Facebook Twitter Pinterest Instagram Youtube DnB US banking system Open Menu Cooperation between US banks 12/07/2020 12/07/2020 Lindsey Langworth Lindsey Langworth The links between American banks are sometimes complex and not always obvious. Commercial banks are legally prohibited from owning manufacturing plants and retail facilities. But they do it informally, through lending to the right organizations. Another way to participate is to manage companies by proxy and represent their interests at shareholders’ meetings. Another unobvious connection is the provision of loans to small banks by large banks. Formally, borrowing banks remain independent, but in reality they come under the influence of the lender. The next form of a corporation of banks is the exchange of shares of each other and the redemption of other people’s shares. This is how holding companies appear that own shares of several banks. Banking services in the USA It would be too long and pointless to describe all the banking services and services available in the United States. The United States has a highly developed and flexible banking sector with many opportunities. The most popular and demanded banking products are usually called: Mortgage loans There are many options with different rates depending on the client’s creditworthiness, choice of housing, etc. The usual rate is 3.25-4%. Stateless persons – up to 7%. The best guarantee for a loan is a down payment of 40% or more. Car loans The high level of auto sales in the United States is largely due to auto loans. They are available and offered at low rates. A hassle-free, profitable client for the bank can get a car loan at 0.5% per annum, a borrower with a high risk is assigned up to 9%. The average rate is about 3.3%. Short term loans are cheaper. Study Loans Education in the United States is usually paid and quite expensive. It is more profitable for young people not to waste time collecting money, but to take out a loan for training, find a better paid job and pay off the loan. The rate for such loans is usually below 5%. Consumer loans In the US, they are called Personal Loan, they are given out for various needs at an average rate of 6%. Loans for business Such loans in the United States are issued by many banks, with different conditions and for different periods. Much depends on the business plan and risk assessment. The usual rates are 5-15%. Leave a Reply You must be logged in to post a comment. Post navigation Prev Previous Post Next Next Post Related UNIT BANKS UNIT BANKS In the United States, investment banks are a special category of commercial banks that do not issue loans, do not[...] KNOW MORE KNOW MORE FEDERAL RESERVE BANKS FEDERAL RESERVE BANKS The Fed's decisions have a tremendous impact on the global financial and stock markets.[...] KNOW MORE KNOW MORE CAN I BUY BITCOIN WITH A CREDIT CARD? CAN I BUY BITCOIN WITH A CREDIT CARD? Yes, you can buy Bitcoin with a credit card! In fact, most of the top exchanges accept major credit cards.[...] KNOW MORE KNOW MORE LINDSEY LANGWORTH Financial Consulting Phone: (601) 885-4080 Email: Lindsey.Langworth@oberbrunner.org It should be borne in mind that the banking act of 1933 prohibited commercial banks from acquiring shares in industrial and trading companies. However, this does not mean the elimination of the merger of banks with industrial companies. A typical form of such a merger is the entry of the largest banks and industrial companies into the same financial and industrial groups. Large commercial banks have close ties with industry through long-term loans. About 3/4 of the total amount of “commercial and industrial loans” falls on large commercial banks, and among these loans, loans for a period of more than one year play an important role, some of which are provided for long periods – up to 8-10 years – and serve as a typical form of merger banks with industrial and trading companies. LATEST POSTS Small Business Credit Card Benefits 10/21/2021 Can I Buy Bitcoin With a Credit Card? 10/21/2021 Does the bank covered by insurance? 10/08/2021 Can you use bitcoins for online shopping? 10/08/2021 Cooperation Between Government and Banks 09/07/2021 SUBSCRIBE Subscribe Financial Consulting Phone: (601) 885-4080 Address: 47794 Rebekah Crest West Tony, CO 68096 Subscribe Subscribe About In recent years, in the United States, as in other developed countries, there has been an increase in government intervention in the banking sector. True, the country’s central issuing banks (federal reserve banks) are not (unlike the UK) the property of the state. However, they are run by the state, they are closely connected with the Ministry of Finance and invest their funds mainly in government securities. 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