Difference between Commercial Bank and Central Bank - GeeksforGeeks (2024)

Difference between Commercial and Non-commercial Sources of Energy

Energy is a key component for most of the consumption activities and production activities and hence plays a vital role in a country’s economic growth and development. It is essential for industries and is now widely utilised in agriculture and related fields such as the manufacture and delivery of fertilisers, insecticides, and farm equipment. It

Functions of Commercial Bank : Primary and Secondary Functions

What is a Commercial Bank?An institution that provides its customers with services like accepting deposits, providing loans, and making investments, with the objective of earning profits is known as a Commercial Bank. The two main characteristics of commercial banks are lending and borrowing. They make money from a variety of fees and by earning in

Difference between Commercial and Cooperative Banks

Commercial Banks and Cooperative banks are two types of financial institutions that offer a range of financial services to their customers. Commercial Banks works for profit motive whereas Cooperative banks are established based on the principles of cooperation. What are Commercial Banks?Commercial Banks are financial institutions that provide a ra

Difference between Investment Banking and Commercial Banking

Investment Banking and Commercial Banking are two different sectors within the broader financial services industry. Investment Banking refers to the financial activities and services provided by banks or financial institutions specializing in facilitating capital-raising for businesses, governments, and other entities. Commercial Banking refers to

Functions of Central Bank

What is Central Bank?An apex body that controls, operates, regulates, and directs a country's banking and monetary structure is known as a Central Bank. As the functions of a central bank are peculiar, there is only one central bank in a country. Every financially developed country has its own central bank. For example, the central bank of the UK i

Difference between Bank Statement and Bank Reconciliation Statement

A Bank Statement and a Bank Reconciliation Statement are often considered as same. But there are differences between them. A Bank Pass Book is the true copy of the account of the customer in the books of the bank, whereas a Bank Reconciliation Statement is a statement prepared mainly to reconcile the differences between the 'Bank Balance' shown by

Advantages and Disadvantages of Commercial Paper

What is a Commercial Paper? A Commercial Paper (CP) is a short-period 90 to 364 day, unsecured promissory note that is issued by a company to raise funds (usually for the inventories, finance, and temporary liabilities). It is issued by one organization (Primary Dealers (PD) and All-India Financial Institutions (FIs) in India) to another organisati

Commercial Paper : Features and Types

What is Commercial Paper?A Commercial Paper (CP) is a short-period90 to 364 day, unsecured promissory note that is issued by a company to raise funds (usually for the inventories, finance, and temporary liabilities). It is issuedby one organization(Primary Dealers (PD) and All-India Financial Institutions (FIs) in India) to another organisation,

Polymers of Commercial Importance

Polymer word is made up of two terms, "poly" which means many, and "mer" which means entities or groups. So polymers mean giant molecules which consist of a large number of small molecules. The molecular mass of these giant molecules is quite high as these are formed by repeating small entities which are called monomers. The structure of monomers i

Commercial Banks : Features, Advantages & Disadvantages

What are Commercial Banks?A commercial bank is a financial institution that provides services like accepting deposits, granting loans, bank overdrafts, offering certificates of deposits, and savings accounts to individuals and businesses.Commercial banks are considered to be an important component of the banking system. These are the banks that pe

How to Unlink Citi Bank Credit Card from Citi Bank A/c?

Sometimes, you may need to unlink a Citibank credit card from your account. This could be due to a closed account, a lost or stolen card, or if you simply want to reorganize your finances. While Citibank previously offered a self-service option for this, currently, you'll need to contact customer service. Reasons for Unlinking a CardClosed Account:

Median(Measures of Central Tendency): Meaning, Formula, Merits, Demerits, and Examples

What is Median?The median is a centrally located value that splits the distribution into two equal portions, one including all values more than or equal to the median and the other containing all values less than or equal to it. The median is the " middle " element when the data set is organized in order of magnitude. As the median is established b

Central Problems of an Economy

A number of activities happen around us in our daily life, such as activities performed in shops, offices, hospitals, etc. The collection of these organisations and institutions is known as an economy. These units allow human beings to earn and simultaneously help them to produce goods and services for their use. An economy provides living to the p

Measures of Central Tendency

Usually, frequency distribution and graphical representation are used to depict a set of raw data to attain meaningful conclusions from them. However, sometimes, these methods fail to convey a proper and clear picture of the data as expected. Therefore, some measures, also known as Measures of Central Tendency or Average are used as a single measur

Central Limit Theorem

The Central Limit Theorem in Statistics states that as the sample size increases and its variance is finite, then the distribution of the sample mean approaches normal distribution irrespective of the shape of the population distribution. The query that how much the sample size should increase can be answered that if the sample size is greater than

