Finance Business Resource

Money transfer enabled with new technology- internet banking

Internet Banking

Internet banking is one kind of payment system which is done using electronic process. It helps us to make financial transactions using the website run by the company or corporation. Retail bank, virtual bank, credit union, building society all of them are same type. They can be defined as alternative. Another name of Internet banking system is online banking. If a customer want to transfer money using internet banking he needs to register for that company and need to be agreed with their terms and should get his own password so that he can subscribe into his account. This password is for his own safety and also for verifying him. Now many institutions are giving offer for internet banking which includes many features. Some features are common for all but others specific. Its gives us new Financial and technological bond


Advantages of Internet Banking

Not only money transfer but also many tasks which have no relation with transactions can be performed using internet banking. Among these non transnational functions some are given here. Using internet banking customers can easily check their account balances. Now they can easily know what the amounts that are existing in their account are.  They do not need to go to bank. Thus internet banking saves a lot of time and work. Using internet banking one can easily see his recent transactions which means if anybody else try to transact from his account he will know.  Even he can remove any kind of confusion.

Short term Financing

Short term Financing

Short term financing is the debt that matures in one year or less and used to fulfill seasonal and current assets needs.

Types/Sources/Instruments of short term financing
Short term finance can be collected from different sources. Those are given below-

Short Term Financing
1.   Spontaneous Financing
  1. Money Market
  1. Bank Loan
  1. Trade Credit
i.     Open Account
ii.   Notes Payable
iii. Trade Acceptance
  1. Advance Payment
  2. Accrued Expenses
a. Commercial Paper
b. Bankers Acceptance
a.    Unsecured Bank Loan
i.   Transaction Credit
ii. Line of Credit
iii.    Revolving Credit
iv.    Compensating Balance
b.   Secured Bank Loan
i.     Accounts Receivable
ii.   Inventories

Spontaneous Financing
Spontaneous Financing is the automatic sources of short term fund arising in the normal course of business operations.

Financial markets in Finance

Financial markets

Financial market is a forum in which suppliers and marketers of funds can transact business directly.

The key financial markets are three types.......

1. On the basis of issuing

i. Primary market: Primary market is the financial market in which securities are initially issued; the only market in which the issuer is directly involved in the transaction.

ii. Secondary market: Secondary market is the market in which existing, already outstanding securities are traded among investors. In secondary market, the original issuer has no part in the transaction.