Eastern Bank Limited

EASTERN BANK LIMITED
[Document subtitle]
3/25/15
LAW & PRACTICES OF
BANKING

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EASTERN BANK LIMITED
AN ASSIGNMENT OF LAW & PRACTICES OF BANKING
COURSE CODE: FIN- 3101
SUBMITTED TO:
SK. ALAMGIR HOSSAIN
LECTURER
DEPARTMENT OF FINANCE
JAGANNATH UNIVERSITY, DHAKA.
SUBMITTED BY:
RASEL AHAMED
REPRESENTATIVE OF GROUP 3
ID NO: B-120203047
SESSION: 2012-2013
DEPARTMENT OF FINANCE
JAGANNATH UNIVERSITY, DHAKA.
DATE OF SUBMISSION: 25 MARCH, 2015

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MEMBERS OF GROUP 3
SL NO. ROLL NAME
1. B-120203034 ASIBUL ISLAM MILU
2. B-120203047 RASEL AHAMED
3. B-120203071 GAZI RAFSAN SHAHAB
4. B-120203137 AFRIN KHAN
5. B-110203091 EHSUN HOQUE

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TABLE OF CONTENTS
SL NO. TITLE PAGE N0
1. ACTIVITIES OF EASTERN BANK LIMITED 4 - 7
2. ROLE OF EASTERN BANK LIMITED IN ECONOMIC
DEVELOPMENT OF BANGLADESH
8 - 10
3. DIFFERENT TYPES OF DEPOSIT PRODUCT OFFER BY EBL 11 - 19
4. DIFFERENT TYPES OF LOAN PRODUCT OFFER BY EBL 20 - 26
5. DIFFERENT TYPES OF SME PRODUCT OFFER BY EBL 27-37
6. DIFFERENCE BETWEEN ISLAMIC BANKING SYSTEM AND
TRADITIONAL BANKING SYSTEM
38-39
7. DOCUMENTS REQUIRED TO OPEN AN ACCOUNT IN EBL 40-42

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ACTIVITIES OF EASTERN BANK LIMITED
A. General Functions:
1. Receiving Deposits:
The first and foremost function of Eastern Bank Limited is to receive or collect deposits from
the public in different forms of accounts e.g. current, savings, term deposits. No interest is
charged in the current account, lower rate of interest is charged in the savings account and
comparatively higher interest rates charged in fixed deposits.
2. Accommodation of loans and advances:
Eastern Bank Limited attaches much importance to providing loans and advances at higher
rates than the deposit rates and thus earns profits on it. Working capital is accommodated to
the borrower for expansion and smooth running of business. In the similar manner, EBL
extends financial accommodation for the development of agriculture and industry. Credit
accommodation is provided to the entrepreneurs for reviving sick and old industries as per
Govt. directives.
3. Creation of Loan Deposits:
As a Commercial Bank, EBL not only receives deposits from public and accommodates loans
to public but also creates loan deposits. For example: while disbursing loans as per sanction
stipulation, the amount of loan is credited to the borrower’s account. The borrower may not
withdraw the full amount at a time. The residual amount i.e. balance left in the account
creates loan deposits.
4. Creation of medium of exchange:
Central Bank has got exclusive right to issue notes. On the other hand, Eastern Bank Limited
creates medium of exchange by issuing cheques. Like notes, cheque is transferrable being
popularly used in the banking transactions.
5. Contribution in foreign trade:
Eastern Bank Limited plays a vital role in expediting foreign exchange and foreign trade
business e.g. import, export etc. It contributes greatly in the economy through import finance
and export finance and thus, earns foreign exchange for the country.

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6. Formation of capital:
Eastern Bank Limited extends financial assistance for the formation of capital in the trade,
commerce and industry in the country which expedites its economic development.
7. Corporate Banking:
EBL Corporate Banking provides financial products & services reaching the country’s
growing corporate base. With expertise and dedication, EBL Corporate Banking, aim to
provide the best possible services to our customers. In addition to traditional industries like
RMG, Steel, Pharmaceuticals, Textiles, Ship Breaking & Trading sector; EBL has enhanced
its footprints into Packaging, Food, Power, Construction, Aviation, Glassware, Edible Oil
Refinery, Healthcare, Renewable Energy, Plastic Polymer, Telecommunications, Ocean-
Going Vessel financing, Agri-Business (Poultry, Food Processing), etc.
B. Public Utility Functions:
In modern banking, Eastern Bank Limited executes public utility services:
1. Remittance of Money:
Remittance of money to the public from one place to another is one of the functions of EBL.
Remittance is effected in the form of demand draft, telegraphic transfer etc. through different
branches and correspondents home and abroad.
2. Help in trade and commerce:
Eastern Bank Limited helps expand trade and commerce. In inland and foreign trade
customers are allowed credit accommodation in the form of letter of credit, bill purchased
and discounted etc.
3. Safe custody of valuables:
Eastern Bank Limited introduces ‘locker’ services to the customers for safe custody of
valuables e.g. documents, shares, securities etc.

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4. Help in Foreign Exchange business:
While opening letter of credit, Eastern Bank Limited obtains credit report of the suppliers and
thus help expedite import and export business.
5. Act as a Referee:
EBL acts as a referee for and on behalf of the customers.
6. Act as an Adviser:
Eastern Bank Limited provides valuable advice to the customers on different products,
business growth and development, feasibility of business and industry. They passionately
drive customer delight.
7. Collect utility service bills:
As a social commitment, EBL collects utility service bills e.g. water, electricity, gas,
telephone etc. from the public.
8. Purchase and sale of prize bonds, sanchaya patra, shares etc.
EBL undertakes to purchase and sale of prize bonds, sanchaya patra, shares etc. as a part of
social commitment.
9. Help people travel abroad:
Eastern Bank Limited helps customers in traveling abroad through issuance of traveler’s
cheques, drafts, cash etc. in favor of the customers.
10. Green Banking:
Eastern Bank Limited and its subsidiaries will comply with all laws and regulations related to
environmental protection, green banking other requirements. The bank shall support business
activities that contribute to the protection and improvement of the environment by providing
specialized 'green' products-offered under comparatively more favorable terms and
conditions; specifically in the area of renewable energy, energy saving, organic farming,
biodiversity conservation, green chemistry, green transportation, water and waste
management, environmental restoration, eco-tourism.

