Building Societies
Building societies exist in Britain, Ireland and several Commonwealth countries. They are similar to credit unions in organisation, though few enforce a common bond. However, rather than promoting thrift and offering unsecured and business loans, their purpose is to provide home mortgages for members. Borrowers and depositors are society members, setting policy and appointing directors on a one-member, one-vote basis. Building societies often provide other retail banking services, such as current accounts, credit cards and personal loans. In the United Kingdom, regulations permit up to half of their lending to be funded by debt to non-members, allowing societies to access wholesale bond and money markets to fund mortgages. The world's largest building society is Britain's Nationwide Building Society.
Read more about this topic: Cooperative Banking, Institutions
Famous quotes containing the words building and/or societies:
“Whoever places his trust into a system will soon be without a home. While you are building your third story, the two lower ones have already been dismantled.”
—Franz Grillparzer (1791–1872)
“The great end of all human industry is the attainment of happiness. For this were arts invented, sciences cultivated, laws ordained, and societies modelled, by the most profound wisdom of patriots and legislators. Even the lonely savage, who lies exposed to the inclemency of the elements and the fury of wild beasts, forgets not, for a moment, this grand object of his being.”
—David Hume (1711–1776)