Banking industry posts profit & increased lending

Find out the latest news for the banking industry and what it could mean for the future.

09:58 08 May 2013

The banking industry is making some improvements. The Royal Bank of Scotland (RBS) posted a profit even though the shares fell after the announcement of a profit totalling £826million.

 

Losses due to bad loans were down, and there was a decent rise in lending to businesses. Though the operating profit was lower than expected, the results in an economic recession are still a favourable outcome.

 

Other entities in the banking industry are also having similar improvements. Now would be a good time to consider a loan for your small or medium sized business. It seems that most of the loan activity in the banking industry right now is cantered around businesses, primarily the small and medium-sized ones, in an effort to help stabilize local economies.

 

Here are some other loans which you may be able to get with the recent slight improvements in banking:

 

• Mortgage loans
• Vehicle loans
• Personal loans
• Short term loans
• Reverse mortgage loans
• Home renovation loans

 

If your credit rating is not very good, you probably will not be able to get a traditional loan at this time unless you try a banking entity which specializes in high-risk lending or opt for a high-interest payday loan.

 

Since the interest rates for those types of loans is extremely high, and the banking industry appears to be recovering a little, it’s still in your best interest to try a traditional financial institution for your lending needs before approaching something more specialized such as a payday loan entity.

 

If you don’t need a loan, then take advantage of the banking industry’s recent acceptance of a monetary guarantee and open a savings account instead.

 

Remember to compare interest rates between institutions as it can vary. Other terms may be work comparing as well such as length of time you need to have your money in the bank until you can withdraw it.