General Utility Services offered by banks

In addition to agency services, the modern banks provide many general utility services for the community as given.

Locker Facility

Bank provide locker facility to their customers. The customers can keep their valuables, such as gold and silver ornaments, important documents; shares and debentures in these lockers for safe custody.

Traveller’s Cheques and Credit Cards

Banks issue traveller’s cheques to help their customers to travel without the fear of theft or loss of money. With this facility, the customers need not take the risk of carrying cash with them during their travels.

Letter of Credit

Letters of credit are issued by the banks to their customers certifying their credit worthiness. Letters of credit are very useful in foreign trade.

Collection of Statistics

Banks collect statistics giving important information relating to trade, commerce, industries, money and banking. They also publish valuable journals and bulletins containing articles on economic and financial matters.

Acting Referee

Banks may act as referees with respect to the financial standing, business reputation and respectability of customers.

Underwriting Securities

Banks underwrite the shares and debentures issued by the Government, public or private companies.

Gift Cheques

Some banks issue cheques of various denominations to be used on auspicious occasions.

Accepting Bills of Exchange on Behalf of Customers

Sometimes, banks accept bills of exchange, internal as well as foreign, on behalf of their customers. It enables
customers to import goods.

Merchant Banking

Some commercial banks have opened merchant banking divisions to provide merchant banking services.

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gayatri singh
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good content,it can be understood more better if additional information related to utility services is added along with pictures………….

gayatri singh
Guest

good content,it can be understood more better if additional information related to utility services is added along with pictures………….

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