The Environment of the EU Banking System

The Environment of the EU Banking System
Banks are defined as a business organization that performs services in relation to money. Specifically is the process of keeping money for customers and paying it out on demand, in the form of deposits, borrowings and exchanges. It has become a clich to note the revolutionary impact of information technology (IT) upon any industry, but the real upheaval lies just ahead. As experts back in the 90s stated, "If the number-crunching mainframe computers of the 1970s formed the childhood of IT, and the flowering of personal computers during the 1980s marked its youthful adolescence, then the 1990s seem likely to see the passage of IT into adulthood". As it has been foreseen, during the 21st Century, technology became directly related to almost every single activity and function of a bank.

Deposits, withdrawals, loans, transfer of capital and updating are just some of the functions that are carried out electronically, as computers support communication networks or ATMs. In the late 1990s, banks have come to realize even more and understand better the importance of technology since they have tried to take advantage of its progress.

The computer sciences and all aspects in telecommunications, with particular emphasis on the Internet capabilities, constituted one of the most profitable areas banks decided to invest. These two fields of technology have had the greatest potential for growth and profitability. Currently, as the banks anticipate the rapid IT growth potentials, they continue to give a lot of emphasis on the technology of e-banking-the transactions with banks through Internet-and e-commerce of products and services. Noticeable is the fact that almost every bank in the globe currently offers e-banking services via their Internet links. During the past ten years, a trend has emerged as major banks or groups of banks have formed alliances with companies in the telecommunications and computer sciences fields, or in other diverse industries.

For example, in the UK, two Scottish banks have joined up with major supermarket chains in order to provide an outsourced banking function for the so-called supermarket banks. The motive for such kind of strategic decisions was the profit from a dynamic field that showed revenues increasing in a rapid rate. Furthermore, it is true that the Banking Sector throughout Europe has gradually restructured itself in order to be able to meet the challenges provoked by the unification that has recently reached the milestone of twenty-five member states. Operating in this new environment, banks have to confront some major issues, such as the intensification of competition, the technology breakthroughs referring to transactions, the globalism of capital and money markets, the development of management and administration, the extensive use of derivatives, the development of international transactions and the introduction of financial innovations.

Thus, EU banks in order to cope with the fundamental forces mentioned above, are trying to find ways to improve their productivity and effectiveness, reduce their costs, upgrade the quality of the services they provide, intensify their presence in new markets, reduce the exchange risk, and finally achieve great macroeconomic stability. Experts state that the upcoming changes will also force banks to reconsider their position in terms of effective bank size, economies of scale in the new environment, creation of a new powerful capital base, globalisms of the activities as well as of the wide variety of product/service lines they provide to customers.

According to the estimations of "International Monetary Fund" and the "Organization for Economic Co-operation and Development", it is a fact that the banks have already invested significant capitals to new technology applications, while most have already introduced "personalized" services for their European or global customers. Jonathon Hardcastle writes articles on many topics including Finance, Education, and Investing
by: j_hardcastle89
Article Source: http://www.articleink.com

Select Your Bank In A Wise Way

Select Your Bank In A Wise Way
Most of us will have at least one bank account in a bank. Yes no one will store all his or her money at home these days. However, one thing you should understand is that the function of a bank is more than a place to store your money. As a result, you should try to select your bank wisely.

Choosing a bank is just like shopping. You have to compare prices in various shops. You may need to visit shop after shop before you actually purchase. This is also true when you are choosing your bank. You may also visit bank after bank before you make the final decision. Here are some of the issues you may consider when you are choosing the bank.

When you save the money into your saving account, you may sometimes need to withdraw the money. Nowadays most people will go to the ATM machines in order to withdraw money from the saving account.

As a result, the first thing you need to consider when you select your bank is the network of ATM machines. You have to make sure that it is convenient for you to withdraw money from the machines. The best situation is that there is at least one machine which is located near your home. You will certainly find it very inconvenient if the bank you choose does not have a good ATM machine network.

If you would like to use checks, you may need something more than merely a saving account. You should ask clearly what costs will be involved when you need a check account. In fact, some bank may have offers that you do not need to pay extra and you will be able to have a check account. Be sure you ask clearly all the questions about charges before you make your final decision.

Some bank may also offer you some all in one account which means that you may even use the account to invest in the stock market and Forex market. Again, you will need to ask for the charges involved. At the end of the day it may be a good idea to have such account since you will find it a lot more convenient when you try to invest.

Remember, the function of the bank is more than merely storing your money. You have to choose the bank with great care otherwise you may be wasting money on the charges involved.
The author has great interest in finance. You can check his blog on Financial Planning and Personal Finance. Be sure to check Credit Card Relief Tips and Finance Your Education.
by: jerleung
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Small Business Bank Account; Partnership Made In Heaven?

Small Business Bank Account; choosing a bank account for your small business there are a variety of considerations that should be made in order for you to find the best partnership that will be good for you,

Small Business Bank Account;
Partnership Made In Heaven?
Whether you are acting as a sole trader, a partnership or a limited business the need for a specialised business bank account cannot be underestimated. Many banks have dedicated services to small business operations that ensure communication and advice are in abundance to help the company start up and get going. Like many business decisions, deciding on which small business bank account to open takes careful consideration so ensure you shop around to find the best deal.

Ultimately every company needs a good bank behind them to ensure a solid financial platform for trading. If your small business is a limited company it must have a bank account by law while those operating as sole traders have the option of using their personal account for the purpose. Whichever of these categories your small business falls into it is always advisable to find a bank that has a dedicated small business team that will be able to advice and instruct on the best ways to operate and make a profit. It is also worth investigating whether a bank has a free period once you have signed up when charges will be withheld.

When you are choosing a bank account for your small business there are a variety of considerations that should be made in order for you to find the best partnership that will be good for you, and your business. While you may be happy with a bank that conducts your personal finances it is not always the case that the institution will be able to supply you with great business services. In addition, if you choose a bank purely because you are already using their services you may miss out on discounts and offers that would be open to you as a new customer. Ultimately you need to shop around to make sure you not only receive the best offers but also to ensure that you find the best deal.

