Explain with examples how people are involved with the banks .. need and as soon as possible
Answers
Banks are an important organisation and medium of making accepting deposits and lending money to the public.People can open a current account or a saving account in banks and can deposit their money.Banks give reasonable amount of interest on the money deposited. The deposits made by the people can be withdrawn and hence are called demand deposits,There is a facility available to people to settle their cash transactions by making cheques . One of the important activities of bank is to make loans to the people from the deposits.These loans are extended on a particular rate of interests for various activities, it could be for establishing a business, house loan, car loans etc.The interest rate are generally high on these loans than offered in deposits by the banks which is its main source of income.These loans are offered against a collateral.Banks also offer facility of forming demand deposits and fixed deposits.