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C. Agency Functions:
Besides above stated functions, Eastern Bank Limited acts as a representative of the
customers.
1. Collection and payment:
EBL is engaged in collection and payment of cheque, bill of exchange, promissory notes,
pension, dividends, subscription, insurance premium, interest etc. on behalf of the clients.
2. Purchase and sale of shares and securities:
EBL is entrusted with the responsibility of purchase and sale of shares and securities on
behalf of the customers.
3. Maintenance of secrecy:
Maintenance of secrecy is one of the most important functions of EBL.
4. Act as a trustee:
Eastern Bank Limited acts as a trustee on behalf of the customer. EBL share learning/
knowledge.
5. Economic Development and Welfare activities:
Eastern Bank Limited contributes much for the welfare and economic development of the
country. EBL provided the first “Green Loan” in Bangladesh in Solar Panel manufacturing
plant which will contribute to transform the lives of 1 million people of the most remote and
off-grid areas by lighting up their homes.

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ROLE OF EASTERN BANK LIMITED IN
ECONOMIC DEVELOPMENT OF BANGLADESH
Financial stability is one of the major factors for accelerating the rapid development of
country, and there for commercial banks are playing an important and active role in the
economic development of a country. If the banking system in a country is effective, efficient
and disciplined; we can ensure the economic prosperity which is the base stone to bring a
rapid growth in the various sectors of the economy.
In a developing country like Bangladesh, our economic development depends more on real
factors like the industrial development, modernization of agriculture, organization of internal
trade and expansion of foreign trade, especially exports. Land, Labor and entrepreneurs are
the basic economic resources available with us. However, to make the use of these resources,
a business requires finance to purchase of the land, hire labor, pay for capital goods and pay
for individuals with specialized skills. Here the commercial banks are playing an active role
by accumulating the temporarily idle savings of the general public and make them available
for others for investment.
Detail role of Eastern Bank Limited in economic development of our country is given below:
1. Banks promote Capital Formation
One of the most important problems of a developing economy is that of capital formation.
There is a good deal of difference between hoarding and saving and the people in the
countryside have to be made to realize the difference. Eastern Bank Limited is playing an
active role over here to educate the rural people and thus mobilize their temporarily idle
savings. They are accepting deposits from general public and businesses and these deposits
are made available for others for investment and thereby make use of them for productive
purpose of the country. EBL is therefore, not only the storehouses of countries wealth but
also provide financial resources necessary for economic development.
2. Promotion of Trade and Industry
EBL is playing an active role in development of trade and industrial sector which is resulting
in the rapid economic development. EBL provides capital, technical assistance and other
facilities to businessmen according to their need. They finance the projects to move forward
with modernization to improve the efficiency by means increase in number of production
units, technology, plant and machinery.

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3. Development of Agriculture Sector
In Bangladesh, the agriculture sector and its similar activities were the largest contributor to
the national income. Eastern Bank Limited is helping this most important sector by providing
short, medium and long-term loans for the purchase of seeds and fertilizer, installation of tube
wells, construction of warehouses, purchase of tractor etc. The provision of credit to
agriculture sector has greatly helped in rising agricultural productivity and income of the
people.
4. Development of Foreign Trade
EBL helps the traders of two different countries to undertake business. The use of check,
bank draft, bill of exchange, credit card letter of credit has revolutionized both national and
international trade. Normally the process of a Letter of credit is issued by the importer’s bank
to the exporters to ensure the payment. The banks are also arranging foreign exchange which
boosted the fund transfer between two countries.
5. Balanced development of different region
In a country like Bangladesh where we have an urban-rural divide; EBL is playing an
important role in ensuring balanced development of these different region of our country.
They helped to transfer the surplus fund from developed region to less developed regions.
Banks helped to increase the mobility of capital in various ways like starting their operations
in rural areas, and there for the trades and industries in less developed region are able to get
fund for their development and in turn, it increased the investment, trade and production in
the country.
6. Influencing economic Activity
Eastern Bank Limited is influencing the economic activity of our country through its
influence on,
i. Availability of credit
ii. Rate of interest.
EBL is able to control the money circulation in the market when ever needed. By credit
creation or decreasing/ decreasing the interest rare they can control the money circulation
which directly affects the economic development. A low rate of inters increase the investment
while the high interest rate will attract the savings and investment in the bank. The credit
creation activity can raise the aggregate demand which increase more production in the
economy.

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7. Implementation of Monetary Policy
Central bank of our country in support with the commercial banks including EBL, make
effort for the success and objectives of monetary policy. Central bank of country control and
regulate the volume of credit which helps in bringing the price stability and promote
economic growth within the shortest possible period of time.
8. Monetization of the economy:
EBL by opening branches in the rural and backward areas are reducing the exchange of
goods through barter. The use of money has greatly increased the volume of production of
goods. The non-monetized sector (barter economy) is now being converted into monetized
sector with the help of Eastern Bank Limited.
9. Promoting Export.
In order to promote the export, EBL have established export promotion cell. They provide
information about general trade and economic condition both inside and outside of the
country to its customers. EBL is therefore making positive contribution in the economic
development.

