Relationship: Loan Account

PPB Banker-Customer Relationship Free JAIIB Capsule 119 views Updated 22 Sep 2026

Capsule FREE

PPB · Banker-Customer Relationship

What is the banker-customer relationship when the bank grants a loan or advance to the customer?

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The Bank is the Creditor, and the Customer is the Debtor.

Lending is the core activity of banks. The borrower executes documents and offers security to the bank before utilizing the credit facility.

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Relationship: Loan Account — Full Text

What is the banker-customer relationship when the bank grants a loan or advance to the customer?

Answer

The Bank is the Creditor, and the Customer is the Debtor.

Additional notes

Lending is the core activity of banks. The borrower executes documents and offers security to the bank before utilizing the credit facility.

Part of Principles & Practices of Banking · Banker-Customer Relationship · Last updated 22 Sep 2026

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PANKAJ KUMAR PRIYADARSHI 29 Apr 2026

Bank is creditor customer is debtor

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