Our the economy is composed of some sectors. One of the key sectors is the banking sector. The banks have in the economy for a long period of which they have proven to be useful to us. Banks can be said to be financial institutions that deal with the cash. The banks can be said to be useful since they help people to be able to store the cash most appropriately. We can be able to see that the banks have some of the key roles in our midst. The banks can be said to have the best kind of functions that are different from other sectors in the economy.
One of the functions of the banks is that they are custodian of the people’s cash. The banks store the cash on behalf of the clients at any given time. The bank can be able to do this by the fact that it has a good system which allows people to be able to deposit and withdraw cash at any one given time. Being able to issue the loans to the clients is also another function of the bank. Offering cash on credit is like the main function of the bank in any place. The the bank is always able to advance some loan to the client provided that the client can get back the money at an agreed period.
The the bank can always be able to raise some cash as a business entity from the cash that it gives a loan. The bank can earn some cash since it can get some interest from the cash issued to clients as loans. Another function of the banks is that it can always be able to make some transactions on behalf of the clients all the time. This is usually made possible in the case where the bank can be able to get some cash from the person’s account to be able to get the right kind of transaction in place. Another key function of the ban is that it can be able to store the valuables on behalf of the client all the time.
Precious jewel and some documents that bare said to be important to a person can be some of the things that the bank can be able to keep in custody on behalf of the client. The bank can be able to provide safe custody for such valuables until the person is in need of them. Another function of the bank is to always offer helpful financial advice to the clients all the time. This is especially the case where one need the right kind of investment advice so that he can be able to make the right decision. The bank through its qualified people can be able to come up with the relevant advice for the people.