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DIFFERENT TYPES OF DEPOSIT PRODUCT
OFFER BY EBL
1. EBL Current Account
i. EBL Current Account
Features
Unlimited transaction allowed
Online banking facility
Comes with Visa Debit Card & Cheque Book Facility
Eligibility
Minimum Age: 18 years
Citizen of Bangladesh
ii. EBL Current Plus
Features
Unlimited transaction allowed
Pre-approved Credit Card Facility on Demand*
Up to 2% waiver on any EBL Personal Loan Products*
Free Life Insurance of BDT 2 lac on accidental case
50% waiver in Demand Draft/ Pay Order Facility
50% waiver in Locker Services
Free Standing Instructions
Inter-city transaction –Completely Free
Eligibility

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2. EBL Savings Accounts
i. EBL Power Savings
Features
Has the lowest minimum balance requirement for interest
Interest calculated on day end balance-giving you a better chance to
get interest
Has a handsome savings rate- paid monthly to your account
Unlimited cash withdrawal Allowed-no loss of interest for transaction
Best Savings account to earn interest on your small deposit
Eligibility
ii. EBL Classic Savings
Features
Standard Savings Account
No limit on cash withdrawal
Highest interest rate for a Standard savings Account
Minimum balance required for Interest is BDT 15,000
Interest is paid twice a year
Eligibility
iii. EBL Max Saver
Features
Minimum balance required for Interest is BDT 30,000
Interest calculated on day end balance-giving you a better chance to
get interest
Has the highest savings rate in its class- paid monthly to your account
Unlimited cash withdrawal Allowed-no forfeiture of interest for
transaction

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Best for you if you are looking to earn sizeable interest while carrying
out regular transactions
Eligibility
iv. EBL Premium Savings
Features
Enjoy higher interest on your savings-Up to 8.5%!
Interest paid monthly to your account
Interest Starts from BDT 100,000
Interest calculated on Average Balance
Unlimited cash withdrawal Allowed-no loss of interest for transaction
Comes with Visa Platinum Debit Card & Cheque Book Facility
Best for you if you are looking to earn sizeable interest while carrying
out regular transactions
Eligibility
Special Customer Prepositions
Free Accidental Life Insurance Coverage: for up to 5 lac taka
Enhanced ATM withdrawal limit of BDT 3 lac per day!
Visa Platinum Debit Card
Locker fee 50% waived for the first year
50% discount on processing fee of any student file
Special discounts from reputed vendors
v. EBL 50+ Savings
Features
Enjoy higher interest on your savings-Up to 8.0%!
Interest calculated on day end balance and paid monthly to your
account

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transaction
Best for people of 50 year and above looking to earn sizeable interest
while carrying out regular transaction
Eligibility
Free Accidental Life Insurance Coverage
Free Monthly Medical Re imbursement (up to BDT 15000 every
month) for accidental causes
2 Pay Order free in one year
Enhanced ATM withdrawal limit of BDT 3 Lac per day!
Locker fee waived by 50%(1st year)
vi. EBL Smart Women's Savings
Features
Flexible tires to earn high interest on your savings-Up to 8.0%!
Interest calculated on day end balance and paid monthly to your
account
transaction
Best for all female citizen looking to earn high interest with attractive
discounts from special outlets
Eligibility
Female Citizens of Bangladesh
Free Life Insurance Coverage of amount up to 1.50 Lac

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Free Monthly Medical Re imbursement (up to BDT 6,000 every
month) for accidental causes
Locker fee will be waived by 30% (1st year)
EBL Visa Platinum Debit Card
Enhanced ATM withdrawal limit of BDT 3 Lac Per day!
Discount on Mukti (SME) loan processing FEE
3. EBL DPS Products
i. EBL Millionaire Scheme
Features
Tenure and rate
Tenure Rate
3 years 9.5%
5 years 10%
7 years 10%
10 years 10%
Any Bangladeshi Citizen aged 18 years or above can open this account
EBL Confidence can be opened at any multiple of Tk. 500 to Tk.
20,000.00 per month
One customer can open more than one “EBL Confidence”
Automatic realization of monthly installments
Maximum 90% Loan facility
In case of Early encashment, Interest forfeiture will be as below:
 Closed Before One Year – No Interest will be provided
 Closed After one Year but before three Year- Interest at
prevailing Savings Rate
 Closed After 3 Year-Interest at EBL Confidence Rate
Maturity Table
Installment
Amount
Maturity Amount before tax
3 Years 5 Years 7 Years 10 Years
500 20897 39041 60979 103276
1000 41794 78082 121958 206552
2000 83588 156164 243916 413104
10000 417940 780823 1219583 2065520
200000 835880 1516647 2439166 4131040

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Note
For other installments maturity value will follow the above table; i.e. if
monthly installment is BDT 2500 for 5 years, the maturity value will be
39,041x5= 195,205 (as 2500/500=5).
Maturity value is subject to proper and regular payment of the prescribed
monthly installments
ii. EBL Millionaire Scheme
Features
Choose from Six different tenures- from 3 to 15 years
One Person can open More than one “EBL Millionaire Scheme’’
Reduced monthly installments
Automatic realization of monthly installments
Maximum 90% Loan facility against EBL Millionaire Scheme
In case of Early encashment, Interest forfeiture will be as below:
 Closed Before One Year – No Interest will be provided
 Closed After one Year but before three Year- Interest at prevailing
Savings Rate
 Closed After 3 Year-Interest at EBL Millionaire Scheme Rate
The below Maturity Value Table shows the different installment amounts
on available tenures:
Tenor Monthly Installments Maturity Amount
(in BDT)With Initial
Deposit of 50,000
(in BDT)
With Initial
Deposit of
100,000(in BDT)
3 year 21,538 19,905 BDT 1,000,000
(One Million)
5 year 11,203 10,114
7 year 6,868 6,007
10 year 4,034 3,365
12 year 2,855 2,248
15 year 1,737 1,189
Maturity value is subject to proper and regular payment of the prescribed
monthly installments

