SUMMIT BANK LIMITED

URDU BAZAR BRANCH, LAHORE

Internship Report
Submitted in Partial Fulfillment
For
The Degree of
M.Com
BY:
Arslan Shoukat
Session (2015-16)

INTERNSHIP REPORT
ON

URDU BAZAR BRANCH, LAHORE

II

ACKNOWLEDGEMENT
By the Grace of Almighty Allah, the most Merciful, and the most Beneficial, due to
the bounteous blessing of Almighty Allah, I become able to contribute this report on
completion of my internship period at Summit Bank Ltd. Urdu bazar branch,
Lahore. This report is prepared in partial fulfillment of the degree of M.COM.
Iam thankful to the staff of Summit Bank Ltd. Urdu bazar branch, Lahore:
Mr. Sajid Rashid
(Branch Manager)
Mr. Tahir Mehmood
(Operations Manager)
Mr. Sharjeel Munir
(Relationship Manger)
Mr. Mohsen Shoukat(Customer Services Officer)
Mr. Imran Javed
(Teller)
because without their cooperation I was unable to write this internship report.
In last I would like to acknowledge my thanks to my parents, my teachers and
friends, for their help and support.

EXECUTIVE SUMMARY
THE PURPOSE OF STUDY WAS TO KNOW ABOUT SUMMIT
BANK LIMITED AND TO ANALYZE THE FINANCIAL STATEMENTS
In this report the Summit Banks history, mission, vision and services
as well as management is mentioned. After this the analysis of
III

financial statements is conducted which shows where the Banks is

standing. Banking sector of Pakistan has been transformed within a
short period of 5 years from a sluggish and Government dominated
sectors to a much more agile, competitive and profitable industry
speed and sequencing of banking sector transformation and its role in
promoting economic growth is now a leading story of a sector success.
Within Pakistan SBP offers a story of what effective leadership of
regulator and change management and corporate governance can
achieve and offer. Outside Pakistan it is serving to offer rich lessons in
what difference governance of regulator can make and how bank
restructuring and privatization can change the landscape of the
industry.
Summit Bank Limited started operations in August 2006 and became a
profitable entity within one year. AHBL had started off with a high
capital base and is positioned to take advantage of the business
synergies and complementariness afforded to it by its sponsoring
group. The bank has a quality management team, a first class
technology platform, and commitment to global practices. Its business
strategy is based on the block-building principle wherein profitable
niches are tapped progressively.
I did my 6-weeks internship in Summit Bank Limited Shikarpur Road
Branch Sukkur. During internship I was rolled over in departments.
Summit Bank made heavy investments towards enhancing its
capabilities in the area of automation and technology. It is well
positioned to meet client needs, with improved competitive advantage
During my six weeks internship in Summit Bank Shikarpur Road
Branch Sukkur, I spend my time in following departments:

Customer Services Department

Cash Department
Clearing Department
Remittances
Marketing Department

Working in these departments was a great learning exposure for me.

When I conduct financial and trend analysis of Summit Bank, I found
that its financial position is improving year by year. Comparative study
with other banks shows that it is somewhat better then other banks. I
concluded that Summit Bank is performing very well.
The data which is accumulated in this report has been collected through
primary and secondary sources
IV

TABLE OF CONTENTS

INTRODUCTION....................................................................1
HISTORY
2
BUSINESS AND BRANCH NETWORK
3
FUTURE OUTLOOK
3

VISION..................................................................................4
MISSION................................................................................ 4
CREDIT RATING....................................................................4
BOARD OF DIRECTORS........................................................5
MANAGEMENT COMMITTEE.................................................6
ORG.STRUCTURE OF SHIKARPUR ROAD SUKKUR
BRANCH.7
MANAGEMENT OF SHIKARPUR ROAD SUKKUR BRANCH.....8
PRODUCTS OFFERED BY SUMMIT BANK LTD......................9
ACCOUNTS
9
CURRENT ACCOUNT
9
PLS ACCOUNT
9
TERM DEPOSIT
10
MAHANA AMDAN ACCOUNT
10
DAILY PRODUCT ACCOUNT
12

HAMARA FAMILY ACCOUNT

12
SUMMIT ADVANTAGE ACCOUNT
13
ELECTRONIC BANKING SERVICES
14
MOBILE BANKING
15
INTERNET BANKING
15
CONTACT CENTRE
16
U-PAYMENTS
17
MOBILE BALANCE RECHARGE
17
BILL PAYMENTS
17
INTER BANK FUNDS TRANSFER
18
E-STATEMENT
19
CONSUMER BANKING
20
HOME FINANCE
20
PERSONAL FINANCE
WEDDING PLANNER
GRADUATE PLAN
GOLDEN AGE PLAN
INSURANCE PLANS
ATM WITHDRAWAL INSURANCE
PERSONAL ACCIDENT INSURANCE
CORPORATE AND INVESTMENT BANKING
AREAS OF CORPORATE BANKING
AREAS OF INVESTMENT BANKING
COMMERCIAL AND SME BANKING
VISA DEBIT CARD
CLASSIC CARD
GOLD CARD
WESTERN UNION
AMANAT CASH
XPRESS MONEY

22
23
24
25
26
26
26
27
27
27
28
29
29
30
31
32
32

DEPARTMENTS AT SHIKARPUR ROAD BRANCH SUKKUR...33

VI

CUSTOMER SERVICES DEPARTMENT

ACCOUNT OPENING PROCEDURE
ACCOUNT CLOSING PROCEDURE
CAPTURED ATM CARDS
CASH DEPARTMENT
CLEARING DEPARTMENT
OUTWARD CLEARING
INWARD CLEARING
COLLECTION (OBC)

33
33
34
35
35
35
36
36
37

SWOT ANALYSIS..................................................................37
STRENGHTS
WEAKNESSES
OPPORTUNITIES
THREATS

37
37
37
37

CONCLUSIONS....................................................................38
SUGGESTIONS....................................................................39
REFERENCES.....................................................................40

