Words and expressions

deposit (n) - вклад (депозит)

to manage a deposit - управлять вкладом (депозитом)

to list (home, foreign deposits) - содержать перечень вкладов в национальных и зарубежных банках

to place money on a deposit, to make a deposit - положить деньги на вклад

to use smb.’s deposit facilities - воспользоваться услугами кого-либо по размещению средств

lend (v) - одалживать, давать взаймы

to lend smth. to smb. - одалживать что-либо кому-либо

e.g. She lent the money to him. - Она дала ему денег взаймы.

current account (Br.) - текущий счет

checking account (Am.)

to open an account with a bank - открыть счет в банке

to put money on an account - положить деньги на счет

to keep, hold, have an account with a bank - иметь счет в банке

to manage, operate, service an account - вести счет (в банке)

to pay interest on an account - платить проценты по счету

to hold money on an account - хранить деньги на счете

account holder - владелец счета

enable (v) - давать кому-либо возможность или право что-либо сделать

allow (v) - позволять, разрешать

withdraw (v) - снимать, забирать

to withdraw money from an account - снять деньги со счета

to withdraw a deposit - отозвать, взять вклад из банка

chequebook (n) - чековая книжка

to provide, issue a customer with a chequebook - выдать клиенту чековую книжку

transaction (n) - сделка

to make, carry out a transaction - совершить сделку

draw a cheque - выписывать чек

overdraft (n) - превышение кредита (в банке); перерасход

overdraft facility - право на превышение кредита

to grant an overdraft - предоставить право превысить кредит

to obtain an overdraft - получить право превысить кредит

to repay an overdraft - погасить задолженность

deposit account (Br.) - депозитный (сберегательный) счет

saving account (Am.)

loan - (n) заем, ссуда

a loan of money - денежный заем

to issue, to grant, to advance a loan – предоставить заем

to make a loan - получить заем

loan against borrower’s note - ссуда под расписку должника

instalment (n) - очередной взнос

monthly instalments - ежемесячные взносы

mortgage (n) - ипотека, закладная

mortgage loan, real estate loan - ссуда под недвижимость

real estate mortgage - закладная под недвижимость

to give a mortgage - выдавать закладную

to hold; receive; take out a mortgage on smth. - получить закладную на что-либо

to borrow on mortgage - получать ссуду под залог недвижимого имущества

to redeem a mortgage, to pay off a mortgage - выкупать закладную

standing order - постоянное поручение

property (n) - имущество; собственность

external property - собственность за рубежом

domestic property - собственность в стране

immovable (fixed, real) property - недвижимое имущество

share (n) - акция

to issue shares - выпускать акции

to release shares at the rate - продавать акции по какой-либо цене

safe facilities - сейфовые помещения

travellers’ cheques - дорожные чеки

cash dispenser (n) - банкомат

1. Answer the questions.

1) What are commercial banks?

2) What are advantages and disadvantages of a current account?

3) What is a current account used for?

4) What do you know about a deposit account?

5) What is an overdraft?

6) Why isn’t it the best option for long-term borrowing?

7) What are loans taken out for?

8) How is a loan repaid?

9) What is a mortgage?

10) What are other commercial bank services?

2. Translate into English.

Торговать деньгами; получать и хранить депозиты; давать деньги в долг; открыть текущий счет; хранить деньги в безопасном месте; снимать деньги со счета в любое время; носить много наличных; перевод денег; выплачивать проценты; предоставлять кредиты в форме овердрафта и ссуды; до определенной суммы, согласованной с банком; выплачивать деньги, когда банк требует этого; выплачивать относительно высокую процентную ставку; долгосрочный заем; ежемесячные очередные взносы; открыть аккредитив; дать совет клиентам по поводу инвестиций; операции с валютой.

3. Find proper definitions.

1) Transaction - a) something lent (usually money) that will have to be given or paid

back

2) Standing order - b) an arrangement by which a customer can withdraw more from an

account than has been deposited in it, up to an agreed limit

3) Overdraft - c) an instruction to a bank to pay fixed sums of money at stated times

4) Loan - d) a single business deal

4. Complete the text using the words:

cheque, loan, current account, deposit account, investment advice, foreign currency, cash dispensers, credit card, standing order

Banking Products

My salary is paid directly into a low-interest 1) …. I can withdraw money from it or from automatic 2) …. I pay regular, monthly bills by way of a 3) …: the bank pays them according to my instructions, and debits my account. I pay irregular bills by 4) … or use my 5) … in shops and restaurants. I used to have a 6) … which paid a high interest, but had restrictions as to how and when I could withdraw my money. Last year I asked the bank for a 7) … to buy a car. I always use the bank to buy 8) … when I go abroad. My bank also keeps offering me 9) … about shares, bonds, mutual funds and so on.

5. Read the text and translate it into Russian.

Liquidity

Liquidity is determined by the speed and certainty with which an asset can be converted into cash (notes and coins) in order to be used as a means of payment. The quicker an asset can be converted into cash, the more liquid it is. Therefore, money is sure to be the most liquid asset of all since it is widely accepted as a medium of exchange, while durable and highly specific assets such as machinery are the least liquid as such asset can not be converted into money without finding a buyer and determining the value of the asset to be sold.

Bank’s assets can also be characterized in terms of liquidity.

Loans to households and firms do not appear to be very liquid forms of bank lending, for the borrower may not be able to repay the sum owed to the bank whenever the bank demands.

Of all bank assets cash and short-term loans are sure to be the most liquid ones.

6. Finish the following sentences.

1) The easier an asset is converted into cash, …

2) Assets such as machinery are the least liquid as …

3) Loans to households and firms turn out not to be highly liquid for …

4) The most liquid bank assets are …

7. Read the text and translate it into Russian.

Types of Banks

Central banks supervise the banking system, fix the minimum interest rate, issue bank notes, control the money supply and act as lenders of last resort.

Commercial banks are businesses that trade in money. They receive and hold deposits, pay money according to customers’ instructions, lend money and so on. In some countries such as England these banks have branches in all major towns.

In some European countries, notably Germany, Austria and Switzerland, there are universal banks, which combine deposit and loan banking with share and bond dealing, investment advice, etc. Yet even universal banks usually form a subsidiary, known as a finance house, to lend money – at several per cent over the base landing rate – for higher purchase or instalment credit, that is, loans to customers that are repaid in regular, equal monthly amounts.

In Britain, the USA and Japan, however, there is, or used to be, a strict separation between commercial banks and banks that do stock broking or bond dealing. Thus in Britain, merchant banks specialize in raising funds for industry on the various financial markets, financing international trade, issuing securities, dealing with merges and so on. They also offer stock broking and portfolio management services to rich corporate and individual clients. But the distinction between commercial and merchant banks has become less clear in recent years.

In Britain there are also building societies that provide mortgages, i.e. they lend money to home buyers on the security of houses and flats, and attract savers by paying higher interest,

than the banks.

There are also supranational banks such as the World Bank or the European Bank for Reconstruction and Development, which are generally concerned with economic development.

8. Summarize the information of the unit and speak on the topic: Commercial Banks