Ublbankinternshipreport 140203103141 Phpapp01

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2 | Internship Report The Islamia University Of Bahawalpur

Internee: Mudasra Amjad

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PREFACE
The field of banking has always been a source of inspiration for me during my entire
academic career. To work in a bank, to acquaint with its working mechanism was always
a point of interest for me and God gave me a golden opportunity to complete my
internship at UBL, one of the leading bank in Pakistan and well known in world due to its
appearance in the international markets. I had a general idea about the banking, but
once I practically started the internship in banking field I observed much about banking,
I realized the importance and significance of commercial banking for the development
of economy. To adjust myself in such a large commercial organization was not an easy
task, but by the grace of Almighty Allah aids my internship in a befitting manner and I
learned a lot about the overall banking arena. This expanded my vision about the
banking sector, which in turn enabled me to make an appraisal of the economic
situation of our country. This report is a thorough essence of my rigorous studies which I
undergone through in a period of six weeks from 22-07-2013 to 29-08-2013 in a
commercial bank. I have exclusively studied and observed the operations/ functioning of
the bank and tried my best to abreast myself with all the dimensions of the banks. The
purpose of this report is to evaluate the performance of UBL in diversified avenues and
give concrete recommendation for further improvement. Although the bank is
functioning satisfactory, but the path to ultimate success is still full of threats and
hurdles. It was a great experience to work there and contribute handsomely in the
process of appraising its pros and cons and feeling to be a significant part of the bank. I
am thankful to all those who helped me in one-way or the other and guided me in the
preparation and compilation of this report in a presentable fashion.

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By the Grace of Almighty, the most Merciful, the most Beneficial, I'm today submitting
my internship report, at the end of my first pragmatic experience and I'm glad to have it
with UBL, where you come first, only if you're the customer. Thirst of learning is inside
you, and whatever the environment, if you're willing to learn, you do. At UBL, I had a
new, challenging, yet a perfect environment to learn. My parents' prayers and their
teachings were always with me and hereby I will like to take this opportunity to show
my gratitude to all those who made my internship an adventurous outwit.
Here I am, from more professional and rather corporate environment of UBL Fride gate
branch. I never knew what it all going to be. As I enter the branch, despite of the most
hectic schedule, Maam Farah and Sir Zeeshan helped me so much. I'm really grateful to
both of them for clarifying my concepts and making me learn from your experience.
Whatever I learnt from you will definitely help me in my upcoming study and the
professional life ahead. Thank you so much for being so co-operative and so helpful
every time.
In the end, I will like to thank all other colleagues, Maam Maryam, Sir Ahtasham, Sir
Zubair, Sir Waqar, Sir Osama, Sir Khalid, Sir Babar, Sir Fazal, Sir Amir and all my other
fellow internees, for their unconditional support and help in making me learn in a good
environment.
TANKS TO ALL

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DEDICATION
When the person does something, there must be an inspiration behind for doing work.
Especially I dedicate my work to my Mother from whom I have received a Great
inspiration and boost for doing this important work. In addition, I dedicate this work to
my siblings and my Teachers, they guide me and show their confidence on me and
realizes me that I am very capable of doing this work. I dedicate my work to all my
friends and colleagues who really help me to perform this work. May ALLAH bless all of
them

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Sr. #
no

Page
numbers
1.
EXECUTIVE SUMMERY 10
2.
INTRODUCTION 11
3. Banking system 13
4. Towards islamization of economy 14
5. Advantages of banking system for economy 15
6.
UBL HISTORY 16
7. Importance of UBL 18
8. Vision and mission 20
9. Core value 21
10. Objectives of UBL 22
11. Role of UBL banking sector 23
12. Functions of UBL 24
13. Corporate level strategies 25
14. Organizational structure 26
15. Hierarchy of Organization 27
16. Branch functional chart 28
17. Board of directors 29
18. Company information 31
19.
DEPARTMENTS 32
20. Deposit department 33
21. Human resource department 45
22. Remittances department 47
23. Foreign exchange department 53
24. Collection department 56
25. Credit department of UBL 59
26. Clearance department 67
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27.
PRODUCT AND SERVICES 74
28. Retail banking product 74
29. Corporate products 75
30. Commercial banking services 96
31. Complementary services 100
32.
FINANCIAL ANALYSIS
102
33.
SWOT ANALYSIS
117
34. Strength 118
35. Weaknesses 120
36. Opportunities 121
37. Threats 122
38.
SUGGESTIONS AND RECOMMENDATIONS
123
39.
CONCLUSION
125
40.
ANNEXURE
131

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EXECUTIVE SUMMARY

This is an internship report regarding the introduction of UBL and their products and my learning
and understanding during my internship program.
This internship report is actually is brief discussion of functions that are performing at United
Bank Limited. UBL was established in 1959 and is one of the major commercial banks of
Pakistan. The Bank is making every effort to meet the up-coming challenges through strategic
planning and making the best use of the resources at its command. A professional team was
appointed in mid-1997 to restructure the bank and to commence rightsizing. The management
is also in the process of rationalizing the branch network, identifying, and recovering its
doubtful and classified portfolio.

It has planned to institute major improvements in customer services and internal systems to
improve efficiency. The bank is increasing resource mobilization through regular deposit
campaigns and accelerating the process of recovery of outstanding advances and non-
performing assets. UBL has assets of over Rs. 747 billion, Shareholder's Equity of over Rs. 14
billion and a solid track record of 50 years - in addition to the convenience of over 1200
branches serving you throughout the country and also at several overseas locations.

This report starts with the brief introduction of UBL along with the business sector of the bank
and banks future plans. The banks complete range products are mention. Organizations
hierarchy chart and a brief introduction of all departments in which I performed. Comments on
UBLs structures are given at the end of this section. The Ratio analysis of bank is given in last
section of report. The ratios and their formulas along with the Bar charts are performed and give
comments about the performance of BANK.
In the End I briefly evaluate the Organization according to my learning, and concluded my views
about the UBL, the last part of report tell you about some suggestions and Recommendations
for bank. As we know that DMS sent their students for internship in different organizations, so
that students can work practically and observe their respective organization under the
knowledge which they gain from MBA.
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INTRODUCTION
Students of MBA studying courses leading to Master degree in Commerce are required
to undergo an internship program me of six month duration. This is an essential
academic requirement. The internship is followed by comprehensive report writing,
required to submit to the research and development division (R&DD) of The Islamia
University of Bahawalpur. This report is properly evaluated on the basis of its
description and analytical capabilities by internal and external examiners. I did my
internship in United Bank Limited Fride Gate Branch.

PURPOSE OF STUDY:
The purpose of the study is to work in real life situation and learn banking practice by
doing.
In this context its objectives are:
i. To analyze banking operations i.e. operational analysis, financial analysis.
ii. To develop concrete and feasible recommendations.
iii. To improve report writing skills.

SCOPE OF STUDY:
The study is confined to banking operations. An attempt, along with all its limitations, to
collect financial data and general statistics of the bank has been made. Keeping in view
the purpose of the study, which is to make an acquaintance with practical doings in the
bank, this seems a comprehensive effort.

LIMITATION OF STUDY:
It is to admit that the study attempts only those aspects, which are closely relevant to
the purpose of the study. Facts and figures, which otherwise might be equally
important, but not having a direct bearing on the conclusions arrived at this study, have
been ignored. The most important limitation from which the study suffers is the non-
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availability of information in a manner required for analysis and the secrecy of the bank.
Another important limitation of the study is time and space constraint.

METHODOLOGY OF STUDY:
Primary and secondary data were used in compilation of report. Methodological tools
were:
i. Primary Data:
Personal Observations.
Discussion with Bank Personnel.
ii. Secondary Data:
Brochures/ Manuals of the bank.
Annual Report
State Bank Foreign Exchange Manual
Bank internship reports on UBL available in library.
Journals, newspapers and books.
Internet.

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BANKING SYSTEM
Banking services are extremely important for both economies developed and
developing economy such as Pakistan. Banking services serve two primary purposes.
First one is, by supplying customer with the basic mediums-of-exchange (cash, current
account and credit cards). Without these familiar methods of payment, goods could only
be exchanged by barter, which is time-consuming and inefficient. Second, by accepting
money deposits from savers and then lending money to borrowers, banks encourage
flow of money to productive use and investments. Without this flow, savings would sit
idle in someones safe, it would not be available to borrow, people would not be able to
purchase cars or houses, and businesses would not be able to build the new factories.
Enabling the flow of money from savers to investors is called financial intermediation,
and it is extremely important for the growth of economy.

BANKING HISTORY
Consensus on the origination of word Bank is not yet reached at. Some authors
opinion is that this word is derived from the words Bancus or Banque, which mean a
bench and they further relate banking business inception to Jews in Lombardy. Other
authorities state that the word Bank is derived from the German word Back which
means Joint Stock fund and later on due to German occupation of Italy, this word was
Italianated into Bank. Authors quote Babylonians (few quotes Chinese) who developed
banking system as early as 2000. B.C1

BANKING IN PAKISTAN:
Banking started in Pakistan after the bold and emergent decision of formulation of SBP
on July 30, 1948. Thereafter this sector has witnessed enormous growth. In 1974 banks
were nationalized, in the hope that new era of growth could be achieved through it.
However the process is reverse since 1991, up till now MCB, ABL, and UBL have been
privatized and HBL is in the process of its privatization.
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TOWARDS ISLAMIZATION OF ECONOMY
Interest based transactions/businesses are Haram in Islam. The GOP has shown.
Interest is to eliminate interest from its economy by developing various alternatives.
To achieve this objective various efforts are made with the following outcomes.

DEPOSITS:
S A Haq. (1998) Practice & Law of Banking in Pakistan (6
th
Ed.)
The Council of Islamic Ideology (1980). Elimination of Riba from Economy.
PLS (Modarba) Accounts
Current Accounts: (with no return paid)
LOANS:
Qarz-e-Hasana
Lending on the basis of Service charges
TRADE RELATED MODES OF FINANCES:
Bai Muajjuai; purchases of goods by banks and their sale to clients at appropriate
mark-up in prices.
Bai-Salam; purchase of goods from clients by banks and their resale to the client
at increased prices, to be paid in future.
Financing for development of property on the basis of developmental charges.
Ijara: leasing.
INVESTMENT TYPE OF MODES OF FINANCES:
Musharaka: financing on the basis of profit and loss sharing.
Modaraba: equity sharing of borrower profit and loss on basis of purchase of
modaraba certificates.
Rent sharing.
Equity participation through purchase of shares.

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ADVANTAGES OF BANKING SYSTEM FOR ECONOMY
The deposit and loan services provided by banks benefit an economy in many ways.
First, Current account, because they act like cash, make it much easier to buy goods and
services and therefore help both consumers and businesses, who would find it in
convenient to carry or send through the mail huge amounts of cash. Second, loans
enable consumers to improve their standard of living by borrowing money to purchase
cars, houses, and other expensive consumer goods that they otherwise could not afford.
Third, loans help businesses finance plant expansion and production of new goods, and
therefore increase employment and economic growth. Finally, since banks want loans
repaid, banks choose borrowers carefully and monitor performance of a companys
managers very closely. This helps ensure that only the best projects get financed and
that companies are run efficiently. This creates a healthy, efficient economy. In addition,
since the owners (stockholders) of a company receiving a loan want
their company to be profitable and managed efficiently, bankers act as surrogate monit
ors for stockholders who cannot be present on a regular basis to watch the companys
managers.

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UBL HISTORY
United Bank Limited was incorporated in Pakistan with the registered office in Karachi,
and the principal office situated in Islamabad. UBL has assets of over Rs. 747 billion and
a solid track record of over fifty years - in addition, the bank operates 1200 branches all
over Pakistan including 7 Islamic banking branches, and 1 branch in Karachi export
processing zone and 17 branches outside Pakistan.

The banks ordinary shares are listed on all three stock exchanges in Pakistan and its
global Depositary Receipts (GDRs) are on the list of the UK Listing Authority and the
London Stock Exchange Professional Securities Market. These GDRs are also eligible for
trading on the international Order Book System of the London Stock Exchange. Join us in
a world class journey and let us serve you better, because at UBL You come first!

November 7th 1959, Pakistan witnessed an event that would change the way we
banked forever. It was not just the inauguration of UBLs first branch at I.I. Chandigarh;
it was also the birth of the culture of service, a culture of innovation and a culture of
financial excellence!

By June 1960, shortly after six months of opening its doors to the public, UBL had
branches in:
Karachi
Dacca
Lahore
Lyallpur
Chittagong
And Narayanganj

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In 1963, UBL became the first bank in Pakistan to have a branch overseas- on William
Street in London, United Kingdom. True to our promise of providing service and care
beyond the ordinary to our customers, UBL and You have had a history. The first saving
scheme for school going children was launched as early as 1960 or the formation of
Pakistans first Staff College of employees in 1964, UBL, through the motivation of its
staff and the trust of its customers, continued to grow at a spectacular pace. In 1967,
UBL had hit the dawn on information in terms of technology, by introducing computer
banking to Pakistan and in 1971, UBL once again paved the way by launching 3 online
branches in Karachi.

Throughout its history, UBL has kept pace with- and often exceeded the changing needs
of changing times. Keeping the tradition of innovation alive, UBL introduced Pakistans
first credit card, the UNICARD in 70s and left its mark by launching the Pak Rupees
traveler cheques in 1971. Staying true to its roots, UBL was also the first bank to have an
Islamic banking division and the first to introduce e-banking facilities at Hajj.

In the 1990s the government of Pakistan decided to change the face of banking by
creating a blueprint to privatize UBL. At this point, financial experts were called on
board to set the bank back on course, and with implementation of relevant changes, the
government privatized the bank in the year 2002 Best way and Al Ayaan collaborated,
forming the cornerstone for the UBL of tomorrow. Today, UBL opens its eyes to a new
vision every day, a vision of resurgent excellence and renewed commitment to our
customers. 52 years into our glorious history UBL is now part of one of the worlds
largest financial services groups.

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IMPORTANT ABOUT UBL
United Bank Limited was incorporated in Pakistan with the registered office in Karachi,
and the principal office situated in Islamabad. UBL has assets of over Rs. 747 billion and
a solid track record of over fifty years - in addition, the bank operates 1200 branches all
over Pakistan including 7 Islamic banking branches, and 1 branch in Karachi export
processing zone and 17 branches outside Pakistan.

The banks ordinary shares are listed on all three stock exchanges in Pakistan and its
global Depositary Receipts (GDRs) are on the list of the UK Listing Authority and the
London Stock Exchange Professional Securities Market. These GDRs are also eligible for
trading on the international Order Book System of the London Stock Exchange.

NUMBER OF BRANCHS:
UBL has a large network of branches, which extends to the remotest areas of the
country. In December 1983, there were 1623 branches whereas in 1974 it had only 1238
branches and in October 2003 these figures show total number of 1007 branches UBL
has been very active in increasing its overseas branches network. The first foreign
branches were established in London in 1963. Now UBL has branches in Bahrain, Qatar,
Saudi Arabia, United Arab Emirates, Yemen Arab Republic, UK Switzerland, Egypt, Oman
and The United States. These branches are playing a significant role in channeling home
remittances and foreign trade of Pakistan.

