Banking system and structure in India- Evolution of Indian Banks-Types of banks - PublicSector, Regional Banks, Performance of Public Sector banks, Private Sector Banks. Commercial banking: Structure, Functions - Primary & secondary function, Role of commercial banks in socio economic development, Services rendered. Credit creation and Deployment of Funds.-Role of Reserve Bank and GOI as regulator of banking system – Provisions of Banking Regulation Act & Reserve Bank of India Act.
Banker and customer – Types of relationship between banker and customer – Bankersobligations to customers – Right of lean, setoff, appropriation–Bankers legal duty of disclosure and related matters.
Customers` accounts with banks – Opening- operation – KYC norms and operation –Types of accounts and customers – Nomination – Settlement of death claims.
The Negotiable Instruments Act 1881: The Paying Banker and The Collecting Banker- Negligence-Bills of exchange and promissory note-Discharge of Negotiable instruments- Hundis.
Banking Technology- Concept of Universal Banking-Home banking–ATMs-Internet banking– Mobile banking-Core banking solutions–Debit, Credit and Smart cards– Electronic Payment systems-MICR- Cheque Truncation-ECS- EFT – NEFT-RTGS.
International banking–International Banking: Exchange rates and Forex Business, Correspondent banking and NRI Accounts, Letters of Credit, Foreign currency Loans, Facilities for Exporters and Importers, Role of ECGC, RBI and EXIM Bank.
Banker as lender – Types of loans – Overdraft facilities – Discounting of bills – Financing book dates and supply bills- Charging of Security bills- pledge – mortgage – assignment
Asset Liability Management (ALM) in banks: Components of Liabilities and Components of Assets, Significance of Asset Liability management, Purpose and objectives. Prerequisites for ALM, Assets and Liabilities Committee (ALCO)- Activities of ALCO
Practical Components: