The Royal Bank of Woodlandia acts as a payment agent by conducting chequing or current accounts for customers, paying cheques drawn by customers in the bank, and collecting cheques deposited to customers' current accounts. The bank also enables customer payments via other payment methods such as a type of Automated Clearing House (ACH), Wire transfers or telegraphic transfer, EFTPOS, and automated teller machines (ATMs).

The Royal Bank of Woodlandia borrows money by accepting funds deposited on current accounts, by accepting term deposits, and by issuing debt securities such as banknotes and bonds. The bank lends money by making advances to customers on current accounts, by making installment loans, and by investing in marketable debt securities and other forms of money lending.

The bank provides different payment services, and a bank account is considered indispensable by most businesses and individuals. 

Banks in Woodlandia can create new money when they make a loan. New loans throughout the banking system help to generate new deposits elsewhere in the system, increasing the money supply by the act of lending, and reducing when loans are repaid faster than new ones are generated. 

Activities undertaken by the Royal Bank of Woodlandia include personal banking, corporate banking, investment banking, private banking, transaction banking, insurance, consumer finance, foreign exchange trading, commodity trading, trading in equities, futures and options trading and money market trading. 

Banks offer many different channels to access their banking and other services: 

• Branch, in-person banking in a retail location 

• Automated teller machine banking adjacent to or remote from the bank 

• Bank by mail: Most banks accept cheque deposits via mail and use mail to communicate to their customers 

• Online banking over the Internet to perform multiple types of transactions 

• Mobile banking is using one's mobile phone to conduct banking transactions 

• Telephone banking allows customers to conduct transactions over the telephone with an automated attendant, or when requested, with a telephone operator

• Video banking performs banking transactions or professional banking consultations via a remote video and audio connection. Video banking can be performed via purpose built banking transaction machines (similar to an Automated teller machine) or via a video conference enabled bank branch clarification 

• Relationship manager, mostly for private banking or business banking, who visits customers at their homes or businesses 

• Direct Selling Agent, who works for the bank based on a contract, whose main job is to increase the customer base for the bank 

The Royal Bank of Woodlandia generates revenue in a variety of different ways including interest, transaction fees and financial advice. Traditionally, the most significant method is via charging interest on the capital it lends out to customers. The bank profits from the difference between the level of interest it pays for deposits and other sources of funds, and the level of interest it charges in its lending activities.

This difference is referred to as the spread between the cost of funds and the loan interest rate. Historically, profitability from lending activities has been cyclical and dependent on the needs and strengths of loan customers and the stage of the economic cycle. Fees and financial advice constitute a more stable revenue stream and the bank has therefore placed more emphasis on these revenue lines to smooth their financial performance.

Since it's creation, The Royal Bank of Woodlandia has taken a number of measures to ensure that they remain profitable while responding to increasingly changing market conditions.

The Royal Bank of Woodlandia has taken a variety of measures to ensure that they remain profitable while responding to increasingly changing market conditions.

• Including, expanding the use of risk-based pricing from business lending to consumer lending, which means charging higher interest rates to those customers that are considered to be a higher credit risk and thus increased chance of default on loans. This helps to offset the losses from bad loans, lowers the price of loans to those who have better credit histories, and offers credit products to high risk customers who would otherwise be denied credit.

• Also, the increased methods of payment processing available to the general public and business clients. These products include debit cards, prepaid cards, smart cards, and credit cards. They make it easier for consumers to conveniently make transactions and smooth their consumption over time.

However, with the convenience of easy credit, there is also increased risk that consumers will mismanage their financial resources and accumulate excessive debt. The Royal Bank of Woodlandia make money from card products through interest charges and fees charged to cardholders, and transaction fees to retailers who accept the bank's credit and/or debit cards for payments. This helps in making a profit and facilitates economic development as a whole.

Retail

• Savings account

• Recurring deposit account

• Fixed deposit account

• Money market account

• Certificate of deposit (CD)

• Individual retirement account (IRA)

• Credit card

• Debit Card

• Mortgage

• Mutual Fund

• Personal Loan

• Time deposits

• ATM card

• Current accounts

• Cheque books

• Automated Teller Machine (ATM)

• National Electronic Fund Transfer (NEFT)

• Real Time Gross Settlement (RTGS)

Business (or commercial/investment) banking

• Business loan

• Capital raising (equity / debt / hybrids)

• Revolving credit

• Risk management (foreign exchange (FX)), interest rates, commodities, derivatives

• Term loan

• Cash management services (lock box, remote deposit capture, merchant processing)

• Credit services

The economic functions of the Royal Bank of Woodlandia include:

1. Issue of money, in the form of banknotes and current accounts subject to cheque or payment at the customer's order. These claims on the bank acts as money because they are negotiable or repayable on demand, and hence valued at par. They are effectively transferable by mere delivery, in the case of banknotes, or by drawing a cheque that the payee may bank or cash.

2. Netting and settlement of payments – banks act as both collection and paying agents for customers, participating in interbank clearing and settlement systems to collect, present, be presented with, and pay payment instruments. This enables the bank to economize on reserves held for settlement of payments, since inward and outward payments offset each other. It also enables the offsetting of payment flows between geographical areas, reducing the cost of settlement between them.

