MCS 3040 Chapter Notes - Chapter 25: Negotiable Instrument, Payment Service Provider, Promissory Note
4 Mar 2017
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Regulation of banks: traditionally, the canadian financial service industry has had 4 distinct sectors, banks ii. iii. iv. Mainly purposed with ensuring stability and liquidity of banks. Purposed with identifying types of business banks are allowed to conduct. They also investigate large cross-border currency transfers. Duties of the bank and the customer: banks must: Provide account information to the customer on a regular basis. Bank-customer agreement: the purpose of an account agreement is to: Specify who has the authority to issue instructions to the bank and sign cheques on behalf of the customer. Allocate the risk of loss resulting from problems with verifying the customer"s authority and carrying out the customer"s instructions. Describe the fees and other service charges which the bank may charge the customer. Describe the manner in which cheques and other instruments will be handled by the bank. Establish procedures and allocate risk for the security of accounts and confidential information.