COMPUTERIZATION OF UBL:
UBL has taken leading start in the introduction of computers in (1966-1968) in
important cities. Its three computers centers Rawalpindi, Lahore and Karachi are
equipped with the modern mainframe computers of various capacities. Every branch

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has been decorated with microcomputers. The use of computers has enabled the bank
to save time and efforts raise efficiency and deliver the goods speedily to its customers.
This has also allowed the bank to maintain its leadership within the industry.

UBL - ON LINE SYSTEM
Themes of this service is Access anytime, anywhere, any device which symbolizes
comfort, convince and connectivity. UB-Online a web based service that can be accessed
through multiple media link like, (1) PC via internet (2) Mobile phone with WAP or free
SMS) (3) Personal Digital (4) assistants and (5) Plain telephone; following are some of
the exciting features:
Accounts statement & electronic data interchange
Graphical analysis
Alerts service /facility, search facility and activity long
The banks as another computer-based system known as UIBANK
Which is a well-develop on-line branch-banking package. The system automatically
prepares various report, central bank returns, and statement of accounts for customers.

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UBL vision and
mission
To be a world class bank dedicated to
excellence, and to surpass the highest
expectations of our customers and all other
stakeholders
Set the highest industry standard for quality, across all
areas of operation, on a sustained basis
Optimize people, processes and technology to deliver
the best possible financial solution to our customers
Become the most sought after investment
Be recognized as the employer of choice
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CORE VALUES
*Honesty and
integrity

*Commitment
and
dedication
*Fairness and
meritocracy

*Teamwork
and
collaborative
spirit
*Humility and
mutual
respect

*Caring and
socially
responsible
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OBJECTIVES OF UBL:
The united bank limited sets its goal annually does revision of them and takes monthly
feedback.

To provide
the on line
facility in
every branch
of bank.
To achieve
the goals
which are in
profit terms?
Make best
efforts to win
the trust and
confidence of
its customers.
To make it
leading bank
in banking
sector.
To adopt
modern
banking
techniques.
Operations
proficiently
assigned by
the
government.
Efficient in
providing
evening time
facilities.
To get all the
branches
computerize
d.
Boost the
financial
sector all over
the world
particularly in
Pakistan.
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ROLE OF UBL BANKING SECTOR:
The impressive growth and development, which UBL achieve, present it undoubtedly
the most dynamic and progressive. In a very shorter period of time it became one of the
leading banks overtaking several other older and its competitor banks. The major
contributions the bank has made are enlisted below:

ROLE
Promotion of
sports
Record setting
performance
and
commitment to
serve the
customers
Personalized
service and
dynamic
approach
ROLE
Human
resource
development
Diaries and
calendars
received prizes
too
Professional
management
Modern
banking policy

ROLE
Credit cards
(unicard-1970)
Travelers
Cheques
(Humarah-
1971)
Small loans (or)
micro credits
Utility bills
collection

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FUNCTIONS OF UBL
UBL is a commercial bank, which transacts the business of banking in accordance with
the provisions of BCO, 1962. Section 7 of the Act authorizes banks to engage in the
prescribed form of business. In the light of this section
UBLs functions can be categorized as under:

F
u
nc
ti
o
ns
Agency services
General Utility Services
Underwriting of loans raised by Government or public
bodies and trading by corporations etc.
Acting as executer, trustee or attorneys for the customer.
Providing safe custody and facilities to keep jewelry,
documents or securities.
Providing specialized services to customers, and
Hajj-related services.
Collecting cheques & bills exchange from its customers
Issuing of travelers chafes to give credit facilities to travel.
Issuing of letter of credit to facilitate imports and export.
Accepting bills of exchange on behalf of customers..
Collecting interest due, divided pensions and other sums
to customers.
Transfer of money from place to place.
Acting as executor, trustee or attorneys for the customer.
Purchasing shares for the customers.
Undertaking foreign exchange business.
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CORPORATE LEVEL STRATEGIES
Corporate strategy is the direction an organization takes with the objective of achieving business
success in the long term.
BUSINESS LEVEL STRATEGIES:
It means the tactics to beat the competition.
The main focus is building relationships and being known by the way they do
business. Management recognizes that a banking relationship requires
compatibility, communication, and cooperation and that each customer
deserves nothing less than full attention and available resources to meet their
financial objectives.
Core value and corporate culture is based on the belief that superior
personalized service is the most important product. Bank is in the process of
getting to know customers by name and understand their business and personal
financial needs.
DEPARTMENTAL/FUNCTIONAL LEVEL STRATEGIES:
Operational methods used to implement the tactics.
To establish sound relationship with top industrial groups and various
multinationals.
To launch the innovative products as which cater to the needs of different
segments of the markets?
Bank main focus is to provide the extensive training to employees in process,
products, marketing and selling skills introduced.
To implement a performance appraisal process to provide motivation and a
merit oriented culture in the bank.

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ORGANIZATIONAL STRUCTURE

President

President Secretariat

Division Division Division

RHQ RHQ

Hub Branch Hub branch

Spoke branch Spoke branch

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Hierarchy of Organization

Officer Grade I
Non Clarical Staff Clerical Staff Officer Grade II Officer III
VP
EVP
SEVP
Managing Directots
Executive Committee
Board of Directors
Deputy Chaiman
Chairman
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BRANCH FUNCTIONAL CHART:

Area manager
Sir Ahtasham
Operational manager
Sir Zubair
Credit department (Sir Amir)
Computer department (Sir
Osama)
Account opening (Sir Khalid & Sir Babar)

Bills and remittance (Mam
Farah)
Legal department
Cash department (Sir Tymoor)
Foreign currency (Sir Fazal)
Clearing (Sir Zeeshan)
Finance (Mam Mariym)
Audit department
Employees working
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BOARD OF DIRECTORS
His Highness Sheikh Nahayan Mabarak Al Nahayan (Chairman)
The Chairman of the Board, Sheikh Nahayan Mabarak Al-Nahayans life and career have
been characterized by creativity, innovation, and dedicated public service. In his role as
the Minister of Higher Education and Scientific Research.

Sir Mohammed Anwar Pervez, OBE, HPk (Deputy Chairman)
Sir Mohammed Anwar Pervez, OBE HPk is Deputy Chairman of Board of Directors of
United Bank Limited. He is also Chairman of Bestway Northern Limited in UK.

Mr. Atif R. Bokhari (President & CEO)
Mr. Atif R. Bokhari, currently President & CEO, United bBank Limited (UBL).

Mr. Omar Ziad Jaafar Al Askari (Director)
Omar Ziad Al Askari is the Chairman and Chief Executive Officer of United Technical
Services. He is a Certified Public Accountant.

Mr. Zameer Mohammed Choudrey (Director)
Mr. Zameer Mohammed Choudrey has been a Member of the Board of Directors of
United Bank Limited. He is Chairman of the Board Audit Committee. He is also a Director
of UBL Insurers Limited.
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Mr. Seerat Asghar (Director)
Mr. Seerat Asghar has been appointed as Director of United Bank Limited by the
Government of Pakistan with effect from 30th March, 2010. He is also a member of
Human Resources Committee of the Bank.
Mr. Rana Assad Amin (Director)
Rana Assad Amin has been appointed as a Director of United Bank Limited by the
Government of Pakistan pursuant to Section 183 of the Compainies Ordinance, 1984.
Mr. Amin Uddin(Director)
Mr. Amin Uddin has been appointed as member of Board of Directors of United Bank
Limited.He is a member of Board Audit Committee of UBL and insurance limited.
Mr. Arshad Ahmad Mir (Director)
Mr. Arshad Ahmad Mir, appointed as member of Board of Directors 26 October 2009

SUBSIDIARIES
1. Switzerland united national bank limited.
2. United Bank AG (Zurich)
3. United National Bank Limited
4. UBL fund managers limited
5. United executors and Trustees Company limited

ASSOCIATES
UBL Insurers Limited
Oman United Exchange Company LLC

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COMPANYINFORMATION
Registered Office:
13th Floor, UBL Building, Jinnah Avenue,
Blue
Area,Islamabad.

Head Office
State Life Building No.1, I.I. Chundrigar
Road, Karachi 74000, Pakistan.

Share Registrar
M/s. THK Associates (Pvt.) Limited
Ground Floor, State Life Building No. 3,
Dr. Ziauddin Ahmed Road,
Karachi Pakistan
UAN No. 021- 111-000-322
Fax No. 021- 35655595
Company Registration
No.
0001026

National Tax Number
0801164-8
Auditors
(M/s. KPMG Taseer Hadi & Co) and
(M/s. BDO Ebrahim & Co)
Chartered
Accountants

Chief Financial Officer
Mr. Rayomond Kotwal

Company Secretary & Chief Legal
Counsel
Mr. Aqeel Ahmed Nasir

Legal Advisors
M/s. Mehmood Abdul Ghani & Co
(Advocate)
Contacts
UAN : 111-825-111
Contact Center: 111-825-888
Website: www.ubldirect.com
Email: customer.services@ubl.com.pk

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DEPARTMENTS

Departments
Deposit department
Human resource department
Departments
Remittance department
Foreign exchange department
Collection department
Departments
Credit department
Clearance department
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DEPOSITE DEPARTEMNT
As per the definition of Banking under see 5(b) of BCO 1992 one of the main functions
of a bank is to accept deposit. Deposits are the backbone of any bank; other functions of
the bank primarily depend upon the type and size of deposits. Function perfumed by
cash and deposit department in UBL Fride gate Branch.
Fried gate branch accepts deposits under the following three accounts.
i. Current account
ii. PLS saving account
iii. Terms Deposits

TYPES OF ACCOUNT:

UBL BASIC BANKING ACCOUNT:
In this type of account minimum of two withdrawals and deposits are allowed per
month and free of charges. If customer do more transactions above the mentioned
limited then the flat fee is charged as per rates are prevailing according to bank policy.
This account is free from Levy charges in case of not meeting minimum balance
requirements.

A. INDIVIDUAL ACCOUNT
In this account a single customer operates the account. The banker will run the account
according to the rules, but if the customer gives special instructions the Bank will have
to follow it.
B. JOINT ACCOUNT:
In this type of account two or more than two persons will open the account. The
account will be operated by one account holder in case of (either of the survival). If the
instructions are not given, all the account holders will have to sign the check.
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NATURE OF ACCOUNTS IN UBL

A) CURRENT ACCOUNT:
These are non-profitable demand accounts. The account can be opened with minimum
amount of rupees 1000/-. These accounts are usually maintained for business purpose.
Due to enormous competition UBL has introduced daily profit current account for
corporate clients called (UNISEVER) minimum balance required is Rs. 100,000/-. If
minimum balance requirement is not met, bank is authorized to recover predetermined
charges.

UBL Business Partner Account (Current Account):
UBL offers our regular customers unlimited deposits and unlimited withdrawals and
minimum credit limit of 10000/-. If reduced the amount from this said limit, the 50
rupees per month should be deducted from the account unless these are charges are
exempted in any case. The Business Partner Account offers the net banking services plus
UBL WALLET and PREMIUM CARD and other existing products.

UBL Business Partner Plus: (current Account):
UBL offers unlimited Withdrawals and deposits. With the exemption of service charges,
while maintaining the minimum balance of 25000/-. The ATM and other charges are
free according to this UBL Business Partner Plus (current Account).

B) PLS SAVING ACCOUNT
These accounts were intended with the aim of encouraging thrift among people. These
accounts can be opened either in Pakistani rupees or in few major currencies of the
world. Bank offers (4%- 6%) return on these accounts. The basic feature is the profit and
loss sharing as according to non-interest based banking system. These accounts can be
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opened in the name of; individuals, joint names, trust accounts, charitable
organizations.
Unlike current accounts, Zakat is applicable on local currency saving accounts. Minors
accounts can be opened on the condition that their guardians shall operate these
accounts.

C) TERM DEPOSITS:
Term deposits are also called fixed deposits. These can be withdrawn after a specified
period of time. Interest is paid to the depositor on all fixed or term deposits. The rate of
return varies with the duration for which the amount is kept with bank

There are two types of term deposits.
i. STDRS Special Term Deposit Receipt (local currency):
Special Term Deposit Receipts are issued for different periods of maturity ranging from
one month to 5 years, having attractive returns. There is no limit on denominations.
ii. NTDRs Notice Term Deposit Receipt (local currency):
These are term deposit with special features that these can be withdrawn any time but
after giving a predetermined and pre agreed early notice.

REQUIREMENT FOR OPENING OF ACCOUNT:
To open an account in UBL the customer will have to fill an account opening form in
front of bank officer. He has to sign in all required places in front of the officer.
Documents Required in Account Opening:
i. N.I.C Copy.
ii. Account opening form (provided by bank)
iii. Two photograph (in case of illiterate person)
iv. Specimen Signature card (Provided By Bank)
v. Cheque Requisition Form
vi. Introduction of Account.
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PROCEDURE FOR ACCOUNT OPENING:
Penning down information and keying it into the system does seem a simple and tedious
job but it is not. My initial five days at customer service department was the liveliest
experience of my internship. Though physically I was there just to assist the account
opening officer, but it turned out to be much more for me. That is when I first actually
imitated as a presenter of UBL to customers, when to many people, I'm their hope.
UBL offers a variety of options for anyone; to everyone. You are an investor, regular
businessman, middle man, salaried person or a house wife; UBL serve you in every way
it can through its commendable and reliable services, because at UBL, YOU come first.
Working at Customer Service Department, I did counter with different types of
customer and opened their accounts under the supervision of the officer. When you
have the sole responsibility to open the accounts, it's always very important to
understand the needs of your customer. Understanding the psyche of customer is very
important. Until and unless you're completely satisfied that the customer has genuine
reason and need to open the account, don't do so.

ACCOUNT OPENING FORM:
In all the documentation within the bank, clearness and tidiness are the major features.
Over writing and cutting should always be avoided as it may lead to any
misinterpretation. Account Opening Form is the most important documentation when a
customer walks in for commercial banking and wants to develop a relationship with us.
In AOF, all the necessary information should be completely scrutinized before the
customer walks back. Now lets look at some of the salient requirements of AOF and
their importance.

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CURRENCY AND TYPE OF ACCOUNT
It offers you all the eight different types of accounts mentioned before. First understand
why the customer is here and what type of account suits him a lot. Scale down all the
options suiting his investment or requirement and help him choose what is best for him.
Outline all the salient features of that particular account to him and make him tick the
best box.
Mark the currency box if the customer wishes to deposit in currency, in case, other than
PKR.

NATURE OF ACCOUNT
Understand and choose the desired nature of account.

INDIVIDUAL ACCOUNT (SINGLE/JOINT)
Determines if the account is personal or joint. Once again understand your customer
here. Illiterate and gullible customers should better opt for joint account for their own
security.

PARTICULARS OF ACCOUNT
First of all the title of account is entered by which it will be called off. Following is the
Key/Secret Word of six characters which is mostly preferred to be mothers name
because its simple unforgettable. Key word is used to verify the customer on phone or
while other subsequent inquiries. Next comes the mailing address; where the bank
should mail anything it has to. Next is the permanent address of the customer, which
should be copied from the CNIC of the customer. E-mail address is mandatory for Net
banking and e-statement facility whereas Mobile number for mobile banking. Lastly, it is
your choice to hold your statements for collection or mail it to you.
Here make sure mandatory fields are entered and any valid contact number must be
provided.