VII

INTRODUCTION
Banking sector owes a pivotal importance in the economy of any country through its
vibrant functions. A bank is a financial institution that offers the widest
range of financial services. These financial institutions play a vital role
throughout the worlds economic system.
The banking structure of Pakistan consists of State Bank of Pakistan,
Commercial Banks, Exchange Banks, Cooperative Banks, Saving Banks
and Specialized Credit Institution. Banking means the accepting of
money from public, in shape of deposits for the purpose of lending or
investment, repayable on demand or otherwise, and withdrawal by
cheques, drafts, and pay order
The Pakistani banking sector mounted an overall recovery drive,
increasing its asset base by approximately 8% during the year .
However, credit and business conditions are likely to remain fragile,
driven by the government's weak fiscal position and the subdued
investment climate. Furthermore, downside risks may further weigh
on the banks' operating environment over the period.
However, despite the material risks, no further major deterioration in
asset quality is expected over the coming period. NPLs are also
expected to have peaked at around 16% of total lending by year-end
2011, from 15.3% at end-June 2011. Short-term economic growth,
lower interest rates and de-risking of the banks' loan book will drive
stabilization in asset-quality metrics.
Recognizing the system's structural challenges the Bank as a policy
opted for and benefited from sound funding profiles and low-cost
current and savings account deposits, which increased to 67% of total
deposits or 56% of total liabilities at end-June 2011. The Banks
reliance on market and foreign funding also remained minimal.
The year 2011 remained fraught with challenges for Pakistan,
the core issues which affected Pakistan s economy and were
also identified in the Economic Survey issued by the Government
included persistent and high inflation, low growth, lesser in revenue
collection compared to budget figure leading to a high fiscal
deficit which continues to add to the overall debt along with a
fall in the investments. All these factors, combined with the global

economic slowdown and rise in global fuel prices have further

complicated the issues and economic scenario.
The economic development of Pakistan remained under pressure due
to the deterioration of major macroeconomic factors.
Industrial
production and creation of new capacity was negatively impacted
by the almost continuous energy crisis throughout the year and
the insistent circular debt issue remained an area of concern.
The decline in foreign direct investments because of unsafe security
situation, along with high inflation and a mounting fiscal deficit remain
threats to the macroeconomic stability of the country.
T o provide relief to the people and businesses, the SBP reduced the discount
rate to around 12% per annum in line with reduction of inflation rate during the
year . During the period agriculture sector posted real growth of 1.2% and after
suffering consecutive quarterly deficits, industrial production surged to grow at a robust
pace in the last quarter of the year. Remittance inflows to Pakistan also rose by an
estimated 25 % in 2011 over and above 2010 inflows and touched almost US $ 12 billion
constituting almost 4.8% of Pakistans GDP.
HISTORY
Summit Bank Ltd is one of the fastest growing commercial banks of Pakistan, which,
in a very short span of time, has expanded its network across the country and built an
infrastructure based on state of the art Risk Management Framework as well as IT
platform. Also targeting to be a universal bank in terms of providing products and
services in all key segments of banking i.e. Corporate and Investment Banking, Trade
Finance, Commercial Mid Market / SMEs, and Consumer Banking, it commenced its
operations in August 2006.
The Pakistan operations of Rupali Bank Limited were acquired by Arif Habib Securities
Limited under the Scheme of Amalgamation approved by the State Bank of Pakistan.
The name of Rupali Bank Ltd was subsequently changed to Arif Habib Rupali Bank Ltd
and then finally to Arif Habib Bank Ltd in October 2007. On 31 st March 2010, Suroor
Investments Ltd, a company incorporated in Mauritius, acquired 59.41% stake in Arif
Habib Bank Ltd from Arif Habib Securities Ltd, and on 18 th August 2010, Arif Habib
Bank Ltd was rebranded as Summit Bank Ltd.
Suroor Investments Ltd. also entered into share purchase agreements (SPAs) with
majority shareholders of MyBank Ltd and Atlas Bank Ltd, who after completion of the
transactions have merged in Summit Bank Ltd expanding the Banks geographical
outreach with a network of 166 Real Time Online branches across the country. In line
with the managements vision of making this bank a front runner amongst its peer banks,
this merger has brought synergies and access to a wider range of markets and customers.

By acquiring one of the best IT platforms of the world, offering web and SMS based
banking to the customers besides providing superior MIS to the Management; the Bank
is committed to be recognized as a preferred supplier of financial services to the markets
it serves. To achieve these goals, the Bank will strengthen itself in the financial service
industry, leverage optimal mix of technology to attain operating cost efficiencies,
achieve product and service differentiation, while at the same time growing its footprint
through further expansion of its branch network across the country.
BUSINESS AND BRANCH NETWORK
After the completion of the merger processes, the Summit Bank Limited is now
operating with the network of 165 branches all over Pakistan offering a wide range of
products and services to its customers and the community at large. Consequent to the
merger of the three banks, multiple branches in the same vicinity have been relocated to
the strategic locations. This not only widened the Banks presence in more areas but also
reduced the annual rental cost by 53 million approximately.
Summit Bank Limited launched new products and services, during the year 2011.
The e-banking services were introduced that satisfied the needs of different customer
segments. The Bank also successfully entered the VISA International network by
August 2011. Besides broadening the Banks sources of foreign exchange and income,
our entry into the VISA network means that owners of VISA-branded cards issued
anywhere in the world can now, without restriction, enjoy the convenience of
having access to local currency funds at all A TMs of the Bank.
The internet banking facility of the Bank continues to provide immense
convenience to both personal and business clients who need to regularly access and
monitor their transactions. The Internet Banking service now provides customers the
ease of being able to make transfers to other accountholders in the ease and comfort of
their own homes or offices
FUTURE OUTLOOK
The bank has ambitious but realistic plans for the future; it intends to focus on widening
and diversifying its customer base, introduce new and innovative products/services
including tailored services to meet specific needs of the individual clients. The
bank will continue to provide and improve its technological base and introduce
the state-of-the-art banking products and solutions. It will also further improve its
existing e-banking services to facilitate its customers.
After successfully handling the merger related issues the management is geared to
take advantage of its new broader branch network and create new synergies through
consolidation process. The bank is now well placed and has the requisite capacities to
move forward towards realizing its vision and achieving long term strategic growth.

The Bank is committed to observance and adoption of internationally accepted best

practices of Corporate Governance and intends to further improve its current practices of
Corporate Governance.

To be the preferred provider of financial products &

services to the markets

To be a financial institution based on Trust,

Integrity, and Good Governance.
To deliver financial solutions to our customers.
To provide equal opportunities & professional
working environment to our employees.
To provide fair return to our shareholders on
their investment.
To serve the community at large.
To discharge corporate social responsibility.

