OPERATING BANKING ACCOUNT PROBLEMS AND SOLUTION

ABSTRACT

The operating bank account problem and solution is aimed at determine the various problems banks are accounting in operating their account. The central concern of this work is to study these problem banks uncounted in operating their customer account in the bank and proffer solution to checkmate them.
In the process of trying to find out these issues, other works were reviewed in addition to the fieldwork and interviews, which were carried out. Through the oral interview to the various operator of banks.

The oral interview were administered to find out the following facts

Whether there is any alterative on the requirement bank demands before opening account for their customer
Whether phone banking were apply in banking system for time safe
Whether overdraft should be given to the customer of the bank
Whether the service rendered by bank is encourageable by their customers
Information were collected, presented, and analyzed
From the analysis of the data, the major findings were:

That the customer of the bank prefer to operating saving account in the bank than current account.

CHAPTER ONE

INTRODUCTION

1.1 STATEMENT OF PROBLEM AND PURPOSE OF THE STUDY

Several problems are encounter by individual while operating bank account this project will study these problems and proffer solution to checkmate them.

It includes such practices as fraudulent activities and mismanagement by bank officials, poor, liquidity and unavailability of adequate credits to describing customers.

1.2 RATIONALE OF THE STUDY

People have often been expressing their dissatisfaction over the hindrance they encounter while operating bank account. Such as time wastage, inefficiency and unreliability high interest rate etc. on a personal experience I had encounter a situation where the requirement for opening an account where too numerous and irrelevant. However bank also have their own problem they encounter in meeting up the demand for the service they promise to render to their customer due to a number of reason such as poor liquidity, bad debt, capitalization reserve etc. in this regard, it interested me to look at these problems encounter by both parties (banks and customer). The cause and how they can be reduce or eradicated.

1.3 SIGNIFICANCE OF THE STUDY

The study in this project will benefit the bank and customer, because it will proffer solution to the problems banks and their customer encountering in operation. Some of these include poor liquidity in operating the customers account, and loan issued to their customer which often turn to bad debt, that is debt that bank cannot recover from their customer.

1.4 DEFINITION OF TERMS

Operating bank account

Is the services offered by bank to the customer

Overdraft

It is when the bank allowed the customer to over withdraw more than what he have in account.

Dormant account

It is account that has not been operated by the customer for a considerable length of time ranging from three month to two years depending on the policy of the bank where the account is kept.

Loan

Is a financial facility granted by a bank which is intended to be applied for financing of a specific purpose?

Current account

Is a running or active account on which cheques or orders to pay are drawn with out notice to which credit are paid.

Saving account

Is one which earns interest on monthly basis

Fixed deposit account

Is one which provide that the amount of such deposit is payable on certain data or at the expiration of a specified period of time.