What is a bank?
Bank or banking is such an industry that basically handles credit, cash as well as other financial transactions. The bank is likely to offer a very safe place in order to store credit and extra cash. They are there to provide you with savings accounts, checking accounts and certificates of deposit. Banks are likely to utilize these deposits for making loans. Such loans are supposed to include car loans, business loans, home mortgage etc. The People’s Bank of China and the Bank of England are known to be some famous banks.
More about various bank of the world
Banking is regarded as one of the key aspects of the economy of a country. You may ask why, because it is there to provide the liquidity required for the businesses and families to invest for future. The bank loans and the credit mean the families do not need to save up before buying a house or going to a college. Organizations are supposed to hire immediately in order to build for the future demand and the expansion.
How does it work?
The bank is known to be such a safe place that is used to save the excess cash. Every bank is supposed to pay you a small amount of interest on your deposited money. They tend to make money by charging comparatively higher interest rates on the loans than they basically pay for the deposits. A bank is supposed to remain open every day but on the bank holidays.
Types of banks
• Among all the types out there, retail banks are known to be the most familiar ones. This type of bank is there to offer money services to families and individuals. There are online banks that operate over theinternet. Some of such online banks are HSBC and ING etc.
• On the other hand, there are commercial banks that basically focus on the businesses. That apart there are community banks that are comparatively smaller than the commercial banks. Except these, there is investment banking which was originally provided by the small and privately owned organizations. You are always supposed to go with option bank near me because it will be nearest to your house.