Career opportunities and Top Recruiters

  1. Sales and related jobs:

Sales are the main aspect of retail industry. It is an important part of store operations. The important duty of the sales staff is to sell the products to the customers.

Other than sales, the related job involves, sales associate, cashier for receiving payments by cash, check, debit card, or credit card and operating cash registers etc.

The retail staff also discharges duties like preparing displays, making deposits at cash office, taking inventory etc. depending upon their working hours. The retail staff should be well equipped with excellent communication skill. In a very short span of time retail revolution has taken place.

2. Store Manager:

A store manager is the person ultimately responsible for the day- to-day operations or management of a retail store.

All employees working in the store report to the store manager. Store manager is responsible for managing human resource, hiring team, indulging training and development programmes, managing profit and loss of the store, banking, and handling customer complaints.

  1. Visual Merchandiser:

Visual merchandising is the activity of promoting the sale of goods. Visual merchandising is an art intended to increase sales. It is a tool to achieve sales target. It is the art of displaying merchandise in such a manner that appeals to the eyes of the customer.

Visual merchandiser is responsible for merchandising. Creativity is essential to be a good visual merchandiser. Visual merchandising includes window displays, signs, interior displays etc. A combination of colour and theme plays an important role in visual merchandising.

  1. Regional Sales Manager:

A regional sales manager reports to national sales manager. A regional sales manager requires excellent interpersonal and communication skill. A Retail Sales Manager is responsible for the day-to-day operations of a retail store.

They also must have computer skills and be patient with both employees and customers. Retail Sales Managers must be able to motivate and organize their employees.

A retail sales manager must have obtained a degree in marketing, business or communication. Regional managers are responsible for a group of retail stores. They visit stores to observe performance and to help solve problems. Regional managers report store performance to company headquarters and make important decisions concerning employees.

  1. Finance and Accounting:

A retail store requires well run financial department. A financial manager is responsible for keeping the records of accounts of income, paying expenses, maintaining financial records, cash flow control, banking etc. The financial manager must be efficient enough to handle the risk of debts.

  1. Human Resources:

Human resource is one of the most important aspects in retail industry. This aspect focus on recruiting right people for a particular job, because the success of retail depends upon right sales force.

The HR function includes recruitment, selection, training and development programmes, compensation and benefits etc. proper knowledge is require on the part of HR manager to understand qualification and qualities to hire efficient staff. HR function is in dealing with staff grievances and any disciplinary matters.

  1. Logistic:

The logistics process consists of the process of integration of several aspects such as material handling, warehousing, information, transportation, packaging and inventory.

The logistics department is entrusted with the responsibilities of ensuring that the entire process of logistics is maintained and developed in accordance with the goals of the business at an economical cost.

  1. Marketing:

Marketing department includes functions like advertising, sales promotion and public relation. People with specialised knowledge, creativity etc are required.

Advertising managers direct a firm’s advertising and promotional campaign. Marketing managers work with advertising and promotion managers to promote the firm’s products and services.

Quantum Computing in banking

Quantum computing is a technology based on the principles of quantum theory. Quantum computing harnesses the laws of quantum mechanics to carry out complex data operations. Quantum mechanics pertains to the realm of sub-atomic particles where the laws of classical physics breakdown. It shows how particles and waves have a dual nature. Particles like electrons tend to behave like waves, whereas light waves also display particle nature.

A quantum processor has millions of qubits that explore all possible combinations to find the best answer. A qubit (or quantum bit) is the basic unit of quantum information (quantum version of the classical binary bit). Quantum entanglement (perfect correlation between quantum particles) allows qubits to communicate with each other even if they are miles (or even millions of miles) apart.

Optimal arbitrage, credit scoring, derivative pricing; all these financial procedures involve many mathematical calculations and become even more complicated and resource-intensive as the number of variables increases. At some point, people have to settle for less-than-optimal solutions, because the complexity of the problem surpasses the capabilities of current technology and methods.

Over time, financial institutions will grow their quantum technology capacity and ability and will grow the number of specific business applications. As a result, the hybrid quantum-HPC computer will lie at the basis of their core business. Those that don’t join in could be running serious commercial risk and financial organizations know this.

Quantum has a bright future, with the potential to make the sector more profitable and less risky. One day it might even make the global economy more stable, as fiscal risks can be better predicted with quantum computers. But quantum computing is not the only quantum technology. What would Finance look like once we have a quantum internet that allows for instantaneous, faster-than-light, correlations? Will we again change the statistics of algorithmic trading, as the rules of the game change? Nobody knows, but it is interesting to consider.

Non Resident Indians Accounts, Pigmy Deposit Accounts, Other Special Accounts

Non Resident Indians Accounts

The NRE account is an Indian rupee-denominated account, offering complete security. These accounts can be in the form of savings, current, recurring, or fixed deposits. The foreign currency you deposit into the account is converted to INR. You can transfer your funds (Principal & Interest amount) to a foreign account from an NRE account without any complications and restrictions. You need to note that the amount you deposit into these accounts must be earned outside India. The international debit card enables you to transact and withdraw money 24*7. Also, mutual fund investments to become effortless and instant if you link your NRE account number to the investment account. NRE account is primarily used for carrying out business, personal banking and making investments in India.

