| a bank specializing in checking accounts and short-term loans. |
| commercial bank n. A bank whose principal functions are to receive demand deposits and to make short-term loans. |
Commercial Bank
A financial institution that provides services such as a accepting deposits and giving business loans.
Investopedia Commentary
Commercial banking activites are different than those of investment banking, which include underwriting, acting as an intermediary between an issuer of securities and the investing public, facilitating mergers and other corporate reorganizations, and also acting as a broker for institutional clients.
See also: Investment Bank, Underwriting