General Banking UBL
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A DETAILED COMPANY PROFILEThe Historic Prelude
Sensationally interesting style this financial institution called United Bank Ltd(UBL) started with, to rise up to one of the few successful bank in Pakistan. Though faced many up swings and down swings it still maintains its prestige among banks in Pakistan and worldwide. Here the role of few dynamic personalities and support from Govt: including Re-Privatization of UBL cannot be over looked, which added to its capacity, performance and growth. The sensational start of UBL bank starts up when an innovative and highly proactive officer of a commercial bank gets disappointed with the top management of his bank, quits the job finally not getting things settled as innovatively as he deemed fit for his bank. Soon joins hands with Sehgal Group and thus gets a chance to express and implement to prove his great innovative ideas and plans he had. This young man was Mr. Agha Hassan Abidi and accompanied him Mr. Sheikh Nahyan to accomplish the great financial institution United Bank Ltd.(UBL)On the 7 th of November 1959. Soon the working of the UBL so excelled that it gained the top position in 1962 just with in three years of its accomplishment as it highly flourished during 60s and is quite evident when we notice that UBL started off with a deposit of Rs . 70 million in 1960 which increased at an average annual rate of 47% in 1960s to reach Rs. 2,761 million. Like wise advances rose from Rs. 31 million in 1960 to Rs. 1, 668 million in 1969. The advance-deposit ratio increased from 0.47 to 0.66. Hence profit rose from Rs. 2 million to Rs. 20.3 million in 1969. But this prosperity could not last for so long and started winding up as during the trend of nationalization in 1973-74 it also was nationalized in 1974. During this span few other banks were also merged in to it namely; Bank Bahawalpur, standard bank, Union Bank (not existing Union Bank), commerce bank and Bank of Sarhad. This nationalization soon started with putting up its adverse affects leading to a downfall there from. UBL experienced turmoil during 1974-79. Though nationalized UBL still continued apace in growth momentum. Deposits grew at an annual rate of 22.7 %. Pre-tax profit rose from Rs.81 million in 1975 to RS. 184 million in 1983. It was actually Tajjammul Husain the then president of UBL who contributed major efforts to once again take UBL to 1st position during 1984-85 thus had great silver jubilee celebrations. But this fortune was extremely temporary and fragile as it soon ended up with the introduction of Unionization in the same era of 1984 and onward proving to be catastrophic than nationalization. Thus it led to the worst era in the bank history ever until 1996-97 when constitution was amended, as 27-B led to Dis-Unionization in UBL. Thus State Bank of Pakistan (SBP) took over UBL with a new management headed by Mr. Zubair I. Soomro a well-known international banker from City Bank. SBP soon injected Rs.21 billion in 1998 to UBL to mitigate the banks capital deficiency.
Privatization breezed up UBL on 19th of October 2002 for Rs.12.35 billion for a bid from MR. Sheikh Nahayan Mabarak Al Nahayan accompanied him Sir Pervez OBE. Now taking UBL through an extensive transitional phase of change to progress, prosperity and growth.
UBL At Presenttowards the Glory Lost, UBL again started with the journey to prosperity just a few years ago before its privatization in Nov 2002. Started this era of recovery right after the take over of State Bank of Pakistan SBP in 1997-8 with a significant changes at larger scale resulting a complete overhauling in every nip & bud of UBL; that included structural, procedural, technological, strategical, managerial, financial and directional changes at both macro and micro levels. Thus proving to be among the top 5 banks in Pakistan again. The top 5 factors contributing to this productive result orientation are the split of sales and operations, introduction of Hub system (Based on technically automated systems in spite previous administrative set up), automation, on line banking and improved quality of corporate governance (now also recognized and executed through prudential regulations 2003 by SBP). With its well structured broad based customer net work UBL has a conversion of administrative set up to a sophisticated technical automated online system of structure, known as Hub System that includes 88 Automated online Hub branches in each region, like the 3 Hub braches at Quetta Region (Balochistan), that connects its spoke branches to the Head office creating the fastest convenient customer service & a base for future sophistication in satellite communication with all its depth and breadth. The strategies and policies UBL follows these days are totally unique and productively innovative in nature with enormous potential to take the ship to the destiny & bestow a visionary aim to become the world-class bank. In its man power manipulation plan notable policy of customer acquisition team is significant for its strategy of segregation of staff facing customer into two focused areas i.e. customer satisfaction & market value/ volume. Diversification in revenue base underlines the policy of consolidating on core business i.e. corporate banking as competitive edge and go for diversification in areas like consumer financing & retail banking. To meet the need of customer expectations UBL would function to go for cost effective improvements and technology based convenience On the top of the priority list of UBL stands compliance with statutory requirements imposed by SBP and improving customer financial position by verifying needs of segments with focus technique.
The focused areas of operation includes the emerging consumer banking and a special target area in this regard is agricultural sector that includes number of activities, 1. Like agrimal projects, which are single window operation center of supplies by furnishing shops in major agricultural union councils to help farmers in farm inputs, lease of sophisticated farm machinery and advisory services to take farmers towards productivity. 2. Another area to help farmers is solve the problem of poor water treatment / high soil salinity in Pakistan for that UBL has joined hands with Sweet Water International Inc to produce an equipment to solve the problem. And produce it up till the level of export to generate foreign exchange. 3. Better storage & marketing facilities are some other support
UBLS Structure, Management &WorkforceAnthropology of the work environment is a must to know in order to utilize workforce. So here we start up with UBL operations. UBL at operations UBLs business function has been divided into 12 Heads. 1. Commercial Banking: includes the functions of deposits, advances & Foreign Exchange. 2. Human Resource Department: HRD refers to the human resource management (HRM) functions of preparing employees to work effectively & efficiently in the organization. It includes training, education and Development (TED). 3. International Operations: oversees business activities. 4. Country Operations: Domestic business activities. 5. Global Operations & utilities: Global business activities 6. Audit: Audit operations check & balance the activities. 7. SAM: The banks are in the business of risk taking and there are occasions when economic stocks or business cycles or frequent changes in the policies of Political Govt. do turn their assets bad and sour. To manage these infects and high degrees of risk portfolio of Banks SAM s are formed, which are staffed with specialized, experienced expertise. The UBLs policy to transfer the accounts classified as Doubtful or Loss as per Prudential Regulations NO.11 to SAM where on case-tocase basis strategy is developed to manage the account. The salient features of line of action adopted at SAM are; Recovery process, Litigation &Write offs 8. Credit Policy: Plan for a sound, effective credit risk management. 9. Country corporate Banking Group: to overlook the managerial functions of branches of different countries. 10. Investment Banking: plan, invest, and regulate public shares. 11. Corporate Affairs/CFO: Corporate level functions are performed under this head. 12. Global Treasury: plan, invest, and regulate the banks reserves. UBLs Network:
UBLs operations are divided into ten regions Karachi, Hyderabad, Lahore, Multan, Sialkot, Peshawar, Islamabad, Azad Kashmir, Quetta and Faisalbad. A Regional Chief Executive who supervises the sales functions of the region heads each region. The Regional Chief Executive would not be involved in routine administrative activities but would instead focus on business development in the region. Operations side is managed by the Regional Operations Head. These ten Regions supervise 88 HUBS which have replaced the former Zonal Offices, which are controlling offices, which guide and control the stand-alone spoke branches, core banking function are carried out in Hubs. While the spoke branches handle the day-to-day routine business. Post Offices Functions: which directly reports to spoke branches and their function are to facilitate the customers through collecting the utility bills. Hub System being the strength of UBL could be well justified as we move through the structural chart within the Hub operational system Which explains wider span of control and bifurcation of sales & operations as effective composition of centralized authority. Regional Chief Executive Regional Operational Head Area Manager Area Operations Manager
Operational Hub Organogram:
ProposedHead Office Branch Operations
Supv. Funds Transfer
Supv. Customer services
Hub E- Coordinator
TellerCash withdrawal Cash (CHQ deposit) Cash sorting Clearing/TD License A/c. to A/c. transfer Checks Retorn Travel checks ATM Cash DD/ PO Clean collection Telegraphic Transfer Mail Demand Draft Pay orders Govt. Sec. Issuance /encashment Dual control sec. stationary A/c opening Cheque books Stop payment Standling instructions TRD/NDR etc. Rec Trade Finance document Forward to TPC Loans (limit input) Lockers Hold mail Zakat Certificate License Dual Custody Sec. stationary Technical Support/ net work Instalk / update Unibank system Support It/ Telecom Related areas
Data inputEnd of day Distribution of Reports Record Keeping Data input & checking Customer voucher
Hierarchy of Operations:Area Manager Mr. Awan (AM)
Area Operation manager Mr. Shahid (AOM)
Banking Manager Mr. Farooqi (OG1)
Foreign Exchange Incharge Mr. Zahir Shah (OG3) Clearing Mr. Tariq
Supervisor Deposits Mr. Saleem (OG2)
Supervisor Remittance Mr.. Mehboob OG2
Chief Teller Mr. Bakir (OG3)
Voucher & Locker room incharge Mr. Salahudin (OG3)
Teller 1 Miss Naseema (OG3)
Teller 2 Miss Farhat (OG3)
Teller 3 Mr. Shahid (OG3)
6 Assistants (Clerical staff for Sorting)
4 Assistants (Clerical staff)
General BankingDispatch Procedure: 1. Record in outward Mail Register with Date usually documents that send are OBC, IBCA, IBDA, RTC, TT, and IT etc. 2. Code serial No. on Instruments 3. Send to the destination as written on the stamped envelop 4. Write serial No. on envelop as remainder 5. Record Receipt No. got from Courier Service (TCS) according to the serial No. Given into the dispatch Register Inward Mail Register Whatever mail is received record it into inward mail Register.
