BANASTHALI VIDYAPITH

FMS-WISDOM

Handout for session December 2023 – May 2024

Class: MBA II Semester Course Title: Banking and Financial Services
Course Teacher: Ms. Madhulika Singh Estimated Contact Hrs: 60
Class Timings: Kindly refer Time Table Teacher’s Email: madhulikasingh@banasthali.in
Credits: 4, Max. Marks : 100 (CA: 40 + ESA: 60)

About The Course:

The course on Banking and Financial Services is the unique offering of the FMS-WISDOM, Banasthali Vidyapith.
This course facilitates the study of theory and practice of banking and Personal Finance for Indian financial system.

Course Objective:

1. To understand the banking system and banking structure of India in light of the legal structure
2. To understand the banking operations in association with the retail banking in India.
3. To understand various products and services offered by the banks along with the various account operations and
retail credit products offered by the banks
4. To understand the aspect of financial planning along with understanding of various third party products offered by
banks and in line understands the retirement and estate planning.

Course Contents:
Section A
Indian Banking Structure, Role & functions of RBI, RBI Act 1934, Banking Regulation Act 1949, KYC & AML,
Banking Ombudsman, CRR, SLR, MCLR, Repo & Reverse Repo Rate, Functions of Banks. Payment banks, Small
finance banks. Retail Banking: Types of Customers, Account and Deposit, Banker Customer Relationship, Banker
Customer Special Relationship, Negotiable Instruments: Cheques, Bills of Exchange, Promissory notes, Cheque
collection, payer and holder in due course. Account Closure and Account Closure under Special Situation. Overview
of direct banking channels
Section B
Credit: 5 C’s of Credit, Loan Appraisal Process, Retail loan: Home loan, Personal loan, Educational Loan. Corporate
Loans: Working capital financing, Export financing, Term loan. Types of Mutual funds, Types of insurance: Life
Insurance, General Insurance: Health, Motor vehicle, House, Accidental insurance.
Section C
Financial Planning & Wealth Management: Relevance, need, importance. Need assessment of client, developing
optional plan, PF statement analysis. Retirement and Estate Planning: Relevance, Estate Planning: Succession Act
(Hindu-Indian), Tax incidence of various transactions, succession efficiency. Retirement Planning- Retirement
solutions & pension plans, choosing and managing retirement portfolio, reverse mortgage.
Learning Outcomes:

Upon completion of the course, the student will be able to:

 Understand and analyze the banking structure of India in light of the legal structure.

 Gets a practical outlook of the retail banking and the legal formalities associated with it.

 Understand the aspects of financial planning and retirement planning which will help in better future
planning of finances.

Suggested E-Learning Resources (ER):

1. Verma, N. (2018, September 27). History of Banking in India in Brief. Retrieved from Gradeup:
https://gradeup.co/history-of-banking-in-india-i-e02deb86-f4ac-11e5-b410-2f0cca4d3c07.
2. MSG. (2014). Case Study of the Indian Banking and Financial Services Industry using Strategic Tools.
Retrieved from Management Study Guide: https://www.managementstudyguide.com/case-study-of-indian-
banking-and-financial-services-industry.htm.
3. Nishtha Pareek, Pawandeep Bindra, M. D. (2018, Decemeber 1). Emerging Trends in Banking. Retrieved
from https://www.youtube.com/watch?v=gCBs313D46g:
4. IIBM Institute of Business Management, (2017, Oct 8). Principle and Practice of Banking. Retrieved from
Youtube: https://www.youtube.com/watch?v=eBXsl4Wz3C0.
5. https://www.icsi.in/Study%20Material%20Professional/NewSyllabus/ElectiveSubjects/BL.pdf
6. Arslanian, H. (2016, December 5). How FinTech is Shaping the Future of Banking. Retrieved from Youtube:
https://www.youtube.com/watch?v=pPkNtN8G7q8
7. MSG. (2014). Case Study of the Indian Banking and Financial Services Industry using Strategic Tools.
Retrieved from Managment Study Guide: https://www.managementstudyguide.com/case-study-of-indian-
bankingand-financial-services-industry.htm
8. MSG. (2018, December). Management Study Guide. Retrieved from Management Study Guide:
https://www.managementstudyguide.com/history-of-modern-banking.htm
9. Kotak Securities (2019), Knowledge Bank, Retrieved from
https://www.kotaksecurities.com/ksweb/Research/Knowledge-Bank/Investment-Knowlegde-Bank
10. Halan M. (2019), Let's Talk Money With Monika Halan: Financial Planning Ideas, Retrieved from
https://www.bloombergquint.com/bqportfolio-videos/let-s-talk-money-with-monikahalan-financial-planning-
ideas, Courtesy BloombergQuint
11. Sud, R. (2017, June 13). Why India needs to work on financial literacy now more than ever. Retrieved March
1, 2019, from www.livemint.com: https://www.livemint.com/Opinion/f5xo11OSPqxGWUdaWKVb8J/Why-
India-needs-to-work-onfinancial-literacy-now-more-than.html
12. Money Bhaskar for articles in Hindi: https://www.bhaskar.com/business/2

