MEEZAN BANK ANALYSIS

(Analysis)

By

HIZBULLAH AWAIS
AHMAD HASSAN
AMBER ADSAD
For
Financial Institution

Submitted To

MS. SAIQA SHAFIQUE

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 ACKNOWLEDGEMENT

F i r s t o f a l l , w e a r e t h a n k f u l t o AL L A H , W h o h a s g i v e n u s t h e
a b i l i t y t o s h o w o u r s k i l l s . We a r e t h a n k f u l t o t h e m a n a g e m e n t a n d
the staff of MEEZAN BANK Ltd, who provided us valuable
information during our internship and given us chance to take a step
t o w a r d s t h e p r a c t i c a l l i f e . M o r e o v e r, w e a r e t h a n k f u l t o S i r S h u j j a t
Saleem (Course Instructor) who provided us an opportunity to
e x c e l o u r s k i l l s . S p e c i a l T h a n k s t o M r. J u n a i d Ah m e d ( B r a n c h
M a n a g e r ) M r. I m r a n M i r z a R i z k i ( O p e r a t i o n M a n a g e r ) f o r t h e i r
unconditional support and help in making us learn in a good
environment, who also provided us valuable information regarding
our first fieldwork of management.

T H A N K YO U AL L

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 Executive Summary :

In the first we have discussed about the

introduction of the Meezan Bank, Basic Functions of Meezan

Bank and objectives of Meezan Bank Ltd. Then I introduced

M e e z a n B a n k ( G a r d e n Wes t B r a n c h ) . I h a v e a l s o m e n t i o n e d t h e

products, packages, which the Meezan Bank Ltd. offers to its

customers and then I have given a brief overview of different

accounts opened and Investment Certificates issued by Meezan

Bank Ltd. And in the last I have shown the Balance Sheet and

Income Statement of Meezan Bank Ltd.

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 INTRODUCTION:

M e e z a n B a n k i s p u b l i c l y l i s t e d c o m p a n y, f i r s t i n c o r p o r a t e d
on January 27, 1997. It started operations as an Islamic investment
b a n k i n Au g u s t o f t h e s a m e ye a r , w h i c h h a s b e e n l i c e n s e d b y t h e
State Bank of Pakistan to operate as an Islamic Commercial bank
on 31st January 2002. State Bank of Pakistan granted the Nations
first full-fleged commercial banking license of Islamic Banking to
Meezan bank Ltd. It was a new era in banking Sector history in
Pakistan that Meezan Bank Ltd adheres strictly to the principles of
Islamic Shariah with absolutely no compromise, and is recognized as
P a k i s t a n s t r u l y p r e m i e r I s l a m i c B a n k . M e e z a n B a n k i s o p e r a t i n g
approximately more than 166 branches in 40 different cities.
In addition, the State Bank of Pakistan itself governs
the activities of Meezan Bank and its Shareholders. Meezan bank
L t d h a s a s t r o n g B a l a n c e s h e e t w i t h e x c e l l e n t o p e r a t i n g p r o f i t a b i l i t y,
including a capital adequacy ratio that has placed the Bank at the
t o p o f i n d u s t r y, a l o n g - t e r m e n t i t y r a t i n g o f A+ , a n d a s h o r t - t e r m
e n t i t y r a t i n g o f A1 + .

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P l a n n i n g a n d m a n a g i n g t h e w o r k e ffi c i e n c y i s t h e

ke y factor of the Meezan Banks Managers. The

Visi on of Meezan bank is Establish Islamic Banking

A s b a n k i n g o f F i r s t C h o i c e . A n d o u r M i s s i o n i s To

Be A Premier Islamic Bank.

Shariah Board

Meezan Bank has a very high-caliber Shariah

Supervisory Board, comprises of i n t e rn a t i o n a l l y
re n o w n e d I s l a m i c S c h o l a r s . T h e S h a r i a h S u p e r v i s o r y
Board re g u l a r l y re v i e w s the banks activities and
a p p ro v e s a l l n e w p ro d u c t s . T h e b a n k a l s o h a s a re s i d e n t
Shariah a d v i s o r. D r. Muhammad Imran Usmani, who
monitors d a y- t o - d a y transactions of the bank. The
Shariah Board comprises of the following members:

Justice (Retd.) Muhammad Ta q i Usmani

( Pa k i s t a n ) - C h a i r m a n .

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 D r. Abdul Sattar Abu Ghuddah (Saudi
Arabia).

Sheikh Essam M. Ishaq (Bahrain).

D r. Muhammad Imran Ashraf Usmani

( Pa k i s t a n ) .

Share Holders in Meezan Bank

Our Share Holders are world-renowned financial

institution i-e:

Pakistan Kuwait Investment Company (Pvt) Ltd.

Shamil Bank of Bahrain E.C.

Islamic Development Bank.

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 K U W A I T Aw q a f P u b l i c F o u n d a t i o n .

Saudi-Pak Industrial & Agriculture Investm ent

Company (Pvt) Ltd.

Our Head Office:

Our Head Office is located at,

3rd Floor PNSC Building,
Moulvi Tameezuddin Khan Road Karachi,
Sindh, Pakistan.
Tel: (92-21) 5610582/5610679.

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 Fax: (92-21) 5610375.
www.meezanbank.com
24/7 Call Center 111-331-331.

Introduction to Meezan Bank Ltd

( G a rd e n We s t B r a n c h K a r a c h i )

As we all know that Meezan Bank is operating

a p p rox i m a t e l y m o re t h a n 1 6 6 b r a n c h e s i n 4 0 d i ff e re n t
cities. So, inspite of that a new branch of Meezan Bank
Ltd is opened at G a rd e n We s t (a beautiful and
c o m m e rc i a l a re a ) on 12th of November 2008, having
a d d re s s : P l o t # 1 3 0 / 1 , A m i n C e n t e r , G a rd e n We s t , K a r a c h i .

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G a rd e n We s t a re a h a s a l a rg e s t o i l d i s t r i b u t o r s m a r ke t i n
K a r a c h i , a n d a u t o p a r t s d i s t r i b u t o r s . I t s re s i d e n t i a l a re a
i s b e a u t i f u l a n d w e l l o rg a n i z e d . T h e re s i d e n t s a re w e l l
e d u c a t e d a n d b e l o n g t o d i ff e re n t c a t e g o r i e s , s o m e o f
them belong to noble families, some belongs to poor
family, but the Meezan Bank Ltd is trying its level best to
f u l fi l l t h e i r b a n k i n g n e e d s a c c o r d i n g t o I s l a m i c b a n k i n g .

O b j ec t i v e s

To b e a p r e m i e r I s l a m i c B a n k .

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 To f u l fi l l the banking requirements of the

customer according to the Islam.

To guide customers about d i ff e r e n t products,

B a n k p o l i c i e s & r e q u i r e m e n t s r e g a r d i n g d i ff e r e n t

types of accounts.

Assist fi r s t time customer in opening bank

accounts.

To promote the highest level of customer

services and responsiveness to customer base of

the branch.

Intelligently access the needs and problems of

the existing customer and guide them in the best

solution of their queries and concern as per bank

policies.

