Also, individuals can handle the withdrawal business without a bank card. Through self-service ATM, he can choose the card-free business, but he must remember the bank card account number before he can handle it.
According to the complexity of business and the dependence on outlets, banking business can be divided into two parts: one part is traditional business, including general loans, simple foreign exchange trading and trade financing. , mainly supported by a large number of branch outlets and business volume. In addition, there are complex businesses, such as derivative products, structured financing, leasing, introducing strategic investors, mergers and acquisitions, etc. These are high-tech and high-profit business areas, which are not very dependent on the branch network.
According to the composition of its balance sheet, banking business is mainly divided into three categories: liability business, asset business and intermediary business.
Debt business is the business of commercial banks to form a source of funds, and it is an important basis for intermediary business and assets of commercial banks. The liability business of commercial banks is mainly composed of deposit business, loan business and interbank business. Liabilities are debts that can be measured in money and will be repaid with assets or capital. Deposits and derivative deposits are the main liabilities of banks, accounting for more than 80% of the sources of funds. In addition, interbank deposits, borrowing funds or issuing bonds also constitute bank liabilities.
Asset business is the business that commercial banks use funds, including loan business, securities investment business and cash asset business.
Intermediary business refers to the business that does not constitute on-balance-sheet assets and liabilities of commercial banks and generates non-interest income, including trading business, clearing business, payment and settlement business, bank card business, agency business, custody business, guarantee business, commitment business, wealth management business and electronic banking business.
Debt business is the activity of commercial banks to raise funds for their daily work through external liabilities, and it is the basis of asset business and intermediary business of commercial banks. It is mainly composed of self-owned funds, deposits and loans, in which deposits and loans absorb foreign capital, and interbank deposits, loans or bonds are also bank liabilities. [3] Liabilities can be measured in money, and debts that will be repaid by assets or capital due to credit granting. Deposits and derivative deposits are the main liabilities of banks, accounting for more than 80% of the sources of funds. In addition, interbank deposits, borrowing funds or issuing bonds also constitute bank liabilities.
Funds in the hands of local governments
The self-owned capital of a commercial bank refers to the capital of which it has ownership. It mainly includes share capital, provident fund and undistributed profit. Among them, the share capital is the share capital raised by issuing shares when the bank is established; Reserve capital, that is, provident fund, is mainly formed by after-tax profit commission to make up for operating losses; Undistributed profit refers to the part of operating profit that has not been withdrawn from the provident fund or handled according to the provisions of the financial system.
Among all sources of credit funds in commercial banks, self-owned funds account for a small proportion, generally accounting for 10% of the total debt business, but self-owned funds play a very important and irreplaceable role in the bank's business activities. It is the premise for commercial banks to carry out business and engage in banking business; Secondly, it is the material basis for the risk loss of bank assets and provides protection for bank creditors; Once again, it has become a material guarantee to improve the competitiveness of banks.
Deposit liabilities
Deposit is the most important business in bank debt business and the main source of funds for commercial banks. Deposit absorption is the basis for the survival and development of commercial banks, accounting for more than 70% of total liabilities. "For banks, the most important thing is always deposit", Marx's assertion clearly reveals the economic status of deposit business.
The types of deposits in commercial banks can be divided according to different standards: according to the quality of deposits, they can be divided into demand deposits, time deposits, savings deposits and call deposits; It can be divided into short-term, medium-term and long-term deposits according to the length; According to the economic sources of deposits, they can be divided into industrial and commercial, agricultural, financial and interbank deposits.
Borrowing liabilities
Borrowing liabilities is an activity in which commercial banks borrow short-term funds from other banks through the inter-bank lending market by refinancing and rediscounting bills.
(1) borrowing from the central bank is a financing business for commercial banks to solve temporary capital needs. There are three ways to borrow money from the central bank: rediscount, remortgage and refinancing.
(2) Inter-bank lending is an activity that commercial banks are eager to borrow short-term funds from banks or other financial institutions through inter-bank lending. Inter-bank lending has two main purposes: one is to make up for the shortage of statutory deposit reserve, and most of these loans are daily loans; Second, in order to meet the seasonal capital demand of banks, it generally needs to be carried out through the interbank lending market. Inter-bank lending is more flexible and simpler than borrowing from the central bank.
Other liabilities
Other liabilities refer to the sources of funds formed by commercial banks in other ways besides deposit liabilities and loan liabilities. It mainly includes: interbank deposit liabilities, financial bond liabilities, large negotiable certificates of deposit liabilities, buying and selling securities, occupying customers' funds, overseas liabilities, etc.
In the debt business of commercial banks, self-owned funds are the basis, indicating the financial strength of commercial banks; Deposit liability is its main business, which indicates the operational strength of commercial banks; Borrowed liabilities and other liabilities are important transfers and supplements of commercial banks' funds, which reflect the operational vitality of commercial banks.