An NRO account is a savings or current account held by NRIs in India to manage their income earned in India. Account-holders can deposit and manage their accumulated rupee funds without any hassle. The account allows you to receive funds in Indian or Foreign currency. You can apply for an NRO account jointly with a resident Indian or even an NRI. It is even feasible to transfer money from your current NRE account. However, the interest you earn in this account is subject to TDS (Tax Deducted at Source). Tax Deducted at Source (TDS).

FCNR (B) Account

FCNR or Foreign Currency Non-Residential Account facilitates deposits made by Non-Residential Indians (NRIs) or Persons of Indian Origin (POI). NRIs or POI can make these deposits in the currency of their country of residence and shall be held in that account in any one of the foreign currencies prescribed by RBI.

The currencies in which deposits can be held in an FCNR (B) Account are – US Dollars (USD), Canadian Dollar (CAD), Australian Dollar (AUD), Euro (EUR), Great Britain Pound Sterling (GBP), Singapore Dollar (SGD), Hong Kong Dollar (HKD), Japanese Yen (JPY) and Swiss Franc (CHF).

Hence, for instance, if an individual has earnings in any of these currencies, their deposits in an FCNR (B) Account shall not be subject to conversion. On the other hand, if an individual earns in any other currency, deposits made in it shall be converted to any one of the prescribed currencies mentioned above.

Pigmy Deposit Accounts

Pigmy Deposit Scheme is a monetary deposit scheme introduced by Syndicate Bank, India.

Money in amounts as small as five rupees can be deposited into an account on a daily basis, by a bank agent collecting the money from the account holder’s doorstep. The scheme was introduced to help daily wage earners, small traders and farmers begin saving, as a means to fund their bigger capital requirements such as weddings or purchases of homes or vehicles.

The account is for daily wage earners or tiny businessmen, who would like to put aside a little of their days earnings and accumulate it for a year or two. Even if Rs. 10/- is saved a day for 365 days, the saved amount together with interest could reach a figure like Rs. 4000/-

In about 5 years,

First Year Contribution Rs 3650 Interest 350 Say Rs 4000/-

Second year Contribution Rs 3650 Interest 350 Say Rs 4000/- + Rs. 400/-

Third year Contribution Rs 3650 Interest 350 Say Rs 4000/- + Rs. 1200/-

Fourth year Contribution Rs 3650 Interest 350 Say Rs 4000/- + Rs. 2000/-

Fifth year Contribution Rs 3650 Interest 350 Say Rs 4000/- + Rs. 3000/

Nearly Rs 25–26000 would be saved by the person.

This account is most useful to very small earners. They cannot command credit even from banks as their earning capacity is lowest.

Other Special Accounts

Retail Banking Services: Home loans, Auto Loans, Personal loans

Home Loan

A Home Loan is a form of financial assistance extended by banks and financial institutions. Such banks or financial institutions can help increase your budget to purchase a house with the loan amount offered. You can avail of the loan by meeting certain Home Loan eligibility criteria for a specific tenure. You must return the loan amount borrowed over the course of the tenure along with interest according to predetermined interest rates. You repay the Home Loan in monthly instalments, just like you would repay any other loan. Today, most banks offer Home Loans that not only help you purchase ready-made homes, but also facilitate the construction of a house from scratch. In addition, you can also seek Home Loans for renovation or repair purposes.

This is the most common type of home loan availed to purchase a house. There are many housing finance companies, public banks, and private banks that offer housing loans where you borrow money to purchase the house of your choice and repay the loan in monthly instalments.

You can get up to 80%-90% of the house’s market price in the form of financing. The lender will hold the house until you completely repay the loan.

Home Construction Loan

This is the right home loan type if you already have a plot of land and you need financing to construct a house in that land.

Home Extension Loan

Say you already own a house and you would like to extend the house with another room or another floor to accommodate the growing family. Home extension loan provides financing for this purpose.

Home Improvement Loan

A home improvement loan provides financing for renovating or repairing the house if there’s any fault in the existing system, such as painting the house’s interior or exterior, plumbing, upgrading the electrical system, waterproofing the ceiling, and more.

Home Loan Balance Transfer

The current home loan interest rate may be overwhelming, or you may not be happy with your current lender’s service; you can transfer the home loan’s outstanding balance to a different lender who offers a lower interest rate and better service. Upon transfer, you can even check out the possibilities of a top-up loan on your existing one.

Composite Home Loan

This type of home loan provides financing for purchasing the plot of land where you would like to construct a house and for the construction, both within a single loan.

