Canara Bank has been one of the most trusted banking partners for Indians for multiple decades. Now there are so many options to choose your banking partner from. And, one of the key deciding factors in this is to ask a simple question.
Is the bank private or government?
When you know if Canara Bank is government or private, it’s easy to decide on multiple things. Each type of bank offers basic services in different approaches, so you can choose what suits your needs better.
In this article, you’ll get a brief idea about the difference between private and government banks. Also, the specifications of Canara Bank.
Difference between government banks and private banks
Firstly, there is a basic difference. Government or public sector banks are largely owned by the central government. It means they have more than 50% of the equity. On the other hand, private bank equity is divided largely in the public sector and less than 50% is owned by the government.
Now the question is, what is your benefit in all this?
Government banks provide low risk and better stability. It helps to be secure during any economic downturns. Usually, these banks have comparatively lower service charges like account maintenance, NEFT, RTGS, etc. Also, people in rural and semi-urban areas can access public sector banks easily. There will be more branches than public banks. These banks also promote various government schemes like Jan Dhan Yojana, DBT (Direct Benefit Transfer), and other subsidy-linked schemes. In priority sectors like agriculture, education and small-scale industries, the loan interest rate is lower.
Private banks are appropriate for customers seeking more service quality, faster processing times, and a wider range of financial products. On the other hand, public sector banks are ideal for those seeking stability, lower fees, and access to government programs.
Is Canara Bank Government or Private?
Canara Bank is an Indian public sector bank. It was nationalized in 1969. With 8800+ branches across India, this is one of the largest banks in the country. You can avail of all the major banking services like approving personal or commercial loans, fund investments, deposits, remittances, and various insurance integrations.
Canara Bank has been allowed by the Reserve Bank of India (RBI) to provide a variety of modern financial services, including mobile banking, online banking, and debit/credit cards. It is one of India’s top banks, having provided efficient and cost-effective banking services for more than a century. The bank also allows its customers to make investments in mutual funds and life insurance contracts.
Conclusion
As this article provides all the insight about Canara Bank, you’ll be able to decide on your banking partner. In April 2020, it merged with the Syndicate Bank of India. So you can expect better service and organised operations if you choose it as your banking service provider.