1. Prof. Dr. A. D. Adhav Banking Law & Practice T. Y. B. Com.

3. INTRODUCTION:-
Banking in India, in the modern sense, originated in the last decades of the 18th century. Among the first banks were the Bank of Hindostan, which was established in 1770 and liquidated in 1829–32; and the General Bank of India, established in 1786 but failed in 1791.[1][2][3][4]
The largest bank, and the oldest still in existence, is the State Bank of India (S.B.I). It originated as the Bank of Calcutta in June In 1809, it was renamed as the Bank of Bengal. This was one of the three banks funded by a presidency government, the other two were the Bank of Bombay and the Bank of Madras. The three banks were merged in 1921 to form the Imperial Bank of India, which upon India's independence, became the State Bank of India in For many years the presidency banks had acted as quasi-central banks, as did their successors, until the Reserve Bank of India[5] was established in 1935, under the Reserve Bank of India Act, 1934.[6][7]
In 1960, the State Banks of India was given control of eight state-associated banks under the State Bank of India (Subsidiary Banks) Act, These are now called its associate banks.[6] In 1969 the Indian government nationalised 14 major private banks. In 1980, 6 more private banks were nationalised.[8] These nationalised banks are the majority of lenders in the Indian economy. They dominate the banking sector because of their large size and widespread networks.
INTRODUCTION

4. AIMS AND OBJECTIVE:-
1. Increase of authorized capital, raising size of own capital.
2. Expansion of activity of the Bank by obtaining a License providing right to carry out transactions in foreign currencies and further entry into the deposit insurance system.
3. Constant expansion of customer base with a priority on attracting small and micro-businesses.
4. Formation of a diversified and sustainable resource base.
5. Commencement and active development of cooperation with financial institutions and mortgage systems.
6. The increase in capitalization of the Bank.
7. The introduction of international standards of banking operations. 
8. The introduction and development of modern methods of marketing and PR.
9. Improvement of risk management system.
10. Improving the quality and diversity of the range of services for individuals, small and medium-sized businesses, in raising the volume of transactions and the pursuit of cost reduction of managing business, increasing its level of technology and control.

6. Savings account
Accounts maintained by retail banks that pay interest but can not be used directly as money (for example, by writing a cheque). Although not as convenient to use as checking accounts, these accounts let customers keep liquid assets while still earning a monetary return.
Time deposit
A money deposit at a banking institution that cannot be withdrawn for a preset fixed 'term' or period of time. When the term is over it can be withdrawn or it can be rolled over for another term. Generally speaking, the longer the term the better the yield on the money.
Call deposit
A deposit account that allows for the withdrawal of funds without penalty, generally without notification to the bank. Often it bears a favourable interest rate, but also requires a minimum balance to take advantage of the benefits 

8. A. Primary Functions of Banks ;-
The primary functions of a bank are also known as banking functions. They are the main functions of a bank.
1. Accepting Deposits
The bank collects deposits from the public. These deposits can be of different types, such as :-
1] Saving Deposits
2] Fixed Deposits
3] Current Deposits
4] Recurring Deposits
a. Saving Deposits
This type of deposits encourages saving habit among the public. The rate of interest is low. At present it is about 4% p.a. Withdrawals of deposits are allowed subject to certain restrictions. This account is suitable to salary and wage earners. This account can be opened in single name or in joint names.
b. Fixed Deposits
Lump sum amount is deposited at one time for a specific period. Higher rate of interest is paid, which varies with the period of deposit. Withdrawals are not allowed before the expiry of the period. Those who have surplus funds go for fixed deposit.

9. 4] Discounting of Bill of Exchange
c. Current Deposits
This type of account is operated by businessmen. Withdrawals are freely allowed. No interest is paid. In fact, there are service charges. The account holders can get the benefit of overdraft facility.
d. Recurring Deposits
This type of account is operated by salaried persons and petty traders. A certain sum of money is periodically deposited into the bank. Withdrawals are permitted only after the expiry of certain period. A higher rate of interest is paid.
2. Granting of Loans and Advances
The bank advances loans to the business community and other members of the public. The rate charged is higher than what it pays on deposits. The difference in the interest rates (lending rate and the deposit rate) is its profit.
The types of bank loans and advances are :-
1] Overdraft
2] Cash Credits
3]Loans
4] Discounting of Bill of Exchange

10. a. Overdraft
This type of advances are given to current account holders. No separate account is maintained. All entries are made in the current account. A certain amount is sanctioned as overdraft which can be withdrawn within a certain period of time say three months or so. Interest is charged on actual amount withdrawn. An overdraft facility is granted against a collateral security. It is sanctioned to businessman and firms.
b. Cash Credits
The client is allowed cash credit upto a specific limit fixed in advance. It can be given to current account holders as well as to others who do not have an account with bank. Separate cash credit account is maintained. Interest is charged on the amount withdrawn in excess of limit. The cash credit is given against the security of tangible assets and / or guarantees. The advance is given for a longer period and a larger amount of loan is sanctioned than that of overdraft.
c. Loans
It is normally for short term say a period of one year or medium term say a period of five years. Now-a-days, banks do lend money for long term. Repayment of money can be in the form of installments spread over a period of time or in a lumpsum amount. Interest is charged on the actual amount sanctioned, whether withdrawn or not. The rate of interest may be slightly lower than what is charged on overdrafts and cash credits. Loans are normally secured against tangible assets of the company