CREDIT RATING

Rating Type: JCR VIS

Rating
Medium to Long Subordinated
Short Term
Agency
Term
Debt Instrument
JCR-VIS
AA-2
A- (SO)

Outlook
Rating Watch -Developing

BOARD OF DIRECTORS

Mr. Nasser Abdullah Hussain Lootah

Chairman
Mr. Husain Lawai
President and CEO
Mr. Nasim Beg
Director
Mr. Asadullah Khawaja
Director
Mr. Farid Uddin
Director
Dr. Ahmed Khalil Mohammad Samea Al Mutawa
Director
Mr. Shehryar Faruque
Director

MANAGEMENT COMMITTEE
Husain Lawai
President and CEO
Mohammad Zahir Esmail
Chief Operating Officer
Syed Mohammad Anwar Lutfullah
Group Head Operations, Information Technology, Consumer, Branchless Banking &
Corporate Communications
Ahsan Raza Durrani
Group Head Corporate and Investment Banking, Financial Institution and Capital Market
Gulrays Khan
Group Head Compliance & Co-ordination and Control
Syed Asif Ali
Group Head Enterprise Risk Management
Mr. Akhtar Ali Khan
Group Head SAM & Legal
Mr. Gulrez Yazdani
Group Head Wealth Management Division
Muhammad Amin Bhoori
Chief Financial Officer & Company Secretary
Faisal Shaikha
Head of Treasury
6

Aziz Morris
Head of Internal Audit
Hanif Yousuf
Head of Business Promotion and Development
Mohammad Mursleen Rao
Head of Corporate-North

ORGANIZATIONAL STRUCTURE OF SUMMIT BANK LTD

URDU BAZAR BRANCH, LAHORE

MANAGEMENT OF SUMMIT BANK LTD

URDU BAZAR BRANCH, LAHORE

BRANCH MANAGER
Mr. Sajid Rashid
OPERATIONS MANAGER
Mr. Asif Zia Soomro
RELATIONSHIP MANAGER
Mr. Faisal Khan
CUSTOMER SERVICES OFFICER
Miss. Nadia Jatoi
HEAD TELLER
Mr. Naseem Ahmed Jamali
TELLER
Mr. Rafiq Ahmed Mithani

PROUDUCTS\SERVICES OFFERED BY SUMMIT BANK LIMITED

ACCOUNTS

Summit Bank Current Account is a convenient and secure way of holding your money in
local and foreign currencies.
The key features of this account are as follows:
Non-interest bearing
Starter cheque book issued when the account is opened
Unlimited free-of-cost transaction facility
No deduction of Zakat
Choice of periodic statements (monthly, quarterly, half-yearly and annual) by
post
Access to account statement anytime through Internet Banking facility
Account transaction information through SMS
Free issuance of VISA debit card
Cash withdrawal through large ATM network

Summit Banks Savings Account is the most convenient way to manage your savings in
local and foreign currencies. Our Savings Account has been designed to provide you
with easy access to your money, as well as a higher rate of profit.
Key features of these accounts are as follows:

Starter cheque book is issued when the account is opened

No penalty on minimum balance not being maintained
Choice of periodic statements (on monthly, quarterly, half-yearly and annual
basis) by post.
Access to your account statement anytime through our Internet Banking and eStatement facilities
Account transaction information through SMS
Free issuance of a VISA debit card
Easy cash withdrawal through a vast network of ATMs

Term Deposits are offered by Summit Bank to the following types of customers:
Individuals (single or joint)
Minors (to be operated by the guardian)
Charitable institutions
Provident fund & other funds of benevolent nature
Local bodies
Autonomous corporations
Limited companies
Firms, associations, educational institutions, financial and other institutions who
intend to retain their deposits for a fixed period in order to earn a higher rate of
profit.

10

Deposit Limits
Rs. 50,000 up-to Rs.10 million
Rate of Profit
Term Deposits
3 Months
6 Months
1 Year
2 Year
3 Year

Expected Rate of Profit

9.50%
10.00%
11.00%
11.25%
11.50%

Notes:

These are not rack rates.

All Terms & Conditions must be according to the scheme.
These rates are not applicable for any amount which is less than Rs. 500,000.
In case of any deposit of more than Rs. 5 million, the Treasury front office may
be contacted for improvement of rates.
In case of premature encashment, the depositors will be paid at the rack rate of
last completed tenor on the broken period.
These rates cannot be offered to Financial Institutions, e.g. Banks, DFIs,
Investment Banks, Leasing Companies and Mutual Funds.

Eligibility:
All individuals and institutions other than Financial Institutions are eligible for this
account.
Period of Deposit
6 months, 1 year, 2 years & 3 Years
Special Benefits

Free VISA debit card

11

Monthly profit will be credited in the depositors account and can be withdrawn
through cheque or ATM, free of charge
Deposit will be rolled over on maturity for the same period at the rates prevailing
on the date of maturity, unless otherwise requested by the customer.
Free GSM Services [The customer will have an option to be informed of each
transaction made in his/her account via SMS]
Free Internet Banking
Free issuance of pay orders and demand drafts

Conditions

Profit is subject to Zakat, withholding tax and other taxes are imposed from time
to time, unless exempted.
Regular declared TDR profit rates [for the last completed period of deposit] will
be paid on premature encashment

Take advantage of our Daily Product Account, which is a unique account where your
money begins earning interest as soon as you make a deposit. Interest is calculated on
your daily closing balance and credited to your account monthly, which means you make
money from the day of initial deposit to the day that you withdraw your funds. Its a
simple way to start growing your savings right away. The minimum amount required to
open this account is Rs. 25,000. It is an account that raises your own money (deposit) on
daily basis.

12

Fostering the bond that exists with its customers, and to better serve their financial
needs, Summit Bank has come up with Summit Family Savings Account a unique
savings account offering superior returns and a host of free services.

