Internship Report On

An Analysis of the E-banking Services of Sonali Bank Public

Limited Company

Submitted to

Shahadat Hossain

Assistant Professor

Department of Accounting & Information Systems

University of Barishal

Submitted By

Exam Roll: AIS 056/8 (BBA)

Department of Accounting & Information Systems

University of Barishal

Date of Submission: 14June,2023

Letter of Transmittal

14 June 2023

To,
Shahadat Hossain,
Assistant Professor
Dept. of Accounting & Information Systems
University of Barishal

Subject: Submission of Internship Report.

Dear Sir,

It gives me great pleasure to submit the internship report on “An analysis of the E-banking
Services of Sonali Bank PLC”. The report consists of the overview of the E-banking services
of Sonali Bank Public Limited. It’s a great pleasure to let you know that I have tried to make
my paper as comprehensive as possible. I am grateful to you for giving me such an opportunity
as well the guidelines that you have invested on me and I appreciate this internship program.

I hope that you will cordially receive my internship paper. Your acceptance of the report will
make all the endeavors fruitful.

Thanking You,

Exam Roll: AIS 056/8 (BBA)

Dept. of Accounting & Information Systems

II
Acknowledgement

The successful completion of this Internship Report is the result of the contribution from
number of people, especially those who have given the effort and their valuable time to share
their opinion and suggestions to improve the report.

At the very beginning I would like to express my deepest gratitude to Almighty God for giving
me the strength and the consistency to finish the task within the scheduled time. The guideline
and preparation of the report was supervised and directed by Honorable Shahadat Hossain,
Associate Professor of Accounting & Information Systems Department. I would like to express
my appreciation to him for providing me all the guidance and support that I needed mostly.

All members of Sonali Bank PLC for providing me guidance and with proper information that
was very much needed in order to successful completion of this report. Finally, my sincere
gratitude goes to my family and friends for supporting me, sharing their thoughts and giving
me the moral support during the preparation of this report.

III
Declaration

I hereby declare that the report entitled, “An analysis of the E-banking Services of Sonali
Bank PLC” written and submitted by me, Suraiya Jalal Mim in the partial fulfillment of the
degree of Bachelor of Business Administration. This is my original work and conclusions
drawn are based on the material collected by me.

I also reveal that this work has not been submitted to this or any other university and is prepared
for only academic purpose.

Exam Roll: AIS 056/8

BBA Program
Dept. of Accounting & Information Systems
University of Barishal

IV
Executive Summary

The report emphasizes on the “An Analysis of the E-Banking Services of Sonali Bank PLC”
wide scope of banking and money related exercises to people, firms, and corporate bodies and
other global organizations just as items and administrations offered by the bank to its clients
so as to keep up nature of administration. Bank activities can be isolated into three classes.
These are general banking activities, credit or loan advance activities and remote Exchange
activities. Credit or loan and advance activities do the most significant works of the bank.
Banks primary undertaking is to gather store from surplus unit and give loan to the shortfall
unit. Bangladesh is a creating country. Remittance implies move of cash starting with one then
onto the next. Bank gives this office to their customer as a part of basic administrations gave
to them. The exchange of cash can happen either inside the country or starting with one country
then onto the next. Remittance is most significant part of a country’s economy. For the creating
nations like Bangladesh remittance assumes a brilliant job in GDP development.

This report contains 8 chapters. The primary chapter of the report portrays the early on
expressions of the entry level position report in which Introduction of point, Objectives of the
examination, Significance of the investigation, Methodology and Limitations. The subsequent
chapter contains the diagram of SBL. Chapter 3 contains adapting part of the examination.
Various proposals, discoveries, suggestions and end have come toward the finish of the report
in the chapter 8. The issues discoveries during the three months in length temporary job period
and proposals are given from perception. To build the adequacy in customer administration
SBL should attempt to build up the way toward giving administrations. SBL has passed far
since it is giving administrations. As of now it has earned a solid situation in the field of
customer administration. To advance or keep the position and be faultless in this segment, it
should be progressively mindful of customer maintenance and improvement.

V
List of Acronyms:

CBS = Core Banking System (Software)

BTCL= Bangladesh Telecommunication Company Limited

SB/CA/SND = Saving account/Current account /Special Notice Deposit

SWIFT = Society for Worldwide Interbank Financial Telecommunications

NPBS = National Payment Switch Bangladesh

TCP = Transmission Control Protocol

VIOP = Voice Over Internet Protocol

RTGS = Real-Time Gross Settlement

BEFTN = Bangladesh Electronic Fund Transfer Network

POS = Point of Sale

BACH = Bangladesh Automated Clearing House

VI
Contents

Letter of Transmittal ..................................................................................................... II

Acknowledgement ....................................................................................................... III

Declaration ...................................................................................................................IV

Executive Summary ...................................................................................................... V

List of Acronyms: ........................................................................................................VI

Contents ..................................................................................................................... VII

List of Figures: ............................................................................................................... 1

Chapter 1: Introduction ................................................................................................. 2

1.1 Background of the Study ......................................................................................... 4

1.2 Study Purpose .......................................................................................................... 4

1.3 Study’s Methodology ............................................................................................... 4

1.4 Research Limitations ............................................................................................... 5

Chapter 2: Literature Review ......................................................................................... 6

Chapter 3: Overview of Sonali Bank PLC ..................................................................... 9

3.1 Sonali Bank’s Limited History .............................................................................. 10

3.2 Mission and Vision ................................................................................................ 10

3.3 Corporate Profile .................................................................................................... 11

3.4 Some Notable Features of the Bank....................................................................... 12

3.5 Hierarchy of Sonali Bank Limited ......................................................................... 12

3.6 Services of Sonali Bank Limited: .......................................................................... 14

VII
3.7 Sonali Bank Ltd Products ...................................................................................... 19

3.8 Duties Performed in the General Banking: ............................................................ 21

Chapter 4: An Overview of Electronic Banking .......................................................... 22

4.1 A Quick Overview of E- Banking ......................................................................... 24

4.2 The Evolution of Electronic Banking .................................................................... 24

4.3 E-Banking Products and Services: ......................................................................... 25

4.4 Types of E- Banking: ............................................................................................. 26

4.5 E- Banking Risk Management ............................................................................... 27

Chapter-5: Bangladesh E-Banking .............................................................................. 30

5.1 Electronic banking structure .................................................................................. 32

5.2 Electronic services provided by various banks in Bangladesh .............................. 32

5.3 Electronic banking ................................................................................................. 33

5.4 The following are the Common Characteristics of Electronic Banking in

Bangladesh ................................................................................................................... 35

Chapter-6: Analysis and Findings ................................................................................ 37

Chapter 7: Problems Identified .................................................................................... 49

Chapter 8: Recommendation........................................................................................ 51

Conclusion ................................................................................................................... 53

Bibliography ................................................................................................................ 54

Appendix ...................................................................................................................... 55

VIII
List of Figures:

Figure 1: Organogram of the Sonali Bank PLC ................................................................. 13

Figure 2: Organizational Structure ...................................................................................... 14

Figure 3: RMS of SBL ........................................................................................................... 38

Figure 4: ATM of SBL ........................................................................................................... 39

Figure 5: Online Banking ...................................................................................................... 40

Figure 6: Types of Cards ....................................................................................................... 41

Figure 7: Sonali eSheba ......................................................................................................... 43

Figure 8: Website of SBL ..................................................................................................... 44

Figure 9: Rating for Customer Services .............................................................................. 45

Figure 10: Interaction with Employees ................................................................................ 46

Figure 11: E-banking Users .................................................................................................. 47

Figure 12: Consideration Factors ......................................................................................... 47

Figure 13: Mobile Application Should be Developed to Provide This Service ................ 48
Chapter 1: Introduction

2
Money is currently circulating all over the planet. Money is circulating in unimaginable
quantities as a result of globalization, technological advancements, and other things. Banks, in
particular, play a critical role in connecting depositors and lenders, directing money, and
making the economy more efficient. Although banking dates back to the 14th century in
Europe, banks are now found everywhere. Banks play a prominent role in Bangladesh as
compared to other financial institutions.