11. d. Discounting of Bill of Exchange
The bank can advance money by discounting or by purchasing bills of exchange both domestic and foreign bills. The bank pays the bill amount to the drawer or the beneficiary of the bill by deducting usual discount charges. On maturity, the bill is presented to the drawee or acceptor of the bill and the amount is collected.
B. Secondary Functions of Banks ↓
The bank performs a number of secondary functions, also called as non-banking functions.
1. Agency Functions
The bank acts as an agent of its customers. The bank performs a number of agency functions which includes :-
Transfer of Funds
1] Collection of Cheques
2]Periodic Payments
3]Portfolio Management
4]Periodic Collections
5]Other Agency Functions

12. a. Transfer of Funds
The bank transfer funds from one branch to another or from one place to another.
b. Collection of Cheques
The bank collects the money of the cheques through clearing section of its customers. The bank also collects money of the bills of exchange.
c. Periodic Payments
On standing instructions of the client, the bank makes periodic payments in respect of electricity bills, rent, etc.
d. Portfolio Management
The banks also undertakes to purchase and sell the shares and debentures on behalf of the clients and accordingly debits or credits the account. This facility is called portfolio management.
e. Periodic Collections
The bank collects salary, pension, dividend and such other periodic collections on behalf of the client.

13. 2. General Utility Functions
The bank also performs general utility functions, such as :-
Issue of Drafts, Letter of Credits, etc.
1] Locker Facility
2] Underwriting of Shares
3] Dealing in Foreign Exchange
4] Project Reports
5] Social Welfare Programmes
6] Other Utility Functions
a. Issue of Drafts and Letter of Credits
Banks issue drafts for transferring money from one place to another. It also issues letter of credit, especially in case of, import trade. It also issues travellers' cheques.
b. Locker Facility
The bank provides a locker facility for the safe custody of valuable documents, gold ornaments and other valuables.
c. Underwriting of Shares
The bank underwrites shares and debentures through its merchant banking division.

14. d. Dealing in Foreign Exchange
The commercial banks are allowed by RBI to deal in foreign exchange.
e. Project Reports
The bank may also undertake to prepare project reports on behalf of its clients.
f. Social Welfare Programmes
It undertakes social welfare programmes, such as adult literacy programmes, public welfare campaigns, etc.
g. Other Utility Functions
It acts as a referee to financial standing of customers. It collects creditworthiness information about clients of its customers. It provides market information to its customers, etc. It provides travellers' cheque facility.

15. MOBILE BANKING:-

16. Mobile banking is a service provided by a bank or other financial institutionthat allows its customers to conduct financial transactions remotely using amobile device such as a mobile phone or tablet. It uses software, usually called an app, provided by the financial institution for the purpose. Mobile banking is usually available on a 24-hour basis. Some financial institutions have restrictions on which accounts may be accessed through mobile banking, as well as a limit on the amount that can be transacted.
Transactions through mobile banking may include obtaining account balances and lists of latest transactions, electronic bill payments, and funds transfersbetween a customer's or another's accounts. Some apps also enable copies of statements to be downloaded and sometimes printed at the customer's premises; and some banks charge a fee for mailing hardcopies of bank statements.
From the bank's point of view, mobile banking reduces the cost of handling transactions by reducing the need for customers to visit a bank branch for non-cash withdrawal and deposit transactions. Mobile banking does not handle transactions involving cash, and a customer needs to visit an ATM or bank branch for cash withdrawals or deposits. Many apps now have a remote deposit option; using the device's camera to digitally transmit cheques to their financial institution.

17. ADVANTAGES AND DIS-ADVANTAGE;-
Advantage of Mobile Banking
1]:-Mobile Banking uses the network of service provider and it doesn't need internet connection.In a developing countries like India where their is no internet connection in the interiors their is the presence of mobile connectivity.
2]:-Mobile Banking is available round the clock 24/7/365 and is easy and Convenient mode for many Mobile users in the rural areas.
3]:-Mobile Banking is said to be more secured and risk free than online/internet Banking.
4]:-With the help of Mobile Banking you can pay you bills,transfer funds,check account balance,review your recent transaction,block your ATM card etc.
5]:-Mobile Banking is cost effective and Banks offer this service at very low cost to the customers.

18. Disadvantage of Mobile Banking.
1]:-Though the security threat is less than Internet Banking, Mobile Banking has to security issues.One of the great threat to Mobile Banking is "Smishing" which is similar to "phishing"..In "Smishing" users receives fake message asking for their Bank details.Many users have fallen to this trap.
2]:-Mobile Banking is not available on all mobile phone.Some time it requires you to install apps on your phone to use the Mobile Banking feature which is available on high end smartphone.If you don't have a smartphone than the use of Mobile Banking becomes limited. Transaction like transfer of funds are only available on high end phones.
3]:-Regular use of Mobile Banking may lead to extra charges levied by the bank for providing the services.
4]:-Mobile phones are limited in processing speeds,screen size and battery life.This act as a barrier in MobileBanking.
all other technology Mobile Banking has got it advantage and disadvantage and its up to you how you use the technology.But their is no doubt that Mobile Banking is the future of banking.

19. conclusion
In this report , we discussed the banking information in india.we have seen the 5 types of deposited in banking sector.
We have see the mobile banking in india , advantages and dis-advantages of india
The bank of india in 2 most importat function in banking sector

20. THANK you