Theory question 103
BankingCommerce 2 (essay)
(a) State four steps that can be taken by a customer opening a current account.
(b) Explain six functions of commercial banks.
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(a) Any four: go to the bank and collect/fill the account opening form; provide passport photographs and valid identification; provide references/introducers (existing customers); give specimen signatures; make an initial deposit; collect the cheque book after the account is opened.
(b) Any six, explained: accept deposits; grant loans and overdrafts; provide means of payment (cheques, transfers, cards); safe custody of valuables; foreign exchange services; discount bills of exchange; give financial advice; act as agents for customers (pay bills, buy shares); electronic banking.
List the account-opening steps in order.