Benefits of Taking a Home Loan

Tax benefits

The foremost benefit of a home loan is the income tax deduction you can claim on the interest and principal repayments. You can claim up to Rs.1.5 lakh on principal repayments u/s 80C, up to Rs.2 lakh on interest repayments u/s 24B, up to Rs.2 lakh on interest repayment in special circumstances u/s 80EE and 80EEA, and up to Rs.1.5 lakh on stamp duty expenses u/s 80C.

Due diligence of property

When you go through a bank to purchase a house, the bank will conduct thorough checks on the property from the legal perspective and check if all the documents produced are valid.

This due diligence check from the bank’s end will reduce the risk of you being scammed. If the bank approves the property, that means you and your house are safe.

Lower interest rate

The home loan interest rate is much lower as compared to any other loan types available. If you come across a cash crunch, you may get a top-up on the existing home loan at a lower interest rate than a personal loan to solve the issue.

Balance transfer facility

You can transfer the home loan from one lender to another for several reasons, such as the interest rate, service charges, customer service experience, and others.

Auto Loans

An auto loan is a loan that allows you to buy a desired four wheeler, and pay the vehicle off in equated monthly installments for a set tenure instead of having to pay the full price upfront. The terms of an auto loan depend on various factors, including your income and credit history.

Though everybody may not have enough cash to purchase the auto with a lump-sum payment, numerous lenders can help you realise your dream of buying the auto through a auto loan.

Applying for a auto loan is now hassle-free, easy, and paperless. Just make a few clicks, and you can submit the auto loan application form online. Almost every bank today offers auto loans at attractive interest rates. Based on one’s affordability, it is now quite easy to take a auto loan and then pay EMIs without really biting into a person’s finances.

Features and Benefits of Auto Loan

  • Get financing for purchasing new and used autos.
  • The financing can go up to 85%-90% of the on-road price of the auto. Some banks offer up to 100% financing on the vehicle’s on-road price to certain conditions.
  • The loan tenure can range from one year up to seven years.
  • The loan amount can be up to three times the annual income of the applicant.
  • Some lenders offer instant financing facilities for autos.
  • You may get additional discounts and offers if you choose to purchase a auto from the dealer or manufacturer the bank has a tie-up with.
  • The auto purchased through financing will be held as collateral until the loan is repaid.
  • The repayment structure most commonly followed for a auto loan is equated monthly instalments (EMI).

Personal loans

Personal Loan is an unsecured credit provided by financial institutions based on criteria like employment history, repayment capacity, income level, profession and credit history. Personal Loan, which is also known as a consumer loan is a multi-purpose loan, which you can use to meet any of your immediate needs.

Benefits

  • With various financial institutions offering Personal Loan online services, the loan amount is disbursement within a few hours provided the lender is convinced of your repayment capacity.
  • Unlike other types of loans like Home Loan or Gold Loan, where you must provide several documents, Personal Loans require minimum documents and the approval process is quick.
  • Another significant feature of Personal Loan is that the lenders offer you the flexibility to choose your loan tenure. Usually, Personal Loan tenure ranges from one to five years. So, you can select the loan term based on your repayment capacity. You should opt for a shorter loan, so that you can save on the interest payment and repay the amount faster.

Retail Banking Services: Safe Lockers, Jewel Loans, Consumer Durable Loans, Education Loans

Safe Lockers

A safe deposit locker is a rented locker that a bank offers you to store your valuables. This could be jewellery, gemstones, financial or legal papers, insurance policies, identity proof, such as a passport, and other similar items of high value. You can rent a locker for as long as you want for a certain fee. The key to the locker remains with you, and you can access your items whenever you need them after informing the bank.

Features:

  • Lockers Branches are equipped with high security features and specially built strong rooms.
  • Safe Deposit Locker facility is one of the ancillary services provided by the Bank to its customers.
  • Locker facility is available in over 2500 branches across the country. Wide availability of lockers in various sizes and at various locations.
  • Hassle-free payment options through your HDFC Bank Account.
  • Extended banking hours for accessing lockers.
  • Nomination facility available.
  • Nomination on safe-deposit lockers enables HDFC Bank to release the contents to the nominee of the person hiring in the event of their death. If a locker is held jointly, and one of the people hiring dies, the contents can only be removed jointly by the nominee(s) and the survivors.
  • The nomination facility is available to anyone hiring a locker.
  • For those hiring on an individual basis; nomination can be made in favour of one individual.
  • For those hiring jointly by more than one hirer: more than one nominee can be made. In such scenario no. of nominees are restricted to the no. of joint hirers.
  • Unpaid locker rentals are recovered from the nominee.
  • If the hirer is major and the nominee is minor, the nomination will be made by someone lawfully entitled to act on behalf of the minor.

Jewel Loans

Avail a gold loan from a bank in India with interest rates ranging between 7% p.a. and 29% p.a. You can avail a loan amount of up to Rs.1.5 crore and repayment tenure starting at 3 months and going up to 4 years depending on the loan scheme availed by you. You can pledge your gold ornaments and jewellery for funds in the event of a financial emergency.

