Banking

Letter of Hypothecation is a written agreement, which authorizes a bank or lender to repossess and sell the pledged item in case of a default.…

The reserve requirement is the total amount of funds a bank must have on hand each night. This is a regulation that sets the minimum…

Bank Regulation is the formulation and issuance by authorized agencies of specific rules or regulations, under governing law, for the conduct and structure of banking.…

Credit Union is a type of financial cooperative that provides traditional banking services. A credit union is a member-owned financial cooperative, controlled by its members…

Fractional reserve banking is a system in which only a fraction of bank deposits are backed by actual cash on hand and available for withdrawal.…

Co-operative banks are the banks whose main objective is to provide financial assistance to economically weaker sections of the society. Cooperative banking is retail and…

A mutual savings bank (MSB) is a type of financial institution that functions much like a bank, but with a different ownership structure. It is a…

Full-reserve banking occurs if banks keep all deposits in reserve. Full-reserve banking is a proposed alternative to fractional-reserve banking in which banks would be required…

Banking is the acceptance of deposits from the public for the purpose of lending to the borrowers and for investing in securities. Narrow banking is…

An overdraft occurs when money is withdrawn from a bank account and the available balance goes below zero. In this situation, the account is said…

An ethical bank, also known as a sustainable bank, is a bank concerned with the social and environmental impacts of its investments and loans. Ethical…

Interbank Lending Market is the medium by which banks extend loans to one another is called the interbank lending market. These are short-term instruments traded…