Banks in India On The Basis Of Domicile: (1) Domestic Bank (2) Foreign Banks On The Basis of Second Schedule of RBI Act: (1) Scheduled Bank (2) Non-Scheduled Bank On The Basis of Ownership: (1) Public Sector Banks (2) Private Sector Banks (3) Co-operative Banks (4) Regional Rural Banks

Banks In India on the Basis of Functions Commercial Banks Industrial Banks Agricultural Banks Exchange Banks Saving Banks Indigenous Banks Central Bank

COMMERCIAL BANKS IN INDIA Promoting Capital Formation Facilitator of Monetary Policy Monetisation Influence Economic Activity Directing Funds into Desired Channels Implementation of the Policies of Govt. Encouraging Innovations

Functions of Commercial Banks 1. Basic Function: (i) Mobilization of Deposits. Saving Deposit Account Fixed Deposit Account Recurring Deposit Account Current Deposit Account Flexible Deposit Account

Functions of Commercial Banks (ii) Credit Deployment: Money at Call Cash Credit Overdraft Discounting Bills of Exchange Term Loan (iii) Credit Creation

Agency Functions Remittance of Funds Collection & Payment of Credit Instruments Execution of standing orders Sale and Purchase of securities Trustees and Executors of Wills Collection of Dividend on Shares and Interest on Debentures

General Utility Functions Locker Facility Traveller’s Cheque Facility Merchant Banking Service Acting as Underwriters Acting an Information Provider Acting as a Referee

Development Functions Capital Formation Rural Development Priority Sector Advances Creating Employment Assistance of Money & Capital Market

Modern Functions ATMs Tele-Banking Internet Banking Smart Cards Round the Clock Banking