As a trendsetter, Summit Bank brings a solution to assure parents of their commitment to

their children. With more values, more expertise and more solutions, Summit Bank
innovates a savings account that serves the entire family. Get your entire family to bank
with Summit Bank, and enjoy vast privileges and
unique benefits that go hand in hand with Summit Innovations.
We have exciting surprises for the first year customers.
Heres how it Works?
Grouped accounts for the family
Initial Investment Requirement-Rs.5,000/ Minimum Balance Requirement-Rs.5,000/ Attractive return of 9%
Additional 2% as bonus feature*
Up to Five free Visa debit cards
Minors can make purchases and withdraw cash at ATMs via the Visa Debit Card
Heres what you get?
SMS alerts
Mobile Balance Recharge
Visa Debit Cards
Internet Banking
ATM Cash Withdrawal Insurance
Personal Accidental Insurance
Utility Bill Payment through SMS/ATMs/Internet and/or Contact Centre ATM
Intra-Bank Fund Transfer
Lockers
Eligibility
The customer ID of the primary account holder will be the family ID. The Primary
account holder CANNOT be a minor. Minimum 2 and maximum 5 members can be
grouped under a single Family Savings Account

13

Offering beyond expectations, Summit Advantage meets all your requirements of

satisfactory banking, convenient financing needs and more.
Summit Advantage Account is a unique combination of exceptional returns on your
investment coupled with a facility to avail up to 70% financing; and thats not all, it
comes with an added advantage of no additional mark up!
This unique offer is for those who want to conserve their savings but still want to avail a
convenient financing facility to manage periodic cash flow needs. Offering superior
returns on your valuable savings and charging no extra mark up on your loan financing
with Summit Advantage, you cannot aspire for more. Select Summit Advantage to
experience an ultimate in banking innovation.

Key Features:

Maximum Loan up to 70% of the deposit with no additional markup (11.0%

p.a.)
Exceptional returns up to 11.0% p.a.
Monthly profit payout
Term: 1 year
Minimum investment of Rs 100,000/- with a maximum limit of up to Rs
50,000,000
Access to a range of value added facilities

Free Facilities:

Visa Debit Card

Internet Banking
SMS Alerts

14

Summit Bank is one of the leading banks in Pakistan in terms of electronic banking. We
offer our customers a diverse range of electronic services and convenient banking
options through various channels, such as ATMs, mobile phones and Internet.
Our Mobile Banking allows customers to avail a variety of banking services of pure
SMS-based technology, including mobile balance recharge and utility bill payments, as
well as account information.
Internet Banking is another channel on which we offer extensive banking services.
Customers can view account information, pay bills, transfer funds, and conduct many
other transactions through their account(s). Hence providing a fast, secure and
convenient way to banking.

In keeping up with rapidly changing technology, Summit Bank offers you banking
through your mobile. You can easily keep track of all your account transactions through
your mobile phone, and retrieve account information whenever you want, just by typing
and sending a simple SMS.
Transaction Alerts
Now wherever you go, your bank goes with you. Summit Bank gives you the following
free transaction alerts on your mobile:

Day End Balance

All Transactions (Debit & Credit)

15

You can also check your transactions and account balance. Customers who are already
subscribed for SMS alerts are automatically eligible for this service.

Summit Bank offers a secure, fast and convenient Internet Banking channel with a range
of services. It will change the way you bank today.
Internet Banking ensures that you have convenient access to your account and banking
services, no matter where you are.
Services offered through Internet Banking:

Bill Payments
Credit Card Bill Payments
Mobile Balance Recharge Facility
Funds Transfer within Summit Bank
Inter Bank Fund Transfer
View and Download Account Statement
View ATM/VISA Debit Card Transaction Details
Activate/Deactivate ATM/VISA Debit Cards
Change ATM/VISA Debit Card PIN
Manage Spend/Withdrawal Limits for VISA Debit Cards
View Status & Stop Payment of Cheques
View Consumer Loan Details
Register and Track Complaints
View Internet Transaction Activity Log

Summit Banks 24/7 Contact Center is a state-of-the-art telephone information hub,

based on cutting edge communications technology. For any queries, concerns or

16

complaints, you can call our Contact Center toll free, at 0800-24365 24 hours a day,
365 days a year.
An interactive voice response (IVR) system allows you to bank directly and
independently, without the need of speaking to our Phone Banking Officers.
You can avail the following services through the Contact Center:

Balance Inquiry
VISA Debit Card Activation
VISA Debit Card Blocking & PIN Change
Utility Bill Payments
Cheque Book & Pay Order Requests
Complaint Registration
Statement Requests
Mobile Balance Recharge
Product & Service Information

With a Ufone connection and a Summit Bank account, you can avail convenience like no
other.
You can easily utilize the following services from your mobile:

Balance Inquiry
Mini Statement
Funds Transfer
Utility Bill Payments
Prepaid Ufone Balance Recharge
Postpaid Ufone Bill Payment

17

Anywhere, anytime, every network! Summit Banks Mobile Balance Recharge service,
the first of its kind, is the easiest and quickest way of recharging your own and your
friends and familys mobile airtime.

Save your time by availing Summit Banks Utility Bill Payments service. You can now
pay your bills through Internet Banking or sending an SMS to 24365.
Open an account in Summit Bank now to get this unique and efficient Bill Payment
service.

With our IBFT facility, you can easily transfer funds to accounts in other banks using our
ATM or Internet Banking.
Summit Bank IBFT enables you to send and receive funds on a real-time basis to and
from any account holder of 1-Link IBFT participating member banks.
Key Benefits

18

Convenience
Instant transfer
Round the clock facility
Eliminates use of cash & cheques

Transfer Funds through ATM

Insert your ATM/VISA Debit Card

Enter your PIN
Select Funds Transfer from the Main Menu
Select 1-Link member bank from the Funds Transfer Menu
In the From Account option, select your account type for transfer of funds
Select bank to which funds will be transferred
Enter the Beneficiary Account Number
Enter the amount to be transferred
Verify the Beneficiary Name, Bank and Branch
Confirm the transaction

Transfer Funds through Internet Banking

Log in at www.summitbank.com.pk
Click Funds Transfer
Click Other Bank Account(s)
Select the account you want to transfer funds from, and enter the amount
Select the bank you want to transfer to
Choose your transfer option (Beneficiary List Account or Other Account)
For Other Account, enter the Account Number and click Fetch Title. Verify
account details and click Submit to complete transfer
For Beneficiary List Account, select a beneficiary from the list and click Submit
to complete transfer

e-Statement is a convenient facility, through which you can choose to receive your
account statements over email, so you can access your statement whenever you choose,
wherever you go. The paperless service allows you to save account records without any
paperwork.

19

You can choose from a list of customized statement periods.

