Loans are categorized as working money loans and term loans.

Loans are categorized as working money loans and term loans.

Uses of funds by banking institutions

The main uses of funds (assets) include money, loans from banks, investment in securities, federal funds loaned out, repurchase agreements, and Eurodollar loans. Cash reserves demands for commercial banking institutions are stipulated by the Federal Reserve along with other main banks. The bucks assets of this bank include vault money, money things in procedure of collection, balances due from depository organizations, and Federal Reserve banking institutions. Continue reading “Loans are categorized as working money loans and term loans.”