Chapter No 4
FUNCTIONS & PROMOTIONAL SCHEMES OF VM
INTRODUCTION
As discuses in earlier chapter, this chapter deals with different functions and scheme of VM which they lunch for the customers. The main objective of bank is to provide special services to its customers and to maintain the best slandered through their quality functions and schemes.
4.1 FUNCTION OF VM:
VM perform various function for its customers such as;
· Deposits.
· Schemes.
· Mode of payments.
· Advances.
· Alternative delivery channels.
· ATM network
· Online network
· General services
4.2 CHECK CENTER
VM check center perform flowing functions
· Different type of deposit
· ATM service
· Cash collection
· Online service
· General services
· Alternative delivery channel
· Mode of payment remittances
4.2.1 Type Of Deposits
The VM is the financial institution. Deposit accounts are its main source of funds. In order to attract money, VM offer different type of attractive facilities to its customers. The VM offers the following accounts:
¨ Current account
¨ PLS account
¨ Foreign currency account
¨ Vastmedia basic banking account
¨ Rupees deposit account
¨ Joint account
¨ Procedure for opening a account.
a. Current Account
Every commercial bank maintains currents accounts for its customers. A currents account is a running account which is continuously in operation by the customers on al working days of the bank.
Vastmedia Bank offers Current Account facility for individuals as well as for institutions and commercial customers. With a minimum sum of Rs: 500/- only. There is no profit on money deposit in current account and account holder has the privilege of with drawing money as many times they wants.
VM also offer free services for depositors maintaining minimum balance of Rs. 0.1 (M) in previous month. These are
Free Online Transactions | |
Free issuance of Payment Orders | |
Free issuance of Demand Drafts | |
Free Issuance of Deposit at Call Receipts |
b. Profit And Loss Sharing Bank Account
The PLS account can be open with the sum of Rs: 100/- for the yearly or half yearly time period. The share profit as well as loss with the customer but normally there is a profit.
Vastmedia Bank offers PLS Savings Account facility to its customers with attractive features.
Attractive return up to 5.00% per annum | |
No service charges on active accounts | |
Complementary ATM cards |
VM offers free services to depositors maintaining a minimum balance of Rs. 0.5 (M) in the previous month. The following additional benefits are offered.
Free Online Transactions | |
Free issuance of Payment Orders | |
Free issuance of Demand Drafts | |
Free Issuance of Deposit at Call Receipts |
· FOREIGN CURRENCY ACCOUNT
The state bank of Pakistan
The authorizes branches of the commercial bank under the guidance and instruction of SBP can make use of the foreign exchange deposit by
o Advancing short term loan.
o Investment in government securities.
o Purchasing and discounting the bill of exchange.
o Making term loan.
The president of Pakistan
“No person holding a foreign account shall be deprived of his right to hold and operate the foreign currency account.”
(Sep, ordinance 2001)
Vastmedia Bank offers the highest rate of return on Foreign Currency Deposits in the Country. Accounts can be opened in US Dollar, Pound Sterling, Euro, and Japanese Yen at designated branches. All Pakistani nationals residing in Pakistan and outside Pakistan
Type of account INITIAL PAYMENT
o US dollar $ 100
o Pound sterling 100
o Japans yen Y 100
o Euro E 100
c. Vastmedia Basic Banking Account
In order to provide basic banking facilities to low income people in Pakistan, Vastmedia Bank has introduced “Vastmedia Basic Banking Account” (ABBA).This account can be opened with an initial deposit of Rs 1000/-. The account is a non-remunerative account with no minimum balance requirement. The account will be closed automatically if the balance remains “zero” continuously for one year. The statement of the account will be issued on yearly basis. There are no service charges on the said account for a maximum 2-withdrawals and 2-deposits during a calendar month. Additional transactions will be subject to a service charge as per Bank’s schedule of charges for every withdrawal/deposit, while there is no limit for free of charge withdrawals from ATM
d. Joint Account
A joint account is the special bank account which is opened in the name of two or more persons. For drawing of the account of the amount, all the persons in whose name the account stand, should sign the cheque, however, if the parties like, by agreement they can allow any one of them to draw on the joint account without the consent or signature of the others. On the death of any member, the bank allows the survivor to draw any balance standing to the credit of the joint account.