Statement Periods:

Daily
Weekly
Fortnightly
Monthly
Quarterly
Half-yearly*
Yearly*

Understanding trends in consumer product markets, and the financial needs of

consumers, SMBL is now designing Consumer Banking services through a dedicated
division. SMBL aims to aggressively grow its existing product portfolio by introducing
products in phases. We provide services for deposits, consumer loans, credit cards,
insurance and asset management through a customer-focused and competitive approach
while closely following technological developments. With a clearly defined market
segment and a solid strategic intent supported by a modern and reliable infrastructure,
Summit Bank is ready to reach new heights in Consumer Banking services.

20

Buying your first home is a major milestone in your life and one of the biggest financial
decisions you will ever make. Helpful information combined with the right
advice can make a world of difference and assist you in making the ultimate
decision. Get your own shelter and deal comfortable with your house hold
chores.
Summit Bank has a comprehensive range of home loans schemes with solutions for
everyone. The value and flexibility that Summit Bank Home Finance offers,
complemented by exceptionally personalized service, is what makes it the right choice
for you. At Summit Bank, we believe in simplicity & convenience.
Summit Bank Home Finance can be sought to fulfill any of the following needs:

Buy-a-Home
Build-a-Home
Home Renovation
Purchase of Land & Construction
Home Debt Consolidation (BTF)

The salient features of this plan are appended here-under:

Minimum: Rs.300,000/Loan Amount
Minimum Collateral Value

Maximum: Rs.50,000,000/Rs.1,000,000/Minimum: 03 years

Maximum: 20 years

Loan Tenor

*Proposed financing period of loan must

mature 5 years prior to the expiry of

Mark-up Rate*

Lease
Salaried (K+4)

21

Self Employed Professional (K+4.5)

Self Employed Businessman (K+5)
Equitable or Registered Mortgage
Type of Mortgage
(as per lawyers advise)
Bank should have a first charge on the
mortgaged property through Equitable
Mortgage Charge
Plus Token / 100% Registered Mortgage

Property & Life Insurance

(as per lawyers advise).

Property & Life Insurance will be
mandatory
from Banks authorized insurance company

*K=06 Months Average KIBOR

Worried about how to meet all the expenses coming up at once?

If youre short of funds for your daughters wedding, a major surgical operation,
outstanding credit card payments, house refurnishing, a new laptop, childrens
education abroad or anything else, you can now breathe a sigh of relief. Personal
Finance is the right solution to bring all your needs and luxuries within reach.
Summit Bank takes pride in announcing the launch of another unique and valuable
addition to the privileges and benefits it offers an innovative, convenient and secure
way to meet your personal and family financial needs through Personal Finance.
The salient features of this plan are appended here-under:

22

Loan Tenor

Minimum: Rs.25,000/-Maximum:
Rs.1,000,000/Minimum: 1 yearMaximum: 5 years

Type of Loan

Term Loan

Type of Facility

Un-Secured

Type of Markup

Fixed During Loan Term

Loan Amount

Premature Payment Facility Available

Loan Enhancement Facility Available (History / Income Based)
Loan Top-up Facility

Available

A high value investment and protection plan that is designed to help customers build the
required funds to meet their childs marriage expenses on payment of regular premium.
The salient features of this plan are appended here-under:
Eligible
18 55 Years
Enrollment Age
Policy Term

Minimum 10 Years Upto The Age of 70 Years

PKR 6,000/- For Monthly Mode OR

Minimum Basic
PKR 25,000/- For Annual, Semi-Annual and Quarterly
Premium
Modes
Maximum Basic
No Limit
Premium
Account Value Facility Available If customer has surplus funds, he or she
Acceleration
may top-up the regular premiums by depositing a lump sum
Premium (AVAP) contribution to the Plan
Premium
Payment Mode

Direct Debit From Summit Bank Account

23

Partial
Withdrawal

Allowed After 5 Years

Policy Surrender

Allowed After 2 Years. In Case of Earlier Surrender,

Applicable Charges are To Be paid

Choice of
Investment
Strategies

Make Your Own Mix (Switching Facility Available)

Non-Medical
Limit

PKR 2.5 Million Upto The Age of 45 Years

Family Protection Rider (FPR) In case of permanent and

total disability of the insured, all due future premiums are
waived from the date of diagnosis of disability
Loyalty Bonus Payable At The End of Every 5 Years
Basic Face Amount OR Account Value (Which Ever Is
Death Benefit
Higher)
Maturity Benefit Accumulated Account Value Payable in Lump Sum
Built-in Rider

A high value investment and protection plan that is designed to help customers build the
required funds to meet their childs college fees on payment of regular premium.
The salient features of this plan are appended here-under:
Eligible
18 55 Years
Enrollment Age
Policy Term

Minimum 10 Years Upto The Age of 70 Years

Minimum Basic PKR 6,000/- For Monthly Mode ORPKR 25,000/- For
Premium
Annual, Semi-Annual and Quarterly Modes
Maximum Basic
No Limit
Premium

24

Account Value Facility Available If customer has surplus funds, he or she

Acceleration
may top-up the regular premiums by depositing a lump sum
Premium (AVAP) contribution to the Plan
Premium
Direct Debit From Summit Bank Account
Payment Mode
Partial
Allowed After 5 Years
Withdrawal
Allowed After 2 Years. In Case of Earlier Surrender,
Policy Surrender
Applicable Charges To Be paid
Choice of
Investment
Make Your Own Mix (Switching Facility Available)
Strategies
Non-Medical
PKR 2.5 Million Upto The Age of 45 Years
Limit
Family Protection Rider (FPR) In case of permanent and
Built-in Rider
total disability of the insured, all due future premiums are
waived from the date of diagnosis of disability
Loyalty Bonus Payable At The End of Every 5 Years
Basic Face Amount OR Account Value (Which Ever Is
Death Benefit
Higher)
Accumulated Account Value Payable in Four Equal Annual
Maturity Benefit
Installments

A high value investment and protection plan that is designed to help customers continue
with their existing lifestyle even after they retire on payment of regular premium.
The salient features of this plan are:
Eligible
18 65 Years
Enrollment Age
Policy Term
Minimum 10 Years Upto The Age of 85 Years
PKR 6,000/- For Monthly Mode OR
Minimum Basic
PKR 25,000/- For Annual, Semi-Annual and
Premium
Quarterly Modes
Maximum Basic
No Limit
Premium

