Special customers include minors, drunkards, lunatics, insolvent people, married women, joint firms,agents,blind people, illiterate people etc.
Out of these people having insolvent minds, minors and drunkards are not competent to contract and therefore contracts made with them are nit valid and are void..
The banker is a person who: (1) accepts money from, and collects cheques for, his customers and places them to his credit; (2) honours cheques or orders drawn on him by his customers when presented for payment and debits his customers accordingly; and (3) keeps current accounts in his books in which the credits and .
The duration theory in the banking law states that just by opening an account with the bank the relationship of banker and customer does not arise.
It usually begins when the first cheque is paid by the customer and is accepted by the bank for collection..
The Banking Regulation Act, 1949 is a legislation in India that regulates all banking firms in India.
Passed as the Banking Companies Act 1949, it came into force from 16 March 1949 and changed to Banking Regulation Act 1949 from 1 March 1966..
Special customers include minors, drunkards, lunatics, insolvent people, married women, joint firms,agents,blind people, illiterate people etc.
Out of these people having insolvent minds, minors and drunkards are not competent to contract and therefore contracts made with them are nit valid and are void..
It was adopted to establish RBI with the mission of regulating the issuance of bank notes, maintaining reserves to preserve monetary system stability, and properly operating the nation's currency and credit system.
The RBI's constitution, powers, and functions are primarily covered under the Act..
Special customers include minors, drunkards, lunatics, insolvent people, married women, joint firms,agents,blind people, illiterate people etc.
Out of these people having insolvent minds, minors and drunkards are not competent to contract and therefore contracts made with them are nit valid and are void..
Due to their influence within a financial system and an economy, banks are generally highly regulated in most countries
Banks act as payment agents by conducting checking or current accounts for customers, paying checks drawn by customers on the bank, and collecting checks deposited to customers’ current accounts
Every bank in India has the right to charge interest on the loans and advances sanctioned to customers
Interest is usually charged monthly, quarterly, semiannually or annually
2Right to levy commission and service charges Along with interest, banks also have the right to levy a commission and service charges for the services rendered
UNIT-II Banking Regulation Act, 1949: , Evolution of Central Bank, Characteristics and functions, Economic and social objectives, The Central bank and the State - as banker’s bank, The Reserve Bank of India as the Central Bank
