What happens to the way bank operates after a banking crisis?

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What happens to the way bank operates after a banking crisis?

2006-10-28 10:01:17 · 3 answers · asked by Chrissy 1 in Business & Finance ➔ Other - Business & Finance

3 answers

Depends. Some banks adopt more conservative approaches to lending and institute stricter credit policies, others go out and buy failing banks and their loan portfolios (including non-performing loans) at deep discounts...

2006-10-28 10:06:52 · answer #1 · answered by NC 7 · 0⤊ 0⤋

Most banks are Limited Companies. So if there is a crisis and a bank goes bust - depositors can lose their money.

Most governments (eg. US, UK) provide some safegaurds with deposit Insurance so you will get back about Â£30,000 of your depost in the UK. The rest you lose !

2006-10-28 10:07:37 · answer #2 · answered by bloke7474 2 · 0⤊ 0⤋

they slow down until they stop

2006-10-28 10:32:21 · answer #3 · answered by Anonymous · 0⤊ 0⤋