Account Opening Department

The bank reserves the right to open any account, which in its opinion is
suitable as a customer. The process of opening an account is very simple
and anybody that would like to open his account could do it easily without
any difficulty.
Types of Accounts:

Current Account

Saving Account
Procedure for Account Opening:
The person would like to open his account is required to meet with the
manager or second officer, who will give him an Application form specifically
used for account opening. Along with the form a card for specimen signature
is also supplied to the customer.
Manager has every right not to accept this contract if he is not satisfied with
the details provided by the customer. But in case the contract is acceptable
to both, the next step is official account opening.
This begins with the Account Opening Register which can be thought as a
customers master file. The manager records the necessary details into this
register and allots an Account Number from this account opening register.
This register is maintained for each type of accounts and the account
numbers are allotted serially.

After opening the account every applicants

date is entered in the computer to maintain the safe record and application
form is also safely put off, so that it can be available whenever it is needed.

Checking officer is responsible to tally the manual data with computerized

account opening file.

For fix deposit only the application form is needed,

which is prepared manually, because most of the procedures of fix deposit is

done manually.

Signature specimen card contains three signatures of the

applicant, applicant account number, account type, branch code, and title of
account.
It will be attached with the account opening form.

Banker uses this card

when he receives the cheque, he compares signature on the cheque with the
Specimen card, for avoiding the frauds.
Following are the requirements of the banks for opening of new account.
Nature of account
Permanent address
NIC copy
Occupation
The reference of any respected person
Initial Amount of the Deposit
Signature of the applicant
Issuance of Cheque Book:
The cheque book is issued against the valid requisition slip signed by the
account holder as per signature provided by the bank. The account holder
can draw sums from his account by means of cheque supplied to him by the
bank for that particular account. In drawing cheque the amount in words and
figures should be written distinctively and the cheque should be drawn in
such a way as to prevent the insertion of any other word or figure. Account
holder should take well care of the cheque books issued to them. The
account holder will pay excise duty of Rs. 8.12/- per leaf to the government.

Guard Your Card

To avoid any damage keep your Online Cash ATM card in a safe
place.
Sign on the back immediately after receiving your ATM card.
Never write your PIN or share it with anyone including the bank
staff.
Dont use your phone number or other personal informations like
your date of birth etc. as PIN.
You can make maximum of three PIN entries (i.e. two entries in
case you enter the wrong PIN first time) after which your card will
be captured by the ATM machine.

Current and Saving Account:

Individual:
Only one person can operate this account. An individual who will fulfill the
requirements of the bank can open this account. We can call it personal or
individual account.
Joint:
In case of joint account applicant mentions that how much persons will
operate this account. Instructions are given for joint account such as; the
account will be operated by!

Either or Survivor

Joint operation
In first case if one of the account holders dies then the other can operate the
account individually.
In second case if one of the account holders dies then the other partner cant
operate the account individually without having permission from the court.
Partnership Account:
For partnership account along with the application form other documents are
also needed, such as!

Registration Certificate

Agreement among the Partners

Letter of Commencement of Business

In case of addition or withdrawal of any partner a new agreement is required.
Company Account:
For company accounts following documents are required!

Resolution of Board of Directors

Registration Certificate

Change of signature form in case any authorized person is changed

Letter of Thanks:
Two copies of letter of thanks one for the new customer and the other for
his introducer. This act promotes goodwill between the customer and the

introducer. Introducer must be the account holder of the same branch or any
other branch.
In this letter the bank thanks to the customer for opening the account in its
branch and thanks to the introducer for sending the customer to this bank.
Closing of an Account:
There are a number of reasons for closing of an account. Some are listed
below!
1. If the customer wants to do so
2. In case of death of the customer
3. Bankruptcy of the account holder
4. If an account contains nil balance or not up to the requirements of the
banks rules.
Before closing an account, bank sends letter to the account holder for
informing him that his account is going to be closed. There is a need for an
approval from the higher authority to close any account.

