The Morris Plan Bank was a type of bank created in the early 20th century in response to the Panic of 1907. These banks offered small loans to working-class people who did not have access to traditional banking products. The loans were typically used for things like home repairs or medical bills. The Morris Plan Bank model was later replicated by other financial institutions and is now considered to be a precursor to modern payday lending.
What is BD in banking terms?
BD stands for "Banking Division". The Banking Division of a bank is responsible for the bank's day-to-day operations, including processing transactions, maintaining records, and providing customer service. The Banking Division is also responsible for the bank's compliance with banking regulations.
What is CRR and SLR?
The Cash Reserve Ratio (CRR) is a percentage of total deposits that banks are required to maintain with the RBI in the form of cash.
The Statutory Liquidity Ratio (SLR) is the percentage of total deposits that banks are required to maintain with themselves in the form of cash or other approved securities. What are the 3 C of credit? There are three important factors to consider when extending credit to a borrower, which are commonly referred to as the "3 C's" of credit:
1. Capacity: Can the borrower repay the debt? This is determined by evaluating the borrower's current and future income and expenses.
2. Collateral: What assets does the borrower have that can be used to secure the loan? This provides the lender with some protection in the event that the borrower defaults on the loan.
3. Character: What is the borrower's history of repaying debts? This is determined by looking at the borrower's credit report, which includes information on past late payments, bankruptcies, etc.
What are the 4 types of banks?
There are four types of banks in the United States: commercial banks, savings banks, credit unions, and investment banks.
Commercial banks are the most common type of bank. They accept deposits, make loans, and provide other services, such as safe deposit boxes and money transfers.
Savings banks, also called savings and loan associations, accept deposits and make loans. Credit unions are member-owned cooperatives that provide banking services to their members.
Investment banks are not banks in the traditional sense. They do not accept deposits or make loans. Instead, they underwrite, or finance, the sale of securities. What are the 3 accounting rules? The three accounting rules are the generally accepted accounting principles (GAAP), the International Financial Reporting Standards (IFRS), and the Financial Accounting Standards Board (FASB) standards.