Financial services are the businesses and organizations that help people manage their money. These companies include banks, credit unions, and other large financial institutions that provide a wide range of products and services. These services include deposit accounts (savings and checking), loans and mortgages, investment banking, and insurance. Some of these services are even offered online. These companies are an integral part of our economy, providing vital products and services to consumers, businesses, and investors.
While it may seem as though the financial services industry is all-encompassing today, it wasn’t always like that. Before the 1970s, each sector of the industry more or less stuck to its own specialty. Banks provided a place to hold savings and checking accounts, loan associations focused on personal and mortgage loans, brokers and mutual funds companies gave consumers the opportunity to invest their money, and credit card companies solely provided credit cards.
But during the 1970s, consumers began to demand more from their financial institutions. They wanted their banks to offer more than just checking and saving accounts. As a result, many of these sectors began to meld together and expand their offerings. Banks now offer a host of different products, loan associations started to focus on investment opportunities, and brokerage firms became the go-to destination for those who want to purchase stocks and bonds.
In addition to these sectors, there are a number of other important services that make up the financial services industry. These services include debt resolution, which helps individuals with unmanageable debt by negotiating with their creditors to reduce the amount they owe in exchange for a reduced payment plan that won’t affect their credit score. Another important service is payment recovery, which assists businesses with recovering payments made in error or for overpayments.
The financial services industry is incredibly important for the national and world economy, providing millions of people with the means to get ahead in life by purchasing homes, cars, education, or other needs through the use of loans. It also provides a safety net for those who cannot afford to pay for certain expenses by allowing them to take out loans or insurance policies that cover their medical costs or protect their property in the event of an accident or natural disaster.
A strong, stable financial services sector is essential for economic growth and prosperity. When these services start to falter, the effects can be widespread and devastating. This is why it is so important to keep up with the latest trends and news within this industry, as it can help you stay ahead of your competition.
If you’re interested in becoming a part of this ever-growing and changing industry, Pocketbook Agency can help! Our network of experienced recruiters can assist you in locating a job that matches your skillset and qualifications. Don’t forget to keep in touch with us as you continue your search for the perfect role! To learn more about how to find a position in the financial services industry, contact us today.