Suggested Readings (SR):

1. Gomez, C. (2011). Banking and Finance Theory, Law and Practice (1 ed.). New Delhi: PHI Learning.
2. Gopinath, M. N. (2017). Banking Principles and Operations (7 ed.). Mumbai: Snow White Publications.
3. Halan, M., (2018). Let’s Talk Money: You’ve Worked Hard for it, Now Make it Work for You. (1 ed.) New Delhi:
Harper Business
4. IIBF. (2017). Legal and Regulatory Aspects of Banking (3 ed.). Mumbai: Macmillan.
5. IIBF. (2017). Principles & Practices of Banking (3 ed.). Mumbai: Macmillan.
6. IIBF. (2017). Retail Banking (3 ed.). Mumbai: Macmillan.
7. Vinay Dutta, K. S. (2013). Commercial Bank Management (1 ed.). Mumbai: Tata McGraw Hill.
8. PROSCHOOL, I. (2012). Retirement planning and Employee Benefits (Vol. 3). Tata MCGraw Hill Education
Private Limited.
9. Varshney, P. N. (2017). Banking law & Practice (25 th.). Mumbai: Sultan Chand & Sons

Innovative approach:use of case studies, online videos, and a special session by Bankers (guest faculty) online.
 Section A
Learning Objectives:
i. To understand the basics of banking system of India.
ii. To understand about the retail banking products and services
iii. To understand about the Negotiable instruments
iv. To understand about the various ratios and their significance.
v. To understand the KYC, AML guidelines, role of Ombudsman

Lecture No Topics to be covered (Includes list of videos) Text/Reference Books

1 Indian Banking Structure SR 2

2-4 Functions of Banks SR 2,7

4-6 Role & functions of RBI SR 2,7

7-8 RBI Act 1934, Banking Regulation Act 1949 SR 4,5

8-9 KYC SR2, Internet

10 AML SR2, Internet, ER 4
11 Banking Ombudsman Internet
12-13 CRR, SLR SR 2 and Internet
13-14 MCLR, Repo & Reverse Repo Rate SR 2 and Internet
15-16 Payment banks, Small finance banks ER3 and Internet
17-18 Retail Banking: Types of Customers SR 2
19-20 Account and Deposit SR 2, 9
Banker Customer Relationship, Banker Customer
21-22 SR 2, 9
Special Relationship
Negotiable Instruments: Cheques, Bill of Exchange and
23-24 SR 2, 9
Promissory notes
25-26 Cheque collection and payer and holder in due course SR 2, 9
Account Closure and Account Closure under Special
27 SR 2, 9
Situation
28 Overview of direct banking channels Internet

Section B
Learning Objectives:
i. To understand about the various types of insurances.
ii. To understand about retail and corporate loans.

Lecture No Topics to be covered (Includes list of videos) Text/Reference Books

Credit: 5 C’s of Credit, Loan Appraisal

29-30 SR 2, 9
Process

Retail loan: Home loan, Personal loan,

31-32 SR 2, Internet
Educational Loan.
 33-34 Corporate Loans: Working capital financing SR 2, Internet

35 Export financing, Term loan SR 2, Internet

36-38 Types of Mutual funds SR 2,3, Internet
39-40 Types of insurance: Life Insurance SR 2

General Insurance: Health, Motor vehicle,

41-42 SR 2, Internet
House, Accidental insurance

Section C
Learning Objectives:
i. To understand about the relevance of financial planning.
ii. To understand the relevance of Retirement and Estate Planning.

Lecture No Topics to be covered (Includes list of videos) Text/Reference Books

Financial Planning & Wealth Management:
43-45 SR 3
Relevance, need, importance
Need assessment of client, developing optional
46 SR 3 and Internet
plan, PF statement analysis
46-48 Retirement and Estate Planning: Relevance SR 3 and Internet
Estate Planning: Succession Act (Hindu-
49-50 Indian), Tax incidence of various transactions, SR 3 and Internet
succession efficiency
Retirement Planning- Retirement solutions &
51-52 SR 3 and Internet
pension plans
SR 3 and Internet
53 Choosing and managing retirement portfolio
54 Reverse mortgage SR 3 and Internet
55-57 Revision
58-60 Case Study Discussion

Case Studies:
1. Case Study: RBI & Demonetization
2. Case Study on Evolution of the New Age Payment Solutions

Evaluation:

Component Mark Submission/ Allotment

s Examination date
Home assignment I 10 24 January, 2024 Topics shall be allotted in the
class by 7 January 2024
Periodical test I 10
Home assignment II 10
Periodical test II 10
Semester Examination 60
*subject to change.
(Signature of the Teacher/s)
(Signature of the HOD)
2-5 February, 2024* -
28 February, 2024 Topics shall be allotted in the
class by 12 February, 2024
15-18 March, 2024* -
18 April- 5 May, 2024* -
(Signature of the Dean)