What is Retail Banking?
Retail banking is referred to as consumer or personal banking. It offers personal financial services to consumers. Consumer services provided by retail banks include savings accounts, checking accounts, mortgages, personal loans, credit cards, deposits, online banking, and so on.
Unlike wholesale banking, which serves businesses or more prominent organizations, retail banking assists individual customers in saving, investing, and managing their daily financial requirements.
Retail banks provide customers credit for purchasing homes, automobiles, and other items of discretionary spending. Mortgages, vehicle loans, and credit cards are examples of them. The subsequent expenditure propels the economy and creates further cash.
What are the business benefits of Retail Banking?
Retail banking benefits banks by increasing total business and help improve the bank’s brand image.
Retail banks provide loans to customers for various purposes, including purchasing a home, a car, and discretionary expenditure. Mortgages, vehicle loans, and credit cards are examples of them.
Online retail banking has made money transfers and merchandising more convenient and accessible to retail clients.