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PERSONAL INFORMATION
Following portion summarizes social with standing of a person. Applicants name,
Fathers or husbands name, gender, marital status, Date of birth, nationality, country of
residence and identification source and its number should be enter. Make sure the
source of identification is not expired. Enter NTN if available. Know the occupation of
the applicant and check the respected box.
In case there is more than one account applicant, fill in all the above mentioned
information for other applicant as well.
*Its a good practice to ask for the original identification source of the customer and pen
down the number and expiry date directly from it.

NEXT OF KIN
In case if the account holder is somehow not contacted, this portion provides
information of the person who should be contacted instead. Persons name,
relationship, address and Telephone number should be provided.

BUSINESS ACCOUNT
Determines that the party has its own entity under which the account will be
supervised. Match the respected category and check the box. The customer is marked
as a walk in, marketed or referred customer. Name of parent and other companies are
entered. Geographical area of activity is mentioned. How the business earns is
mentioned to know the business type. Then similarly mode of transaction, ultimate
beneficiary, initial deposit and approximate maximum value of transaction per month is
recorded.
*Finally after fulfilling all the necessary requirements, the officer here by recommends
to open the account of the customer.

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PARTICULARS OF ACCOUNT
Here the information about the business is filled in. Title of account, company/business
name, and nature of business, office/mailing address, head office /registered address,
office email and NTN are mandatory information required for business account. CNIC is
required in case of sole proprietor ship and information of few persons are required
who can be contacted in case of companies. Here we need to know that who will be
operating the company accounts.

ADDITIONAL INFORMATION

Existing relationship with UBL
In case if the customer already has some relationship with UBL, it should be mentioned
here. This is just in case to formally know and cross check the customers provided
information.

Existing relationship with other banks
This is to know what relationship the customer has with other banks, if any.

UBL Wallet ATM/Debit Card
Here first define your customer what ATM card is, what are its features and what is
the difference between its different options. Enter the name of the customer in
Name on card field. Then is the option of supplementary ATM card. A customer can
issue up to 9 supplementary cards. If supplementary card is required, a UBL Wallet VISA
card requisition form is filled in which details about supplementary card holders is
penned.

Zakat Deduction (only on PLS A/C)
PLS account holders can directly pay Zakat from their accounts, if they are willing to.

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Other UBL Products
Account holders can opt for UBL Netbanking, UBL Orion, Credit card, Personal loan, Car
Financing, Mortgage and Business Finance.

Operating Instructions
This identifies the signing authority of the account. It can be operated singly, either or
survivor, jointly, mandate or by any other in special cases.

Statement of Accounts
This specifies how early the account statement is required. It can be daily, weekly,
monthly, quarterly or semi annually. Customers can choose Mail or e Statement or both.

Special Instructions
Special instructions, if any, are registered here. It usually certifies further theoperating
instructions of the account.

Account referred by
Detail of person referring the customer is entered here.

Terms and Conditions
These terms and conditions outline the policy of bank about its accounts regulations.
Abidance by state bank laws and banks policy is compulsory and customers signature
at the end of the statement is his abidance by the law

Indemnity and Undertaking
Here the customer agree by the bank policies and agree to its terms. Applicant signs the
undertaking and officially agrees to be a part of UBL.
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*As an account opening officer, you must enclose all the signatures and should verify
them. Every cutting on the AOF should be verified by customer's signature, and officer
should verify the customer's signature.

FOR BANK USE ONLY

Special Category of Account
If the account is of minor, UBL staff, Illiterate, Blind or Registered Alien, it should be
checked respectively. Passport size Photographs are required in this case and customer
can only make the transaction personally. Make sure signatures are not too simple or
shaky. If so, again passport size photographs may be required and transactions can only
be made personally for customer's own security.

Service Charges
This is the minimum balance penalty which is applicable to all except students,
mustahiqueen of zakat and government employees' salary or pension purpose accounts

Know You Customer
Here's an assessment that the account opening officer do in order to understand some
aspects of the new customer relationship.

Individual Account
The customer is marked as walk in, marketed or a referral; he/she is a public figure or
not. Moreover what will be the customer's sources of funds? What would be the usual
mode of transaction and what would be the intentions of account with UBL. Who will be
the ultimate beneficiary and what the approximate value of transaction per month is.

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DOCUMENTATION TO BE OBTAINED

Individuals
Photocopy of CNIC/Alien Registration No./ passport
Photocopy of service card/employment card/student card

Sole Proprietorship
As above and NTN/Sales Tax Registration Certificate
Application to open account on sole proprietorship letter head
Rubber stamp of sole proprietorship is to be affixed on AOF and SSC.

Partnership
Photocopy of CNIC of all partners
Application to open account on partnership letter head signed by all
partners
Attested copy of Partnership deed
Copy of Registration certificate with Registrar of Firms
Authority letter in favor of person is responsible to operate the account.
Rubber stamp of partnership is to be affixed on AOF and SSC.

Joint Stock Companies
Certified copies of Resolution of BoDs for opening of account and
certifying the person responsible to operate it
Memorandum and Article of Association
Certificate of Incorporation and Commencement of business
CNIC of all the directors
NTN/Sales Tax Registration Certificate
Rubber stamp of Company to be affixed on all documentation
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Clubs, Societies and Associations
Certified copies of:
Certificate of registration
By-Laws/Rules and Regulations
Resolution of governing body to open an account, certifying the person
responsible to operate it.
NTN/Sales Tax Registration Certificate
Rubber stamp of Company to be affixed on all documentation

Agent Accounts
Certified copy of 'Power of Attorney'
Photocopy of CNIC

Trust Accounts
Photocopy of Certificate of Registration
Photocopy of CNIC of all trusties
Certified copy of instrument of trust

Executors and Administrators
Photocopy of CNIC of Executor/Administrator
Certified copy of Letter of Administration or Probate

SPECIMEN SIGNATURE CARD (SSC)
Whenever a customer visits us to make a transaction, we cannot all the time verify his
signature by AOF. For this purpose SSC is signed and then scanned into the system. So
whenever the signature requires verification, it can be done through systems next to
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employees. SSC comprises of Branch code, A/C No., date, customer's name, special
instructions and two signatures.

CHEQUE BOOK REQUISITION FORM
At the opening of account, this form is filled, identifying the account number, number of
leaves and whether to hold cheque book for collection or to mail it.

LETTER OF THANKS
A letter of thanks is dispatched to the mailing address of the new account holder and its
copy is attached to the AOF. Actually this letter of thanks is for the confirmation of this
fact that customer actually lives at the mentioned address.

ATM BALANCING PROCEDURE
The balancing of ATM maintained in those branches maintaining the UNIBANK 2000
system. The branches which are converted to SYMBOLS have no need of process of ATM
balancing. The cashier put cash in the cassettes of ATM Machine in early morning. Then
the Role of previous days off line and online transactions is given to RBO. The RBO check
the role, and mark those transactions, which have icons of withdrawals and approved
together, put offline transactions in the system and updated.

The online transactions are checked through the list and role provided from the ATM
Machine. The Cash remaining in the ATM machine balanced daily. The figures are
matched that how much cash is uploaded in the ATM machine, and how much
remaining in the ATM.

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HUMAN RESOURCE DEPARTMENT:
The most important asset of UBL is its people. To maximize its work force investment,
the Aim of the Human Resource department is to enhance the UBL as the best place to
work.
In the area of Human resources their goal is to maximize the return on the banks
annual $4 billion investment in personnel expense by improving efficiency of HR
operations and the Effectiveness of all UBLs. For this purpose and to follow the
instructions regarding HR the department of HR plays an important role.
The main functions of this department are to:
Assess the need of employees where, ever required.
Provide equity opportunities for all the applicants.
Select the most appropriate person for the job.
For the purpose of selection conduct interviews, tests etc.
Provides training opportunities to the employee both on the job and outside job.
Motive the employee through the programs adopted by the head office.
Evaluate the performance of the employees with the help of their immediate
boss.
Recommend reward and promotion for the employees.
Objectives of the Human Resource Department
To accomplish the organization goals and support its strategies HR dept. has the
following objectives.
To establish employee recruitment and selection system for hiring the best
possible employees consistent with the organization needs.
To maximize the potential of each employee in order to attain the organization
goals and insure individual career growth and personal dignity.
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To retain the employees whose performance helps the organization realize its
goals and release those, whose performance is unsatisfactory?
To ensure organizational compliance with state and federal laws those are
applicable to HR management function.

Recruitment and selection
Human Resource is the most important assets of the organization. It is with the people
that quality performance really begins and ends. Recruitment represents first contact
that a company has with potential employees. A well-managed and well-planned
recruitment effort results in quality applicants.
UBL has very well planned and well-managed recruitment process .UBL recruitment
process begins with the determination of current and anticipated (short-long term)
personnel needs. After it the requirement of the job are determined by combining the
job specifications. They first try to recruit people internally. If the applicants are not
available internally then they go for external recruitment.
Performance Appraisal
Performance appraisal is the process of assessing qualitative and quantitative aspects of
an Employees job performance. The UBL performance appraisal process answers the
following questions:
How well am I doing?
How can I do better?
How well are our employee doing individually and collectively?
The appraisal program of the bank has different methods and different categories of
employees. For clerical staff, they are using job description method. For managers they
use performance planning and coaching evaluation (PPC & E) programs. It is similar
concepts like management by objective.
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REMITTANCES DEPARTEMNT:
Current business trends demand fast movement from one geo-graphic end to another.
Latest technology and telecom data transmission has made it possible to make such
transactions with in minutes. UBL Fride Gate Branch Remittances Department performs
following functions.

Meanings of Remittances:
Remittance is transfer of funds from one place to another or from one person to
another.
A Remittance is an important service provided by banks to customers as well as non-
customers. Since it is not a free service it is a source of income for the bank.
Parties involve in remittances:
Four parties involved in remittance:-
Remitter
Remittee
Issuing Bank
Paying Bank
Remitter:
One who initiates, or requests for a remittance. The remitter comes to the issuing or
originating branch, asks for a remittance to be made, and deposits the money to be
remitted. The bank charges him a commission for this service. He may or may not be the
branchs customer.

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Remittee:
A Remittee is also called the beneficiary, or the payee. The person in whose name the
remittance is made. A remittee is also the one who receive the payment.
Issuing Bank:
The bank that sends the remittance through demand drafts, telegraphic transfers, or
Mail Transfers is known as issuing bank.
Paying Bank:
Paying Bank also knows as the drawee bank and the bank on which the instrument is
drawn. It has to make the payment (usually located in a different city or country).
Kind of remittances:
Transfer within the branch
Transfer from one branch to another
Transfer from one bank to another bank in the same city
Transfers from one bank to another bank in the different cities.

CASH OVER THE COUNTER
The COC is used for the encashment of the Foreign Remittances. The amounts which are
transferred to UBL from different countries are enchased through that procedure. The
following details are required from the customer, the Original CNIC with Copy. The
supervisor asked the customer from where the remittance received and who send.
The payment is only given to those persons who provide the name of sender and
receiver along with the original CNIC.

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1: DEMAND DRAFT (D.D)
D.D is issue by branch of the bank drawn on other branch of the same bank.

PROCEDURE FOR D.D:
Purchaser is asked to fill in an application form duly singed by applicant. Three things
should be maintained in the form.
Name of Payee
Place of payment
Amount of D.D
Commission is charged on D.D as bank income. The applicant is asked to deposit the
cash specified on the application form to the teller. After depositing cash the
remittances in charge prepare a D.D. That is singed by two officers must having power
of attorney. Bank also provides this facility to public who do not have account in UBL.
They will have to submit a N.I.C copy along with D.D application form.

DEMAND DRAFT RATES
DDs are always a secure way of paying remittances in other cities. Both account holders
and walk in customers can avail the facility of DDs.
Charges for DDs are:
Up to Rs. 100,000/- 0.10%, Min Rs. 100 for A/C holders
0.20%, Min Rs. 200 for Non A/C holders
Over Rs. 100,000/- 0.05%, Min Rs. 150 for A/C holders
0.15%, Min Rs. 250 for Non A/.C holders
Issuance of duplicate DD Rs. 150 for A/C holders
Rs. 250 for Non A/.C holders
When DDs are issued, head office accounts are debited and remitters account is
credited, on presentation, head office account is credited and beneficiary's account is
debited.

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2. TELEGRAPHIC TRANSFER (T.T)
Transfer of funds to another branch of the same bank with the help of test numbers. If
the test number agrees the bank make payment to the party.
PROCEDURE FOR T.T
The procedure for T.T is same as D.D. But in D.D it is given on a printed-paper and singed
by two officers but, in T.T, only test number is given to the customer.

3. MAIL TRANSFER (MT)
When the money is not required immediately, the remittances can also be made by MT.
Here the selling officer of the bank sends instructions in writing by mail to the paying
bank for the payment of a specified amount of money. The payment under transfer is
made by debiting the buyers account at the sending office and crediting it the
recipients account at the paying bank. UBL takes mail charges from the applicant where
no excise duty is charged.

4. PAY ORDERS
Pay order is banker cheque issued favoring a named beneficiary. Application for the PO
stamped and the customers account balance is checked or cash received for the
amount PO and other charges. Pay Order leaf is typed and crossed if required and
signed by two authorized persons. Thereafter it is delivered to the customer. PO can be
cancelled at original purchasers request in writing and surrender the instrument, which
then marked canceled along with other documents and prior entries.

RUPEE TRAVELER CHEQUES:
UBL has launched R.T.C Brand named Hamrah in November 1996. These are issued to
applicants with varied denominations without excise duty and commission. When issued
HO account is credited and on encashment the same account is debited. RTCs lost cases
are communicated to HO and client is either repaid or new RTCs are issued to him/her.

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SECURITY DEPOSIT RECEIPTS (SDR)
Security deposit Receipts are your safe way of making payments. Not only its free of
cost for A/C holders, it also offers you the best liquidity solution as the cash
continues to be with you until and unless your deal gets final and you pay off. In case of
cancellation, it's also free of cost for A/C holders and their amount is returned to their
normal account balance.
*for non A/C holders, Rs. 250 is charged. Duplicate fee is Rs. 250 (flat)

PAY ORDER RATES
POs are another safe way of paying your remittances within the city. They are payable at
any branch and then are forwarded for clearing. There charges are

Issuance of PO Rs. 75 for A/C holders
Rs. 250 for Non A/C holders
Cancellation of PO Rs. 75 for A/C holders
Issuance of duplicate PO Rs. 150 for A/C holders

In case of PO, remitter account is credited and PO A/C of branch is debited. At
presentation, Beneficiary is debited and PO A/C of branch is credited.

UNI REMOTE:
Uni Remote is the online facility of depositing cash to any account in UBL. With on-line
banking, you are connected to the complete network of UBL all over Pakistan. Uni
Remote charges are Rs. 200 for cash withdrawal and Rs.100 for cash deposit.
This is a new tool for the transfer of money. This is a step towards the online banking
taken by UBL. This tool transfers money from one branch of UBL to other through
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electronic transfer. The customer will have to fill the deposit slip. On the slip he will
write the name and account number of the person to whom the money will transfer, the
name of the branch is also written. The amount is deposited with teller and the receipt
is shown to remittance in chraged. One I.D copy is also attached with slip. The
remittances in charge will transfer if by using device (computer) through online service.
The fund transfer is must be supervised by another authorized officer. Every time for
this is five minutes.