When you are comparing banks it is also important to take into account their standing. While small bank may be able to offer you great rates and unbelievable offers, the security of their position is less assured. If you use one of the bigger names you at least have some form of guarantee that your finances are in a safe place as the chances of a large worldwide bank going into liquidation are remote. Take the Northern Rock example where even though the company had financial difficulties the government bailed them out to ensure that customers did not lose their savings.

It is always worth considering the bank charges that may be applicable to your small business operations. It will usually cost money for a bank to look after your finances and hence finding an institution that will do this cheaply is the ideal. However you do not want to be paying so little that the services you receive are substandard. The ideal is to find a balance between costs and services that ensures your company is given the correct amount of financial support, but does not have to pay a large amount for it.

By following this advice you should be able to find a bank that suits the needs of your small business perfectly. Remember that in the coming years it is likely that you will be spending considerable time conversing and liaising with the bank over a number of issues. Therefore having a bank that not only supports you but understands your objectives is important in creating the perfect financial partnership. Financial expert Thomas Pretty looks into the best way to find a small business bank account to suit the needs and objectives of your company.
by: prettyone
Article Source: http://www.articleink.com

Operating A Bank Account In Hong Kong

Operating A Bank Account In Hong Kong,banks in Hong Kong provide extended banking facilities**For bank account opening,RMB Corporate Accounts,Foreign currency accounts:

Operating A Bank Account In Hong Kong
Hong Kong is considered as one of the main financial centers in Asia. With more than 100 licensed banks, Hong Kong offers several finance related services to customers in Hong Kong as well as in Asia Pacific region. You can avail service such as corporate banking, retail banking, investment services and trade financing from each and every bank in Hong Kong. Some of the leading banks around the world including Canadian banks have their representatives here. Based on the feasibility and credit risk of the individual company, most of the banks in Hong Kong provide extended banking facilities. If you are foreigner, you can consult with your existing banker to confirm whether they have a division here. It is also recommended to ask the details of the services they offer.

Nowadays, it is a simple process to open a new account with any of the banks in Hong Kong. To start a new corporate account, the first step is to register your company. If it is already registered, you can open the account with required documents such as company registration certificate attached with related registration regulation forms, certificate of incorporation, memorandum of association and articles of association, identity proof of all the directors and copy of board resolution indicating the approval of board of directors to start a new account.

For bank account opening, the company must be registered in Hong Kong. The authority of Hong Kong do not allow all types of company structures to register, only certain company structures are allowed. Three types of companies are allowed to register including a wholly foreign owned enterprise, joint venture and representative office. You can open an account based on the company structure.

A representative office is limited to open only foreign currency and RMB expense accounts while wholly foreign owned enterprise and joint venture can open certain bank accounts, including basic accounts, capital accounts and ordinary accounts. You can not open a basic account and ordinary account in the same bank.

Type of accounts:
1. RMB Corporate Accounts
This type of account includes basic account, regular account, special account and temporary account.

You can use a basic account for the purpose of fund transfers, payment of salaries, and cash deposits and withdrawals. Regular accounts are for cash management needs and you can not withdraw cash from this account. For special purposes including infrastructure construction, reconstruction, agency business, credit cards, you can go for a special account. If you are planning to start a temporary business in Hong Kong, it is better to go with a temporary account. You can receive inward electronic and draft remittances through this account.
2. Foreign currency accounts:
These types of account include capital account, basic account or settlement account, loan account and loan repayment account.

A capital account is for capital injection and you can do foreign currency operating transactions through settlement accounts. A loan account is for borrowing foreign currency from a bank in Hong Kong. For loan principal and interest repayment, you can use the service of a loan repayment account. The approval of State Administration of Foreign Exchange (SAFE) is needed to open a Foreign currency capital account and settlement account.

You can use bank accounts in Hong Kong outside this metropolis through the following ways.
i)Phone Banking Service/Internet Banking Service
Banks in Hong Kong such as HSBC and SCB provide this facility. You can use this service via internet for making balance enquires and cash transactions. HSBC offers an exception from monthly fee of HK$80, if your account maintains an average monthly balance of HK$50,000. In the case of SCB, it offers an exception from monthly fee of HK$150, if your account maintains an average daily balance of HK$50,000.
ii)ATM Card
You can use ATM cards to withdraw money from the bank account. Specific ATM machines are there to use named "Plus" for HSBC and "Cirrus" for SCB. There will be a charge for this service, if you are making the transaction outside Hong Kong.

The Zetland Financial Group provides the offshore investor with fiduciary Services, investment management and corporate advisory services, offering personal service and professional advice with total confidentiality.
by: gsmyth
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US Banks Are In Trouble

US Banks Are In Trouble
In recent times, the status of our economy has really been questioned. From the weakening of the American dollar to an increasing amount of debt, the countries current financial crisis has continued to dwell and even breed. Now, in recent weeks, concerns are being rose up about the status of our banks. From local institutions to corporate lending companies, companies are feeling the effect all across the board.

One of the nations largest companies to close in recent history, Indymac, symbolizes the sorry state of our economy and the dwindling industry. This company contained almost 32 billion dollars in assets off of savings and loans accounts. In addition to, it was also connected to the Countrywide Financial Corporation. Such a giant taking a K.O is not good news for us American citizens and for the companies that utilize us to make profit.

Two other financial giants that are in much trouble is Fannie Mae and Freddie Mac:
Fannie Mae is a government sponsored organization also known as the Federal National Mortgage Association and is said to own approximately (with the help of Freddy Mac) half of the US trillion and trillions dollar mortgage market. Initially created in 1938 as part of Franklin Roosevelts New Deal program in an effort to provide stability to the nations economy and mortgage market, Fannie Mae has since been converted to a private organization.

Also known as the Federal Home Loan Mortgage Corporation, Freddy Mac is also a government sponsored company which holds major responsibilities when it comes to authorizing loans and loan guarantees. Founded in 1970, Freddy Mac was in a sense added to provide competition to Fannie Mae, which from 1938 to 1968 held a monopoly over the mortgage market. Thus, the US government chartered the corporation in order to expand the mortgage market and provide multiple options to homeowners.