The banking industry's rivalry is fiercer than ever before. The banking industry was impacted
by the global financial crisis, stock market crashes, recessions, and other events. As a result,
banks should position themselves in a unique position in the minds of their consumers by
delivering appealing offers such as higher interest rates or by providing greater customer
service. Financial advice, flexible payment terms or dates, portfolio management, and other
services are examples of services.

E- Banking is a service provided to customers that allows them to examine account balances,
check transactions, obtain valuable information, transfer funds, pay third parties, and apply for
loans all from the bank's secure website. E- banking has created a new area of competitiveness
for banks. A client number and password are required to operate online. E-banking began in
the 1980s, but it is still a relatively new concept in Bangladesh.

E- banking is associated with increased customer satisfaction. Customers are thought to be the

kings of the market today. The banking sector is becoming more competitive, and it is the

bank's priority to please its individual customers.

3
1.1 Background of the Study

This internship report was created as part of the BBA program. This report is a required part of
the BBA program. I worked at Sonali Bank's Barishal branch for 60 days, and the experience
has helped me to connect my theoretical knowledge with practical understanding. As a Sonali
Bank intern, I was assigned the topic "An analysis of Sonali Bank's E- Banking services."

1.2 Study Purpose

To analyze Sonali Bank Limited's E- Banking System.

➢ To determine what clients, want from Sonali Bank's E- Banking service.

➢ To determine the level of satisfaction.
➢ To determine the relationship between electronic banking and consumer happiness.
➢ To identify the issues and make any appropriate recommendations.
➢ To evaluate performance of the e-banking system in the Sonali Bank PLC.

1.3 Study’s Methodology

Data collection: By asking users of Sonali Bank's E-banking services at the Barishal branch
about their needs, primary data about those users was gathered.

Secondary information was gathered from numerous websites and earlier research on Sonali
Bank. Likert scale was used in the survey.

Sampling strategy: A random sampling strategy was employed. Customers who frequent or
regularly visit the branch office to use the bank's services supplied a sample.

20 people make up the sample size. From these 20 clients, 50% of respondents are men and
50% are women.

4
Data analysis: Mean, mode, and percentage were used to examine the data. I did not utilize
any satirical software to finish the study.

1.4 Research Limitations

➢ Extremely tiny sample size.

➢ Report completion takes less time.
➢ Data requirements for processing in high-profile statistical tools such as STATA or
SPSS.
➢ Some respondents were unmotivated or uninterested in expressing their true feelings.
➢ The results are calculated by hand.

5
Chapter 2: Literature Review

6
Electronic banking

E- banking is the fastest growing service that banks may use to attract and keep new customers
(Moody, 2002).

The development of E-Banking is also owing to the numerous benefits it provides to both the
supplier and the customer. From the standpoint of the bank, these are mostly connected to cost
savings (Sathye, 1999; Robinson, 2000), and E-Banking remains one of the cheapest and most
efficient delivery routes (Pikkarainen et al., 2004).

According to Arunachalam and Sivasubramanian (2007), Internet banking is a service that

allows customers to access their bank accounts via the Internet using a PC or mobile phone and
a web browser.

According to Ongkasuwan & Tantichattanon (2002), Internet banking is a banking service that
allows consumers to access and make financial activities on their bank accounts from
computers with Internet connectivity.

On-line, real-time banking services have now become a customer's birthright, since the
customer demands the freedom of managing an account at any branch of a bank, regardless of
where the account is domiciled (Bank Away, 2001).

E-service quality can be defined as an overall consumer evaluation of e-service delivery in a

virtual marketplace. J. Santos (2003).

7
Requirement of the Customer

Customer requirements are the benefits that a customer expects from a product or service before
purchasing it. (P.Kotler)

Customer Contentment

A satisfied customer will buy the product again and spread the word about it to others
(Dispensa, 1997; Metawa and Almossawi, 1998).

The complexity of services, combined with the expanding province of the service industry, has
increased the demand for improved customer satisfaction. Banking and financial services are
essential components of the service business (Mishkin, 2001).

Customer satisfaction is commonly characterized as a post-purchase evaluative judgment about

a particular product or service (Gunderson, Heide, and Olsson, 1996). The expectancy
disconfirmation hypothesis (McQuitty, Finn, and Wiley, 2000) is the most frequently accepted
interpretation of the customer satisfaction idea.

According to Saha and Zhao (2005), customer satisfaction is defined as a collection of the
outcomes of perception, appraisal, and psychological reactions to a product/service consuming
experience.

In other words, Saha and Zhao defined customer satisfaction as the outcome of a cognitive and
affective evaluation in which a comparison standard is contrasted to the actual perceived
performance. Customers will be unsatisfied if the perceived performance is lower than
expected. If, on the other side, the perceived performance exceeds expectations, the customer
will be pleased.

8
Chapter 3: Overview of Sonali Bank PLC

9
3.1 Sonali Bank’s Limited History
Sonali Bank emerged as the largest and leading Nationalized Commercial Bank soon after the
country's independence with the issuance of the Banks' Nationalization Order 1972
(Presidential Order-26), which liquidated the then-National Bank of Pakistan, Premier Bank,
and Bank of Bhwalpur. As a totally state-owned organization, the bank had been carrying out
its nation-building obligations by carrying out various government-entrusted socioeconomic
programmes as well as money market activities of its own choice, covering all aspects of the
economy. The bank was transformed to a Public Limited Company with 100% government
ownership and began operations as Sonali Bank Limited on November 15, 2007, taking over
all assets, liabilities, and activity of Sonali Bank. Following corporatization, the bank's
management was given the necessary authority to make the bank competitive and conduct its
operations properly.

Sonali Bank Limited is administered by an 11(eleven) member Board of Directors. The bank
is led by a well-known banker and professional, the Chief Executive Officer and Managing
Director. The bank's corporate headquarters are in Motijheel, Dhaka, Bangladesh, the capital's
main business district.

3.2 Mission and Vision

Vision: A leading socially responsible banking organization with a global reach.

Mission: Committed to providing a wide range of high-quality products that meet people's
diverse needs, with the goal of enriching their lives, producing value for stakeholders, and
contributing to the country's socioeconomic development.

Slogan: "Your trusted partner in banking innovation."