Major Withdrawals
The withdrawals made by the customer in previous day, over one million are noted
here, in the sheet, after completing signatures of supervisors and manager. It is filed.

Daily customer transactions
In this sheet all the daily customer transactions are noted, after signing it is also filed.
Subsidiary Ledger:
It is also Called 110. It is also completed daily.
Daily Over Rides;
It is completed daily also.

The operational Works at start of the day:
The checking of opening of cash, How the cash counter is opened , how the cash is put
into the counter, the opened cash , is recorded in the registers, the CSOM make sure
that the cashier will not take unsorted cash. The cameras and metal detector and other
electronic instruments are working properly.
Ending the Day:
In end of the day the QUIEMATRIC which is token a machine, we check its time and it
makes all the day. The cash is closed at what limit, and how much sorted and unsorted
cash left in the locker, noted in the relevant Registers.

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FOREIGN EXCHANGE DEPARTMENT
The main functions of foreign exchange department are:
To open the letter of credit (LC) facilitates imports and export.
This department also deals with foreign currency accounts.
This department deals with inward & outward remittances.
This department also performs some general functions relating to foreign
exchange e.g. private travel exchange quotas, business travel quotas etc.
This department also deals in foreign currency accounts.

Procedure to open an Account in Foreign Currency
There are two types of foreign currency account:

For Residents
Pakistani resident can open the account in foreign currency and following documents
are required.
Photo copy of ID card
Foreign exchange
The remaining process is same as in the case of local currency account.
For Non Residents
Following documents are required:
Photo copy of passport
Photo copy of Visa
Further process is same

Closing of the Account
The same procedure can be used to close this account as in case of local account.

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Advantages of Foreign Currency Account
No withholding tax
No compulsory deduction of Zakat
No wealth tax is taken
No question about source
Credit card and loan facilities are available
The depositor can get 75% of the loan of their deposits as a loan at low rate.
No permission of any authority
It saves from devaluation

Foreign Remittances
To transfer money abroad and to bring the funds in country remittances are used. It is of
three types.

Foreign Currency Demand Draft
The sender can make the foreign currency payment by purchasing a bank draft from
branch. Then it is dispatched to receiver. He can claim it from responding branch.

Requirements:
The debtor must be foreign account holder of UBL.
He must mention the name of foreign bank.
The Govt. must allow the purpose of remittance.

Foreign Mail Transfer:
The UBL issues the order for the payment to the responding branch by mail. After
receiving the letter the responding branch can make the payment.

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Foreign Telegraphic Transfer:
The branch manager sends a telegraphic message to the responding branch to make the
payment to the ultimate client.

Letter of Credit:
LC is a written undertaking by a bank given to the seller, at the request and on the
instruction of the buyer to pay at sight or at a determinable future date up to a stated
amount within a prescribed time limit and against stipulated document.
Parties involved in LC are;
Buyer (Applicant)
Seller (Beneficiary)
Bank (Issuing Bank)

Condition for Operating LC:
Importers have to fulfill the following conditions before submission of credit
application.
Importer must be Pakistani
Party should be the a/c holder of that bank where he will open LC
LC should be established within 60 days from the date of issue of license.
Merchandise can be shipped within 12 months from the date of issue of import
license.
Insurance amount should be covered locally.

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COLLECTION DEPARTMENT
Collection department also plays an important role in the operations of trade finance of
UBL. This facility is also provided to the exporters. The difference between letter of
Credit and Collection is that letter of credit when accepted is become the liability of
bank while collection is not the liability of the bank but upon the performance of the
exporter and the importer. It is not a conditional under taking by the bank. Collection
is the handling by bank of documents, in accordance with instructions received, in order
to:
Obtain payment and /or acceptance, or
Deliver documents against payment and /or against acceptance, or
Deliver documents on other terms and conditions.

For the purpose of collection department, there are two types of documents:
1. Financial documents: -means bill of exchange, promissory notes, cheque, or
other similar instruments used for obtaining the payment of money.
2. Commercial Documents: - means invoices, transport documents, documents of
title, or other similar documents whatsoever, no being financial documents.
3.
There are two types of Collection:
1. Clean collection, and
2. Documentary collection.
Both these collection, methods are performed by the collection department.

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1. Clean collection:
Collection of financial documents not accompanied with commercial & transport
documents are called clean collection e.g. collection of Cheque demand draft, dividend
bill of exchange promissory note etc.
2. Documentary Collection:
Documentary collection is the collection of:
Financial documents accompanied by commercial documents ;
Commercial documents not accompanied by financial documents;
Documentary collection is also an instrument available to the Exporters.

Method of payment:
The payment from the importer through yet presenting bank may be received one of
the following ways;
Payment without Delay:
Amounts collected (less charges and /or disbursements and /or expenses where
applicable) must be made available without delay to the exporter, in accordance with
the terms and conditions of the collection instructions.
Payment by Acceptance:
If the payment is by acceptance then the bank will accept the draft and made the
payment when it will be received from the importer. When the payment is received it is
credited to the account of the exporter and the account of the bank is debited.

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Outward bills for collection
Meaning of OBC:
When an instrument is drawn on a bank, which is located outside the city, its proceeds
can be collected through a mechanism called Outward Bills for Collection (OBC).
Features:
Remunerative
Transfer of funds between cities
Collecting Bank work as an agent
Collecting Bank is the holder in due course
For OBC party must be the account holder of UBL.
Inward Bills for Collection:
If any other bank sends a cheque of United Bank Limited, it is Inward Bill for Collection.
UBL remits money after checking the balance of the customer account.
The process of collection starts when the cheques of Bank UBL are received from other
banks. Then these cheques are sent to the Head Office Karachi, which sends the
cheques to SBP for clearing and get the confirmation of cheque and credit advice. Main
activity of clearing is performed by Head Office, which contacts other banks through
SBP.

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CREDIT DEPARTMENT OF UBL
Credit extension is the principal function of a bank, through which pace of activity is
accelerated in the various sectors of economy. Also the indicators, which mainly reflect
the high quality of banks management, are its prudent financing decisions, proper
control of finance and prompt recovery. In this regard the credit policy of a bank play a
very important role as it provides the overall framework, responsibilities, and
authorities and facilitates of decision-making. Credit department performance is subject
to a defined policy on credit control exercised by the SBP. SBP affect credit decisions
through the weapons of bank rate, open market operations, variable reserve
requirements, selective credit restrictions and prudential regulations.

UBL CREDIT POLICY:
Credits operations are undertaken in accordance to banks credit policy. The policy
strictly are prohibits violation of SBP/Local central banks rules and suggest financing of
self-liquidating, cash flow supported and well collateralized transactions, which equate
the principle of lending (safety, liquidity, dispersal, remunerations and suitability).

FACILITIES OFFERED BY UBL FRIDE GATE BRANCH
Running Finance (for one year)
Demand Finance (3to 5 years)

PROCEDURE FOR FINANCING FROM UBL
When a party comes for financing, banker will ask the following questions.
1 PURPOSE:
In this the party mentions the purpose; they want to apply for the finances. No lending
is done without purpose.

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2 BUSINESSES
The party must have some specific running business i.e. general merchandise,
construction business etc.
The second question arises of the cash flow that how much flow is generated by the
party from the current business.
3 SECURITIES:
The bank will secure itself against the lending. There can be two type of security.
Commercial
Residential
The bank prefers commercial security. Relationship Manager (RM) is mainly responsible
for the relationship between the banks and party. He acts like a bridge between the
two.

In the first instance, the party would prepare the following property documents.
AKS Shajarah
Naqsha Tasveeri
Approved Building Plan
Tresh fard
Intaqal Naqal

The party is asked to contact any valuator on the panel of UBL. ICM&L and Tajak Builder
are on the panel of UBL Fride Gate Branch. The valuator will visit the site and set market
value and FSV of the said property. He prepares report of at least three pages. These
documents sent for one page legal opinion to any layer on the panel of UBL. Having
clear legal opinion (RM) is start preparing credit Approval 30(CA). The documents are
singed by the RM & AM and then forwarded to UBL RHQ in Peshawar. Here SRM
examines the CA if he found some exception he will send it back to the respective Rm.

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RM rectifies the acceptation and sends it back to SRM. SRM studied and pass it to credit
officer. He has three hours of time to study the CA and if found correct then he pass it to
another credit officer. After his examination the CA is passed on to the credit risk
manager. He checks the CA and after signing it sent to CAD. He forwards the CA to SCO.
Whose office is at UBL RUCO at Lahore, after his signature the C.A is sent back to RCAD.
RCAD make a check less list and asked the RM to contact the party to complete the said
documents they are.
Letter of continuity
Personal Guarantee
Letter of hypothecation of stock
D.P Note
Mortgage Deed
NIC of executants and witness
Stock report
Insurance policy
Party profile

After completion of charge document RM send it to RCAD when they found it correct,
they issues DAC. A copy of DAC is sent to RM, NICF account is opened, and debit
transaction starts. As the main sources of funds for the bank is their deposit. Bank does
not keep these deposits in save with it. A bank has to pay interest to the depositors and
also to meet its operating expenses. So for a bank proper utilization of funds is the most
important thing. Bank can utilize these funds in the following ways.
Invest funds in government securities
Invest in portfolio of shares in the stock exchange, or
Lend these funds to other individuals or organizations.

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The main features of this department are
It provides loans to different organizations and against these loans kept securities;
Proper judgment of these securities is also their duty. Proper judgment of securities is
the most crucial event in the process of lending. Because in the case of default securities
are the only compensation to the bank. Default mostly is the result of improper
judgment.
In the process of judgment they follow the following principles:
1. Safety
Character
Capacity
Capital
2. Liquidity
3. Dispersal
4. Remuneration
5. Suitability

Safety:
As the funds with UBL are mainly comprised money borrowed from depositors. They
deposited their funds because they have trust and confident on them. Therefore they
are very much careful while lending, so that the money goes in safe hands where the
risk of loss does not exist. The elements of character, capacity and capital help them in
arriving at a conclusion regarding the safety of loans.
Character:
It is the most important factor in deterring the safety of advances. A borrowers
character can indicate his attention to repay the advance since his honesty and integrity
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is of primary importance. If the past record of the borrower is not good than his
integrity is questionable and there is high risk of default or bad debt.
Capacity:
This is the management ability factor that tells how successful business has been in the
past and what is its future. This factor indicates whether borrower will be able to pay
interest and principle amount borrowed through the functions of the business or not.
Capital:
This is the monetary base, because the money invested by the borrower himself
represents his faith in the business and its future. UBL provide short term capital for
commerce and industry, yet some borrowers insist that bank provide them most of the
capital required. So the bank while lending must consider the amount requested for is
reasonable in relation to borrowers own resources or investment.
Liquidity:
It means the ability of recovering the advances in emergency, because all money
borrowed is repayable in lump sum on demand. The UBL has to ensure that the funds
being lent are not blocked for an undue logon period of time, and borrower is in such a
position to pay the entire amount outstanding against them on a short notice.
Dispersal:
The dispersal of the amount of the advances should be broadly based so that a larger
number of borrowing customers may benefited from the bankers funds. It is also
restricted, by the SBP; a bank cannot lend more than 20% of its capital to one party.
Dispersal of loan is very necessary from the point of security as well, because it reduces
the risk of recovery when something goes wrong in one sector or in one field. For UBL
security is the main concern, so they act on this principle and follow it.
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Remuneration:
The UBL needs sufficient earning to meet the following obligations.
Interest payable to the money deposited with him.
Salaries and fringe benefits payable to the staff members.
Overhead expenses and depreciation and maintenance of the fixed assets of the
bank.
An adequate sum to meet possible losses.
Provision for reserve fund to meet unforeseen contingencies.
Profit to be remitted to head office by the operations in Pakistan.
A major portion of UBL earnings comes from the interest charged on the money
borrowed by the customers.
Suitability:
It means that advances should be allowed not only to the carefully selected and suitable
borrowers; but also in keeping with the overall national development plans chalked out
by the authorities concerned. Before accommodating a borrower UBL has to ensure the
lending is for a purpose in conformity with the current national credit policy laid down
by the SBP. Credit control is very efficiently exercised in Pakistan by the SBP, so UBL
should never ignore any of the restrictions issued by it.
Cash Finance/Credit
Following are the characteristics of cash finance:
Cash finance is a very common form of borrowing by the commercial and
industrial concern.
This facility is allowed to a customer up to a certain limit.
This facility allow against pledged hypothecation and produce of merchandise.
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The borrower refers this form of lending to paying mark-up/service charges of
the actual amount he utilized.
If the borrower does not utilized the full limit the banker has to bear the loss on
the unutilized amount. in order to offset this loss, the banker has prepared a
suitable clause on the cash finance agreement according to which the borrower
has to pay the mark up on one third or one quarter of the amount he has
allowed even he does not utilized it.
Overdraft
UBL provides this form of lending service, when a customer/borrower requires
temporary accommodation. UBL allows withdrawals on his account indexes of the
balance, which the borrowing customers has in credit. This facility is provided against
collateral securities, and known as secured overdraft it can also availed against
personal security, if a person is reliable to UBL And known as clean overdraft the
customer has to pay interest/services charges only on the balance outstanding against
him. The main difference between cash finance and overdraft is that cash finance is
used for long term, while overdraft is a temporary accommodation.
Loan
Loan is the borrowing of a fixed amount repayable either in periodic installments or in
lump sum at a fixed future time. Loans are of the types;
Secured loans
Unsecured loans
Clean loans.

There are two types of advances, which UBL provides:
Fund Base Advances
Non-Fund Base Advances
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Fund Base Advances
These are those advances in which actual payment of funds is involved. These funds
again have been divided into two types.
Running Finance or Cash Finance
This is a loan, which is provided only to the running businesses to meet their working
capital requirements. The bank decides limit on continuing bases. It means that the
customer can draw the amount, as much he is required as approved by the bank. He
can deposit and withdraw the amount on his account. The markup is payable on the
outstanding amount only.
Demand Finance Facility
The bank on demand provides this facility. It means that the bank pays the full amount
to the client and mark up is also payable on the full amount. The bank considers the full
amount outstanding. The bank provides also facility of loan to its own employees
against the security of their immovable property. The rate of mark up on these
advances is lesser as compared to the rate of mark up on the other advances.

