Loading ...BANKS are commonly thought of as being chiefly engaged in the business of lending money, but as a matter of fact money loans make up a small part of their business. The investments of savings banks are indeed limited to the funds which they have received from depositors, together with such amounts as have been set aside from profits as surplus, and also in the case of stock savings banks the amount received from subscriptions to capital stock. Other banks, including the banking departments of trust companies, while they must always be prepared to furnish money on demand, do not limit their loans and other investments to the funds received from depositors and shareholders. They lend their credit as well, and thus create a large part of the funds utilized by borrowers. Banks other than savings banks might well therefore be called credit banks. Unfortunately a somewhat less descriptive term is in common use Commercial Banks.
Please Activate the Full Screen Mode for Better Viewing Pleasure (2nd button from the left)
LINK
EMBED
/” width=500 height=500>
Related posts:
- Bank Loans and Stock Exchange Speculation Attention has been repeatedly called to the vicious circle in...
- The Business Man and His Bank by William Henry Kniffin PREFACE The man who stands before the counter screen of...
- How to Finance a Business – Where and How to Get Funds WHERE TO GO FOR MONEY...
- Bank Credit: A Study Of The Principles And Factors Underlying Advances Made By Banks To Borrowers By Chester Arthur Phillips, PH.D. PREFACE The purpose of this study is two-fold : to...
- Banking Reform by Laurence Laughlin PREFACE By the Author THIS volume is intended to furnish...
Store Fleet