what is bank

A bank is a financial institution that is licensed to accept deposits from the public and create demand deposits while simultaneously making loans. Banks also provide related services such as individual retirement accounts (IRAs), certificates of deposit (CDs), currency exchange, and safe deposit boxes. The definition of a bank varies from country to country. There are several types of banks including retail banks, commercial or corporate banks, and investment banks. In most countries, banks are regulated by the national government or central bank. Banks have existed since at least the 14th century and provide a safe place for consumers and business owners to stow their cash and a source of loans for personal purchases and business ventures. Banks make money through customer banking fees, financial products and services, and interest on securities the bank holds. Banks also offer many services that can help customers grow wealth, including high-yield checking or savings accounts, individual retirement accounts, and other investment services.