BANK. The word " bank " is said to be derived from the Italian word b nico, a bench. The early bankers the Jews in Lombardy. transacted their business at benches in the market-place. When a banker failed his ;:anco was broken up by the people, whence our word bankrupt.
One of the earliest Italian banks, the Bank of Venice was originated for the manage ment of a public loan, or as it was called. Macleod, in his " Elements of Bank ing." says :—" At that period the Germans were masters of a great part of Italy ; and the German word banck came to be used as well as its Italian equivalent and was Italianised into Banco, and the loans were called indifferently nionti or Bauchi." The principal business of a banker is to receive money from customers either on current account or on deposit account, and in the former case to pay cheques drawn by the customers. A banker also discounts bills and promissory notes. and makes advances either by way of a loan or of an overdraft. He undertakes the agency of other British banks and of foreign banks. effects purchases and sales of securities, issues circular notes and letters of credit accepts bills for customers. undertakes the
office of executor and trustee, and takes charge of securities and other valuables for customers. A banker often acts as treasurer for a local authority, and sometimes manages the issue of a loan for a foreign Government or for a corporation.
With reference to the use of the word " bank " Mr. Justice Eve has expressed an opinion in the recent case of Saunders v. Carbc.);:ne.iu 1910, unreported that the " time has arrived when the legislature might well impose some restriction on the indiscriminate use of the term 'bank' by indi viduals and corporations whose business has no relation to banking. properly so-called." The word " bank " is sometimes used in the singular and sometimes in the plural. It is customary to say, err., " the bank has a note issue." " the bank a.lows 2 per cent. interest," " the bank have considered your application," " the bank are willing to grant the loan." (See BANK OF DEPOSIT, BANK OF ENGLAND, BANK OF ISSUE, BANKING COMPANY, CHARTERED BANK, PRIVATE BANK.