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commercial bank
noun
: a bank organized chiefly to handle the everyday financial transactions of businesses (as through demand deposit accounts and short-term commercial loans)
Examples of commercial bank in a Sentence
Recent Examples on the Web
The federal funds rate is the target interest rate at which commercial banks borrow and lend their extra reserves to one another overnight.
—Gordon G. Chang, Newsweek, 31 Oct. 2024
Like most credit cards, this particular store card is sponsored by a big commercial bank.
—Ivan Illan, Forbes, 23 Oct. 2024
Its commercial bank, which serves the lender’s more than 1.2 million business customers from startups to major corporations, has long held the potential to turbocharge profit if those customers could be persuaded to buy more products.
—Reuters, CNN, 22 Oct. 2024
Far more likely to affect regular citizens is the raft of measures announced on Sept. 24 including rate cuts, making borrowing easier and freeing up commercial banks from having to hold large amounts of reserves.
—Janis MacKey Frayer, NBC News, 12 Oct. 2024
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Word History
First Known Use
1910, in the meaning defined above
Dictionary Entries Near commercial bank
Cite this Entry
“Commercial bank.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/commercial%20bank. Accessed 21 Nov. 2024.
Kids Definition
commercial bank
noun
: a bank that accepts deposits that can be withdrawn without notice and creates credit through loans mainly to businesses
Legal Definition
commercial bank
see bank
More from Merriam-Webster on commercial bank
Britannica.com: Encyclopedia article about commercial bank
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