Overview

Course Contents: Important Questions & AnswersMODULE 1: Evolution of Banking1.1 Origin, Meaning and Definition of 'Bank'1.2 Evolution of BankingEuropeUSAAsiaMODULE 2: Functions of Bank2.1 Primary Functions:Accepting Deposits:Demand deposits: Current and SavingsNo Frills AccountTime deposits: Recurring and Fixed depositsFlexi Deposits (Auto Sweep)Granting Loans and Advances:Term LoanShort term creditOverdraftCash CreditPurchasing and Discounting of bills2.2 Secondary Functions:Agency Functions:Payment and Collection of Cheques, Bills, and Promissory notesExecution of standing instructionsActing as Trustee, ExecutorGeneral Utility Functions:Safe CustodySafe deposit vaultsRemittances of fundsPension PaymentsMODULE 3: Procedure for Opening and Operating Deposit Account3.1 Procedure for Opening Deposit Account:Know Your Customer (KYC) NormsApplication formIntroductionProof of residenceSpecimen signatureNomination and their importance3.2 Procedure for Operating Deposit Account:Pay-in slipsWithdrawal slipsIssue of passbook (Current, Savings, Recurring deposits)Issue of cheque bookIssue of fixed deposit receiptPremature encashment of fixed deposits and loan against fixed depositRecurring deposits: Premature encashment and loan against recurring deposit3.3 Closure of Accounts and TransferClosure of accountsTransfer of accounts to other branches/banks3.4 Types of Account Holders:Individual Account Holders: Single, Joint, Illiterate, Minor, Married Woman, Non-Resident AccountsInstitutional Account Holders: Sole Proprietorship, Partnership Firm, Joint Stock Company, Hindu Undivided Family, Clubs, Associations, Societies, TrustsMODULE 4: Methods of Remittances4.1 Demand Drafts, Bankers' Cheques, and Truncated Cheques4.2 Mail Transfer and Telegraphic Transfer4.3 Electronic Funds Transfer (EFT):RTGSNEFTSWIFTMODULE 5: Lending Principles, Credit Creation, and Balance Sheet of a Bank5.1 Lending Principles:SafetyLiquidityProfitabilityDiversification of risksConflict between liquidity and profitability5.2 Multiple Credit Creation:ProcessLimitations5.3 Balance Sheet of a Commercial BankMODULE 6: Negotiable Instruments6.1 Definition, Meaning, and Characteristics:Promissory NoteBill of ExchangeCheques6.2 Types of Cheques:BearerOrderCrossed6.3 Types of Crossing:GeneralSpecial

Skills

Reviews