Types of Financial Institutions
How do financial institutions differ?
They have a wide range of services
name a type of deposit institution
Commercial Banks, savings and loan associations, mutual savings bank, and credit unions
How is a non-depository institution different from a depository institution?
it doesn't accept time deposits
what is a problematic financial business?
A business that is not as secure and reliable
should you ask questions about comparing financial institutions?
yes
The two types of of financial institutions
What is Depository and Non-Depository
What do commercial banks specialize in?
Checking, savings, and lending
name 2 examples of non-depository institutions
life insurance, investments, finance companies
What is the purpose of a pawnshop?
to make loans based on value of tangible possessions
Does the financial have ___ banking services
online
How do people prevent loss of money?
Savings plans
Name a type of loan which savings and loan associations specialize in
Mortgage
what do life insurance companies provide
financial security
what type of financial institution does not require a account?
Check cashing outlet
Does the institutions have ____ locations?
convenient
What happens to depositors of failed organizations?
They are transferred to a more stable organization
What are mutual savings banks owned by?
Depositors
investment companies combine investors money to buy ____ and ____
stocks and bonds
Who are the most frequent users of payday loans?
Workers who have debt troubles
Will you be able to ____ money from the institution when you need it?
borrow
List 3 examples of financial institutions
Banks, Savings and Loan Associations, and Credit Unions
What is a credit union?
a nonprofit financial institution that is owned by its members and organized for their benefits
what type of interest do finance companies charge?
high-interest
What does a rent-to-own center normally offer?
a variety of furniture for consumers to rent
Is the institution ____ or ____ insured?
FDIC or SAIF