Bank Transactions 10th Notes KSEEB Social Science

→ Banks developed about two hundred years ago.

→ The term ‘Bank’ is derived from Italian word ‘Banco’ or from a French word ‘Banque’, both mean a Bench’ or ‘Money exchange table’

→ Banks are financial institutions which use the money deposited by customers as investments and have agreed to return it whenever the customers require their money.

→ A Banking’company is a company which transacts the business with finance. The services of banks are called ‘Banking’.

Bank Transactions Class 10 Notes KSEEB 10th Social Science

→ The characterises of a Bank are:

  • Dealing with Money
  • Individual / Firm or Company
  • Acceptance of Deposits
  • Lending Loans
  • Payment and withdrawal.
  • Agency and utility service
  • Profit and service orientation
  • Ever increasing function
  • Connecting Link
  • Banking Business
  • Name Identity

→ Functions of Banks are :

  • Accepting deposits from public and others.
  • Lending money to public (Loans) and other institutions.
  • Transferring money from one place to another (Remittances)
  • Collecting money on cheques, drafts and bills.
  • Discounting of bills.
  • Hiring safe deposit lockers.
  • Conducting foreign exchange transactions.
  • Keeping valuables in safe custody.
  • Issuing letters of credit and guarantee
  • Conducting government transactions (State & Central)

→ Relationship with Bankers and customers:
Bank Transactions Class 10 Notes KSEEB 10th Social Science 1

Bank Transactions Class 10 Notes KSEEB 10th Social Science

→ The services offered by banks are

  • Debit Card and Credit Cards
  • Personal Loans
  • Home and Vehicle Loans
  • Mutual Funds
  • Safe Deposit Lockers
  • Trust Services
  • Signature Guarantees
  • ‘Bank transation’ is an activity involving in money or exchange of money in a bank account.

→ All banking transactions in India are controlled by The Reserve Bank of India”

→ RBI formulates the monetary policies which should be followed by all banks.

→ The ‘POSTAL DEPARTMENT’ also provides various financial services such as Post -Office savings Bank, Issue of National Savings Certificate; Kissan Vikas Patra, Monthly Recurring deposits, Postal Life Insurance, Pension Payment, Money transfer etc.

→ The different types of banks are:

  • Reserve Bank
  • Land Development Banks
  • Commercial Banks
  • Indigenous Banks
  • Industrial Developments Banks
  • Co-operative Banks

Bank Transactions Class 10 Notes KSEEB 10th Social Science

→ The kinds of accounts that banks offer area are

  • Savings Bank Account
  • Current Account
  • Recurring Deposit Account
  • Term or Fixed Deposit Account

→ Procedure to open a bank Account

  • Decide the type of account
  • Approach a bank of your Choice
  • Fill of the bank account proposal form.
  • Provide reference to open the account
  • Submit the proposal form duly filled.
  • Get the form verified by the bank officer
  • Deposit the initial amount through the bank challan.

→ The advantages of opening a bank account are :
Bank account facilitates safe custody of money.

  • Bank account helps in making payments.
  • Bank account helps in collection of money.
  • Bank account holders get advances and loans.
  • Bank account helps in smooth financial transactions.
  • Bank account holders can get safe deposit locker facility.

→ INDIGENOUS: Native

→ RECURRING: Repeating

→ SUBSIDIARY: Controlled by a parent company

KSEEB 10th Social Science Notes

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