1.Deposits:Banking is the service industry. The lifeblood of banking is deposits without which no bank can function and earn profits. In order to accelerate growth & increase market share, the banks operations have been organized on functional lines. Sales & marketing have been separated from operations. The sales staff makes efforts to acquire fresh, cheap/ low cost deposits and market new products in accordance with the policies advised by HO from time to time. The operational staff is engaged in operational work, which includes providing prompt, efficient & personalized service to customers so that the deposits acquired by the sales team is retained. The branch staff works under the direction & supervision of branch Sales Manager. He heads the branch. He allocates & monitors Sales targets allocated to his sales force & also supervises Operations. A Client Prospect Register is maintained in each branch. Sales visits and results are recorded in this register against individual names. The results are recorded daily & are also display on the white board of the branch. These figures are then conveyed to the Area Manager of the respective Hub & are discussed / reviewed in weekly meetings at the Hub Branch with the Area Manager. Thus a customer may be desirous of opening an account in a branch b/c of two factors He may be Walk-in-customer He might have been persuaded by a Sales call The walk-in-customer is directed to supervisor / branch Operations Manager who assists him in completion of account opening formalities. In case member of a sales Team mobilizes fresh deposit, assistance from the Sales Staff may be completed initial formalities of account opening. In order to increase the volume of deposits and motivate staff members as well, incentive awards for Sales & Operations Staff are announced (SDIA & BPIA). These facilities Payfor-performance culture result in achieving a customer focused organizational structure. As soon as an account is opened, the responsibility to retain this account rests with Operational Staff. Functions At The Deposits Desk: Maintenance of Account Opened & Close Register Supervision regarding completion of formalities on AOF/ SSC to be sent to Hub Posting of Cheques & Vouchers Checking of Daily Activity Sheet received from Hub Reporting of Stop Payment Instructions, standing instructions to Hub Convey information regarding death/ insolvency/ insanity of the customer (if any) to Hub All work related to cheques book issuance / delivery Preparation of consolidated summary of all transactions to be reported to Hub Provide confidential reports to other banks, Govt. Agencies & Foreign Commercial attaches (if require) Maintenance & Handling of Time Deposits Collection of utility bills
PLS SB ACCOUNTS A saving bank account on profit & loss sharing basis. It is a checking account with no restrictions on withdrawals. Normally the account is opened with a minimum cash balance ofRs.2,000/Profit is paid on monthly balances. Profit is paid at the rates declared by ALCO (Assets & Liabilities Committee) after every six months. It is credited in the account on a six monthly basis. Profit is calculated on monthly product basis. The lowest credit balance between the close of business on the 1st day and the last day of calendar month is treated as the product of the month. Profit on PLS SB Account is subject to withholding Tax at the prescribed rate. Presently it is 10% of the profit amount. PLS SB Account is subjected to Zakat. Zakat is deducted on the 1st of Rarnzan of every year @2.5% on the credit balance classified, as "NISAB" Exemption may be claimed on submission of CZ-50. Account holder may furnish this form a month before Ramzan. A guardian may open on account in the name of a minor. Introduction of account by an active saving bank account holder/CD Account holder of the same bank or another bank is required. Introducer should be a valued account holder. Staff of the bank, holding power of attorney may also introduce the account. The prospective customer is required to furnish a copy of NIC. It will be verified from the original and copy retained.
RESTRICTIONS: Only one account shall be opened in one name. Over draft facility is not allowed. Accounts shall not be opened in the names of Local Bodies, Autonomous Corporations, Companies and Firms. Introduction by a Dormant Account Holder is not accepted.
PROCEDURE FOR OPENING A SB ACCOUNT: The following procedure is adopted: AOF/SSCs and relevant annexures are supplied to the prospective customer. The Deposits Desk in filling the forms provides assistance-. Customer furnishes proper introduction. If introducer is an account holder of the same branch his signatures are verified from specimen signature card and status of account is also checked after
satisfaction, signature of introducer is verified by affixing "Signature Verified" stamp near the signature. If introducer maintains his account at other branch or another bank, the AOF is sent to the concerned branch with a covering letter for verification of introducer's signature. Account is opened after receipt of AOF. Copy of NIC is retained after verifying it from the original. Complete name, address/addresses and telephone Nos. is obtained from the prospective customer on AOF. Specific instructions with regard to operation of account are obtained on AOF and SSCs duly signed by the Account Holder. Signatures of Account Holder are obtained on the AOF & SSCs and "Signature Admitted" stamp is affixed.
AOF is entered in the Account Opened & Closed Register, which is maintained in a serial order. Approval of Supervisor/Branch Operations Manager is obtained on AOF. Account number is allotted from the Account Opened Closed Register & from check digit sheet supplied by IT Division / Hub. The customer is supplied with the Pay-in-Slip book and is requested to deposit cash with the teller. The teller receives cash. "Received Cash" stamp is affixed on both portions of the Pay-in-Slip. Counterfoil is returned to the customer remaining portion is retained by the teller. The teller posts this in the Active ledger & the supervisor counter signs it. Signatures of customer are obtained on the chequebook requisition slip. The customer is requested to collect the chequebook after three days. The account opened is reported to Hub through Name & Address Pick-up and Amendment Form (Comp. 693) with full details. Letters of Thanks to introducer an Account holder are sent the same day for confirmation of particulars. Chequebook requisition is either sent to Hub after verification of customer's signatures or to NIFT, as the case may be for issuance of chequebook. In case of NIFT, chequebook requisition is retained at branch and full particulars are noted on card provided by NIFT. Chequebook is delivered to the Account Holder after 3 days. The AOF & SSC are sent to Hub, after completion of all formalities. The remaining SS Card is placed in the Card box in numerical order.
For each Zakat year the AGZ will announce through press and other public information media the date of deduction and will also specify the level of balance which will determine whether or not an account is subject to deduction of Zakat at source. The branches will therefore, deduct Zakat on that day, from all such accounts which carry a credit balance exceeding that amount on the morning of the valuation date. Any account, which carries a balance less than notified balance, will not be liable to compulsory deduction of Zakat at source. CURRENT DEPOSIT ACCOUNTS (CD): In case of Individual's Current Account the same formalities and procedure is adopted except the following INDIVIDUAL No restrictions on withdrawal. No profit is paid on this account. No restrictions on No. of transactions. The account is to be opened with a minimum amount of Rs.I0, OOO/-. Another Operative current account holder having well average balance or any authorized officer of the bank can only introduce it. In case of introduction by any SB Account holder manager's prior approval is must. Incidental charges are recovered @Rs.250/- per half year (Flat) on nonremunerative CD Account i.e. where the average balance is below Rs.l0,000/These charges are recovered in June and December each year. These charges are to be credited to income A/c incidental charges recovered. JOINT ACCOUTS: At the time of opening any joint account clear and specific instructions shall be obtained regarding operation of the account and payment of balance to the survivors or surviving member in the event of death of one or more joint account holders which may be in any of the following forms: Any joint account holder shall operate the account singly. By either of survivors singly. By any two or more joint account holders or by any two or more survivors jointly. By all the account holders jointly. By all the survivors jointly.
These instructions, as for as possible shall be obtained in the handwriting of the account holders under the signatures of all the joint account holders.
No overdraft shall be allowed in the joint account unless all the parties to the account signed the request jointly and charge documents in respect thereof are also signed by all of them.
ILLITERATE PERSON'S ACCOUNT:-
Accounts of illiterate persons can be opened provided he is a major, the. Following formalities are completed and precautions taken: Two attested photos, one to be pasted on AOF and the other on SS Card. ~ Introducer should sign in presence of Manager/Acting Manager/Officer
Incharge.Following stamp should be affixed on account opening form, SS Card and on cheque leaves. "Thumb impression to be affixed in presence of bank officers". Obtaining thumb impression on the AOF should authenticate these instructions. Only the Manager/Acting Manager should fill in the cheques for an illiterate person. Left hand thumb impression is affixed in place of signature for males. In case of female right hand thumb impression is to be affixed. Account of illiterate Purdah Nasheen Ladies is not to be opened. however, an illiterate lady contract by affixing her right hand thumb impression on any document. An illiterate customer must come personally to operate his account because he must put his thumb impression on the cheque in the presence of the bank officer. An illiterate account holder should be advised not to issue cheques payable to other persons either for cash payment or for collecting in clearing under no circumstances overdrafts shall be allowed in the account of minor.
