepare
this report with adequate and correct information. I am very much grateful to them who
helps me a lot.
I would like to convey my sincere gratitude to all JBL’s officers for their support and
help. I regret that it is not possible to name all of them. Thanks, are also due to workers,
staffs and officers who spent many of their valuable times to discuss with me.
I would convey our special thanks to our parents whose inspirations have enabled me to
complete this report of this particular course.
I also apologize heartily for any omitted name whose contribution was also
complementary for any possible aspect. Lastly, I solemnly thank the Almighty.
Table of contents
List of table
List of figure
Executive Summary
The report is a combination of three months internship program with Jamuna
Bank Limited. I acknowledged different banking functions and day-to-day
banking operations on my way to complete internship.
The objective of this study is to acquire the knowledge about the credit
department of Jamuna Bank Ltd. To prepare this report both primary and
secondary sources of data have been used.
The first section of this report consists of an introductory part which has been
developed for the proper execution of the entire report. Second section narrates
the company profile including Jamuna Bank’s history, their vision, mission and
strategy, products and services, and operational network organogram. Part three
focus on source of data that I have collected from various source. The fourth part
shows the credit department of JBL. This is the main part of the project. It
includes credit policy, credit principles and credit rating of JBL. It also includes
lending criteria and lending principles of JBL. It also describes in detail about the
procedure of sanctioning credit, loan recover policy, and execution, stamping
witness and other legal formalities. It also describes the credit risk grading
system. Fourth part also has explained the working experience of my internship
period at different division of JBL. Findings and analysis of the information are
in Part five of the report. It includes financial data analysis of JBL. By using 5
years data here I evaluate the financial performance of JBL credit department.
The remaining part consisted of recommendations and conclusion. Finally, I
observed that Jamuna Bank Limited will ensure the better services to the people
of Bangladesh and they will be more contribution on development of economy of
Bangladesh.
List of Abbreviation
A/C Account
B/L Bill of Leading
JBL Jamuna Bank Limited
CCH Cash Credit Hypo
CCP Cash Credit Pledge
SWIFT Society for Worldwide Interbank Financial Telecommunication
SOD Secured Over Draft
DD Demand Draft
ERC Export Registration Certificate
GB General Banking
L/C Letter of Credit
LDBC Local Documentary Bill Collection
LDBP Local Documentary Bill Purchase
PO Pay Order
PAD Payment Against Document
LIM Loan against Imported Merchandize
LTR Loan against Trust Receipt
IBP Income-Based Plan
ECC Export Cash Credit
SME Small & Medium Enterprises
HO Head Office
BOD Board of Directors
CIB Credit Information Bureau
PC Packing Credit
Chapter-1
Introduction
1.1Background of the study
In general sense we mean “Bank” as a financial institution that deals with money. There are
different types of banks like Central bank, Commercial bank, Savings bank, Investment bank,
Merchant bank, Co-operative bank etc. But when we use the term bank it generally means
commercial bank that is one which is concerned with accepting deposit of money from the
public, repaying on demand or otherwise and withdraw able on demand or otherwise and
employing the deposits in the form of loan and investment to meet the financial needs of
business and other classes of society.
Recently, banking sector is modernizing and expanding its hand in different financial events
every day. At the same time the banking process is becoming faster, easier and is becoming
wider. So, it has become essential for every person to have some idea on the bank and banking
procedure.
Now-a-days, banks are providing the maximum opportunity to the business studies students to
perform their internship in different branches I was also placed in one of the renowned banks
named “Jamuna Bank Limited” the Boardbazar Branch, Gazipur City Corporation. The report
mainly focuses on the credit management activities of the Jamuna Bank Limited, especially the
Boardbazar Branch, in which I completed my internship. In order to keep the length of the report
standard I tried to avoid the common and the known facts of the bank in a descriptive fashion
1.2 Objectives of the study
The first objective of writing this report is to fulfill the partial requirement of the BBA degree.
Broad Objective
To find out the “Credit Management” activities of Jamuna Bank Ltd. and also about
their services which is different in different situation.
Specific Objectives
1. To acquire practical experience in different banking services of Jamuna Bank Limited.
2. To gather knowledge about the transactions of different departments of the bank.
3. To know about the Credit products and the way of disbursement.
1.3 Limitations:
Due to some legal obligation and business secrecy the bank was reluctant to provide some
sensitive data. Thus, this study limits only on the available published data and certain degree of
formal and informal interview and limited survey. Although the particular study is extensive in
nature, hard effort was given to make the study worthwhile and meaningful even then there
exists some limitation. Altogether the internship period in the bank was not free from limitations.
I faced some problems during the study, which I am mentioning below:
• Lack of time:
• Lack of Supervision by the bank officers:
• Restricted Information:
• Rush hours and business were another reason that acts as an obstacle while gathering
data.