Features:

Purpose: You can avail a gold loan in order to finance various needs, such as for educational purposes, medical emergencies, going on a holiday, and so on.

Security: The gold that has been pledged with the bank or the financial institution acts as the security or collateral against which the loan amount is provided.

Tenure options: The tenure options can range from a minimum of 3 months to a maximum of 48 months.

Fees: The other fees and charges that might be applicable on a gold loan are – processing fee, late payment charges/ penalty for non-payment of interest, valuation fees, etc.

Repayment Options: There are three main options offered by lenders to borrowers for the repayment of a gold loan. These are:

  • Repayment in Equated Monthly Installments (EMI)
  • Payment of interest upfront and repayment of the principal loan amount at the end of the loan tenure.
  • Payment of interest on a monthly basis and repayment of the principal loan amount at the end of the loan tenure.

Rebates: Several lenders offer the option of discount on the prevailing interest rate on the loan against gold if the borrower repays the interest regularly. This rebate can be 1% – 2% off on the original rate of interest.

Consumer Durable Loans

Consumer durable loan is a special category of personal loan that is generally used to purchase electronic gadgets and household appliances that include smartphones, televisions, PlayStations, home theatres, laptops, cameras, washing machines, modular kitchens and much more. Typically this loan type can be availed for amounts ranging from Rs. 10,000 to Rs. 15 lakh. Consumer loans are mostly available at a 0% interest rate or No Cost EMI and can be repaid within a range of a few days to 36 months.

Benefits:

Minimum Formalities

Some basic documents are required to apply for such loans, making the process relatively simple.

0% Interest Rate

Consumer durable loans are typically available at a lower interest rate than personal loans. Tata Capital offers such loans with no interest and minimum payment. Tata Capital does not even ask for any security deposits, making the loan application process effortless.

Tenure

The loan tenure for a Tata Capital Consumer Durable loan is between 6-24 months. This may differ from one lending institution to another. Usually, a longer tenure attracts a lower EMI and vice versa. As the repayment period affects EMI payments, it is important to calculate the EMI on an online EMI calculator before applying for loans.

Education Loans

An education loan is a loan that students apply to meet the financial requirements to complete their course. Many banks and NBFCs in India offer education loans at competitive rates to help educate the upcoming innovators and leaders.

Types of Education Loans

Based on Location

Domestic Education Loan

Students who would like to pursue education in India can apply for this loan type. The loan will get approved only if the applicant is admitted to an Indian educational institution and meets all other lender criteria.

Overseas Education Loan

Such loans help students realise their dream of pursuing the course of their desire in a foreign institution. The loan covers the airfare, accommodation, and tuition fee for students who wish to study abroad only if they satisfy the eligibility criteria.

Based on Course

Undergraduate Loans

This type of education loan is provided for students to give financial aid to students so they can complete their undergraduate degrees. An undergraduate degree will usually be a 3 to the 4-year long course under various specialisations. Having an undergraduate degree helps individuals to land a decent job and start earning.

Postgraduate Loans

Many undergraduates would like to continue their education with a postgraduate course, usually a 2-year long course in India. An advanced degree is desired to get more profound knowledge in the area of interest.

Career Development Loans

Many professionals who work for a few years in corporate jobs prefer to pause their career and take up professional courses and training to improve their employment prospects. Such individuals would strive hard to get into reputed business and technical schools to polish their skills and reach greater heights in their career.

Based on Collateral

Loan Against Property, Deposits, and Securities

You can pledge immovable assets, such as agricultural land, residential land, flat, house, and others, fixed deposit certificates, recurring deposits, gold deposits, bonds, debentures, and equity shares to get the necessary financing to pursue education.

Third-Party Guarantee

A guarantee letter from an employee of the bank or a home bank can help the student get an education loan.

Features and Benefits

  • 100% financing available for certain conditions.
  • The loan amount can go up to Rs.1 crore for international students and up to Rs.50 lakh for domestic students.
  • The financing covers other expenses, such as student exchange travel expenses and laptop.
  • Preferential forex rates may be available for international disbursements.
  • Loan repayment tenure can go up to 12 years after six months from completing the course.
  • Parents should be joint borrowers for the education loan.

Special types of banks: Women Bank, Payments Bank, Savings Bank, Microfinance Banks

Women Bank

A women-only bank is a financial institution catering exclusively to women. In 2001, Dubai Islamic Bank opened a women-only bank branch.

Iran opened such a bank in Mashhad on June 7, 2010. The bank’s director stated, “the aim is not sex segregation but respect for women.” The government-owned bank is Bank Melli.

In Saudi Arabia, most banks have some sort of women-only branch within the main branch. Not necessarily all branches and banks have this. Albeit the main branch can usually be accessed by both men and women.

in 2013, India launched its first public sector bank for women only, in Mumbai, aimed at economically empowering millions of women in India.

