Q.Explain any four sources of funds of an urban co-operative bank.

A UCB draws on both its own resources and money it raises from others.

An urban co-operative bank raises its funds from several sources, of which four important ones are:

1. Share capital — Every member buys at least the minimum number of shares, and a borrowing member usually holds shares in proportion to the loan taken. Share capital gives the bank its foundation capital and makes each customer a part-owner.
2. Reserve fund and other reserves — A part of every year's profit is set aside as a reserve fund (and other reserves), strengthening the bank's finances and enabling it to absorb future losses.
3. Deposits — By far the largest source. Current, savings, fixed and recurring deposits from members and the public form the main working capital, and the bank's capacity to lend depends chiefly on the deposits it attracts. …

Give a balanced answer with both owned and borrowed sources. Listing only deposits and borrowings (or only shar …