commercial banks was . % of GDP. It was . % in the USA, .
% in China, and . % in Japan. commerce - - . .
PM account should be linked with savings bank account by the customer. Then the customer can ask the bank to conduct online purchase or sale of securities, on behalf him. . Preparation of Income Tax Return Banks prepare the annual income tax return on behalf of the customers and provide income tax related advices to them.
. Dealing in Foreign Exchange Banks buy and sell foreign currencies on behalf o customers. . Acting as Correspondent Banks act as correspondent of customers and receive travel ticket, passport, etc.
II. General utility functions In addition to primary, secondary and agency functions, commercial banks offer some services for the general welfare of the customers. They are called general utility services. They are as follows.
. Issue of demand drafts and bankers’ cheques Demand drafts and Bankers Cheques are issued to public and customers as well. Instead of sending money they can attach these instruments for payment of educational fees, etc. .
Accepting Bills of Exchange on behalf of Customers Banks accept bills on behalf of customers and make payments to the foreign exporter. Afterwards, the banks collect from the customers. . Periodic Payment of Premiums, Rent, etc.
After instruction from the customers, banks undertake the monthly payment of insurance premium, rent, telephone bill, etc. from the accounts of customers. Now a days these payments are made through electronic clearing system facility offered by the banks. .
Collection and Payment of Cheques On behalf of customers bank collect the cheques deposited into the accounts of customers from other banks and deposit cash in the customers’ accounts. Similarly cheques issued by a customer is honoured and the amount paid as directed by the customer. . Acting as Executors, Trustees and Attorneys Banks act as executors of will of the customers and implement their will after their death.
As a trustee a bank takes care of the funds of the customers. Banker signs transfer deed of the properties of the