1./ FUNCTIONS OF BANK 

"unctioning of a *ank is a&ong t#e
&ore co&plicated of
corporateoperations. 0ince *anking 
involves dealing directly $it# &one
y%govern&ents in &ost countries
regulate t#is sector rat#er
stringently.T#e process of financial
refor&s% $#ic# started in 1 1%
#as clearedt#e cob$ebs so&e$#at but
a lot re&ains to be done. *anks
essentially perfor& t#e follo$ing
functions.1.2 "unction Ff
*anks1.1source+ "inacial services
&anage&ent -TG*I
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Tapping t#e savings of t#e public by
&eans of different kinds of deposits
isone of t#e &a?or functions of a bank.
=#en a bank accepts deposits% it
is saidto borro$ &oney. )s a borro$er
% t#e bank #as to safeguard its
position.T#erefore before opening an
account a bank #as to observe certain
general precautions. Every deposit is t
#e property of t#e bank. T#e bank isre
sponsible for safety of t#e deposit.
) bank &ay use its discretion inallo
$ing or not allo$ing a person to
deposit and it cannot be 'uestioned.
Inorder to open an account in a bank%
t#e depositor #as to furnis# all #is
detailsin an application for& $it# #is
speci&en signatures. T#e account is
opened$it# proper introduction%
and verification of docu&ents.
*anks are alsocalled custodians of
public &oney. *asically% t#e
&oney is accepted asdeposit for safe
keeping. *ut since t#e *anks use t#is
&oney to earn interestfro& people
$#o need &oney% *anks s#are a part
of t#is interest $it# t#edepositors.
8o$ever% accepting deposits and
keeping track of t#e &oneyinvolves a
lot of book6keeping and ot#er
operations. 7et us see $#at t#e*anks
&ust &aintain to provide t#is service