PLS UNI SAVER ACCOUNTS:Uni Saver Accounts are opened in a similar manner as normal PLS Savings Accounts. AOF and chequebooks are affixed with stamps titled"Uni saver accounts". Eligibility:
Firms (Sole Proprietorship, Partnership) Companies. (Private Limited and Public Limited) Trust and Associations. Minimum balance requirement Rs.100, 000/Withholding tax and Zakat: Deduction wherever applicable as per Government directives. Profit: Special tiered rates of profit are admissible for Uni Saver Accounts. Minimum monthly balance between first & last day of each month Will be used only for picking out the applicable tier-wise rate of profit.
ACCOUNTS OF PROPRIETORY CONCERN:
. Sole proprietorship is a business unit whose ownership and management are vested in one person. This individual assumes all risk of loss of the enterprise and receives all profits from successful operations. Manager of the preparatory concern should not be allowed to operate the, account unless proprietor of the firm has signed Declaration Form II provided on the reverse of account opening form. The name of the manager should be entered in the account opening form and his specimen signature be obtained on Specimen Signature Card.
Mode of signatureSignatures of the proprietor under column "Yours faithfully" are obtained in his personal capacity while signature on SS Card are obtained in official Capacity. Precautions in opening of CD account: AOF with required documents to be obtained.
Account Opening Form should be complete in all respects, preferably in the presence of a bank officer. Cutting overwriting should be avoided. Specific instructions regarding operation of account should be obtained duly authenticated. Proper introduction to be obtained. Account should be opened with Cash. Letter of Thanks to Account Holder and Introducer to be sent.
Partnership accounts, Accounts for companies also can be opened with complete documents If there is not any type of transaction in the account will be considered as Dormant Account. CD accounts not operated for 2 years & saving account not operated for 3 years will be classified as Inoperative account. In case of death of any account holder his/her account will be considered as Deceased Account & no Dr. transaction can be take place in that account without permission getting by the court
ISSUANCE OF CHEQUE BOOK: Customer submits cheque requisition slip at teller's windowTeller/supervisor: Receives cheque book requisition
ORObtains requisition on form No. b (Dep.372) and letter of indemnity form No. (Dep.373) in the absence of cheque book requisition slip. Writes date and time on the requisition slip Verifies signature. At the end of the day forwards chequebooks requisition to prepare summary of all chequebooks requisitions received during the day and towards to Hub branch along with other documents/vouchers.
Prepares chequebooks and forwards to respective spoke branch on the following working day. Charges are debited to customer's account Enters chequebooks numbers in the system. At the end of the day Hub Branch prints daily activity report, which shows all chequebooks numbers, issued to different customers.
Spoke branches: Delivers chequebooks to customer against acknowledgement Spoke to ensure updating of chequebooks numbers in the blue ledger
PAYMENT OF CHEQUES AT THE TELLER'S WINDOW:In case the cheque is presented for cash payment, it must be checked that: Branch name, Date, Amount in words and figure is correct. It has not been crossed.
If the cheque is payable to order, the signature of the payee has been duly Verified. The account number and the title oft!1e account given on the cheque is in conformity with the account number and the title of account in the ledger. The number of cheque tallies with the cheque series noted in the account . The drawer has not stopped the payment of cheque.
When the cheques are presented in the clearing it must be ensured that: Cheques is crossed and clearing stamp of the collecting bank is affixed
on the face of the cheque.
Cash Payment against Cheques
The clearing stamp and crossing stamp are of the same bank.
It bears correct date It has been presented through the clearinghouse, in usual clearing hours. If it is specially crossed to a certain bank, it has been presented through That bank only or its agent. The collecting bank discharge is in order If there are crossings and stamps of other banks, the same have been cancelled by those banks.
CANCELLA TION OF CHEQEUS: Teller must keep all the duly admitted specimen signature cards in his effective custody under lock and key. Before verifying the signature of the drawer, teller must refer to the specimen signature card of the account holder.
Teller also must keep a magnifying glass for close examination of Cheques when necessary. Teller and supervisor must cancel cheques of big amount over Rs. 25, 000/jointly. Cancellation is done by waving a red line across the signature of the drawer of the cheque. The teller must sign in full in red ink near the drawer's signatures.
Teller1. Customer presents the cheque for payment. 2. Obtains bearer signature on the reverse of the cheque. 3. Scrutinizes cheque for validation. 4. Verifies signature.
Supervisor1. Checks Stop payment 2. Marks balance in the blue ledger 3. Supervises cheques over Rs.25, OOO/-
Teller: 1. Obtains bears signature again on the reverse of cheque to ascertain that 2. The payment is being made to the person who presented the cheque 3. Receipt of payment 4. Makes payment to customer 5. Write denomination on reverse of cheque 6. Affixes paid stamp with date & sign cheque 7. Takes approval of payment of cheque for Rs. 25,000/- & above from the supervisor before making payment 8. After balancing of cash onward all the cheque along with supplementary sheet to Hub branch Hub Branches1. Posts all cheques in the system. 2.At the day end prints out daily activity report and forwards to StopSpoke branch of cheque: against entries in the blue ledger. payment for verification
Party submits written instruction at Spoke branch: 1. Supervisor: Writes date and time on the Stop-payment request Verifies' signature Notes stop payment detail in the blue ledger
Stop-payment request is forwarded to Hub branch for necessary action along with other cheques/voucher;/documents. 2. Hub Branches:
Confirms from the system whether cheque is paid or outstanding, if outstanding, the stop payment is marked in the customer's account and stop- payment register is updated in the system. Acknowledgement letter is generated by the system and mailed to the customer under copy to spoke branch. The stop payment instructions are filled in respective spoke branch file in numerical order. The stop payment is shown in the daily activity report printed at the end of the day. ' Charges are recovered from the customer. 3.Supervisor at Spoke Branch: -Confirms stop-payments instructions are recorded in the system as per request from the daily activity report.
2.FUNDS TRANSFER PRODUCTS (REMITTANCES)Remittance means transfer of funds from one place to another place. The following modes are available to a banker for transferring the money from one city to another city. 1. 2. 3. 4. 5. Demand Draft (DD) Telegraphic Transfer (TT) Mail Transfer (MT) 4.Rupee Traveler Cheque (RTC) UniRemote (Discussed in IT Portion)
In addition to the above issuance and payment of Pay Order is also handled by the remittances department. For transferring of money within the city. Mail transfers can also be used. All commercial banks provide these services to their customer and non- customer on very nominal charges. The schedule and rates of commission / other charges are announced on half yearly basis.
It is negotiable instrument issued by one branch of a bank and payable by another branch of the same bank. Demand Draft can be issued to customers as well as to non-customers against, cash cheque and letter of instruction.
PROCEDURE FOR ISSUANCE OF DD: Purchaser is asked to fill up a DD application form. He gives following information on DD Application forms. 1. Name of the payee 2.Place of Payment 3.Amount of Demand Draft. Purchaser is also supposed to write his name and address on the back of DD application form (if he is non-account holder) or his account number. Commission Charges are calculated accordingly and written in the cage provided on Demand Draft Application Form for this purpose. If the Demand Draft Application Form is completed in all respects, purchaser is asked to deposit the case Teller receives the cash for DD (including commission, Excise Duty & Withholding Tax) and affixes "Received Cash" stamp on DD application foffi1. After receiving the cash, DD application foffi1 serves the purpose of HO credit voucher. The particulars of DD are recorded in receiving cashiers book, and voucher is given to remittance desk / Supervisor. DD instrument is prepared with the help of DD application form (Two types of DD leaves are in used One is for Rs.5, 000/- and over and other for below Rs.5,000/- particulars of DD are recorded in Demand Draft issued register, separate folio is allotted in Demand Draft issued register for each branch. The serial number of Demand Draft is noted on Demand Draft application form. The amount of Demand Draft is protecting graphed by using prortectographing machine. Demand Draft is signed by two att6mey officers, single attorney branch May issue Demand Draft for amount below Rs.5,000/-
After completion all the formalities Demand Draft is handed over to the purchaser. Acknowledgement is obtained on the back of counterfoil of Demand Draft block and on Demand Draft application form. Following entry is passed. Dr. Cash (Amount of Demand Draft + Commission + WHT) Cr. HO Account (Name OF Drawee branch) Cr. Income Account Commission on Inland Remittances Cr. Sundry Deposit Account with Holding Tax // (Not applied If party provide NTN)
As at the close of counter hour, Demand Draft application form and Vouchers for all the DD's issued during the day will be sent to Hub. At Hub IBCA will be generated through system and mailed to Drawee Hub. IBCA ABOVE Rs.25, OOO/- will be tested / authenticated before dispatch.
Issuance of demand draft against cheque: Account Holder of a branch tenders a cheque along with the Demand Draft Application Form for purchase of Demand Draft. Cheque is drawn for the amount of Demand Draft plus commission and W .H. T etc. Cheque is sent to deposit Incharge for posting in the ledger. If there is no discrepancy and funds are available in drawee's account, cheque is posted. Posting is made in the blue ledger / system. After posting of cheque in the account, Demand Draft application form cheque and voucher for commission are stamped for "Cash Transfer". The other procedure for issuance is like that of issuance against cash.
Issuance of demand draft: (Against letter of instruction) Verify signature of the party on Letter of Instruction. If sufficient balance is available in the account, party account is debited on pal1y debit Voucher for the amount of Demand Draft, Commission, and With Holding Tax. Demand Draft Application Form, party debit voucher and Credit Voucher for commission are stamped for "Cash Transfer"
Payment of demand draft:
Demand Draft may be presented for payment; Over counter for Cash payment For credit of payee's account in the branch Through Clearing Following Points are checked Genuineness of Demand Draft must be ascertained e.g.; signature, date, DD Number, Protectograph, amount words/figures crossing etc. every thing should be in order. DD, which is presented in Clearing, must bear the stamp of collecting bank and proper discharge stamp. As the spoke drawee branches have no IBCA /Information for DD, must be extra vigilant regarding identification of payee and genuineness: Of Demand Draft. Spoke drawee branch may contact the respective Hub in case of larger amount of DD and if the particulars of DD are not satisfactory. If every thing is in order and DD is genuine it is paid by the spoke drawee branch. Following entry is passed; Dr. Other Assets Account DD paid without Advice Cr. Party's Account or HO Account for Clearing or Cash Demand Draft (paid) along with all the vouchers of the day will be sent to Hub.
At HUB When IBCA is received at Hub, it is responded after scrutiny and Verification of signatures. Particulars' of DD (e.g. DD Numbers, Date, Payee's name etc.) are posted in DD reconciliation program
Issuance of duplicate demand draft:The issuing branch on written request of the purchaser issues duplicate Demand Draft, if DD is lost or misplaced by the payee or purchaser. Following procedure is followed:
Purchaser's signature on the request letter is verified from DD Application Form, or through Specimen Signature Card. A letter under joint signature (Attorney Officers) is mailed to drawee Spoke branch and drawee Hub, to mark caution and confirmation regardmg payment/non-payment of Demand Draft. If the reply from drawee spoke branch/Hub contained the information regarding payment of original DD, purchaser is informed accordingly and no duplicate Demand Draft is issued. If drawee spoke branch/Hub confirms that the original Demand Draft is not paid by them and caution has been marked in DD payable register/system. The purchaser is asked to sign the letter of indemnity (Remitt.237) on appropriate value of adhesive stamp. Two respectable account holders witness it. The letter of indemnity is recorded in safe-in-safe register. It is kept in safe custody of Manager and Remittance Incharge. A blank leaf of DD is taken and all the particulars identical to the original DD (Which is reported lost) are written on the Demand Draft. A stamp with the following narration is affixed on the face of the Demand Draft. "Duplicate DD issued in lieu of Original DD No. Dated reported Lost"
Duplicate DD is protectographed and signed by two attorney officers. Particulars of duplicate Demand Draft are recorded on DD issued register and on DD application form. Duplicate DD is handed over to purchaser and acknowledgement is obtained. A particular of Duplicate DD is also intimated to Hub. Charges for issuance of Duplicate DP are recovered. A letter is send to drawee spoke branch/Hub regarding issuance of Duplicate DD Purchasers request is attached with indemnity.
Cancellation of demand draft: Purchaser's written request for cancellation of Demand Draft (refund of c amount) along with the original Demand Draft is received at issuing Spoke branch.
Signature of the purchaser is verified from Demand Draft application form / Specimen Signature Card / Counterfoil in DD block. Genuineness of the Demand Draft is ascertained and it is confirmed that it was issued from our branch. Before cancellation of Demand Draft it is also ensured that no duplicate draft has been issued.
Refund of amount: If the purchaser is our account holder than amount of Demand Draft is credited in his account, otherwise refund is made through Pay Order. Refund of amount by Cash is not advisable. Following entry is passed: Dr. Suspense Account DD Cancelled Cr. Bills Payable Account Pay Order Issued OR Cr. Party Account Cr. Income A/c Cancellation Charges The original Demand Draft is defaced by affixing "Cancelled" Stamp on the face. The portion of signature is tom out or punched. The cancelled Demand Draft is stamped with the simple debit voucher and sent to Hub. A letter is sent to drawee Hub with request to reverse the entry in their bills payable account DD payable and send the IBCA.
2.How to make a (Telegraphic Transfer) T.T Message: T.T / M.T application form is filled by customer or by officer on behalf of the customer in which a/c No., amount and name & a/c No. Of the receiver is written including complete information about sender. Apply Test on application by the 2nd manager and manager, which is simply called DMA codes D= Date
M= Month A= Amount Branch codes (Key No.) Serial No. Code After coding officer will make T.T on printed T.T Message paper that includes branch name, date, test No, Name of person who will receive this amount and his account No. (specimen is attached in appendix) If receiver has not account in this bank so he will be able to get cash from counter which will be mentioned by the officer on T.T message T.T messages are always sent in UBL from Hub to Hub Record in T.T issue Register o From where this application is received o In that branchs Hub where customer wants to send it If more than one message is there used another printed T.T message by the officer. (Specimen is attached in the appendix) Bank will charge 0.10% commission on 1 T.T message usually minimum charges are Rs.50/ T.T Message. One carbon copy of T.T Message is for office folder record must be prepared If there is any mistake found in Decoding from received Hub, officer will again send a T.T Message Revised / correct Test (Specimen is attached in appendix) If T.T message ahs no mistake then received branch will pay or simply Cr the customer a/c.
Procedure for payment of TT: One receipt of Telegram from issuing branch. Test is agreed. Test agreed stamp is affixed on telegram, Manager and Remittance signs it. Particulars of TT are recorded in TT Payable Register. Following entry is passed (message Advice & Credit) Dr. HO Account issuing branches Cr. Bills Payable Account TT Payable Dr. Bills Payable Account TT Payable Cr. Party's Account If the message is advice & Pay, then-TTR is issued to the payee. Number of TTR is noted in TT payable register. Following entry is passed; Incharge
Dr. HO Account Issuing Branch Cr. Bills Payable TT Payable On presentation of TTR, it is paid and date paid is marked in TT Payable register. Following entry is passed. Dr. Bills Payable Account TT Payable (TTR becomes debit voucher) Cr. Cash or H.O. A/c for Clearing
3.Issuance of mail transfer (MT): Under this method, transfer of funds is advised through MT advice. It is used for transferring the funds within the city or outside the city. In case of local MTS (within the city) test is not applied whereas the out station MT are always tested. MT advice conveys two types of message like TT, e.g. advice and payor advice and credit.
Pay order: The Remittances Department on request of the customer/non customer issues payment Order when he deposit amount in the bank. Since payment through a cheque is doubtful, Pay Order is generally acceptable by the Govemment /Private; Institutions. Sometime parties also prefer to make payment through Pay Order, as they have an acknowledgement (proof) of payment. Payment of telephone bills of bank, Clearing Adjustment, disbursements of Finance, Income Tax etc. are also made through Pay Order.
Procedure for issuance: Pay Order Application Form (Remitt.232) is filled up and signed by the purchaser. Amount of Pay Order plus Commission, is deposited at Teller Window or Party Account is debited by cheque or through party debit voucher (as the case may be)
Pay Order instrument is prepared and signed by two authorized Officers. Particulars are recorded in Pay Order issued register (Remitt.225). It is handed over to the purchaser against acknowledgement ("payees account only" crossing stamp is affixed on the face) Following Entry is passed: Dr. Cash or Party Account (Cash/Cheque) Cr. Bills Payable Account Pay Order issued (Pay Order issued Application Form) Cr. PLS Income Account Commission on Inland Remittance Cr. Sundry Deposit Account With Holding Tax.
It is called banks check, issued by bank for local payments fore people fore safety purpose. Usually use for the payment with Job Application form. (Specimen is attached in appendix
Payment of pay order: Pay Order is presented for payment in Clearing. In rare case it may be presented for cash payment on counter if it was issued uncrossed (open). Genuineness of Pay Order is ascertained, date paid is marked in Pay Order issued Register. Following entry is pass Dr. Bills Payable Account Pay Order Issued (Pay Order becomes debit voucher) Cr. Cash or H.O. A/c for Settlement of Clearing
S. D. R (Security Deposit Receipt): Used in Tender Notice etc.
4.Rupee traveller cheques (Hamrah):UBL has always been at the forefront in identifying and meeting the financial needs of its valued customers. UBL was the pioneer in introducing Rupee Traveller Cheques facility in Pakistan, as early as 1971. In continuation of the same tradition, UBL in the shape of "Hamrah" Rupee Traveller Cheques enhances this facility for the convenience of its valued customers by offering denominations up to Rs. 10,000. UBL "Hamrah" has been designed keeping in mind, both convenience and
security - be it business, property, trade or personal needs. "Hamrah" Rupee Traveller Cheques are the ideal and safest way of carrying cash when traveling anywhere in Pakistan. Hamrah RTC's are now accepted at more than 2000 places such as hotels, shops, real estate agents, jewelers, car dealers, etc and of course at all our UBL branches. UBL has a 24-Hours customer help-line, providing its customers with round the clock tele-verification of "HAMRAH" traveler cheques.