25

Account Value Facility Available If customer has surplus funds, he or she

Acceleration
may top-up the regular premiums by depositing a lump sum
Premium (AVAP)contribution to the Plan
Premium
Direct Debit From Summit Bank Account
Payment Mode
Partial
Allowed After 5 Years
Withdrawal
Allowed After 2 Years. In Case of Earlier Surrender,
Policy Surrender
Applicable Charges To Be paid
Choice of
Investment
Make Your Own Mix (Switching Facility Available)
Strategies
Non-Medical
PKR 2.5 Million Upto The Age of 45 Years
Limit
Accident Care Benefit (ACB) In case of death or
permanent and total disability of the insured, an additional
Built-in Rider
benefit equal to 10 times the basic annual premium is
payable.
Loyalty Bonus Payable At The End of Every 5 Years
Basic Face Amount OR Account Value (Which Ever Is
Death Benefit
Higher)
Accumulated Account Value is used to buy monthly pension
Maturity Benefit that is payable for lifetime of the customer and guaranteed
for a minimum of 20 years

INSURANCE PLANS

Unexpected events that strike without warning can disrupt the smooth rhythm of life.
Insurance plans are policies that talk to you individually and give you the most suitable
options to fit your requirements. To ensure your financial security Summit Bank now
offers two Protection Plans.
ATM Withdrawal Insurance
Summit bank offers insurance in case of unexpected mishap, with our ATM Withdrawal
Insurance; you are protected at all 1-Link ATMs 24 hours a day, 365 days a year.
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Personal Accident Insurance

Life is full of surprises and you never know what way it turns next. With our Personal
Accident Insurance, youre protected in case of an accident, 24 hours a day, 365 days a
year, at a very low premium.

Our mission is to serve all corporate requirements and ensure full satisfaction through
product innovation, personalized banking, and top notch service. Our Corporate &
Investment Banking Group focuses on attracting and serving Blue Chip Customers. Our
forte is providing exemplary customer service using the Single Window concept and
Product Superiority. Our Corporate Banking Group comprises a seasoned team of
Relationship Managers (RMs) to meet the demanding service standards of
Corporatations & Businesses enabling us to provide timely and effective financial
solutions for our customers to meet the growing challenges of a global economy. Our
RMs have the expertise you need to create tailored financial solutions catering to the
specific requirements of your business. Whether its establishing a new venture or
expanding an existing business, our team understands the banking needs of businesses,
and works closely with them to help them realize their goals.
Some of our Specialist areas in Corporate Banking include:

Running Finance, Short Term & Long Term Finance, Financing against Imported
Merchandise (FIM), Cash finance and Export Re-finance.
Pre and Post Shipment Export Financing (PKR and USD based)
Import Financing (PKR and USD Based).
Trade Services including Letter of Credit (Sight & usance), Letter of Guarantee
and Standby Letter of Credit, etc.
All other services with respect to the requirement of business of borrower are
provided here.

Our specialist area in Investment Banking include:

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Project & Structured Finance

Syndications & Debt Capital Market
Equity & Advisory
Bonds
o Structured Finance
o Leveraged Buyouts
o Privatization
o Equity Underwriting & Placement
o Mergers
o Corporate Restructuring
o Syndicated Loans
o Project Finance
o Private Equity
o Equity De-Listing
o Acquisitions

Our Commercial & SME Division targets Medium Sized Companies with a turnover of
at least PKR 25 50 million. We have a centralized set up and have the ability and the
resources to meet the needs of your business with our pro-active, responsive and
experienced Relationship Managers who are committed to understanding your business.
If you have a small or medium-sized business, SMBL can assist you with the right mix
of banking services that will help you manage and grow your business. Our experts will
facilitate you in the varied financial situations that you come across.
We offer financing for the following:

Working Capital Financing

Procurement of Inventory
Receivables financing
Procurement of Machinery
Expansion of production facilities
BMR
Import / Exports

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Guarantees

Summit Visa Debit Card welcomes you to a world of privilege and pleasure. Be it
shopping, dining or travelling, Summit Visa Debit Card lets you do it all, with ease and
panache. With the accessibility one aspires for and the convenience one desires, Summit
Visa Debit Card redefines purchasing pleasure.

Combining domestic convenience with international luxury, Summit Visa Debit Card is a
perfect alternative to cash. As the most versatile payment tool in the market, it
incorporates the benefits of flexibility, security and incomparable convenience, and is
your gateway to unparalleled rewards.
Summit Visa Debit Card also opens up avenues to a world of Electronic Banking
services. Now you can pay your bills, transfer funds, monitor your account, purchase
prepaid airtime and do a lot more, all with your Summit Visa Debit Card. Offering you
the highest value for the lowest prices, this Card empowers you with world class
purchasing convenience.

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It is as simple as Shop Swipe Sign

Benefits

Worldwide acceptability
Flexibility of usage
Complete personal financial management
Security, Reliability, Convenience
Insurance
Vast privileges /unique benefits
Zero loss liability
Flexible daily spend limits
24 Hr emergency helpline
Competitive rates
Annual Fee Waiver for the first year
Countless deals / discounts/ packages both locally and internationally
Access to electronic banking services
E Alerts
Funds Transfer Via ATM
Mobile recharge Via ATM
Utility Bill Payment via ATM

The luxury you deserve

Summit Visa Debit Gold Card grants you access to a vast bundle of Gold privileges and
benefits. As our preferred customer, you get a superior level of service along with an
ease to purchase all that you like, effortlessly and conveniently. Exciting domestic deals
and enticing international packages guarantee you the highest level of purchasing
pleasure.
Summit Bank now introduces the Cash Back Card! With SMBL Visa Debit Gold Card,
you are rewarded every time you shop. When you make a purchase, you get a 5 % cash
back* if your shopping ranges between Rs.3, 000 to Rs.10, 000 every month. This Card
not only offers you ultimate in purchasing convenience but also rewards you for it. No
matter what you buy and with no inhibiting terms & conditions, SMBL Visa Debit Card
30

is not just an ordinary payment tool but a truly rewarding experience. To avail your share
of this experience, please dial 0800-24365 or visit Summit Bank Branch closest to you.
Cash Back Features

5% CASH BACK* applicable wherever you shop

Applicable on spend amount as low as Rs.3,000/Maximum spend limit Rs.10,000/The cash back amount will be credited to your account at the start of the
following month (if criteria met)
Applicable only on Gold Card Holders maintaining minimum average balance of
Rs.300,000
Overdraft Facility also available

