BANKING Q & A #nepalbankingpreparation #nepalrastrabankpreparation #adblpreparation #nblpreparation
1. Meaning and Definition Of Commercial Bank
An organization that provides various financial services - Oxford Advanced Learner's
A bank is an institution whose debts "bank deposits" ae commonly accepted in final settlements of other people's debt." - Sayers
kinley- "A bank establishment which makes to individuals such advances of money as may be required and safely made, and to which individuals entrist money when not required by them for use."
According to Nepal Rastra Bank Act "Bank"meanstheNepalRastraBankestablishedunderSection3.
A banker is a person, firm or company having place of business where credits are opened by the deposit or collection or money or currency subject to be paid or remitted upon draft, cheque or where money is advanced or loaned on stock, bonds, bullion and B/E and P/N are received for discount and sale."-prof. Findlay shirras
2. Importance of Commercial Bank
- Free From Economic Exploitation
- Collection, Mobilization of savings and capital Formation
- Development of Agriculture and Industrial Sector
- Protection of Assets
- Increase in Employment
- Transfer of Found
- Balance Development
- Implementation of Monetary Policy
- Technical Services
- Mobilization of Government Resource
3.Functions of Commercial Bank
1. To Accept Deposit
- Current Deposit Account
Everyone has different banking needs, but every business needs a bank account.
Features
Withdrawal Below minimum balance
Extended Banking Hours in Kathmandu Valley Branches
Standing Instruction
Cash Management
Free Chequebook
-Saving Deposit Account
Features
Attractive interest rate
Affordable balance
Unlimited Withdrawals
Withdrawal below minimum balance
Extended Banking Hours in Kathmandu Valley Branch
Free Chequebook
- Fixed Deposit Account
Attractive Interest Rate
Wide Options of tenure
Auto Renewal Possible
Loan Facility upto 90% of Deposit Amount
for example Account :- Karma Yogi Bachat khata, Mahalaxmi Bachat Khata, Chunamuna Bachat Khata, Teacher's Bachat Khata
- Call Deposit Account
2. To Advance Loan
- Funded Loan
Overdraft/ Hypothecation Loan : Overdraft/ Hypothecation Loan is a revolving credit facility that finances the everyday operation of the customers business and fulfills its working capital requirement.
Pledge Loan
Term Loan
Project Loan
Trust Receipt Loan
Export Loan
Bill Purchase (Clean Bill)
Loan for Infrastructure based Industries
Consortium Loan
-Non-Funded Loan
Letter of Credit : The bank Provide LC Facilities to its customers to facilitate the import.
Bank Guarantee
- Loans And Advances
- Overdraft
- Commercial Loan
- Social Loan
- Discounting of Bills of Exchange
- Retail loan provides finance to fulfill your personal needs.
Housing loan
Vehicle Loan
Hire Purchase Loan
Educational Loan
Apartment Loan
Loan Against Gold
Loan against Fixed deposit receipt
Loan against the government bond
Perconal Loan
Rastra Sewak Loan
Loan against the first class bank guarantee
3. Creation of Credit
4. To Promote the Use of Cheque
5. Agency functions
-Collection and Transfer of Funds
- Collection of Dividend
- Purchase and sales of Share and Securities
- Payment of Premium
-Income Tax consultant
- Purchase and sales of Foreign Exchange
- To assist Internal and foreign trade
- Others Functions:-
- Safe Deposit Vault
- Traveler's Cheque
6. Remittance Services
- Remit Online
- Korea Remit
- SWIFT
7. New Services
Branch-less Banking
Cash Deposit Machine
Internet Banking
Mobile Pay
Mobile Banking
ATM Card
ABBS
Locker
Trade Finance
SFAF Service
Nisos Basnet
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