When you see the importance of these companies and how they hold such a strong foundation when it comes to the American economy and the mortgage market, one has to ask what is going on when these companies are reportedly in risk of closing and needs government assistance to stay afloat.

Despite the fact the US has issued the FDIC act to insure our money within savings accounts it has been reportedly stated that there is approximately only 50 billion dollars within the account. Including the fact that Indymac, which recently closed will eat up anywhere up to 8 billion dollars of the fund the government can be in trouble and might have to find new ways of backing up the savings accounts of millions of consumers.

Industry analysts have stated that this economic pinch might effect anywhere up to 90 banks. Even though lists compiled by experts have not been publicized stock markets and traders have definitely been paying attention and trading and buying to keep in step with the recent rumbles within the business and financial world.

When looking into the future, we have to ask ourselves what is the future for our economy. The Great Depression, is that a possibility? Will our stock markets shut down and trading with foreign countries cease, one has to ponder. Maybe its safe to say that we might have to start keeping our funds with us where we sleep at, under our mattress!
Article provided by S-Proprietor.com. A website dedicated to entreprenuers, work at home business opportunities and resources.
by: ferdiefrederic
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The History And Functions Of The Bank Of England

The History And Functions Of The Bank Of England,in 1694 in order to manage the debt of the British Government**The bank also has complete control over the issuing of banknotes in England and Wales...

The History And Functions Of The Bank Of England
The Bank of England is a historical entity that instead as acting as a bank for private investments has a role to support the finances of the nation and to keep the economy afloat. The bank was founded in 1694 in order to manage the debt of the British Government. Whilst it has continued to perform this role, its functions have expanded, one of these being helping the government formulate its monetary policy. The bank also has complete control over the issuing of banknotes in England and Wales.

The Bank of England has a variety of functions that many central banks all over the world carry out. In terms of importance; keeping prices stable and supporting the policies of the government that relate to finances is the predominant pair. It is hoped by carrying out these roles the bank can help to promote the growth of the UK economy.

Monetary stability can be defined as having stable prices and overall a confidence in the national currency. The bank does this by trying to ensure that any price increases meet the inflation targets set by the government. This task is carried out by making minute adjustments to the interest rate; these minor alterations are decided by the Monetary Policy Committee.

As an adjunct to this, maintaining financial stability is also a key role of the national bank. This is done by protecting the economy from any threats that may unsettle the financial situation. As a result, the bank must employ workers to investigate potential threats in the stock and other financial markets such as oil. While the bank attempts to be proactive with preventing financial instability, as a last resort a reactive approach can be taken; this normally takes the form of a loan to the government in extreme circumstances.

Loans to the government are in no way new to the bank of England. The National Debt has been held by the bank for centuries, managing the payments from the government and to other banks. The bank also had control over the gold reserves of the country although throughout the eighteenth and nineteenth century, limitations were placed upon the dispersal of the gold.

In 1844 the bank was given sole control over the issuing of banknotes. These notes had to be tied to the gold reserves as security. Other banks however were still able to issue there own notes, especially those outside of London. These note producing banks however were still in operation right up until the thirties. The bank however still does not control the complete issuing of notes across the whole of Britain. Scotland and Ireland retain the right to produce their own notes.

In the early to mid twentieth century the bank made a drive to reduce its commercial activities in pursuit of becoming a solely central bank. After the Second World War it was nationalised and remains government owned today. In addition, in the latter stages of the last century, the bank was given control over the setting of interest rates. This however means that the bank is solely responsible for interest rates, if they do not meet the government targets; the governor of the bank must explain to the government and show how the situation will be remedied.

The Bank of England has been heavily involved in the political and economic development of the nation. The bank has evolved with developments and enhanced its role at the centre of the national financial situation. Today its role is as important as it has ever been, supporting the government in its monetary decisions is a fundamental function that maintains the stability of the economy.
Financial expert Thomas Pretty looks into the history of our national bank and how it has helped developments in the political and economic sphere.
by: prettyone
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Unsecured Loans Your Solution to an Improved Credit Score

Credit Score;The easiest way to get your credit score is to go to a credit agency. However, customers a free yearly credit report**the online loan evaluators.,bad credit to improve their credit rating,

Unsecured Loans Your Solution to an Improved Credit Score
A bad credit score used to make it impossible for individuals and families to borrow money for home and car financing. Today, there are several companies which not only give individuals with bad credit unsecured loans but actually cater to people who have extremely low credit scores.

If you are interested in an unsecured loan there are a number of issues to explore before applying. The first and most important step is knowing how bad your credit score is. The easiest way to get your credit score is to go to a credit agency. However, there are banks and mortgage companies which offer their customers a free yearly credit report - all you have to do is ask.

The interest rates offered to you can be effected by bad credit scores or no credit at all. There are many websites which offer an instant credit report for a small fee. Another reason to check your credit score is it may not be as bad as you think it is. Often credit ratings are simply misunderstood by individuals.

In process of receiving your credit score be sure to check your credit report for improper information. Credit reports can be the first indication of credit card fraud or identity theft. Both of which can leave individuals and their families emotionally and financially devastated.

Once you have your credit score you can use any one of the online loan evaluators. These calculators will allow you to figure out how much money you can borrow and the interest rates that are available to you. It is important to make an informed decision when picking a loan provider. While television advertisements and newspaper ads can be tempting, it is better to research a number of established and reputable loan organizations.

Many "get money now" companies have hidden costs and penalties which consumers are not aware of until after they sign the papers. Looking around for loan companies online is a great way to save money and time. Many lenders have online applications which can be filled out for free. Once you have made your list of possible lenders it is a good to have specific criteria for choosing your loan company.

Besides choosing a company that has a good business reputation choose one that is going to offer you the best deal. This does not always mean the lowest interest rate. Other things to consider are the time period for repayment, penalties if you pay the loan off to quickly, what are the late fees, is the interest rate variable or fixed, and what is the APR.

Unsecured loans usually let an individual borrow less than a secured loan. The interest rate is usually higher for an unsecured loan.

One of the benefits of going with an unsecured loan is it is usually approved quicker which means you get the money faster. This is because secured loans need property to secure it. Property must first be evaluated to see how much it is worth.

