The difference between the bank and the bank



Contents

  • 1 The bank and bank
  • 2 The difference between the bank and the bank
  • 3 Historical background on banks and banks
  • 4 types of banks and banks
  • 5 References

The bank and the bank

The bank and the bank are terms used to refer to the place that depends on the convergence of both demand and supply of money ; that is, they function as vessels that are used to collect financial savings, and then this money is pumped into various facilities and individuals, and both accept all the money that forms the money of the people who hold the money It is in excess of their need, and it owes the value of this money to its owners, and it also provides the money as debt to other people so that they can use it to achieve a set of their own benefits. [1]

The difference between the bank and the bank

The term bank or bank is generally applied to any institution specialized in dealing with money by lending it, so there are no differences between the bank and the bank, but there is one main difference and it is in the linguistic origin of both terms, as the source of the word bank has become associated with every institutional address , And the word "bank" is the Arabic word for "English" (bank), and it moved to the Arab banking world through the western banking world. [2]


The linguistic origin of the English word (Bank) dates back to the Italian word (Banko), meaning the wooden table, and was used to refer to the tables that the money changers used in the past to implement the profession of exchange, and it was spread at that time in the northern Italian cities ; specifically with the early Renaissance in the continent of Europe And then this profession moved to other European countries. [2]

When examining the origin of both the words bank and the bank, it appears that the linguistic origin of the term “banker” of the Arabic language is in agreement with the significance of the term bank and its idiomatic definition, which over time has become the concept used to refer to the word banker [2] where the banker is defined as the banker That is, the establishment that implements specialized operations in credit, such as: providing money in the form of loans , and accepting financial deposits, [3] while the bank is known in terms of being the bank; that is, the institution that implements credit operations, such as: financial lending, investing money, and Deposits. [4]

Historical background on banks and banks

Specialized studies in history show that the first banking and financial operations appeared in 3500 BC, specifically in the civilization between the two rivers , where an important network of banks spread, and they needed to establish rules that control their activities, and the banking operations witnessed an evolution in the ancient Greek civilization , so the ancient Greek civilization , in the markets, and became banks carrying out operations; by granting loans and financial collection of deposits, and then dominated by the Romans on the Greek regions, but they got their ideas from the Greeks banking; because they were working in agriculture more than Walt Neighbor . [5]

The modern form of banking dates back to the late Middle Ages, that is, between the thirteenth and fourteenth centuries AD, especially when commercial operations spread in Italian cities and regions, which led to an increase in the wealth of feudal merchants. In order to preserve these funds from theft, the owners were keen to deposit them with the owners of the drafting and exchange houses, in exchange for obtaining certificates that document their ownership of them, and with the time the individuals increased their confidence in the exchange operations, which led to the emergence of certificates of deposit for their holders, which is considered the first basis for checks . [5]

In the fifteenth century AD, specifically at the beginning of the Renaissance, banking activity witnessed a new development, due to the increase in the flow of gold , and in the sixteenth century AD the first forms of commercial banks appeared, where the Amsterdam Bank was founded in 1609 AD, and the Stockholm Bank, which was the first bank to use papers, was established. Cash according to its design at the present time. [5]

Types of banks and banks

Banks and banks in the business environment are divided into several types, and each type is distinguished by its own business method, and the following provides information on the most important types of banks and banks: [6]
  • Central banks : These are financial institutions that seek to support the economic environment and the money system in a specific country. Therefore, these banks are owned by their own countries, and the central bank is called the bank of the banks, i.e. the bank responsible for all other banks within the country, so the central bank is located in the forefront The banking system in countries.
  • Commercial banks: are the banks that are interested in maintaining all financial deposits and withdrawn using checks or cash withdrawals, and the name of the commercial bank returns to the role of the banks in the past, as it contributed to providing financial financing for short-term loans, i.e. whose repayment period is equivalent to one year, either in At present, the Commercial Bank has offered various loans during repayment periods, which exceed more than one year and is classified as medium and long term loans .
  • Specialized banks: are the banks that contribute to the financing of projects varied economic processes and support, whether commercial, agricultural or industrial, depending on the specialization of each bank, and is linked to the reason for the emergence of this type of specialized banks to the nature of each financing project of economic projects, divided These banks are of several types, including:
    • Industrial banks: They are the banks that specialize in financing industrial activities. They provide a set of credit loans based on certain guarantees or mortgages. They are also concerned with providing financing for all industrial operations by purchasing products and materials that support the continuation of a specific industry .
    • Agricultural banks: These are financial institutions that specialize in financing agricultural activities, in order to obtain the largest amount of agricultural products resulting from cultivated land.
    • Real estate banks: are banks that seek to provide the necessary loans to support the purchase of various real estate , such as: buildings and lands. Often these banks provide long-term loans, as they are concerned with project management , and provide appropriate advice for various real estate activities.

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