5. Commercial bank and service offered by bank

Secondary Functions of Commercial Banks are:

  • Commercial bank encourage customers with advisory, broking and agency services like: collecting cheques, recurring payments for rent, insurance premium, etc; dealing with foreign exchange transactions, buying and selling of securities, filling tax returns, etc where bank charges commission for the services.
  • Commercial bank provide utility services which includes providing safety locker, issuing travel cheques, money transfer facilities, provide gateway for bill payment of phone, gas, water, etc; provide paper money by way of issuing credit cards, debit cards, etc and bank either offer free or nominal charges for the services.

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