Task Assigned in Accounts Departments:

Opening of account is the primary duty of department. In account opening
department of the bank I have learnt how an account is being opened and
which documents are required to open an account. There are two types of
accounts which I learnt to opened single account & joint account. As I see
during my internship when a customer wants to open an account, first step is
to fill an application form. Customers who want to open an account provide
all necessary information, which is required to open a bank account is written
on the form. I practically filled applicant forms and learnt that how the letter

of thanks is attached with the form and send to the customers. The customer
will get the cheque book when he/she will receive the letter of thanks from
Bank.
For ATM facility the customer will fill the ATM request form.

ATM debit card produced by the Bank of Punjab has dual characteristics. It
can also be used for shopping. There is no need to carry money in your
pocket or there is also no need to go to ATM if you have BOP debit card in
your pocket. The card is divided into three categories depending upon the
request of the customer.
1. Platinum card
2. Golden card
3. Silver card

CLEARNING DEPARTMENT
Collection:
Investments which are collected:

Cheques

Demand Drafts

Telegraphic transfers

Mail Transfers

Pay Order

Dividend Warrants

Clearing:

Any instruments which drawn on BOP branches and other banks in same city
thats instruments are called clearing. A clearing and date stamp is a fixed on
these instruments these are two types of clearing!
Inward Clearing
Outward Clearing
Inward clearing means the cheque drawn on BOP and outward clearing
means the Cheques drawn on others.
Clearing department:
This department receives the cheque and other negotiable instruments
drawn on local branches of other banks. State bank of Pakistan has clearing
house, in which cheque, and other negotiable instruments are brought by
each local bank representatives and the mutual claims of each bank on other
and offset and a settlement is made by the payment of difference. Clearing
system is helpful for both the customer and saving currency, time and labor.

Procedure:
The cheque and drafts come to than from different banks in receiving person,
gets the cheque and draft from the customers and signs a slip attached with
the cheque or drafts and given the slip to the cheque holder or draft holder,
right them at once and secrets different banks and right one banks slips at
one schedules and then summery of banks and then balance with total
amount and giving them to representative.
BOP is member of State Bank of Pakistan and has an account with SBP. The
clearing house of SBP, through who branches forward/receive clearing
cheque along with a schedule, conducts clearing. The clerk of forwarding

branch prepares the schedule and vouchers of all the clearing cheque, which
he received by the clerk on that day and sends this cheque to the checking
officer (NIFT). Checking officer pass these cheque and vouchers by his
initials, endorsement stamp and branch special crossing stamp. Clerk posts
the contra entries of these vouchers in the clearing register. Small branches
send cheque drawn to other bank with schedule to their main branches.
Representatives of all local banks and foreign banks exchange their cheque,
which are drawn on their banks.
The clearinghouses debit/credit the payee/receipt branch with the total
amount of the cheque paid on their behalf. The settlement of book entries,
for example, if BOP is to gives 2 million rupees to UBL, and UBL has to give
one million rupee to BOP then BOP will draw a cheque of one million in favor
of UBL. SBP will debit this amount from BOP account and credit of UBL
account.

In

this

way

mutual

cross

obligation

of

banks

settled

by

debiting/crediting in the books of SBP.

Procedure for Advising Head Office Account:
All that interbank adjustments will be effected through head office account it
will be essential for the branch to advice head office account of each
transition so that they may also pass the necessary entries in their books.
The SBP will send a consolidated debit/credit advice to the branches in
respect of clearing cheque delivered to or received from the branches. The
amount of the advice will agree with the total amount appearing in the
schedule of cheque delivered/received. The same office will similarly send
advice to the branches of the returns, if any, Copies of all advices will be sent
to the head office.
Transfer and Transfer Delivery:

Transfer means any instruments which are drawn on same branch, banker
affix transfer and date stamp on that instruments. Any instruments which are
drawn other branches of same bank is called transfer delivery. Banker also
affixes transfer delivery and date stamp on these instruments.
Difference between Cheque & Draft:
Both are modes of payment. The difference is that the cheque is mostly used
within a city but draft is always used for out of the city in which it is
prepared. Another difference is that service charges, excise duty and other
charges are paid by the cheque holder and in draft cheque issuing deposit
holder pays all charges.
Advice for Cheque:
It is used for enter branch communication. When a person has an account in
BOP at Gulgasht Colony Branch and he got a cheque from Cantt Branch of
the same bank then he deposits that cheque in his account at Gulgasht
colony

branch and that branch sends that cheque with advice to main

branch and main branch sends that advice with cheque to Cantt branch and
that branch approve that cheque and sends back to main branch and main
branch sends back to Gulgasht branch and later deposits/credits that cheque
to depositors account.
If Cantt branch has no such amount then they refuse to approve it and send
to main branch and main branch sends back to Gulgasht branch and reverse
process starts. If transfer delivery is used between different cities then the
issuing cheque holders pays services charges and mail or transfer charges
and the second depositors in branch (Karachi) gives a cheque to another
depositor (Lahore) then branch of second depositor makes an advice and
transfer amount to first depositor and service charges and the second
depositor pays postal or other transfer charges.

Three vouchers are used. Main voucher and copy of draft or cheque are sent
to first depositors branch. Main draft and one voucher are sent to head
office and one voucher remains to second depositors branch.

Task Assigned in Clearing Department:

The task was entrusted to me to collect cheques from local branches, which
is being sent by commercial banks to collect the amounts of checks drawn
against members of the local clearing house. I learned that the clearing
procedure is about 3 days to complete. During my stay in the clearing
department I have been collecting cheques from general public and other
clients of BOP and send to NIFT which perform the services of clearing house.
I learnt the procedure of issuing of new cheque book and predicted what is
the difference between cheques of current and saving account. By
performing duties in clearing department my concepts about clearing
department is very much and Operation manager appreciated for doing so
efficiently.

REMITTANCE DEPARTMENT
Transfer of money or equivalent to money from one branch to another
branch of the same bank is called remittance. Now it is become easier and
safer method both for the client and banker to transfer their money from one
branch to another within the city and outside the city.

Originated Branch & Responding Branch:

The branch, which receives the instrument of remittance, is called originated
branch. The branch, which receive the instrument for remittance is called
responding branch.

Types of Remittance:
Remittance is classified into following four types:

Inward Remittance

Outward Remittance

Inland Remittance

Foreign Remittance

Inward Remittance:
The branch receives the instruments directory from the customer or from the
originating branch, and is responsible to pay is called inward remittance.
Outward Remittance:
The branch, which issues or sold the instrument to the responding branch is
called outward remittance.

Inland Remittance:
Transfer of money from one branch to another branch of the same bank
within the same country is called inland remittance. In this case both
originating branch and responding branch will be situated in the same
country.

Foreign Remittance:
Transfer of money from one country to another country is called foreign
remittance. In such case may be originating or responding branch will be out
of the country, and mostly conversion of foreign currency is involved.

Head Office account:

All transfer relating to remittance will be routed through head officer
account. All the branches of BOP have and account of HEAD OFFICE.
Through this head office account it becomes easier for branches to do the
transfer with other branches and update their books.
Demand Draft:
A draft is an instrument drawn by a bank to pay a certain amount of money,
for which it is prepared, which is demanded, to the person named on it. It is
not necessary for the demand draft that applicant or recipient account
should be open in originating and responding branches. For demand draft
bank charges excise duty and commission. It will be the bank income. It is
one of the cheapest methods of transference of money within the country or
outside the country.
Procedure for Demand Draft:
Applicant has to fill in the application form for availing the facility of demand
draft. After deposition the amount of draft, remittance officer prepares the
cheque of demand draft. Contra entry will be authorized signature and
posted stamp of the bank.

One copy of confirmation advice will be dispatched with the cheque and the
other copy will be sent to the responding branch by the originating branch
for confirmation of draft. When bankers issue draft to the customer, he also
records customer particulars in a demand draft register where record is
maintained branch wise.
Responding branch and originating branch debit/credit the head office
account and send the daily statement of transaction head office.
Pay Order:
Pay order is written order, which is issued and received by the same bank or
drawn and payable on same branch. In this case originating and responding
branches will be same. For pay order it is not necessary that applicant should
be account holder.