10
3.3 Corporate Profile
Name of the company
Chairman
CEO&Managing Director
Company Secretary
Legal Status
Genesis
Date of Incorporation
Date of Vendor’s Agreement
Registered Office
Authorised Capital
Paid-up Capital
Number of Employees
Number of Branches
Phone-PABX
FAX
SWIFT
Website
E-mail
11
Sonali Bank Limited
Dr. A.H.M. Habibur Rahman
Pradip Kumar Dutta
A.K.M Sajedur Rahman Khan
Public Limited Company
Emerged as Nationalized Commercial Bank
in 1972, following the Bangaladesh Bank
(Nationalization) Order No. 1972 (PO No.26
of 1972)
03 June, 2007
15 November, 2007
35-42, 44 Motijheel Commercial Area,
Dhaka, Bangladesh
Tk. 6000.00 core
Tk. 4530.00 core
21839
1231
0257161080-88
088-02-9561410, 88-02-9552007
BSONBDDH
www.sonalibank.com.bd
itda@sonalibank.com.bd
3.4 Some Notable Features of the Bank

Branches & Subsidiaries

➢ Total No of Branches 1231

a) No of Foreign Branches 2
b) No of Local Branches 1229
➢ No of Rural Branches 730
➢ No of Urban Branches 500
➢ No of Regional Offices 0
➢ No of Principal Offices 66
➢ No of G.M. Offices 15
3
➢ Subsidiaries 1. Sonali Bank (UK) Limited having 2
branches in UK.
2. Sonali Exchange company Incorporated
(SECI) having 10 branches in USA.
3. Sonali Investment Limited (Merchant
Banking) having 4 (four) branches at
Motijheel, Paltan, Uttara, Mirpur in
Dhaka,Bangladesh.
3
Representative Office 1 (one) in Jeddah, KSA; 1 (one) in Riyadh,
KSA and 1 (one) in Kuwait
Correspondent 639

3.5 Hierarchy of Sonali Bank Limited

Management

The bank's management is vested in a board of directors, which is subject to overall supervision
and policy direction by the board, which is formed in accordance with the Bangladesh Bank
(Nationalization) Order 1972 (Figure-1). The board of directors, comprised of seven members,
has the authority to establish, operate, and manage its operations in accordance with
government board policy. Directors are appointed by the government. Other members of the
board, including the MD, are likewise government nominated, with at least three having
experience in finance, banking, trade, commerce, industry, or agriculture. The CEO of the bank
is the managing director. He oversees all actions under the supervision of the board. Except for
members of the bank's board of directors, all line and staff personnel are hired on their own.

12
 Figure 1: Organogram of the Sonali Bank PLC

Organizational Structure

Sonali Bank is Bangladesh's largest nationalized commercial bank. It has 1187 branches around
the country. It also has two international branches. The bank's headquarters are in Dhaka's
Motijheel commercial district. Divisions are led by DGMs, and departments are led by AGMs.
There are also numerous sections inside each department in the Head Office. A DGM is in
charge of the principal office, whereas an AGM is in charge of a regional office. Principal
offices are the administrative zones of the bank at the district level. The regional offices are
controlled and supervised by the primary offices. Within the districts, the offices are located at
the thana level. The corporate branches are roughly similar to the GM office and are typically

13
led by DGMs. They provide all financial services such as general banking, loans and advances,
and so forth. Sonali Bank's functional hierarchy is as follows:

Figure 2: Organizational Structure

3.6 Services of Sonali Bank Limited:

Principle Activity of the Bank:

The bank's primary activities are to enable and manage all types of commercial banking
services for its customers who have been authorized by Bangladesh Bank. Other activities are:

➢ To carry out Government Treasury tasks while also acting as an agent for Bangladesh
Bank.
➢ Bangladesh's export and import trade with other countries under various agreements.
➢ International finance.

14
Subsidiary:

Sonali Exchange Co., Inc. was formed on 4 April 1994 under the laws of the state of New York,
Department of State, and was licensed by the State of New York Banking Department on 17
October 1994. It began operations as an International Money Remitter on 12 December 1994.

Associate:

Sonali Bank notified the Financial Services Authority of the United Kingdom on November 4,
1998, of its decision to voluntarily relinquish the banking license for the Sonali Bank UK
branch with effect from June 30, 1990. Sonali Bank UK branch had exhausted all retail deposits
by 30 June 1999 and is no longer authorized to take new deposits. However, a representation
was present until December 7, 2001. Sonali Trade and Finance (UK) Limited, a subsidiary
money remitting firm, has been incorporated under the UK company act of 1985. The Financial
Services Authority of the United Kingdom granted the firm permission to begin operations as
a bank on December 7, 2001 (operations began on December 10, 2001), and it changed its
name to Sonali Bank (U.K.) Ltd. The Peoples' Republic of Bangladesh owns 51% of the newly
renamed corporation, with Sonali Bank owning the remaining 49%.

Account section:

This is an extremely important element for any business. As a result, this is an important
department for a commercial bank. Here, records of all transactions from each department are
kept. The Accounts department verifies all financial accounts and transaction contents.

Every working day, all accounts are balanced and reconciled to ensure that there are no
discrepancies.

The following are the overarching activities of the accounts section: Record all transactions in
the cash book. Record all transactions in the general and subsidiary ledgers.

15
Prepare daily fund functions, weekly position reports, monthly statements of affairs, and so
forth. Prepare the necessary statements for reporting.

➢ Make a salary statement and pay your wage.

➢ Pay all expenses on the branch's behalf.
➢ Branch-to-branch fund transfer and account treatment assistance.
➢ Budgeting for the branch.
➢ Make charges for several types of duties.

Ancillary Services

Sonali Bank Limited, in addition to its regular banking operations, provides a variety of
additional services through its nationwide branch network.

Collection:

➢ Gasoline bills
➢ Bills for electricity
➢ Telephone statements
➢ Water and sewer bills
➢ Municipal property tax
➢ Fees for passports, visas, and travel taxes
➢ Excise and customs duties
➢ VAT and source tax
➢ The Jakat Fund
➢ Hajj dowry
➢ Tax on land development

Payment:

➢ Pensions for employees of the government and other corporations

➢ Pensions for Bangladesh Bank employees
➢ Army retirement

16
 ➢ Pension in the United Kingdom
➢ Stipends/scholarships for students
➢ Salary of government and non-government teachers
➢ On behalf of the government, I am submitting a food purchase bill.

Social Services:

➢ Pensions for the elderly

➢ Allowances for widows, divorcees, and needy women
➢ Compensation for freedom fighters
➢ Rehabilitative benefits for acid-survivor women
➢ Maternity benefits for low-income women
➢ Disability benefits
➢ Savings Certificates for Sale and Encashment/Purchase
➢ Unit Certificates from ICB
➢ Bonds for Prizes
➢ Development Bonds for Wage Earners
➢ Premiums in US dollars and investment bonds
➢ Lottery tickets from various semi-government and autonomous bodies
➢ Application form for the Sanchay Patra Public Service Commission
➢ Application form for the Judicial Service Commission
➢ Notes that have become dirty or ripped are exchanged.

Other Services:

➢ Bank account information of a tax payer's client, as requested by the NBR

➢ Non-Governmental Insurance Company Joins Local Governance Support Project.

17
Other Interests

MOU (Memorandum of Understanding):

On June 30, 2004, the bank signed a memorandum of understanding with Bangladesh Bank.
The memorandum contains several particular conditions that must be met in terms of loan and
advance monitoring and supervision, including the recovery of classified debts.

