Thesis
CHAPTER 1:
THE PROBLEM AND ITS BACKGROUND
Being smart on handling one’s money is one of the fundamental ways how to become rich. The fact that money, no matter how much it is, can flee from our hands even in just mere seconds is a thing to keep in mind. So we should learn how to save and invest our money in a trust-worthy institution with good facility with a service admirable in regards to its quality.
Banking is indispensable in the modern world as it connects savers and borrowers. If you are a "saver", where would you save your treasures efficiently? Saving it on a chest or a vault is bold stupidity. Banks pay you interest because they loan your money to those who have ideas to use it. This is where "borrowers" enter. Banks do charge them interest but they will have money for innovative business ideas, providing jobs for people, and stimulating the economy. If you are a consumer, you can use banknotes as a medium of exchange. Remember, without banks, there would be no money for The Bangko Sentral Ng Pilipinas (BSP) is a bank as well who produces money for the nation.
Banks are financial institution and a financial intermediary that accepts deposits and channels those deposits into lending activities, either directly by loaning or indirectly through capital markets. A bank is the connection between customers that have capital deficits and customers with capital surpluses. In other words, it is the middleman to those who are in need and to those who can give.
There are two forms of banking institutions. A banking institution can either be a Government or Private banking Institution. The difference between the two is A Government bank is a bank where the Government has a minimum 51% or more stakes in that bank. A Private bank is a bank where the Government does not have any stake. But, both types of banks have to follow the same laws applicable to them.
In either way, a bank no matter what form it is, will always make sure that our savings earn interests and
THE PROBLEM AND ITS BACKGROUND
Being smart on handling one’s money is one of the fundamental ways how to become rich. The fact that money, no matter how much it is, can flee from our hands even in just mere seconds is a thing to keep in mind. So we should learn how to save and invest our money in a trust-worthy institution with good facility with a service admirable in regards to its quality.
Banking is indispensable in the modern world as it connects savers and borrowers. If you are a "saver", where would you save your treasures efficiently? Saving it on a chest or a vault is bold stupidity. Banks pay you interest because they loan your money to those who have ideas to use it. This is where "borrowers" enter. Banks do charge them interest but they will have money for innovative business ideas, providing jobs for people, and stimulating the economy. If you are a consumer, you can use banknotes as a medium of exchange. Remember, without banks, there would be no money for The Bangko Sentral Ng Pilipinas (BSP) is a bank as well who produces money for the nation.
Banks are financial institution and a financial intermediary that accepts deposits and channels those deposits into lending activities, either directly by loaning or indirectly through capital markets. A bank is the connection between customers that have capital deficits and customers with capital surpluses. In other words, it is the middleman to those who are in need and to those who can give.
There are two forms of banking institutions. A banking institution can either be a Government or Private banking Institution. The difference between the two is A Government bank is a bank where the Government has a minimum 51% or more stakes in that bank. A Private bank is a bank where the Government does not have any stake. But, both types of banks have to follow the same laws applicable to them.
In either way, a bank no matter what form it is, will always make sure that our savings earn interests and