Banking

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Banks are financial institutions that provide their customers with a variety of valuable services, including the ability to transfer money to a person or business, the ability to store funds in a checking or savings account, the ability to earn interest on investments, the ability to get loans, and much more.

Banks are commonly used by customers who want to store their money and access it when needed, either by debit card or checks (papers issued with separate numbering may be used to denote a money transfer). Checking and savings accounts are the primary means of keeping money in the bank; A checking account is designed to hold the amount to be spent, while a savings account is designed to hold the amount to be saved. Banks usually pay a small interest, or a payment as a percentage of a customer's deposit balance, to the customer. That's how they show their support for the customers who entrust money to them. 

These funds are then used by banks, along with their credit, to perform other functions and provide additional services. For example, many customers use banks to secure home mortgages or multi-year loans through which ownership (or equity) of a home is obtained. The customer demonstrates that he or she is able to repay the mortgage and chooses a term for that mortgage.  

Finally, many bank customers apply for personal loans. A personal loan is a loan issued and approved by financial professionals designed to be used by customers for specific purposes. For example, a person can get a personal loan for a business plan or a car. Personal loans, like home loans, are granted based on a customer's ability to repay the loan; Banks also charge a small interest, i.e. in this case a percentage of the additional loan amount, on its basic balance.