This is the act of keeping one’s money in a financial institution called the bank. There are 2 types of banks that is commercial banks and central banks.

1. Commercial Banks : This is profit making institution owned by the private individuals known as shareholders.The formation of this commercial banks is authorized by COBAC is the (Central Banking Commission for Central Africa)
2. Central Banks: This is where commercial banks keeps their money and can take loans when there is short of liduidity. The central bank is what we call the leader of last resort e.g of central banks include BEAC. There are some financial institution that do not have the status of a bank they do carry out banking services. They are generally known as micro finance institution example UNICS BANK, Cooperative credit unions.

FUNCTIONS OF A BANK

• Money deposite accepted by commercial banks are current account, saving account, fixed deposits account