BENGALURU: In India we have many types of banks which are sub-divided into categories and also according to the region of the country. The newly licensed payment banks will join India’s vast banking system, which has several layers of banks, performing different roles and objectives, according to livemint.com.

Consumers Bank:

Consumers bank is a new addition to the existing type of banks. Such banks are usually found only in advanced countries like U.S.A. and Germany. The main objective of this bank is to give loans to consumers for purchase of durables like Motor car, television set, washing machine and furniture. The consumers have to repay the loans in easy installments.

Exchange Banks:

Banks like Hong Kong Bank, Bank of Tokyo and Bank of America are examples of Foreign Banks working in India. These banks are mainly concerned with financing foreign trade. These banks basically help in remiting money from one country to another country, discounting foreign bills, buying and selling of Gold and Silver and also helping import and export of trade.

Co-Operative Banks:

In India, co-operative banks are registered under the Co-operative Societies Act, 1912. They generally give credit facilities to small farmers, salaried employees and small-scale industries. Co-operative Banks are also available in rural as well as in urban areas. The functions of these banks are just similar to commercial banks.

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