what are the functions of bank
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what are the functions of bank
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Answer:
hope this help u
Explanation:
Different Authors and Economists have given some structural and functional definitions on Bank from different angles:
“ Bank is a financial intermediary institution which deals in loans and advances”--- Cairn Cross.
“ Bank is an institution which collects idle money temporarily from the public and lends to other people as per need.”----
R.P. Kent.
“ Bank provides service to its clients and in turn receives perquisites in different forms.”--- P.A. Samuelson.
“ Bank is such an institution which creates money by money only.”-----W. Hock.
“ Bank is such a financial institution which collects money in current, savings or fixed deposit account; collects cheques
as deposits and pays money from the depositors‟ account through cheques.”-----Sir John Pagette.
Indian Company Law 1936 defines Bank as “ a banking company which receives deposits through current account or
any other forms and allows withdrawal through cheques or promissory notes
Answer:
Important Functions of Bank
There are two types of functions of banks:
Primary functions – being primary are also called banking functions.
Secondary Functions
Both the types of functions of bank are explained below in detail:
Primary Functions of Bank
All banks have to perform two major primary functions namely:
Accepting of deposits
Granting of loans and advances