Banking today encompasses so many things including private banking, retail banking, investment banking, treasury management etc.
Difference between private banking and retail banking
Private banking as the name suggests includes very specialized banking. This is essentially meant for High Networth Individuals and would also include way wealth management and investment banking.
High Networth individuals for example may need personalized banking taking into consideration tax liabilities and diversification of portfolio. This is when private banking would come into the picture. As mentioned earlier it is a very personalized form of banking and banks provide utmost service when it comes to private banking.
Retail banking includes almost every facet of banking that individuals undertake each day. This includes personal loans, credit cards, fixed deposits overdrafts, savings accounts etc.
So, retail banking covers almost every aspect of day to day banking.
Should you opt for private banking?
If you are a high networth individual who has no time to manage his financial investments, you can look at private banking. A personalized banker would than guide you in planning and investing, considering tax liability, diversification of portfolio, asset allocation strategies etc.
On the other hand if your resources are not adequate you might want to manage your wealth by yourself.