Revision: Business Services OCM HSC Commerce (English Medium) 12th Standard Board Exam Maharashtra State Board

Bank is a financial institution which accept deposit in different form from the public and provides loans and advances to the industrialists, traders, businessmen and needy people.

According to Banking Regulation Act 1949, Bank is defined as "accepting for the purpose of lending or investment of deposits of money from public, repayable on demand or otherwise and withdrawable by cheque, draft and order or otherwise."

Fire insurance is a contract under which the insurance company (insurer) agrees to identify the insured in return for the premium against damage or loss. To property caused by fire during an agreed period of time and up to a specified amount. A fire insurance policy provides protection against damage or loss to property, i.e., buildings, furniture, goods, etc., caused by fire.

Marine insurance is one of the oldest types of insurance. It plays a vital role in foreign trade by providing protection against the perils of the sea. Sea perils include piracy, collision, capture by the enemy, seizure, restraint, jettison, barrage, etc. Jettison means throwing goods overboard in order to avoid sinking a ship, while barratry refers to a fraudulent breach of duty by a master or staff of the ship. Sinking the ship after being hit by a rock and loss of cargo due to seawater or heat are other examples of sea perils. Thus, marine insurance may be defined as a contract whereby the insurer agrees to indemnify the insured in a manner and to the extent agreed upon against marine losses.

Life insurance is a contract under which the insurance company (called the insurer) agrees to pay the specified amount (called sum assured) on the death of the insured person or upon the expiry of a specified period, whichever is earlier, in consideration of the regular premium. Life insurance is the most popular form of insurance because it plays a vital role in the lives of the public.

Transport is the movement of people, animals and things from one place to another.

Communication is the process of transmitting information from one place to another through a medium.

• Acceptance of Deposits: Banks accept current, savings, and fixed deposits from the public to mobilise savings.
• Advancing Loans and Credit: Banks give loans through cash credit, overdrafts, term loans, and discounting of bills.
• Facilitating Payments: Payments are made easily through cheques, drafts, and electronic transfers.
• Transfer of Funds: Banks help in quick and safe remittance of money from one place to another.
• Agency & Utility Services: Banks collect payments, pay taxes and insurance, deal in shares, provide lockers, cards, and advisory services.
• Credit Creation: Banks create credit by lending more than their actual cash deposits.