Unsecured loans are a great way for individuals who do suffer from bad credit to improve their credit rating, consolidate debt, take vacation, or cover unexpected medical expenses.
More Articles & Tutorials and a Free Investing For The Beginner E-Course at http://www.Global-Investment-Institute.com
by: Mikahamilton
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Interest Rate Determination Three Key Factors

Interest Rate Determination Three Key Factors***: the federal reserve discount interest rate, FISCO score-credit report, lender business factors...Credit Report; spending and living habits. ..

Interest Rate Determination Three Key Factors
There are several factors which influence how much money you will pay in interest for a loan. However there are three major influences: the federal reserve discount interest rate, FISCO score and credit report, and lender business factors. Understanding each major factor will allow you to chose which loan is right for you and avoid high fees and frustration.

The federal reserve discount interest rate refers to when banks and other companies borrow money from the Federal Reserve. These lending companies are offered a discount rate from the Federal Reserve because they borrow money on a short term basis. The federal reserve discount rate is set by the board of directors of the Reserve Banks. The discount federal reserve interest rate influences the prime rate. This is the interest rate that lending companies charge clients with high credit ratings. Most banks will offer customers a prime rate plus 1% for example.

Obviously this factor is completely out of your hands and you have no control over the decisions made by the Federal Reserve.

The second factor is your FISCO and Credit Report. There are companies which gathering and also sell personal information about your spending and living habits. They monitor how you pay your bills, if you have been arrested, or filed bankruptcy. These companies are called consumer reporting agencies. You have heard of the Credit Bureau, which is just one of a thousand other credit reporting companies. When you apply for a loan, the lending company will contact the Credit Bureau. FISCO score of credit score is a number which takes all the above factors into account and condense your risk as a borrower into a single number. The higher your FISCO number the better interest rate you will get on loans.

There are also several factors that affect interest rate depending on which lending company you choose. Obviously, banks and other lenders, want to turn a profit. They each exist in an extremely competitive market therefore they have to balance their profit with competitive factors. If a company charges too little they are going to risk not making enough money. If they charge too much they will probably lose customers to another lending institution. When looking for a loan shop around and make sure that you are getting the best available deal.

Additionally, the number of times your credit report has been accessed in a particular amount of time can also effect your FISCO score. Therefore, do not apply to every loan company in town, make a list of your top four choices and apply only to them. Most Online lenders will not access your credit score until after they have given you a quote. Remember you must share your social security number and therefore should be extremely careful in what companies you share this information with.

The three major factors which effect how much your loan interest rate will be are prime interest rate, credit history, and current business conditions. Make sure you keep a good credit history by paying your bills on time and shop around for the best loan interest rate.
More Articles & Tutorials and a Free Investing For Beginners E-Course at http://www.Global-Investment-Institute.com
by: Mikahamilton
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Bad Credit Cash Advance Services

Bad Credit Cash Advance Services;Cash advance loans with bad credit are a short-term answer to your unexpected financial problem...Bad credit cash advance services are very fast.**

Bad Credit Cash Advance Services
Bad credit cash advance services fulfill the needs of people who need quick emergency cash but their bad credit history disqualifies them for getting a loan. These bad credit fast cash loan lenders do not worry about the bad credit history. They provide cash loan with guaranteed approval as quick as 24 hours. The loans are usually for short-term in that you are expected to pay back in two to three weeks.

What Do You Need To Qualify For Such Loans
To take the benefit of bad credit cash advance services, you have to fulfill some eligibility criteria. To be able to get this payday loans for bad credit you have to provide the details of your employment. For example, the name of your present employer, how much monthly salary are you getting and how stable your job is. By verifying this information, the lender company satisfies itself that you are having a regular source of monthly income. In addition, the monthly income should not be les than one thousand dollars. One needs to be at least eighteen years of age and should have a working bank account to get the benefits of bad credit advance services.

Once you meet with these qualifications, you would generally get your bad credit cash advance, more or less within 24 hours of your application. Cash advance loans with bad credit are a short-term answer to your unexpected financial problem. Whatever you call it, bad credit cash advance or cash advance loans with bad credit, they need to be repaid by your next payday. Failing this, the penalties and the interest you pay are quite high, leading you into a further financial mess than you were in, to begin with.

Quick Processing
Bad credit cash advance services are usually very fast. One can expect the required amount of cash in his/her account within 24 hours of the application. However, you should understand very clearly that this bad credit fast cash loan is a short-term solution to your emergency cash requirement and you have to pay it back on or before your next payday. If you do not make repayment before the next payday, the lenders will impose penalties and the rate of interest will go higher.

Bad credit cash advance services can be located in the Internet. You can simply fill in the application online and get approval instantly. Some lenders do not even require you to submit any paperwork. They are able to process your application completely paperless. No fax required, no teletrack, and no credit check. Locating bad credit cash advance services is easy.

Click here for bad credit no teletrack cash advances. You can get payday loans with no faxing required
by: arsen1
Article Source: http://www.articleink.com

Business Cash Advance: Payday Loan for Businesses

Business Cash Advance: Payday Loan for Businesses**business cash advance is not a loan.,Applying for a business cash advance can be done online..America, Australia, Canada, UK. In websites,

Business Cash Advance: Payday Loan for Businesses
When you have your own small business enterprise, very often you find yourself in need of a business cash advance for various reasons. Your cash flow may be interrupted for some reason. You may need fast cash to pay off some dues, to purchase new equipment or even to fund the start of another small business. This is a very handy tool you can make use of. If your small business meets certain criteria, then you can apply for a business cash advance.

How Does It Work?
A business cash advance is basically a payday loan for businesses. It differs from a regular payday loan where individuals will have to proof their employment and salary. These funds come in handy when you are lacking perfect credit or do not have the ability to get funds through any other means.

The only requirement is that your business should accept Visa or Master Card as payment. This is because business cash advance is not a loan. Instead it is a cash advance which is paid back when you process the Visa or Master Card payments. When you give the lender your merchant account receipt, it is on the basis of that they will give you the cash in advance. Then you can pay back the amount as a certain percent of the card processing.