To o p e r a t e t h e a c c o u n t s o f s u c h c u s t o m e r s w h o

earns HAL AL & Riba-free income.

To r e p r e s e n t s t h e b a n k i n p r o f e s s i o n a l m a n n e r.

To f a c i l i t a t e t h e C u s t o m e r t o a v a i l o u r s e r v i c e s

h a p p i l y a n d e a s i l y.

Assure customer of a truly Halal absolutely Riba-

free investment.

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 STAFF
( M E E Z A N B A N K LT D G A R D E N W E S T B R A N C H K A R A C H I )

Name De si gnati on
1. Junaid Ahmed Branch Manager

2. Imran Mirza Rizki Operation

Manager

3. Bakhtiyar Ullah Cash Deposit

Incharge

4. Bilal Mehmood Operation

O ffi c e r 1

5. Muhammad Ehsan-Ul-Haleem Personal Banking

O ffi c e r

6. Irfan Mehar Hussain C a s h O ffi c e r / Te l l e r

7. Aneel Kumar Te a m L e a d e r

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8. Arsalan Arif Siddiqui Assistant Operation

O ffi c e r

9. Humera Siddiqui Service Quality

Controller

10.Mohsin Ahmed Business

D e v e l o p m e n t O ffi c e r

11.Mahmood Ali Business Development

O ffi c e r

12.Muhammad Shahid Business Development

O ffi c e r

13. Erum Ansari Te l e p h o n e O p e r a t o r

Organizational Structure

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 A s w e a l r e a d y i n t r o d u c e d M e e z a n b a n k L t d ( G a r d e n Wes t
B r a n c h K a r a c h i ) . S o , t h i s B r a n c h i s c o m p r i s e s o f a B r a n c h M a n a g e r,
w h o r e p o r t s t o t h e Ar e a M a n a g e r a b o u t t h e w o r k & p e r f o r m a n c e o f
the branch employees. A separate area has been set aside for
o p e r a t i o n s w h i c h a r e m o n i t o r b y a n O p e r a t i o n M a n a g e r, w h o r e p o r t s
to Branch Manager about daily cash transactions, clearance,
remittances & accounts opening. There are also PBO (Personal
Banking Officer) and BDOs (Business Development Officers), who
are directly related to Branch Manager and reports him about
customer relationship & services provided to them, and about
deposits targets of concerned bank.

Branch
Manager

Operation

Manager

Chief Cash Cash Accounts Personal Liability

Officer Deposit opening Banking Sales
Officer Officer Officer

BDOs

Sorter S
Cash
Officer o

t
Clearing Remittance
Officer e Officer
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r
 Accounts Offered by Meezan Bank Ltd on
Mudarabah basis.

Mudarabah:

This is a kind of partnership where one partner gives

money to another for investing in a commercial enterprise.

The investment comes from the first partner who is called

Rab-ul-Mal (Investor).

The management and work is an exclusive responsibility

o f t h e o t h e r, w h o i s c a l l e d M u d a r i b ( Wor k i n g P a r t n e r ) .

Profit is shared as per agreed ratio.

In case of Mudarbah all losses are borne by Rab-ul-Mal.

Key Features:

The Structure is based on the principle of

Mudarabah and is strictly in conformity with the

rules of Islamic Shariah.

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 It has been approved by the Shariah Supervisory

Board of Meezan Bank.

On agreeing to become an account holder, the

customer enters into a relationship based on

Mudarabah with Meezan Bank.

Under this relationship:

- The Bank is the Manager (Mudarib) of the

funds deposited by the customers.

- The Customer is an Investor (Rab-ul-Mal),

and The bank allocates the funds received

from the customers to a deposit pool.

These funds from the pool are utilized to provide

fi n a n c i n g to customers under Islamic modes that

include, but are not restricted to, Murabaha and

Ijarah.

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 P r o fi t D i s t r i b u t i o n S t r u c t u r e :

Source Investment Pool Investment/Financing

Depositors Murabah
Funds Ijarah
Diminishing Musharakah

Bank

Profits Profits

The Gross Income will be shared between the bank (as

Mudarib) and Depositors (Rab-ul-Mal) in a
p r e d e t e r m i n e d r a t i o ( % ) o f t h e a c t u a l p r o fi t e a r n e d .

Meezan Bank Ltd o ff e r s d i ff e r e n t types of

Accounts on Mudarabah Basis. These are as

under:

1. Current Accounts.
C u rre n t s Ac c o u n t s a re t h e b u s i n e s s a c c o u n t s o ff e re d
t o a l l t y p e s o f b u s i n e s s o w n e r s . T h e b a n k d o e s n t e a rn
a n y t y p e o f p ro fi t f ro m t h e s e a c c o u n t s b u t t h e s e a re

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opened only due to the facilitation of the customers.
C u rre n t a c c o u n t s c a n b e o p e n e d j o i n t l y , s i n g l y , c o m p a n y
etc. Fre e online services f ro m all branches. No
re s t r i c t i o n s o n n u m b e r o f t r a n s a c t i o n s o f w i t h d r a w a l s .

2 . Saving Accounts.
S a v i n g a c c o u n t s a re o p e n e d d u e t o t h e s a v i n g o f
m o n e y. T h e b a n k a l s o p ro v i d e s p ro fi t t o t h e c u s t o m e r s .
That p ro fi t is calculated & paid on monthly basis. If
during the month average deposits falls below 1000/-,
t h e n n o p ro fi t n o Lo s s .

3. KMA (Karobari Munafa Accounts.)

KMA accounts a re o ff e re d specially to those
customers who have valuable business and e a rn 1
million each month. So, the bank facilitates them with
f re e cheques book, f re e AT M c a rd , f re e Te l e p h o n e
Banking and f re e I n t e rn e t Banking. The minimum
investment for this account is 1 million. And the bank
p ro v i d e s t h e m p ro fi t a t d i ff e re n t r a t e s .

4. MBA (Meezan Bachat Accounts).

This account re q u i re d minimum investment of
25000. This account is opened for all customers, who
can operate it e a s i l y. In these accounts bank also

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 p ro v i d e s p ro fi t s t o t h e c u s t o m e r s . T h e s e a c c o u n t s a l s o
p ro v i d e f a c i l i t y o f w i t h d r a w o f c a s h a n y t i m e .

5 . U S D O L L A R S AV I N G A C C O U N T S .
T h e s e a c c o u n t s a re o p e n e d f o r t h o s e c u s t o m e r s w h o
a re re s i d e n t s o f Pa k i s t a n b u t e a rn i n g o u t s i d e o f t h e
c o u n t r y a n y w h e re s o h e d e p o s i t s h i s a m o u n t i n d o l l a r
o r o t h e r c u r re n c y a n d o u r b a n k p ro v i d e s h i m m o re
p ro fi t a s c o m p a re d t o t h e l o c a l i n v e s t o r s & o n m o n t h l y
basis. The minimum investment for this account is
$500.

NOTE: Rates are per annum and are declared on

monthly basis.
The rates declared every month before your
maturity or p r o fi t period shall be
applicable on your investment.