Payments Bank

Payments banks are new model of banks, conceptualised by the Reserve Bank of India (RBI), which cannot issue credit. These banks can accept a restricted deposit, which is currently limited to 200,000 per customer and may be increased further. These banks cannot issue loans and credit cards. Both current account and savings accounts can be operated by such banks. Payments banks can issue ATM cards or debit cards and provide online or mobile banking. Bharti Airtel set up India’s first payments bank, Airtel Payments Bank.

Features of Payment Banks

  • They are differentiated and not universal banks.
  • These operate on a smaller scale.
  • It needs to have a minimum paid-up capital of Rs. 100,00,00,000.
  • Minimum initial contribution of the promoter to the Payment Bank to the paid-up equity capital shall at least be 40% for the first five years from the commencement of its business.

Activities that Can Be Performed By Payment Banks

  • The money received as deposits can be invested in secure government securities only in the form of Statutory Liquidity Ratio (SLR). This must amount to 75% of the demand deposit balance. The remaining 25% is to be placed as time deposits with other scheduled commercial banks.
  • Payment banks can take deposits up to Rs. 2,00,000. It can accept demand deposits in the form of savings and current accounts.
  • Payments banks will be permitted to make personal payments and receive cross border remittances on the current accounts.
  • It can issue debit cards.

Savings Bank

A savings bank is a financial institution whose primary purpose is accepting savings deposits and paying interest on those deposits.

They originated in Europe during the 18th century with the aim of providing access to savings products to all levels in the population. Often associated with social good, these early banks were often designed to encourage low-income people to save money and have access to banking services. They were set up by governments or by socially committed groups or organisations such as with credit unions. The structure and legislation took many different forms in different countries over the 20th century.

Savings banks and savings-and-loans are often confused. The original function of savings banks to service consumers was limited to savings. Savings banks invested in government and corporate debt. Savings and loan associations had a dual purpose which gave more importance to home loans. Towards the end of the 20th century their functions blurred as savings banks issued mortgages.

The advent of Internet banking at the end of the 20th century saw a new phase in savings banks with the online savings bank that paid higher levels of interest in return for clients only having access over the web.

Microfinance Banks

Microfinance is a category of financial services targeting individuals and small businesses that lack access to conventional banking and related services. Microfinance includes microcredit, the provision of small loans to poor clients; savings and checking accounts; microinsurance; and payment systems, among other services. Microfinance services are designed to reach excluded customers, usually poorer population segments, possibly socially marginalized, or geographically more isolated, and to help them become self-sufficient.

Microfinance initially had a limited definition: the provision of microloans to poor entrepreneurs and small businesses lacking access to credit. The two main mechanisms for the delivery of financial services to such clients were:

(1) Relationship-based banking for individual entrepreneurs and small businesses.

(2) Group-based models, where several entrepreneurs come together to apply for loans and other services as a group.

Over time, microfinance has emerged as a larger movement whose object is: “a world in which as everyone, especially the poor and socially marginalized people and households have access to a wide range of affordable, high quality financial products and services, including not just credit but also savings, insurance, payment services, and fund transfers.”

Proponents of microfinance often claim that such access will help poor people out of poverty, including participants in the Microcredit Summit Campaign. For many, microfinance is a way to promote economic development, employment and growth through the support of micro-entrepreneurs and small businesses; for others it is a way for the poor to manage their finances more effectively and take advantage of economic opportunities while managing the risks. Critics often point to some of the ills of micro-credit that can create indebtedness. Many studies have tried to assess its impacts.

New research in the area of microfinance call for better understanding of the microfinance ecosystem so that the microfinance institutions and other facilitators can formulate sustainable strategies that will help create social benefits through better service delivery to the low-income population.

Debtor and Creditor

Creditor

A creditor could be a bank, supplier or person that has provided money, goods, or services to a company and expects to be paid at a later date. In other words, the company owes money to its creditors and the amounts should be reported on the company’s balance sheet as either a current liability or a non-current (or long-term) liability.

Some creditors, such as banks and other lenders, have lent money to the company and will require the company to sign a written promissory note for the amount owed. When a promissory note is required, the company borrowing the money will record and report the amount owed as Notes Payable.

If the creditor is a vendor or supplier that did not require the company to sign a promissory note, the amount owed is likely to be reported as Accounts Payable or Accrued Liabilities.

Other creditors include the company’s employees (who are owed wages and bonuses), governments (who are owed taxes), and customers (who made deposits or other prepayments).

Some creditors are referred to as secured creditors because they have a registered lien on some of the company’s assets. A creditor without a lien (or other legal claim) on the company’s assets is an unsecured creditor.

Debtors

A debtor is a person, company, or other entity that owes money. In other words, the debtor has a debt or legal obligation to pay the amount owed.

A debtor is an individual or entity that owes money to a creditor. The concept can apply to individual transactions, so that someone could be a debtor in regard to a specific supplier invoice, while being a creditor in relation to its own billings to customers. Even a very wealthy person or company is a debtor in some respects, since there are always unpaid invoices payable to suppliers. The only entity that is not a debtor is one that pays up-front in cash for all transactions. Thus, an entity could be a debtor in relation to specific payables, while being flush with cash in all other respects.

