Overview of Commercial Banks:
Based on the law of Credit Institutions:
Commercial bank is a type of credit institution which made the whole banking and monetary operations related. Based on the activity content:
Commercial bank is a type of bank which make direct transactions with companies, enterprises, economic organizations and individuals, by taking deposits, savings, and then use that capital to lend , discounts, provide means of payment and supply banking services for the subjects above 2.
Heads and Exchanges with full departments such as Transaction and Credit Department, International Payment Department, Foreign Currency Sales Department, Treasury Department, Office Administration-Organization, International Relations Office , Department of Information Technology. Branches, including the main branch and secondary branch at the local level. Transaction Offices or Transactions under the branches.
The main activities:
Capital raising activity
Commercial banks raise capital in the form below:
-Deposits of organizations, individuals and other credit institutions in the form of term deposits, non-term deposits and other deposits. - Issue of deposit certificates, bonds and other valuable papers for fundraising organizations and individuals at home and abroad. -Loans from credit institutions operating in Vietnam and foreign credit institutions. -Short-term Loan State Bank.
-The other capital raising forms allowing regulations of the State. *Credit activities:
- Import Financing
- Loans and overdrafts
- Loans under the credit limit and provision credit limit
* Payment services and treasury activities:
-Provide the means of payment.
- Implement domestic payment services to customers
- Perform indirect collecting and spending services
- Perform other payment services allowing regulations of the State Bank - Make international payment services under...
Please join StudyMode to read the full document