It is used for local transference of money from one person to another. The
bank charges excise duty and flat rate of Rs.10/- from the applicant.
Mail Transfer:
The transfer of money from one branch to another branch of the same bank
through mail or courier service is called mail transfer. Bank is responsible for
the transference of the applicant should be the regular customer of the
account holder of the responding as well as originating branch.
Telegraphic Transfer:
Through telegram and fax originating branch send funds to responding
branch instantly and immediately. Bank charges commission, telegram/fax
charges of Rs. 20/- on telegraphic transfer.

NIFT

NIFT stand for National Institutional Facilitation Technologies. Clearing house

of SBP has shifted a part of its work to private institution names NIFT. NIFT
collets cheques, demand draft, pay order, travelers cheques etc. from all
branches of different banks within city through its carriers and send them to
the branches on which these are drawn for clearing. NIFT prepare a sheet for
each branch and send it to each branch as well as to State Bank of Pakistan
where accounts of Banks are settled.

Task Assigned in Remittance Department:

Department of remittances refers to the transfer of money from one bank to
another bank or branch to another branch to its customers

The task which

was assign to me in the department is making of pay order. Pay order is

written authorization for payment made in receipt from issuing bank to
payable by the bank to person named and address there on. Pay order can
be made for the branch of same bank within the city. BOP also offers the
remittance like, Demand Draft (DD), Mail Transfer (MT) & Telegraphic Transfer
(TT). I also learnt about the E-Remittance which is being used for transferring
of funds to BOP from other countries. Following are the essential for ERemittance.
Name of the person who receiving money & NIC Number.
Name of the Remitter
Permanent address
Global ID Number
Amount Number

Bill department
It includes utility bills section, Provincial Taxes section (TMA Taxes),
disbursement of pension etc.
Utility Bills
The bank accepts the following types of the bills:

Electricity bills

Telephone bills

Sui-gas bills

WASA bills

Disbursement of pension
National Bank of Pakistan is fully authorized to disburse the pension to the
government and army retired personnel.
Provincial Taxes Section
It includes the taxes received by the provincial government. Town
Management Authority receives 1% tax on every sale purchase of property.
For example if any property is sold in Rs. 2500000 then TMA will receive Rs.
25000 tax and it is also deposited in the Bank of Punjab.

TASK ASSIGNED TO ME IN BILLS DEPARTMENT

Task assigned to me in bills department was very important. I collected the
utility bills from the general public and at the end of the day all the bills are
deposited in the bank accounts of the respective department. The bank
receives Rs. 2 commission on every bill. I also recorded the pensions of the
pensioners in the pension book and I also learned to make scrolls of the TMA
taxes.

CASH DEPARTMENT
This department is considered as most likely to risk in any bank. The
requirement to work in this department is that the very careful, capable,
competent and alert are required. Balance of payments actually has a diligent
staff with considerable skills and to work. There is a department of box in
which the head of the department of housing and deeply controlling all the
money on their activities. Cash department perform the responsibilities

to deal with cash, transfer amounts from one account to other

accounts and calculate the profit for different types of accounts.
When cheque is presented to bank, officer match the word and
figure of cheque. If words and figure is correct then officer verify the
signature and check the date. A cheque can be converted in to cash
within six month. After six month cheque expires.

Basic Tasks

Receiving of cash/payment.
Receiving of credit card bills.
Receiving of school/college fee.
Handling and keeping records of said department.

TASK ASSIGNED TO ME IN CASH DEPARTMENT

In this department I learned the procedure to pass the cheque. For this
purpose I learned to verify the specimen signature card that is available on
the website. Then cash can be withdrawn from the account. I also learned to
receive college fees, credit card bills and the installment of the car financed
by the Punjab government.

I also learned to make deposit slip and then

posted the cash in the account after receiving the deposit slip and cash from
the customer.