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* Maturity Amount showed here is subject to income tax and/or other
levies.
Eligibility
4. EBL Fixed Deposit
i. EBL Repeat
FD Amount, Tenure
Minimum opening Amount is BDT Fifty Thousand or its multiple
Tenure is 1 year, 2 year and 3 year
Key Features
Any Bangladeshi Citizen aged 18 years or above are eligible
Attractive Monthly interest
interest credited automatically to EBL Current/Savings Account every
month*
Credit facility against EBL Repeat account is available (maximum
90% of the value).
Auto renewable option available
Premature Encashment*
One year EBL Repeat: For Pre mature encashment after 3 month,
interest is calculated at Prevailing Savings rate
Two/Three year EBL Repeat: For Pre mature encashment after 6
month, interest is calculated at Prevailing Savings rate
* Interest amount is subject to income tax and/or other levies.
* In case of Premature Encashment before the minimum, no interest will
be paid; any additional interest paid will be adjusted from the Principle
amount

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ii. EBL 50+ FD
FD Amount, Tenure
Minimum opening Amount is BDT One Lac or its multiple
Tenure is 1 year, 2 year and 3 year
Key Feature
Any Bangladeshi Citizen aged 50 years or above are eligible
Attractive Monthly interest
interest credited automatically to EBL Current/Savings Account every
month*
Credit facility against EBL 50+ FD account is available (maximum
85% of the value).
Auto renewable option available
Premature Encashment*
One year 50+ FD: For Pre mature encashment after minimum 3 month,
interest is calculated at Prevailing Savings rate.
Two/Three year 50+ FD: For Pre mature encashment after minimum 6
month, interest is calculated at Prevailing Savings rate.
* Interest amount is subject to income tax and/or other levies.
* In case of Premature Encashment before the minimum period, no
interest will be paid; any additional interest paid will be adjusted from the
Principle amount
iii. EBL FD
FD Amount and Tenure
Minimum opening Amount is BDT 50 thousand or its multiple
Tenure is 1 month, 3 month, 6 month, 1 year, 2 year and 3 year
Key Features
Can be opened in any EBL Branches
All EBL FD has auto renewable option with/without interest
Attractive Interest rate
Customer can open more than one EBL FD
EBL FD Account Holders may take Credit facility (Loan or Overdraft)
against EBL FD (maximum 90% of the value).
Premature Closure
If any depositor wants to withdraw the deposit before maturity, the following
rules will apply:

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For pre-mature encashment within three month- no benefit will be
provided
For pre-mature encashment after three month- depositor shall get
Interest Rate @ prevailing Savings rate up to the encashment date
Eligibility

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DIFFERENT TYPES OF LOAN PRODUCT
OFFER BY EBL
1. EBL Jibandhara Loan:
Features:
Personal loan facility for any Consumer Needs
Loan Amount Ranges from BDT 50,000 to BDT 1,000,000 (or 10 times of
Gross monthly Income, whichever is lower)
Repayment tenure of 12 months to 60 months
Competitive interest rate
Automatic realization of Monthly Installments from EBL account
One personal Guarantor needed; spouse can stand as a guarantor
Early Full and partial settlement allowed
Minimal documentations
No security required
No hidden charges
Shortest Loan Processing Time
Interest Rate: 16% pa (floating)
Eligible Customers:
Any credit worthy individuals like:
 Salaried executives: Minimum one year experience with 6 months
employment with present employer
 Self Employed - Doctors, Architects, Engineers, Chartered Accountant
and Certified Consultant & IT Professionals: Minimum one year
experience
 Businessperson : Minimum 2 years of involvement in business
Age:
 Minimum : 22 Years
 Maximum : 60 years (For Salaried), 65 Years (For Others)
Minimum Gross Monthly Income:
 Salaried Executives: Minimum BDT 20,000 per Month
 Government Employees: Minimum BDT 15,000 per Month
 Professionals/Businessman: Minimum BDT 30,000 per Month
Joint applicant allowed: Combined Gross monthly income should be
minimum BDT 30,000 per month
2. EBL Women's Loan
Features
Loan Amount: Minimum TK. 1,00,000/-, Maximum TK. 10,00,000/-

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Repayment Tenor: 12, 24, 36, 48 & 60 months
Interest Rate: 16.00% p.a (floating)
Other Facility
Discount on EBL locker service charge
Discount on Credit Card Issuance
3. EBL Home Loan
Features
Home Loan for the purpose of
 Flat/Apartment Purchase
 House construction / Extension / Renovation / Up-gradation/ Face
uplifting / Finishing work
 Takeover of existing home loan from any bank / Financial institution
Loan Amount Ranges from BDT 500,000 to BDT 10,000,000 (or 50 times of
Gross Monthly Income, whichever is lower)
No Processing fee for Take over home loans from other Banks/ Financial
Institutions
Repayment tenure of up to 20 years
Automatic realization of Monthly Installments
Early full and partial settlement allowed
Interest Rate: 14% pa
Eligible Customers
Any credit worthy individuals with a minimum of three (3) years’
experience like:
 Salaried executives
 Self Employed : Doctors, Architects, Engineers, Chartered Accountant
and Certified Consultant & IT Professionals
 Businessperson
 Landlords
Age:
 Minimum: 25 Years
 Maximum : 65 years
 Salaried Executives: BDT 30,000
 Professionals/Self Employed: BDT 40,000
 Businessman: BDT 50,000
Joint applicant allowed; Combined Gross monthly income should be
minimum BDT 40,000 per month.