Salient Features Bank Commission Rs.5 per leave & at least Rs. 50, No Excise Duty Denominations: Available in denominations of Rs. 10,000 and Rs. 5,000 More convenient, more secure Higher denominations of Rs. 500,000 & Rs. 100,000 to save customers from the inconvenience and insecurity of carrying large sums of cash Easily transferable and encashable: Available to all Ease of immediate assistance in case of loss or theft Special facility of refund Valid until encashed: Secured with specially "Coded" printing and "RAIN BOW Effect" for added security
How to Issue R.T.C: Customer who wants to purchase R.T.C will fill application form of R.T.C. this application form has 3 sheets, A: Issuing Branch Credit Voucher B: For R.T.C Deptt. Karachi
C: Purchasers Copy This form includes branch name, which is issuing R.T.C, amount, type of R.T.C either A1 (Rs.10, 000) or E2 (Rs.5, 000), name of purchaser, address & Telephone No. (Specimen is attached in appendix) Customer submit cash or check or authority letter on counter Customer will sign on R.T.C on the lower left corner & now he/she can use these R.T.C anywhere in Pakistan
If R.T.C has lost from Customer: Report in written form in the nearest branch of the bank about misplacing of R.T.C. In issuing branch give an application named Claim for Refund of lost or Stolen Traveller Cheques with one attested ID copy, FIR copy, RTCs purchasers original copy and Indemnity form with Rs.200 stamped paper must be attached with application. The officer will verify signature of purchaser Two witnesses whose accounts are maintained in the same branch will be signed on the application & Indemnity form. All these documents will be send to R.T.C department H.O Karachi R.T.C, H.O Karachi will send a remainder to all braches & branches will record R.T.C Numbers as lost in their books.
Encashment of R.T.C: All the requirements of R.T.C must be fulfilled & checked from the officer before paying to the customer a) Two times signatures of the purchaser must be same b) Officers signature must be verified Taller after posting give cash to the customer this is simply called On counter R.T.C payment Record the entry in the R.T.C encashment Register
Transfer of R.T.C in account:R.T.C can be simply Cr in the receivers account Receiver will give it to his/her own bank where account exists Bank will give it into clearing
If R.T.C is cleared UBL will give cash to the concern bank & that bank wills cr its customer account or if R.T.C isnt clear then give it to the customer with reason why isnt clear If there is stamped payees a/c only on R.T.C then cash payment is not possible and simply Cr in customers a/c & stamped cash transfer
3.Foreign ExchangeThe functions perform in this departments are Dealing of all foreign currency All import export dealing This department completely follows the Foreign Exchange Manual published by SBP after every 10 years. Now-a-days all banks follow its Eighth Edition---2002). In this SBP makes amendments with the passage of time according to the instructions given by Ministry of Finance& Commerce. All dealing of foreign currency is with the help of Rate Sheet of that particular day. Accounts can be opened in the following currencies Dollar (at least 1000 dollars) Pound (at least 750pounds) Euro JPY (Japanese Yen) If amount in the account is less than given limit bank will Dr.5 dollars per month from the account. When customer opens the account in Foreign Currency his/her booking will be in the Head Office. HO has a dealing room and International Treasury Dept. deals all the fluctuations in the rates of the different currencies. In banks any currency can be converted in to the Dollars b/c dollars has the value in every part of the world as compare to other currencies.
(UBLs Home Remittance) Free Doorstep Remittances With-in the country or from abroad, UBL offers the most efficient and price competitive service. With our large network of branches, we are poised to offer you service almost at your doorstep. UBL's new remittance service, TezRaftaar offers all overseas Pakistanis the fastest and the most convenient delivery of their money to their beneficiaries in Pakistan. Best of all, TezRaftaar is completely cost free and is available at all UBL branches along the Bank's Network in the Middle East, UK and US.
Check out it's great benefits:
Fastest delivery to your given address in Pakistan with in 48 hrs Doorstep delivery by authorized courier or credited to the recipient's account Free of charge transfer service Open to all including those who are not UBL account holders
Complete reliability of transaction
Procedure: Customer will fill the application form Branch send instrument to HO Concern branch of Bank will receive TezRaftaar though HO Branch will give cash payment to the concern person or simply Cr. His/her account and send an IBDA to HO HO wills Dr. the parking account
The Money Gram money transfer service was started in 1988 by integrated Payment Service a US based division of First Data Corporation (FDC), a data processing company. At that time, American Express owned FDC. In 1996,Money Gram Payment System Inc was floated on the New York Stock exchange. Money Gram Payment System is based in Denver USA. There is call center located there; it handles transactions for all non-automated agents and answers queries from customers on a 24-hour hotline. Money Gram has a world -wide agent base of over 29,000 agents, which allows customers to transfer funds around the world within minutes in over 130 countries. The Money Gram service will enable our customers to send and receive funds in 10 minutes. Money Gram is a 10-minute person-to-person money transfer service, which is quick and reliable and allows customers to send money worldwide. UBL is providing MoneyGram Service through its domestic branch network:
Reliable and Secure Fast and Convenient Value for Money Expanded Network
Free Message service
Import & Export:Importer must be Member of CCI Clear in sales & income tax Pakistani (Nationality)
For import & export purpose must take the help of LC (letter of credit) & always opened on the demand of buyer. Pakistani Govt. issued a list of -ve commodities & these cannot be import in the country.
Letter of Credit (LC):A letter of credit is an instrument or document issued by a bank on behalf of a customer, authorizing a beneficiary to draw a draft or drafts or sometimes without the requirement of a draft(s), which will be honored on presentation by the bank if drawn in accordance with the terms & conditions specified in the letter of credit. It is a written undertaking by a bank (issuing bank) given to the seller (beneficiary) at the request & on the instructions of the buyer (applicant) to pay at sight or at a determinable future date a stated sum of money against the required documents. The documents includes commercial invoice certificate of origin, insurance policy or certificate & a transport document relating to the mode of transport used etc. Documentary credits are, therefore an arrangement of security for the parties involved provided by the bank in the form of a conditional guarantee. The conditional guarantee is related to the documents only & not to the underlying goods or services.
Types of L/C:There are 4 types of payment tenors by which different types of letter of credit can be differentiated from each other. The payment methods are as under;
1. 2. 3. 4.
Sight Letter of Credit Acceptance Letter Of Credit Letter Of Credit available for Negotiation Deferred Payment Letter Of Credit
1.Sight Letter Of Credit:In case the credit calls for a sight draft on the issuing/advising/paying bank, & the seller submit all the documents including Draft to a nominated or authorized bank i.e. a bank in beneficiaries country complying with all the terms & conditions of the credit, he receives payment against negotiation. Sometimes, a letter of credit available by Payment at Sight is also established without the requirement of the bill of exchange. 2.Acceptance Letter Of Credit: In case, the credit calls for a Usance draft on the issuing/advising/paying bank, & the seller submits all the documents including Usance bill of exchange to a nominated or another bank complying all the terms & conditions of the credit, the seller receives the acceptance of the payment at maturity date. However, under a separate arrangement he may get his Usance draft discounted by the bank in order to meet his cash flow requirement. In such case he/she has to bear discount charges. 3.Letter Of Credit Available For Negotiation: If the credit provides for negotiation to pay without resources to drawers and/or bonafide holders in terms of credit. Negotiation means the payment of value for draft(s) and/or document(s) by the bank authorized to negotiate complying credit terms. Mere examination of the documents without giving of value does not constitute negotiation.
4. Deferred Payment Letter Of Credit:When the beneficiary does not require finance & is prepared to provide trade credit relatively for a longer period to the importer, a deferred payment credit is arranged. It follows the normal form as in the case of irrevocable undertaking of deferred payment against documents. The amount availed of is not put at the sellers disposal immediately upon surrender of the documents, but only after lapse of the specified period. A deferred payment credit allows the buyer a grace period. On the other hand, the seller is assured that a bank will make payments on due dates.
1.Establishment Of Letter Of Credit:Procedure for Establishment Of Letter Of Credit:
The person, applying for establishment of L/C, must be registered as importer with Export Promotion Bureau (EPB) under the Registration order, 1993 or exempted from the provision of the said order. Before any L/C is established, the L/C opening bank verifies the registration or other wise exemption. In addition to registration, the importer applying for establishment of letter of credit for an amount exceeding Rs. 45,000/- during a financial year produces a valid certificate of membership of at least one of the trade organizations licensed & recognized by the Federal Govt. A category passbook is issued by EPB for the registered importer specifying his category. The category passbook is centralized with the designated banks branch of the city. The application of L/C can be received at any branch of UBL. However, only a few of the branches are authorized to establish L/C. Non-authorized (Non Exchange Dealing) branches route their parties applications, to an authorized branch. The authorized branch in such cases requires the certificate from the applicant branch that the approval was obtained & required margin was recovered & retained.
