posted by rick on February 29th, 2008 at 12:52AM
Not sure what the scope of this discussion is, or how much econ background you have, but modern banks really evolved away from being a secure storage of money a long time ago. What we have now is http://en.wikipedia.org/w...-reserve_banking fractional-reserve banking, where banks don't ever have enough cash on hand to pay everyone who has an account. Instead they take the money to invest and to give out interest-generating loans. This won't change anytime soon, since we're accustomed to having bank accounts pay interest /to/ us, rather than paying administrative fees to the bank.
If you want something different for your money, perhaps you're looking for credit unions, but they're still a financial institution, although some put more emphasis on creating profit for customers as well as the institution itself.
If you want something different for your money, perhaps you're looking for credit unions, but they're still a financial institution, although some put more emphasis on creating profit for customers as well as the institution itself.
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