A debtor is considered to be in default if it does not pay a debt within the payment terms of the debt agreement. Thus, a short payment or late payment could trigger a default.

The liability owed by a debtor can be discharged in bankruptcy, or with the agreement of the counterparty. In either case, if the liability is no longer valid, the entity involved is no longer a debtor in relation to that liability.

Licensor and Licensee, Trustee and Beneficiary, Agent and Principal, Advisor and Client, Bailor and Bailee

When a customer hires a safe deposit locker from the bank, the relation between the bank and the customer is lessor and lessee. The bank is the lessor (licensor) and the hirer of safe deposit locker is the lessee (licensee/tenant).

Bailor and Bailee

Bailment refers to delivery of goods by one person to another for some purpose under a condition that the goods to be returned to depositor when the purpose is accomplished or otherwise disposed of according to the directions of the person while delivering the goods (Sec 148 of contract act). The person delivering the goods is known as bailor and the person to whom goods are delivered is called bailee.

Ex.

  • The articles, valuables, securities deposited in the safe deposit vault of the bank are also an example of bailment. In this case, the customer and banker relationship is bailor and bailee, besides their relationship as trustee and beneficiary. The bailor is still the rightful owner of the item though the item is in bailee’s possession. As a bailee, the bank has to take care of the goods bailed.
  • A car parked in a parking area where parking charge is collected. The car owner is the bailor and the contractor who collected the charge is the bailee. As a bailee, the contractor has to take care of the car parked at his parking area.
  • Relationship of Pledger and pledgee is also a type of bailment in which goods are delivered by one person to another as a security for payment of a debt or performance of a promise (Sec 172, Contract Act, 1872). For example, the borrower delivers the gold jewel to the bank as a security for the loan granted by the bank. In this case, the borrower who pledged the gold to the bank is the bailor (pledger) and the bank is the bailee (pledgee).

Trustee and Beneficiary

When a banker accepts items like securities or documents for safe custody or maintains escrow accounts of the customers, the relation between the banker and customer is a Trustee and the Beneficiary (Trustier). The bank is the Trustee and the customer is the beneficiary.

 (Escrow is a separate type of bank account generally opened for various business deals like acquisition, transfer of shares and debentures of a company, where money deposited in banks will be released only under fulfillment of certain conditions of a contract).

Agent and Principal

When a bank collects cheques, bills and other instruments for customers, the relation between the bank and customer is that of Principal and Agent. The bank also makes regular payments of insurance premium rent etc. as per standing instruction received from the customer. In the above cases also the relation between the bank and the customer is of Principal and agent. The bank act as the agent and customer the principal.

Advisor and Client

When a customer invests in securities, the banker acts as an advisor. The advice can be given officially or unofficially. While giving advice the banker has to take maximum care and caution. Here, the banker is an Advisor, and the customer is a Client.

Type of Transaction Bank Customer
Deposit in bank Debtor Creditor
Loan from bank Creditor Debtor
Safe Deposit Vault (SDV Locker) Lessor Lessee
Safe Custody Bailee Bailor
Issue of Draft Debtor Creditor
Payee of a Draft Trustee Beneficiary
Collection of Cheque Agent Principal
Pledge Pledgee (Pawnee) Pledger (Pawnor)
Mortgage Mortgagee Mortgagor
Hypothecation Hypothecatee Hypothecator
Sale/purchase of security on behalf of customer Agent Principal
Money deposited, but no instructions for its disposal Trustee Beneficiary
Article/Goods left by mistake by customer Trustee Beneficiary

Relationship of Bailor and Bailee

When Customer deliver goods to bank for purpose of safekeeping under a condition that goods will be returned to depositor when purpose is completed. In this case, Customer becomes bailor and bank becomes bailee. The process is known as Bailment. Example of Bailment is; Articles, Securities and valuables kept in safe deposit locker. In this case, relationship between banker and customer is Bailee and Bailor.

Termination of Relationship

The relationship between banker and customer may be terminated in any of the following ways

  1. By mutual agreement:

The relationship between banker and customer may be terminated by mutual agreement.

  1. Death of customer:

Death of a customer is an obvious reason for terminating the relationship between banker and customer. On the receiving the notice of death of the customer the bank stops the payment. The dissolution of a corporation customer is equivalent to death.

  1. Lunacy of customer:

The Lunacy of a Customer terminates the relationship between banker and a customer. Bankers authority to pay cheques is revoked by notice of insanity. But unless the evidence of insanity is fairly conclusive, the banker’s wisest course would appear to be to treat the customer as sane in so that the banker is not held liable for damages for wrongful dishonor.

  1. Notice to terminate:

In case of any current account, no such notice by the customer to a banker appears necessary. But if it is a deposit account the banker could insist on the notice period specified on the fixed deposit receipt/book.

