Presentation on theme: "Chapter 21 Section 3. Banking Services What Banks Do Banks accept deposits to create different types of accounts and then use these deposited funds to."— Presentation transcript:
Chapter 21 Section 3
Banking Services What Banks Do Banks accept deposits to create different types of accounts and then use these deposited funds to make loans. Checking Accounts- Allows customers to write checks or debit cards. Savings Accounts- Banks pay interest to customers based on how much money they have deposited.
Certificates of Deposit (CDs)- Requires a saver to deposit his or her funds for a certain period of time. Offer higher interest rates. Making Loans- Lend money to businesses consumers (to make money). Changes in Banking The National Banking Act Federally chartered private banks issued national banknotes or national currency The Federal Reserve- The Great Depression- 1930’s, FDR Bank Holiday, est. FDIC
Recent Developments The Savings and Loan Crisis Late 1980s Credit Crisis 2008 The Gramm-Leach-Bliley Act Permits bank holding companies greater freedom to engage in a full range of financial services. Established safeguards to protect customers’ personal financial information.