MEANING AND INTRODUCTION TO BANKING OR WHAT IS BANKING?
Bank is a financial institution which accept deposit from the people and lend the same deposit as loan to earn profit .It create and control the money supply of a country.
In basic words, Banking can be characterized as the business action of tolerating and protecting cash possessed by different people and elements, and afterward loaning out this cash keeping in mind the end goal to acquire a benefit or profit . Be that as it may, with the progression of time, the exercises secured by saving money business have extended and now different administrations are likewise offered by banks. The managing an account administrations nowadays incorporate issuance of charge and Visas, giving safe authority of important things, lockers, ATM administrations and online exchange of assets the nation over/world.
It is well said that managing an account plays a quiet, yet significant part in our everyday lives. The banks perform monetary inter mediation by pooling funds and channelizing them into ventures through development and danger changes, in this manner keeping the economy's development motor revving.
Managing an account business has done miracles for the world economy. The basic looking strategy for tolerating cash stores from savers and afterward loaning the same cash to borrowers, saving money action supports the stream of cash to profitable use and ventures. This thusly permits the economy to develop. Without saving money business, funds would sit unmoving in our homes, the business visionaries would not be in a position to raise the cash, conventional individuals imagining for another auto or house would not have the capacity to buy autos or houses.
Trust is the most essential component for a bank to survive. Individuals keep cash in a bank just when they assume that it will be offered back to them as and when they request the same on at any rate on the date of development in the event that the same has been given fit as a fiddle of settled stores. Obviously, there are different reasons additionally for which individuals like to keep cash in a bank instead of keep at home in their own safe. They can acquire some additional cash when the cash is kept in sparing or altered stores. Also, they can make installment by issuance of checks and need not convey cash for their everyday needs.
In basic words, Banking can be characterized as the business action of tolerating and protecting cash possessed by different people and elements, and afterward loaning out this cash keeping in mind the end goal to acquire a benefit or profit . Be that as it may, with the progression of time, the exercises secured by saving money business have extended and now different administrations are likewise offered by banks. The managing an account administrations nowadays incorporate issuance of charge and Visas, giving safe authority of important things, lockers, ATM administrations and online exchange of assets the nation over/world.
It is well said that managing an account plays a quiet, yet significant part in our everyday lives. The banks perform monetary inter mediation by pooling funds and channelizing them into ventures through development and danger changes, in this manner keeping the economy's development motor revving.
Managing an account business has done miracles for the world economy. The basic looking strategy for tolerating cash stores from savers and afterward loaning the same cash to borrowers, saving money action supports the stream of cash to profitable use and ventures. This thusly permits the economy to develop. Without saving money business, funds would sit unmoving in our homes, the business visionaries would not be in a position to raise the cash, conventional individuals imagining for another auto or house would not have the capacity to buy autos or houses.
Trust is the most essential component for a bank to survive. Individuals keep cash in a bank just when they assume that it will be offered back to them as and when they request the same on at any rate on the date of development in the event that the same has been given fit as a fiddle of settled stores. Obviously, there are different reasons additionally for which individuals like to keep cash in a bank instead of keep at home in their own safe. They can acquire some additional cash when the cash is kept in sparing or altered stores. Also, they can make installment by issuance of checks and need not convey cash for their everyday needs.
