Safeguarding deposits
Bank
Bank is a business establishment that safeguards people's money and uses it to make loans and investments. People keep their money in banks rather than at home for several reasons. Money is safer in a bank than at home. A checking account with a bank provides an easy way to pay bills. Also, money deposited in many types of bank accounts earns additional money for the depositor. People who put money in a bank are actually lending it to the bank, which may pay them interest for the use of their funds.
Banks are an essential part of business activity. Business companies borrow from banks to buy new equipment and build new factories. People who do not have enough money to pay the full price of a home, an automobile, or some other product also borrow from banks. In these ways, banks promote the sale of a wide range of goods and services.
Banking is nearly as old as civilization. The ancient Romans developed an advanced banking system to serve their vast trade network, which extended throughout Europe, Asia, and much of Africa. In A.D. 395, the Roman Empire split into an eastern and a western section. The West Roman Empire fell in the late 400's, and most of financial networks were destroyed. Banking almost disappeared from western Europe. However, the Justinian Code, a collection of laws issued in the 500s in the East Roman Empire, included many banking laws.
Modern banking began to develop between the 1 ZOO'S and the 1 GOO'S in Italy. The word bank comes from I the Italian word banco or banca, meaning bench. Early Italian bankers conducted their business on benches in the street. Large banking firms were established in Florence, Rome, Venice, and other Italian cities, and banking activities slowly spread throughout Europe.
Banks in the United States differ greatly from those in I most other countries. Most of the sections of this article deal with banking practices and the history of banks in the United States.
Words you may need:
Establishment - создание
safeguard - защищать
loan – заем, ссуда
reason - причина
provide - обеспечивать
lend – давать под проценты
borrow – занимать, брать на время
range - ряд
goods - товар
destroy - разрушать
disappear – исчезать
network - сеть
law- закон
activity - деятельность
Safeguarding deposits. Money in a bank is safe. Banks keep cash in fire-resistant vaults and are insured against the loss of money in a robbery. In the United States, Canada, and many other countries, the government also insures bank deposits. This insurance protects people from losing their money if the bank is unable to repay the funds.
A bank is not only a safe place to keep money but also a profitable one. Money placed in a savings account earns interest at a specified annual rate. Many banks also offer a special account for which they issue a document called a certificate of deposit {CD).A CD pays a higher rate of interest than a regular savings account. However, the certificate must be held for a certain period, such as one or two years, to earn this high rate of interest Banks also offer money market accounts.These accounts pay interest based on current conditions in the money market, which deals in corporation and government short-term securities.
Words you may need:
Safe - безопасный
fire-resistant- огнестойкий
vault – хранилище, сейф
insure - застраховывать
robbery- ограбление
repay- отдавать, возвращать (долг)
profitable – полезный, благоприятный
current - текущий
condition- условие