The Complete Guide To Banking Services In The Philippines
The banking system of a country is one of the key drivers of its economy. It plays a major role in regulating monetization and the circulation of money. Banks are a vital piece in our financial system.
They bridge consumers to institutions generating funds. That’s why, whether we like it or not, we will most likely need a bank account in order to participate in the monetary exchange in our society and avail services and products essential to our everyday lives.
For the consumer’s benefit, banks have three main functions:
- Safely keeps our savings, and in turn, pays us interest. Without banks, people would have to store and protect their savings themselves, which is risky and impractical.
- Operating body for payment system. Electronic payments have evolved our spending practices as it made it possible for us to do it cashless. Basically, banks are the ones who are running and regulating the payment system, making it a lot easier for consumers to pay and access their money.
- Without banks, buying a home, a car, or starting a business wouldn’t be easily attainable by most people. Their loans (personal, car, and/or housing loan) help most people make these big-ticket purchases such as properties and vehicles.
The importance of banks can’t be understated. If you want to take a full dive into the subject of commercial banking, this guide will educate you on the basics of banking in the Philippines, and provide instructions on how to transact and take advantage of their services.
Do you know how interest rates work or what is the difference between a savings or checking account?
Well, it’s never too late to find out. We have put together all the banking basics you need to get started here.