AIB Principles of Banking
Course Code: 1370
Length: 16 Weeks
Audience: This course is designed for personnel new to banking at all levels.
Description: Long recognized as the standard introduction to the banking industry, Principles of Banking touches on nearly every aspect of banking, from the fundamentals of negotiable instruments to contemporary issues and developments within the industry.
Objectives: After successfully completing this program, you will be able to:
- Discuss the relationships banks have with their customers and their communities and describe the traditional, non-traditional, and electronic services that banks provide
- Explain the evolution of commercial banking in the United States and the federal legislation that shaped its development
- Describe the creation of the Federal Reserve System and the Fed's role as the agent of monetary policy and as a bank regulator
- Discuss various deposit instruments, the many ways customers can make deposits, and the means tellers have for establishing a customer's identity
- Define negotiable instruments as they relate to checks and describe the features that make a check negotiable
- Distinguish between paying a check and cashing a check and explain the procedures for paying checks received through the check clearing system, including relevant regulations and consequences of wrongful dishonor
- Explain the process a bank must go through to post a check to an account and discuss controls and security measures that protect the bank and tellers from losses due to fraud
- Discuss the legal restrictions on bank loans, describe the role of the bank's board of directors in establishing and overseeing lending policy, and identify basic loan categories
- Explain the objectives of funds management, including asset and liability management, and the objectives of bank investments
- Recognize the importance of accurate accounting data and describe the categories on the balance sheet and income statement
- Discuss the componets of the maketing concept and how understanding customers and market research lead to the success of marketing efforts
- Explain specialized services offered by banks, including trusts, safe deposit services, and global banking services, and newly expanded brokerage and insurance services authorized by the Gramm-Leach-Bliley Act
- Describe how electronic funds transfers systems and bank cards facilitate purchases, discuss home banking options for consumers and cash management options for businesses, and explain some of the systems developed to provide security and prevent loss
Text Book: This course uses Principles of Banking, 9th Edition; 2007, American Bankers Association
Recommended Course Credits: AIB: 3.0
ACE College Credit Recommendation: In the lower division baccalaureate/associate degree category, 3 semester hours in Banking, Business Administration or Finance.
Prerequisites: None
Enrollment: To enroll in this course, please click on the link below for the registration form. Print and complete the form and submit it to your supervisor for approval. Then submit the approved form to your human resources department for processing.