What are the investigative institutions?

Thrift institutions are financial institutions that specialize in providing consumer savings and mortgages. They are also known in the United States as savings and credit companies. Similar organizations have different names in other countries such as construction companies, although precise legal definitions and requirements differ from country to country.

The idea of ​​gentle institutions originated in the early 19th century, when banks realized that there was a gap on the market. At this time, banking services were generally used only especially rich people. Thrift institutions gathered in the US in the mid -20th century, when available and available mortgages meant that more people were able to own their own homes. This meant that they were owned by their customers who were classified as members of the institution. Theoretically, customers checked the institution, although this voting force was not an expansion to everyday decision. Because the organization did not have a shareholder, it would not have to pay dividends and instead ofIt is reported to distribute any profits in the form of lower interest rates. In many cases, the maximization of the profit was not the main objective of the institution.

Today, the status of gentle institutions is extremely different. Some are privately owned by shareholders, while others are even publicly traded. This means that they have ceased to be real mutual associations. This change can be classified as "demutualization", although this term is not commonly used in the United States.

historically, gentle institutions under US banking laws had some advantages. For example, they were allowed to offer higher rates for savings bearings. They were also offered financing from the government agency, the federal bank for a housing loan to make it easier for them to offer mortgages a wider range of customers. There were some disadvantages, especially that they could not offer customers check accounts.

at the end of the 80's and at the beginning of the 90s.The title of a particularly poor patch, which led to closure of about half. There were several reasons why this happened, and some people disagree with which for these reasons were the most important. In some cases, a fraudulent activity was caused by a change in the rules that made it easier for individuals to take control of institutions and avoid full control. Another problem was increased competition for savings and loans, which was partly due to technological progress, which facilitated new financial institutions to enter business. There is also an argument that the regulations have been too relaxed, allowing those who have control over institutions to take too many risks with the loans they provided, including those that were more complicated than simply to the only household to finance the home.