The document outlines the definition and types of banks under the Banking Regulation Act 1949, including commercial, cooperative, specialized, and central banks, as well as distinctions between public and private sector banks. It details various banking services such as savings, current, fixed, and recurring deposits, along with types of loans and the implementation of electronic banking services. Additionally, it highlights key functions of commercial banks and electronic banking tools like ATMs, credit cards, and electronic fund transfer.

2. According to Banking Regulations
Act 1949,mean “accepting for the
purpose of lending or investment of
deposits of money from the public
repayable on demand or otherwise
and may be withdrawn by cheque
or otherwise”

3. A bank is a financial institution which
is primarily engaged in receiving
money from the public by way of
deposits and provides the same to
those who are in need of it as loans
and advances.

4. Types of banks
OCommercial
Banks
OCooperative
Banks
OSpecialized Banks
OCentral Bank

5. Banks dealing in money and credit
Governed by Indian Banking Regulation Act
1949

6. Public sector banks private sector banks

7. Public sector banks
Banks owned managed and controlled by the
Govt.
Emphasis on social objectives than on profitability

8. private sector bank
They are owned managed and controlled by
private promoters.

9. They are governed by the provisions of State
Cooperative societies Act.
They are meant for providing cheap credit to
their members.

10. Organised to render specific services to public.

11. Reserve Bank of India
(1935)
Banker’s bank
Government’s bank

13. Functions of commercial banks
Primary
functions
Secondary
functions
Agency
services
General utility
services

15. 1. Savings Bank Deposits :
• helps to mobilize savings of general public.
• There are certain restrictions on operating this account such as
keeping minimum balance, frequency and volume of withdrawal
• They provide interests
2. Current Deposits :
• These accounts are meant for big business men and companies.
• There is no restrictions on number of withdrawals
• Provides overdraft facilities
• No interests

16. 3. Fixed Deposits :
• Longer period of time
• No withdrawal before maturity
• Higher interest rates
4. Recurring deposits
• Meant for salaried or regular income groups
• Deposits a fixed amount at regular intervals for a certain
periods of time

18. Types of loans
1. Loans
Advances extends to its customers with or without securities for a
specified time.
2. Cash Credit
Banks allows to borrow cash up to a certain limit against security of
assets
3. Overdraft
Temporary facility to overdraw from the current account without any
security.

24. Electronic banking or internet banking
means that any user can get connected to
the bank’s website to perform banking
operations and services with the help of a
computer or mobile phone.

26. E - banking services
1. ATM
2. Electronic fund transfer
3. Point of sale
4. Electronic data interchange
5. Credit cards

27. ATM

29. Point of sale

31. Credit cards

39. New terms
USSD
Micro ATM