A large amount of bank profit comes from making loans. That is the most primary as well as the most important business of banks. However, granting loans contains numerous risks namely credit risks, interest rate risks,etc which greatly contribute to the danger of banks'''' operation.
Because of the risk potentials in loans, banks are now emerging many non-interest services such as fee services from account transactions, ATM, mobile banking, LC, and so on. Such kinds of business contain very little risks but it require banks to have sufficient capital and brand name. As the result, while small banks concentrates on loan making services to make profit, big banks now move to fee-generating services, balancing between interest and non-interest sources for more stable in their income.
Được usguideclass sửa chữa / chuyển vào 22:23 ngày 29/04/2010