Banking Full Forms

Banking is a sector that manages financial transactions like cash, credit, etc. Banks provide a secure system to keep additional credits and cash also offers deposit certificates, savings accounts etc. Banks utilize these deposits in lending making such as loans. These loans include house mortgages, car loans and loans related to business.

Banks exist from the time when the business of trade started by human civilization. A bank by its definition is a financial system which is authorized to accept and lend deposits. Commercial banks also offer various other facilities such as net banking, credit cards, investment securities, buying and selling of gold coins and often insurance.

Types Of Banks

Various banks and financial institutions have developed over the last three centuries. Usually, each category focuses on one particular form of business. Therefore we can differentiate the various banks as per their operations. There are mainly seven types of banks, namely

  • Commercial banks
  • Exchange banks
  • Co-operative or agricultural banks
  • Industrial banks
  • Central banks
  • Saving bangs
  • Unity of banks

Some examples of banking related full forms

Abbreviations are most frequently used in the banking sector. Examples include

ATM – Automated Teller Machine

HDFC – Housing Development Finance Corporation

ICICI – Credit and Investment Corporation of India

IFSC – Indian Financial System Code

INR – Indian Rupee

NEFT – National Electronic Funds Transfer

RTGC – Real-Time Gross Settlement

RBL – Ratnakar Bank Limited

Advantages And Disadvantages Of The Bank

Advantages

  • Accessibility of budget-friendly loans
  • Rural area development 
  • Propellant of the financial sector
  • Community Wealth Security 
  • Economies of huge scale

Disadvantages

  • Risk of community deposit
  • The threat of fraud and robbery 
  • Possibility for banks to go unprofitable

Benefits Of Knowing Banking Full Forms

Many of the banking terms, as well as the banking institutions, are stated in the abbreviated form. We need to know the full forms to get a better understanding of banking technologies.

The full form of OBC is the Oriental Bank of Commerce. It is a public sector bank founded in Pakistan's Lahore in 1943. In the year 1980, it was...
The full form of NBFC is the Non-Banking Financial Companies. It relates to assets institutions providing financial services without the need for...
The full form of FDI is Foreign Direct Investment. It is the investment made in a corporation based in one nation into an organization based in...
The full form of JAIIB is the Junior Associate of the Indian Institute of the Bankers. It is an associate test carried out by the IIBF (Indian...
The full form of CIBIL is Credit Information Bureau (India) Limited. CIBIL was founded in August 2000 and is India's first credit information...
The full form of ADR is an American depositary receipt.ADR is a negotiable document issued by a U.S. depositary bank that often represents one...
The full form of ADB is the Asian Development Bank. ADB is a regional development bank, its goal is to achieve a stable, healthy, versatile and...
The full form of IIFL is India Infoline Finance Limited. IIFL is India's largest diversified financial services company, and its headquarters is...
The full form of HDFC is the Housing Development Finance Corporation. HDFC is a renowned Indian housing financial institution, mainly providing...
The full form of GPF is General Provident Fund. GPF is a provident fund scheme that refers to government employees. In this system, government...
The full form of MCLR is the Marginal Cost of Funds based Lending Rate. MCLR is the minimum rate of interest with which a bank can lend. MCLR is...
The full form of CRR is the Cash Reserve Ratio. CRR reflects the amount of money the banks of the RBI (Reserve Bank of India) have to hold with....
The full form of EMI is Equated Monthly Instalment. EMI is a fixed sum payable to a moneylender by a borrower for a specified period at a...
The full form of SWIFT is Society for Worldwide Interbank Financial Telecommunications. SWIFT is a member-owned cooperative that offers secure...
The full form of SBI is State Bank of India. SBI is a public sector financial institution and a multinational corporation. The bank holds 23 per...
The full form of ICICI is Industrial Credit and Investment Corporation of India. It was ICICI Bank's parent organization which had been...
The full form of UPI is Unified Payments Interface. UPI instant real time payment system helps to transfer cash immediately via a mobile...
The full form of DCB is the Development Credit Bank. DCB Bank Limited was generally identified as Development Credit Bank. It is an established...
The full form of IDFC is the Infrastructure Development Finance Company. IDFC is an Indian finance agency and it offers financial and advisory...
The full form of NPA is Non Performing Assets. NPA is a mortgage or advance in respect of which the interest or principal payment has been...

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