BANKING GENERAL KNOWLEDGE
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Long term loans
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medium term loans
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short term loans
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all the above
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Detailed explanation-1: -Commercial loans are most often used for short-term funding needs.
Detailed explanation-2: -Depending upon the repayment period this loan type is classified as under: Short term loan: Repayment period less than 1 year. Medium term loan: Repayment period between 1 to 3 years. Long term loan: Repayment period above 3 years.
Detailed explanation-3: -Commercial banks provide basic banking services and products to the general public, both individual consumers and small to midsize businesses. These services include checking and savings accounts; loans and mortgages; basic investment services such as CDs; and other services such as safe deposit boxes.
Detailed explanation-4: -A commercial bank provides long-term and short-term loans and creates credit.