Non- Funded Based Advances:
There are two types of this loan
Issuance of Letter of Credit
Issuance of Letter of Guarantee

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CLEARANCE DEPARTMENT
CLEARING OF BILLS
Bank can make payments of only open Cheques on the counter payment. Payment of
cross Cheques cannot be made on counter its payment is possible through 31collecting
bankers. The function of clearing department is divided into two main classes.
Inter Branch Transaction
Inter Bank Transaction

PROCEDURE OF CLEARANCE OF CROSS (CHEQUES)
Whenever bank receives a cheque of other bank from the client he cannot make
payment on the counter. The first job banker has to perform is to put a special crossing
across the face of cheque. By special crossing cheque is secured. If it is stolen the paying
banker would not suffer because of non-endorsement. On the back of the cheque the
stamp is made of payee account will by credited on realization. It is signed by authorized
person. The half part of slip is given back to the customer. after the special crossing and
is necessary endorsement the banker write the amount along with cheque number on
paper and attach with each slip. Then again on the smile paper the amount of all the
Cheques along with the bank names are added and attached to cheque presented for
clearing, and advice is also attached with the cheque presented for clearing. The
following entry is passed on sending the cheque for clearing.
Bill lodged for clearing . Dr
Bill for collection . Cr
The Cheques are sent on the same day for clearing. The bank receives it on other day.
The paying bank receives the receipt and the amount is credited in the respective
account. The paying banker passed the following.
Bill for realization . Dr
Bill lodged. . Cr
The other entry passed its Dr. HQ account and Cr Party account.
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I B C:
It means Inter Branch Transaction when UBL received a cheque a drawn on the
customers of his branch; first they will cheque the amount in the account on which
cheque is drawn. Of the required amount is available in the account they will match the
signature on the cheque along with their SS card. If all the requirement are completed
the bank will send an IBCA to the bank from which cheque is sent

L B C:
LBC means local branch cheques received for collection. UBL fride gate branch, received
cheques from their spoke braches as well as from other UBL branches of the country,
drawn of any other bank in Nowshera. They send the cheque to responding bank and
after clearing the cheque through clearing houses (which is NBP) in Fride gate branch.
They send LBC advised to the bank from which the cheque was received. The following
entry is passed after sending LBCA.
NBP a/c . Dr
Ho a/c. Cr
O B C
When bank receives the cheques from its customer or any other spoke branch that
drawn on any other bank of any other city. They sent the cheque to the UBL main
branch of that city, after receiving OBCA the bank will pass the following entry.
In case of his own customers,
Ho a/c. Dr
Customer a/c. Cr
In case of spoke branch,
Ho a/c. Dr
Spoke Branch a/c. Cr

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CLEARING OF CHEQUES:
OUTWARD CLEARING
My experience at Fride Gate branch started from the clearing department. Right in the
morning cheques collected from the drop box simply flood over my table. According to
all I learnt through listening, viewing and questioning is summarized below.

DOCUMENTATION OF CONSUMER CHEQUES:
All the cheques collected are first categorized into
Credit Cards
Auto Loans
Personal Loans
Cash Line

Having categorized, firstly loan number of each cheque is verified. For the verification of
the prescribed loan number, following ledgers are credited
Credit Cards G3540223
Personal Loans G3540627
Auto Loans G3540601
Cash Line G5610014 (Head Office)
Verified cheques are then validated before being documented into drop box collection
sheet for our daily drop box collections record. To anticipate the approval of cheques,
we need to validate some important specifications of all the cheques. They are:
Date: Cheque should not be postdated or out of date.
Figures: Amount in words and figures should match.
Signature: Drawers signature must be clear.
Intercity: Cheques must not be of other cities.
Payees Name: Payees name should be written, and endorsement should be as
per the beneficiary of the cheque.
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There should be no over writing in everything penned.
All the filtered cheques are then entered into the collection sheet in which following
information is entered.
Cheque No.
Name of bank
Name of Customer
Loan No.
Amount
Document No.
All the documented consumer cheques are then posted into the system.

POSTING OF THE CONSUMER CHEQUES
For clearing, we opt for second option in banking category, and after entering the
posting date, clearing date and transfer delivery date, we opt for single entry option.
Now all the cheques are credited in the clearing schedule in their prescribed ledgers.
Credit Cards G3540223
Personal Loans G3540627
Auto Loans G3540601
Cash Line G3590991 (Miscellaneous)

CREDIT CARDS CHEQUES: G3540223
During the posting, following fields are keyed in
1. Debit/Credit
2. Account Number
3. Bank
4. Branch
5. Credit Card Number
6. Cheque Number
7. Amount
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PERSONAL LOANS CHEQUES: G3540627
1. Debit/Credit
2. Account Number
3. Bank
4. Branch
5. Transaction Type (Loan Repayment)
6. Personal Loan Number
7. Cheque Number
8. Amount

AUTO LOANS CHEQUES: G3540601
1. Debit/Credit
2. Account Number
3. Bank
4. Branch
5. Transaction Type (Loan Repayment)
6. Auto Loan Number
7. Cheque Number
8. Amount

CASH LINE CHEQUES: G3590991 (MISCELLANEOUS)
1. Debit/Credit
2. Account Number
3. Bank
4. Branch
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5. Cheque Number
6. Amount
Cash Line Cheques are posted into Miscellaneous Sundry account when they are
forwarded for clearing and, on clearance; they are transferred to head office
(G5610014; Tr # 60) where all those cheques are credited to their respective accounts.

CUSTOMER ACCOUNTS:
1. Debit/Credit
2. Account Number
3. Bank
4. Branch
5. Cheque Number
6. Amount

After entering the details into the system, we can accept, modify and reject it. As soon
as entry is accepted, computer generated document number is assigned.

In case further modification is required, it can be done at clearing modification option
under clearing schedule.
Following the completion of posting of cheques, an add list is prepared to calculate the
total amount of cheques which is further cross-checked with the clearing display on the
system. As cheques can be either of Rawalpindi or Islamabad, so separate add lists are
prepared and enclosed with the cheques in the NIFT envelopes.
In other case, if cheque is of city other than Rawalpindi and Islamabad, it's either sent in
intercity clearing or as OBC (Outward Bill Collection). Intercity is presented through
NIFT whereas OBC is either sent through Courier or Dispatched to the desired branch of
the bank.

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Stamps in each case is as follows

Types of cheques Stamps over cheques Endorsement
Local Consumer Crossing
Clearing
Received Payment
Local Commercial Crossing
Clearing
Payee's Account Credited
Intercity Crossing
Clearing
Intercity Clearing
Payee's Account will be
Credited upon realization.
OBC Crossing
OBC Number
Payee's Account will be
Credited upon realization.

CLEARED CHEQUES
Now the next day when clearing is confirmed by NIFT, respected accounts are debited.
We go into the banking option and in transfer; we debit all the respected accounts.
Same is the case with intercity and OBC cheques.
In documentation, debit and credit vouchers are made, which show total amount of
clearing as per day.

RETURNED CHEQUES
All the cheques which are returned, due to any reason, are then reversed. They are
debited back in the clearing schedule. All the returned cheques are documented in the
cheque return registers and all the account holders of returned cheques are charged
with service penalty.
All the vouchers are signed by the designated officer and all the entries over 50,000 are
supervised

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Product and services
UBL Complete range of Product
UBL has the vast range of products and offering products for both cooperate and
retailing sector in Pakistan
RETAIL BANKING PRODUCT:

DEPOSITS AND COMMERCIAL PRODUCTS;
UBL Business partner--Current account
UBL business Partner Plus- Current Account
Foreign currency term deposit certificate
UBL First Minor Account
Rupee transactional account-PLS Saving account
UBL Uniflex
UBL Unisaver
Certificate of Deposit
Foreign currency savings
LOANS AND CARD;
UBL Cash Line
UBL Address- Home Finance
UBL Drive- Auto Loan
UBL Agricultural Loan
UBL Small Business- SME Loan
UBL Sillah Mila
UBL Credit Card-Chip Credit Card
UBL WIZ- Prepaid Debit Visa Card
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o Shopping Card
o Music Card
UBL WALLET- ATM Card
UBL PERDAIS- CARD
WATAN Card.

CORPORATE PRODUCTS:

CORPORATE FINANCE;
Loan Syndication
Structured Finance
Term Finance certificates.
Credit Extensions
Over Drafts and Demand Drafts
Working Capital Finance
Import Financing
Receivable discounting
TRADE;
Documentary Letter of Credit
Documentary Collection
Funds Transfer
Investment and Cash Management
Current and PLS accounts.
Cash Collection
Utility Bills collection
UBL OMNI
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CONSUMER BANKING
You as an individual can gain and benefit the most through UBL Consumer Banking. In
UBL you get friendly, efficient and attentive personalized banking services - a unique
banking relationship experienced by each UBL client. You can utilize the following
services.

UBL ADDRESS
Owning a house of your very own is a cherished dream. A lot of
planning and hard work is involved in making this dream come
true. That is why, at UBL we aim to make your decision easier, by
offering you the right ingredients that can help you realize your
dream with absolute convenience.
UBL Address empowers you to become the proud owner of a home by offering a variety
of product and pricing options that are flexible yet affordable. So choose the best
product option and pricing to suit your needs. All product options are amortized and
range over a tenor of 3-20 years.

ELIGIBILITY CRITERIA:
Minimum monthly income: Rs.15, 000
Age: 23 to 65 years
Resident Pakistani
Self-employed businessman/professional or salaried individual
Minimum loan size: Rs. 500,000

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Mark-up Monthly, Principal Annually (20 years):
For the first time in Pakistan, UBL address provides an alternative to high monthly
rentals by offering a flexible repayment option to suit your cash flows:
Pay only markup for 11 months every year.
Pay 5% of principal along with the markup in 12th month every year.
Enables a fast principal repayment and hence lowers total markup over life of
the loan.
Installment reduce every year

PAY AS YOU SELECT (PAYS):
In addition to normal financing, UBL Address offers you the facility to design your own
repayment plan to suit your present and future expected cash flows.
PAYS-Up (10 yrs, 15 Yrs):
PAYS-Up allows you to start with low installments that increase every year.
PAYS-Down (10 yrs, 15 Yrs):
PAYS-Down (10 yrs, 15 yrs): PAYS-Down allows you to pay higher installments
initially, with installments reducing in subsequent years.
No pre-payment penalty after the initial 3 years. *The installment amount
mentioned is for indicative purposes.

FLOATING AND ADJUSTABLE RATE OPTION:
Floating Rate:
In this option, you get a fixed rate for a period of 12 months, that gets re-priced
annually.
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Adjustable Rate:
Your mark-up rate will be fixed for a period of 3, 5, 7, or 10 years, and will be adjustable
after the fixed rate period.
Zero Repayment Penalty Option:
The Zero Pre-payment Penalty option allows you to pay off your loan anytime after the
third year without paying any pre-payment penalty.
Makes paying off your loan amount so much easier
You can choose between the fixed rate and floating rate options

BUYING A HOME
Why rent when you can buy? Buying a home of your choice has never been so easy.
With a maximum financing limit of 80% you can easily buy a house or apartment that
best fits your requirements. So go ahead and start the search for your dream home
because with easy and affordable installments you need not think of renting a house
when you have hot UBL Address.

UBL BUSINESS LINE
UBL Business lines a complete solution to all your
Business Financing needs. With UBL Business
Financing facility, you can now take your business to greater and newer heights, and
achieve the level of success that you truly deserve. UBL Business line is a running
Finance facility that not only provides funds for growth but also enables you to
capitalize on profitable opportunities. With UBL Business line, now you will surely say.
Ab Hui Kamiyaabi Meri Manzill.Now, UBL Business line credit line is here to solve all
your cash flow problems. You can utilize up to Rs.10 million with the help of which you
now focus on your business expansion and growth.
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Features:

Utilize up to Rs.10 million:
Now, UBL Business line is here to solve all your cash flow problems. You can utilize up to
Rs.10 million with the help of which you can now focus on your business expansion and
growth.
LTV as high as 70%:
UBL Business line offers you the facility of availing a financing of up to 70 % of your
property value. Now that you can avail a higher amount against your assets, you can
plan your growth and expansion exactly the way you want to.

Mark up on utilized amount only:
With UBL Business line, now you no more need to pay for the entire credit line that you
own. Business line gives you the facility to pay mark up only on the amount that you
utilize.
Faster Processing:
After completion of your documentation requirements, UBL Business line promises you
a very smooth and fast processing, hence saving you time and frustration.
Wide Accessibility:
UBL Business lines availability in major cities like Karachi, Lahore, Faisalabad, Islamabad
& Rawalpindi, is complimented by UBL s countrywide branch network enabling our
customer to access his account, and deposit or withdraw cash, no matter where he
stands within the country.

Competitive Rates:
At UBL, you come first, which is exactly the reason why we offer our customer such
competitive rates that would facilitate him in leveraging his skills to the maximum and in
bringing about the success that he deserves.

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UBL CASH LINE
UBL Cash line is a flexible loan that provides you cash up to
Rs.500, 000 without any security requirements. It empowers
you to take control of your finance. UBL Cash line is aimed to make your life
easierZINDAGEE ASAAN. Whether you are a salaried individual or a businessperson.

UBL DRIVE
Accelerate your life; Drive the way that suits you! UBL Drive is a
unique auto financing product which offers you features,
option and flexibility unmatched by any other bank, because at UBL, You come first.

NEW CAR FINANCING
UBL Drive allows you to drive away in your own car by making a down payment of just
15% and to top that with low monthly installments.
Pricing Plan (Fixed Rate)
Tenure 1 to 2 years 3 to 4 years 5 years

Rate 20% - 21% 20.5% -
21.50%
21% - 22%
Pricing Plan (Floating Rate)
1 year Kibor + 4.5% to 5.5% * Floating rate is revised annually.

USED CAR FINANCING
With UBL Drive you can buy favorite used car (up to 5 years old) at the most affordable
rates.
Pricing Plan (Fixed Rate)
Tenure 1 to 2 years 3 to 4 years 5 years

Rate 21% - 22% 21.5% -
22.50%
22% - 23%
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Pricing Plan (Floating Rate)
1 year Kibor + 5.5% to 6.5% * Floating rate is revised annually.

CASH YOUR CAR
UBL Drive is not a car loan; its financing facility that gives you Cash on your car, you can
get up to 75% of your car value.

FEATURES
No Down payment Before Approval:
UBL Drive is the quick and hassle free route to the car of your choice. Offering you for
the first time in Pakistan, No Down
Payment and processing charges till your application is approved. After approval, you
can take your Purchase Order to any of our authorized dealers, pay the Total Cash
Outlay amount and simply drive away with your preferred car.
No Document Required:
UBL Drive offers you the option of auto financing without requiring any income
documents/proof at 5% additional equity
No Prepayment Penalty:
For the first time in Pakistan, UBL Drive offers you the option to pay-off your loan
amount anytime after the first year of financing without incurring any extra charge
(different financing rates will apply for this option).
Low Installment Flexibility:
In our fixed plan, you are offered a variety of affordable rates and installment plans,
suiting your needs.

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PAYS (Pay As You Select)
For the first time in Pakistan, UBL Drive allows you to choose from different repayment
options to suit your present & future expected cash flows:
Pays-up:
You can design your own repayment plan with installments increasing every year,
starting with low installments to suit your cash flows.
Pays-down:
Step down allows you to pay higher at the beginning with your installment reducing in
subsequent years. Your total payment during the duration of the loan remains very
affordable.
Free Car Tracking Device:
Enjoy security and complete peace-of-mind, as UBL DRIVE becomes the only auto
finance product, which offers you a free Tracker device installed in your car!
Insurance Options:
UBL Drive offers you the following insurance options:
Comprehensive insurance
Insurance financing for the first year
Deductible insurance (risk beyond a certain amount covered at discounted insurance
rates)

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UBL MONEY
UBL money, the personal installment loan from UBL provides you with power, Control
convenience and the flexibility to manage your financial requirements and realize on
your dreams. Its about buying new furniture or marriage expenses, financing the
education of your child or enjoying vacations abroad! UBL Money caters your needs
handsomely. You can borrow any sum between 50,000 to 500,000 (PKR) and payoff up
till 5 years. We know what you need at what time. Just give us the opportunity and let
us serve you best.
Features of UBL Money:
Flexibility
UBL Money provides you the flexibility to manage your monthly installments
according to your income stream. You can select any tenor from 1 to 5 years in
the multiple of 6 months.
Payment Options
You have the option of getting a Pay Order or transfer to an existing UBL
account, Balance Transfer Facility for Credit Cards, or any other loans.
Quick Processing Time
Your money will be delivered to you in the quickest possible time.
Exciting Feature:
Zero-prepayment penalty option
Complimentary Credit Insurance
Competitive mark up
Repayment Option:
You can pay your installments through a Repayment Account at designated branches.