T h e s e a l l c u r re n t a n d s a v i n g a c c o u n t s c a n b e o p e n e d i n
any category of the following types of accounts.

Individual Accounts

Joint Accounts

Minor Account

Sole Proprietorship Accounts

Illiterate Customer Account

Partnership Accounts

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 Limited Liability Companies Accounts

Associations, Committee, Societies or Club Accounts etc.

Non-Resident Rupees Account

Trust Accounts (with prior permission from the HO)

Executors, Administrators Accounts (with prior permission

from the HO)

Local Bodies Accounts.

Special Convertible Rupees Account (SCRA)

Staff Accounts.

1. Individual Accounts.
Accounts of Individuals, who are resident or non-resident, are
t o b e o p e n e d u n d e r t h i s c a t e g o r y.

2 . J o i n t Ac c o u n t s .
J o i n t Ac c o u n t i s a n a c c o u n t i n t h e n a m e s o f t w o o r m o r e
p e r s o n s ( o t h e r t h a n P a r t n e r s o r Tr u s t e e s ) . I n t h i s r e g a r d i t t o b e
ensured that:
The Survivorship Mandate is signed by all the parties to the
account and instructions for the operation of account are clearly
stated and filled in the Mandate.
I n c a s e o f d e a t h , c h e q u e s s i g n e d b y D E C E A S E D Ac c o u n t H o l d e r
presented for payment will not be entertained and therefore must be
returned.

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 W h e n t h e b a l a n c e o f J o i n t Ac c o u n t i s r e p a y a b l e t o e i t h e r p a r t y o r
s u r v i v o r, t h e S p e c i m e n S i g n a t u r e C a r d s h o u l d b e m a r k e d t o e f f e c t
the arrangement.

3. Minor Account

A person who has not attained the age of 18

y e a r s i s m i n o r. H o w e v e r , i n c a s e C o u r t h a s a p p o i n t e d

a Guardian for the property of a Minor, and then the

period of his / her maturity extends to the age of 21.

4. Sole Proprietorship Accounts.

A formally stamped written request on the official Letter

Head of the Business / Firm of the Sole Proprietor in order to

open a Sole Proprietor Account must be submitted along with

AOF (Accounts Opening Form).

This request for opening of a Sole Proprietorship Account

should comprise the following clause:

"I am a Sole Proprietor of the Firm and as such, I am entirely

responsible for all transactions carried out in the name of the

Firm and I am personally liable for any overdraft or other

obligations arising in or in connection with this account and

the Bank is hereby authorized to debit the account with

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commission and / or other Banking charges and expenses

incurred in connection with this account.

Additional care must be taken while opening of sole proprietor

account. Beside other documents the customer should be ask to

p r o d u c e t h e o r i g i n a l N TN ( N a t i o n a l Tax N u mb e r ) c e r t i f i c a t e

issued to his name in the capacity as sole proprietor of said

firm.

5. Illiterate Custom er Account.

T h e s e t yp e s o f a c c o u n t s a r e o p e n e d o n l y f o r t h o s e p e r s o n s w h o
a r e i l l i t e r a t e . T h i s a c c o u n t i s a l s o k n o w n a s P H O T O AC C O U N T ,
that during opening this account we paste the current passport size
p h o t o g r a p h s w i t h AO F ( A c c o u n t s O p e n i n g F o r m ) . I l l i t e r a t e p e r s o n
c o u l d o n l y o p e n S a v i n g Ac c o u n t s . F u r t h e r m o r e , a l l w i t h d r a w a l s
undertaken by illiterate Customers must be witnessed by two Bank
officials and countersigned by Manager Operation.

6. Partnership Accounts.
Partnership is an association of two or more persons who have
agreed to share profits of a business carried on by all or by any one
of them acting for all. The terms and conditions must be spelled out
in the Partnership Deed formally agreed upon among Partners by
incorporating the same in the Deed.
It should be ensured that:

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 Accounts of only Registered Partnership concerns will be opened
and the Partnership Deed will be obtained and critically reviewed.
T h e AO F m u s t b e s i g n e d b y a l l t h e P a r t n e r s i n t h e i r c a p a c i t y a s
individuals and not as member of the Partnership
The signing and delegation of powers of those authorized to operate
t h e a c c o u n t s h o u l d b e c l e a r l y s t a t e d o n t h e AO F d o c u m e n t a t i o n i n
a c c o r d a n c e w i t h Pa r t n e r s h i p D e e d .

7. Limited Liabilities Company Accounts .

There are two types of Limited Companies i.e., Public Limited
and Private Limited. The Public and Private Limited Companies are
both incorporated and governed under the provisions of Companies
Ordinance 1984.
A Limited Liability Company may open an account with the Bank
only if it is authorized to do so by a resolution of the Board of
D i r e c t o r s o f t h e c o m p a n y.
Furthermore, such resolution must specify the titles / designation of
the officials authorized to open and operate the account, the extent
of their authority and the manner in which the account will be
operated.

8. Associations, Committee, Societies or Club Accounts etc .

A n As s o c i a t i o n , C o m m i t t e e , S o c i e t y o r C l u b m a y o p e n a n
account with the Bank only if authorized to do so by the Governing
B o d y o f t h e s a i d As s o c i a t i o n / C o m m i t t e e / S o c i e t y o r C l u b .
A c c o u n t o f t h e As s o c i a t i o n , C o m m i t t e e , S o c i e t y o r C l u b s h o u l d n o t
be allowed to be overdrawn. No cheques drawn on the accounts of

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Association, Committee, Society or Club shall be collected for the
credit of personal / private accounts of any of the Office-Bearers of
Association, Committee, Society or Club.

9. Non-Residential Rupees Account .

Accounts of Individuals, Firms or Companies who are resident in
countries outside Pakistan and all nationals of Pakistan and persons
domiciled in Pakistan, who visit abroad for the purpose of
employment, study and business etc., are treated as Non-residents as
l o n g a s t h e y r e m a i n o u t s i d e P a k i s t a n . Ac c o u n t s o f a l l f o r e i g n
nationals who are resident in Pakistan may be treated as
R e s i d e n t Ac c o u n t s .

1 0 . Tru s t Ac c o u n t s .
A Tr u s t Ac c o u n t m a yb e o p e n e d e x c e p t i o n a l l y w i t h t h e p r i o r
approval of Head of Operations. Trust account may only be open for
p a r t i e s w h o s e i n t e g r i t y a n d s t a n d i n g i s b e yo n d a n y d o u b t . B e f o r e
sending the to HO (Head Office) BM (Branch Manager) and
MO (Manager Operation) will go through the Trust Deed to ensure
that no undue onus is placed on the Bank.

11. Executors and Adm inistrators Accounts.

E x e c u t o r s a n d Ad m i n i s t r a t o r s Ac c o u n t s s h a l l o n l y b e o p e n e d
with the prior permission from the HO. M o r e o v e r, whenever
a p p l i c a t i o n f o r t h e o p e n i n g o f E x e c u t o r s a n d Ad m i n i s t r a t o r s a c c o u n t
is received, the matter should be referred to the Regional Manager
who will forward the full details of the matter to HO for guidance

23
a n d p e r m i s s i o n t o o p e n s u c h a c c o u n t . N o E x e c u t o r a n d Ad m i n i s t r a t o r
will be allowed to transfer the fund from the account to their
personal accounts.

