Finance

Finance has a tendency to be on one’s mind rather frequently as it relates to money and monetary situations. In the current climate finance is a constant mainstay of national news as countries head into recessions.

Finance is also the relationship between money and time as someone’s financial situation is also related to how often they get paid and how often they need to make payments on other necessary items.

The main form of financial institution that we all have to deal with is the bank, where we will often have a current account that contains our money or a savings account with our savings.

They can also give out loans, which are lendings given out by banks in the form of money that must then be paid back over a certain period of time and by a specific deadline. In the case of secured loans collateral would be attached so that if someone defaults on payments then they can take someone’s property (or whatever the collateral was), then with unsecured loans there is no collateral but a person must have a good credit rating. Payment is made with interest and this is how banks make money.