In the new era of banking, banks in India shower their customers in India with a plethora of services to attract customers. Online banking and virtual banking are the latest offerings by the banking services in India.
Below mentioned are some of the services offered to customers by modern banks:
Banks are organization that are profit oriented. So, banks offer loans to public with an intention to generate profit through interest. After maintaining certain cash reserves, banks offers loan for short-term, medium-term, and long-term to needy population.
Certain times, banks offer overdraft facilities that allows the customers to withdraw more than their deposits. Bank makes profit by charging the customer interest on the overdrawn amount.
- Cheque payment
Banks offer cheque pads to people who have opened account with the bank. Account holder can draw the same cheque upon bank to pay money. Banks encash the cheque of customer after security checks and official procedures
- Taking care of credit instruments
In our modern business module, public use different type of credit instruments like bill of exchange, promissory notes, & cheques. Banks are specialized in dealing with such instruments. New age banks collect and pay these credit instruments as the representative of the public
- Foreign exchange
Banks deal in foreign currencies. As per the need of the customer, banks exchange foreign currencies with local currencies. This is highly essential to resolve the dues in international trade.
Modern banks are huge organisations. They stretch their arm and venture into consultancy business. In this service, banks bring in legal, financial, and market experts who counsels customers about income, tax, trade, investment, and industry
- Bank assurance
Customers are offered the service of bank guarantee by new age banks. When customer has to deposit certain amount in governmental agencies or courts for definite purpose, bank can act as the guarantee for the customer, instead of customer depositing fund himself.
- Fund remittance
Banks assist their customers in transferring funds from one location to other location via cheques, drafts etc.
- Credit cards
Credit cards are instruments that affords their holders to purchase goods where the credit card provider immediately pays for the purchase, and the card holder promises to repay the amount over a period of time along with interest
- ATMs services
ATMs are a substitute for human bank tellers in managing basic functions like withdrawals, deposits, and account inquiries. ATMs have other major advantages like 24-hour availability, easy to locate, and dismissal of labour cost.
- Financial services
Financial services offered by banks include investment banking, foreign exchange business, broking services, wealth management, and line of credit services. These service create income for the commercial banks in the way of commissions etc. This is also called as Non-Fund income for banks.
- Corporate banking
Corporate banking attends to a wide range of clients ranging from small to mid-sized local businesses. They offer services like equipment lending, trade finance, loans, & treasury and cash management services.