Chapter 7( Seven) Deceased Account, Banker- customer relationship, local remittance


Withdrawal of money form deceased Account: Transaction close at the news of death.
Following documents are to be submitted for withdraw by heirs:

Withdrawl by Nominee:
1      Death certificate by chairman
2         Application by nominee with two copies of attested photoes
3       Identification of nominee by Chairman/ two customers/ two officers of bank
4       Indemnity by nominee jointly with two customers of bank

In case of Absence of nominee:

1   Death Certificate for Chairman
2     Succession certificate for chairman upto 50 thousnad, for more succession certificate from court
     Sign indemnity and suirity bond by heirs
4.       Application from heirs
5    Power of attorney to withdraw by someone by all heirs

     Banker- Customer Relationship: 
   
    Nature of Relationship: The nature if relationship between a banker and a customer is contractual in nature. The account of the customer forms the basis of such contract and the relationship appears in different forms according to the type of contract which may be stated as under:

Debtor and Creditor:

Principal and Agent    

Bailor and Bailee

Lessor and Lessee

Trustee and beneficiary

Mortgagor and Mortgage

Nature of Relationship in Islamic Perspective:

Saheb Al- Maal & Mudarib

Partners in business

Buyer & Seller of goods

Brotherhood Concept


Special Relationship:

Obligation to honour Customer’s Cheques.

Obligation to maintain secrecy of the             customer’s A/C

Banker’s Right of General lien.

Right to set off.



What is  Remittance ?
Transmission/transfer of money from one place to another. Local remittance represents remittance that takes place within the territory of a country.
Banks have a wide network of branches all over the country and offer various types of remittance facilities to the public/customer/client etc.

There are three modes of remittances which are as under:
         (a) DD          -              Demand Draft
         (b) TT           -              Telegraphic Transfer
         (c)  PO          -              Payment Order

A prescribed Application Form bearing No. F-20 is required for effecting remittance through D-D and the following columns should be filled in properly:
n  Name and address of the applicant.
n  Telephone No. (if any).
n  Date
n  Signature of the applicant
n  Name of the payee
n  Drawee branch
n  Amount in figure and words.
n  Commission is to be realized /charged as per Head Office circular.
n  At present min. Tk. 23/-

Payment of Draft
The drawee branch should exercise proper care while paying drafts.
n  When the draft is presented to the drawee branch for payment, the particulars of the draft is/are checked with the advice and signature (s) therein to be verified.
n  Payment of the DD has not been stopped is to be ensured
n  Verification of Test no, if any, is to be done.
n  If the DD issued for cash payment ‘A/c. Payee' rubber stamp’ should be cancelled and a letter requesting the drawee branch to pay the DD in cash should be issued under sealed cover and signature of the payee should be attested.
n  DD Advice should be sent on the same day.

n  The drawee branch should ensure that the payment of the instrument is made in due course.
n  As the demand draft is payable to order it is duty of the paying branch to obtain identification of the payee if payment is desired over counter.
n  If the DD is presented through a bank, the endorsement(s) appearing on the instrument should be prima-facie in order of certification by the collecting banker
n  Though there is no time limit for presentation, the paying bank should put an enquiry if a draft is presented after a reasonable period say 6 months. Such a draft may be paid if the collecting banker certifies that amount has been credited to the payees A/C in absence of such a certificate, it would be advisable to return the draft for revalidation before payment.
      If the draft is not presented for long time, it is practice the banker to contact the buyer and request him to arrange for presentation of the instrument