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4. EBL Fast Cash
Features
Revolving credit facility
Credit facility amount ranges from BDT 50,000 to BDT 10 Crore or maximum
90% of the Present Value of FD, whichever is Lower
100% cash secured loan
Interest charged only for the amount you have drawn
Interest charged on quarterly basis
Repayment at any time during the stipulated period
Option of renewal / increase limit/ decrease limit at your request
Eligible Customers
Any individual having an FD or other securities like Wage Earner’s Bond,
ICB unit certificate etc is eligible to apply
5. EBL Auto Loan
Features
Auto Loan for the purchase of brand new and reconditioned car for private use
only
Loan amount ranges from BDT 350,000 to BDT 2,000,000 (or 15 times of
Gross Monthly Income, whichever is lower)
Automatic realization of monthly installment
Spouse is allowed as Joint Applicant
Loan amount includes car value, VAT, and registration cost
Minimal Documentation
one personal guarantee required
Shortest Loan Processing time
Eligible Customers
Salaried executives: Minimum 3 years’ experience with 6 months
employment with present employer
Self Employed like Doctors, Architects, Engineers, Chartered Accountant
and Certified Consultant & IT Professionals: Minimum 2 years’ experience
Businessperson : Minimum 2 years’ experience
Landlords

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6. EBL Fast Loan
Features
Loan Amount ranges from BDT 50,000 to BDT 10 Crore or maximum 90% of
the Present Value of FD, whichever is Lower
100% cash secured loan
Pre-payment option available
No hidden charges
Eligible Customers
Any individual having an FD or other securities like Wage Earner's Bond, ICB unit
certificate etc. is eligible to apply.
7. EBL Executive Loan
Features
Personal loan facility for any Consumer Needs.
Loan Amount Ranges from BDT 50,000 to BDT 1,000,000 or up to 10 times
of Gross Monthly Salary, whichever is lower
Pre-payment option available
No security required
No hidden charges
Eligible Customers
Any Salaried individuals with
One year of experience with minimum 6 months of employment with current
employer
Age : Minimum 22 years, Maximum 60 Years
 Government Employees: BDT 15,000

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Joint applicant allowed (Spouse only); Combined Gross monthly income
should be minimum BDT 30,000 per month.
8. EBL Travel Loan
TraveLoan - Secured
Loan amount 90% of the security deposit (EBL FD)
Easy Monthly Installment Repayment - 12 months to 60 months
Loan amount Tk. 50,000 - Tk. 500,000
Processing fee - 1% of the loan amount or Tk. 2,000 whichever is higher
Advance Partial prepayment allowed
Loan disbursement directly to Customer Account
No personal guarantee required
50% processing fee waiver for EBL Dual Currency Credit Cardholder
50% Dual Currency Credit Card Issuance fee waiver for Travel Loan
borrowers
Travel Loan – Unsecured
Easy Monthly Installment Repayment - 12 months to 60 months
Loan amount Tk. 50,000 - Tk. 500,000 or 10 times of gross monthly income,
whichever is lower
Competitive interest rate.
Processing fee - 1% of the loan amount or Tk. 2,000 whichever is higher
Advance/Partial prepayment allowed
50% processing fee waiver for EBL Dual Currency Credit Cardholder
50% Dual Currency Credit Card Issuance fee waiver for Travel Loan
borrowers
Disbursement
Secured
 Directly to Customer Account with EBL
Unsecured
 Loan less than or equivalent to Tk. 200,000 to Customer Account with
EBL
 Loan above Tk. 200,000 - air ticket fee (including co-traveler) to the
travel agency through pay order from EBL; 80% of the remaining loan
amount through TC/cash foreign currency endorsement from EBL and
balance to Customer Account with EBL in cash.
Additional Supporting Documents

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Valid Passport Copy (Mandatory)
Valid Visa of traveling country (for unsecured loan only)
Travel Quotation from travel agent (for unsecured loan only)
9. EBL Parseloan
Features
Personal loan facility for any Consumer Needs.
Loan Amount Ranges from BDT 200,000 to BDT 1,000,000 or 10 times of
Gross Monthly Income, whichever is lower
EMI Based Loan Repayment Facility
Available in Two Versions:
 EBL Parseloan 30- where you provide 30% of the applied Loan Amount in
the form of EBL FD; for example for a loan amount of 10 Lac, you need to
provide BDT 3 lac as security.
 EBL Parseloan 50- where you provide 50% of the applied Loan Amount in
the form of EBL FD; for example for a loan amount of 10 Lac, you need to
provide BDT 5 lac as security.
Attractive Loan Interest Rates
No hidden charges
Eligible Customers
 Salaried Executives: Minimum 2 year experience with 6 months
employment with present employer Self Employed Professionals /
Businessmen: Minimum 2 years’ experience
Age:
 Minimum : 22 Years
 Maximum : 60 years (For Salaried), 65 Years (For Others)
 Self Employed Professionals/Businessman: BDT 40,000
Joint applicant allowed; Combined Gross monthly income should be minimum
BDT 40,000 per month

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10. EBL Education Finance Pack
EduLoan Unsecured - Education Loan without Security Deposit
EMI based loan facility
Loan amount minimum BDT 100,000 to maximum BDT 10,00,000
Loan amount up to 80% of the summation of admission fee, tuition fee,
semester fee, other fees as stated by the educational institutions, living/lodging
expenses and traveling expense. Total expense estimation needs to be
submitted by the applicant with supporting documents.
Processing fee – 1% of the Loan amount
Repayment tenor : 12 – 60 months
Advance / partial pre-payment is allowed
Competitive Interest Rate
Student File services available
EduLoan Secured - Education Loan with Security Deposit
EMI based loan facility
Loan amount is 90% of the security deposit (EBL FD)
Processing fee – 1% of the Loan amount (minimum BDT 2,000 or maximum
BDT 10,000)
Repayment tenor : 12 – 60 months
Advance / partial pre-payment is allowed
Within same day processing
Interest rate: FD+3% or 12% whichever is higher
Student File Services available
Joint applicant possible, provided he/she is a co-applicant of the security.
EduLine – Credit Facility against Security Deposit
Loan amount is 90% of the security deposit
Advance/partial pre-payment is allowed
Interest against utilization only
Within same day processing
Processing fee – 1% of the Loan amount (minimum BDT 2,000 or maximum
BDT 10,000)
Interest rate: FD+3% or 12% whichever is higher
Student File Services available
Joint applicant possible, provided he/she is a co-applicant of the security