e. Rupees Deposit Account
Rupees Deposit Accounts can be opened with a nominal amount and furthermore, there are no limits on the maximum balance. Vastmedia Bank pays the most competitive rates of profit on PLS Savings Account. Funds can be deposited into this account through cash, cheques and other financial instruments drawn on any bank or any other branch of Vastmedia Bank. A deposit receipt is issued when funds are lodged in PLS Special Notice Deposits or PLS Term Deposits. The longer period of holding the receipt give the higher the rate of return. Vastmedia Bank also issues Deposit at Call receipt to the customers. The beneficiary of the Deposit at Call receipt may be the depositor himself or a third party. The Deposit at Call suitable for making down payment, security deposits, etc. The Deposit at Call receipt is paid on demand.
f. Procedure For Opening A Bank Account
Any person, firm, a body corporate which can enter into contact can be open a account with the VM, the following formalities are requires;
1) Formal Application
The person who is desires of opening an account with a bank has to fill in “the account opening form” the applicant write his name, address occupation and the appoint to be deposited in the form the applicant has to be declare in the form that he shall comply with the bank rules which are in force from time to time for conduced of the account.
2) Introductory Reference
The prospective customer is to provide his introduction to the bank either from the old customer of the bank or from the person known to the bank. The introducer or reference verifies the integrity character, honestly and goodwill of the intending customer on the applicant form.
3) Specimen Signatures
When the banker is satisfied about the integrity of the customer, he then agrees to open his account. The bank obtain more than one specimen signature on specimen signature card. These cards are indented and filed in an alphabetical order.
4) Opening The Account
When the prospective customer fulfill the required formalities of opening an account, the banker then open an account in the name of applicant. The applicant is required to deposit a minimum amount. The bank then provides the customer with a
Pay in slip book. A cheque book. VM also provide its customers the statement of account. The customer can check the entries made in the statement of account with the cheques issued by him from time to time.
4.2.2 Alternative Delivery Channels
VM offers many other alternative delivery channels such as;
Vastmedia cash+ card Online banking. Internet banking. Helplinea. Vastmedia Cash+
Vastmedia Bank ATM Card also referred to as "Vastmedia Cash+", can also be used as a debit card at merchant locations/service outlets having ORIX POS Terminals and displaying the ORIX logo.
Vastmedia Cash+ offers customer the privilege of using thousands of ATMs of all banks without the extra charge of Rs 15. Through this card customer can have an experience of Cashless Shopping at thousands of merchant locations. Get the card at no issuance fee. Pay no annual fee and no transaction fee. 6 VM have to offer:
I. Round-The-Clock Cash Withdrawals:
Now customer can make withdrawals up to Rs. 25,000/- in a day (depending upon their deposit) at any ATM across Pakistan
II. 'NO FEE' ATMs:
Now customers make a transaction at a 1-Link or MNET ATM anywhere in Pakistan, customer can be rest assured customer will not be charged the extra fee of Rs.15/-.
III. Balance Inquiry And Mini Statement Of Account:
The ATM screen will reveal the balance in customer account. A mini statement comprising last 8 transactions can also be obtained from the ATM.
IV. Pin Change:
Customer can now easily change their PIN at regular intervals for enhanced security at all ATMs of Vastmedia Bank.
V. Utility Bill Payment Facility:
Pay customer telephone, electricity, and gas utility bills on any of our ATMs without having to wait in long queues outside VM branch.
VI. Funds Transfer Facility:
Customer have the power to transfer money from one account to any account of Vastmedia Bank anywhere in Pakistan .To obtain Vastmedia Cash+ card, just open their account with any branch of Vastmedia Bank.
b. Online Banking
Vastmedia Online is a unique service offering from Vastmedia Bank Limited. Through Vastmedia Online, customer account in Vastmedia Bank is available to customer from any of VM branches country-wide.
No matter where customer are in the country and which branch your account is maintained, customer can have their cheque enchased at any of our over 700 branches located in 250 cities. Customer can also use the service to deposit cash for instant credit into their account or any other account in Vastmedia Bank from any branch. Similarly account-to-account Funds Transfer facility is also available for instant remittance.
Customer’s cheque drawn on a remote branch for credit into beneficiary’s account or encashment up to a specified amount can also be presented at any branch by a 3rd party. Other services available to accountholders are Balance Enquiry and Account Statement at remote branches.
Vastmedia Online provides a secure, efficient and convenient facility for making payments to beneficiary accounts from any of our branches country-wide. It can be used for cash management services by corporate customers requiring funds collection or disbursement facility
c. Internet Banking
Vastmedia Direct Internet Banking offers customer the convenience to manage and control their banking and finances when customer want, where customer want to! It's Simple, Convenient, Secure and Faster. So, just get clicking and customer get money. 4Some features of Vastmedia Direct are:
I. Simple And Convenient
Easier navigation and help provided at every step so customer can have most out of this service. With Vastmedia Direct convenience is just a click away.
