Banks use these funds to make loans, purchase marketable securities and hold cash. The difference between a bank,s assets and liabilities is the bank,s capital or Net worth.
1. Banking is a combination of business designed to deliver the services
2. Access to the payment system
3. Nonprofit depository institutions that are owned by people with a common bond
4. These unions specialize in making small consumer loans.
5. Provide mortgage and lending as well as saving deposit services
6. Saving institutions
7. These banks rely more on borrowing for their funding
8. Money center bank
9. They make consumer, residential, commercial and industrial loans
10. Regional and super-regional banks
11. Small local banks focused on serving consumers and small business community banks
12. They accept deposits and use the proceeds to make consumers and small business
13. Saving institutions there are three basic types of depository institutions:
14. Credit Unions
15. Community banks
16. Commercial banks
