Distinguish between fund based and non fund based services
Asked by admin @ in Social Sciences viewed by 344 People
Difference between fund based and non fund based facilities
Answered by admin @
A fund based facility involves
credit offered by banks through various forms such as overdrafts, loans or any
other facility that involves cash transactions.
A non-fund facility is one in which the bank
does not deal with cash transactions or funds. Examples of such facilities
include bonds, letter of credit and letter of guarantee.
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