2.Application as agreement:Credit application form is an agreement between customer and bank on the basis of which L/C is opened. This form contains an undertaking that the importer would purchase the import documents from bank at marked up price as well as undertakes to retire documents within 20 days. This is a prescribed form bearing Adhesive Code Stamp of the amount as prescribed by Provisional Govt. from time to time. It contains the following information: Name and address of Importer Name and address of exporter Amount in Foreign Currency Terms of Credit Description of Goods Origin of Goods Port of Loading and Discharging Last dates of shipment & Negotiation Foreign Bank Charges Terms of Shipment: Part Shipment & Trans Shipment Insurance Cover Note/Policy No & Name of Insurance Company Forward Booking Mode of Transmission Import Registration No. Any other Terms & Conditions agreed between buyer & Seller Details/Documents required by Importer
Security of L/C Application:
The L/C application should be checked/scrutinized considering the following points; Is the customer a client of our bank & maintains Current Account with the branch. The address of importer is complete & confirmed Does signatory authorize the L/C application signed by with his stamp on stamp paper of appropriate value. Has the signature on L/C application been verified by the bank officer. Is the L/C application completely and properly filled? Is the tenor of L/C clearly mentioned as at sight or Usance? Has an authorized person authenticated any correction e.g. cutting/deletion/addition. Is it clearly mentioned to establish L/C at booked/un-booked exchange rate with specific period Does the customer have a valid Import Registration Certificate (IRC). Is the item to be imported allowed under Import policy/ HS Code under free list? Has the Performa invoice/Intent been issued by the Exporter/Indenter on letter head duly signed and accepted by opener showing detailed description of goods along with total value and unit price, terms of payment attached with L/C Application. The name and the address of the Exporter is correct and complete as provided in Performa invoice/indent. Does the insurance cover the amount of L/C plus 10% by an approved insurance company. Within per party risk limit and acceptable risk clause covering goods detailed in Performa invoice/ indent attached with L/C application. Is the branch holding latest credit report of the beneficiary (where ever applicable). Has the amount of L/C been converted into the required currency and selling rate as per rate sheet supplied by Treasury Division has been applied and endorsement made on the application. Is the L/C amount unit price and description of goods as per Performa invoice/indent? Is Pakistan the country of destination of goods Is the country of origin as per performer invoice/indent not contrary to exchange regulations Origin of goods is not of and from the country, which is prohibited by the Govt. of Pakistan Is the mode of shipment clearly defined in L/C and is as per current exchange regulations Is proper date of shipment and negotiation mentioned in L/C application Is L/C commission/margin (if any) and other charges properly calculated and record on the back of L/C application
Has the liability position of the customer been attached and cleared by Manager Ensure that the port of shipment is not prohibited under Import policy Has the competence authority granted approval foe establishment of L/C
In case of any No in the above, the processor shall refer the application to manager/ unit incharge of the branch and keep application pending till clarification / completion.
3.Approval for establishment of L/CAfter security of the documents, the L/C form along with attached documents is put before the manager in case of Retail Banking group branches and corporate head in case of Corporate and Industrial Banking Branches for approval.
4.Fixation of margin:The competent authority fixes margin considering customer credit worthiness as well as SBP/Head office conditions of margin requirements.
5.Credit Report Of ExporterBefore establishing L/C the branch should obtain credit report of beneficiary directly from foreign correspondent or through Trade Information Department. President credit report requirement of L/C is for L/Cs of Rs 500,000/- and above.
6.Forward Exchange BookingAt the specific request of Importer forward exchange is booked for specific currency, amount and validity through the rates published by Treasury Division. 5the forward cover is available for a maximum period of six months. The forward exchange is booked for the currency in which the L/C is to be established.
7.Foreign Correspondent:L/C is advised to the Exporter in the exporters country through foreign correspondent. Selection of foreign correspondent is based on the following: Through our own branch operating in that country Through any branch of nationalized bank or Through foreign correspondent as the case may be
HAJFORMS:Green Forms are meant for Regular Hajj Scheme pilgrims opting for Government accommodation Pink Forms are meant for Regular Hajj Scheme pilgrims opting for
Private accommodation. Light Blue Forms: are meant for Open Hajj Scheme. All the three Hajj Forms contain two page instructions in Urdu as an integral part of the Hajj Form. All those applying for Hajj must read these instructions carefully. Applicable costs for each of the three Schemes (Regular - Government accommodation, Regular Private Accommodation and Open Hajj) are given in the Hajj Application Forms.
HAJJ FEES payable at the time of submission of Hajj Application Forms
Under Open Hajj Scheme, the intending pilgrims must arrange return air ticket and accommodation in Saudi Arabia at their own cost
All the pilgrims will be provided Hajj passports by the Ministry of Religious Affairs at respective Hajji Camps. No intending Hajji is required to obtain an International Passport. Hajj Flights Hajj flights will be from FIVE places in Pakistan. They are Karachi Lahore Islamabad Peshawar Quetta
Other Each applicant is required to provide 10 photographs - colored in 4x3 cm size. Four photos will be pasted on Hajj Application Forms while six will be returned to the intending pilgrims duly attested, for future requirements. Four small booklets, collectively titled Anwar-e-Haram containing general instructions, Manasik-e-Haj, Prayers and Ziarat will be distributed to pilgrims free of cost by the Ministry of Religious Affairs well in time Meningitis vaccinations will be provided and inoculation certificates will be issued to each pilgrim at their respective Hajji Camps. IMPORTANT Those intending Hajj is who do not possess the National Identity Card issued by NADRA are required to obtain the same urgently. Without the new National Identity Card from NADRA, you will NOT be allowed to proceed for Hajj. Those opting for Private accommodation are required to provide original documents duly attested by Director (Hajj) Jeddah by October 30th 2003 to the Ministry of Religious Affairs, Islamabad. Failure to do so will result in rejection of their applications. Details of the required documents are given in the Hajj Application Forms. Please note that the Mehram of a Lady MUST accompany her FROM Pakistan. The lady will NOT be allowed to leave for Hajj from Pakistan
without her Mehram. The Mehram must remain with the lady ALL the time during Hajj. The Mehram MUST also accompanies the lady BACK to Pakistan.
PROCEDURE FOR SUBMISSION OF HAJJ APPLICATION FORMS 1. 2. Contact Collect the the nearest Branch of United It is Bank FREE Limited of cost
The GREEN Form is for those who wish to take GOVERNMENT accommodation in Mecca and Medina under the REGULAR SCHEME The PINK Form is for those who intend to take PRIVATE accommodation in Mecca and Medina under the REGULAR SCHEME The LIGHT BLUE Form is for those who intend to perform Hajj under the OPEN HAJ SCHEME 3. Complete ALL relevant sections of the Form properly
4. In case you have still not obtained or received the New National Identity Card from NADRA, you can use your existing National Identity Card to complete the Form. Please note that you will be allowed to proceed for Hajj ONLY if you have the NEW National Identity Card issued by NADRA " If you do not have the new National Identity Card issued by NADRA, please contact NADRA for issuance of the new National Identity Card immediately. 5. Please ensure that ALL the relevant sections on PAGE 6 are properly completed The Medical Certificate on Page 6 MUST be signed by a Doctor who is registered with the Pakistan Medical and Dental Council and his registration number MUST be clearly mentioned in the proper place. 6. Submit the completed Hajj Application Form with the proper payment to the designated Branch of United Bank Limited
UBL provides locker facilities to its valued customers at very reasonable charges
Locker room is very safe & sound having double grill, double lock & strong room door, which have two keys one for manager & one for officer.
Procedure of getting Locker: The customer in the bank must open any type of account Dealing must be through instruments e.g. check, TT, DD etc Commit ion of locker can be given through check or in the form of cash. UBL takes one-year advance & this deposit is refundable Locker application form will filled by the customer or officer on behalf of the customer. (Specimen is attached in appendix) Locker No. & key No. Allot to the customer Entry will be recorded in the Client locker register & at a time on computer system Customer can use locker jointly having a formality of either or survivor. (Specimen is attached in appendix) When customer come for operating the locker sign in the Locker Attendance Register with date, time & locker No. & after verifying the signature will be allowed to open the locker
Central branch UBL Hali Road Quetta has 510 lockers
Type of Locker
No. Of lockers available in branch 432 36 36 6
Bank annual charges per locker Rs. 2000 Rs. 2500 Rs. 3000 Rs. 3000
Small Medium Large Extra Large
Rate pf charges are fluctuating according to the conditions & bank policies. Every locker has individual key which No. Is different from the locker No. Locker can be opened from two keys one is with officer named as master key & 2nd is lockers key.
