Financial Institution
Financial Institutions
Community Financial Literacy encourages all refugees and immigrants, especially those who have come from countries where these institutions were nonexistent, to become familiar with these institutions and to take advantage of the many benefits they offer.
Financial institution is an institution that provides financial services for its clients or members. Probably the most important financial service provided by financial institutions is acting as financial intermediaries. Most financial institutions are highly regulated by government bodies. Broadly speaking, there are three major types of financial institution:
- Deposit-taking institutions that accept and manage deposits and make loans (this category includes banks, credit unions, trust companies, and mortgage loan companies);
- Insurance companies and pension funds; and
- Brokers, underwriters and investment funds.
NON BANK FINANCIAL INSTITUTIONS
Non-Bank Financial Institutions offer a wide range of financial services and perform transactions that are needed by the underbanked population.
The most common NBFI are:
- Check cashing
- Money orders
- Money transmission
- Bill payment
- Direct deposit services and ATMs.