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Eligibility Criteria:
You are eligible if:
You are within the age bracket of:
For salaried individuals 21-60 years
For self employed or Businessmen 21-65 years
Your monthly gross income is:
For salaried individuals Rs. 10,000/-
For self employed or Businessmen Rs. 25,000/-
You have been:
Employed for the last 6 months or have been in business for
the last 3 years.
You can use UBL Money to:
Pay off your credit card balance
Finance your child's education
Buy home accessories
Finance your vacations
Buy anything you wish

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UBL Agriculture Loan:
Farm Loans:
PRODUCTION LOAN:
Financing is available for Major and Minor crops across Pakistan. Main purpose of
financing is to facilitate farmers to purchase Agri Inputs such as Seeds, Fertilizers,
Pesticides, Sprayers, hired labor etc.
Revolving Credit Scheme:
Loan Tenure 3 years
Documentation once time in three years.
Cleanup once a year
Option for the farmer to use limit as per requirement Markup is charged
on amount used or withdrawn Minimum Amount PKR 30,000
Maximum Amount as per requirement of the farmer
Demand Finance Production:
Loan Tenure 3 months to 1 year
Months for Sugar cane only
Lump sum disbursement of the limit for a specified period.
Repayment of loan in bullet payment on maturity (Principal and markup).
Minimum Amount PKR 30,000
Maximum Amount as per requirement of Farmer

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DEVELOPMENT LOAN:
Land Development, Equipments and Machinery:
Financing for Land Improvement, Water course improvement, Tube wells, Lift pumps,
Deep turbine pumps, Cotton pickers, Godown, Cold Storage, Harvester, Thresher, etc
Loan Tenure 1 to 5 years
Lump sum disbursement of the limit for a specified period.
Repayment in installments (Principal with markup).
Repayment mode monthly, quarterly and half yearly
Maximum Amount as per requirement of Farmer

TRACTOR & VEHICLE FINANCE:
To purchase Tractors, Delivery Vans, Mini Trucks, Motor Cycle and other vehicles used
for marketing Agri Products etc.
Loan Tenure
1To 3 years for Motor Cycle
1To 7 years for Tractor
1to 5 years for other 4 wheel vehicles
Lump sum disbursement of the limit for a specified period
Repayment in installments (Principal with markup)
Repayment mode monthly, quarterly and half yearly
Maximum Amount PKR 1,500,000
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NON-FARM LOANS:
LIVESTOCK FINANCING
Dairy Farming, Meat Farming, Fattening of Animals, Rearing of Animals, Construction of
Sheds, Milk storage tanks, acquire and establish modern and efficient livestock facilities.
Monthly / Quarterly repayment mode for Dairy Farmers
Monthly / Quarterly / Half Yearly repayment mode for Meat Farmers
Maximum Amount as per requirement
Poultry Farm structure and equipments, Hatchery farm structure and equipments, Feed
Mills, Purchase of Chicks, Feed, Medicines, Storage tanks, Cold storage, Construction of
shed, etc.
Monthly / Quarterly repayment mode for all loans
Maximum Amount as per requirement
FISHERIES FINANCING
Fish seed, Fish feed, Manuring, Construction of pond, Curing by fishermen, etc.
Eligibility:
Should be a Pakistani & holding CNIC
Preferably an account holder of UBL
Permanent resident of the area
Should be Agri land owner
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Self cultivator
Minimum 3 years experience in relevant field
Not a defaulter of any bank
Have repayment capacity
Able to produce proper securities / Passbooks / sureties
UBL Silah Mila
UBL has designed a campaign for the first time in Pakistan to
acknowledge and reward customers who have shown
excellent performance in their loan repayments with other banks.
Rate Breaks/Lower Charges
Product Existing Rate Revised Silah
Mila Rate
Discounts (for
first year only)

UBL Credit Card 39% 36% 3%

UBL Credit Card BTF 24% 21% 3%

UBL Drive- for Existing Deposit
Relationship- Standard Plan
1 Year KIBOR
+ 4.50%
1 Year KIBOR
+ 4%
0.5%

UBL Drive- For Existing Deposit
Relationship- Used Car Financing Plan
1 Year KIBOR
+ 5.50%
1 Year KIBOR
+ 5%
0.5%

UBL Drive- For New to Bank Customers-
Standard Plan
1 Year KIBOR
+ 5.50%
1 Year KIBOR
+ 5%
0.50%

UBL Drive- For New to Bank Customers-
Used Car Financing Plan
1 Year KIBOR
+ 6.50%
1 Year KIBOR
+ 6%
0.50%

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OTHER SERVICES:
UBL Net Banking
UBL e-statement
Hamrah
UBL Wallet

UBL NET ANKING:
UBL Net Banking is an internet banking portal offering a simple, convenient and secure
method of accessing bank accounts on the internet. Its never being so easy to access
and manage your finances in a secure real-time, online environment

UBL E-STATEMENT:
UBL is pleased to announce the launch of the UBL e-statement facility which it easier for
you to get your statement of accounts and automated transactional debit/credit alerts
right into you inbox.

HAMRAH:
UBL has always been adding the forefront in identifying and meeting the financial needs
of its valued customers. UBL was a pioneers an introducing Rupee Travelers Cheque
facility in Pakistan, as early as 1971. In continuation of the same tradition, UBL in the
shape of, HAMRAH Rupee Travellers Cheque enhances this facility for the convenience
of its valued customers by offering denomination up to Rupees 10,000.UBL has a 24
hours customers help-line, providing its customers with round the clock tele-
verification of HAMRAH Rupee Travellers Cheques.

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UBL Credit Card:
Welcome to the world of UBL Credit Cards. Pakistans 1st Chip
Credit Card, which guarantees you both enjoyment and high
value. It assures you global acceptability in more than 22 million establishments
worldwide in 130 countries and in more than 12, 000 outlets within Pakistan. This
unique high tech CHIP guarantees your security while conducting transactions within
Pakistan and around the world. CHIP based credit cards have proven to be the most
secure way of conducting credit card transactions globally.
Visit selected UBL Chip Reward outlets and get exciting gifts on the spot. The more you
visit, the more you get. All you do is dip the Chip to win free meals, free household
goods, free electronic items, free clothes and a lot more.

A Choice of Rewards:
Along with exciting Chip Rewards you have a choice between Free Road Miles and Free
Talk Time. Spend Rs 5000 anywhere on your UBL Credit Card and get guaranteed 5
litters petrol free from any PSO outlet nationwide. If you spend more, you get more. So
keep driving, keep smiling.

24-Hour Customer Service:
By simply calling our 24 Hours 'You First Phone Banking' at 0800-11-825 or logging on to
UBL website www.ubl.com.pk, you can avail the following facilities on your UBL Credit
Card, 24 hours a day, and 7 days a week.
Complete access to your card account online including card transactions
and billing statements.
Chip Rewards Information.
Pay UBL Card Bills.
Cash Advance:
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You can now withdraw cash through your UBL Credit Cards instant cash advance
facility from any designated UBL Cards Payments Branch nationwide, and at more than
700,000 ATMs and financial institutions worldwide displaying the VISA/ PLUS logo.
Eligibility Criteria:
You are eligible to apply for the UBL Credit Card if you are
At least 21 years of age
A resident of Pakistan
Employed or managing your own business
UBL Wallet Visa:
UBL Wallet ATM / Debit Card are all the convenience & security
you desire and the quality you deserve. This Wallet holds all the
cash in your bank account. With UBL Wallet Visa withdraw cash at
ATMs any time, or make cashless purchases at outlets through the
Debit Card facility. With no joining fee and an accompanying complimentary cardholder
for your convenience, UBL Wallet has been designed to exhibit the best in features and
facilities, as well as look & feel. Because at UBL
Annual Fee (Rs.) Daily Limits (Rs.)

Card
Type
Primary Supplementary ATM
Withdrawal
Debit
Card
Funds
Transfer
(UBL to
UBL)
Funds
Transfer
(UBL to
other
banks)

Mega
Wallet
500 250 40,000 100,000 100,000 100,000

All the Cash You Need:
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UBL is the only bank that offers the ATM and Debit Card facility to all account holders at
all UBL branches, regardless of whether their branch is online or offline.

Nine Supplementary Cards:
UBL Wallet also gives you the facility of having up to 9 supplementary cards issued
against one primary card. All supplementary cardholders will be able to conduct
ATM/Debit transactions and will share the transaction limits of the primary card
account.

Funds Transfer:
UBL Wallet allows three kinds of instant funds transfers through UBL ATMs from your
UBL account:
Into any of your UBL accounts
Into any pre-linked UBL account
Into any other UBL account
On confirmation, the amount from the cardholder account is instantly transferred to the
beneficiary account.

Human Assistant:
For the first time in Pakistan, selected UBL ATMs feature a Virtual Human Assistant, who
guides you in conducting your ATM transactions.
Security:
Your UBL Wallet functions on a PIN (Personal Identification Number) based system,
ensuring complete security of your transactions.

Other Facilities

Balance Enquiry:
Enquire about the availability of funds or simply get a printout of your Account balance.
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Mini Statement:
Get a printed statement of your account that shows all recent transactions.
Fast Cash:
Swiftly withdraw your desired amount by selecting from one of the options of preset
denominations.
UBL Wallet Use as Debit Card:
With UBL Wallet as your Debit Card, you can shop all you want, eat all you can, or fill up
your car tank without carrying any cash. Simply use your UBL Wallet for direct debit
from your bank account.
The Debit Card facility is being offered in association with the Orix network, which offers
connectivity at more than 1600 outlets across the country. You can use your UBL Wallet
to conduct a debit transaction at any outlet in Pakistan that displays the Orix logo.
Your debit transactions are safe and secure, since only you are aware of your Personal
Identification Number (PIN). A debit transaction is conducted only when you type your
PIN into the Point f Sale (POS) terminal located at the retailers' premises.

UBL Wiz:
UBL Wiz is Pakistan's first ever Prepaid VISA Debit Card that
provides the convenience, security and benefits of an ATM
and Debit Card, locally and internationally. More than just
an ATM card, you can use your UBL Wiz everywhere VISA
cards are accepted. Whether you are using it online, paying for petrol, shopping or
dining, you are accessing money directly from your prepaid card, without having to visit
the bank.
Features & Benefits:
UBL Wiz is the 1
st
Prepaid VISA Debit Card in Pakistan. It is instantly available at all UBL
Online branches with the facility of re-load, allow you to spend online and at shopping
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outlets and withdraw cash at ATMs. It is also accepted at all VISA locations
internationally.
Available to all CNIC holders:
All valid CNIC holders in Pakistan can own a UBL Wiz Prepaid VISA Debit Card. An
individual can purchase up to three cards at a time on his/her CNIC - one of each
category, i.e. a person can have a single UBL Wiz Ladies, UBL Wiz Teen and UBL Wiz
Travelers/Internet card at any given point in time.
UBL PSO Auto Credit Card
The UBL Credit Cards team now brings Pakistan's 1st
Auto Credit Card - UBL PSO Auto Credit Card. Keeping
in mind the success story of our standard UBL Card,
with annual fee wavier and free liters of fuel as.
UBL Platinum
Upping the ante on excellence, the UBL Platinum Credit Card blends power, prestige and
privileges with timeless elegance. UBL Platinum Credit Card is designed to compliment
your lifestyle with credit limits befitting your stature, accompanied by the highest levels
of services, unmatched rewards and myriad benefits; a symbol of your past successes,
your current achievements and your future ambitions. Based on insights into the
requirements of our most preferred customers, the UBL Platinum Credit Card comes
complete with a comprehensive bundle of benefits built around your needs and
expectations:

Free Avari Gold Privilege Card
Discount up to 50% for Dine in
Discount up to 20% on Health Club Membership
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Rent-a-Car Service, etc.
Discounted rate of USD 75 per night for weekend stay
Free Qatar Airways Alliance Card (for one year)
Enrollment in Qatar Airways frequent flyer program
Discount of up to15% on purchasing ticket online
Excess baggage waiver facility
Free Access to Shapes Health Club
Facilities include gym, sauna, swimming pool & jogging track
This facility is available in Karachi, Lahore, Multan & Gujranwala
Airport Facilities
Free access to UBL Lounge at Domestic and International departure terminals at Karachi
Airport
Free access to CIP Lounges at Lahore & Islamabad Airports on international travel
Complimentary Priority Pass for access to over 600 VIP airport lounges worldwide
Exclusive Perks & Rewards
Triple reward points on international spend
Air miles against spend on your UBL Platinum Credit Card
Privileged pricing at leading local merchants
Worldwide discounts by VISA international at hotels, golf clubs, etc.
For more information call 0800-55-825 or visit your nearest UBL Branch.

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COMMERCIAL BANKING SERVICES
To stand tall among the worlds leading banks, UBL has developed a YOU attitude to
understand its customers well. When you talk, we speak for you. For small and middle
size investors, UBL has so much to offer, so much to deliver. You live the way you want;
we will always be shadowing you. Walk in to any nearest branch of UBL, enter the world
class bank and let us serve you with what you need.

SMALL BUSINESS SCHEME
Under the Small Business Scheme, UBL is providing loans on easy terms to those who
wish to set up their own small-scale business. This scheme is aimed at spreading
prosperity in the country by reducing unemployment. As more and more people start
their own industrial units, the country will move steadily towards economic self-
reliance.

INVESTMENT AND SAVING ACCOUNTS
At UBL, we offer you the most beneficial and secured financial investment and saving
options. You can choose from the following list of accounts anything that serve your
needs best.

UBL BASIC BANKING ACCOUNT
Exempted from Minimum Balance charges, UBL BBA holders can carry out two deposits
and two withdrawals each month as per the bank policy. Through 24hrs ATM services,
they can carry out transactions as and when desired, staying in the daily withdrawal
limit.

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UBL BUSINESS PARTNER (CURRENT ACCOUNT)
For our regular customers, we offer the ultimate option, UBL Business Partner (Current
Account). With unlimited deposits and withdrawals, we offer you convenience of UBL
net banking, UBL Wallet, UBL Orion and other exciting consumer products. Customers
are liable to maintain minimum balance of Rs. 10000 to avoid the minimum balance
charges until and unless they are exempted from it.
Remember! We are not just a business; we are your caretakers; we know what you
need.

PLS UNISAVER
Let your savings earn you bucks. PLS UniSaver offers you semiannually profit
disbursement with profit being calculated upon average monthly balance.

PLS UNISAVER PLUS
Big amounts earn you big;
but with PLS UniSaver Plus,
we make it bigger for you.
With deposits starting from
Rs. 25 million, we offer 5.00%
but more you put in, more
profit rate will we offer.

UBL RUPEE TRANSACTION ACCOUNT (PLS SAVING)
Have your money box at UBL! Put in your savings and let us earn you 5% p.a. over your
daily savings.

Avg Balance per month Profit Rate*
Rs. 25 million 5.00%
Rs. 25 million to Rs. 100 million 5.10%
Above Rs. 500 million 5.50%
* Profit rates are for the month of July only
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UBL UNIFLEX
Have couple of thousands spare? Come invest in
our UBL UniFlex Accounts, we will make you earn
handsome.
With UBL UniFlex, we serve you with fix profit rates
at maturity.

