Banks are considered as one of the most significant economic wings of the world. The banking sector of India acts as the most integral part of its economic growth and is deemed to be more essential because of the increasing population rate. A bank renders valuable financial services to any country. To attain development in the country, we need to have a good developed financial system. Therefore, a bank has become the spine of the country and plays a crucial role in socio-economic matters.
In this modern era, the demand for bankers has increased tremendously over the past few years. People are growing and becoming more financially educated. Being the most important factor of a country’s economy, it opens a wide spectrum of career opportunities to candidates as well. Banking has turned into India's one of the most coveted job sectors as it offers lucrative careers especially to those who are looking for jobs in the government sector.
Bankers generally raise funds to tender loans and investments. They impose interest and fees on the services they provide and seek profit on the investments. Various Institutions like small firms, large corporations, and government authorities gain regulatory advice, cash management solutions over investments and loans. People need primary banking services such as checking or savings accounts, and rarely larger services.
Before understanding the procedure of becoming a Banker, one should know the different types of Bankers. Different types of Bankers control diverse portfolios. These bankers may be personal, commercial, and investment banker. Every Banker comprises of a different range of jobs and profiles, but their aim to assist the clients with their financial needs and making them financially literate is same.
Personal Banker is also known as a Retail Banker. Those bankers who work in retail banking and provides information about the fundamental procedures of the bank such as transactions, loan services details, or banking services branches.
Personal bankers generally help the bank clients by assisting them in the opening of accounts (current or savings). Convincing consumers to acquire loans and invest in Certificates of Deposit (CDs), money markets and other commercial banking products.
To help the uneducated people to understand about various loan procedures like education loans, home loan, agriculture loan etc and their benefits. The personal banker has to deal with the smaller scale clients and help them in understanding the world of banking in a better way.
Commercial banker renders services to institutional clients in the community with their financing requirements. Commercial bankers provide financial outcomes and assistance to organizations, institutions, and governments. Such businesses are often small firms, construction projects, and real estate development. These Bankers provides guidance to commercial and private customers regarding the kinds of financial perplexities and promotes financial services. Commercial banking mostly deals with deposits and loans from corporations or large companies.
Investment bankers are actually the capital raisers for the organizations. Such banks offer expertise and advisory services for pays. An investment banker is a person who mostly works as a part of a financial company and is essentially concerned with raising funds for corporations, governments or other entities. Investment bankers are typically corporate financial advisors who advise groups to manage the method of advancing investment for their activities. Investment bankers are middle-men between organizations and people since they don’t draft the check themselves, they only lean on their chain of investors with whom who fostered relationships for funding.
Those banks which itself provides the capital (not as loans) as per the private company’s need are called as Merchant Banks. It can be as an investment by the bank in the organization or project itself. Like private equity, mostly the investments are done in the private sector and are often as the real estate transactions. The merchant banking unit of a firm means long-term principal financing. In simple words, the firm employs its own money and select accredited clients.Merchant bankers also give traditional advisory services and funds raising without an investment. They often provide loans alternately during the stages of the corporation or project’s life which is called mezzanine financing.
In India, Institute of Banking Personnel Selection conducts various examinations for bank jobs twice in a year. To clear these bank examinations, one needs to be proficient in Reasoning, Aptitude, General knowledge, General English and Arithmetic topics. Communication and interaction with customers is must in this field which gives you exposure and enhances your confidence level to a maximum extent.
In India, this exam is conducted by the National Bank of Agriculture and Rural Development. Banks, being a government institution concentrates on rural development and the officers will be given the responsibility to charge day to day basis of banking in rural areas. The exam generally held in the month of May in an online mode in two phases,i.e. Phase 1 and Phase 2 and after the exam, an interview session is also held. Grade ‘A’ position here is for the post of manager whereas grade ‘B’ officer for the post of assistant manager.
The Reserve Bank of India is a central banking institution which has the decision making authority about different schemes and policies of the money market in India. RBI Grade B Officer is an entry-level managerial job for the aspiring candidates at the Reserve Bank of India. The exam is usually held in the month of September and is objective based on theory followed by a personal interview round. This examination is also conducted in Phase 1 and Phase 2. Qualifying a RBI Grade Officer is indeed a prestigious job one can attain.