1 2 . L o c a l B o d i e s Ac c o u n t s .
City Governments, Municipalities, District Boards,
Development Bodies etc are included in Local bodies. Functions and
powers of these Local Bodies are governed by the relevant Local
A c t s a n d R u l e s / B ye l a w s m a d e i n a c c o r d a n c e w i t h s u c h Ac t . T h e s e
Local Bodies are regarded as desirable Customers because they have
s u b s t a n t i a l a m o u n t o f f u n d s a t t h e i r d i s p o s a l . H o w e v e r, o p e r a t i o n s
on these accounts must be conducted strictly in accordance with the
statutory rules and regulations.

13. Special Convertible Rupees Account (SCRA) .

As per the Foreign Exchange Manual Chapter 20, SCRA can be
open by Nonresidents for the purpose to trade in the shares quoted
on the Stock Exchanges in Pakistan. Such accounts can be fed by
remittances from abroad or by transfer from a foreign currency
account maintained by the non-resident investor in Pakistan. The
balance available there in can be used for purchase of any share
quoted on the Stock Exchange. Branches will be required to submit

w e e k l y s t a t e m e n t i n t h e p r e s c r i b e d P e r f o r m a ( V-9 2 ) o f F E - M a n u a l
showing the position in respect of SCRA accounts as on each
S a t u r d a y.

1 4 . S t a f f Ac c o u n t s .
Staffs can open only one saving or current account singly or
jointly with his / her spouse at the time of appointment in the
respective branch of Meezan Bank Limited. The account will be

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o p e n e d f o r t h e p u r p o s e o f s a l a r y d i s b u r s e m e n t ( l i k e s a l a r y, b o n u s ,
increments, allowance or any form of reimbursement from Meezan
Bank Limited against services rendered by employee).

Documentation of Opening an Account.

1. Individual accounts:
1. Copy of CNIC.

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 2. Any proof of Income (salary slip/ NTN).
3. A n y U t i l i t y B i l l ( f o r Ad d r e s s Ver i f i c a t i o n ) .

2 . P r o p r i e t o r s h i p Ac c o u n t :

1. Copy of CNIC.
2. Proof of proprietorship (NTN Certificate).
3 . Ac c o u n t O p e n i n g R e q u e s t & P r o p r i e t o r s h i p l e t t e r o n F i r m s
Letter Head.
4 . An y U t i l i t y B i l l ( f o r Ad d r e s s Ver i f i c a t i o n ) .

3 . M i n o r Ac c o u n t :
1. Copy of CNIC of Guardian.
2. Copy of Birth Certificate.
3. CNIC copy of Guardian.

4 . P a r t n e r s h i p Ac c o u n t s :
1. Registered Partnership Deed (Certified Copy).
2 . L e t t e r o f Au t h o r i t y & M a n d a t e .
3. Copies of CNICs of all partners.
4 . Ac c o u n t o p e n i n g R e q u e s t L e t t e r o n f i r m s L e t t e r H e a d .

5. Limited Company:
1. Copy of Certificate of Incorporation.
2. List of Directors.
3 . M e m o r a n d u m & Ar t i c l e s o f As s o c i a t i o n .
4. Board Resolution.

26
 5. Certificate of Commencement of Business (for Public Ltd. Co.).
6. Copies of CNICs of all Directors/Signatories.
7. Latest copy of certified Form-29.

6 . C l u b / S o c i e t y / As s o c i a t i o n :
1 . C o p y o f R u l e s / B y- L a w s .
2. Copy of Registration (if applicable)
3. List of executive Member/Management Committee/Management
Board etc.
4. Certified Copy of Resolution.
5. CNICs of all Members of Management Body & Signatories.
6. Undertakings to immediate inform the bank in writing about
a n y c h a n g e s i n M a n a g e m e n t C o m m i t t e e / Au t h o r i z e d p e r s o n s .

NOTE:
These all documents are required original, bank itself
get the photocopy of these documents.
Housewives/Students/Retired Personal: Documents as

requested by branch.

I n v e s t m e n t C e r t i fi c a t e i s s u e d b y

Meezan Bank Ltd.

27
 To facilitate the customer through opening

a c c o u n t s o f d i ff e r e n t t y p e s , M e e z a n B a n k a l s o i s s u e s

some investment c e r t i fi c a t e s through which they

could b e n e fi t c u s t o m e r. The customer could easily

i n v e s t i n d i ff e r e n t t y p e s o f c e r t i fi c a t e s o f d i ff e r e n t

i n v e s t m e n t s a n d c o u l d g e t p r o fi t a t a t t r a c t i v e r a t e s .

T h e s e c e r t i fi c a t e s a r e a s u n d e r :

1 . C e r t i fi c a t e o f I s l a m i c I n v e s t m e n t - C O I I .

These c e r t i fi c a t e requires the minimum

i n v e s t m e n t o f 5 0 , 0 0 0 / = . T h e s e c e r t i fi c a t e s a r e o f

three types one of them is for 3 months-5 years

a n d t h e p r o fi t d i s t r i b u t i o n o f t h i s t y p e c e r t i fi c a t e i s
nd
at the maturity of payment. 2 i s f o r 1 y e a r- 5 y e a r s

a n d p r o fi t d i s t r i b u t i o n o f t h i s i s q u a r t e r l y a n d t h e
rd
3 and last which is for 5 years and p r o fi t

distribution is on monthly basis but its investment

is minimum 200,000/= rupees.

2 . M o n t h l y M u d a r a b a h C e r t i fi c a t e - M M C .

The Monthly Mudarabah C e r t i fi c a t e is the

fl e x i b l e investment product, which has been

28
 designed to give customers a monthly return, which

is purely halal. These c e r t i fi c a t e s require the

investment of 100,000/= rupees, and

t h e p r o fi t d i s t r i b u t i o n i s o n m o n t h l y b a s i s . A s t h e

investment increases the distribution rate also

increases.

3 . M e e z a n A a m d a n C e r t i fi c a t e - M A C .

Meezan Aamdan C e r t i fi c a t e (MAC) is the long

t e r m i n v e s t m e n t w i t h h i g h m o n t h l y p r o fi t e s p e c i a l l y

designed for those individuals and corporations

who are in need of regular stream of monthly

income. MAC is therefore, a monthly income

( M a h a n a A a m d a n i ) c e r t i fi c a t e w i t h a v a r i e t y o f f r e e

packaged b e n e fi t s . The minimum investment for

this c e r t i fi c a t e is 1, 00,000/= rupees. These are

i s s u e d f o r t w o d i ff e r e n t t e n u r e s i . e . f o r 5 1 / 2 a n d 7

y e a r s . T h e 7 y e a r c e r t i fi c a t e h a s m o r e a t t r a c t i v e

p r o fi t d i s t r i b u t i o n a s c o m p a r e d t o 5 1 / 2 .