Cash Back Benefits

No astronomical spend criteria

No hidden conditions
Flat 5% cash back* across any and all retail outlets
No barriers to minimum or maximum transaction counts
Applicable on spend limits as low as Rs.3,000
Get Rs.500 on spending Rs.10,000 anywhere in a whole month
Such a Deal has never been offered previously on Debit Cards

Added Benefits

Great local & international Privileges

Visa Global Customer Assistance Services (GCAS)
Lost/Stolen Card Reporting
Cardholder Inquiry Service
More discounts and deals to choose from
Lowest charges than currently being offered elsewhere
Access to a host of electronic banking services
Annual Fee waiver for the first year
Funds Transfer Via ATM
Mobile recharge Via ATM
Utility Bill Payment via ATM

31

We offer quick and convenient delivery of cash over the Counter services in association
with Western Union. No matter where you are around the globe, if there is Western
Union around, you can transfer funds to your loved ones, in no time. This payment can
easily be picked up in a matter of moments at dedicated Western Union counters in our
branches. No account at Summit Bank is required for this service.

Summit Bank is pleased to introduce Amanat Remittance services, namely AMANAT

CASH
Summit Bank is affiliated with PRI (Pakistan Remittance Initiative) which is a joint
venture of ministry of finance and State Bank of Pakistan. It has affiliation in all 165
branches and over 850 partner payout locations nationwide. All the branches are online.
Summit Bank Ltd has the ability to transfer funds into beneficiarys account instantly
through IBFT and RTGS enabled Banks (which covers over 90% of account holders in
Pakistan). Funds will be directly credited to beneficiary accounts in Fast, Free & Secure
manner.
Amanat Cash Services include the following:
1. Cash to Account (Instant Bank Transfer)
2. Cash-to-Cash Money Transfer (Instant Cash over Counter)
3. 9 am to 8 pm remittances disbursement services at selected branches in all major cities
to facilitate the beneficiary to collect the payments over the counter, which no other bank
offers.
4. Cash-to- AMANAT Card (Remittance Card Service for the Beneficiary)
5. Cash-to-Cash Home-delivery Service

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Xpress Money is simply the fastest way you can receive money from anywhere. We take
pride in ensuring that it reaches the beneficiary safely and in a matter of minutes.

DEPARTMENTS AT URDU BAZAR BRANCH, LAHORE.

Following departments operates in Summit Bank Limited; Shikarpur
Road Sukkur Branch:
Customer Services Department
Cash Department
Clearing Department
Local Remittance Department
Marketing Department

CUSTOMER SERVICES DEPARTMENT

The department that is responsible for opening and closing of an
account assumes immense significance and holds a central place in
the basic banking operations. In this department I worked under CSO,
Miss Nadia Jatoi; who taught me about following areas of her
department:
PROCEDURE OF OPENING AN ACCOUNT
The Account Opening Form:
When a client comes to the bank, and makes a request for opening of
an A/C. The officer first gave him a prescribed application form.
Completion of the Form:
The name, occupation, and complete address of the person opening
the account are written in the columns provided in the form. One
signature of the person is taken on the face of the form and one is

33

taken on the backside. These signatures should be usual signatures

and he would operate the account with them in future.
Specimen Signature Card (S. S. Card):
The signatures of the client are obtained on a specimen Signature
card. These cards are obtained in duplicate with two signatures on
each card from the customer. Every time a cheque is received for a
payment from the client, the signature on the cheques are verified by
comparing them with the S.S. Card.
Issuance of Account Number:
When all the formalities are completed then the final approval of
account has to be taken from the Branch Manager. After obtaining
approval of the branch manager an account number is allotted to the
customer and all the information is entered into the computer. Then
that account number is printed on the Cheque Book, S. S. cards and
account opening form.
Issuance of a Cheques book:
After opening an A/C with the bank, the A/C holder once again makes a
request in the name of bank for the issuance of a cheques book. The
A/C holder mentions title of A/C, A/C number, sign it properly and
mentions the no of leaves he requires. Normally Summit Bank issues a
cheques book having at least 25 leaves. Every cheques book also
contains one leaf that is used for another issue of a cheques book
Entry of Cheque Book:
Before issuance of a cheques book, the employee performs certain
functions. They include:
Stamping every leaf if the account is photo account
Enters it in the Cheque book issue register.
After entry in the manual register, and in the system the employee
issues the cheque book to the A/C holder after his/her signature on
the register.
Recording in Computer:
After opening of account, all information regarding the account is
entered into the computer. Currently, a program named hplus is being
used for this purpose. Record of all the transactions regarding the
account of a customer is kept updated in the computer.
PROCEDURE FOR CLOSING AN ACCOUNT
The procedure followed for the purpose of closure of an account is
described in the following steps
The client who wishes to close an account first has to give an
application, duly signed on the pre-printed application of the bank. The
34

client has to attach this application with the liability form. The client
can also give an application on a plain paper, but correct signatures
are very necessary. Then it has to be made sure that if the account to
be closed is a saving or Foreign Currency Account then the account
balance before closing should be zero. In case of these types of
accounts the bank does not take any closing charges. If a client wishes
to close a current account then the bank charges Rs.150, so at the
time of closing the balance should be Rs.150.
Along with the application to close the account clients Cheque book is
also received from him and then it is destroyed in order to prevent any
misuse in the future. A liability form is filled and sent to the Trade
Finance Department and Credit Department in order to check that the
customer does not owe the bank a single penny in any regard. A debit
voucher and a credit voucher are also attached to the liability form.
When both of these departments approve that the customer does not
owe any money to the bank and the form is returned to the account
opening department then the original account opening form pasted in
the ledger when the account was opened is marked account closed
along with the date on which it is so marked. One thing has to be
taken into immediate consideration that the account number allotted
to the client (who has closed his account), after closure of the account
becomes useless and is not allotted to any one in the future.
After approval of the liability form, it is sent to either the Foreign
Currency Accounts
Departments or the Cash Department, as the case may be so that the
officer who scanned it in the first place could return the specimen
signature card to the account-opening department.
Once the S. S. Card is received back from the concerned official then
the liability form, the clients application along with the specimen
signature card is pasted in the ledger right along side the original
account opening form. The form has to be pasted with the original
account opening form even if the account was opened a decade ago.
In the computer as well all the entries and records related to that
particular account are permanently deleted by using the close
account option.
CAPTURED ATM CARDS
ATM cards when captured in ATM of SMBL are returned to the
concerned customer on verification. In both cases, either the customer

35

belongs to SMBL or any other bank, CNIC copy is demanded from

customer for bank record, CSO fills the ATM captured card form and
customer signs that form in presence of CSO. For the record purpose,
ATM cards copy is also kept with bank.
If within seven days from captured card day, customer dont contacts
with bank, then bank is responsible to dispatch ATM card to concerned
banks Regional\Head Office.