Risk Management: Risks are inherent in the banking industry, as they are in any other firm.
However, the risks are multifaceted and complex. Although significant progress has been made
in the field of risk management on a global scale, no structural policy/development in this area
has yet been implemented in the banking industry. In this regard, Bangladesh Bank has
identified five (five) main areas of banking operations and published required
recommendations in five areas:

➢ Credit dangers.
➢ Risks to assets and liabilities/balance sheets.
➢ Foreign currency concerns
➢ Risks of money laundering and
➢ Risks associated with internal control and compliance

Personnel: As of 30.06.2008, the bank's total personnel were 23754, with 12227 officers and
11527 employees.

Training: The Sonali Bank personnel College in Dhaka, together with three institutes in
Chittagong, Rajshahi, and Khulna, and one training center in Bogra, have been providing
training programs covering all banking functions in order to train all categories of Sonali Bank
officers and personnel.

Library: The Sonali Bank central library houses a vast collection of books on a wide range of
subjects. The library has also been expanded with recently published books on Banking,

18
Management, Accounting, Agriculture, Industrial Finance, Economics, Computer, and a
variety of other fields, and its collection is growing year after year.

Consumer Service: In addition to computerization, corporate client service, and one-stop

service, Sonali Bank has begun to provide qualified consumer service. Sonali Bank has
implemented the SWIFT (Society for Worldwide Interbank Finance and Telecommunication)
system in its 12 branches to facilitate foreign exchange transactions. The bank has created a
website, a Reuters service, an Internet service, and a ready cash service. The bank has decided
to implement a shared ATM system at numerous strategic locations.

3.7 Sonali Bank Ltd Products

➢ Export credit (pre- and post-shipment)

➢ Facilitating credit LCs (Letters of Credit) from suppliers
➢ Foreign currency guarantees
➢ A bid bond - A performance guarantee - A guarantee of advance payment
➢ Purchasing and discounting bills
➢ Foreign currency remittances, collection, purchases and sales of traveler's cheques
➢ Taka NRAT (Non-Resident Account)
➢ Non-Resident Foreign Currency Deposit (NFCD A/C)
➢ RFCD A/C stands for Resident Foreign Currency Deposit.
➢ Taka accounts, convertible and non-convertible
➢ Forward contracts
➢ Banking relationships with correspondents

The products and services are delivered through a well-established nationwide network of
authorized branches.

Account Types: The accounting department is the most important functional component of
this branch. This bank maintains the following types of accounts:

19
1. A/C fixed deposits

2. A/C short-term deposits

3. A/C of a deposit pension system (DPS)

4. Sonali Bank A/C for special deposits and pension schemes

A/C savings deposits

A/C current deposits A/C call deposits and

7. Various deposit accounts.

Remittance is the system of transmitting or sending money from one branch of the same bank
to another branch of the same bank, or from one bank to another bank inside or beyond the
country. It is one of the most significant functions of a bank. A bank can make substantial
commissions on money remittance transactions. During my internship program, I gained
hands-on knowledge with how money is transferred from one bank branch to another or from
one bank to another.

Remittances can be classified into two types:

A) Domestic Remittance

B) Remittances from Abroad

A) Inland Remittance: When money is transferred within a country via a suitable banking route,
this is referred to as inland remittance. Every working day, Sonali Bank, Rajshahi Medical
College Hospital Branch handles a large volume of inland remittances.

a. Inland Remittance Modes:

1) Demand Draft (DD): DD is the most commonly utilized remitting fund instrument. It is an
order to pay money drawn by one branch of a bank upon another branch of the same bank for
a certain sum of money payable on demand and order.

20
2) Mail Transfer (MT): MT is another popular method of transferring funds from one branch
of a bank to another branch of the same bank. It isn't utilized to transfer money from one bank
to another. MT is essentially same as DD.

3) Telegraphic Transfer (TT): TT is the quickest way to transfer funds between two branches
of the same bank. Funds cannot be transferred from one bank to another using TT.

B) Foreign Remittance:

The procedure to transfer money from one country to another country through bank or other
govt. authorized agencies is called foreign remittance. The Sonali Bank, Mirpur Shilpa Elaka
Branch, Dhaka does not provide foreign remittance facility to its customer directly.

3.8 Duties Performed in the General Banking:

General banking is the one of the most important departments of every banking transaction.

During the internship period I learn most this section. I did my work in the following section
under general banking Division.

1. Account opening.
2. Account closing.
3. Cheque Issue.
4. Local Remittance.
5. Clearing House Section.
6. Dispatch section.

21
Chapter 4: An Overview of Electronic Banking

22
The internet is a network that connects other networks. It is a global network of interconnected
computer networks that employ the standard internet protocol suite (Transmission Control
Protocol/Internet Protocol), abbreviated as TCP/IP. The internet is made up of billions of
public, commercial, academic, business, and government networks that range in size from local
to worldwide. A variety of electronic, wireless, and optical networking technologies connect
these networks.

The internet has become a must in all fields. The internet's significance has grown to a new
level since it transports inter-linked Hypertext documents from the World Wide Web as well
as a wide range of significant information resources and sources. The internet has not only
aided many professionals in their various industries by publishing and exchanging knowledge,
but it has also transformed traditional modes of communication such as telephone, music, and
television. E-mail, or electronic mail, has made it possible for businesses and individuals to
interact at a significantly lower cost. Instant messaging has made communication far more
convenient than e-mail. Users can exchange messages in real time using their PCs, laptops,
PDAs, Tabs, mobile phones, and other devices. Users can now read news, novels, and other
material that is accessible via a network thanks to website technology. A web page is a text-
based document that is typically authored in plain text. A web page, on the other hand, is
interspersed with formatting instructions in Hypertext Mark Up Language (HTML) or
(XHTML). A website's pages can be accessed via a basic Uniform Resource Locator known as
the web address. The internet site Blogging and web feeds are now possible thanks to
technological advancements. Human relationships have risen more than ever before thanks to
social networking. The internet also allows individuals in remote locations to communicate via
VOIP, or Voice over Internet Protocol. Using internet technologies, millions of internet users
communicate or chat with one another. The internet has enabled doctors to perform distant
operations via teleconferencing or to use instructions on a robot over the internet to perform
surgery on a patient on the other side of the world. E-COMMERCE and internet buying have
facilitated the establishment of new businesses. Anyone can trade utilizing an e-commerce
website while sitting at home. Many different sorts of businesses use the internet to efficiently
reach their clients. The internet is used for both (B2B) business-to-business transactions and
(B2C) business-to-customer transactions. Financial institutions use the internet for a variety of
objectives, including keeping up with current events, marketing financial products to their

23
clients, and providing financial services. People's increased usage of the Internet has persuaded
banks to develop the concept of E- Banking or E- Banking.

E- Banking: E- Banking encompasses all forms of banking activities carried out over
electronic networks. In recent years, E- Banking has been used to supply banking services to
both business-to-business (B2B) and business-to-customer (B2C) transactions.

4.1 A Quick Overview of E- Banking

Payment of bills and invoices, transfer of cash from one account to another, application for a
loan, payment of loan installments, and transmitting monies to third parties are all examples of
electronic banking activity. Emails and internet-based activities are used to carry out these
tasks. E-commerce is a type of banking.

An electronic link between a specific bank and its customers. It is capable of preparing,
managing, and controlling financial transactions. E- banking is simply a method of carrying
out transactions via networks; it is not a banking product or service.