29
4 . M e e z a n P r o v i d e n c e C e r t i fi c a t e .

These c e r t i fi c a t e s are issued only for

institutions, registered or unregistered Employee

P ro v i d e n t / G r a t u i t y / Pe n s i o n Fu n d ,

Which wants invest in such reputed and Islamic

organization to earn totally Riba-free p r o fi t ? The

minimum investment required for this type of

c e r t i fi c a t e is 1 Million. This c e r t i fi c a t e bears

d i ff e r e n t t e n u r e s ; i t s t a r t s f r o m 2 y e a r s t o 7 y e a r s .

As the tenure grows the rate of p r o fi t also

increases.

5 . D o l l a r M u d a r a b a h C e r t i fi c a t e .

T h i s M o n t h l y M u d a r a b a h C e r t i fi c a t e i s s a m e

a s t h e a b o v e M o n t h l y M u d a r a b a h C e r t i fi c a t e , b u t

the d i ff e r e n c e is this c e r t i fi c a t e requires

30
 investment in Dollars and that is $ 10,000/=. And

t h e p r o fi t i s d i s t r i b u t e d i n D o l l a r s .

Pa c k a g e s Launched by M ee z a n

Bank Ltd.
Meezan bank Ltd launches d i ff e r e n t packages

purely Riba-free only for the betterment of

customers, and strive towards the pure Islamic

Banking, to f u l fi l l the customers banking needs

according to Islam. Those attractive products are:

1. Meezan Labbaik Umrah.

2. Meezan Labbaik Ramadan Umrah.

3. Meezan Labbaik Hajj.

1. Meezan Labbaik Umrah:

Meezan bank launches Umrah packages (a Holy

Journey With Comfort & Convenience) for their

valuable customers at attractive rates.

31
 T h e M e e z a n L a b b a i k U m r a h p r o d u c t i s c l a s s i fi e d i n t o
three categories:

I. Labbaik Tr a v e l Aasaan Pa y today and Pe r f o rm

U m r a h n o w.

I I . L a b b a i k Tr a v e l A a s a a n ( I n s t a l l m e n t O p t i o n ) - P e r f o r m

Umrah now and pay later

III. Labbaik Saving Aasaan -Save today and plan for

Umrah or Hajj.

I . L a b b a i k Tra v e l As a a n :
Pay today & perform Umrah or Hajj now after processing and
documentation.

As per Saudi Pak Bank and EGIB experience; approximately 50% of

o u r t a r g e t c u s t o m e r s w i l l l i k e l y o p t f o r Tr a v e l Aa s a a n a s m o s t o f t h e
pilgrims are not satisfied with the services of travel agents and
prefer Bank as Banking is a trust business.

Bank will act as a commission agent of the travel agent and will
a n n o u n c e t h e p a c k a g e a s i t s p a r t n e r.

32
 Bank will charge a lump sum fee and agent will provide the agreed
services; here Bank will make sure the services are provided as per
commitment by using continuous monitoring & follow ups.

The package charges schedule is as under:

Description No. Of People Airfare + Package Tot a l

Adult 2 55,700+40,000 1,91,400

Child (75% of Adult) 1 41,775+30,000 71,775
Infant (10%of Adult) 1 5,570+4,000 9,570
Package Price 2,72,745

I I . L a b b a i k Tra v e l Aa s a a n ( I n s t a l l m e n t P l a n ) :

Perform Umrah now and pay within 12 easy monthly

installments. MBL will collect 10% of package price as Down
Payment and first installment .
As per Financing Contract bank approves or disapprove the
application, in case of approval bank sends Customer for
U m r a h a f t e r p r o c e s s i n g o f Vis a , d o c u m e n t a t i o n s a n d o t h e r
arrangement. Incase of Rejection, Bank will pay back the
Deposited amount.
P r o c e s s i n g C h a r g e s a t Ac t u a l : T h e B a n k w i l l c o n d u c t c r e d i t
assessments like NADRA, ECIB, Data Check and Physical

33
 Ver i f i c a t i o n s a n d D o c u m e n t a t i o n s a n d d e b i t c u s t o m e r a c c o u n t
with the actual direct expenses.
These Charges will be applicable in case of approval or
rejection both.

Description No. Of Airfare+ Package Down Payment 12Equal

People Package Price (10% of Monthly
package price)
Installments
Adult 2 55,700+40,000 1,91,400 19,140 14,355
Child (75% 1 41,775+30,000 71,775 7,178 5,383
of Adult)
Infant 1 5,570+4,000 9,570 957 718
(10%of
Adult)

T h e s a l i e n t p o i n t s o f L a b b a i k Tra v e l Aa s a a n ( I n s t a l l m e n t P l a n )
are:
Riba free 12 months financing.
Package price for Upfront & Installment Plan would be the
same.
Success is based on the processing time.
A c c o u n t O p e n i n g M a n d a t o r y.
D e f a u l t i s l i k e l y v e r y l o w, p i l g r i m a g e b e i n g a n I s l a m i c d u t y.

I I I . L a b b a i k S a v i n g Aa s a a n :

Save today and plan for Umrah or Hajj.

34
 Select Monthly Deposit plan according to expected package
price.
D e p o s i t C a l c u l a t o r w i l l b e a v a i l a b l e a t b r a n c h e s & o n B a n k s
website.
C u s t o m e r w i l l d e p o s i t fi x e d a m o u n t e a c h m o n t h .

Once the deposited amount reaches the package

price the Customer can f u l fi l l the desire to

perform Umrah/ Hajj. Pilgrimage to be performed

on some future date (6 months to 20yrs).

B a n k w i l l g i v e s p e c i a l p r o fi t t o t h e C u s t o m e r o n

Mudarabah basis.

The saving account will be a non-checking

a c c o u n t i . e . n o AT M o r c h e c k b o o k w i l l b e i s s u e d .

Withdrawal from the Scheme

Option available any time, without any penalty imposed by

closing his account.
At maturity Customer will have the option to take his deposited
amount with profit and utilize for any purpose he may deem fit.

35
It will not be mandatory to utilize the amount for Meezan Bank Hajj
or Umrah Scheme. The Customer may select packages by other tour
operators.

Change of Plan

Customer will have the option to switch from Labbaik Saving

A a s a a n t o L a b b a i k Tr a v e l Aa s a a n o r i n c a s e o f U m r a h t o L a b b a i k
P a y m e n t Aa s a a n a n y t i m e w i t h o u t h a v i n g a n y p e n a l t y s u b j e c t t o t h e
fulfillment of eligibility criteria.
In this scenario the customer will enjoy the benefits of the profits as
p e r t h e L a b b a i k S a v i n g Aa s a a n .

