Commercial banks primarily serve two types of customers-

Question

Quizplus · Accepted Answer

Commercial banks primarily serve depositors who entrust their money to the bank for safekeeping and borrowers who take loans from the bank. This is the core function of any commercial bank. Option B is not entirely correct as commercial banks serve both commercial and residential clients but their primary role is not limited to these two categories. Option C is incorrect as secured and unsecured creditors are not the primary customers of commercial banks. Option D is also incorrect as commercial banks serve both short-term and long-term borrowers, and their service is not limited to any one type of borrower.

Commercial Banks Primarily Serve Two Types of Customers-