University College for Women, Koti.
B.Com (Computers) IV Semester
BANKING LAW AND PRACTICE
Paper Code No: 401 Duration: 2hr 30mts
Instruction: 4ppw Marks: 50
Objectives : To introduce lo the students the concepts of Banking Law
Unit I : Banker and Customer: Definition-relationship between banker and
customer-special types of banker's customers- customers deposit account-dormant account-
insurance of bank deposit-Passbook/Bank statement-its features-legal position of entries in the
Unit II : Negotiable Instrument Act 1881: The negotiable instruments-types and
features of cheques-classification and characteristics of cheques-crossing of cheques-types of
crossing-Endorsement -types and essential features of endorsement-forged endorsement-
payments of cheques.
Unit III : Liabilities of Paving Banker: Liabilities of paying banker -consequences of wrongful
dishonor- collection of cheques-liabilities of collecting banker-statutory protection to collecting
Unit IV : Loans and Advances: Lending policies-procedure for appraisal of credit Proposal.
Unit V : Modes Of Creating Charge: Pledge-Hypothecation-Lien-Assignment-
Mortgage-precautions to be taken while advancing loans against goods-Life insurance policies-
Stock exchange securities-Fixed deposit receipt-book debts-real estates-supply of bills,
1. Sundharam &Varsheney:Banking Theory Law & Practice. Sultan Chand & Sons New Dellii.
2. Tannan’s: Banking Law and Practice in India.
3. Maheshwari and Paul.R.R.: Banking Theory Law & Practice,Kalyani Publishers, New Deihi.
4. Dr.K.N.Prasad &T.Chandradass: Banking and Financial Svstems.Sultan Chand Sons