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DIFFERENT TYPES OF SME PRODUCT OFFER
BY EBL
A. Small Segment Loan Products
1. EBL Asha:
Features:
Any business purpose loan from Tk.2,00,000 to Tk.10,00,000 (Repeat loan
from Tk.2,00,000 to Tk.15,00,000)
Loan repayable in equal monthly installment
Repayable within 3 to 36 months (Repeat loan repayable within 48 months)
No collateral security required
Eligibility
Any sole proprietorship, partnership or private limited companies having
minimum 1.5 years of successful business operation
Monthly cash flow to support the proposed loan installment
Another 2 personal guarantee
Repayment
Monthly installment
2. EBL Uddog:
Features:
Loan for any legal business purposefromTk.10,00,000 to Tk.1,00,00,000
Without land/building mortgage
Repayable within 60 months
30-50% of the loan amount in the form of fixed deposit
Eligibility
Any successful enterprise minimum 2 years in same or relevant business
Business income to support the proposed loan installment
Necessary documents of business
Bank account in the name of enterprise or the entrepreneurs
Repayment
Monthly installment

28 | P a g e
3. EBL Agrim
Features
Loan to meet-up seasonal demand
Loan facility minimum Tk.200,000 – maximum Tk.950,000
Loan tenure 1 month to 6 months
Partial payment and early payment allowed- no additional fee required
Eligibility
Any enterprise with one & half years business experience in same or relevant
field
Business cash flow to support the proposed loan in one shot
Bank account in the name of the enterprise or entrepreneurs
Personal guarantee required
Repayment
Single shot payment at maturity but interest will be realized on monthly basis
4. EBL Mukti
Features:
Credit facility from Tk.2,00,000 to Tk.25,00,000 for women entrepreneurs or
women lead business
Interest Rate is 10% p.a.
Repayable in 6-60 months
Eligibility
Any legitimate business run by women entrepreneurs with at least 1 year in
operation
Business Cash Flow to support repayment
Repayment
Monthly installment

29 | P a g e
5. EBL Uddom
Features
Loan for any legal business purpose from Tk.10,00,000 to Tk.1,00,00,000
Without land/building mortgage
Repayable within 48 months
30-50% of the loan amount in the form of fixed deposit
Minimum 50% loan repayable in monthly installment and Overdraft up to FD
amount
Overdraft facility when necessary
Eligibility
Business income to support the proposed loan Installment
Bank account in the name of enterprise or the entrepreneur
Repayment
Easy equal monthly installment
Interest only on withdrawal amount of OD
6. EBL Unnoti
Features
Any legal business purpose bundle loan for SME
Loan amount from Tk.10,00,000 to Tk.3,00,00,000
50% Term Loan and 50% OD facility of total loan limit
Maximum tenor for Term Loan is 60 months and Overdraft is for 12 months*
Collateral security required along with charge on business assets
Flexibility in loan usage, interest would be charged on utilization amount only
Eligibility
Any sole proprietorship, partnership or limited companies having minimum 2
years of successful business operation
Business cash flow must support to the proposed loan amount
Repayment
Term Loan is repayable by Equal Monthly Installment
Regular transaction in OD account and quarterly interest will be served
immediately after quarter end

30 | P a g e
7. EBL Nobodoy
Features
Loan for agro based industries
Loan amount minimum Tk.2,00,000 - maximum Tk.1,00,00,000
Interest Rate10% p.a.
Repayable within maximum 60 months.
No security required up to 10 lac but 50% of the loan amount in the form of
FD is needed for any amount over 10 lac
Eligibility
Any agro processing business having 2 years of successful business operation
in the same line of business
Bank account in the name of the proprietor or his institution
Two guarantors required
Business cash flow must support to the proposed loan amount.
Repayment
Monthly installment
8. EBL Udoy
Features
Loan for Leather Goods producer
Loan amount from Tk1.00 lac to 10.00 lac
Interest rate is 9% per annum
Loan tenor form 6 months to 36 months
No Collateral required
Eligibility
Any sole proprietorship or partnership firm having 1 year of successful
business operation (preferred)
Bank account in the name of the proprietor or his institution
Two guarantors required
Business cash flow must support to the proposed loan amount.
Repayment
Monthly installment

31 | P a g e
9. EBL Krishi Rin
Features
Loan for Individual Farmers/Share Cropper who are directly engaged in crop
cultivation
Loan Limit Minimum Tk.10,000 and Maximum Tk.1,50,000
Loan may be given for one time or revolving basis
No collateral required
No loan processing fee
Eligibility
Any individual Bangladeshi farmer/share cropper having minimum 1 year
experience in farming
Loan will be extended to the owners up to 15 bighas cultivable land /7.5
bighas for potato & sugarcane cultivation
Repayment
Repayment depends on harvesting of the crops
Repayment tenor minimum 3 months and maximum 12 months
10. EBL Projukti
Features
Loan for Individual Farmers for purchasing Agricultural Machinery
Loan Limit Minimum Tk.10,000 and Maximum Tk.1,50,000
No collateral required
Eligibility
Any individual Bangladeshi farmer having minimum 1 year experience in
farming
Loan will be extended to the owners up to 15 bighas cultivable land /7.5
bighas for potato & sugarcane cultivation
Repayment
Monthly Instalment
Repayment EMI basis within 3-24 months