What are the Advantages?
It is not difficult to get a fast cash for businesses. You do not need to provide any collateral to the company. There are also no fixed terms or fees as normal business loans usually have. The biggest advantage is that you do not have to personally repay the advance to the company. It gets paid back automatically when you process a Visa or Master Card payment. This way, you are able to get the cash in advance you need immediately and are also able to repay the advance on time.

With no interest rates, no security deposit and no personal liability, business cash advance is the most convenient way to get cash when you really need it for your small business.

How to Apply
Applying for a business cash advance can be done online. There are many lenders who provide these services in America, Australia, Canada, and the UK. In their websites, they state the requirements, terms, and conditions that must understand before submitting the application form. The processing time is usually speedy. When you apply online today you can get feedback in the next day or so.

Click here to get a business cash advance online. Learn how to borrow money online with a quick guaranteed approval.
by: arsen1
Article Source: http://www.articleink.com

The Role Of Financial Intermediaries In Hong Kong

The Role Of Financial Intermediaries In Hong Kong,financial intermediaries in Hong Kong, it is a reminder of the main function of their existence...Article,


The Role Of Financial Intermediaries In Hong Kong
Whenever analyzing a part of the financial industry of Hong Kong as an international financial centre, often (and knowingly) use the technical term - financial intermediation. This technical term refers to the process of routing savings into investments, a process that is extremely important for fuelling economic growth and development. Financial consultants utilize the term extensively in the hope that its repeated mentioning will act as a frequent reminder to all concerned. This includes the regulators and the regulated, the providers and the users of financial services - of this basic purpose of the financial industry. More pin-pointing to the providers of financial services, or financial intermediaries in Hong Kong, it is a reminder of the main function of their existence.

Very often financial markets deliver financial intermediaries in Hong Kong with opportunities for profit that comprise business strategies that may not be satisfactory, having relation to the basic purpose of the financial industry. It is not probable to be precise or comprehensive about the features, and to try the categorization, of such business strategies, so that financial intermediaries might abstain from intentionally getting active. Even though this would definitely provide useful support for the industry. Regulators prefer to hand over this to the financial intermediaries, who are more involved with the markets and who perceive better the aspirations and impacts of specific market plays.

Financial consultants believe that they have the ability to realize that it is in their long-term interest not to be indulged in business strategies that have the impact of weakening the general stability and efficient performance of the channels of financial intermediation for which they have been certified as service providers. Indeed, when certifying them, the regulatory authorities have adopted the view that they were fit and proper, this comprises, significantly, being able to operate in accordance with this valuable fiduciary duty as a licensee.

But every now and then it is well within the rights for regulators to provide such reminders. One by-product of the progress of information technology and globalization of financial markets is that chances to profit at the expense of the general stability and efficient working of financial intermediation channels have rose. For example, the capability to carry out financial deals through cyberspace and book them offshore has lead to a serious lack of market transparency, which is conducive to market manipulation, which erodes the integrity of the market. The development of large and complex international financial institutions has also delivered considerable challenges to the management of such institutions, so that the value of observing the fiduciary duty of financial intermediaries in Hong Kong may not have been provided with the focus it deserves at the working level.

Consider the fiduciary duty of certified banks in Hong Kong as a further testament. Financial consultants consider it the fiduciary duty of certified banks to carry out their business in a manner that does not weaken the general stability and efficient working of the banking system. Consultants do not anticipate, just as an example, that under the Linked Exchange Rate system banks should arrange for speculative attacks on the Link, which has the effect of eroding banking stability. The banking system has been, and will remain so, an unavoidable channel of financial intermediation for financial intermediaries in Hong Kong that is extremely important to economic growth and development. The long-term well-being of the community relies on the banking system in acting this role effectively.
The Zetland Financial Group provides the offshore investor with fiduciary Services, investment management and corporate advisory services, offering personal service and professional advice with total confidentiality.
by: gsmyth
Article Source: http://www.articleink.com

Benefits Of Online Banking

Benefits Of Online Banking,Online banking has really only taken off in the last decade, online banking has constantly been a target by thieves and cyber criminals...

Benefits Of Online Banking
Believe it or not online banking has existed globally in some form since the early Eighties, in particular with the Videotex system. Unfortunately it eventually turned out to be a major flop, apart from in France. Luckily, almost three decades on, online security has dramatically increased allowing online banking to flourish.

The most notable security advancement is the implementation of SSL security, which stores all secure data remotely and can apply scripts to it, for example checking current balance. The encrypted information is then sent securely back to the user. Users can check the webpage and data they are sending is secured by ensuring there is a padlock symbol displayed in their browser.

Online banking has really only taken off in the last decade, when the first internet only banks started, including Egg, First-e and the Smile. Smile was the first full internet bank account, now owned by the co-operative is award winning and known for its corporate social responsibility.

Now a days online banking is just as strong as ever. All the major high-street banks also offer a special internet account or at least the option of online banking. The attraction of an online bank account is mainly ease and speed of access, paperless accounting and primarily more competitive interest rates available.

Due to the nature of online banking and the potential for illicit activities to take place, online banking has constantly been a target by thieves and cyber criminals. The security precautions employed by banks are considered the strongest in the world, therefore canny hackers tend to prefer targeting less aware customers.

A common attempt to obtain bank account information is to create look a like websites, impersonating the genuine bank websites, known as phishing. This technique can easily deceive experienced web users who would not consider themselves at high risk of being caught out. Once a customer opens the website they believe to be the banks, they often enter their personal details such as usernames, pin numbers or passwords. Your confidential details are then sent directly to the criminals who would attempt to use your details themselves.

