February 17, 2012
A financial institution which accepts deposits and use them in different types of financial activities through different various means called Bank. For any bank two things are considered must to safeguard the money they receive and invest in any lawful activity that ensure the profit. Banks are actually acts like a financial intermediary. They work as a bridge in between customers and financial markets. This accepting and providing capital and relation building activity called banking. In the ancient time banks were providing the loans to the farmers and the traders who were busy in carrying goods between different cities. In around 2000 BC such activities were in place in Assyria and Babylonia.
History also reveals that in later stage in ancient Greece and Roman Empire these types of activities were in practice. There two important innovations were incorporated in this system, accepting deposits and money changing. Modern sense of banking belongs to the Italy where in fourteenth century it was in practice with branches of banks in many cities and different parts of Europe. However the most famous bank of the Italy was establish not before the 1397. But the actual development of banking was seen in Europe and in 16th and 17th century and in this regard Amsterdam and London were top on the list.
Developments in telecommunications and with the advent of computers in 20th century banking industry experienced revolutionary changes and their operation increased dramatically all over the world. Now all over the world banking industry is an integral part of each and every society. In these days this industry is highly regulated one. Now There are many types of banking available for many different types of customers and markets e.g corporate banking, merchant banking, retail banking, investment banking, wholesale banking, investment banking, transaction banking,e banking, commercial banking, etc. Now banks borrows many types of loans to different parties and customers ranging from common people to the businessman and industrialists. They also provide almost all payment services to their customers and account holders. In different countries different laws are present to regulate the banking.
Banking sector was flourishing with the speed of rocket in 20th century but after the tragic incident of 9/11 all over the world this sector faced difficulties and the current worldwide recession is alarming for for this industry.After the beginning of this recession many big banks closed their operation and many force to merging process. Now this industry is facing hardship and many big guns are fighting for their survivals.But according to the experts of the financial sector banking industry will retains it glorious past by the passage of time. On the other hand common man is asking the question that when he will be able to get the maximum profit from banks. Industrialists and businessmen are asking that when they will get the loans with minimum markup. In the past for the common man banks were the ray of hope because they provide the loans to the common man for their different daily life needs such as to borrow the home, cars etc. But now the lending rates are very high and many banks are not in a position to provide the loans to the common man.
These days, Growth of Internet and electronic transaction are making the reason of expanding banking structure. Lot of new companies are opening these days which have no direct relation with banking sector, but these companies works for banks . These companies offers banking sector for providing customers. Banking sectors is progressed by their customers. Every sector of bank want to expand the numbers of customers. These companies adopts different ways to collect large numbers of customers and motivate them for banking sector. For this purpose, these companies used different online methods like social sites or personal company web sites help. This is true that modern world is providing lot of variety to banking sector. New ways of employments are also coming.
Banking sectors are also adopting different techniques to motivate their customers. Minimum every bank provides some impressive offers through online banking. Now customers are availing a facility of balance inquiry, money transferring, or bill paying like facilities. In fact, online banking is increased too much capacity of banking sector. This revolution is new because some years behind banking sectors have not much more option for motivation to their customers but online banking reveals revolution on banking sectors. Lot of new offers and facilities are offered by banks to motivating people. Banking sector are getting huge numbers of customers on daily basis and every day, number of customers are increasing. Online banking is more easy and every person who have a facility of online banking, must try to connect with online banking. Online banking is possible in your home. You can check your amount, your balance detail and other necessary information online and no need to go personally in any bank.