The Institute of Banking Personnel Selection (IBPS) is a board which is concerned with the public sector banks. IBPS conducts this IBPS PO exam every year for the post of bank probationary officer. The role of a probationary officer is to manage the overall day to day work and check ways to increase the profit of the bank. The promotions and incentives that will be given to probationary officers based on individuals performance as well as the performance of the bank. The exam usually held in the month of October to offer jobs to the aspiring candidates. The examination will be based on objective based preliminary examination as well as mains and a personal interview round.
To Become a Banker, Candidates Demands The Basic Educational Qualification as a High School Diploma.
Becoming a Banker is not everyone’s cup of tea. It takes years of education, knowledge of finance, hard-work, and determination. Banking professionals generally supervise the client's money. Bankers often get engaged in conventional banking such as accepting deposits, making loans and clearing transactions. So, to fulfill the dream of becoming a banker, one should go through the following steps:
The first step toward becoming a Banker is to get a diploma in High School. While studying in 10th class, it's necessary to choose courses in math and business to prepare for a career in banking. Candidates should start familiarizing themselves with computer software programs like databases and spreadsheets. Aspirants with high school diploma certification can work as personal bankers easily.
After 10th high standard diploma, students are required to have a bachelor’s degree course in banking and finance programs. These courses aim at teaching students about accounting, regulatory compliance, and business practices associated to banking. Students can also enroll admissions in bachelor's degree programs in business administration with a motive to learn banking and financial management to advance their understanding. These programmes provide courses in marketing, accounting, finance, management and strategic planning.
A banking internship is an essential part of a degree course as it provides experience to working prospective bankers in the field with an understanding of banking policies and norms. An internship help candidates to get familiarize with the responsibilities and work they'll have to do after being employed. Internships today plays a major role in seeking prospective employment opportunities.
For better jobs in Banking sector, candidates should attend investment banking training programs offered by banks to prepare individuals for learning new strategies required in making investments and working with clients. Those candidates who joined the program are introduced to business practices, banking services, and client relations. Banks provide individuals with case studies, presentations, and modeling sessions.
It is now mandatory for bankers to get registered with the Financial Industry Regulatory Authority (FINRA). This is a precise method that entails opening of a special bank account for which examination, application, and registration fees are paid. To acquire the license, the applicant's fingerprints and membership interview are also required. Finally, the set of exams must be completed successfully to secure the license.
According to the Bank Lending Survey (BLS), an MBA degree prepares prospective workers to work in higher-level banking professions. This program teaches candidates about advanced banking and financial theories as well as the economy and financial management. Some of the programmes also provide student-experience chances that instruct students about how to follow the market, learn about trends, and take investment decisions.
Banking is a competing field and those who possess apt skills and abilities can taste the cup of success in this field only. The two major essential quality needed for this career is Professionalism and dynamism, and this field includes both these qualities. Candidates with these high-grade capabilities and skills can attain a dignified and higher designation. In India, banking jobs are always in demand for a very simple reason,i.e. people adore money. With the booming economy of the world, people should understand how to spend their money and when.
Banks are essentially the economic foundations of modern society and there are innumerable employment opportunities for the candidates in the banking sector. This sector can provide job chances in both public and private organizations. Getting a job in the bank is regarded as the very respected and secure job over others. Career in Banking is global in nature and the numerous international private banks settling in the country have unlocked wide doors of opportunities for the deserving candidates. Aspirants with excellent communication skills can easily get placement in banks such as ICICI, HSBC, Kotak Mahindra, HDFC, Standard Chartered, Barclay’s, American Express, etc.
The salary packages for bankers increases with the increasing economy of the country. The pay scales for a fresher banking scholar can expect his salary package from Rs 20,000 to 30,000 on monthly basis. Students who have done post graduation from top b-schools and banking institutions can get salary up to Rs 8 lakhs per annum for the job of relationship managers depending on their overall records and the college they are from.
Various banking companies recruit banking students from the IIMs, XLRI, FMS, and other popular colleges every year with salary packages of Rs. 10 lakhs per annum or above.