Difference between Bank and Credit Union

Banks and credit unions are financial institutions that offer a range of financial services, but they differ in their structures, ownership, and purposes. While both banks and credit unions provide financial services, their ownership structures, purposes, membership requirements, profit motives, and regulatory frameworks differ. Choosing between a

Difference between Nifty and Bank Nifty

Nifty and Bank Nifty are important indexes in India's stock market. Nifty includes the top 50 companies listed on the National Stock Exchange, giving a broad picture of the market. Meanwhile, Bank Nifty focuses only on banking stocks, showing how well this sector is doing. Knowing the difference between these indexes helps investors and traders mak

Bank Reconciliation Statement (BRS) | Full Form of BRS and Need of BRS

What is Bank Reconciliation Statement (BRS)?A statement showing all the items of difference between the bank column of the Cash Book and the bank balance depicted in the Pass Book on a particular date and for a particular period of time is called Bank Reconciliation Statement. It is a statement prepared on a particular date to reconcile the bank ba

Bank Reconciliation Statement (BRS): When Extracts from Cash Book and Pass Book are given

A statement showing all the items of difference between the bank column of the Cash Book and the bank balance depicted in the Pass Book on a particular date and for a particular period of time is called a Bank Reconciliation Statement. It is a statement prepared on a particular date to reconcile the bank balance of the Cash Book with the balance as

Bank Identifier Code | Full form of BIC, Need and Benefits

What is a Bank Identifier Code?A Bank Identifier Code (BIC), also known as a SWIFT code, is a unique alphanumeric code used in international financial transactions to designate a specific bank or financial institution. BICs are essential for international wire transfers and other cross-border payments because they ensure that funds are sent to the

Bank Overdraft : Types, Advantages and Disadvantages

What is Bank Overdraft?A Bank Overdraft can be defined as a short-term unsecured credit facility provided by the bank to its customers to meet their short-term requirements. A Bank Overdraft gets started when the amount in the customer's account comes down to zero, and the customer wishes to withdraw more. In this scenario, the balance of the custo

Bank for International Settlements (BIS): Full Form, Role and Functions

What is Bank for International Settlements (BIS)? The Bank for International Settlements (BIS) is an international financial institution that functions as a central bank for other central banks. It began operation in 1930 and is based in Basel, Switzerland. The BIS has an important role in developing international monetary and financial cooperation

Axis Bank Net Banking : Services, How to activate and Log in

Axis Bank Net Banking is an online service provided by Axis Bank that allows customers to manage their accounts, pay bills, transfer funds, and perform various banking activities through the Internet. To activate it, individuals need to visit the bank's website, register with their account details, and set up login credentials. Once registered, the

Complaint Letter to Bank Manager : Format and Example

A complaint letter to a bank manager is a formal written communication addressed to the manager of a bank, expressing dissatisfaction or concern regarding a specific issue related to the bank's services, policies, or procedures. This type of letter is typically written by a customer who has encountered problems, such as poor customer service, error

Preparation of Bank Reconciliation Statement with Amended Cash Book

A statement showing all the items of difference between the bank column of the Cash Book and the bank balance depicted in the Pass Book on a particular date and for a particular period of time is called Bank Reconciliation Statement. It is a statement prepared on a particular date to reconcile the bank balance of the Cash Book with the balance as p

Dissolution of Firm: Cash or Bank Account

What is Dissolution of a Firm? Dissolution of the firm is the discontinuation of the business and closure of all the books of accounts of the firm. Dissolution of the partnership means a change in the profit-sharing ratio of the existing partners in the firm and the business or the firm continues its operation. In case of dissolution of the partner

How to Prepare Bank Reconciliation Statement (BRS) ? | Purpose of BRS with Example

A Bank Reconciliation Statement (BRS) is a statement prepared to reconcile the difference between the balance of cash at the bank as per the bank statement and the balance of cash at bank as per the company's cash book. It is a process of comparing the company's cash book balance with the bank statement balance, identifying any differences, and adj

Bank Reconciliation Statement Format with Example | BRS Format

Bank Reconciliation Statement is prepared to compare the balances of the cash book and passbook and correct the mistakes recorded in them. Bank Reconciliation Statement Format is prepared with 3 columns starting with particulars and two amount columns in which the amount that needs to be added back and the amount that needs to be deducted are recor

Academic Bank of Credits (ABC) : Full form, Functions, Working & Benefits

What is Academic Bank of Credits (ABC)?The Academic Bank of Credits (ABC) ID is an impressive initiative that can transform the higher education landscape in India. Students can utilise an ABC ID to optimise the value of their academic records, delve into many learning options, and customise their educational journey according to their interests an

Indian Bank FD Interest Rates 2024

Indian Bank is a nationalized banking and financial services company with its main office located in Chennai, Tamil Nadu. It is owned by the Government of India (Ministry of Finance). Serving more than 100 million customers, it is regarded as one of India's best-performing public sector banks. Customers of Indian Bank have access to a wide range of