Banks and security corporations are in an ongoing struggle to protect their customers and their funds from external threats. The latest innovation aimed at increasing online safety is the introduction of security tokens, a physical device that an authorized user of computer services is given to aid in authentication

So what is the future of online banking? Well the simple answer is as secure as your money is, exceptionally. With increasingly complicated security algorithms and authentication systems being developed, external threats are diminishing. Additionally new approaches of online banking are emerging, in particular mobile banking, definitely a technology we will become accustomed to and probably not live without over the forthcoming decade. If you are pursuing a career which will be as secure as your money, why not look into banking jobs, in particular online banking jobs?
John Mce writes on behalf of the Commercial Finance People. With the latest advice & career options for banking & finance professionals & a comprehensive job search, find your next banking job here.

by: johnmce
Article Source: http://www.articleink.com

Bear Stearns from 20 Billion to 236 Million and Beyond

Bear Stearns from 20 Billion to 236 Million and Beyond
What a difference a year makes. Last year at this time Bear Stearns had a high flying stock price of $150 a share and a market valuation of 20 Billion. Having been founded in 1923 they were considered one of Wall Streets most venerable investment houses.

Going back to 2005 Bear Stearns was selected as "Most Admired" securities company in Fortunes annual survey a distinction they retained until 2007. During this time period many of the decisions that would lead to their eventual downfall were being made. In the middle of 2007 their armor started to crack. The subprime problems were beginning to explode. Basically it was becoming clear to the financial industry that many of the subprime loans that had been given out over the last few years were not going to be repaid.

One of Bear Stearns funds, the "High-Grade Structured Credit Fund", started to falter. In a sign of things to come when Merrill Lynch acquired 850 million of the collateral for the fund they were only able to auction it off for 100 million.

A problem started to develop with two of their funds that operated as hedge funds. The interesting word here is hedge fund. Hedge funds basically operate under the philosophy that by investing in a large number of loans that are somewhat risky you minimize the risk. While a few individuals might go into foreclosure the investor is protected because they have invested in a high number of loans. The problem the financial industry started to realize in mid 2007 was that a large number of these were going into foreclosure. In July these two hedge funds had lost nearly all of their value.

By August lawsuits had started flying as angry investors started to sue over their losses alleging that Bear Stearns had not property disclosed their exposure to hedge funds. A few months later they declared write down of 1.2 billion on their securities.

2008 brought more problems for Bear Stearns. Rumors started to circulate that they were having cash problems. JP Morgan started to provide emergency funding to Bear Stearns but it did not seem to stop Bear Stearns slide into financial chaos. This led to the final offer of 240 million. Not only was this substantially less than the 20 billion Bear Stearns was worth a year ago, but it was less than the value of Bear Stearns headquarters in New York which is valued at 1.2 billion. The fact that the purchase price is lower than the value of the real estate owned by Bear Stearns is seen as a sign that many of the financial assets Bear Stearns owns have a negative value.

Another interesting point is comparing Bear Stearns to Countrywide. Both were large institutions with exposure to the subprime real estate market. But Countrywide was seen as a free wheeling company that almost ignored risk and rose fast and feel fast. In contrast Bear Stearns was seen as an older company that had weathered through multiple recessions. But in the end the same market brought both these companies to their knees. Basically spreading out risk among many subprime borrowers does not help if the real estate market weakens resulting in a large percentage of borrowers going into default. Hopefully the collapse of Bear Stearns will serve as a warning lesson for future companies. And the warning lesson hopefully will not only be remembered only in bad times, when it is frequently too late, but in good times when the seeds are sown for future financial turmoil.

Ki is a real estate agent in Austin Texas. He works with buyers interested in investing in the Austin real estate market. His site provides a free search of the Austin MLS as well as a graph of recent mortgage interest rates.
by: kigray
Article Source: http://www.articleink.com

Factors To Consider When Choosing A Business Account

Factors To Consider When Choosing A Business Account**bank that look after your personal finances...opening an account for your business, make sure to study all the options in detail***

Factors To Consider When Choosing A Business Account
When starting your business a vital concern is the business account you choose, there are many factors to consider such as the costs involved in transactions and borrowing, the facilities that your bank provides and the relationship you will be able to foster with your account manager. All of these factors will affect your business in a variety of ways, after all the security and efficiency of your finances is an essential element of success.

Firstly you must set up an account if your business is to be run as a limited company. This is mainly so transparency of your finances is apparent and detailed reports on the account can be produced. However, if your business is to be run as a partnership or you are operating as a sole trader; your personal account can be used. This however is rarely advisable as it is useful to make a distinction between the different types of account you may possess.

It is not always necessary to open your business account with the same bank that look after your personal finances. Although you may have already built up a good relationship with the bank that control your personal account, giving control of all your finances to one bank can be a mistake. Added to this, if you do choose a business account purely because you already have an account with that bank, you may miss better offers that are available to you from other banks.

When opening an account for your business, make sure to study all the options in detail. With so many offers in a saturated marketplace, choice is currently amazing. Ensure you compare the costs and charges that are associated with the accounting package. There is a wealth of packages available and through in depth consideration it is possible to find the account that will cater for your business needs perfectly.

It is really worth only looking at banks that have a strong heritage and background. While smaller banks may offer deals that are enticing, the security of your finances should be your primary concern. Look for names you know in the financial world, it is even worth using online banks, just make sure that the institution that owns them are a known and trusted industry player.

Bank charges should be of prime importance when opening a business account. How much it will cost to operate your finances is a worthy consideration, if you perform a lot of transactions these costs can be astronomical, so get a good idea of how you will use your account in order to find the best deals in terms of charges. Many banks will offer free charges for an interim period, this however will not last and so making sure that the charges that begin after this initial period are preferential for your business.

Online banking is increasingly becoming an important part of account packages, as they allow access twenty four hours a day they are extremely useful for those who operate under a hectic schedule. They can save time and energy by removing the need to phone bank representatives and spend hours on hold. The benefits may seem fractional but your business will see results by employing online banking solutions.

Interest rates with business account packages vary immensely from one bank to the other, but before opting for the account with the highest interest rate, remember that there is usually a trade off between interest rates and banking charges. Considering the benefits of interest in relation to bank charges is vital for achieving efficient finances.

Most major banks will have some form of small business team that will be able to assist and advise on commercial matters. Having a dedicated team behind you will help your business in a number of ways and in theory increase the chances of success, as most businesses fail in their first few years it is essential to get as much help as possible during the start up phase.

