Financial Institutions These are companies that provide financial products and services such as...

Financial InstitutionsThese are companies that provide financial products and services such as current accounts, overdrafts,

credit cards, loans, insurance, pensions and mortgages.  

 Their customers are personal account holders and businesses.  

Financial Institutions(cont’d)

In most countries the companies that provide financial services are required to be regulated

before they can trade.  

In Ireland, the regulating body is the Central Bank of Ireland.

Irish financial institutions

Banks

An Post

Credit unions

Licensed money lenders

Insurance companies

Stockbrokers

Advisers (sometimes called brokers or intermediaries

Main banks in Ireland

Allied Irish Bank (AIB)

Bank of Ireland (BOI)

Ulster Bank

Permanent TSB

An Post

An Post is Ireland’s state-owned postal service

It now offers some financial services:

Foreign exchange

Money transfer

Car, travel and life insurance

Savings bonds and investments

Pay bills

Credit unionsCredit unions are owned and run by their members.

People save together and use their combined savings to provide personal loans to members. 

Credit unions are not allowed charge more than 12.5% APR on their personal loans.

People who save with credit unions may receive a dividend each year. The amount depends on what the credit union decides is reasonable.

There are over 500 credit unions in Ireland.

Products may include savings, loans, mortgages and insurance

Licensed money lendersLegal money lenders – not to be confused with illegal lenders, or ‘loan sharks’

Offer small loans to individuals who might not qualify for a bank loan

Collect weekly or monthly repayments in person from the borrower’s home

Charge high rates of interest