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The Two Basic Functions Of MCB Bank

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3.1 Functions of MCB
Basically there are two basic categories of functions of MCB Bank, which are as follows:
1. Principal Function
2. Auxiliary

3.1.1 Principal Function:
The principal functions are basically the core functions of the bank that is the lifeblood of bank, which are:
1. Acceptance of Deposits
2. Financing

3.1.2 Deposits:
There are basically two types of deposits and their nature varies due to time factor, which are:
1. Demand Deposits
2. Time Deposits

3.1.3 Demand Deposits:
The demand deposits have no legal restriction on drawing of the deposited amount and the cash is readily available on demand without any conditions.

Demand deposits are further classified into categories:
1. Current Deposits
2. Saving Deposits

3.1.4 Current…show more content…
These functions are cause to attract the customer. Banks performs this kind of functions as per demand on the extra charges.
Banks perform following auxiliary functions:

3.2.1 Collection of Cheques:
MCB acts as an agent to its customers in the collection and payment of cheques, bills and promissory notes. This is done on the behalf of the customer and MCB charges the commission.

3.2.3 Locker:
MCB also provide locker facility to its customers where people can keep their valuable ornaments.

3.2.3 Collection of Dividends:
The bank provides a very useful service in the collection of dividends or interest earned on stocks and shares held by his customers. The customer is simply to inform the issuer of the securities that the interest on the securities is to be credited to his account in the bank.

3.2.4 Purchase and Sale of Securities:
MCB is authorized by the customer, purchase or sale securities on his behalf and thus adds other benefits to his portfolio.

3.2.5 Transfer of Funds:
MCB also transfer funds of the customers from one bank to another bank. If the transfer is at one station, they don’t charge any commission and even if they charge, they charge on reduce…show more content…
3.5.1 Forex Department
The Forex Department deal play a very important role in the Banking sector. The customers who are in the foreign countries and whenever they want to send the money to their relatives, the MCB bank help all these types of customers which are in the foreign countries and they have don’t worry about the transaction of money from one country to another one because the Forex Department are doing this type of job and this Department fulfill all the transaction for the foreign customers.

3.5.3 GBO Department
GBO stand for General Bank Officers. They also play a very important role in MCB bank. They deal in the balancing of cheques and also guide the customers. They also open the account for the desire customers. Opening of accounts are the responsibilities of this Department. The also provide the new information to the customers. New packages are also inform by the GBO officers. For example: To purchase a home or to purchase a
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