If you follow this advice, there is no reason why the relationship you have with your bank, and the efficiency of your finances should not be a complete success. Remember to think logically and plan every step in detail, a comprehensive methodology is one step towards owning a successful business.
Financial expert Thomas Pretty looks at what considerations should be made before opening a business account. To find out more please visit http://www.lloydstsbbusiness.com/accounts/index.asp
Article Source: http://www.articleink.com

Choosing A Business Account, Large Or Small Bank?

Choosing A Business Account, a business account with a minor bank,A small bank may well not have the solid financial position that your business needs to succeed,choose a large established bank for you business account**

Choosing A Business Account, Large Or Small Bank?
Opening a business account can be a troubling and stressful experience. The marketplace today is currently saturated with so many deals and offers that it is enough to make your head spin as you trawl through the reams and reams of associated literature. But what should you consider before taking the plunge and signing up for an account is who will control your business finances and ultimately the financial platform that your business sits upon.

For this reason alone it is not worth opening a business account with a minor bank that is just starting out or is not established in the financial markets. They may offer preferential rates and what may seem an unbelievable deal but you will pay in the long run.

A small bank may well not have the solid financial position that your business needs to succeed, with a global credit crunch currently taking hold on the financial industry, only the major banks have a decent chance of survival. The last thing you need is for the funds in your business account to disappear as your bank goes into liquidation.

Another reason to choose a large established bank for you business account is the services that may be on offer. You may have to pay more but large banks usually have on-site business advice that can be priceless in the early days of your operation. Either having an expert at your local branch or on the end of the phone is a useful asset that can do nothing but improve the chances of success for your business.

Without this expert advice that comes as a package with your account, taking the wrong turn is easy and could result in your business heading down the wrong path and falling by the wayside.

This said; a large bank is not always the safest option. The global credit crunch has touched even the highest echelons of the financial world. The current crisis with Northern Rock can be seen as an example of this, showing even the biggest financial institutions are susceptible to problems. One benefit however is that as a larger bank the government may step in and steady the boat so customers do not lose out.

There is little doubt that if it had been a smaller bank that had had the same problems as Northern Rock, the government would never have considered privatisation to save customer finances. Because of its large size, it is impervious; at least with the help of a socialist government who would prefer to privatise than let it go down the pan.

Knowing the funds in your business account are safe and solid is a vital element in business. Businesses are built from the ground up and without solid monetary foundations it will be hard for your business to succeed in a competitive market.

Starting a business is not easy, it is estimated that over half of all business fail in their first two years so making sure you have solid financial backing is essential. To succeed in business you need all the help you can get and a little luck, anything that can benefit your chances is worth pursuing.

Of course if everyone chose large banks when opening an account there would be no room in the marketplace for small financial institutions. I am not advocating the pure use of large multinational banks as this is unhealthy for a supposedly capitalist, free enterprise system, it worth remembering however that security should be your main concern.

Without a secure basis, your chances of success will be little or non-existent. Choosing a large financial institution that can provide advice and a worthwhile financial contribution is advisable.
Financial expert Thomas Pretty looks into the types of banks you should open a business account with. To find out more please visit http://www.lloydstsbbusiness.com/accounts/index.asp
Article Source: http://www.articleink.com

What's All The Fuss Over Bank Charges?

you can't fail to have noticed the huge row over bank charges. ,credit card late payment charges,

What's All The Fuss Over Bank Charges?
If you've been keeping an eye on the media over the last few months, especially the parts of it covering personal finance, you can't fail to have noticed the huge row over bank charges. Stories abound of customers reclaiming thousands in backdated fees from their banks, and with consumer groups, activists, and government regulators squaring up towards seemingly intransigent banks, the stage is set for a battle that could affect the financial future of everyone who makes use of financial services. But what is the hoo-haa all about?

The basic accusation laid against the banking industry is that the various charges levied on customers who go overdrawn, miss repayments, or commit other misdemeanours are excessive. Under the financial services industry regulations laid down by government, any such charges must only be of sufficient size to cover the administrative costs the banks incur by dealing with miscreant customers. Many outside the banking industry think that this isn't what's happening, and that banks are inflating their charges to punitive levels, and using them as profit makers - both of which are illegal under current laws.

Naturally, the banks dispute such accusations, although when the row first blew up in the arena of credit card late payment charges, and the regulators insisted that these charges be slashed, all banks promptly agreed to do so.

Further, in many cases, bank customers have been able to reclaim past charges for going overdrawn, simply by asking for them back. As these repayments have sometimes run into four figures or more, and the banks concerned agreed to the refunds without recourse to legal action, the implication could well be that even the banks are unsure what the true legality of the situation is.

Thankfully, the matter should soon be clarified with the instigation of a test case to decide whether the charges are fair, or punitive and illegal. There is now an embargo imposed by most banks on refunding disputed charges, pending the outcome of the case. If the banks lose, the floodgates could open, and the costs could run into millions.
Would this be a good thing for customers?
Well, should the banks be faced with multi-million pound refunds because the decision goes against them, the money will have to be found from somewhere. And that's without considering the further millions of pounds of income the banks will lose if charges are drastically reduced. Already, there are monthly or annual fees being introduced for current accounts, credit cards, and other financial services - irrespective of whether the customer goes overdrawn or otherwise breaks the terms of their agreement.

Make no mistake: the banking industry won't allow defeat to erode their profits, and the lost revenue will be reclaimed from somewhere else. It may well be that mainstream banking customers will have to pay a fee to subsidise lower charges for those who bank less responsibly.
About the Author/Author Bio
Nicholas writes for a banking guide site, where you can read information on high interest savings accounts and switching your current account.
By Expert Author: Nicholas Hunt
Article Source: http://www.articlesphere.com/

How to Open an Offshore Account

Having an offshore bank account can provide huge tax and asset protection benefits,The best plan is to use an off-shore law firm.

How to Open an Offshore Account
You don't have to be James Bond to use an offshore banking account.
Having an offshore bank account can provide huge tax and asset protection benefits, not to mention the sex appeal of having a secret offshore bank account. Borrowing from the James Bond spy appeal, you can use an offshore bank account to get more than dollars. But how do you open an offshore bank account?