Cancellation of Draft
n  Some times the purchaser returns the draft to the issuing branch and requests for payment by cancellation thereof. In such case we must make sure that the request is from the genuine purchaser, that the draft was issued by him and is not a fake one and that he has not already issued a duplicate thereof. However, if the purchaser of the draft makes a request to cancel the draft and refund him the amount of draft, the bank should do so after taking the following precautions:-
Bank should satisfy itself that the draft has not been delivered to the payee. Section 46 of the NI Act states that the making, accepting and endorsement of a negotiable instrument is completed only when it is delivered to the person concerned. Thus, a banker should refuse to cancel the draft, if it is found that the draft has been delivered to the payee. As a matter of fact, the purchaser losses the right of getting the draft cancelled as soon as he sends the drafts to the payee. If the purchaser wants to get the draft cancelled after  delivering it to the payee he can do so only with the consent of payee.
If the draft is sent by post, the act of posting itself proves the delivery of the draft to the payee. This is because the post office is taken as the agent of the payee of the draft.
Payment by Cancellation of Original DD
n  Obtain application from the purchaser along with original DD.
n  Obtain signature on back page of the DD and IBDA.
n  Realise cancellation fees(Tk.50/-).
n  The signature of applicant must be verified from the signature on the original form application available at branch record.
n  An IBDA for the same amount should be sent to the payee branch mentioning particulars of DD &  IBC A/c
n  Destroy the signature portion of the DD and write in red ink DD paid by cancellation and kept DD with Dr. voucher.
TT (Telegraphic Transfer)
Telegraphic transfer is so far the quickest method of transferring funds from one place to another. Some times, the remitter of the funds requires the money to be available to the payee immediately. In that case the banker is requested by the remitter to remit the funds over telephone. It is an instruction conveyed by telegraph/telex/telephone to the drawee branch for paying certain amount of money to a specified person.
Issuance of TT
TT application form (F-22) is to be filled in by the remitter with full particulars signature of the remitter is to verified by the bank's officials. Money to be received in cash or by debiting remitters account with commission and Telex/Telephone charges. Entry should be given in B-44 branch wise serially under supervision of authorised official. Message to be passed immediately to the drawee branch under secret test by Telex, Telephone, Telegram followed by IBCA for confirmation. Cost memo F-23 to be issued and handed over to the client.
Payment of TT
The amount transferred by TT is either credited to the account of the beneficiary, if he/she maintains an account, or paid by means of a TT payment order if he/she does not maintain an account. Cash is paid to the beneficiary on proper identification, if he/she has no account.
Pay Order
Payment order is meant for making payment of the banker’s own or of the customers dues locally and not for effecting any remittance to an out station. In a sense, the payment order is used for making a remittance to the local creditors.
Issue and Payment of Payment Order
F-19, should be filled in properly by the customer. Total amount should be deposited through cheques/cash.
Commission to be realised as per bank’s circular:
From Tk. 1/-                       upto Tk. 10,000/-                              Tk. 15/-
From Tk. 10,001/-             upto Tk. 1,00,000/-                          Tk. 20/-
From Tk. 1,00,001/-         upto Tk. 5,00,000/-                          Tk. 30/-
From Tk. 5,00,001/-         upto Tk. 10,00,000/-                        Tk. 40/-
From Tk. 10,00,001/- and above                                                Tk. 50/-

n  Printed Payment Order leaf should be filled in as per F-19 and signed by two authorised officers.
n  The instrument should be handed over to the purchaser.
n  Payment Orders are required to be discharged by the beneficiary, where applicable on revenue stamp of appropriate value against in cash or through account.

General Instructions for Issuance of Duplicate Draft/ Payment Order

n  Immediate caution mark and other precautionary measures shall have to be taken on receipt of the lost news whether verbal, written or over telephone.
n  Obtain a written application from the purchaser of the instrument stating that instrument was lost from his possession and the circumstances there to along with the copy of G.D.
n  The purchaser of the lost instrument exceeding Tk. 1.00 lac shall lodge a general diary with the local police station to this effect and a copy of the same shall have to be submitted alongwith application.
n  The signature of the applicant must be verified from the signature on the original application.
n  In case of lost PO, an NOC shall have to be obtained from the beneficiary of the PO directly that the bank stating that the concerned PO has not been deposited with them or has been lost from their custody. Which will be returned to the issuing bank if found later on and they have no objection in issuance and delivery of a duplicate to the purchaser by the bank.
n  Indemnity bond (F-13) shall have to be obtained duly signed by the purchaser along with two sureties acceptable to the bank (stamp value Tk. 150/-).

n  On the top of the duplicate PO/DD the following words shall have to be written in red ink DUPLICATE IN LIEU OF THE ORIGINAL NUMBER ----------------- DATED ----------.
n  “CAUTION AGAINST FRAUDULENT ENCASHMENT/WITHDRAWAL A/C” shall be marked in DD/PO issue register/DD Payable Register.
Special Instruction for issuance of Duplicate DD



No comments:

Post a Comment