If customer loss the key of locker:If customer loss the key of locker must inform to the locker in charge as soon as possible & fill a form of loss of key then he/she will be able to make a new key for the customer maintenance charges will be beard by the customer side (Specimen is attached in appendix)
Break of locker:In case of break of locker officer and client must be present at that time (Specimen is attached in appendix)
If customer wants to surrender the locker:If customer wants to surrender the locker he will fill a form (Specimen is attached in appendix) & at that time can take back the key deposit from the officer (Specimen is attached in appendix)
Voucher Room:As the name tells there all the documents of this branch plus all stuff of spoke branches under this Hub sort. All TT massages, MT, DD, RTC,
SDR, Pay order slips, credit slips of different companies whose accounts exists in this bank, their related vouchers give all this stuff a proper shape of documents. The basic purpose of this recording& maintaining all the documents hard copies for bank record. All the spoke braches report to Hub at every day end they send all the documents hard copy to voucher room, then work of this department starts. They sort, classified, categorized data date wise, branch wise, instrument wise and record it. This department maintains 1-year data in their hand then shift to godam & after 10 years no document or instrument has legal value. They also write letter of thanks to the customers who open their any kind of account and to the introducer whose account is already exist in the branch.
Cash Room:This is the most important & dangerous department of the bank b/c cash is situated physically here. Bank can take 1.5% of cash of its deposits in its hands. Cash room incharge is Chief Teller and responsible of all the cash in hand even for a single penny and prize bounds of shuck period (Close the selling of bounds for 2 months). Cash can be in the form of Unsorted notes Reissue notes Solid notes Defected notes
Assistants of chief cashier make packets and bundles of notes under his supervision b/c all cash must be given to SBP and they only accepts in bundles form as 100 notes = 1 packet 1 bundle = 10 packet 1 series = 10,00000 bonds
In this department all the registers of receiving cashier book, paying cashier book, daily cash in hand position, opening balance, closing balance etc are maintained by the incharge. As this is the central branchs cash department so all the spoke braches send their excess cash to here & can ask if necessary.
ICU (Internal Control Unit):
ORGANIZATIONAL CHART OF INTERNAL CONTROL UNIT ((ICU)
COUNTRY OPERATIONAL HEAD
COUNTRY ICU HEAD
BRANCH ICU STAFF
ICU Head in the branches shall be designated by County ICU Head, who will be the competent authority to manage overall domestic ICU affairs.
Definition:Internal Control Unit (ICU) is an independent appraisal function established to examine and evaluate the adequacy and effectiveness of the businesss system of internal controls and quality of performance in carrying out assigned responsibilities.
Purpose:The internal control unit has been established to create effective control environment in the branches and Head Office (HO) to achieve error free / zero defect operations. It is basically for performing and monitoring vital independent as well as departmental control functions that are critical to the ongoing health of the branch. The ICU staff is independent of the activities they review. They are independent such that they can carry out their work freely and objectively. They are impartial and unbiased which is essential to the proper conduct of reviews. Since the units work independently, the Country ICU Head should directly supervise its reporting/work and under no circumstances Branch Management should influence their day-to-day work.
Functions:Following are key functions for the effective management of business: Independent verifications, proofs/balancing and reviews: Independent verifications, proofs / balancing and reviews are conducted under the direct responsibility of the ICU Head, who will utilize his staff members in meeting these requirements. Departmental verifications, proofs / balancing and reviews: Various review, proofs and verification functions are required to be carried out by operating departments under the supervision of Branch Management, however shall be monitored by ICU staff. Departmental control function checklists (DCFC): The DCFCs against processing of all products are maintained by respective departments and are duly reviewed / initialed by the direct supervisors to ensure compliance to all related principal control points/functions. ICU is responsible for monitoring the correct execution of these functions at departmental level. Corrective action monitoring:
ICU shall be responsible to ensure that the branch on the exceptions pointed out by State Bank of Pakistan (SBP), internal and external auditors, takes corrective actions. The basic purpose of this department is complete checking and advising to operations & day-to-day routine work and be prepare braches to the annual & surprised internal and external audit. ICU checks overall work plus individual check and balance of the braches who are under this Hub. They do monthly surprise advised visit to all the braches and also assign them rates according to the directions from the HO. Which can be Excellent, AA, A, BA. The staff members of this department are directly reported to HO of ICU, which is situated in Lahore. ICU is responsible to check any type of misunderstanding, problem in the braches and also answerable to HO. ICU can send confidential reports to HO about the performance of any employee of the bank. ICU can check in branches Cash in hand position
One window operation Employees Behavior and dealing with customer & Co-workers No. of Dormant accounts No. of Deseed accounts Attendance of employees Maintenance of all Registers etc.
IT Department (Information Technology):
Data Supervisor Mr. Sarwar (OG2)
Mr. Asif Najam Hub Electronic Coordinator
Mr. Ali Sikandar Regional Electronic Coordinator
Assistants (clerical Staff for posting purpose)
UNIBANK PLUS:UNIBANK PLUS consists of a set of programs, which are executed, in the computer to perform various functions related with account keeping and other information processing requirements of a bank branch. These programs are basically of tow types, i.e. online programs (or front office programs) and offline programs (back office programs). The online programs can be run simultaneously from any number of terminals placed in the branch. Their main function is to accept transactions or other information being entered and to post these on to account records. When a bank branch computerized by using UNIBANK PLUS, all record keeping related with customer and GL accounts is transferred on to the computer. The on-line program is a tool for keeping this information up to date and also for making it available for display on screen when required. The on-line banking programs are run on most of the terminals during banking business hours. In addition to carrying out transactions posting in customer, general and subsidiary ledger a/c, these programs also carry out many other functions, which include: Opening of new customer account Closing of customer account Altering the status of customer accounts
Recording of cheque book issued or canceled Recording or releasing stopped check Blocking of amounts or releasing of amounts Maintenance of customer a/c static information Display or printing of customer/GL statements Group function and account linkage
The programs also allow the user to display the essential information of customer a/c with latest balances. Similarly, a transaction display feature enables the user to look at all or selected financial transactions entered during the day. A group display facility allows instant display of customer accounts linked together.
SWITCHING ON:Normally the computer operator switches on the computer. Each computer will then be switched on with the operating system log in prompt appearing on the screen. When the operator enters his/her operating system user name and password the sign-on screen is displayed. The operator must sign on to get started in UNIBANK PLUS.
SIGN-ON PROCEDURE:The sign-on procedure is mandatory every time access is required to the system for any purpose. First the branch code must be entered. A valid branch code will be decoded and the branch name displayed. To terminate at this stage, the [End] key must be pressed. Next, the employee number of the user is to be entered. This is validated and decoded by the program and if found to be valid, the name of the person is displayed. The confidential password of the user is accepted, one character at a time but is not displayed. The users own password is supposed to be known only to himself/herself so that access to the system may be prevented. If an invalid password is entered, the program allows two retries after which a long audible beep is given and the system returns to the operating system login prompt. A valid password brings the cursor to the Department code. The users own department code and name appears if [Enter] is pressed, else the department code must be valid and authorized to the user. The system dates are also displayed. Now, press [Enter] for the main menu (screen 2.1) of UNIBANK PLUS for selection of any required function.
START-OF-DAY PROCEDURE:The sign-on procedure is executed on one terminal at start-of-day. After the operator has signed-on through screen 2.0 (as given above), the entry of certain dates is also required.
Enter the date to be processed against TODAYS DATE displayed on the screen. If this date is different from the system booting date entered when starting the computer, a warning will be displayed. In such a situation, the computer operator should decide whether to continue or not by responding Yes or No. The NEXT WORKING DATE is normally one day greater than the posting date unless there is a weekend or holiday. The Clearing Date should be the date on which funds of outward clearing cheques would become available. As explained in the system description Manual, clearing transactions (or other) may be entered with a future value date in which case the amount of these transactions will appear as Float Balance against the account until arrival of the value date when it will be transferred to Available Balance of the account. In case, however, clearing credit is received on the same date on which transaction are posted, the clearing date may be given as todays date. In the same manner Transfer Delivery Date may be given as a future date or todays date as required. In both these cases, whatever date is given here will be automatically used as value date in clearing and transfer delivery transactions unless overruled by the person keying in by giving a different date. The difference in days between the posting date and the clearing/transfer delivery dates is user-specified. Any discrepancy is highlight with a warning and the user can choose to continue or re-enter the dates. At this stage, any clearing/transfer delivery schedule transactions entered on the previous working date, appear as todays transactions and are also reflected in the account balances as Float Amount. Fixed Deposit accounts maturing on todays date will also be capitalized (if required) and updated as todays transactions.
MAIN MENU PROCESSING:UNIBANK PLUS has a very easy-to-use pull-down menu through which all functions of the system can be selected. To select any function, the operator simply uses the associated function code within the main functions of Banking, Maintenance, Enquiry, Reports and Housekeeping. Functions displayed with the symbol > indicate further sub-menus. Operators on different terminals except the Housekeeping can use each function simultaneously which must be run in single-user mode.