Package Features.
T h e s e U m r a h P a c k a g e s a r e o n l y f o r 1 5 d a ys .
Recommended for families and groups.
Stay in KSA is 14 nights i.e. 4-Ngts. In Makkah, 7-Nghts. In
Madinah & 3-Nights. In Makkah.
A c c o m m o d a t i o n i n A- C a t e g o r y H o t e l s i n M a k k a h & M a d i n a h .
R o u n d t r i p t r a n s f e r i n Ai r - C o n d i t i o n e d B u s e s ( J e d - M a k - M e d -
Meeqat-Mak-Jed).
C o m p l e t e U m r a h Vis a P r o c e s s i n g .
Meet & assist services through trained staff in KSA.
Ziarat in Makkah & Madinah with Urdu speaking guide.
Wee k l y g r o u p f l i g h t s w i t h c o n f i r m e d r e t u r n e d a i r t i c k e t .
D o u b l e U m r a h F a c i l i t y.
Taw a f Al - w i d a a .
Arrangement of Zam Zam 10 liter can (subject to availability).

36
NOTE:

Qurbani (NAHR) is not a part of the Package.

Airfare is not included in the package price, which will be
charged at actual; after announcement of rates from selected
Airlines.
Complete advance payment shall be made at the time of
booking.
Last date for booking is July 31st 2009.
MBL is just facilitating the sales whereas travel arrangements
a r e t h e r e s p o n s i b i l i t i e s o f t h e s e l e c t e d Tr a v e l a g e n t .

Requirements:
Copy of Machine Readable Passport with at least 1 year
v a l i d i t y.
12 Photographs 4x6 cm (light blue background).
Copy of CNIC.
Copy of deposit slip.

Consumer Banking Products O ff e r s B y M e e z a n

bank Ltd. on Musharakah Basis.

Musharakah:

37
 M u s h a r a ka h i s t h e t y p e o f Pa r t n e r s h i p i n w h i c h

both the partners invest equally, and share their

p r o fi t & l o s s e s e q u a l l y.

D i ff e r e n c e B / w M u s h a r a k a h & M u d a r a b a h .

Musharakah:

In Musharakah both parties invest.

Both parties work.

In Musharakah the p r o fi t and losses shared

e q u a l l y.

Mudarabah:

In Mudarabah one party invest (Rab-ul- Mal) and

other party work (Mudarib).

P r o fi t i s s h a r e d a s p e r a g r e e d r a t i o .

38
 In case of Mudarabah all losses are borne by

Rab-ul- Mal.

Consumer Banking Products are:

1. Murabah.

2. Car Ijarah.

3. Easy Home.

1. Murabah.

M u r a b a h i s t h e t y p e o f s h o r t t e r m fi n a n c i n g i n

which Bank is the owner of product and purchase

t h a t f o r t h e c u s t o m e r. L i k e o t h e r b a n k s M e e z a n

b a n k i s n o t p r o v i d i n g t h e l o a n t o t h e c u s t o m e r,

but if they need any type of product like

Machinery etc for his use. Bank has no expertise,

so banks make the agent to that person, he will

buy himself and then hand it over to the bank.

39
T h e n b a n k w i l l g i v e h i m o n c o s t p l u s p r o fi t . I f

during buying any type of sudden accident occurs,

the whole loss will be borne by the bank because

the is owner of that material.

2. Car Ijarah.

Car Ijarah Pakista ns First Islamic Car Financing:

As a step towards our mission of providing a one-

stop shop for innovative value added Shariah

compliant products to

O u r c u s t o m e r s M e e z a n B a n k i s p l e a s e d t o o ff e r C a r

Ijarah- a car fi n a n c i n g , that is based on the

principles of Ijarah and is free of the element of

interest.

40
Car Ijarah

C a r I j a r a h i s P a k i s t a n s fi r s t I n t e r e s t Fr e e c a r

fi n a n c i n g b a s e d o n I s l a m i c fi n a n c i n g m o d e o f I j a r a h

or Islamic leasing. This product is ideal for interest

averse individuals, l o o k i n g f o r a c a r fi n a n c i n g t h a t

provides the convenience of a well designed product

while avoiding an interest based transaction.

Car Ijarah is simply a rental agreement under which

the car will be given to the customer on rent for a

period, agreed at the time of the contract. Meezan

Bank purchases the car and rents it out to the

customer for a period of 3, 4 or 5 years. Upon

completion of the lease period he customer gets

ownership of the car against his initial security

deposit.

41
What makes Car Ijarah unique?

Som e of the ke y c ha ra c te ris tic s of C a r Ija ra h a re a s

follows

Rights & liabilities of Owner v/s User

An Islamic Ijarah is an asset-based contract, i.e.

the lesser should have ownership of the asset during

the currency of the contract. Under Islamic Shariah,

all ownership related rights and liabilities should lie

with the owner while all usage- related rights and

liabilities should lie with the u s e r. A conventional

lease contract does not distinguish between the

natures of these liabilities and dumps all liabilities on

the user, which is contradictory to Islamic Shariah.

Under Ijarah, all ownership- related risks lie with the

42
Bank while all usage related risks lie with the user,

thus making the Lesser the true owner of the asset

and making the income generated through the

contract permissible (Halal) for the Bank.

Continuation of lease rentals in case of total

loss or theft of vehicle

If the leased vehicle is stolen or completely

destroyed, the conventional leasing company would

continue charging the lease rent till the settlement of

the I n s u r a n c e / Ta k a f u l claim. Under the Islamic

system, rent is consideration for usage of the leased

asset, and if the asset has been stolen or destroyed,

the concept for rental becomes void. As such, in the

above-mentioned eventualities, Meezan bank does not

charge the lease rental.

43
Does Meezan Bank use Ta k a f u l or conventional

insurance to insure its vehicles?

MBL is insuring its Car Ijarah vehicles through

Ta k a f u l arrangement with Pa k Ku w a i t Ta k a f u l

Company, Pa k i s t a n s fi r s t Ta k a f u l p r o v i d e r. These

company has started operations in Karachi and Car

Ijarah vehicles of Karachi are now being covered

through Ta k a f u l . As the operations of Pa k Ku w a i t

Ta k a f u l expand into other cities of Pa k i s t a n , Car

Ijarah vehicles in other cities will also be insured

t h r o u g h Ta k a f u l . M B L s p r e s e n t i n s u r a n c e a r r a n g e m e n t

will be available for cities where Ta k a f u l is not

presently available since Leased assets are required

t o b e i n s u r e d u n d e r t h e l a w. H o w e v e r , M e e z a n B a n k s

Ijarah arrangement clearly states that Meezan Bank

will use conventional Insurance only as long as

44
Ta k a f u l i s n o t a v a i l a b l e , a n d w e a r e n o w c l e a r l y o n

the road to having all our Car Ijarah vehicles insured

t h r o u g h Ta k a f u l .

Is there a Penalty for Late Payment of Rent and

how is this permissible under Islamic Shariah?

In most contemporary fi n a n c i a l leases, an extra

monetary amount is charged if rent is not paid on

time. This extra amount is the considered as Riba and

is Haram. The leasing institution in their income

ta kes this am ount. U nde r Ija ra h, the Le s s ee m ay be

a ske d to unde rta ke tha t if he fa ils to pa y re nt on its

due date, he will pay certain amount to a charity,

which will be administered through the Islamic Bank.

Fo r t h i s p u r p o s e t h e b a nk m a i n t a i n s a c h a r i t y f u n d

45
where such amounts may be credited and disbursed

for charitable purposes.

