WGUC708 Finance Unit 2 Exam Study Guide Notes.

Financial Markets: ● Central Banks: the banks are the financial institutions for the oversight and management of all other banks. In the US the central Bank is the Federal Reserve Bank. ● There are 9 Major financial institutions that provide a variety of services from mortgage loans to investment vehicles ● Credit institutions are not for profit companies (&tax exempt) that are owned and operated by their members ● Internet Banks tend to charge their customers fewer fees than traditional banks, and some offer less expensive services such as free online transfers to other banks. ● There are two primary types of financial institutions- non-depository and depository ○ Insurance company: nondepository ○ Credit union: depository ● The major categories of financial institutions include ○ Central