Commercial Banks

Definitions of commercial-grade Banks While defining the term banks it is taken into somersetword report that what type of task is performed by the banks. Some of the far-famed definitions atomic number 18 given below: harmonise to Prof. Sayers, A bank is an asylum whose debts ar widely legitimate in settlement of another(prenominal) peoples debts to each other. In this definition Sayers has accent the transactions from debts which ar raised by a financial institution. According to the Indian Banking Comp all Act 1949, A banking political party means any company which transacts the business of banking . Banking means evaluate for the purpose of lend of investment of deposits of money from the public, payable on gather up or other wise and hit the hay able by cheque, limn or otherwise. Functions of mercenary Banks Commercial bank being the financial institution performs diverse types of functions. It satisfies the financial needs of the sectors such as agriculture, industry, trade, communication, etc. That means they bestow very significant design in a member of economic social needs. The functions performed by banks be changing gibe to change in cartridge holder and recently they are becoming customer centric and rig their functions. Generally the functions of commercial banks are divided into two categories viz.

primeval functions and the unessential functions. The following chart simplifies the functions of banks. Primary Functions of Commercial Banks Commercial Banks performs mixed primary functions some of them are given below 1. pass judgme nt Deposits : Commercial bank accepts vario! us types of deposits from public in particular from its clients. It includes saving(a) account deposits, recurring account deposits, fixed deposits, etc. These deposits are payable after a certain time period. 2. making Advances : The commercial banks provide loans and advances of various forms. It includes an over draft facility, light upon credit, bill discounting, etc. They also give posit and demand and term...If you want to get a full essay, order it on our website: OrderCustomPaper.com

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