Offshore banks

Retail banks are financial centers that cater to the needs of clients and the low budget traders or businessmen. These banks provide assistance related to money matters to individual clients plus store their hard earned revenues. The retail banks are usually concerned with loans and mortgages, saving and checking accounts, deposit certificates and credit cards etc.. Banks can be profitable or non-profitable but usually retail banks are profitable as banking is a business in itself.

US retail banks provide its customers several different types of retail offers. A few among these banks also deal in investment banking and provide its customers with monetary assistance in the form of brokerage accounts, fiscal management and also provide retirement plans.

These banks provide money to the loan applicants by taking money from the accounts of other customers. These loans then have interest on them and some of this interest is given on the deposited money while the rest is the bank's profit. This is how money regulates in the community. The banks also regulate money among the different classes of people and the government.

But the US retail bank is a whole institution in itself and its functioning is not nearly as easy as it seems to be. There are several kinds of retail banks which are designated with not only a separate domain name but also has a distinct function. Some of the kinds of these banks, are given below :.

o Private Banks : This type of retail banks cater to the needs of aristocracy and big business proprietors. Although these type of banks cater to the needs of the cream of the society and is often debated upon as being a distinct branch but still according to its function it falls under this category.

Initially, the minimum amount to start an account with the private retail banks was a hefty figure of 1million dollars, however, with the growing fame, it has lowered this amount to a quarter of what it was initially.

o Commercial Banks : Initially commercial as well as the investment banking institutions fall under this category. It was only after the Great Depression that the US's Congress put a restriction on investment banks to work only with the first house market. This type of retail bank deals with sponsorships to and from the A-class establishments and businesses.

o Community Development Banks : These kinds of banks look after the needs of the general public and provides them with loans and financial assistance.

o Ethical Banks : The kind of banks which deal in social accountable earnings and function on fair terms and conditions are commonly referred as ethical banks.

o Offshore Banks : Offshore banks are the type of retail banks which offer the minimum interest rates and have a very small number of rules and regulations. They are usually private.