FIN263 - Individual Assignment ( Remittance ) PDF

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UNIVERSITY TECHNOLOGY MARA MALACCA CAMPUS ALOR GAJAHFACULTY OF BUSINESS MANAGEMENTDIPLOMA IN BUSINESS STUDIESBANKING OPERATIONSFINCIMB BANK BERHAD AND BANK ISLAMREMITTANCE PRODUCT: ONLINE TRANSFERPREPARED BY:NAME GROUP MATRIX NUMBERNUR ZURAISYA IDAYU BINTI MOHD ZUBER MBA1193D 2020839854PREPARED FOR:...

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UNIVERSITY TECHNOLOGY MARA MALACCA CAMPUS ALOR GAJAH FACULTY OF BUSINESS MANAGEMENT DIPLOMA IN BUSINESS STUDIES

BANKING OPERATIONS FIN263

CIMB BANK BERHAD AND BANK ISLAM REMITTANCE PRODUCT: ONLINE TRANSFER

PREPARED BY: NAME

GROUP

MATRIX NUMBER

NUR ZURAISYA IDAYU BINTI MOHD ZUBER

MBA1193D

2020839854

PREPARED FOR: DR. MOD HAFIZ BIN BAKAR

DATE OF SUBMISSION: 31 JANUARY 2022

ACKNOWLEDGMENT

In the name of Allah, The Most Gracious, The Most Merciful. Praise be to Allah, Lord of the universe who give me the opportunity to complete this written report as my individual assignment for subject Banking Operations ( FIN263 ). On this occasion, I would like to express my deepest appreciation to all those who have involved to complete this report. A special gratitude I gave to my lecturer Dr. Mohd Hafiz Bin Bakar whose contribution in stimulating suggestions and encouragement as well as guiding me to finish this written report during these 14 weeks. Furthermore, since pandemic Covid-19, I encouraged to be at home for Open and Distance Learning (ODL). I would like to acknowledge with much appreciation the crucial role of my parents who provided me the facilities and necessary materials to complete the individual assignment. For example, provided me a laptop, a comfortable place to study and pay for Wireless Fidelity (Wi-Fi) on a monthly basis. Then, a special thanks goes to my classmate who spent a lot of time through WhatsApp to helped me give the ideas or suggestions on my paper which gave an inspiration to improve the quality of the assignment. Last but not least, thank you again to all of you on your kindness on willingness to help completed this written report as my individual assignment. I have done this report in accordance with the appropriate guidelines and we hope it will be acceptance by Dr. Hafiz Bin Bakar. Thank you.

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TABLE OF CONTENT

NO

CONTENT

PAGES

1

Acknowledgement

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2

Table of content

ii

3

Content of project : 1

Remittance 4

CIMB Bank Berhad Remittance product: CIMB Clicks

5

•

Features

•

Process

•

Fees

•

Advantages

•

Disadvantages

2-4

Bank Islam Remittance product: Go by Bank Islam

6 7

•

Features

•

Process

•

Fees

•

Advantages

•

Disadvantages

5-7

Comparison products • CIMB Clicks and GO by Bank Islam

8

References

9

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REMITTANCE

A remittance could be a payment of cash that’s transferred to another party. Broadly talk, any payment of an invoice or a bill as referred to remittance. However, the term most frequently used nowadays to explain a sum of money sent by an individual working abroad to his or her family back home. Remittance also done with transfer of money using a banking system. In Malaysia, the remittance includes: •

Cashier’s order

•

Demand draft

•

Telegraphic transfer

•

Online transfer

•

Standing instructions

For this report, I will concentrate to ‘online transfer’ as my remittance product for two banks that I have choose which are CIMB Bank Berhad and Bank Islam. Online transfer is transfer funds from one account to another account electronically. Nowadays, the fund can be remit through electronic banking such as internet banking, ATM and cash deposit machine compared the manual method which customers personally go to branches to make money transfer.

1

CIMB BANK BERHAD

Commerce International Merchant Bankers Berhad or well known as CIMB Bank Berhad founded in Malaysia in 1974 and located in Kuala Lumpur. The operations of the CIMB Group include a basic consumer bank, a premier regional investment bank and an Islamic bank, served by some 16,699 employees as in June 2019. The CIMB Bank is the Group’s commercial bank with 234 branches throughout Malaysia. CIMB Bank also is the country’s second largest commercial bank for more than 8 million customers and clients nationwide. It is offering the full spectrum of banking services from consumer products to business banking services for SMEs, as well as insurance, investment and wealth management products and services. CIMB Bank has subsidiaries in Thailand, Cambodia and Vietnam, as well as branches in Singapore, Philippines, London, Hong Kong, Shanghai and Laos and also representative offices in Yangon and Mumbai. CIMB Islamic also is the Islamic banking and financial services franchise of the group with a depth suite of progressive Shariah-compliant products and services. Their solutions include financing, sukuk, investment banking, transaction banking, asset management, banca-takaful and securities services for individual, commercial, corporate and institutional customers across ASEAN. With the implementation of their first Islamic strategy , their goal is to extend the value proposal of Islamic products to their customers and the broader public. The bank aspires to progressively integrate environmental, social and governance factors via a value-based approach, a hallmark of Islamic finance.