4.2 The Evolution of Electronic Banking

With the growth of internet users and the development of the World Wide Web, the concept of
E- Banking arose. Long ago, programmers worked on data bases of banking transactions, and
the concept of E- Banking transactions emerged in the early 1980s. New technologies and
advancements in computing devices created a chance to launch a new online buying trend.
Online buying, or purchasing from a website via the internet, encouraged the usage of credit
cards. Date warehousing or date storage facilities were employed to facilitate online buying.
The building of databases of banking transactions was also utilized during the development of
Automatic Teller Machines, or ATMs.

24
Financial organizations and banking institutions, mostly in Europe and the United States of
America, conducted research and programming trials o "Home Banking" in the 1980s. At the
time, Home Banking was done through the use of telephones and fax machines. This was done
since the internet was not widely available and many individuals were unaware of such
services. The widespread use of the internet and the evolution of programming technology
opened up new avenues for banks.

The Nottingham Building Society (NBS) launched the first electronic banking service in the
United Kingdom. The E- Banking Facility that was launched is thought to have been taken
from the "Prestel" technology. The NBS's electronic banking service was unimpressive and
had problems. The biggest disadvantage was that it limited the amount of Account holders
might perform transactions and functions. The first electronic banking service was offered in
the United States in 1994. Stanford University is a financial institution. Federal Credit Union
created this E- Banking service. There are numerous disadvantages to using electronic banking.
These include hacking, phishing, pharming, spoofing, sniffing, and other unethical practices
that make E- Banking facilities dangerous for both users and banks.

Although there are disadvantages to using electronic banking, we must also evaluate the
advantages. E- banking has caused a revolution, and it has a vital role to play in improving the
financial industry sector.

4.3 E-Banking Products and Services:

E-banking goods and services range from wholesale to retail for business and individual
consumers. Different sorts of products and services are intended to meet the needs of various
consumer groups.

Wholesale products and services include the following:

Bill Presentation and Payment via Wire Transfer Automated Clearinghouse Transaction.

25
Products and Services for Retail Included are: Fund Transfer, Transaction Information
Facility Investment Presentation of Bill and Payment Loan Application from the online, and
Balance Inquiry.

4.4 Types of E- Banking:

Informational:

This is the most basic level of banking. Customers cannot monitor or update their accounts
using this sort of E- Banking. It also prohibits communication between its customers and the
bank. Rather, it offers useful information about its products and services. This is exclusively
used for marketing purposes and can be provided by the bank or outsourced to a third party.
To prevent unauthorized changes to the bank's server or website, appropriate control is
essential.

Communicative: At this level, E- Banking allows for some interaction between the bank's
systems and the consumers. It is limited to basic activities such as account inquiries, loan
applications, and file modifications (such as contact information). At this level, the risk is
substantial because the servers may have access to the bank's internal networks. Appropriate
measures are required to prevent unauthorized access to the bank's internal internet.

Transactional: This is the most common type of E- Banking and provides all of the advantages
of traditional manual banking. This gives its users complete control over their accounts. This
comprises deposits, payments, withdrawals, and fund transfers, among other things. However,
strict control is essential because the hazards connected with unethical practices are greatest at
this level. To make E- Banking facilities relevant and convenient in the market, proper security
measures are essential.

26
4.5 E- Banking Risk Management

New threats have emerged as a result of the advent of the internet and new technology. The
bank's senior management faces new problems. The following are the several categories of risk
associated with electronic banking:

Credit Risk: Users of e-banking can apply for credit from anywhere in the world.

A customer who has failed to pay his or her financial obligations poses a risk to earnings or
capital. It is tough for banks to determine a customer's identity. The bank will also have
difficulty verifying the collateral against a specific loan. An individual can also pretend to be
someone else and apply for a loan.

Risk of Interest Rates: One of the risks of electronic banking is the risk to earnings or capital
from interest rate swings. E-banking has the potential to attract a big pool of deposits and loans.
The Customers can use the internet to compare interest rates from various bank’s websites.
This puts downward pressure on interest rates. Frequently, the bank must respond to changes
in market interest rates. Interest rates can fluctuate due to changes in the maturities of various
investments, as well as the changing rate between different yields. Interest risk can also be
affected by disparities in the timing of rate changes and differing cash flows.

Liquidity Risk: Banks occasionally face the issue of failing to satisfy their obligations. E-
commerce increases the volatility of assets and deposits. Some clients just keep their deposit
accounts because of advantageous interest rates, and they frequently withdraw cash and deposit
it in other banks whenever a better rate is available. To avoid such situations, suitable
asset/liability and loan management systems should be employed.

Price Risk: Price risk is one of the hazards to earnings or capital stemming from changes in
the value of traded portfolios of financial instruments. This is a risk associated with actions
such as dealing and taking positions in the interest rate, foreign exchange, equities, and
commodities markets. If banks start or expand their current deposit brokering, loan sales, or
securitization operations, they are subject to price hazards. If banks engage in E- Banking
activities, all of these activities can provide pricing hazards.
27
Risks of Foreign Exchange: This is a risk that occurs when assets in one currency are
supported by liabilities in another currency. Foreign relations can be exacerbated by social,
political, and economic progress. Customers from several nations can use E- Banking to take
speculative positions. Because of the cheaper transaction costs, they can participate in such
activities. Banks may have higher holding transactions and investments in foreign currencies
at times. This raises the dangers of foreign exchange.

Transactions risk: This is the risk to earnings and capital posed by fraud, error, and the failure
to offer services or products, maintain a competitive position, or handle information.
Transaction risk that may exist with E- Banking products if they are not adequately planned,
deployed, and managed. Banks that offer E- Banking should always strive to meet and exceed
their clients' expectations by ensuring that they have the correct product mix and the capacity
to give accurate, quick, and dependable services.

Compliance Risk: The risks to earnings or capital resulting from noncompliance with a
country's laws, rules, regulations, recommended procedures, and ethical standards. This risk
can have an impact on a bank's reputation, commercial opportunities, and consumer perception.
Banks must use caution when learning and interpreting the legislation of other countries. Banks
should also be cautious about client privacy and obtain customer consent whenever possible.

Reputation Risk: This risk stems from poor public opinion and has an immediate and long-
term impact on earnings and capital. The bank's ability to create can be hampered by
reputational risk. Banks with E- Banking services should be concerned about reputation risk
because it might result in financial loss for the bank to reduce its customer base, etc. E-banking
services should not be limited in availability or response rate. Proper website monitoring is
essential so that Website linkages dislike implicit endorsements of other websites. These
factors should be considered because customers are likely to transfer to other organizations if
they discover defects in a bank's E- Banking services.

28
Strategic risk:

Strategic risk is the danger of losing earnings or capital as a result of poor business decisions
and poor business implementation. Many bank executives and managers are unsure how to
integrate the strategic and technical aspects of E- Banking. For this aim, a good cost-benefit
analysis is required. To conduct out E- Banking, the company must have the necessary
structure, resources, and competence.

Information Security Risk: Information security risk is one of the most significant threats to
earnings and capital. This occurs when the security mechanism is insufficiently robust. This
puts the institution at risk of malicious hacker or insider assaults, viruses, and other threats.
Other unethical practices include data theft and fraud.