Who can benefit from an off-shore bank account? -- All the wealthy tycoons have off-shore bank accounts to hide away their money. They invest in off-shore tax havens where their money grows unimpeded by governments and taxes. Can the little guy catch a break? It used to be that if you didn't have more than $100,000 to invest their was no point in setting up an off-shore banking strategy. Times have changed.

Your intuition might say to you, "Why don't I just drop in to bank while I'm traveling?" Its a noble thought, but off-shore banking institutions don't work the same way as onshore banking institutions. off-shore banking institutions usually require you to be introduced. They want to make sure they are not getting involved with a money launderer or terrorist. If a bank doesn't do it's due diligence I strongly recommend you keep away. You hard earned dollars will get mixed in with drug dealers and terrorist money and some horrible day you will wake up to find your money frozen. The smaller banking institutions have easier requirements to get an offshore account because they are hungry. Sadly it is also these same off-shore banking institutions (with less than 100 million under management) that end up going under. I know personally of a few people's retirement fund wiped out who invested in a bank that went under (Do a search for Bank Crozier - had a few friends who lost big time!) This type of disaster just doesn't happen in the bigger banking institutions... But the bigger banking institutions will need you to be introduced.

The best plan is to use an off-shore law firm. It might cost a little more in the beginning but you can rest easy knowing your money is protected in a trust worthy off-shore bank.
About the Author/Author Bio
Doug Masters is a author for the offshore banking, and asset protection areas of offshorelegal.org.
By Expert Author: Doug Smarteras
Article Source: http://www.articlesphere.com/

Online Banking With Safety In Mind

Online Banking With Safety In Mind ,choose your own password for online services, ..along with a number that is significant....

Online Banking With Safety In Mind
Online banking facilities have the potential to make our financial lives much easier, letting us conduct our financial affairs at a time that suits us rather than having to fit in with the opening hours of your bank branch.

It is now possible to pay bills, move money between accounts, set up direct debits and standing orders, and even apply for overdrafts and credit all from your own home, all online and on your own PC.

Despite this convenience, for many people there is still a lingering mistrust of the technology involved : will your money be safe if you bank online? The answer is, for the most part, yes - so long as you follow a few basic principles.

Firstly, if you have the option to choose your own password for online services, then make sure that the password you decide on is secure. This means that it shouldn't be easily guessable - avoid using the name of your pet or child, for example, and don't use the numbers of your birthday. An ideal password should be easily memorable, but hard to guess, and using a combination of letters and numbers is highly recommended. For example, a good password could be the name of a food you hate, along with a number that is significant in some way to you - e.g. mushrooms37. Such a password would be almost impossible for someone to guess, but will also be very easy for you to remember.

One the subject of passwords, it's vital that you never give out your personal details in response to a 'phishing' attack. Phishing is a subject worthy of it's own article, but in brief: if you receive an email purporting to be from your bank, asking you to reconfirm your details or to log into your account urgently, then ignore it. It will NOT have been sent by your bank, but by fraudsters attempting to steal your identity.

Another important security measure is to avoid logging in to your online banking service on a publicly accessible computer - for example, at work or in an internet cafe. You can never be sure what details about your internet use are being stored on a PC you don't own, and even if you log out of the service when you've finished it's highly possible that the next user of the machine could, with effort, discover your details and log on to your account.

The final, and perhaps most important thing you should do to protect your banking security is to ensure that you keep your virus checking software up to date. It's all to easy for your Windows PC to be infected by so-called spyware, via email or visiting unethical web sites, which criminals can use to intercept your passwords and other information they can use to illegally gain access to your account. Having well known and up to date virus protection software installed is a highly effective way to prevent this from happening.

Also remember that if the worst happens and your account is somehow compromised, any losses will have to be taken by the bank and not you, so long as you can show that you haven't been reckless with your online security. Following the above measures will show that you have taken all reasonable precautions, and so will not be liable for any losses that may occur, however unlikely.
About the Author/Author Bio
Nicholas writes for a bank accounts information site, where you can read more about online banking and other related subjects.
By Expert Author: Nicholas Hunt
Article Source: http://www.articlesphere.com/

Arrays of Bank Accounts

Arrays of Bank Accounts... makes sense to be knowledgeable about the kinds of bank accounts ,A person seeking to open a new savings account has many kinds of accounts to choose from.

Arrays of Bank Accounts
Bank accounts are a great boon to the world of today. They help us save money. They provide a sense of safety and security. We do not need to fear that we will end up losing all our savings in a single day. In addition to both these factors, bank accounts also allow us to earn interest on our savings. So there is so little risk. It helps to be familiar with the whole banking process. After all, we will be using bank accounts almost all the time. So, it makes sense to be knowledgeable about the kinds of bank accounts that are going to be offered to us. This knowledge will help us make the best decisions about how to save our money.

There are many ways by which our money can be invested in a profitable manner. We can invest in bonds or in the stock market. We can even decide to purchase some real estate. However, in a bank account, the expenses involved are really low. We can always make use of the money in the bank. Unlike in the case of property, the money is liquid. Of course, there is a certain minimum balance which may be required by the bank. Also, a savings account in a bank can never provide the kind of returns that are inevitable in case of other kinds of investments. However, the sense of security and certainty provided by the savings account makes it very popular. There is a negligible amount of risk.

A person seeking to open a new savings account has many kinds of accounts to choose from. One can decide whether one wants to bank directly, using the phone, the Internet, and personal visits to do one's banking, or whether one wants greater levels of service. These days, most people are favoring the route of direct banking.

One can also decide between accounts that place various kinds of curbs on how you can use your money. Some accounts require that the money remain locked in the account for a certain given period. This could be thirty days or sixty days or ninety days or more. Yet other accounts allow the account holder to make use of his money whenever. The former type of savings account generally offers higher interest rates. The rate is slightly lower in the case of the latter.

Moreover, these options are only a few of the assortment. Take a trip to the bank anytime and inquire about the kind of bank accounts that are available. There should be no problem in finding great deals.
About the Author/Author Bio
Bank on us to get you the best bank accounts. We will get you the ideal deal for savings accounts at www.onlystop.com.
By Expert Author: Ajeet Khurana
Article Source: http://www.articlesphere.com/Article/Arrays-of-Bank-Accounts/105026