Methodology of commercial banking
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THE METHODOLOGY OF COMMERCIAL BANK DEPOSIT MATRIX CONSTRUCTION. In the article the methodological approaches to commercial bank deposit operations analysis are carried out, its merits and demerits are revealed.
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Methodology of commercial banking:
Commercial banks receive money in the form of inputs. This money is taken for a recurring bank account, saving bank account. This amount is given to various companies and entrepreneurs as loans.
The rate of interest in saving a bank account is lower than the rate in terms of loan giving. Hence, if an equal amount of money is given the difference between the two is the profit of the commercial banks.
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