  1. Bankruptcy:

The bankruptcy or winding up of the bank is a sufficient ground for terminating the relationship between a Banker and customer.

  1. Order of court:

If the court restrains the banker to carry on further of the banking business, the account of the customer comes to an end.

  1. Transfer of balance amount:

If the customer transfers the whole amount of balance of his account to any other person, then the account may be closed by the banker. In this way the relationship of banker and customer comes to an end.

Voluntary Termination

The banker cannot close the account of the customer. If the person wanted to close his account with his free consent, then the relationship between banker and customer can be terminated.

Closing the account after bank notice

It is the right of the banker that if he found and illegal activity with the account or any other reasonable ground, the bank can close the account after giving proper notice to the customer.

Computer Viruses Meaning, Types & Prevention

A computer virus is a type of computer program that, when executed, replicates itself by modifying other computer programs and inserting its own code. If this replication succeeds, the affected areas are then said to be “infected” with a computer virus, a metaphor derived from biological viruses.

Computer viruses generally require a host program. The virus writes its own code into the host program. When the program runs, the written virus program is executed first, causing infection and damage. A computer worm does not need a host program, as it is an independent program or code chunk. Therefore, it is not restricted by the host program, but can run independently and actively carry out attacks.

Virus writers use social engineering deceptions and exploit detailed knowledge of security vulnerabilities to initially infect systems and to spread the virus. Viruses use complex anti-detection/stealth strategies to evade antivirus software. Motives for creating viruses can include seeking profit (e.g., with ransomware), desire to send a political message, personal amusement, to demonstrate that a vulnerability exists in software, for sabotage and denial of service, or simply because they wish to explore cybersecurity issues, artificial life and evolutionary algorithms.

Computer viruses cause billions of dollars’ worth of economic damage each year.

In response, an industry of antivirus software has cropped up, selling or freely distributing virus protection to users of various operating systems.

The terms “Virus” and “malware” are often used interchangeably, but they’re not the same thing. While a computer virus is a type of malware, not all malware are computer viruses.

The easiest way to differentiate computer viruses from other forms of malware is to think about viruses in biological terms. Take the flu virus, for example. The flu requires some kind of interaction between two people like a hand shake, a kiss, or touching something an infected person touched. Once the flu virus gets inside a person’s system it attaches to healthy human cells, using those cells to create more viral cells.

A computer virus works in much the same way:

  • A computer virus requires a host program.
  • A computer virus requires user action to transmit from one system to another.
  • A computer virus attaches bits of its own malicious code to other files or replaces files outright with copies of itself.

It’s that second virus trait that tends to confuse people. Viruses can’t spread without some sort of action from a user, like opening up an infected Word document. Worms, on the other hand, are able to spread across systems and networks on their own, making them much more prevalent and dangerous.

Types

There are several types of computer viruses that can infect devices. This section will cover computer virus protections and how to get rid of computer viruses.

Multipartite Virus

A multipartite virus uses multiple methods to infect and spread across computers. It will typically remain in the computer’s memory to infect the hard disk, then spread through and infect more drives by altering the content of applications. This results in performance lag and application memory running low.

Resident Virus

Viruses propagate themselves by infecting applications on a host computer. A resident virus achieves this by infecting applications as they are opened by a user. A non-resident virus is capable of infecting executable files when programs are not running.

Multipartite viruses can be avoided by not opening attachments from untrusted sources and by installing trusted antivirus software. It can also be prevented by cleaning the boot sector and the computer’s entire disk.

Direct Action

A direct action virus accesses a computer’s main memory and infects all programs, files, and folders located in the autoexec.bat path, before deleting itself. This virus typically alters the performance of a system but is capable of destroying all data on the computer’s hard disk and any USB device attached to it. Direct action viruses can be avoided through the use of antivirus scanners. They are easy to detect, as is restoring infected files.

Overwrite Virus

Overwrite viruses are extremely dangerous. They can delete data and replace it with their own file content or code. Once files get infected, they cannot be replaced, and the virus can affect Windows, DOS, Linux, and Apple systems. The only way this virus can be removed is by deleting all of the files it has infected, which could be devastating. The best way to protect against the overwrite virus is to use a trusted antivirus solution and keep it updated.

Browser Hijacker

A browser hijacker manually changes the settings of web browsers, such as replacing the homepage, editing the new tab page, and changing the default search engine. Technically, it is not a virus because it cannot infect files but can be hugely damaging to computer users, who often will not  be able to restore their homepage or search engine. It can also contain adware that causes unwanted pop-ups and advertisements.

Browser hijackers typically attach to free software and malicious applications from unverified websites or app stores, so only use trusted software and reliable antivirus software.

File Infector

A file infector is one of the most common computer viruses. It overwrites files when they are opened and can quickly spread across systems and networks. It largely affects files with .exe or .com extensions. The best way to avoid file infector viruses is to only download official software and deploy an antivirus solution.

