Liikepankkeihin

Liikepankkeihin, also known as commercial banks, are financial institutions that primarily accept demand deposits and make business loans. They are a cornerstone of the modern financial system, playing a crucial role in facilitating economic activity by acting as intermediaries between savers and borrowers. Commercial banks offer a wide range of services to individuals and businesses, including checking and savings accounts, certificates of deposit, personal and business loans, mortgages, and credit cards.

The primary function of a commercial bank is to accept deposits from the public and then lend out these funds to borrowers. This process, known as financial intermediation, allows for the efficient allocation of capital within an economy. Banks generate revenue through the interest they earn on loans, which is typically higher than the interest they pay on deposits, and through various fees for services.

Commercial banks are subject to extensive regulation and supervision by government authorities to ensure their stability and protect depositors. These regulations often include capital requirements, reserve requirements, and oversight of their lending practices. This regulatory framework aims to prevent bank runs and systemic financial crises. The development of commercial banking has paralleled the growth of commerce and industry, evolving from simple deposit-taking institutions to sophisticated providers of a diverse array of financial products and services.