Chapter 1 Class 8 Economics - Introduction to Banks

What are the benefits of using a bank?



Answer by Student

  • Saving money safely and earning interest on it
    Banks are a safe place to keep your money. They are insured by the government, so your money is protected in case the bank fails. Banks also pay interest on your deposits, which means your money can grow over time.

  • Borrowing money for our needs and pay it back in installments
    If you need money for a big purchase or an emergency, you can borrow money from a bank. Banks offer a variety of loans, such as personal loans, car loans, and home loans. You can repay the loan in installments, which means you will pay back the loan over a period of time.

  • Using cheques to withdraw or pay money without carrying cash
    Cheques are a convenient way to withdraw or pay money without carrying cash. You can write a cheque to pay for goods or services, or you can deposit a cheque into your bank account.

  • Transferring money to anyone anywhere easily and quickly
    Banks make it easy to transfer money to anyone anywhere. You can use online banking, ATMs, or mobile banking to transfer money.

  • Doing banking transactions online anytime and anywhere
    Banks offer a variety of online banking services that allow you to do your banking transactions anytime and anywhere. You can check your balance, transfer money, pay bills, and even apply for loans online.

These are just some of the benefits of using a bank. If you are looking for a safe and convenient way to manage your money, using a bank is a good option.

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Davneet Singh has done his B.Tech from Indian Institute of Technology, Kanpur. He has been teaching from the past 14 years. He provides courses for Maths, Science, Social Science, Physics, Chemistry, Computer Science at Teachoo.