Free Banking - Institutions

Institutions

Free banking includes:

  1. Free entry of banking and fiduciary producers
  2. Freedom to issue banknotes (promissory notes issued by a bank payable to bearer on demand).
  3. Freedom to accept money on deposit to current account, and to pay and collect cheques for customers
  4. Freedom to borrow money on term deposit and other forms of secured and unsecured borrowing
  5. Freedom to lend money and otherwise invest the bank's assets
  6. Freedom to provide guarantees, documentary letters of credit, performance bonds and to incur other off balance sheet exposures.

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Famous quotes containing the word institutions:

    “So far as laws and institutions avail, men should have equality of opportunity for happiness; that is, of education, wealth, power. These make happiness secure. An equal diffusion of happiness so far as laws and institutions avail.”
    —Rutherford Birchard Hayes (1822–1893)

    “It is the genius of our Constitution that under its shelter of enduring institutions and rooted principles there is ample room for the rich fertility of American political invention.”
    —Lyndon Baines Johnson (1908–1973)

    “Schools are generally feminine places, institutions where conformity is valued, taught largely by conformist women.”
    —Judith M. Bardwick (b. 1933)