Banking

Banking:

Types of bank accounts - savings, current, recurring, fixed deposit and multiple option deposit account

-       Banking services with reference to Bank Draft, Bank Overdraft, Cash credit.

-       describe services and documents provided to personal and business customers, including: paying-in slip, bank statement, night safe, ATM services, internet banking, telephone banking

-       explain when each service and document would be used

-       E-Banking: meaning, types of digital payments

Means of payment for home and international trade activities

·        identify the characteristics and purposes of means of payment in home and international trade, including: cash, cheques, credit transfers, standing orders (banker’s order), direct debits, debit cards, credit cards, electronic transfers, documentary credits (letters of credit), bank drafts

·        evaluate factors affecting choice of method of payment in given situations

Trends in banking

·        describe trends, including mobile and digital banking, the mobile wallet

·        discuss the concept of the cashless society

·        evaluate the implications of internet banking, including the closure of bank branches

Banking: The role and importance of central banks and commercial banks for government, producers and consumers.

Functions of commercial banks:

•        providing deposit accounts (demand deposit account, savings account)

•        lending money (overdrafts, loans)

•        holding or providing cash, securities, loans, deposits, equity

•        reserve ratio and capital ratio

•        objectives of commercial banks: liquidity, security, profitability