What Does a Bank Clerk Do? And How You Can Become One
By Indeed Editorial Team
Published 27 September 2021
The Indeed Editorial Team comprises a diverse and talented team of writers, researchers and subject matter experts equipped with Indeed's data and insights to deliver useful tips to help guide your career journey.
It takes a team of dedicated employees to keep a bank running smoothly and efficiently. Bank clerks play a crucial role in the daily functioning of a bank by maintaining records of financial transactions, assisting senior employees and offering customer service. If you have a knack for clerical jobs, you may want to know more about this profession. In this article, we answer "What does a bank clerk do?" and a few other commonly asked questions about the profession and share the steps for how to become one.
What does a bank clerk do?
A bank clerk is an entry-level position in a bank. Their primary role is to assist senior employees of the bank in handling their day-to-day tasks. A bank clerk performs various functions, including:
Managing customers: A clerk solves customers' problems or directs them to the right bank staff.
Assisting customers: Bank clerks handle various tasks for customers, like helping them fill a cash withdrawal form and informing them about the different banking products like loans, deposits and savings accounts.
Back-end tasks: The bank clerk assists the banking staff in various back-end tasks, like verifying the KYC information a customer provides, performing data entry, cross-verifying transaction information and other miscellaneous financial transactions.
Cash management: Bank clerks must maintain accurate documents of the daily cash transactions in the branch. They are also required to keep records of cash in their cash drawers during working hours.
Financial data management: Bank clerks are also responsible for updating and entering a customer's financial data into the bank's computer systems.
The bank clerk is the person who most customers interact with when they visit the branch. Additionally, a bank clerk maintains accurate financial records of the branch's transactions, thereby ensuring that critical financial information and customer records are maintained efficiently.
Types of bank clerks
There are several types of bank clerks based on their roles and responsibilities:
Interest clerk: The primary duty of the interest clerk is to record the interest owed by the bank on savings accounts and other investments, as well as the interest owed to the bank from loans.
Loan clerk: The loan clerk is in charge of all loan-related activities, including loan processing, evaluating borrower's credit profiles, preparing loan contracts and checking loan documents.
Statement clerk: The statement clerk prepares the balance sheets for each customer month-to-month. Their other duties include handling account related queries from customers and solving discrepancies.
Exchange clerk: The exchange clerk handles the international accounts of the bank and monitors foreign currency transactions.
Security clerk: The security clerk has to maintain files and records of investments like bonds and stocks.
Bookkeeping clerk: The bookkeeping clerk assists the accounting staff in maintaining the financial statements of the bank. The primary role of the bookkeeping clerk is to prepare the financial reports of the branch so that the branch manager can look at them and make key decisions accordingly.
What are the working hours of a bank clerk?
Generally, bank clerks work around 35 to 40 hours per week. Their days off from work usually include banking holidays and weekends, although the actual hours of work may vary between banks. As a bank clerk, you may have to work extra hours on some evenings, weekends or special banking days like quarterly, half-yearly, and annual bank closing days.
What are the skills required to become a bank clerk?
If you wish to build your career as a bank clerk, consider developing these skills:
good attention to detail, figures and numbers
excellent written and verbal skills to communicate with both other bank employees and customers
the ability to work quickly, accurately and neatly
basic IT skills and computer literacy
the ability to work alone and finish your tasks
How to become a bank clerk in India
If you are interested in a career in the banking industry as a clerk, here are the steps to follow:
1. Clear your higher secondary examination
The first step is to complete your schooling with an aggregate of 50% marks from a recognised schooling board. While students of all streams can become bank clerks, consider taking accountancy as your major in your twelfth grade. This can help you build the foundational knowledge you need to succeed in the industry.
2. Earn a bachelor's degree
Candidates with a bachelor's degree in any specialisation are eligible to attend the examination for bank clerks. However, a degree specialising in banking can give you a competitive advantage. Some of the popular degrees that you can choose are BBA (Banking and Finance), BBA (Banking and Insurance), BCom (Banking and Finance) and BCom (Banking and Insurance). After completing your bachelor's degree, you can go for a master's degree, although it is often not mandatory for a bank clerk. Alternatively, you can start preparing for the bank clerk examination.
3. Prepare for the bank clerk examination
Banks usually recruit bank clerks by conducting an examination. The examination is designed to evaluate the accountancy skills, literacy skills and overall personality of the candidate. The exam has two parts including the preliminary and the mains. Students who clear the preliminaries are eligible to appear for the mains. The preliminaries usually test the candidate's English skills, numerical ability and general reasoning. The mains include general awareness, financial awareness, English skills, logic, quantitative aptitude and computer skills. Candidates who clear both levels are usually recruited as bank clerks based on their marks.
What are the bank clerk examinations in India?
Here are some of the popular bank clerk examinations:
IBPS Clerk for recruitment to public and private banks, cooperative banks and regional rural banks
SBI Bank Clerk
Federal Bank Clerk
Karur Vysya Bank Clerk
Karnataka Bank Clerk
South Indian Bank Clerk
Nainital Bank Clerk
What is the eligibility to become a bank clerk?
The eligibility varies from bank to bank. Most banks have a set of general eligibility criteria including:
must be a citizen of India
must be aged between 20 and 28 years
minimum bachelor's degree in any discipline
There are five years of age relaxation for candidates belonging to scheduled castes or tribes and other backward classes.
Career growth for a bank clerk
A bank clerk is an entry-level clerical position in the bank. However, based on your skills and initiatives, the job can help you move up in your career. Here are the natural career progression opportunities available to bank clerks:
Assistant bank manager: helps in the smooth functioning of the bank and is the deputy for the branch manager.
Bank branch manager: responsible for coordinating and managing the operations of the branch. The branch manager oversees the work of other employees, including bank clerks, front-office executives, loan officers, cashiers and customer service representatives.
Senior manager: responsible for the operations of all branches in a district or zone.
Chief bank manager: handles relationship management among various teams and leads sales meetings. The chief bank manager is also responsible for achieving the bank's goals and objectives.
Assistant general manager: assists the deputy general manager in all day-to-day activities. The assistant general manager is also responsible for sharing reports of daily work with the general manager and the board.
Deputy general manager: handles the orders given by the seniors and looks after all employee affairs.
General manager: responsible for all the bank's operations, including controlling costs and generating revenue.
What is the salary of a bank clerk?
The average base salary for bank clerks is ₹18,186 per month. The compensation varies based on the location of the branch, with branches in urban areas paying more than branches located in rural regions. Also, the salaries vary depending on the bank.
Is a bank clerk a good career choice?
A bank job is one of the most respected and prestigious jobs in India due to its stable nature, limited working hours, desk role, handsome pay package and other perks and benefits. Getting started as a bank clerk is one of the easiest ways to build your career as a bank officer. As you gain experience in your role as a bank clerk, you can move up the career path by progressing to other, more senior bank jobs.
Salary figures reflect data listed on Indeed Salaries at time of writing. Salaries may vary depending on the hiring organisation and a candidate's experience, academic background and location. Please note that none of the companies or certifications mentioned in this article is affiliated with Indeed.
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