Question 1

What is commercial banking?

Accepted Answer

Commercial banking refers to a type of banking that offers services to businesses, government agencies, and institutions. These banks help their clients grow by providing loans and earning interest and fees on those loans.

Question 2

What do commercial bankers do?

Accepted Answer

Commercial bankers provide banking solutions and advice on various products, including cash management, credit for working capital, treasury services, and financial planning. They use their expertise to help businesses manage their finances effectively.

Question 3

How do commercial banks make money?

Accepted Answer

Commercial banks generate revenue mainly from loans and credit card interest. They earn profits through the interest charged on loans and various fees, such as those for opening lines of credit and overdrafts.

Question 4

Is RBI a commercial bank?

Accepted Answer

No, the Reserve Bank of India (RBI) is not a commercial bank. It is the central bank of India, responsible for regulating the country's monetary policy, while commercial banks are private institutions providing banking services to individuals and businesses.

Question 5

Is a career in commercial banking a good choice?

Accepted Answer

Yes, a career in commercial banking can be rewarding. It offers a good work-life balance, competitive pay, and various advancement opportunities, although the work may become repetitive over time.

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