3. Credit intermediation – the bank can borrow and lend back-to-back on their own account as middle men.

4. Credit quality improvement – the bank can lend money to ordinary commercial and personal borrowers (ordinary credit quality), who are high quality borrowers. The improvement comes from diversification of the bank's assets and capital which provides a buffer to absorb losses without defaulting on its obligations.

5. Asset liability mismatch/Maturity transformation – banks borrow more on demand debt and short term debt, but provide more long term loans. In other words, they borrow short and lend long. With a stronger credit quality than most other borrowers, banks can do this by aggregating issues (e.g. accepting deposits and issuing banknotes) and redemptions (e.g. withdrawals and redemption of banknotes), maintaining reserves of cash, investing in marketable securities that can be readily converted to cash if needed, and raising replacement funding as needed from various sources (e.g. wholesale cash markets and securities markets).

6. Money creation/destruction – whenever a bank gives out a loan in a fractional-reserve banking system, a new sum of money is created and conversely, whenever the principal on that loan is repaid money is destroyed.

Currently, commercial banks are regulated in most jurisdictions by government entities and require a special bank license to operate. 

Usually, the definition of the business of banking for the purposes of regulation is extended to include acceptance of deposits, even if they are not repayable to the customer's order – although money lending, by itself, is generally not included in the definition.

Unlike most other regulated industries, the regulator is typically also a participant in the market, being either a publicly or privately governed central bank. Central banks also typically have a monopoly on the business of issuing banknotes. However, in some countries this is not the case. In the UK, for example, the Financial Services Authority licenses banks, and some commercial banks (such as the Bank of Scotland) issue their own banknotes in addition to those issued by the Bank of England, the UK government's central bank.

Banking law is based on a contractual analysis of the relationship between the bank (defined above) and the customer – defined as any entity for which the bank agrees to conduct an account.

The law implies rights and obligations into this relationship as follows:

• The bank account balance is the financial position between the bank and the customer: when the account is in credit, the bank owes the balance to the customer; when the account is overdrawn, the customer owes the balance to the bank.

• The bank agrees to pay the customer's checks up to the amount standing to the credit of the customer's account, plus any agreed overdraft limit.

• The bank may not pay from the customer's account without a mandate from the customer, e.g. a cheque drawn by the customer.

• The bank agrees to promptly collect the cheques deposited to the customer's account as the customer's agent, and to credit the proceeds to the customer's account.

• And, the bank has a right to combine the customer's accounts, since each account is just an aspect of the same credit relationship.

• The bank has a lien on cheques deposited to the customer's account, to the extent that the customer is indebted to the bank.

• The bank must not disclose details of transactions through the customer's account – unless the customer consents, there is a public duty to disclose, the bank's interests require it, or the law demands it.

• The bank must not close a customer's account without reasonable notice, since cheques are outstanding in the ordinary course of business for several days.

These implied contractual terms may be modified by express agreement between the customer and the bank. The statutes and regulations in force within a particular jurisdiction may also modify the above terms and/or create new rights, obligations or limitations relevant to the bank-customer relationship.

Some types of financial institution, such as building societies and credit unions, may be partly or wholly exempt from bank license requirements, and therefore regulated under separate rules.

The requirements for the issue of a bank license vary between jurisdictions but typically include:

• Minimum capital

• Minimum capital ratio

• 'Fit and Proper' requirements for the bank's controllers, owners, directors, or senior officers

• Approval of the bank's business plan as being sufficiently prudent and plausible.

List of countries and nations and their currencies from around the world which are accepted by the Royal Bank of Woodlandia.

• All United Nations Member States, excluding the Russian Federation (Russia) - Russian Ruble

• State of Gradonia - Dokar

• Principality of Graustark - Gavvo

• Kingdom of Ardania - Ardania Dollar 

• Kingdom of Mull

• Second Republic of New Atlantis - New Scruple

• Westlien Kingdom - Kenyan Shilling

Conditional Acceptance

• Aerican Empire

List of countries and nations that accept the Woodlandia Shirley (WAS) as currency.

• State of Gradonia

• Principality of Graustark

• Kingdom of Ardania

• Kingdom of Mull

• Second Republic of New Atlantis

• Westlien Kingdom

The Woodlandia shirley is accepted by a number of other nations around the world.

Interesting facts about the Royal Bank of Woodlandia (R.B.W.)

• The Royal Bank of Woodlandia (R.B.W.) was founded on March 17, 2019 by HRH Prince Shawn.

• The logo of the Royal Bank of Woodlandia was designed by HRH Prince Shawn of the Principality of Woodlandia and features the facade of a old western bank.

• The Royal Bank of Woodlandia does print its own paper currency (bills), however, it does not mint their own coins; instead, the Royal Woodlandia Mint (R.W.M.) is commissioned by the bank to mint all coinage.

• The Royal Bank of Woodlandia (R.B.W.) was named by HRH Prince Shawn.

• The motto of the Royal Bank of Woodlandia is populis nummos scriptor (Latin) or the peoples money (English).

• The Royal Bank of Woodlandia motto, populis nummos scriptor (Latin) or the peoples money (English) was created by HRH Prince Shawn.