A bank is a financial institution and a financial intermediary that accepts deposits and channels those deposits into lending activities, either directly by loaning or indirectly through capital markets. A bank links together customers that have capital deficits and customers with capital surpluses.
There are 3 main types of banking:
1. Central Bank (responsibles for managing public money circulating in the economy)
2. Retail Banking (responsibles for providing loans and savings facilities to general public and small businesses)
3. Investment Banking (responsibles for providing advise on corporations to create value or structuring finance)