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Bank is a financial institution that acts as a payment agent for customers,
and borrows and lends money.
Banks act as payment agents by conducting current accounts for customers,
paying cheques drawn by customers on the bank, and collecting cheques
deposited to customers' current accounts. Banks also enable customer
payments via other payment methods such as telegraphic transfer, EFTPOS, and
ATM.
Banks borrow money by accepting funds deposited on current account,
accepting term deposits and by issuing debt securities such as banknotes and
bonds. Banks lend money by making advances to customers on current account,
by making installment loans, and by investing in marketable debt securities
and other forms of lending.
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