Types of Financial Services

Financial services are what allow people to purchase anything from cars and houses to education, healthcare and retirement. They also provide the safety net that allows individuals and businesses to cover unexpected expenses and losses.

Banks are perhaps the best-known type of financial institution, but there are many others. They are what most people think of when they think of a financial service, collecting savings from those who have money and then lending it to those who need it. They earn revenue from fees, commissions and other methods like the spread between loan and deposit rates.

Insurance is another common and highly accessible form of a financial service. It is a combination of both a financial good (the policy that protects you and your assets) and a financial service (the brokers who search for rates and the underwriters who create policies).

Investment services are an important part of the overall financial sector, helping individuals and businesses manage their wealth. They offer access to investment products such as stocks, bonds, mutual funds and real estate.

Debt resolution is one of the most popular financial services available, and it can help people who are struggling to pay their bills and credit cards to get back on track. These third-party companies will negotiate with creditors to settle debt for less than what is owed, saving those in troubled situations from bankruptcy and other consequences.