For a sense of security and protection, and the fear of thievery and greediness has made banks the unavoidable and necessary choice. Everything you deal with a bank is in the fine print, the common fear of losing the hard-earned money is unnecessary, which makes everyone trust them.
Types of banks:
Commercial Banks: They are the most common type of banks and have many services like depositing, withdrawing loaning, etc., They include private and public sector banks in addition to foreign sector banks. The companies in addition to serving the people are intended in making profits too. Banks like HDFC, HSBC, SBI, Axis bank..,
Development banks: Development banks generally involve economic and industrial development. They provide and act as any other bank. They involve loaning, investment, promotional activities, and underwriting services. Banks like IDBI, IFCI fall under this category.
Regional banks or Gramin banks: They are particularly and especially for the minor section of the country, like farmers, underdeveloped entrepreneurs, and day labourers. Banks like Jammu and Kashmir Gramin bank, Arunachal Pradesh bank rural banks are regional banks with fewer customers than commercial banks.
Central bank: The public sector banks that serve the government and have the very best interest of customers than other banks is the central bank. These banks are owned by central or state governments. The RBI, Indian bank, Canara Bank, and many other banks in India are central banks
Co-operative banks: Cooperative banks are primarily concerned with mobilized savings and the agriculture of India. They are classified as central-owned co-operative banks, state-owned co-operative banks, and Agricultural co-operative banks.
Exchange banks: They deal with massive exchanges of foreign currencies and transactions between countries. Exchange banks include Bank of India, Bank of Baroda, and many other banks.
Features and characteristics of Banks
All money-related services: Banks are providing every service they can find to the customers. There is the Fixed deposit service, which yields an interest amount for each month. Each individual is granted his/her own saving account that can be accessed both online and offline modes. Withdrawal, depositing money in the account can be made at any time, anywhere. Find ifsc code of the bank to make transfers from and to the bank account.
Loan availability: Banks are legitimate government authorized institutions that let people borrow money from them for a certain period of time. There are loans of various kinds that meet most of the possible needs of the common. Gold loans, personal loans, education loans, marriage loans are a few of the many other types of loans. If wanted one can calculate the EMI of the loan using EMI calculators on the official website of the bank.
Confidentiality: Security and protection of the customer’s information are of the utmost advantage in going for a bank compared to other financial organizations and companies. Every account holder's and borrower’s information is protected with tight security. If unfortunately, the customer’s credit or debit card is stolen, the bank doesn’t hold them liable and immediately freezes the account, making sure no money is stolen.
Online services: In this 21st century in addition to reality, a virtual world exists, which anyone can make use of to make things uncomplicated and simple. And one can use it to contact banks as well for any and all assistance. In merely a few clicks of the keypad, one can create an account, close an account, apply for loans, credit cards, transact money from one account to another. Practically everything a customer can do by meeting the banker in person can be done without having to meet anyone from where he/she is sitting.
Multiple branches: It is seldom when a bank doesn’t have many branches. Most commercial and central banks in India have branches from town to town. So if the customer wishes to bank in offline modes, they can always go to the nearest bank to contact and approach regarding any financial complaints or advice. People are no more required to travel miles to visit the banks as even the most commercialized banks are opening branches in villages and small towns.
Also read this: Preparations before availing of any Loan