The banking system consists of two levels: the Central Bank - the country's main bank, and credit institutions. The functions of commercial banks can be divided into active and passive. One of the active functions of the bank is the issuance of a loan. A loan is the granting to a natural or legal person in need of money of the right to carry out their expenses at the expense of the bank, provided that the amounts recovered are guaranteed to the bank. The main principles of lending are: urgency, pay, return and guarantee. Loans can vary according to the type of lending, the terms, the nature of the loan and the lending entities. In this statement the author raises the problem of active functions of the bank. I agree with the author. First, the more secure the person, the greater the likelihood that he will pay the loan on time. Secondly, it is more profitable for banks to work with wealthy clients, since they take loans for large amounts, thereby ensuring the bank more profit. Thirdly, working with secured clients is connected with minimizing risks and increasing the prestige of the bank.
The banking system
The Bank provides its services to those who have the means and sources of income.
The banking system is a set of national banks and other credit institutions operating within the framework of a single financial and credit mechanism.
The banking system consists of two levels: the Central Bank - the country's main bank, and credit institutions. The functions of commercial banks can be divided into active and passive. One of the active functions of the bank is the issuance of a loan. A loan is the granting to a natural or legal person in need of money of the right to carry out their expenses at the expense of the bank, provided that the amounts recovered are guaranteed to the bank. The main principles of lending are: urgency, pay, return and guarantee. Loans can vary according to the type of lending, the terms, the nature of the loan and the lending entities. In this statement the author raises the problem of active functions of the bank. I agree with the author. First, the more secure the person, the greater the likelihood that he will pay the loan on time. Secondly, it is more profitable for banks to work with wealthy clients, since they take loans for large amounts, thereby ensuring the bank more profit. Thirdly, working with secured clients is connected with minimizing risks and increasing the prestige of the bank.
The banking system consists of two levels: the Central Bank - the country's main bank, and credit institutions. The functions of commercial banks can be divided into active and passive. One of the active functions of the bank is the issuance of a loan. A loan is the granting to a natural or legal person in need of money of the right to carry out their expenses at the expense of the bank, provided that the amounts recovered are guaranteed to the bank. The main principles of lending are: urgency, pay, return and guarantee. Loans can vary according to the type of lending, the terms, the nature of the loan and the lending entities. In this statement the author raises the problem of active functions of the bank. I agree with the author. First, the more secure the person, the greater the likelihood that he will pay the loan on time. Secondly, it is more profitable for banks to work with wealthy clients, since they take loans for large amounts, thereby ensuring the bank more profit. Thirdly, working with secured clients is connected with minimizing risks and increasing the prestige of the bank.