Types Of Banks:
There are various types of banks they are categorized based on their business and rules .
- Public Sector Banks
- Private Sector Banks
- Nationalized Banks
- Commercial Banks
- Sheduled Banks
Public Sector Banks :
The banking institutions which have majority of the share which is more than 51% owned by the government.Then these are known as public sector banks.The shares of these banks listed in stock exchanges.
All nationalized banks and RRBs comes under public sector banks. RRBs are not nationalized banks.
At Present, we have 27 public sector banks in India from which 20 nationalized banks and State Bank of India and 5 SBI associate banks and also Bharatiya Mahila Bank(BMB) was nationalized in march,2014.
Commercial Banks :
The banking institutions which are performing all types of banking business, trade, commerce are known as commercial banks.
They provide short term loans to the business man and traders.
Generally, Sheduled banks means the banking institutions which have been included in the second shedule of RBI Act 1934. Then these banks come under sheduled banks category.
Eg: SBI and its associate banks, Nationalized Banks, Foreign Banks,Private Sector Banks, Co-operative banks and RRBS.
The banks which have 100% stake from the government and completely owned by the govt. then they are called as nationalized banks.
All nationalized banks comes under public sector banks but all public sector banks are not nationalized banks.
A group of people formed together as voluntery association and starts banking operations at one place called co-operative bank for self help and mutual help