Ke y Fe a t u r e s o f C a r I j a r a h

No application fee

Ease of acquiring any new l9ocally assembled car

N o u p f r o n t i n s u r a n c e / Ta k a f u l P a y m e n t

N o a d v a n c e Re n t a l

Av a i l a b l e i n t e n u r e s o f 3 , 4 a n d 5 y e a r s

Minimum-security deposit as low as 15%

C a r I j a r a h a l s o f e a t u r e s u s e d Ve h i c l e s

In addition to our leasing of new cars, we also

provide the unique opportunity of leasing second

hand locally assembled vehicles as well. This feature

i s s p e c i fi c a l l y d e s i g n e d a s a v e r y

46
economical option as well. With a minimum-security

deposit as low as 20%, our used Car Ijarah facility is

at your service.

Used Car Selection Criteria

Selecting a used car is very simple, all you need to

ensure is:

That the second hand car you select should be from

i t s fi r s t o w n e r. T h e Ve h i c l e s h o u l d n o t b e o l d e r t h a n 5

years when selected by you for Car Ijarah. The

minimum-security deposit for a vehicle up to 2 years

of age is 20%, while minimum security deposit for a

vehicle over 2 years of age is 30%. At the time of

termination of our Ijarah agreement, the vehicle

47
should MPT NE ,PRE TJAM 8 YEARS OLD. This means

that if a car is 5 years old, the Car Ijarah tenure is

not more than 3 years and if its 4 years old, the

tenure may be set for a 3year or 4 year term. This

facility is for locally manufactured cars of Suzuki,

To y o t a , Honda, new model of Santro and imported

reconditioned cars. Second hand vehicles selected

should not be worth more than Rs.1 million or less

than Rs.250,000/-. Meezan Bank will have the vehicle

valued by an independent valuation company

a c c o r d i n g l y.

Approved by Meezan Banks Shariah Board

48
 Car Ijarah is designed under the supervision of

Meezan Banks Shariah Supervisory Board and is

approved by the Board.

Rental Calculations

To c a l c u l a t e t h e m o n t h l y r e n t a l s s i m p l y m u l t i p l y

the cost of the car with the rental factors given in

the table below

Rental Calculation for new cars

Security 3 years 4 years 5 years

Deposit
10% 0.033988 0.028131 0.025341
15% 0.032303 0.026765 0.024125
20% 0.030619 0.025398 0.022909
25% 0.028934 0.024032 0.021693
30% 0.027249 0.022666 0.020478
35% 0.025565 0.021299 0.019262
40% 0.023880 0.019933 0.018046
45% 0.022195 0.018567 0.016830
50% 0.020511 0.017200 0.015614

49
 Fo r example: if you are interested in a car

costing Rs.300,000 for a tenure of 5 years and are

willing to pay a 50% Security Deposit, your monthly

rental would be,

Rs. 300,000 X 0.015614 = Rs. 4,84/- per month for 5

years

(** All other costs will be charged at actual)

Rental Calculation for used cars

Security 3 years 4 years 5 years

Deposit
15% 0.032519 0.026990 0.024364
20% 0.030823 0.025611 0.023135
25% 0.029126 0.024232 0.021906
30% 0.027429 0.022853 0.020676
35% 0.024572 0.021474 0.019447
40% 0.024036 0.020095 0.018218
45% 0.022339 0.018716 0.016989
50% 0.020642 0.017338 0.015760

50
 Fo r example: If you are interested in a car

costing Rs. 300,000 for tenure of 5 years

And are willing to pay a 50% Security Deposit, your

total monthly rental would be:

Rs. 300,000 X 0.015760 = Rs. 4,728 per month for 5

years

(** All other costs will be charged at actual)

Documentation required for Car Ijarah

It is very easy to apply for Car Ijarah, just bring

the following documents.

Copy of CNICs.

Tw o r e c e n t p a s s p o r t s i z e d p h o t o g r a p h s

51
 Re c e n t Utility Bill ( E l e c t r i c / G a s / Wa t e r ) received

at the residential address

Last Six Month Bank Statement

Last Six Month Bank Statement of Business (for

Businessmen)

C e r t i fi e d / O r i g i n a l copy of Re c e n t Pa y slip (for

Salaried Individuals)

C o p y o f Re n t A g re e m e n t ( i f a p p l i c a b l e )

How can I apply?

Simple! All you need to do is fi l l out a customer

application form, attach the required documents

mentioned in the form and get your fi n a n c i n g

a p p r o v e d i n a 1 - 2 w o r k i n g d a y s . To e x p e r i e n c e t h e

52
comfort of our personalized services just visit your

nearest Meezan Bank Branch.

3. Easy Home.

Meezan Banks Easy Home

Yo u r o w n h o m e , t h e R i b a - Fr e e w a y.

F i r s t c o m p l e t e I s l a m i c H o m e F i n a n c e Fa c i l i t y i n

Pakista n!

We l c o m e t o Pa k i s t a n s l o n g a w a i t e d t o t a l l y S h a r i a h -

compliant

H o u s i n g Fi n a n c e f a c i l i t y ; a p p r o v e d b y M e e z a n B a n k s

renowned Shariah supervisory Board Easy Home is

comprehensive, a ff o r d a b l e , and totally hassle-free.

Fo r a t M e e za n B a nk , w e a re c o m m i t t e d t o m e e t i n g o u r

53
customers needs, in a truly Shariah- complaint

manner coupled with dedicated service excellence.

W h y i s H a l a l h o m e fi n a n c e s o i m p o r t a n t t o y o u ?

Owning your own home is one of lifes most

important achievements. It represents your security,

s t a b i l i t y , a n d i s a g r e a t b l e s s i n g i n i t s e l f. I t p r o v i d e s

that all-important safety and comfort for you and

your loved ones. However, in todays often

unpredictable and costly environment, saving the

r e q u i r e d m o n e y c a n t a k e a l i f e t i m e i n i t s e l f. R i s i n g

property prices, taxes, i n fl a t i o n , currency

devaluation its all a very hard bargain. In the other

hand, owning your own home and paying an easy

installment that ta ke s you step by step towards

54
complete ownership, is so much better than paying a

rent which ultimately only adds to your expenses.

Added to that is your desire to stay away from

interest based fi n a n c i n g and be totally R i b a - Fr e e ,

thus achieving that inner satisfaction and peace of

mind you desire so much. Why not have the best of

both world? Isnt that why you are working so hard

for anyway

Islamic Financing on a Diminishing Musharakah

basis

With Easy home you participate with Meezan

Bank in a joint ownership of your property, where the

Bank will provide a certain amount of fi n a n c i n g

u s u a l l y u p t o 8 5 % . Yo u a g r e e t o a m o n t h l y p a y m e n t

to the Bank of which a component is for the use of

55
the home (rent), and another for your equity share. In

fact, the total monthly payment is reduced regularly

as your share into the property grows. When you have

made the full investment that had been agreed, you

become the sole owner with a free clear title to the

p r o p e r t y.