E- TRANSACTION (CURRENT ACCOUNT)
In the era of glooming computerization, even
Chicago, Tokyo, Sydney, all are seconds away from
you. Internet has turned distance into time, and we
have turned your account into a sheer pleasure.
Now sitting at home, or at office or anywhere in the
world, we offer you a wide spectrum of world-class
electronic services and banking products each time
you log in. Use your account like a regular account
plus use the premium Internet & Mobile banking
services for Instant Fund Transfers, Instant
Shopping, Instant Bill payments, Instant Mobile top
ups, Alerts, Statements and much more. You love
surfing, come surf with UBL.

UBL PROFIT COD
Make fix investment with us, choose your profit
option, and we will serve you the best rates in
Pakistan. What if you earn at 16.25% p.a. Stop
imagining, come invest in our Certificates of Deposit! At maturity, we offer you the
following rates:
Amount Profit Rate
1000-50000 7.0%
50001-100000 7.25%
100001-200000 7.5%
Deposit Tiers &
Products
Jul 1 Jul 31, 2008
3 months 8.25%
6 months 8.50%
1 year 9.50%
2 years 11.50%
3 years 12.75%
4 years 13.25%
5 years 13.75%
6 years 14.25%
7 years 14.75%
8 years 15.25%
9 years 15.75%
10 years 16.25%
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Omni-Branchless Banking
UBL Omni now brings a host of banking services to your nearest "Dukaan". UBL Omni
Dukaans are located in more than 650+ cities and towns across Pakistan. This is a major
milestone in the evolution of banking that will reshape the traditional banking model by
offering basic banking services across urban and rural Pakistan, well beyond the regular
branch networks of banks.
Account
Customers across Pakistan can now open a basic UBL Omni bank account at any UBL
Omni Dukaan of their choice, whether close to their home or place of work, by using
their CNIC number and mobile phone number - their mobile phone number will
effectively become their bank account number irrespective of which service provider they
use. Also they can avail instant ATM card. Accounts with higher limits can be opened
from any UBL branch. For further details please visit Account Opening

UBL Omni account holder will subsequently be able to deposit and withdraw cash, make
utility bill payments, send or receive money, purchase mobile airtime, make postpaid
mobile bill payment, pay Zakat & Donation and much more by using diversified array of
convenient channels which includes SMS, Mobile App, UBL Net banking or ATM. No
longer will they have to visit a bank branch to conduct their basic banking transactions
nor will they be limited by standard banking hours.
OTC
People without a UBL Omni bank account will also be entertained at a UBL Omni Dukaan
where they can make Bill payments, send or receive money, purchase mobile top up
and pay Zakat & Donations.

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COMPLEMENTARY SERVICES

INSURANCE CERTIFICATE
UBL not only cares about you,
we care about those too who
are dependent upon you. So
UBL now offers enhanced
Free Accidental and Disability
Insurance Certificate
coverage to all existing and
new account holders.

UBL WALLET VISA
Imagine you are shopping in a big mall and you are ever so watchful about your cash in
your wallet. Every time you shop, you're in a mess! Let UBL Wallet Visa ease your
shopping. Shop around and pay your expenses directly from your account through UBL
Wallet. Not only can this, individuals and sole proprietors, through more than 925 ATM
machines, debit their accounts as many times as they want. You can choose according to
your need. We offer

Card
Type
Annual fee (Rs.) Daily Limits (Rs.)
Primar
y
Supplementa
ry
ATM
Withdraw
al
Debit
Card
Spend
Funds Transfer
(From UBL to UBL)
Funds Transfer
(From UBL to
other banks)
Gold 500 250 40,000 100,000 250,000 250,000
Silver 300 150 20,000 50,000 250,000 250,000

Closing Balance at month
end (PKR)
Insurance Limit (PKR)*
1 10,000 100,000
10,001 100,000 250,000
100,001 500,000 500,000
500,001 and above 1,000,000
* Terms and conditions apply
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Moreover, the convenience and excitement of Internet Shopping is also available at UBL
Wallet VISA ATM/ Debit Card. So surf around and feel free to shop. We are here to help
you pay miles away.

UBL ORION
Your fingertips might have not been that powerful before. Just type in commands and at
your ease, buy mobile cards and pay your utility bills. With UBL Orion Mobile Wallet,
running around for mobile cards and queuing to pay your utility Bills is no longer a part
of your life. Live your life at your fingertips.
Buy W100! (Message tone)
Dear customer your voucher # is 1456894525796324
Thank you for using Orion

HUMRAH
Humrah is your secured cash, something thats safe anywhere and accepted
everywhere. Offered in the denominations of 10,000 and 5,000, "Hamrah" Rupee
Traveller Cheques are the ideal and safest way of carrying cash when travelling
anywhere in Pakistan. Let it be business; property; trade or personal needs; we make
you have the most convenient option. Moreover, Humrah 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 E-STATEMENT:
During your busy hours, you dont have to bother about visiting us to get your account
statement. Neither theres a risk of anyone else knowing your account details. Subscribe
today, free of cost to UBL e-statement facility and let us share details with you daily,
weekly, monthly, quarter or semi-annually. Get debit/credit alerts and know as soon as
you get money or pay.
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BALANCE SHEET (data)
Assets 2012 2011 2010
Cash and balance with treasury and other banks 102,956 86,104 66,878
Lending and financial institution 9,536 11,935 23,162
Investment-gross 297,137 227,237 138,398
Advance gross 366,307 368,692 382,478
Other assets 22,828 21,044 17,851
Total assets-gross 821,745 737,436 650,693
Provision against non performing advance (40,959) (34,960) (28,387)
Provision against diminution in value of investment (2,726) (2,658) (2,253)
Total assets-net provision 778,060 699,818 620,053
Liabilities and Equity:
Deposit and other account 612,980 550,646 492,036
Borrowing from financial institution 49,953 45,105 35,145
Sub-ordinate loan 11,317 11,986 11,990
Bills payable 5,879 5,046 5,147
Other liabilities 18,777 18,621 14,799
Total liabilities 79,153 631,403 559,117
Net asset/liabilities 12,242 68,415 60,937
Share capital 24,847 12,242 11,129
Reserves 33,534 21,689 18,960
Un-appropriated profit/(loss) 70,623 26,250 22,188
Equity-tire 1 8,530 60,181 52,276
Surplus on revolution of asset 79,153 8,234 8,660
Equity 79,153 68,415 60,937
Total liabilities and equity 778,060 699,818 620,053

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PROFIT AND LOSS ACCOUNT (data)
(Rupees in 000)

Non-interest yield
Non-interest income/ total asset
2012 2011 2010
Mark up/Return/Interest earned 70,450 59,277 61,107
Mark up/Return/Interest expensed (31,026) (24,997) (28,164)
Net Markup/Interest income 39,425 34,280 32,943
Fee, commission, brokerage and exchange
income 9,027 7,992 7,139
Capital gain and dividend income 1,261 712 1,233
Other income 2,429 1,387 3,048
Non interest income 12,718 10,090 11,420
Gross income 52,143 44,370 44,363
Administrative expense and other charges (20,349) (18,476) (17,015)
Profit before provisions 31,794 25,894 27,348
Donations (54) (84) (56)
Provisions (7,517) (8,068) (13,258)
Profit before taxation 24,223 17,742 14,035
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RATIO ANALYSIS
RETURN ON EQUITY
Net Profit/ Equity
Years 2012 2011 2010
ROE 23.7% 19.8% 19.5%

Interpretation:
This ratio indicates the company earned 23.7% in 2012 on each Rupee of equity
investment. So this earning is greater as compared to 2011, and 2010.

0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
2012 2011 2010
Return on equity ratio
Return on equity ratio
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RETURN ON ASSET:
Net Profit/Total Assest100
Years 2012 2011 2010
ROA 2.1% 1.7% 1.5%

Interpretation:
This ratio means that company earned 2.1% on each Rupee of investment. So the
earning of bank in 2012 is greater than previous years.

0.00%
2.00%
4.00%
2012
2011
2010
return on Asset
return on Asset
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Debt Ratio:
Total Liabilities/Total Assets
Years 2012 2011 2010
Debt 90% 90% 90%

Interpretation:
This ratio indicates that company has financed 90% from debt and 10% from asset in
2012.The higher this ratio, the greater the firm indebtedness and more financial
leverage it has.

0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
2012
2011
2010
Debt ratio
Debt ratio
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GROSS SPREAD RATIO:
Net Markup income/ Gross income

Interpretation:
The Net Markup income for the year 2012 is greater from the last couple of years but
less than 2011 and 2010. The Net Markup income is greater because the company is
growing at a rapid, and receiving more markup ratio as compare to gross inc

51%
52%
53%
54%
55%
56%
57%
58%
2012
2011
2010
Gross spread ratio
Gross spread ratio
Years 2012 2011 2010
GSR 56% 57.8% 53.9%
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ADVANCE TO DEPOSIT RATIO (NET):
Advances/ Deposits
Years 2012 2011 2010
ADR 53.1% 60.6% 72%

Interpretation:
The Advances to the deposits Ratio is above 53.1 percent for the year 2012 but is lower
from the previous years. This is because the bank did not give too much advances.

0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
70.00%
80.00%
2012
2011
2010
Advance to deposite ratio
Advance to deposite ratio
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INCOME TO EXPENSE RATIO:
Income/ Expense
Years 2012 2011 2010
Times 2.56 2.40 2.61

Interpretation:
The income to expense ratio is greater than previous years it means company earned
more income than expense.

2.25
2.3
2.35
2.4
2.45
2.5
2.55
2.6
2.65
2012
2011
2010
Income to Expense
Income to Expense
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GROWTH IN GROSS INCOME:
Years 2012 2011 2010
Gross Income 17.5% 0% 15.1%
.

Interpretation:
These values indicate that growth in gross income is highest in 2010 but in 2012 gross
income is greater as compared to remaining years

0.00%
2.00%
4.00%
6.00%
8.00%
10.00%
12.00%
14.00%
16.00%
18.00%
2012
2011
2010
Gross Income
Gross Income
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GROWTH IN NET PROFIT AFTER TAX:
Years 2012 2011 2010
Net Profit 38.9% 21.4% 10.3%

Interpretation:
The values show that growth in Net profit after tax is greater in 2012 as compared to
previous years.

0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
30.00%
35.00%
40.00%
2012
2011
2010
Net profit
Net profit
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DIVIDEND YIELD:
Dividend per Share/ Market price per share
Years 2012 2011 2010
Dividend Yield 14.3% 7.3% 4.3%

Interpretation:
Typically companies with good growth potential retain a high proportion of earnings and
have a low dividend yield, whereas companies in more mature industries pay out a high
portion of their earnings and have a relatively high dividend yield. So the dividend yield
of UBL is greater in 2012 as compared to previous years so it also lies in later category.

0.00%
5.00%
10.00%
15.00%
2012
2011
2010
Dividend yield
Dividend yield
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EARNINGS PER SHARE (EPS):
Net Profit /Total No. of Equity Shares100
Years 2011 2010 2009
EPS 12.66 9.12 8.26

Interpretation:
EPS is increasing as compare to previous year and this shows better financial position in
market.
This also shows that Bank is growing towards success at rapid rate.

0
2
4
6
8
10
12
14
201
2011
2010
Earning per share
Earning per share
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PRICE EARNINGS RATIO:
Market Price per Share of common stock/Earnings per Share
Years 2012 2011 2010
PER 4.14 7.48 7.08

Interpretation:
This value indicates that investors were paying 4.14 PKR for each 1.00 PKR of Earnings in
2012.

0
1
2
3
4
5
6
7
8
2012
2011
2010
PER
PER
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BALANCE SHEET (Analysis)
The total asset of the United Bank Limited has increasing trend. The total
assets in 2011 were Rs.778, 060,000 and in 2010 Rs.699, 818,000 there is an
increase in total assets.
The investment trend is also increasing as compared to previous years.
The loan trend is decreasing in 2011 as compared to last years data.
The above two figures shows that main emphasis of new management in
towards investment rather than loans it is positive sign for organization. Bank in
industry gives emphasis towards profitable investment rather than loans.
Share capital was also increased.
Net non-performing loans reduced partly due to provisions and recoveries.
Overall the financial position of the bank is better than previous fiscal year.

PROFIT AND LOSS (Analysis)
As we see the income statement of United Bank Limited it shows that mark up
income is increasing with the passage of time. The income as Rs.59, 277 in 2010
which increased to 70,450,000 in 2011, appreciable sign for the management.
These all improvement is due to a new professional team which was appointed
in last years to restructure the bank and to commence rightsizing. The
management is also in process of rationalizing branch network and identifying
and recovering its doubtful and classified portfolio. It has planned to institute
major improvements in customer services and internal systems to improve
efficiency. It also intends to launch innovative products. The bank is increasing
resource mobilization through regular deposit campaigns and accelerating the
process of recovery of outstanding advances and non-performing assets.
The mark up income has also increasing trend.
There is an increase in Profit after tax.
New techniques to compete in market. This thing caused to increase expanses.
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SWOT
SWOT analysis is a process to identify where we are strong and where we are
vulnerable, where we should defend and where we should attack. It tells us our
strengths, our weaknesses, the opportunities that prevail in the market and the threats,
which we may face from our competitors and other from other potential factors.
This analysis performed on a product, on a service, a company or even on an individual.
STRENGTHS:
Strengths are the internal competencies possessed by UBL in comparison with its
competitors.
UBL with an integrated network of over 1,218 branches domestic with 18
overseas locations gives you direct access to a comprehensive range of
better banking facilities to help you monitor your business internationally.
UBL provides its customers a complete range of banking products and services
including retail banking, corporate and institutional banking, trade finance and
consumer finance.
UBL has planned to institute major improvements in customer services and
internal systems to improve efficiency. It also intends to launch innovative
products. The bank is increasing resource mobilization through regular deposit
campaigns and accelerating the process of recovery of outstanding advances.
The management of UBL in order to further improve the quality service,
particularly at branch level, is restructuring its commercial banking operations.
On the move within your city or traveling upcountry, UBL Rupee Travelers
Cheques are the most secure and convenient way to carry cash and travel
with peace of mind.
For the customer who is on the move within the same city or in different cities of
Pakistan and who wishes to avoid carrying cash, United Bank Limited presents
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Cheque Encashment Facility. You can have your UBL account Cheques encased
by either self or a third party at any of UBL's designated branches in Pakistan.
UBL Uni Saver Account is an innovative way of serving your banking needs. Be it
trade, business or personal finance, the UBL Uni Saver allows you maximum
flexibility, yet gives you optimum returns.
All branches of UBL are now equipped with a special Haj counter, and offered a
scheme of loan.
UBLs new remittance service, TAZRAFTAAR offers all overseas Pakistanis the
fastest and the most convenient delivery of their money to their beneficiaries in
Pakistan. Best of all, TAZRAFTAAR is completely cost free and is available at all
UBL branches
The concept of a universal teller must be introduced, which can greatly improve
the counter services. Through this the bank will be able to get the edge over
other competitors. More functionality must also add like signature verification,
printing of remittance instruments, etc. Full Online/Offline computerization of
Hubs and off-line computerization of all PLS and CD accounts should be achieve.
UBL has asset of over 250 billion, capital and reserves of over 4 billion and solid
record of accomplishment of 45 years.
UBL saver allows you maximum flexibility, yet gives you optimum returns.
UBL rupee travellers cheques are the most secure and convenient way to carry
cash and travel.
UBL was pioneer when it launched an important services to us where in
customer are able to get their rates by dialing a dedication fax number in the
bank. This has proved to be very successful idea.
UBL is increase resource mobilization through regular deposit campaigns and
acceleration the process of recovery of outstanding advices.