2

REMITTANCE PRODUCT OF CIMB BANK BERHAD

CIMB CLICKS CIMB Clicks is a digital service that provided by CIMB Bank Berhad to facilitate the financial affair of its customers. For registration of CIMB Clicks, the customers can find this service on Google Play, App Store and AppGallery to download. This service has helped many customers to made managed money for them and ease their banking. For information, CIMB Clicks recently bringing new features and smart tools designed. Features •

Transfer money.

•

Pay bills / cards / loans.

•

Apply and invest.

•

QR pay.

•

Foreign transfers.

•

Top up.

Process 1. Authenticate with fingerprint or face id. 2. Select the features. 3. Enter the payment detail. 4. Confirm and done. Fees •

No fees for fund transfer to other banks.

•

RM2.00 - RM2.50 as fees for Eipo.

•

RM0.20 – RM2.00 as fees for bill payment.

3

ADVANTAGES •

Transfer

money

locally

DISADVANTAGES and

abroad

•

effortlessly. • •

illegal activities.

Pay instantly or schedule ahead because there

•

Required to read tutorial.

are over 2,000 JomPAY billers nationwide.

•

Inefficient at complex transaction.

Place fixed deposits, buy unit trusts, gold

•

No relationship between personal banker.

investment, eIPO, ASNB, TravelCurrency and more. •

Make cashless payments speedily when checkout at cashier with CIMB Clicks. Just scan, pay and go.

•

Send money abroad securely via Foreign Telegraphic Transfer or SpeedSend.

•

Prone of hacking attacks, malware and

Reload credit instantly, securely via CIMB Clicks.

4

BANK ISLAM The establishment of bank Islam can be traced even approach back before warfare wherever Muslims within the country were already searching for an alternative financial system that would comply with the Shariah requirements. It absolutely was not until 1969 but that the Pilgrims Management and Fund Board (Lembaga Urusan dan Tabung Haji or “Tabung Haji”) was established in as one of the first Islamic financial institutions, primarily to encourage savings and investments among the Muslims and facilitate depositors perform Hajj. At the international level, the decision for the establishment of an Islamic banking system had been gaining in momentum however it had been solely in 1975 that the first Islamic bank was established in Dubai. The bank was formed after 15 years of intensive analysis and joint effort by professional Islamic economists, financiers and officers from various world Islamic organisations. Starting with 30 pioneering staff, Bank Islam’s first year of operation was conducted by its temporary headquarter at the primary floor of Kompleks Jemaah Haji at Subang, Selangor. By the end of its first financial year, Bank Islam has 4 operational branches at Kuala Lumpur, Kuala Terengganu, Kota Bharu and Alor Setar with 272 employees. Through the innovative application of Waqf land development, nowadays Bank Islam’s headquarter is that the pristine Menara Bank Islam. Its placed in the midst of the ‘Golden Triangle’ of Kuala Lumpur. End of 2018, Bank Islam has quite 140 branches nationwide with a manpower of more than 4,500.

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REMITTANCE PRODUCT OF BANK ISLAM

GO BY BANK ISLAM This is digital service that have provided by Bank Islam. This service enables their customers to enjoy banking conveniently and access to their Bank Islam’s accounts. Mostly people will use this method compared to manual method because its available on device and operates 24 hours a day. This application not same as the others as it highlights to invite their customers to make donation and sadaqah. Features •

Transfer funds.

•

Pay bills.

•

Prepaid reload.

•

Donation.

•

Register for Haji.

Process 1. Launch and log in. 2. Select ‘Transfer’. 3. Choose ‘Other Account’ under DuitNow. 4. Choose ‘New Transfer’. 5. Choose ‘Account Number’. 6. Select bank. 7. Enter the payment detail. 8. Accept the T&C then select ‘Continue’. 9. Click ‘Transfer Now’. 10. Approve the transaction and done. Fees •

No fees for funds transfer and DuitNow.

•

RM0.10 as fees for Interbank GIRO (IBG).

6

ADVANTAGES •

Transfer

money

locally

DISADVANTAGES and

abroad

•

effortlessly.

Prone of hacking attacks, malware and illegal activities.

•

Allowed to access Bank Islam's accounts.

•

Perform selected services quickly.

•

Securely from device 24 hours a day.

•

Password have to change periodically.

•

Offering register Haji.

•

Unable access without internet connection.

•

Have party to manage donation and sadaqa.

•

Might be difficult for the beginner to make transaction.

7

COMPARISON PRODUCTS

CIMB CLICKS • •

GO BY BANK ISLAM

Transfer money locally and abroad •

Transfer money locally and abroad

effortlessly.

effortlessly but GO by Bank Islam offer

No receipt printouts to download and

registration for Hajj in their features.

share. •

CIMB

• Clicks

offer

more

share.

about

investment and loan. •

Have receipt printouts to download and

•

GO by Bank Islam offer and invite us to

Higher transfer limit RM50,000 online

be a part of Sadaqa House's social finance

daily

initiative and make donation while

while

lower

transfer

limit

saving money.

RM10,000. •

Higher transfer limit RM50,000 online daily while lower transfer limit RM1.00.

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REFERENCES

•

https://www.investopedia.com/terms/r/remittance.asp

•

https://www.cimb.com/en/home.html

•

https://www.cimb.com.my/en/personal/digital-services/cimb-clicks.html#cimb-clicksmobile-app

•

https://www.bankislam.com/

•

https://www.bankislam.com/personal-banking/services/go-by-bank-islam/

•

https://www.bankislam.com/wp-content/uploads/Intrabank-Funds-Transfer.pdf

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