Web Scripting Virus

A web scripting virus attacks web browser security, enabling a hacker to inject web-pages with malicious code, or client-side scripting. This allows cyber criminals to attack major websites, such as social networking sites, email providers, and any site that enables user input or reviews. Attackers can use the virus to send spam, commit fraudulent activity, and damage server files.

Protecting against web scripting is reliant on deploying real-time web browser protection software, using cookie security, disabling scripts, and using malicious software removal tools.

Network Virus

Network viruses are extremely dangerous because they can completely cripple entire computer networks. They are often difficult to discover, as the virus could be hidden within any computer on an infected network. These viruses can easily replicate and spread by using the internet to transfer to devices connected to the network. Trusted, robust antivirus solutions and advanced firewalls are crucial to protecting against network viruses.

Boot Sector Virus

A boot sector virus targets a computer’s master boot record (MBR). The virus injects its code into a hard disk’s partition table, then moves into the main memory when a computer restarts. The presence of the virus is signified by boot-up problems, poor system performance, and the hard disk becoming unable to locate. Most modern computers come with boot sector safeguards that restrict the potential of this type of virus.

Prevention

There’s no way to stop viruses from being created. There will always be a young programmer wanting to prove that they can “Play with the big boys,” or a hacker who wants to just see chaos and damage. And, just like real-world vandalism, someone who creates viruses can start their “career” with a harmless prank but grow into causing millions of dollars of damage by deleting massive files from multiple corporations.

The best way to protect home computers against viruses is to have updated antivirus software, keep computers and software updated with the latest patches, and monitor the behavior of all users of a computer, including learning what types of files can be harboring viruses (such as Microsoft word documents in a massively forwarded e-mail). There will always be viruses, but staying vigilant will help keep a computer from becoming infected.

  1. Install antivirus or anti-malware software

It might seem obvious, but many home computers don’t have this protection. It’s essential to keep your PC virus free.

  1. Keep your antivirus software up to date

Protective software is one thing; but keeping it up to date is another. While free antivirus software is better than nothing, it’s not the best solution. Microsoft has a free security package if you operate with Windows, even though you would’ve already paid for the Windows licence. Many people don’t know about it; but, actually, it’s a good form of protection.

  1. Run antivirus scans regularly

This might also go without saying, but we often forget to do it. Adjust the settings so scans run at regular intervals (like once a week). Using the device while antivirus software is running can be challenging. Try running it at night when the computer is idle. Because we usually turn our devices off at night, we tend to overlook scans. Set the antivirus software to run on a specific night and only leave the computer on at that time. Make sure it doesn’t switch off automatically or go into hibernation mode.

  1. Keep your operating system up to date

Whether you use Windows, Mac OS X, Linux or another operating system, always keep it up to date. Developers regularly release patches to plug security leaks. The patches will help keep your system safe. You should also keep your antivirus software up to date. New viruses and malware are emerging constantly. Their software scanning is as sophisticated as their databases, so make sure you’re on top of things.

  1. Protect your network

Many PCs connect to files, printers and the Internet via Wi-Fi.  Make sure the network requires a secure password and never browse on open networks.

Use WPA or WPA2 encryption. PME is no longer secure enough. Expert hackers can circumvent it in minutes. It’s also a good idea not to disclose the name of your Wi-Fi network (the SSID). You can connect to the network manually on your device by typing in the SSID and password. If you usually let guests use your Internet, give them an alternative SSID and password just in case.

  1. Think before you click

Avoid websites you don’t trust. Don’t open email attachments from people or companies you don’t know. Don’t click on links in unwanted emails. Always hover the mouse over a link (especially a short URL) before clicking on it to see where it will take you.

If you need to download something from the Internet, an email, an FTP site, a file exchange service, etc., check it over first. Good antivirus software will do it automatically, although you have to make sure it’s running.

  1. Keep your personal information secure

This is probably the hardest thing to do on the Internet. Many hackers use social engineering over brute force to access your files. They can gather enough information to hack your online accounts to collect even more data.

They go from account to account until they have all they need to get hold of your bank details and steal your identity. Be careful on message boards and social media. Block all your privacy settings and avoid using your real name in chat forums.

  1. Don’t use unsecured Wi-Fi

Don’t use the free, open Wi-Fi (no password or encryption) in cafés, libraries, airports, etc. Think about it. If you can connect easily, how far can a hacker go?

  1. Back up your files

Backing up all your files is the best form of protection. Ideally, keep your files in three places: where you work on them (your computer); an external storage device; and somewhere else.

Use a back-up service or get two external hard drives and keep one at work; a relative or a friend’s house; or in a safe.

  1. Use several secure passwords

Never use the same password twice, especially for bank accounts. We usually use the same email address or username, which are easy to see and steal. If you always use the same password and someone uncovers it, it’ll take just a few seconds to hack into all your accounts.  Choose a strong password with lower- and upper-case letters, numbers and symbols. Make it easy to remember but difficult to predict. Don’t use dates or pets’ names.

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