Commercial banking

A Commercial bank is a financial  intermediary   which  collects  surplus  funds  from  the public  (that  is, accepts  deposits),   safe guards  them  and makes  them  available  to the true  owners  on  demand.   It also lends  money  (credit)  not required  by the true owners  to those  who  are in need  at an interest   rate  and who can provide  collateral  securities.