Is a retail bank a commercial bank?
The key difference between retail and commercial banking is who the products are designed for. While retail banks service individuals, communities, small businesses, and families, commercial banks focus on larger companies, government entities, and institutions.
What are the Different Retail Bank Types? Broadly speaking, there are three main retail bank types. They are commercial banks, credit unions, and certain investment funds that offer retail banking services. All three retail bank types work toward providing similar banking services.
Key Takeaway differences:
A retail lease is used where there is a sale of goods or services, often in a shopping centre (cluster of 5 or more stores). A commercial lease is used for warehouse, industrial or office space premises.
What is Commercial bank? A commercial bank is a financial institution that provides services like loans, certificates of deposits, savings bank accounts bank overdrafts, etc. to its customers. These institutions make money by lending loans to individuals and earning interest on loans.
A commercial bank offers both retail and corporate banking services, which differ in a variety of ways, including customers, products/services supplied, and transaction amounts. Retail banking is a type of mass-market banking that involves a large number of consumers and significant transaction volumes.
| Ranking | Bank | LEARN MORE |
|---|---|---|
| 1 | JPMorgan Chase | Learn More |
| 2 | Bank of America | Learn More |
| 3 | Wells Fargo | Learn More |
| 4 | Citibank | Learn More |
Its retail banking and credit card offerings are provided via the Chase brand in the U.S. and United Kingdom. With US $3.9 trillion in total assets, JPMorgan Chase is the fifth-largest bank in the world by assets. The firm operates the largest investment bank in the world by revenue.
Although they are often used interchangeably, “commercial space” and “retail space” are not entirely synonymous. Let's analyze the differences and similarities between the two. Commercial spaces are ideal for businesses that do not see a lot of consumer traffic.
The commercial industry includes several types of businesses. These include commercial insurance, real estate, and commercial business. The commercial industry can include wholesale, retail, food, hospitality, utility, healthcare, and more.
Retail describes the sale of a product or service to an individual consumer for personal use. Retail transactions occur through different sales channels, such as online, in a brick-and-mortar storefront, in direct sales, or via mail. The defining feature of a retail transaction is that the end user is the buyer.
What is not a commercial bank?
The Reserve Bank of India is not a commercial bank because it is the central bank of India with the authority to issue currency in the country.
- State Bank of India (SBI)
- Housing Development Finance Corporation (HDFC) Bank.
- Industrial Credit and Investment Corporation of India (ICICI) Bank.
- Dena Bank.
- Corporation Bank.
Classification of Banks in India
Commercial Banks can be further classified into public sector banks, private sector banks, foreign banks and Regional Rural Banks (RRB). On the other hand, cooperative banks are classified into urban and rural. Apart from these, a fairly new addition to the structure is a payments bank.
Wells Fargo & Co (WFC) is a diversified financial service holding company that offers retail and wholesale banking, and wealth management services to individuals, businesses, high-net-worth individuals, and institutions, through its subsidiaries.
What explains the difference between retail and commercial banking? Retail banks loan money to small businesses, while commercial banks loan money to large corporations.
Retail banking is the part of a bank that deals directly with individual, non-business customers. This operation brings in customer deposits that largely enable banks to make loans to their retail and business customers. Corporate, or business, banking deals with corporate and other business customers of varying sizes.
| Rank by Asset Size | Bank Name | Customer Count |
|---|---|---|
| 1. | Chase Bank | 80 million |
| 2. | Bank of America | 68 million |
| 3. | Wells Fargo | 70 million |
| 4. | Citibank | 200 million accounts globally |
They make money from what they call the spread, or the difference between the interest rate they pay for deposits and the interest rate they receive on the loans they make. They earn interest on the securities they hold.
Our Retail segment provides U.S. consumers with a full range of financial products and services, as well as access to our award-winning digital banking capabilities and a robust retail banking network.
Is TD Bank a retail bank?
TD Bank, America's Most Convenient Bank, is one of the largest banks in the U.S., providing over 10.0 million customers with a full range of retail, small business and commercial banking products and services at more than 1,100 convenient locations throughout the Northeast, Mid-Atlantic, Metro D.C., the Carolinas and ...
Future Treasury Secretary Alexander Hamilton founds the Bank of New York, the oldest continuously operating bank in the United States—operating today as BNY Mellon.
What is considered retail? Retail is the selling of goods and services to consumers, where the seller seeks to profit from customer transactions. It involves direct contact with customers or clients either over the phone, on e-commerce sites or in person.
Retailers are often classified by size to accurately compare same-size retailers to one another. There are four general categories for locations known as business districts, shopping centers, free-standing units, and non-traditional locations. Each of these locations has its own unique set of characteristics.
Commercial Retail means the sale or display of merchandise to the public including the storage of merchandise on or about the premises in quantities sufficient only to supply the public for a reasonable period of time.
