Basic ecomonic terminology. Искренко Э.В - 14 стр.

commercial banks serve also as _____. These _____ have a unique
place because it is their role to furnish an important part of the
money _____.

                        B. Banking services
      1. Electronic funds transfer system (EFTS) — a means of
performing financial transactions through a computer terminal or
telephone hookup.
      2. Automated teller machine (ATM) — a system that allows
customers to effect deposits, withdrawals, and funds transfers at
any time by using a specially encoded access card and an electronic
device instead of human tellers.
      3. Liquidity — the ease with which an asset can be exchanged
for money without a significant loss of value.
      4. Secured loan — a loan protected by a pledge from borrowers
to forfeit to lenders something of value if the loans are not repaid.
      5. Unsecured loan — a short-term loan in which the borrower
is not required to put up collateral.
      6. Collateral — real or personal property that a firm or individual
owns and that is pledged as security for a loan.
      7. Line of credit — a standing agreement between a bank and a
firm in which the bank specifies the maximum amount it will make
available to the borrower for a short-term unsecured loan.
      8. Revolving credit agreement — a guaranteed line of credit.
      9. Mortgages — long-term loans specifically for the purchase
of real estate.
      10. Letter of credit — a document in which the bank guarantees
one party (such as a seller) that payment will be made if certain
conditions are met (such as delivery of merchandise); letters of
credit are common when goods are bought or sold abroad; there is
a fee for providing this letter of credit.
      11. Safe custody — a service offered by most commercial banks
when they accept deeds, documents, jewelry and other items of
property for storage in safe custody on behalf of customers.
      12. Trusts — the provision of safekeeping and management of
funds for individuals or institutions such as pension funds. The
bank’s job is to administer the money entrusted to it wisely and
for the benefit of the owner; the bank receives a fee for managing
these funds.

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