29
Chapter-5: Bangladesh E-Banking

30
Electronic banking

Through several impossible advances, e- banking is revolutionizing the financial services

business. The volume of cross-border trading and other financial activity is expanding
geometrically as a result of technological advancements. Technology, particularly information
technology, has enabled efficient and effective generation, collection, and processing of
information regarding bank operations and bank customers. It enables the development of more
effective control systems in particular institutions and the market as a whole. In comparison to
paper-based operations, Electronic Banking Systems, in their most advanced form, provide
instant verification and transfer while reducing the flow of costly paper in the record keeping
process. The use of technology in banking allows for the decrease of both paper and personnel.
Banks created EBS for three main reasons: to protect and grow market share, to minimize
operational costs by replacing physical capital and technology for labor, and to generate new
revenue (Horseman, Michael J. 1979).

E-banking enables banks to expand their markets for traditional deposit taking and credit
extension activities, as well as to offer new goods and services and increase their competitive
position in existing payment services. Furthermore, electronic banking has the potential to
lower bank operational expenses. More broadly, the ongoing development of electronic
banking and electronic money may help to improve the efficiency of the banking and payment
systems while also lowering the cost of retail transactions on a national and worldwide scale.
Although numerous financial instruments and systems are today called "Electronic Banking,"
the phrase "Electronic Banking" first appeared in the financial world in the late 1980s, with the
potential of the birth of real electronic money. The phrase "Electronic Banking" encompasses
all types of back-office information management technology and financial services delivered
via electronic devices. The advancement of information technology has helped to economic
prosperity in a variety of ways. The impact of ICT on activity processes has resulted in
increased productivity.

To fulfill the growing demand for on-line real-time financial services, banks have increased
their own size and financial strength, as well as expanded the scope of their product lines.

31
5.1 Electronic banking structure

E-banking is a broad phrase that refers to a variety of computer-based technologies used to

provide banking services. The functional aspects of electronic banking systems separate them
into two categories: back-office electronic banking and electronic financial instruments or
front-office electronic services. Back-office electronic banking services include information
management and rapid fund transfer capabilities for both traditional banking and financial
instruments and electronic financial instruments. Since the start of fundamental kinds of
electronic banking in science, it has gone through a lengthy evolution process.

5.2 Electronic services provided by various banks in Bangladesh

Different Foreign and Private Commercial Banks (PCBs) in Bangladesh offer the following
electronic services:

➢ Savings, current, FDR, PDS, and Term Deposit Scheme bank accounts
➢ For the benefit of client pleasure in Bangladesh, all of these accounts are kept in an
electronic format. People can deposit money and withdraw money using an electronic
gadget. These are the usual bank accounts that are kept by bank customers on a regular
basis, and the bank is also given high priority or amenities in this regard to their
customers.
➢ Special Services Some banks provide special services to its customers in order to attract
other institutions.

Point-of-Sale Debit:

An advanced payment system that allows consumers to use an ATM Card to pay for products
and services, debiting the cardholder's account and crediting the merchant's account.

32
Credit and debit cards:

There are two kinds of playing cards. The first is debit, which allows you to withdraw your
money from the bank at any moment. Another example is a credit system offered by banks to
their customers. Customers can use their credit balance while shopping, withdraw cash, and so
on.

5.3 Electronic banking

Customers must have Internet access in order to conduct this sort of banking. As an E- Banking
customer, he or she will be assigned a unique user ID and a confidential/secret or secure
password in order to gain access to their own account. Customers can view their ledger
balances, transfer money, request anything from the bank, and so on.

Personal Banking

Home banking eliminates the need for consumers to visit branches, and most transactions will
be automated, allowing them to check their account activities, transfer funds, and open L/Cs
while sitting at their desk with the help of a PC and a telephone. For example, HSBC provides
Hexagon services to both individual and business customers.

ATM stands for Automated Teller Machine.

ATM stands for "Automated Teller Machine," and it functions similarly to a teller point at a
bank, accepting and dispensing money over the counter. ATMs are similar to teller machines;
however, they operate automatically using identification such as a card and a password. It does
not require a slip or a cheque, but it is heavily reliant on the A/C holder's ATM card and
password. Those who are eligible for an ATM card have been given a password for each card.
This is similar to a debit card. People can deposit money in a bank account and withdraw it
using an ATM card, which is available 24 hours a day, 365 days a year. It is known by several
names such as ATM, 24-hour banking card, money link card, e-cash, ready cash, and so on.

33
Since 1992-93, some multinational corporations in Bangladesh have operated ATM booths in
Dhaka. The Grindlays Bank was the first to open in Bangladesh, followed by Standard
Chartered Bank, American Express Bank, HSBC, Bank Asia, and seven other local private
banks.

Telephone Banking

Tele-Banking allows clients to access their banking information 24 hours a day, seven days a
week. Subscribers can change their information by dialing a phone number. They can transfer
any amount of money to other accounts from any location, including their home or business.

SWIFT

SWIFT is a bank-owned non-profit co-operative located in Belgium that serves the global
financial community. It provides encrypted messaging to 6,495 banks and financial institutions
in 178 countries throughout the world, 24 hours a day. The SWIFT worldwide network
transports around 4 million communications per day, with an estimated average value of USD
2 trillion.

SWIFT is a highly secure messaging network that allows banks to send and receive Fund
Transfer, L/C related, and other free format messages to and from any other bank that is a
member of the network. With SWIFT, the bank will be able to service its customers more
profitably by issuing L/C, Payment, and other messages efficiently and securely. It will be very
beneficial to our clients who deal with imports, exports, and remittances, among other things.

Simple Payment Machine

It is a mechanical device that accepts utility bills such as land phone bills, cell phone bills, gas
bills, WASA-DESA bills, and so on. The following day, the bank would report to the
appropriate body to acknowledge on behalf of their customer.

34
BEFTN: The Bangladesh Electronic Funds Transfer Network (BEFTN) will operate as a
processing and delivery centre providing for the distribution and settlement of electronic credit
and debit instruments among all participating banks.

Others

Other electronic services, such as TV Banking, Mobile Banking, SMS Banking via cellular
phone, Mail Banking, and so on, are being used in an inconspicuous manner. However, banks
are working hard to produce new goods that can be done using electronic devices such as the
internet, telephones (including cellular phones), and mechanical devices.

5.4 The following are the Common Characteristics of Electronic

Banking in Bangladesh

Since 1992, numerous global banks have been developing the concept of electronic banking in
Bangladesh. However, most local and foreign banks have implemented electronic banking in
all of their locations. In this section, the researcher refined several typical aspects of electronic
banking in Bangladesh.

1. 24-hour cash deposit and withdrawal service

2. Quick cash withdrawal without needing to wait in line
3. Account activity inquiry at any time
4. Request for statement via ATM/Debit/Credit Card
5. Transfer funds from one account to another in the same bank.
6. Check the Current Balance
7. Shopping facilities open for more than 16 hours
8. Use a mechanical device to deposit or mail cash or cheque(s) (cross cheque).
9. Changing Your Personal Identification Number
10. Cash deposit, which will be deposited on the same day as the deposit,
eliminating the need to visit the branch on every occasion.

35
11. Mini-statement including 8-10 prior transaction records Can you pay your
utility bill?
12. Withdraw funds using a VISA, PLUS, MASTER, MAESTRO, or another credit
card.
13. Withdraw funds from the dollar account that pays in taka by converting foreign
currency.

36
Chapter-6: Analysis and Findings

37
6.1 Analysis

E-Banking Services of Sonali Bank PLC

6.1.1 E-banking services in general:

Computerization of the Branch:

There are 1175 active branches. 1181 of the 1202 branches at home have already been added
to the automation network.

