Why All People Need Banking Institutions
Money and valuables are stored safely in banks by individuals, companies, and institutions. Banks help in money transfers from one region to another or country. It’s easy to make these transfers through the use of drafts, checks and credit cards. This eliminates the risks that come with carrying valuables while traveling.
Loans are accessible to people and businesses through banks. Loans enable entrepreneurship and economic development of a country. Individuals and businesses borrow from banks when the rates of interest are reasonable. Through banks people can engage in the global foreign exchange.
Banks also provide liquidity for businesses and people.
Banks allow their customers to get larger credit for the purchase of goods and services. Businesses and individuals buy and sell securities through banks. Banks are also the right people to do this in large volumes.
Another major function of banks is to provide …