32 | P a g e
11. EBL Utkorsho
Feature
Collateral free loan fromTk.30,00,000 to Tk.1,00,00,000
Terminating loan facility (EMI based)
Term Loan for 12-60 months tenor
Loan for working capital, fixed assets purchase and other business purposes
Eligibility
Relevant permission from the appropriate authority to run the business
Business income to support the proposed loan installment
Minimum Tk.12,00,00,000 Annual Sales Turnover
100% Bank Reflection of Sales Turnover
Repayment
Easy Monthly instalments by 12-60 months
12. EBL Utpadon
Features
Bundle loan for any productive business enterprises
Loan amount from Tk.5,00,000 to Tk.3,00,00,000
Combination of Term Loan and Overdraft
Medium Term Loan for 2-5 years (including 1 year grace period)
Long Term Loan for 5-8 years (including 2 years grace period)
Appropriate Working Capital for 1 year (Annually renewable up to 5 years)
Eligibility
Minimum 30% equity participation by owner(s) of the business
Collateral security required along with charge on business asset
Business cash flow must support to the proposed loan amount
Repayment

33 | P a g e
13. EBL E-Cash/Loan
Features
Cash Collateral backed Overdraft/Term Loan
Loan amount from Tk.50,000 to Tk.10,00,00,000
E-Cash: Revolving facility for 1 year
E-Loan: Term Loan for 12-60 months
Interest Rate: FD Rate+3% but minimum 12% p.a.
Eligibility
maximum 95% of Present Value of FD
Repayment

34 | P a g e
B. Medium Segment Loan Products
1. EBL Invoice Factoring
Features
Receivable financing through invoice discounting
Limit amount maximum BDT 5 crore
Interest rate 13% per annum or as determined by bank’s ALCO time to time
Accepted invoice from list of buyers/debtors including EBL's Corporate
Clients, MNCs, Multilateral Agencies, Banks, NBFIs Insurance Companies,
NGOs
Eligibility
Any legitimate business with two years business in the same line or relevant
business
Primarily assignment of accepted invoice/receivables
Factoring Agreement with EBL
Repayment
Over 30 days but not exceeding 120 days
2. EBL Bannijyo
Features
Credit facility up to BDT 35,000,000 to any legitimate import business
Nil margin LC facility
No requirement of land/building mortgage
Post import facility up to 6 months
30% of total limit in the form of FD as collateral requ
Over Draft facility to support day to day general expenses
Eligibility
Any legitimate business with three years of operation and at least one year
experience in import business
Necessary import related documents
Business cash flow to support repayment
Repayment
Monthly installment

35 | P a g e
3. EBL Green Credit
Features
Opportunities to save energy or implement renewable energy
Evaluate appropriateness of technological solutions
Assess the technical feasibility and economic viability of potential projects
Link up with vendors and energy service providers
Provide financing and mobilize funds for investment
Eligible Sectors
Steal Re-rolling, Light Engineering, Pulp and Paper, Cement, Poultry, Textile,
Readymade Garments, Chemicals, Plastics, Food and Beverage and Others.
Technologies and areas of intervention of these sectors with energy efficient
motors.
Waste heat recovery and Co-generation
Renewable energy consisting of solar thermal and solar PV applications,
Biomass gasification
Use of biogas to generate electricity and/or system

36 | P a g e
C. SME Liability Products
1. SME Equity Builder
Features
Minimum installment amount BDT 500 and maximum BDT 50,000
Tenor 5 years (60 months)
Higher interest rate compare to other savings scheme in the market
Pre-mature encashment is allowed anytime
One enterprise can open multiple EBL SME Equity Builder account
90% SOD facility of the present value of the deposited amount
Free monthly statement for the Current Account and free half yearly statement
for the SME Equity Builder Account
Eligibility to open this account
Any legitimate business entity-sole proprietorship, partnership or private limited
company, with valid Trade License and other documents as per Bangladesh Bank
requirements, can open EBL SME Equity Builder Account.
2. SME Double Return
Features
Minimum Opening Amount BDT 100,000.00 (One lac) only, No upper ceiling
for Maximum Amount
Amount will be double only after 6 years
Auto renewal allowed further for 1 term (6 years) after maturity
85% SOD facility of deposited amount within 1 year and 95% after 1 year
Can be used as security for SME Loan products
Eligibility to open this account
Any SME client having valid trade license for proprietorship, partnership and
public limited company
Copy of National ID/Passport/Driving license in the name of signatories is
required
Any other legal documents as per regulatory requirement

37 | P a g e
3. EBL Subidha
Features
Daily interest bearing & half yearly interest paying Current account linked
with STD
Minimum Opening Amount Tk. 100,000
Minimum deposit requirement for interest earning TK. 100,000
Free Monthly Statement for the Current Account and Free Half Yearly
Statement for the Shubidha Account
No Ledger Fee if Shubidha Account average balance is BDT 100,000 or more;
in case of amount less than that a semi-annual ledger fee of BD 300 will be
applicable
No Intercity Transaction Fee up to BDT 10,00,000
Business Debit Card facility (Up to 3.0 Lac/day withdrawal facility)
Eligibility
Any legitimate business entity - sole proprietorship, partnership or private
limited company, with valid trade license and other documents as per
Bangladesh Bank requirements, can open EBL Shubidha Account.

