banking system - an extensive network of credit institutions.Currently distinguish types of banks depending on their functions, operations they perform, the service sector, the scope of work and the presence of branches.Almost everyone is faced with the necessity of cooperation with various banks.Therefore, we focus on their classification in more detail.
In the first stage appearance of a credit institution it belongs to the public, closed or open-ended or limited liability company.It depends on the legal form of the bank.
depending on the operations performed and services divided into universal banks and specialized.
There are public, private, and hybrid equity credit institutions.It depends on the type of owner.For government organizations mainly include the central banks of the country.
Foreign banks may also be present in the services market, and it is discussed separately in the legislation.
By functions performed distinguished commercial, investment, mortgage, savings, emission and deposit banks.
Commercial banks involved in the provision and sale of banking products.This transaction settlement, trading and commissions;factoring, leasing.There are kinds of commercial banks: savings, insurance and mortgage.They operate in almost all sectors of the loan capital.
larger size banks provide a full range of services.Types of special purpose banks have a limited capacity.Commercial banks are stable core component of the entire credit system.They can operate not only within the country but also abroad, opening branches there.
Next view - is the investment banks that deal with the issue of securities and the activities of promoters.Usually, at the request of the state, they determine the size issue, determine the type of securities to be issued, as well as help with their placement and circulation.These types of banks are a guarantee of the securities.They buy them and provide loans and credits to other customers.
Savings banks, which do not apply to commercial, state-controlled.This medium-scale credit institutions.They usually takes deposits from individuals, and provide loans to individuals.In addition, they are engaged in the purchase of securities and the issuance of credit cards.
Mortgage banks are engaged in the provision of loans secured by real estate.They also carried out a bond issue of mortgage nature.
status, which are banks, their types and functions depend on many factors.This is primarily a list of services.But banks are different and depending on their branching network.If the bank has a lot of branches, it is called multi-branch.Small credit institutions that do not have branches, called branchless.
Depending on the service industry and the number of banks may be diversified or have a certain specialization.
Basically, the existing banks are diversified.In this case, the risk of loan defaults is significantly reduced.Some banks operate primarily with a specific group of companies, which are their founders.Here, the risk of loan default is very high.
There are different types of banks.But the most common - those that have a large range of services and are multidisciplinary.In this case, they are considered more reliable and stable.
