Archive | Credit

9 Main Functions of Credit | Banks

The following points highlight the nine main functions of credit. The functions are: 1. Economy in the use of money 2. Easy exchange and remittance 3. Helpful to production 4. Promotion of trade especially foreign trade 5. Expansion of bank credit 6. Financial accommodation to industries 7. Benefits to consumers 8. Credit to the government sector 9. Stability. Function # [...]

By |2017-01-13T05:55:17+05:30January 13, 2017|Credit|Comments Off on 9 Main Functions of Credit | Banks

Top 3 Types of Credit Instruments | Banks

The following points highlight the top three types of credit instruments. The types are: 1. Promissory Note 2. Bill of Exchange (or Hundi) 3. Cheque. Type # 1. Promissory Note: A promissory note is a document in which a person promises to pay another a specified sum at a certain date. The payee, i.e., the person to receive the amount, [...]

By |2017-01-13T05:55:16+05:30January 13, 2017|Credit|Comments Off on Top 3 Types of Credit Instruments | Banks
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