E a s y H o m e o ff e r s y o u a c o m p r e h e n s i v e s o l u t i o n :

Easy Buyer Buying a home is Easy & Halal

Easy Builder- Building a home is Easy &Halal

Easy Renovate- Renovating a home is Easy &

Halal

Easy Replacement- Replacing your existing

mortgage is Easy & Halal

Within these wonderful options come the special

b e n e fi t s o f Easy Home.

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 F l e x i b l e Fi n a n c i n g Ta i l o r e d t o S u p p o r t Yo u

H i g h fi n a n c i n g a m o u n t s .

Flexib ility to ma ke pa rtia l pre pa ym e nts .

Minimal processing charges.

Ve r y a ff o r d a b l e a n d c o m p e t i t i v e m o n t h l y p a y m e n t

plan with a regularly reducing rental amount.

Quick Proces s ing Time

Absolutely hassle-free. Quick turn- around-times,

with no burdensome complexities or excess paper

work. Its simple, Halal, and easy!

Come and ta ke the step towards Riba free

fi n a n c i n g f o r y o u r h o m e , m a d e e a s y w i t h M e e z a n

Banks Easy Home!

Easy Home

Buying a Home is Easy & Halal!

57
Choose it and be ready to move in.

M e e z a n B a n k w i l l fi n a n c e u p t o 8 5 % o f t h e a p p r a i s e d

value of your new home.

Flexible fi n a n c i n g from PKR 300,000/- to PKR 40

million.

E a s y s e l e c t i o n o f fi n a n c i n g t e n u r e f r o m 3 y e a r s u p t o

a maximum of 20 years.

Easy Builder

Building a Home is Easy & Halal!

Fo r that special home you want to build

yourself, or to help continue construction you may

have already started.

M e e z a n B a n k w i l l fi n a n c e u p t o 7 0 % o f t h e a p p r a i s e d

value of your home cost.

58
 F l e x i b l e fi n a n c i n g f r o m P K R 3 0 0 , 0 0 0 / - t o P K R 4 0

million.

E a s y s e l e c t i o n o f fi n a n c i n g t e n u r e f r o m a m i n i m u m o f

2years (excluding construction period of max 12

months) up to a maximum of 20 years.

Easy Renovate

Renovating your Home is Easy & Halal!

M e e z a n B a n k s E a s y Re n o v a t e !

M e e z a n B a n k m a y fi n a n c e u p t o a m a x i m u m o f

80% of the appraised value of your existing home

already in a livable state.

F l e x i b l e fi n a n c i n g , 3 0 % v a l u e o f t h e p r o p e r t y.

59
E a s y s e l e c t i o n o f fi n a n c i n g t e n u r e f r o m 2 y e a r s u p t o

a maximum of 15 years.

Maximum 6months required for renovation work.

Easy Replacement

Replacing your existing mortgage is Easy &

Halal

Re p l a c i n g a n ex i s t i n g M o r t g a g e f a c i l i t y f ro m a n o t h e r

institution. Applies to the residential apartment or

B u n g a l o w.

Meezan Bank can Fi n a n c e up to maximum 85% for

salaried persons and 70% for Businesspersons.

Flexible fi n a n c i n g from PKR 300,000/- to PKR 40

Million.

Documents Required for Easy Home:

60
Income Information.

Salaried Person:

C o p y o f r e c e n t p a y s l i p / e m p l o y e r l e t t e r.

Employer C e r t i fi c a t e for Salaried employees

i n c l u d i n g t e n o r , d e s i g n a t i o n & s a l a r y.

Last 6 months Bank statement.

Business person:

Copy of management accounts (if applicable).

Bank Statement of Business.

3 Ye a r s Proof of Business( e.g. Ta x Re t u rn / B a n k

C e r t i fi c a t e ) .

Professional Association Membership

C e r t i fi c a t e / P r a c t i c e L i c e n s e .

P r o f e s s i o n a l D e g r e e s / C e r t i fi c a t e s .

Property Documents:

Copy of all related Property documents.

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Approved Building Plan.

P r o c e s s i n g Fe e :

With Application.

Processing fee 5,000/-

Legal Charges 5,000/-

Income Estimation Charges 4,000/-

P r o p e r t y Va l u a t i o n C h a r g e s 3 , 5 0 0 / -

After Approval:

Legal documentation Charges.

Rs. 1,000(Up to 1M)

Rs. 2,500(Above 1M)

Rs. 10,000(Above 10M).

62
63
64
Conclusion:

F i n a l l y, thanks to Allah, due to His bounteous

blessing, we become able to contribute this

comprehensive report towards the deep knowledge of

ocean already exist. Heart is warm with love and

thoughts have turned to the city of knowledge.

Before joining Meezan bank, we were thinking that

all banks either Islamic or Conventional works under

the same policies but, after joining the Meezan Bank

Ltd. we recognized that we were wrong. we dont know

about the other banks but I could say confidently that

Meezan Bank Ltd. is working under the policies of Islam

and tries its level best towards the Islamic banking.

In this modern era in the competition of thousands of

conventional banks Meezan Bank Ltd. is fulfilling the

customer banking needs being in the SHARIAH. By

the grace of Allah, 166 Branches of Meezan Bank Ltd.

are servicing the customer in different 40 cities.

65
I wish MEEZAN BANK success in initiating

the cause of Riba-free banking.

TERM REPORT

Meezan Bank Ltd

KASHIF AFZAL JUNEJO (FA07-BB-0033)

SYED ARSALAN MANNAN (FA07-BB-0087)

M.MUSSAIB ASIM (FA07-BB-0035)

AHSAN MAQBOOL (FA07-BB-0040)

66
 02- Dec 2009

SUBMITTED TO SIR SHUJJAAT SALEEM

FOR THE COURSE FINANCIAL INSTITUTIONS

Ta b l e o f C o n t e n t s

Acknowledgement1

Executive Summary2

Introduction..3

Shariah Board4

67
Share Holders in Meezan

Bank5

O u r H e a d O ffi c e 6

Introduction to Meezan
Bank...7
( G a r d e n We s t B r a n c h K a r a c h i )

Objectives8

S t a ff (Garden We s t Branch Karachi)

Organizational Structure..
.10
( G a r d e n We s t B r a n c h K a r a c h i )

A c c o u n t s o ff e r e d b y M e e z a n b a n k o n
Mudarabah Basis
11

Documentation Of Accounts

Opening.21

Investment C e r t i fi c a t e Issued By Meezan

bank..23

68
Pa c ka g e s Launched by Meezan

Bank..25

Consumer Banking Products O ff e r e d by Meezan

bank..36

D i ff e r e n c e B/w Musharakah &

Mudarabah36

Murabah

37

Car

Ijarah.37

What M ake s Car Ijarah Unique?

..38

Documentation Required for Car Ijarah.45

Easy Home46

Easy Buying.48

Easy builder....49

69
 Easy Renovate.49

Easy Replacement..50

Documentation Required for Easy home..50

Balance Sheet of Meezan Bank..52

Profit & Loss Account Meezan bank.53

What I Learned During My Internship in Meezan Bank

(Garden We s t Branch Karachi)

54

Conclusion.

56

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71