Remittances from Abroad:

The bank's in-house software "Remittance Management System" (RMS+), which includes the
ability to pay overseas remittances promptly over the counter, is being installed in all branches.
This web-based program delivers digital services to expatriates by delivering a confirmation
message to the remitter's or beneficiary's cell phone.

Figure 3: RMS of SBL

ATM

Sonali Bank Limited is a participant in the Q-Cash ATM network. The bank currently has 63
ATM booths. Sonali Bank ATM cardholders get access to ATMs and POS of Dutch Bangla
Bank Ltd. and BRAC Bank Ltd. in addition to those of the Q-Cash consortium. Sonali Bank
has lately introduced a credit card.

38
 Figure 4: ATM of SBL

Internet and Online Banking:

All parts of Sonali Bank Restricted (SLB) have been brought under online organization. From
now into foreseeable future all customers of SBL will actually want to profit exchange
administrations of the bank through web-based banking from any piece of Bangladesh. Online
banking system is an amazing method to decrease paper utilization. Sonali Banks now has 169
branches in the Online Any Branch Banking (ABB) network. All the branches of SBL are
providing online banking facilities through its core banking system (CBS) software namely
“Sonali Intellect”. Fund Transfer to other bank’s account through BEFTN, NPSB, BACH,
RTGS has been made available through online banking for the customers. SBL has offered
24/7 accessible internet banking service. The bank is seriously working on connecting all
branches in Real-time E-banking network gradually. By using real time internet banking our
customers can avail the services SBL Corporate Branch, like:

39
 Credit
Card
Payment

Utility Balance Fund

Payment Enquery Transfer

View
A/C
Statement

Figure 5: Online Banking

Mobile Financial Services (SMS and Mobile Banking):

Sonali Banks now has 1231 branches in the Online Any Branch Banking (ABB) network. SMS
Banking is available in 1229 branches. SMS banking services are provided by branches that
have ABB capability. This service enables customers to get account balance, mini statement
and daily transactions at anytime from anywhere through SMS. At present a lot of registered
customers of CBS (Core Banking System) software branches are availing this facility. Besides
the bank launched transactions alert service from 22 October 2017 to facilitate
SB/CA/SND/Loan account holders for getting mobile alerts in their respective accounts during
transactions.

6.1.2 SBL Q-Cash ATM Network Advantages:

➢ Sonali Bank Limited now offers proprietary debit and credit cards.
➢ Cardholders can simply pay utility bills such as water, telephone, and gas.
➢ It is simple to transfer funds between participating Bank branches.
➢ Transactions are available 24 hours a day, seven days a week.
➢ It is a low-risk cash-carrying facility.
➢ Cashless purchases are possible at certain Points of Sales (POS).
➢ Only specially built Bangladeshi branches deal Q-Cash is a type of credit card.

40
 ➢ Sonali Bank Q-Cash card will be introduced in District and Upazilla level branches as
soon as possible.

Figure 6: Types of Cards

6.3 Debit/Credit Card Services:

Sonali Debit Card:

Sonali Bank Limited is a member of the Q-Cash Consortium. Sonali Bank Limited cardholders
can utilize ATMs of consortium member banks Dutch-Bangla Bank and BRAC Bank Limited.
Sonali Bank Limited, Basic Bank Limited, IFIC Bank Limited, Janata Bank Limited, National
Bank Limited, and Pubali Bank Limited are Q-Cash Consortium members.

➢ ICB Islamic Bank Limited

➢ Trust Bank Limited
➢ Bangladesh Commerce Bank Limited
➢ Social Islamic Bank Limited
➢ Eastern Bank Limited
➢ Jamuna Bank Limited
➢ NCC Bank Limited
➢ State Bank of India
➢ Markentile Bank Limited
➢ The City Bank Limited
➢ Shahjalal Islamic Bank Limited
➢ Standard Chartered Bank Limited
➢ Mutual Trust Bank Limited
➢ Uttara Bank Limited

41
 ➢ Bank Asia Limited

Sonali Bank Limited debit and credit cardholders can use the following ATM Booths,
retail centers, and Points of Sale (POS):

Other Bank Transaction Charges Per Transaction Including VAT:

22 Q-Cash Member Banks = Tk. 11.50

Omnibus Network (BRAC Ban) = Tk. 17.25

Dutch Bangla Bank = Tk. 34.50

Other Information

Yearly charge for Debit Card is Tk. 345.00 (Including VAT)

Duplicate Card issue of lost = Tk. 200.00

Exclusive features of SBL Debit card:

➢ 24/7 hours service

➢ Highly secured
➢ Tax Payment Facility
➢ Mobile phone recharge
➢ Cash withdrawal facility from any ATM in Bangladesh
➢ Can be used in shopping outlet, departmental stores and restaurants where POS is
available
➢ Widely accepted in any POS machine
➢ Supplementary card available
➢ Account balance and mini statement inquiry from ATM
➢ PIN change facility

42
 ➢ No limit for POS transaction
➢ Per day four times ATM transaction facility

Sonali Credit Card Services:

Sonali Bank Limited has launched a proprietary credit card. Officers of the bank are currently
eligible for credit card privileges. Other than that, officers of the government, semi-
government, autonomous organizations, teachers, and officers of government universities who
receive their salaries from Sonali Bank Limited's issuing branches are eligible for Sonali Credit
cards.

Sonali Sheba

Sonali Sheba, an in-house developed web based software, is being used to collect various fees
of Barishal University,National University,Bangladesh Marine Academy , Secondary and
Higher Secondary Education Board of Dhaka, Barishal, Chittagong, Rajshahi,Jessore, Sylhet,
Comilla,Dinajpur,Bar Council, National ID correction fee of Election Commission.

Figure 7: Sonali eSheba

43
Website:

The website of SBL as shown in Figure has been reconstructed by an IT Division and
introduced on 1 january 2012. Customers complain has been added to the website. The website
address of SBL is www.sonalibank.com.bd. The information contained on the website is being
regularly updated.

Figure 8: Website of SBL

6.2 Findings

The survey questionnaire is prepared to capture the thoughts of customers about the quality of
services provided by the SBL and if the automated and online based services are secure enough
to please customers.

The questions in the survey are pick out type question and replies from those who already had
an account with SBL were agreed. The survey’s results are listed below:

From the viewpoint of the customers, it is proved that the majority of them are content with the
quality of the service they receive.

44
1st Question:

Rating for Customer Services

20%

40%

10%

30%

Very Satisfied Satisfied Neutral Dissatisfied

Figure 9: Rating for Customer Services

30% of customers are satisfied with the SBL’s customer service, 40% of them are exceptionally
satisfied. 20% of the survey are dissatisfied, where 10% chose neutral. The following graph
shows how satisfied the clients are with their contacts with bank employees. It shows that more
than 80% of customers has a positive attitude with the efficiency of their typical encounters
with bank staff. In the last 2 month I have dealt with a different type of challenging client
handling circumstances. Such as, a proportion of bank customers are senior citizens. When
they come to collect their old age benefits it can be challenging to prepare them.

All the staff are taught how to manage these situations and put their effort to secure that
interaction with customers go as smoothly as possible.