II. SECURE AND FASTER
Secured and encrypted with latest tools and technologies, Vastmedia Direct is the choice for secure and fast Internet Banking.
III. 24x7 Access
Customers have access to their account 24 hours a day, 7 days a week. Customer transfer funds or even pays bills even if it's a holiday. To use Vastmedia Direct Internet Banking, customer should be a registered Vastmedia Bank Account holder with a valid ATM Card. If customers do not have an account, then visit any of VM nearest branches and open account and obtain an ATM Card. VM’s friendly branch staff will help customer open the account quickly.
d. HELP LINE
Since the launching of Vastmedia Cash+ Debit Card on January 27th 2003, Vastmedia Bank embarked on the path of value added consumer products. Customer related services were being provided through VM ATM-Wing situated at Central Office Karachi. As the numbers of Vastmedia Cash+ Card increased, so did the services related inquiries, complaints and requests from our customer. Hence, to facilitate and to offer Quality Service to VM’s customer, Vastmedia Bank decided to provide Toll Free Number Customer Services through 0800-22522.
4.2.3 Mode Of Payments Remittances
Vastmedia Bank can transfer funds to the remotest part of the country for payment/credit to the customer himself or a third party, through Telegram/Telex/Telefax for payment/credit on the same/next day. Telegraphic transfers can also be made abroad in Foreign Currency.
Carrying cash to strange alien location can prove to be risky as a single incident can render one without monetary backup of any sort. Hence traveler’s cheques are introduced by banks in order to protect against any contingency. The VM offers following mode off payment remittances;
Carrying cash to strange alien location can prove to be risky as a single incident can render one without monetary backup of any sort. Hence traveler’s cheques are introduced by banks in order to protect against any contingency. The VM offers following mode off payment remittances;
§ CHEQUES
§ DEMAND DRAFT
§ PAY ORDER
§ DEPOSIT AT CALL
§ TELEGRAPHIC TRANSFER.
§ TRAVELER CHEQUES (ABRTC)
a. Cheques
A cheque is define as a,
“Written order of a depositor upon a bank to pay to or the order of a designated party or to bearer, a specified sum of money on demand”
(M. SAEED NASIR)
The bank provides a printed cheque book to their customers, the drawer has only to fill it up and sing. The customers have presented two types of cheque.
· Open cheque
· Crossed cheque.
I. Open Cheque
Open cheque are those cheques which are paid across the counter of the bank. It may be bare or order cheques.
II. Crossed Cheque
If a cheque is cross by drawing two parallel lines across the face of the cheque, with or without the words & co or Account payee only, its call crossed cheques.
b. Demand Draft
VM is facilitating its customers by helping them in sending money among different cities thought demand draft (DD).A draft is one of the most popular Banking instrument in the trade circles to settle business deals and transferring funds from one place to another. Vastmedia Bank has taken radical steps for a speedy Issuance/Payment of Drafts through automation and introduction of a more simplified system based procedure. It is a negotiable instrument and cannot be made payablMe to bearer.
a. Pay Order
Pay order is a Bank instrument issued by a Bank in Pak Rupees at the request of a customer to transact payment to a named payee through banking channel. Generally payments against such cheques (Pay orders) are restricted to "Payees Account" and as such are required to be enrooted through a Bank Account locally.
b. Telegraphic Transfer
Vastmedia Banks are offering various types of products related to funds transfer in Pakistan
c. Deposit At Call
The bank issue deposit at call (DAC) for tender purpose. If client fails to get tender then DAC is cancelled by bank on the next day and the amount is refunded to that client.
d. VM Traveler Cheques (ABRTC)
VM "Rupees Traveler Cheques" is one of the most convenient products launched by Vastmedia Bank, which has an excellent market response. ABRTC is only to be issued by the authorized branches of the VM. With the application of Government levies, nominal commission is also charged on issuance of "Traveler Cheques". Traveler Cheques shall be valid until encashed unlike a "Negotiable Instrument" which is valid for 6 months.
4.2.4 General Services
Beside mobilizing the saving, opening of the accounts, providing services for remittances, providing different kinds of loan and advances, banks is also providing many other general services, which are as follows;
o Discounting bill of exchange
o Collection of negotiable instruments
o Safe custody of the valuables
o Dealing in stocks, debentures
o Agent to its customers
o Guarantor
o Hajj services
o Lookers
o Collection of utility of bills
a. Discounting Bill Of Exchange
The VM is facilitating its customers in discounting bill of exchange before the maturity date of the bill of exchange and enabling its customer to overcome their financial difficulties.
b. Collection Of Negotiable Instrument
The VM always care their customer and offer many facilitating which make customer life tension free. VM is also collecting negotiable instrument on behalf of the customers demand.
c. Safe Custody Of The Valuables
VM is accepting the responsibility of the safe custody of the valuable of general public for this purpose they offer lockers of certain branches.
d. Dealing In Stocks, Debentures.
