2007-04-04 01:33:09 · 3 answers · asked by Anonymous in Business & Finance ➔ Investing
Banks are actually licensed by the Federal Reserve Board. The Fed sets interest rates, loans money to banks, and buys and sells bonds, all at their discretion to affect the economy. Banks are under the control of the Fed, and therefore need to be licensed by it.
2007-04-04 01:42:37 · answer #1 · answered by Anonymous · 0⤊ 0⤋
They have to meet government standards to operate. They have a fiduciary responsibility (they accept your money from you) so the government makes sure the bank operators return your money with interest. It is for the consumers' protection.
2007-04-04 01:37:56 · answer #2 · answered by regerugged 7 · 0⤊ 0⤋
You don't want to go in a false bank and dump lots of money in there, do you?
2007-04-04 01:42:09 · answer #3 · answered by Joshua C 1 · 0⤊ 0⤋