45
 Interaction with Employees
0%

14%
19%

67%

Very Satisfied Satisfied Neutral Dissatisfied

Figure 10: Interaction with Employees

The major findings are, customers are dissatisfied with the average time to take any banking
services. Each consumers have to spend average more than 15 minutes to get a simple work
done. And they also claimed that they occasionally had to wait in a long line at a busy branch
like Barishal. Even, it took more time while the whole banking process was done manually.67%
of consumers trust in the technological excellence of SBL.

46
2nd Question:

E-Banking Users

22%

52%

24%

2%

SMS Credit Card Debit Card None

Figure 11: E-banking Users

52% of respondent have SMS alert service activated, 24% have debit card and 2% users have
credit card authorized with their bank account.

Consideration Factors
100% 0%

95% 10% 10%

15%
90%
100%
85%
90% 90%
80% 85%

75%
Better rates & service Security of transaction Quick service Friendliness
charges

Important Neutral

Figure 12: Consideration Factors

47
90% of users of e-banking services demand better rates and lower service fees. 10% of
respondents said they have no issues with the current rates and fees. Without a doubt, every
responder said that they want perfect security. 90% of responders want services extremely
promptly. 85% of individuals desire services that are easy to use.

Mobile Application Should be Developed to Provide This

Service

10%

8%

42%

40%

Strongly Agree Agree Neutral Disagree

Figure 13: Mobile Application Should be Developed to Provide This Service

The figure shows that the people agree on development of mobile applications for e-banking
service. 82% respondent responded positively whereas 8% were neutral and only 10% were
negative on this case.

48
Chapter 7: Problems Identified

49
➢ The majority of customers are dissatisfied with the Sonali Bank Transaction Limit.
They stated that the bank exchange limit is expansion. So, I can claim that the bank
understands the needs of its customers.
➢ Sonali Bank Ltd, backs off are not available in all locations. This is making a lot of
customer’s cries.
➢ Both are in an open position. A significant portion of the clientele are uneasy.
➢ ATM cradles at Sonali Bank Ltd are inaccessible to the restaurant and strip mall. Most
rare clients are dissatisfied with this issue. So, I can state that Sonali Bank Ltd. has
established an ATM card office near the bistro and strip mall.
➢ ATMs are not all across UP.
➢ There is no voice mentioning option for stupor folks.
➢ ATMs failed to deliver cash. This problem affects the vast majority of clients.
➢ Long-term server frustrations.
➢ CBS (Center Banking Software) is a new application that has been running for a few
months. So, if someone requires the statement or any information associated with the
trading of various moths, the previous programming known as Baxibank is required.
➢ No electronic token structure is in use, and computers are not at the forefront.
➢ SMS banking is not or is only occasionally used, and SMS association is not available.
➢ Online banking may be vulnerable to secret word forgery, and online security isn’t as
impressive as the size of the bank.
➢ This assistance is not available.
➢ Only composed branches manage Q money cards.
➢ Because of a poor introduction, most SBL customers are unaware of this link.

50
Chapter 8: Recommendation

51
Going forward, proposals are made to address the issues.

1. The bank should grow additional ATM backs off, and Sonali Bank Ltd. should have enough
cash to the ATM corners.

2. The Bangla Interface should be displayed as soon as possible. Because there are a few clients
who are unable to communicate in English.

3. The branch office should not be linked to nearby broadband services. For this condition,
recommend that the branches use BTCL arrange access.

4. SMS Banking need urgent development. The thrill of time is the remaking of this bond.

5. The head office could consider developing a Smartphone-friendly application to provide

better associations.

6. E-banking organizations could try to assemble additional store plots by better displaying and
upgrading methods.

7. The framework of an e-banking system should be adaptive at all times.

8. All exchange-related assertions should be included in CBS programming.

9. E-banking should improve communication between branches.

10. E-banking associations should be based on client needs and fulfillment. The E-Banking
Association should fix all issues that the client encounters in electronic banking as soon as
possible.

11. Marketing and sales management should be designed to attract customers.

52
Conclusion

The report clearly shows that customers who utilize Sonali Bank's E-banking features are
dissatisfied with the service. If the bank wants to develop its E-banking customer base, it should
prioritize speed, user friendliness, safety and convenience, and quick response aspects. Correct
web hosting for this reason, is essential. Customers should also be made aware of unethical
tactics such as sniffing, spoofing, phishing, pharming, and other dangerous software that
hackers can utilize. Attention should also be paid to the encryption of information sent between
users and banks. As a result, the study is extremely valuable to both Sonali Bank and
Bangladesh in terms of learning more about E-banking relationships and consumer satisfaction.

53
Bibliography

1. Annamalah, S. (2017). Factors Determining Consumer Adoption of Internet Banking. Social

Science Research Network.

2. (2020). Annual_Report_2020. Sonali Bank.

3. FREDERIC S. MISHKIN, A. S. (2001). The Economics of Money, Banking and Financial

Markets.

4. Parmita Saha, Y. Z. (2005). Relationship between online service quality and customer

satisfaction : a study in Internet banking. Semantic Scholar.

5. Rizal Hamid, A. H. (2010). A comparative analysis of internet banking in Malaysia and

Thailand. Journal of Internet Business.

6. Shakila Zerin Bony, F. K. (2013). Practice of E-banking in commercial bank: An empirical

study in Bangladesh. International Journal of Business and Social Research.

7. Shamsuddoha, M. (2008). Electronic Banking in Bangladesh.

8. Shaun Mcquitty, A. F. (2000). Systematically varying consumer satisfaction and its

implications for product choice. Academy of Marketing Science Review.

9. Sonali Bank Limited. (n.d.). Retrieved from bankinfobd:

http://bankinfobd.com/banks/40/Sonali_Bank

10. Kotler, P., 2000. Marketing Management. 10 ed. New Jersey: Prentice-Hall

11. Santos, 2003. “E-service quality: a model of virtual service quality dimensions”,.

Management service quality, 13(03), pp. 233-246.

54
Appendix

Questionnaire:

1. Do you have bank account in SBL?

a) Yes
b) No

2. What Gender do you identify as?

a) Male
b) Female
c) Other

3. How long have you been with SBL?

a) Less than 1 year

b) 1-3 years
c) More than 3 years

4. Do you have accounts in other banks?

a) Yes
b) No

5. How would you rate the following services at SBL?

a) High
b) Average
c) Low

6. What is the average waiting time in the bank?

a) Less than 5 minutes

b) 5-15 minutes
c) More than 15 minutes

55
7. Do you believe in the technological excellence of SBL?

a) Yes
b) No

8. Do you have SMS banking or Debit/Credit card attached with your account?

a) Yes
b) No

9. How would you rate the ATM services provided by SBL compared to other banks?

a) Excellent
b) Good
c) Fair
d) Poor
e) Very poor

10. How would you rate the overall quality of your relationship with the bank?

a) Excellent
b) Good
c) Fair
d) Poor
e) Very poor

11. How would you rate the ease of doing regular banking with SBL?

a) Very easy
b) Fair
c) Moderate
d) Complicated
e) Very complicated

12. Do you believe that SBL can satisfy your future needs?

a) Yes
b) No

56
13. How would you rate the overall banking experience with SBL?

a) Excellent
b) Good
c) Fair
d) Poor
e) Very poor

15. Do you use your cell phone for any financial/ banking transactions?

a) Yes
b) No

14. What are the mobile banking services you use?

a) To get account balance update

b) To transfer money
c) To Pay utility bills
d) All the above

57