MCB Assignment Explain the priviledges granted to an account holder in due course under the bank's supervision.

Bank Account A bank account is a financial account between a bank customer and a financial institution. A bank account can be a deposit account, a credit card or any other type of account offered by the financial institution. The financial transactions which have occured within a given period of time on a bank account are reported to the customer on a bank statement and the balance of the account at any point in time is thefinancial position of the customer, a fund that a customer has entrusted to a bankand from which the customer can make withdrawals.

Types of Bank Accounts There are different types of accounts provided by bank for customers according to the needof the customers. Different bank accounts has different advantages and are meant for different needs of the customers. From lower to higher income groups, it has something for everyone. Some of these accounts are explained below: 1. Savings Account It is one of the most popular deposit account for individual. 2. Current Account Current Account are basically meant for businessmen and are never used for the purpose of investment or savings. 3. Recurring Deposit Account

These are populary known as RD accounts and are special kind of term deposits and are suitable for people who do not have lumpsum amount of savings but are ready to save a small amount every month. 4. No Frill Account If a company makes its service/product cheaper by removing the extra features, that is no frill. For example, mobile phones postpaid package without unlimited ringtones or free night talk. 5. Joint Account A joint account is an account that belongs to more than one person. Joint accounts are often set up by couples that are living together who have finances thatare closely linked. Both savings and current accounts can be opened jointly.

Bank Account Holder Bank Account Holder is an individual or entity which is authorized to perform transactions on behalf of an account, such as bank account. Authorization is provided through signatures placed on file withthe bank or company managing the account.

Priviledges offered to Bank Account Holder If you are an Account Holder at any bank, you may excercise several services that are offered by banks. Banks do everything to ensure their customer satisfaction. Some of the common services or priviledges offered by banks are as follows: 1. Easy Loan Availability The loan is available easily to those who already have an account with the bank. The bank also has to fulfill the KYC norms. But in case you have an account with the bank, you will get some relaxation.

2. Cheaper Demand Draft If a person has an account with the bank, he can get the demand draft made through cheque, which is quite cheaper if you pay the cash for it. It is also priviledge excercised by an account holder of the bank. 3. Locker Facility One can get the locker facility, if he has an account with a bank. Locker facility is provided to keep your valuables safe in the locker of banks. Locker facility can only be accessed if you are the customer of the same bank where you want it. 4. Interest on Savings Account If a person has a savings account with a bank, he also gets a certain amount of interest on it anually. This is provedto be beneficial for the account holder as he get returns on his savings with the bank. Currently, the rate of interest is 4% on savings account in Public Sector Banks. 5. Overdraft Facility In case of current account, the customer can access overdraft facility. Under overdraft facility, the customer can withdraw an amount more than the amount in the account and he have to return that amount within a certain time. One has to pay service charge for a current account facility. 6. ATM Facility ATM facility is available everywhere. If in need, one can withdraw money 24*7. It has made things far convenient and hassle free. The customer dont have to visit the branch to deposit or withdraw money, it can be done from any ATM. 7. Internet Banking Internet Banking is a new way of banking in which one can know all the information sitting at home. It is a brand new and a convenient way of banking. Internet Banking is not so common till now but is making its mark very fast. 8. Cheque Book Facility

Cheque book facility is provided only to those customers who have an account with the bank. The customer can make payments through cheques and the amount would automatically deducted from his account balance. 9. Plastic Money Another facility which can be excercised by the bank account holder is the Credit card and debit card facility. Under credit card, a certain amount of credit limit is given to the customer which he has to return within a certain time with some extra charges. Under debit card, the amount is directly debited from the account of the customer. 10. Payment of Bills Banks provide a facility of payment of bills directly from the bank. It is a convenient way of paying the bills as the customer does not have to move here and there for it and the bank takes up all the responsibility. 11. Fixed Deposit Facility Fixed Deposit facility is available to those who already have an account with the bank. The person can request the bank to deposit a lumpsum amount for better returns by the customer. 12. Pass Book/Bank Statement Facility The Bank provides pass book and bank statement facility to its customersto keep a track of all the tansactions that are going on. Bank statement facilityis available only as per the need of the customer whereas Pass book is updated regularly for keeping track of all the transactions.

Samridhi Rakheja 05121201811 BBA(B&I), 6th semester