business learning aim B
financial institution defenition
a company engaged in the business of dealing with financial and monetary transactions e.g. deposits, loans, investments and currency exchange.
bank of england features
The UK's central bank that ensures the financial stability of the UK. its not a commercial bank (not for the genral public)
-sets intrest rates
-prints money
-stores gold bars
bank features
handles financial transactions and stores money on behalf of the genral public.
building societies features
simular to banks, providing financial services except theyre owned entirely by their members meaning they can set rates that benefit their members and not shareholders.
credit unions features
-controlled by memebers
-provide memebers credit at competitive rates
national savings and investment defenition
a government backed organisation tahts offers a secure saving option.
insurance companies defenition
these are for profit businesses that protects people against loss in return for a monthly premium.
pension companies defenition
sells policies to individuals/companies that enable themselves or their employees to save for future retirement.
pawnbrokers defenition
loan money to individuals and secure this loan against an asset (usually jewelry).
if the item is not bought back between the given time then the pawnbroker sells it.
payday loans defenition
short term loans that are intended to bridge the gap between one payday to another incase of emergancy (intrest rates are extreamly high).