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WEAKNESS:
Weaknesses are the internal attributes of the bank to decrease in comparison with
competing bank.
The bank has less modern techniques all the branches are not computerized.
No proper material of banking was provided during my internship.
No concept of right person for right job.
They are not providing efficient service to their customer.
They are not using modern techniques like prizes scheme of other banks.
Bank has not developed long term strategy
People are being getting jobs in the bank secretly or form back door.
Employees dont have promotional opportunities for many years
If the promotion opportunity available then competes those people whose have
political or any other big source of promotion.
The management of the bank offered low profit on profit and loss account
approximately 6% before deducting the tax. The other banks offer more than
this.
HRM is not much effective and active in the bank. Every branch must have one
HR counter
The management is much goal oriented. There must be some people oriented
executives.
There is a communication gap between senior and young people.
Trained and convince the employees that new technology is helpful for your
work.

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OPPORTUNITIES:
An opportunity is an external component lies in outside the organization. They would be
beneficial for the company.
An opportunity is any chance to follow a new or revised strategy or business,
which would be of benefit to the UBL.
The banking sector has entered into new era with innovative products and online
facilities, which other simply dont.
Government of UAE has declared a free industrial estate, which is having its own
free port as jabl-e-ali, own which no tariffs are to be imposed. So United Bank
Limited can invest in this area by opening its branches there.
Banks know the deposit and credit products very well. That gives banks an
advantage in creating relationships with small business customers. Every small
business needs a checking account, and may need credit. For giving more
importance to small business UBL can increase their operation.
Commercial bankers can become the single source of financial services for small
businesses, but to do so they must invest in IT that is designed to provide
products and services to small businesses. They should look at their branches
and the Web-based delivery channels and determine what the appropriate
technology is for their small business clients.
UBL have branches in BAHRAFIN, QATAR, UAE, UK & USA. Where the other
competitors do not, it is a great opportunity for the bank.
UBL has a very large network of branches all over the country. Unfortunately,
these branches are not fully equipped with modern instrument, while other
banks offering modern services, if management launches innovative products in
these areas, bank will able to get the edge in these areas over other banks.
Due to policy of industrialization bank can expand its operation by giving special
attention towards this sector.
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THREATS:
Threats are also external factors in the environment, which are not in the favor of
company, which can seriously hamper the companys ability to serve its customers.
Expansion of new commercial banks like ASKARI bank, FASIAL bank and etc...
And their better performance may cause loss of market shares of UBL.
According to World Bank report the Pakistan has become over banked
economy with cut throat competition for deposits in the industry the battle is
on for the market shares. The customers have emerged as the main
Beneficiaries of the competition. Now they are getting more personalized
services and innovative product.
Along with the growth in size, the banks are now incorporating innovative
approaches to their traditional commercial banking operations, keeping in
the view the changing demand of the time. UBL face problem.
The political influences affect the performance of bank very badly. Most of
the loans become bad dad debits due to political pressure
No stable government in Pakistan, Government policies change with the
change of government.
The concept of evening and Saturday banking, telephonic and online banking,
ATMs and credit cards are direct result of the intensive competition. But UBL
is behind the above-mentioned services as compared to others bank.
Freezing of foreign currency account by the government of Pakistan is also a
fear for the bank.

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SUGGESTIONS AND RECOMMENDATIONS:
The overall organization is very good and results oriented, but I feel there is a need
of improvement in some areas. The following are the suggestions that I have
recommend for the united bank limited.
Information technology should be introduced in all the branches to enhance
the efficiently.
Dominating influences of politicians and bureaucrats have been mainly
responsible for the deterioration that has crept in the banking industry
Effective training and qualified, dutiful and vigilant inspection teams are
inducted per force in all the banks.
A separate ladies counter should be there.
The UBL branches should improve his position to attract more customers.
The behavior with the customers should be improved.
There is a great need of proper training of employees. Because whenever
they were asked about the latest banking the answer was sorry we dont
know.
Like the other reputed commercial banks UBL should recruited some officers
especially from the fresh MBAs and M.Com students. Doing so, the more
talented persons would enter in the management and they will try to make
the National Bank compatible with the other banks.
The bank must have to apply the marketing strategies to attract the
customers which are depositors, like other banks are doing such as City Bank
and in the Pakistan banks now a days they are introducing new schemes like
Core Patti Scheme by Habib Bank and Prizes on travelers cheque by M.C.B.

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This branch is not doing many functions to open L/C and to deal in export
and import facilities. Therefore, bank should hire export staff for such type of
activities and star them in the branch.
Do marketing through internet.
Try to establish effective communication between top-level management
and executives.
In order to check efficiency and effectiveness of employee working, MYSTERY
SHOPPING concept must introduced by the management.
Provide friendly environment to you employee in this branch.
UBLS top management must adopt such strategies, that will helpful in
eradication of internet politics.
The bank should make some strategies to educate the employers and public
about the bank services and products.
UBLS management must introduce some teams that should do investigation
about the creditors worthiness, so that the non-performing loans due to
frauds can reduce.
Create a marketing department in this branch and in other branches improve
the marketing department that will give a lot of profit.
In this branch, duties to some staff are not properly allocate.
Reduce the conflict between top management and branch staff.
In this branch, improve generator facility because if electricity problem occur
a lot of time waste and create a problem with UBL goodwill.
Reduce manual work record work in soft form.
Divide equal work to employees because in this branch, some employees
have a lot of work and some have few.
In some developing area UBL, do not have branch, as there are other
competitor have branches.

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CONCLUSION:
UBL is growing rapidly in banking sector in Pakistan. More important thing is that UBL is
pioneer in computerization of banking. Its larger branches are fully computerized. It has
currently largest online branches in urban areas, and developing its structure in rural
areas too. As technology advances UBL also making itself fast and accurate in coming
years the UBL is looking for better infrastructure in banking in Pakistan. As the World is
going forward towards technology and advancements, UBL is also going step by step
with all organizations. It has a good banking Structure, fast and effective network.

This report is started from executive summary and history of banking sector in Pakistan.
History is full of ups and down, the brief discussion of events that occur after partition.
In June 1959, Mr.Agha Hassan Abedi decided to open a bank different from others to
provide modern banking facilities to trade and industry and to promote the habit of
saving among common people. Necessary formalities have been compiled for
registration certificate to perform business to STATE BANK OF PAKISTAN for permission.
After all these formalities on 7
th
November 1959, UBL came into existence as a schedule
bank. Head office was establishment in New Jubilee insurance house; I.I.CHANDRIGAR
ROAD KARACHI. It was registered as Joint Stock Company.

There are different departments of UBL. The most important asset of UBL is its people.
To maximize its work force investment, the aim of the Human Resource department is
to enhance the UBL as the best place to work. In the area of Human resources their
goal is to maximize the return on the banks annual $4 billion investment in personnel
expense by improving efficiency of HR operations and the Effectiveness of all UBLs.
There are also some objectives of HR department of UBL that are: To establish
employee recruitment and selection system for hiring the best possible employees
consistent with the organization needs, whose performance is unsatisfactory and to
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ensure organizational compliance with state and federal laws those are applicable to HR
management function. Next department is the Advance/Credit Support Department
that is the main sources of funds for the bank is their deposit. Bank does not keep these
deposits in save with it. A bank has to pay interest to the depositors and to meet its
operating expenses. Bank can utilize these funds in the ways that are invest funds in
government securities, invest in portfolio of shares in the stock exchange or lend these
funds to other individuals or organizations.

Remittance Department is most important department of UBL, which provide services
to their customer. Basically Remittance is transfer of funds from one place to another
or from one person to another. A Remittance is an important service provided by banks
to customers as well as non-customers. Remittance can take place in seven different
ways that are Demand Draft (DD), Mail Transfer (MT), Telegraphic Transfer (TT), Pay
Order and Rupee Travelers Cheques. Main functions of foreign exchange department
are to open the letter of credit (LC) facilitates imports and export. This department deals
with foreign currency account and deals with inward & outward remittances.

Next department of UBL, which I discussed in my report, is the clearing department the
word clearing has derived from the word clear. Every bank acts as both paying as well
as collecting bank. A large part of this work is carried out through the bankers clearing
house wherever it is established. There are different types of clearing that are inward
clearing, outward clearing, intercity clearing and same day clearing. Cheques collected
by clearing are transfer cheques and clearing cheques. Collection department also plays
an important role in the operations of trade finance of UBL. This facility is also provided
to the exportersIt is not a conditional under taking by the bank. Collection is the
handling by bank of documents, in accordance with instructions received. Collection
department also deals with outward bills for collection and inward bills for collection.

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IT vision is to create a central database linked to all the hubs, through strong
communication backbone, which will allow the customers to maintain one account with
bank and operate it from anywhere in the country. In preparation of numerous
applications including core online retail banking application, UNIBANK's front-end
systems vastly enhanced to a GUI version under Oracle D/2000. It many products and
services that are UBL Business Partner, UBL Business Partner Plus, Rupee Transactional
Account, UBL UniFlex, UBL Unisaver, Certificate of Deposit, Foreign Currency Savings,
Foreign Currency Term Deposits Receipts, Regular Term Deposits Receipts, Special
Notice Deposits Receipts, UBL Basic Banking Account and UBL First Minor Account.

With UBL Wallet Visa withdraw cash at ATMs any time, or make cashless purchases at
outlets through the Debit Card facility. UBL already has its own network of 53 ATMs,
which continues to expand by the day. This allows you to use your UBL Wallet across
Pakistan at more than 300 ATMs. UBL Wiz is Pakistan's first ever Prepaid VISA Debit Card
that provides the convenience, security and benefits of an ATM and Debit Card, locally
and internationally. Whether you are using it online, paying for petrol, shopping or
dining, you are accessing money directly from your prepaid card, without having to visit
the bank.UBL Business line a complete solution to all your Business Financing needs.
With UBL Business Financing facility, you can now take your business to greater and
newer heights, and achieve the level of success that you truly deserve.

UBL Address understands your home financing needs and offers you a variety of fixed,
floating & adjustable rate options - because at UBL, where you come first. Drive is a
unique auto-financing product, which offers you feature, options and flexibility
unmatched by any other bank, because at UBL, You come first. UBL Cash line is a flexible
loan that provides you cash up to Rs.500, 000 without any security requirements. It
empowers you to take control of your finance. UBL Cash line is aimed to make your life
easierZINDAGEE ASAAN. Whether you are a salaried individual or a businessman, UBL
Cash line takes care of your cash requirements.
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UBL Money, the Personal Installment Loan from UBL provides you with ppower, control,
convenience and the flexibility to manage your financial requirements and realize your
dreams. Main purpose of financing is to facilitate farmers to purchase Agri Inputs such
as Seeds, Fertilizers, Pesticides, Sprayers, hired labor etc.UBL silah mila has designed a
campaign for the first time in Pakistan to acknowledge and reward customers who have
shown excellent performance in their loan repayments with other banks. UBL "Hamrah"
has been designed keeping in mind, both convenience and security - be it business,
property, trade or personal needs. Free Doorstep Remittances With-in the country or
from abroad, UBL offers the most efficient and price competitive service.

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 USA. With UBLs state of the art online
banking, you can access your account from more than 350 branches located in 71 cities
across Pakistan. Your account gets to travel with you and can be accessed throughout
Pakistan, be it Karachi, Kotli Main, Nalka Kohla or Mandara. Transactions are normally
available in less than 15 minutes. When I did the financial analysis I concluded that UBLs
current assets are more in 2011 as compared to previous years. There is also ratio
analysis of UBL that are Return on equity, Return on asset, Advance to deposit ratio,
cost to revenue ratio and debt ratio.

ROE ratio indicates the company earned 23.7% in 2012 on each Rupee of equity
investment. ROA ratio means that company earned 2.1% on each Rupee of investment.
Debt ratio indicates that company has financed 90% from debt and 10% from asset in
2012.The higher this ratio, the greater the firm indebtedness and more financial
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leverage it has. The Net Markup income is greater because the company is growing at a
rapid, and receiving more markup ratio as compare to gross income. Typically
companies with good growth potential retain a high proportion of earnings and have a
low dividend yield, whereas companies in more mature industries pay out a high portion
of their earnings and have a relatively high dividend yield. EPS is increasing as compare
to previous year and this shows better financial position in market. This also shows that
Bank is growing towards success at rapid rate.

In SWOT analysis I concluded that UBL provides banking facility to their customer, have
qualified management and experienced professionals. It has automated system with
online network. It has vast network of foreign correspondents. They offer a lower
interest rate on loans and advances. The concept of a universal teller must be
introduced, which can greatly improve the counter services. However, its employees are
not satisfied because the pays of employees are less and there is no clear criterion for
promotion. The bank has less modern techniques all the branches are not
computerized. They are not using modern techniques like prizes scheme of other banks
and Bank has not developed long term strategy. Trained and convince the employees
that new technology is helpful for your work. These things are showing weakness.

It is great opportunity for UBL if it provides the more innovative products. Government
of UAE has declared a free industrial estate, which is having its own free port as jabl-e-
ali, own, which no tariffs are to be imposed. Due to policy of industrialization bank can
expand its operation by giving special attention towards this sector. UBL threat is the
expansion of new commercial banks like ASKARI bank, UNION bank and etc... And their
better performance may cause loss of market shares of UBL. According to World Bank
report the Pakistan has become over banked economy with cut throat competition for
deposits in the industry the battle is on for the market shares. The customers have
emerged as the main Beneficiaries of the competition.
((

At present there is no such organization in the world that is free from problems and
challenges. Every concern has to strive and struggle a lot to be more profitable and to
get more competitive edge. During my six week internship at UBL Fride Gate Branch, I
found various problems, which I think should be resolved for the better functioning of
the bank. So there are some suggestions to solve these problems. Try to establish
effective communication between top-level management and executive. Dominating
influences of politicians and bureaucrats have been mainly responsible for the
deterioration that has crept in the banking industry. Customer satisfaction should
always remain the number one benchmark as move forward towards attaining their
goals. They employed and retain an unparalleled workforce of highly motivated,
energetic, well trained and productive employees.

They try to achieve superior financial performance, and to be good corporate citizen of
the communities they serve. UBL promote strong and ethical business practices in the
industry by focusing more on effective collaboration with their stakeholders. Their
corporate strategy focuses on the striking optimum balance in the organizational
workflow and processes. The dynamic environment in which they operate impels them
to remain balanced for the unexpected business environment. They are aware that they
stepped into 21
st
century and they must meet its challenges by acquiring the highest
levels of technology, they will thus be accelerating and enable them to distribute their
products and services through most efficient and high technology means. All the
customers are entertained individually. Same kind of behavior and attention is given to
all the customers. During my internship training, I gathered information regarding how
a successful bank operational aspect decorticated with the practical.

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2 | Internship Report The Islamia University Of Bahawalpur

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