Generally a person who is doing the banking business is called banker.
According to Dr.Hart, "A ‘Banker’ is one who in the ordinary course of his business honors cheques drawn upon him by persons from and for whom he received money on current accounts."
According to Sir John Paget, "No person or body corporate or otherwise can be a banker who does not: take deposit accounts. Take current accounts, issue and pay cheques drawn on himself and collect cheque for his customer."
It is said in English Bills of Exchange Act-1882, ‘Banker’ includes a body of persons, whether incorporated or not, who carry on the ‘business of banking’.
So, it can be said, that a banker does 'business of banking' i.e. accepts deposits withdrawable by cheques.
More from this Section
- Bid price
Bid price refers to the price that a dealer is willing to pay for (i.e., buy) a foreign exchange or a security.
- Debt/equity ratio
Debt/equity ratio is a comparative ratio of debt and equity used to measure the gearing/ health of a business.
Monetarist is a follower of Milton Friedman who sees changes in the money supply as the primary source of movements in the price level and aggregate output and who views the economy as inherently stable.
- Cost-benefit loan pricing
Cost-benefit loan pricing is a method for pricing loans that add all costs of making a loan and compares those costs to all expected revenues generated by a loan.
- Bid Rate or buying rate
Bid Rate is the exchange rate at which foreign exchange dealers are prepared to buy foreign exchange in the market from other dealers
- Cost and Freight (C&F)
Cost and Freight (C&F): The seller/exporter of goods must pay the cost and freight necessary to bring
- Investment Agreement
An investment agreement spells out specific rights and responsibilities of both the foreign firm and the government. The presence of MNEs is as often sought by ...