SIGN OFF:Whenever an operator or supervisor has completed his/her work or wishes to move away from the terminal, he/she must sign off to prevent unauthorized access to the system. In order to do so, the letter s for sign-off can be selected from any option of the main menu and then the [Home] key pressed. When a person signs of, the system is not available on that terminal until an authorized person signs on as described earlier. While in the sign-off condition, the screen 2.0 will continue to be displayed to enable efficient sign on by the next person.
TERMINATE:The system can be terminated at any of the terminals if it is no longer required. This would be necessary if the user has completed his/her work for the day. The user can terminate by pressing the [End] key from the sign-on screen. Such termination will stop
the execution of UNIBANK PLUS at this terminal only it will continue to run at other terminals from which it has not been terminated. In order to access the system from the same terminal again, follow the sign-on procedure given above. Before initiating Housekeeping at the end of the day (to be handled by the computer operator), financial transaction posting must be terminated from ALL the terminals.
BANKING:FINANCIAL TRANSECTIONS: From the main menu (screen 2.1), select banking and then financial transaction. Screen 3.1 is now displayed for further selection. The Financial Transaction posting option can be selected after start-of-day and can be continued till Housekeeping being for the current day. The security level of the operator must be 50 or above to access this option. The system processes cash, clearing transfer delivery and transfer transaction in single entry or batch mode. Batch entry transactions are only allowed for cash and transfer. Cash trisections include all cash withdrawal and cash deposits in the branch accounts. Clearing transactions are inward when cheques drawn on customer accounts are presented at other banks and outward when cheques are drawn on other banks but presented at the user bank branch. Transfer delivery transactions are similar to clearing except that they pertain to branches of the same bank. Transfer transactions pertain to different account of the user bank branch. Once the selection for the mode has been made, it is possible to change the mode from within the program instead of returning to the menu. To change, enter the required alphabetic character and press [Enter] at the Account Number field: C for CASH R for CLEARING T for TRANSFER DELIVERY X for TRANSFER B for TRANSFER BATCH S for CASH BATCH When cash, clearing and transfer delivery transactions are entered in single entry mode, their contras are automatically generated and posted by the system in the appropriate General Ledger account. For example all single entry cheque payments will result in the CASH ON HAND account to be credited with an equal amount. The transactions in batch mode must be balanced on completion of batch i.e., the credit amount must equal the debit account. The system caters for a maximum of twelve entries per batch. One document number is allotted to a batch and each individual entry is identifiable with a two-digit serial number. The transaction entry mode is selected by giving the appropriate function code in screen 3.1 or by placing the cursor on the required function and pressing the [Home] key. One restriction, however, must be kept in mind that after selecting the mode, the program crosschecks the entry of transaction description code with the mode selected and conflicting entries are not allowed. For example, it would not be possible to enter a transaction description code for clearing, if the cash mode for posting financial transactions has been selected.
Prompts and automatic movement of the cursor control entry of transactions. The program accepts the entry of transaction field by field. On-line validation takes place of each field entered and at the end of all fields, the operator has to respond to the Accept, Modify and Reject options. In case of acceptance, a document number is displayed at the bottom of the screen. CUSTOMER ACCOUNT: The first three digit of the customer account number indicate the customer ledger (account type), which links the account to a particular category e.g., saving account, Current account etc. The serial number with in the a/c type consists of four digits b/w 0001 and 9999. The customer a/c must be present on the customer table failing, which it is a new a/c and must be opened before the transaction can be posted. If the a/c is already being processed in the up date mode by other terminal, an appropriate massage is displayed and the operator can try the a/c again a little later. For Term deposit a/c the a/c opening and maturity dates are displayed along with the available and ledger balances. For minor, illiterate, parda nasheem, dormant, inactive and no-correspondence a/c, an override is required for posting in a restricted a/c. SUB-LEDGER A/C: A sub-ledger a/c number always begin with the letter G so that system can distinguish it from a customer a/c. the other six digits are always numeric. CUSTOMER TYPE: The customer type determines the type of customer e.g. Individual, Partner, Proprietor, Club, Society, Govt., etc. each record contains a two digit code and a 25-character description.
CUSTOMER ACCOUNT MAINTAINANCE: Customer a/c maintenance includes opening of new a/c, amendments of existing a/c, and activities connected with financial transactions such as issuing cheque books, amending limits, changing a/c status, etc. ACCOUNT OPENIGN/AMENDMENT: An account opening form is filled with all the required details of the a/c. This information is keyed in either through this option or if the operator has a security level of 80 or more, the financial transaction posting will allow an a/c to be added. The details, which can be added or amended, are as follows: Reference a/c number.
A/c opening date Maturity date Receipt number Account name Address Joint account Authority level Statement frequency Statement copies Account status Residency Customer type Country code Economic sector Flags Nationality N.I.C number Date of birth Passport number License number Telephone number (resident/office) Interest/profit Interest effective date Computation code
DEPARTMENT: The number of such records would be the same as the number of departments in a branch. Each record contains a 2 digit Department Code and a 25-character department name. BANK: Each bank has an allotted code in the system. The bank code consists of two digits, and the bank name consists of 30-character. TRANSACTION DESCRIPTION: Certain transaction codes are pre-determined by the System as can be seen from the financial transaction details option 126.96.36.199. The operator can add new records for frequently used descriptions. Each record contains a twodigit code and a 25-character transaction description. SUPERVISION: UNIBANK PLUS has a real time, on-line supervision feature. Under this feature financial transactions in customer and sub ledger a/c are to be supervised by an authorized person before they have accepted by the system. CHEQUE BOOK: Cheque books can be issued or cancelled stopped for payment or stopped cheques released through this option.
ISSUE CHEQUE BOOK: The user can determine the number of chequebooks allowed to a customer. A default value can be given for the ledger in the customer ledger option of system maintenance. In case, the number of chequebooks issued exceeds the maximum allowed, the operator has the option to delete any of the existing chequebooks. If no chequebook is deleted before another one is issued, the system will increment the number of chequebooks allowed automatically. CANCLE CHEQUEBOOK: This option is use to cancel an entire chequebook or any range of cheques with in the chequebook. The cheque number must exist on the customer a/c record and should not have been used, cancelled or stopped.
Stop cheque:To stop a cheque for payment it must not already have been presented for payment or been stopped or cancelled. The cheque number must be with in the range of chequebooks issued to the customer. RELEASE CHEQUE: To release a cheque or series of cheques, it must have been stopped for payment previously. REPORTS: Select this option from the main menu for printing of required reports.
UNIREMOTE System is designed to perform transactions between any two UBL Branches over WAN (Wide Area Network) with the assurance that the information will be secured by taking security measures like VPN, encryption etc. UniRemote is not in direct access of the customer but it is the system between branches where they can make online transactions with each other on behalf of UBL customer. All UBL online branches on WAN will handle the UniRemote Operations. Customers can make transaction from any of the selected online branch in any city. Today we have 73 online Hubs running UniRemote all over the country. It will be extended to the remaining Hubs and the large Spokes in the near future. Transactions of staff members and a few internal transactions are being done to test the robustness of the system. This system is integrated with Unibank. Transactions / facilities presently permitted in UniRemote are as follows: Cash Deposit Cheque Encashment Stop Payment Account Statement Funds Transfer (Account to account / IBCA)
II. System Architecture UniRemote system is integrated with Unibank but its architecture is flexible enough to function as a stand-alone system. UniRemote system architecture comprises of three main components, which are as follows: UniRemote Cell / Controller: Controller of the system at HO level Local Branch: Any branch initiating transaction will be called Local Branch Remote Branch: A branch on which the transaction is targeted is called Remote branch. A Remote branch could be an online Branch or an offline Spoke (only credit transactions in offline branches). III. Reports Following are the main reports to be generated from the UniRemote system. 1. Non UniRemote Customer list 2. Inward Transactions 3. Outward transactions 4. Inward stop payment 5. Outward stop Payment
Advances:Introduction:Loan making activities are the lifeblood of not only the banking industry but in many ways for the whole economic system of the country. The decisions of a banker in landing can make the bank or can break the bank. The decision whether or not to accede not a customer proposal for advance is very important. If the decision is right, the bank will prosper but if the decision is wrong than the advance will probably get stuck-up & the bank will be faced with possible loss. However, all the decisions must be taken after insuring that they fulfill all the legal & regulatory requirements laid down by the SBP from time to time. The understanding & the principals applicable in extending credit are the jugular of the bank. The lack of it, sheer ignorance or violations of the norms of landing by a banker can neither serve the interest of the depositors nor his community. Taking risks is our business. A bank that is running on the principal of avoiding all risk will be stagnant institution & will not adequately serve the legitimate credit needs of the community. On the other hand, a bank that takes the excessive risks surely runs into difficulty.
Suggestions & Remedies:1. Bankers can serve the economic needs of the country & community by the sound extension of credit & can simultaneously earn adequate return to built equity & reserve besides a good return to depositors. 2. It is imperative that a banker understands his responsibilities by a applying thoroughly