Bank Definition

Definition: It refers to a financial intermediary which provides various products and services to its customers, including checking accounts, savings accounts, direct deposit, certificates of deposit, loans, debit Cards/ATM, check Cashing services, internet banking services, overdraft protection, etc. There are two types of banks: commercial/retail banks and investment banks. In most countries, banks are regulated by the national government or central bank. In general banks borrow funds from other companies and individuals and lend them to other companies and individuals at cost plus interest.