38 | P a g e
DIFFERENCE BETWEEN ISLAMIC BANKING SYSTEM
AND TRADITIONAL BANKING SYSTEM
Generally the term “Bank” means a financial institution that collects deposits from
surplus units of the society and then lends the deposits to the deficit units of the society.
The definition of Islamic Bank, as approved by the General Secretariat of the OIC, is
stated in the following manner-
“An Islamic bank is a financial institution whose statutes, rules and procedures
expressly state its commitment to the principle of Islamic Shariah and to the banning of
the receipt and payment of interest on any of its operation.”
The traditional bank(TB)s differs in theory and practice from Islamic Bank(IB)s; most
of the differences can be summarized by stating that TB’s system is a debt -based and it
allows for risk transfer. While IB’s system is asset -based and it allows for risk sharing
(Hasan & Dridi, 2006). Table (1) is a comparison between traditional and Islamic
banking system-
Characteristic Islamic banking system Traditional banking system
Business
Framework
Functions and operating modes are
based on Shariah and Islamic banks
must ensure that all business
activities are incompliance with
shariah requirements.
Functions and operating modes are
based on secular principles, not
religious laws or guidelines.
Interest
charging
Financing is not interest (Riba)
oriented and should be based on
risk-and-reward sharing.
Financing is interest oriented, and a
fixed or variable interest rate is
charged for the use of money
Interest on
deposits
Account holders do not receive
interest(riba) but may share risk and
rewards of investment made by the
Islamic bank
Depositors receives interest and a
guarantee of principle payment
Risk sharing
in equity
financing
Islamic banks offer equity financing
with risk sharing for a project or
venture. Losses are shared on the
basis of equity participation, whereas
profit is shared on the basis of pre-
agreed ratio.
Risk sharing is not generally offered
but is available through venture
capital firms and investment banks,
which may also participate in
management
Restrictions Islamic banks are allowed to
participate only in economic
activities that are Shariah compliant.
Traditional banks may finance any
lawful product or service
Zakat One of the functions of the Islamic
Banks is to collect and distribute
zakat.
Traditional banks do not collects and
pay any religious tax
Penalty on
default
Islamic banks are not allowed to
charge penalties for their
enrichment. They may however
Traditional banks normally charge
additional money (compound
interest) in case of late payment

39 | P a g e
allow imposition of default or late-
payment penalties on the grounds
that these penalties discourage late
payments or defaults, which impose
administrative costs on bank for
processing and collecting the amount
owed. Penalties may be donated to a
charity or used to offset collection
cost.
Avoidance of
gharar
Transaction with elements of
gambling or speculation are
discouraged or forbidden.
Speculative investments are allowed
Customer
Relationship
The status of client is that of partner
and investor
The status of a client is one of
creditor and debtor
Shariah
supervisory
Board
Each Islamic bank must have a
supervisory board to ensure that all
its business activities are in line with
Shariah’s requirement
Traditional banks do not have such
requirements
Statutory
requirements
An Islamic bank must be compliance
with the statutory requirements of
the central bank of the country in
which it operates and also Shariah’s
guidelines
A traditional banks must be in
compliance with the statutory
requirements of the Central bank of
the country in which it operates and
in some places, the banking laws of
state or other localities.
Source: The Research Foundation of CFA Institute
From another point of view, it is important to document the critique of some scholars
regarding the differences between the two systems. They believe that those differences
are only in theory not in practice (i.e. the difference is only in the terminology).

40 | P a g e
DOCUMENTS REQUIRED TO OPEN AN ACCOUNT
IN EBL
To open a savings, current, STD account, the following documents are mandatory:
1. FOR INDIVIDUAL ACCOINT:
Account opening form: to be filled in and signed by each applicant
Two copies of Passport size Photograph of the Clients (Attested by
introducer or Verified with Passports)
Copy of National ID card/ valid Passport/ Driving License
Customer Profile.
Transaction Profile.
Photograph of the Nominee(s) attested by the account holder.
TIN Certificate
Copy of recent utility bill as a proof of mailing address
2. FOR JOINT ACCOUNT:
Account opening form: to be filled in and signed by each applicant
Copy of National ID card/ valid Passport/ Driving License of the
Proprietor.
Customer Profile.
TIN Certificate.
Relationship between the account holders.
Purpose of opening of the Joint account
Copy of recent utility bill as a proof of mailing address
3. FOR PROPRIETORSHIP ACCOUNT:
Account opening form: to be filled in and signed by the proprietor
Two copies of Passport size Photograph of the proprietor (Attested by
Copy of National ID card/ valid Passport/ Driving License of the
Proprietor.
Customer Profile.
TIN Certificate.
Trade License.
VAT Registration (if available)

41 | P a g e
4. FOR PERTNERSHIP CONCERN:
Account opening form: to be filled in and signed by each partner
Two copies of Passport size Photograph of each partner(Attested by
Copy of National ID card/ valid Passport/ Driving License of
Company Profile.
Transaction Profile of the concern.
Personal Profile of the partners.
TIN Certificate.
Trade License of the concern.
VAT Registration (if available)
Relationship between the partners.
Attested Photocopy of the Partnership Deed (Deed on Tk 1000.00stamp)
Resolution regarding opening and operation of the account.
5. FOR COMPANY ACCOUNT:
Attested or Certified copy of the Memorandum and Articles of Association.
Certificate of Incorporation.
Certificate of Commencement of Business.
Two copies of Passport size Photograph of all Directors (Attested by
Copy of National ID card/ valid Passport/ Driving License of all Directors
of the company.
Company Profile.
Transaction Profile of the company.
Personal Profile of all Directors as per enclosed sheet in the company’s
letterhead pad.
TIN Certificate.
Trade License.
VAT Registration (if available).
Board resolution of the company regarding opening and operation of the
account.
6. FOR PRIVATE SCHOOL/COLLEGE/MADRASA:
Attested or Certified copy of the Constitution.
Registration Certificate.
List of all Executive Members (as per enclosed format).
Two copies of Passport size Photograph of the account operators
(Attested by introducer or Verified with Passports)
Copy of National ID card/ valid Passport/ Driving License of the account
operators.
Personal Profile of all members of the governing body and Managing
Committee.
Board resolution regarding opening and operation of the account.

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7. FOR NGO/ CLUB-SOCIETY/CO-OPERATIVE ACCOUNT:
Registration Certificate from the Joint Stock Company/ Ministry of Social
Welfare.
List of all Executive Members (as per enclosed format).
Board resolution as per Memorandum regarding opening and operation
of the account.
Attested or Certified copy of the Constitution/Bylaws.
Two copies of Passport size Photograph of all Members (Attested by
Copy of National ID card/ valid Passport/ Driving License of all Members.
Profile of the Firm.

Eastern Bank Limited

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