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1. |
Explain two methods of accepting deposits by commercial banks. |
Answer» 1. Fixed deposit Account: In such deposits the deposited amount can be withdrawn only after the maturity period. The interest rates are higher in case of such deposits. 2. Savings account: It is opened by the bank with the objective of collecting small savings from the people who have small earnings. But withdrawal is allowed thrice a week. However, the rate of interest is less than that of fixed deposits. |
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