Related Financial Services - The following list of company and services directories offer a wide variety of programs for consolidating bills and other similar services, such as a getting a mortgage refinance interest rate quote from a lender or an online quote for life or car insurance.
- Debt Management Credit Counseling - Do you feel that your credit card bills are stacking up with nowhere for you to turn? Your problem is not unique. Signing up with debt management firm may be the right solution to your debt problems. Review different firms offering these services to determine if this is the correct option for you.
- Debt Settlement Service - Simply too much debt to get a grip on? Review a list of companies and learn more about this service that uses debt negotiation and arbitration to help people that need assistance with eliminating their debts.
- Debt Consolidation - Do you simply have too many credit cards and other bills? Review this directory for useful information and compare a list of service providers that may be able to help you.
Start Smart: Money Management for Teens
What Do Banks Do?
Banks are private, for-profit businesses that offer a variety of services to the public. They provide a place to safely store your money in FDIC-insured checking and savings accounts until you need to take the money out. Banks enable customers to write checks, pay bills or send money to other people. They also make loans to people and businesses.
Lending money is one of the ways that a bank earns money. And where does the bank get the money to make loans? Mostly, it uses the money that customers have deposited into checking and savings accounts, while ensuring that those depositors can still get their money back when they want it.
"Savings banks" or "savings and loan associations" (also known as "thrift" institutions) are also FDIC insured; their main business usually involves making home loans. To keep things simple, we''ve used the word "bank" in this guide to refer to all of the various types of FDIC-insured banking institutions.
Most but not all banks and thrifts in the U.S. are insured by the FDIC. One way to check whether an institution is FDIC-insured is to call the FDIC toll-free at 1-877-275-3342.
In addition, you may have heard about credit unions. These are not-for-profit financial institutions that are owned and operated by their members, who are usually people who have something in common, such as the same employer or occupation. You have to become a member of the credit union to keep your money there. Deposits at credit unions are insured by another federal government agency called the National Credit Union Administration.
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Summer 2006 | The FDIC - Who We Are and Why You Should Know About Us | What Do Banks Do? |
FDIC Consumer News is published by the Federal Deposit Insurance Corporation
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Last updated on 8/18/2006