Financial services refer to the economic services offered by the financial industry. This industry is made up of various businesses, including banks, credit unions, and credit-card companies. They provide an array of goods and services for the general public. Financial services are an important part of our economy and help us stay on top of our finances.
Financial services include everything from saving and lending money to making investments. Banks hold money for individuals and organisations, and also provide loans and deposits. These banks also lend money to people who need it, and those people pay back the money plus interest. They also provide due diligence on investments, and valuation services for businesses and real estate.
As the economy develops, the demand for financial services increases. These services provide consumers with credit and boost their purchasing power. They also promote the development of all sectors of the economy. This ensures a healthy balance of the economy and helps companies grow. Financial services help businesses to diversify and expand their activities. It also helps them raise capital.
The government regulates financial services to keep consumers safe. The Financial Services Authority (FSA) of the United Kingdom oversees the financial sector.