CASH DEPARTMENT
This department of bank is mainly responsible for the handling of cash
deposits and encashment of cheques issued by the account holders. I
worked in this department under Head Teller Mr. Naseem Ahmed
Jamali; who taught me that how to deposit cash in customers
accounts, how to encash cheques, and also taught me that how to
transfer funds from one account to another account. In case of Cheque
of other bank, which is deposited by customer in his SMBL account, is
sent for clearing to concern bank. I also learn about sorting of cash,
counting cash, opening balance of cash, and day-end closing of cash in
this department. Utility Bills are also accepted in this department,
proper entries are made on the system hplus. After accepting the bill,
the bill is stamped with Summit Bank Limited stamp. I also learned
that how to issue payorder and demand draft.

CLEARING DEPARTMENT
One of the basic economic functions of banks is to receive deposits
and to honor cheques drawn upon them. So, cheques are a most
commonly used instrument for making payments by account holders.
Now the question arises that how these cheques & other negotiable
instruments drawn on one bank are deposited in other banks and
money is transferred from one bank to another. Clearing House has
provided this facility. Clearing house facilitates different banks to get
their cheques drawn upon other banks to be cleared.
Cheques lodged in clearing constitute two types of clearing
Outward Clearing
Inward Clearing
OUTWARD CLEARING
When cheques and other negotiable instruments drawn upon other
banks like MCB, ABN-AMRO of the same city (as Sukkur) are presented
36

in Summit Bank Limited to deposit them in the respective payees

accounts, these instruments are lodged in outward clearing of summit
Bank limited.
When the cheques are presented in Summit Bank to be deposited in
their respective payees accounts, different stamps are put on
cheques before their lodgment in outward clearing.
Crossing the Cheques
Crossing means two parallel transverse lines, drawn across the face of
the cheques with or without words written in between them. Crossing
may be general or special. In clearing, cheques are crossed specially.
Cheques are stamped with banks name between two transverse
parallel lines to constitute special crossing. After the cheques have
been crossed specially, the holder cannot receive payment except
through the banker named on the cheques. Basic advantage of
crossing is to save the instrument to go it from illegal hands. If,
crossed cheques is lost or stolen, there is no risk of wrong payment. So
it is an effective means of minimizing the risk of loss or forgery.
Clearing Stamp
After the cheques have been crossed specially, clearing stamp is put
on the cheques and other instruments, with the following days date,
as these cheques would have to be presented in their concerned
drawee banks on the subsequent day.
Endorsement Stamp
It means anything written or printed upon the back of an instrument.
So, at the end, the cheques are endorsed in full (endorsed specially)
by putting the stamp with words describing Payees account Credited
in Summit Bank Limited, Shikarpur Road Branch Sukkur.
After putting these three stamps on cheques & other negotiable
instruments, they are sent to NIFT (National Institutional Facilitation
Authority) with Add List. NIFT after segregating the cheques of
different banks delivers them to their concerned banks, which
constitute the inward clearing for those (drawee) banks.
INWARD CLEARING
Cheques and other negotiable instruments (PO, DD etc.) drawn on
Summit Bank Limited, Sukkur, sent by other banks, constitutes the
inward clearing of Summit Bank. After having all the stamps and dates
of cheques confirmed, the concerned drawers accounts are debited

37

(in Summit Bank Limited) and main branchs account is credited by

the total amount.
COLLECTION (OBC)
When cheques and other negotiable instruments drawn upon other
banks outside the city
(Sukkur) are presented in Summit Bank Limited, Urdu bazar branch,
Lahore to deposit in payees accounts, then instead of clearing, these
instruments are lodged in collection and constitute Outward Bills for
Collection OBC. Cheques of cities, where Summit Bank Limited branch
exists (e.g. Islamabad, Faisalabad etc.) are sent to that branch where
these cheques are lodged in is outward clearing. Otherwise, they are
directly sent to the drawee bank. Postage & other charges are
deducted on account of payee according to Schedule of Charges.

SWOT ANALYSIS
STRENGTHS
Strengths BAL-IBD is that Pakistan Credit Rating Agency Bank has
been
awarded an AA-and A1+ (A one plus) in the long and short term
respectively.
Strength is shown from its ratios in most of the ratios it is better than
others.
Strength is that assets are increasing and the major asset cash and
lending to financial
institutions are increasing which shows the
strength.
Earning to total assets is also improving from previous year and it is
somewhat different from others.
BAL-IBD has strong online network system.
WEAKNESSES
As I have thoroughly study the Banks management and financial
there is no such major weak point but one point is that there liabilities
are increasing from year to year and in 2005 it become very high as
compared to the previous year.
Another is Bank is decreasing which in my opinion is a weak point.
Equity to total assets is decreasing from previous year.
OPPORTUNITIES

38

As far as opportunities are concerned BAL-IBD is growing day by day

and its profits are increasing it has an opportunity to develop more
branches to expand the business.
And there is acceptance of its services so Bank has to increase its
services to meet its customers needs.
THREATS
There is an increase in the debts of Bank so this can be a threat for
the Bank and they should look upon this.

CONCLUSIONS
There is lowest branch network of Summit Bank Ltd.

Schemes are not properly advertised so that the target market does not know
about facilities offered by it.

There is no training program for employees to equip them and warm from latest
information.
No bonus is given to employees.

39

SUGGESTIONS
New branches should be open in every corner of the country, for the purpose to
serve maximum number of customers.
Time to time, print or electronic advertising must be given by leading networks
of country about the organization/about the new products/services, to aware the
customers.
Training programs must be organized on head office level for the employees, not
in branches; because branch staff is busy in their work then how can they train
new appointed employees.
Bonus must be given to employees, at least once a year Festival Allowance on
Eid should be given.

40

REFERENCES
Annual Report of Summit Bank Ltd. 2011
Standard Operating Procedure for Account Opening and Management
Products Brochures
Shikarpur Road Branch Sukkur

Websites:
www.summitbank.com.pk
Business Recorder (Business Newspaper)

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