Account Department

Product Line

Deposits Products

Current Account

Basic Banking Account

Business Tijarat Account (BTA)

Asan Account

Profit Loss Sharing Term Account

Profit and Loss sharing Term Accounts offered by Bank of Punjab are:

PLS Saving Account

Senior Citizen Account

Ziada Munafa Saving Account

PLS-Saving Profit plus Account

Supreme Saving Account (FCY)

Consumer Finance

Types of consumer finance offered by Bank of Punjab are:

Aasaih Loan

Quick Cash

Car Loan

House Loan

Small Cash Personal Loan

BOP Motorcycle Loan

Commercial Finance

The Bank of Punjab offers following Commercial Financing Loans:

Running Finance

Cash Finance

Demand Finance

CNG Filling Station Scheme

Auto Lease Financing Scheme

Car Lease Financing Scheme

Karobar Barao Scheme

Fertilizers Dealers Financing Scheme

Ali Akbar Group_ Franchise Financing Scheme

Atlas Honda Limited _Authorized Dealers Financing Scheme

Financing Scheme_ Purchase of Office/Shops

Electronic Banking

Electronic Banking provides non-stop banking convenience, twenty four

hours a day, seven days a week.

Visa Debit Card

Internet Banking

ATM Network

BOP Quick pay

Call Center

Services

The Bank of Punjab is dedicate in its efforts to provide a quality banking

experience to our customer via a range of unique Banking Services

Commercial Banking

Online Banking

Cash Management Services

Utility Bills

Lockers

Treasury

Western union Money Transfer

Agriculture Credit

Agriculture credit is provided to the farmers and livestock organizations.

Bank of Punjab provides following agriculture loans with a specific markup

rate:

Agri Finance Scheme

Kissan Dost Finance Scheme

Second Hand Tractor Lease Finance Scheme

Kissan Dost Mechanization Support Scheme

Kissan Dost Live Stock Development Scheme

Kissan Dost Commercial Agro Services

Kissan Dost Agri Mall Finance Scheme

Commercial Lease Finances Tractor Scheme

Demand Finance Sheds Construction and Civil Work

Lease Finance Facility for Milked Animals

Running Finance Livestock Poultry

Scheme for Controlled Shed

Group Finance to Small farmers

Markup of Schemes

CASH
Cash department perform the responsibilities to deal with cash, transfer
amounts from one account to other accounts and calculate the profit for
different types of accounts. When cheque is presented to bank, officer match
the word and figure of cheque. If words and figure is correct then officer
verify the signature and check the date. A cheque can be converted in to
cash within six month. After six month cheque expires. For PLS account bank
calculate the profit on the minimum balance in account from 6 th to 29th of

the month. Bank pays this profit after six moth or transfer in account of
account holder after six month. For corporate account profit is calculated on
daily basis. Profit is credited after a moth in the CPA account. Formula used
to calculate the profit is

Profit = Capital X days X (%)

365 X 100
Accounts Department

When I completed my training in Account Opening Department, the Branch

Manager sent me to Account Department. I worked in Accounts Department
from 30th April, 2011 to 6th May, 2011.

Account department is responsible for budgeting keeping record of the

revenue and expenses all transaction that are take place in the bank and
their physical prove (voucher) are come to the account department next day
these voucher are also posted to computer and the computer generated
report of daily transaction is created in IT department and then they send to
the account department to match or tell to computer generated report and
their voucher of daily transaction and save it as a physical record that these
transaction are take place in the bank at following date. The report
generated by the accounts department on a daily, weekly, monthly, bi-yearly
and yearly is written in a proper format. It is neither necessary nor possible
to get acquainted by all of these reports in a short period of time.

Some of the common reports are: Monthly Assets & Liabilities, Monthly
Budget Review Report, Monthly Monitory statement, Monthly Performance

Review Report and Monthly fixed investment. For these statements, five
reports carry extreme importance. The five reports are: Daily position of
advances and deposit, Statement of affairs, Daily exchange position report,
fixed assets statement and Monthly review of performance.

The account department of BOP has to record even the minor expenses of
the branch like tea for staff, stationery for the branch.