BANKING AFFAIRS

Detailed explanation-1: -Banks and similar business entities, such as thrifts or credit unions, offer the most commonly recognized and frequently used financial services: checking and savings accounts, home mortgages, and other types of loans for retail and commercial customers.

Detailed explanation-2: -A commercial bank is the most common depository institution which lends, issues, borrows, and protects money. Commercial banks offer many services to people such as checking and savings accounts, issuing loans and credit cards, and providing customers with financial advice.

Detailed explanation-3: -Like banks, credit unions accept deposits, make loans and provide a wide array of other financial services. But as member-owned and cooperative institutions, credit unions provide a safe place to save and borrow at reasonable rates.

Detailed explanation-4: -Those that accept deposits from customers-depository institutions-include commercial banks, savings banks, and credit unions; those that don’t-nondepository institutions-include finance companies, insurance companies, and brokerage firms.

Detailed explanation-5: -Depositories may include banks, safehouses, vaults, financial institutions, and other organizations. Depositories serve multiple purposes for the general public. First, they eliminate the risk of holding physical assets to the owner.