Chapter -2
Organizational Profile of Jamuna Bank Ltd
2.1.1. Introduction of JBL
Jamuna Bank Ltd. is a third-generation bank in Bangladesh. It provides commercial banking
services in the Bangladesh. It is playing an important role to develop the business sector. The
growth of this bank is very good. Its motto is to provide a prompt and quick service to the
clients. Jamuna Bank Ltd. has implemented well-structured online banking systems that make it
easier to provide prompt services to the customer. The bank primarily engages in corporate
banking, trade finance, project finance, retail banking, small enterprise finance, consumer
finance, and syndication. Its range of service offerings include cash management services,
payments and clearings, safe deposit locker services, employee benefits, collection services,
treasury services, asset management, services and SWIFT for foreign trade.
2.1.2. Historical Background of JBL
Jamuna Bank Limited (JBL) is a Banking Company registered under the Companies Act, 1994
of Bangladesh with its Head Office currently at Hadi Mansion, 2, Dilkusha C/A, Dhaka-1000,
Bangladesh. The Bank started its operation from 3rd June 2001.
The Bank provides all types of support to trade, commerce, industry and overall business of the
country. JBL's finances are also available for the entrepreneurs to set up promising new ventures.
The bank was established by a group of local entrepreneurs who are well reputed in the field of
trade, commerce, industry and business of the country.
The Bank offers both conventional and Islamic banking through designated branches. The Bank
is being managed and operated by a group of highly educated and professional team with
diversified experience in finance and banking. The Management of the bank constantly focuses
on understanding and anticipating customers' needs. Since the need of customers is changing day
by day with the changes of time, the bank endeavors its best to devise strategies and introduce
new products to cope with the change. Jamuna Bank Ltd. has already achieved tremendous
progress since its beginning. The bank has already built-up reputation as one of quality service
providers of the country.
At present the Bank has real-time Online banking branches (of both Urban and Rural areas)
network throughout the country having smart IT-backbone. Besides traditional delivery points,
the bank has ATMs of its own, sharing with other partner banks and consortium throughout the
country.
The operation hour of the Bank is 10:00 A.M. To 6:00 P.M. from Sunday to Thursday with
transaction hour from 10:00 A.M. to 4:00 P.M. The Bank remains closed on Friday, Saturday
and government holidays.
2.3 Vision of JBL:
To become a leading banking institution by playing a significant role in the development of the
country.
2.4 Mission of JBL:
The bank is committed to satisfy diverse need of its customers through an array of products at a
competitive price by using appropriate technology and providing timely service so that a sustainable
growth, reasonable return and contribution to the development of the country can be ensure with a
motivated and professional workforce.
2.5 Objectives of JBL:
• To earn and maintain CAMEL Rating 'Strong'
• To establish relationship banking and improve service quality through development of
Strategic Marketing Plans.
• To introduce fully automated systems through integration of information technology.
• To ensure an adequate rate of return on investment.
• To keep risk position at an acceptable range (including any off-balance sheet risk).
• To maintain adequate liquidity to meet maturing obligations and commitments.
2.6 Products and services:
The Bank has a collection of mode that prepared financial products and services. Such products are
based on Monthly Savings Schemes, Consumer Credit Schemes, Lease Finance and Personal
Loan for Women and Shop Finance Scheme etc. Jamuna Bank Ltd, also familiar with Q-cash ATM
cards for its valued customers providing 24 hours banking services through Debit Cards. JBL offers
the following services to valued customer. The Bank is providing different types of services. Some of
them are mentioned in below:
• Deposit Schemes
• Remittance and Collection
• Import and Export handling and Finance
• Loan Syndication
• Project & lease Finance
• Investment Banking
• Hire purchase
• Personal Loan for Woman
• 24-hours Banking: Q-Cash ATM facility
• Islamic & Corporate Banking
• Consumer Credit Scheme
• International Banking
2.7 Types of loan of what are offered by JBL:
• Loan (General)
• House Building Loan (General
• House Building Loan (Staff)
• Other Loans to Staff
• Cash Credit (Hypo.)
• Cash Credit (Pledge)
• Corporate Social Responsibilities of the Jamuna Bank Limited
• Hire Purchase
• Lease Financing
• Time Loan
• Cons SOD (General)
• SOD (Others)
• SOD (Export)
• PAD
• LlM
• LTR
• IBP
• Export Cash Credit (ECC)
• Packing Credit (PC)
• FDBP
• IDBP
• FBP
2.8 Management Hierarchy:
Chairman
Vice
Chairman
Board of director
Managing director
Deputy Managing Director
(DMD)
Executive Vice president (EVP)
Senior Vice president (SVP)
Vice President (VP)
Senior Assistant Vice President
Assistant Vice President (AVP)
Senior Executive officer (SEO)
Executive officer (EO)
Senior officer (SO)
Officer
Junior Officer
Chart-: Organizational Hierarchy
