Cooperative banking has been playing a vital role in the development of rural and urban economy. In India agricultural is the backbone of Indian financial system. This banks are play a important role in motivation of Indian agricultural farmer to live in India. This banks are provide so many credit facilities to give to the rural area. Now-days this banks are provide so many facilities equal to the commercial banks and regional rural banks. The present paper only focus to customer point of view to this cooperative banks.
The coin of the head has two sides that’s like an in India banks are two head one is commercial banks and another one is a cooperative banks. This cooperative movement in India was started in year 1904 itself. The first cooperative bank in Tamil Nadu was registered in Kanjeevaram in the east while Chengalpattu District of Madras in 1904. Cooperative banks in India are registered under the cooperative society act it also be regulated by the RBI and they are governed by banking regulations act 1949. Banking law of cooperative act, 1965. In rural the financial credit institutions play a important role in meeting growing of rural people in India. They operation of extension of branch network and facilities of various activities. This banks are provide most service such as mobilization of savings, offering deposit from the public, locker, loan or mortgages, internet banking systems, mobile banking services to the customers and offering pubic.
Especially the loans are given to farming, cattle, milk, hatchery, crop loan, self help group and personal finance. In this banks most of the facilities use to middle class people itself because they know about the awareness of banking facilities in rural area like mobile banking. In commercial banks they provide loan facilities to give more supportive documents but in cooperative banks they give less documents offer to the rural area
The cooperative banking system in India has various organizational structure are followed i.e., the cooperative banking has two aspects one is rural and another one is urban. The urban cooperative banks classified into two schedule and non-schedule and rural cooperative banks may be classified into two namely short term and long term. The short term classified into state cooperative banks, district cooperative banks and primary agricultural credit societies. The long term divided into Primary Agricultural Co-operative Banks (PACBs) at the gross root level, the Central Co-operative Banks (CCBs) at the intermediary level and the State Apex Co-operative Banks (SCBs) at the state level.