VM deals in stock’s shares debenture and other securities on behalf of its customers and for the general public.
e. Agent To Its Customers
VM is acting as an agent to its customers. VM is performing these services by undertaking and executing trust.
f. Guarantor
VM is carrying on guarantees and indemnities for its customers; it is providing performance guarantee and loan payback guarantee as well as on behalf of its clients.
g. Lockers
Vastmedia Bank Lockers are available in three different sizes Small, Medium and Large on a yearly fee. Locker holders need not have an account in the Bank.
h. Hajj Services
The Bank serves the intending pilgrims by helping them in performing this religious obligation. The Hajj forms and other related services are provided by the bank. However, the terms and conditions for accepting the Hajj forms from intending pilgrims are in accordance with the Hajj Policy announced by the government, each year. Hajj applications are available with all branches during Hajj season, immediately after the Hajj policy is announced by the Government of Pakistan.
i. Collection Of Utility Bills
All branches of the Bank collect utility bills of electricity, gas and telephones. For convenience of the customers, Utility Bills are collected by the branches during banking hours and also in the evening-banking on all working days. Bills can be paid through Cash or Cheques. Consumers may drop bills with crossed Cheques into a drop box available at the branches under "Cheque Drop-in" system. Utility Bill payment facility - Pay your telephone, electricity, and gas utility bills on any of our ATMs without having to wait in long queues outside the branch.
4.2.5 ATM Network
Vastmedia bank provide the wide rang of ATM network work over the 40 cities of 100 designated branches. This installed the ATM machine and continuously expended their network. Vastmedia bank is a member of 1-link ATM sharing switch comprising the bank’s ATM card holder can avail service of vastmedia bank’s own or 1-link ATM. Beside the services of ATM installed by the MENT ATM sharing switch are also available to the vastmedia bank’s card holders through inter-switch connectivity.
As special feature, VM offers usage of other bank’s ATM free of charge to ATM card holders other feature are;
v 1-link network.
v M-NET network
v Merchandiser list.
I. 1-Link Network
VM provide 24 hours services to their customer over the 735 branches network country wide VM enhance ATM service by jointing the “1-link switch” which has following members banks;
§ ABN Amro Bank
§ Vastmedia Bank
§ Bank Alfalah
§ Al Baraka Islamic Bank
§ Habib Bank Limited
§ Askari Bank
§ Bank Al Habib
§ National Bank
§ PICIC Commercial Bank
§ Union Bank
§ United Bank
§ Soneri Bank
§ Meezan Bank
Every ATM card which is connected with “1-link switch” has a logo which indicates that “1-link switch” member can access the ATM. All ATM holders of bank will thus be able to access member banks ATMs for balance inquiry and can withdrawal simultaneously vice versa. The card holder's member banks will access to bank ATM.
II. M-Net Network
The Vastmedia Bank Vastmedia Cash+ card could be used in an M-Net ATM as well. In Pakistan
§ Metropolitan Bank
§ City bank
§ NIB Bank
§ HSBC
§ The Bank of Punjab
§ American Express
§ My bank Limited
§ Standard Chartered Bank
§ Saudi Pak Bank Limited
§ Prime Commercial Bank Limited
§ Habib Bank AG Zurich
§ Muslim Commercial Bank
§ Bank of Khyber
§ KASB Bank
III. Merchandiser List
Customer could use their Vastmedia Cash+ card at any outlet having the ORIX POS Terminal. Select a city to view which merchandisers have the ORIX POS Terminal, and also view branch address.
4.2.6 Online Branch Network
VM offering Online Banking facilities to their available customers which maintaining accounts at all online branches across the country. The VM inter connected their all branches to make sure essay access to remote branches across the country. VM online branch network VM provides the facilities:
• Cash Deposit for immediate credit to remote branch.
• Remote Cheque Encashment from any online branch.
• Instant Funds Transfer between any 2 online branches.
• Remote Balance Enquiry and Statement of Account.
• Remote Cheque Encashment from any online branch.
• Instant Funds Transfer between any 2 online branches.
• Remote Balance Enquiry and Statement of Account.
Beside those facilities, the account holders of all online branches can obtain Vastmedia Bank's Vastmedia Cash+ Card for use at ATMs as well as at Debit Card POS terminals.
To locate a Branch simply select the city.
No comments:
Post a Comment