Banking Law

Effect of Wrong Entries in Favour of the Banker : When a credit entry has been totally omitted or its figure has been wrongly stated or any debit entry has […]

Effect of False Entry in the Pass Book : The liability of a banker to his customer in case his employee commits an act of embezzlement and makes false entries in […]

A CUSTOMER : The term ‘customer’ of a bank is not defined by law. Ordinarily, a person who has an account in a bank is considered is customer. Banking experts and […]

RELATIONSHIP AS DEBTOR AND CREDITOR : On the opening of an account the banker assumes the position of a debtor. He is not a depository or trustee of the customer’s money […]

BANKER AS TRUSTEE : Ordinarily, a banker is a debtor of his customer in respect of the deposits made by the latter, but in certain circumstances he acts as a trustee […]

BANKER AS A BAILOR / BAILEE : Section 148 of Indian Contract Act,1872, defines bailment, bailor, and bailee. A bailment is the delivery of goods by one person to another for […]

BANKER AS A LESSER / LESSEE : Section 105 of ‘Transfer & Property Act’ deals with lease, lesser, lessee. In case of safe deposit locker accounts, the banker and customer relationship […]

BANKER AS AGENT : A banker acts as an agent of his customer and performs a number of agency functions for the convenience of his customers. For example, he buys or […]

Effect of the Customer Signing Confirmation Slips : The Pass Book itself is not a conclusive proof of a settled account. Banks nowadays periodically issue to the customers confirmation slips, which […]

Features of Banking : The following are the basic characteristics to capture the essential features of Banking: (i) Dealing in money: The banks accept deposits from the public and advance […]