1. Registration ↓
In India, the Commercial Banks are required to be registered under Banking Regulation Act, 1949.
In India, the Co-operative Banks are required to be registered under the Co-operative Societies Act, of the concerned state.
2. Main Objective ↓The main objective of a Commercial Bank is to accept deposits from public for the purpose of lending to industry and commerce.
The main objective of a Co-operative Bank is to accept deposits from the members and the public for the purpose of providing loans to farmers and small businessmen with a motto of service.
3. Availability of Funds ↓Massive funds are available at the disposal of Commercial Banks.
Limited funds are available at the disposal of Co-operative Banks.
4. Area of Operation ↓Commercial banks operate over a larger area. Some commercial banks even have branches in foreign countries.
The area of operations of Co-operative Banks is limited and mostly confined to State. They do not operate at national level nor international level.
5. Nationalisation ↓At present 20 Commercial Banks have been nationalised in India.
In India Co-operative Banks are not nationalised.
6. Merchant Banking Services ↓Commercial Banks provide merchant banking services such as advising the companies regarding the public issue of shares.
Co-operative Banks do not provide merchant banking services.
7. Mutual Funds ↓Commercial Banks in India such as Canara Bank, Bank of India, State Bank of India, do operate mutual funds.
At present co-operative banks in India do not operate mutual funds.
8. Basis of operation ↓Commercial banks operates on the commercial principles. They operate to earn a profit.
The basis of operations is on co-operative lines, i.e. service to its members and the society.
9. Rate of Interest ↓The Commercial Banks provide a lesser rate of interest as compared to co-operative banks.
The Co-operative Banks provide a little higher rate of interest on deposits as compared to commercial banks.
A Co-operative bank is a voluntary association of people who group together for Self-Help and Mutual-Help.
A Commercial Bank is always Profit-Oriented.
The difference between the commercial banks and micro finance banks is in their functions and ability. The main difference is in the lending limits with micro finance banks having lower limits.
commercial banks
The 3 main category of Banks in India are:Regular - Commercial BanksUrban Cooperative BanksRural or Grameen Banks
Commercial Banks are of 2 kinds: Private and Nationalised Private Commercial banks are private sector banks like ICICI, Citibank, etc, which have no government stake in them. Nationalised Commercial banks are government owned commercial banks like SBI, Canara Bank, Punjab National Bank, etc. The government holds a large stake in these banks. NABARD and SIDBI fall under what are known as Development Banks. Development banks are those banks which mainly have 2 funcitons: One, to act as refinanciers, diverting funds through nationalised banks for development purposes and Two, to undertake development projects like training and supporting fledgling industries. A third category of banks are known as Cooperative banks. The DCCBs or District credit cooperative banks fall under this category. All the above mentioned banks are governed and regulated by the Reserve Bank of India.
The prime rate is the rate at which the central bank lends to the commercial banks whiles the base rate is the rate at which the commercial banks lend to the public
private banks are the banks for wealthy people, the private banker invest the client's money in the stock marketor others investments, takes care of tax issues
That would depend on where you live but cooperative banks are normally private banks owned by the people (but not the government).
Actually the services provided by a commercial bank and a rural bank are the same. They both provide bank accounts, accept deposits, grant loans etc. to its customers. The only difference between the two is the population they serve. Commercial banks serve the general population of the country that live in cities and towns whereas the rural banks serve the customers from the rural villages of the country.
A national bank does business on a national level, for example deals exclusively with in-country clients. A commercial bank will fund foreign deals and has dealings outside of the Federal Reserve system of America.
The biggest difference is the risk level. Banks are more regulated than a finance company. Finance company's maybe able to lend money or credit to someone who was unable to obtain funds from a bank.
government bank
Formal sources of credit in India include commercial banks, cooperative banks, regional rural banks, and non-banking financial companies (NBFCs) regulated by the Reserve Bank of India. These institutions provide credit to individuals and businesses through various financial products and services, such as loans, overdraft facilities, and credit cards.