- a bank that receives savings accounts only and pays interest to its depositors.[1810-20]
* * *It channels the savings of individuals who wish to consume less than their incomes to borrowers who wish to spend more. This function is performed by mutual savings banks, savings and loan associations, credit unions, postal savings systems, and municipal savings banks. Unlike a commercial bank, a savings bank does not accept demand deposits. Many savings banks originated as part of a philanthropic effort to encourage saving among people of modest means. The earliest municipal savings banks developed from the municipal pawnshops of Italy (see pawnbroking). Other early savings banks were founded in Germany in 1778 and The Netherlands in 1817. The first U.S. savings banks were nonprofit institutions established in the early 1800s for charitable purposes.
* * *▪ financial institutionfinancial institution that gathers savings, paying interest or dividends to savers. It channels the savings of individuals who wish to consume less than their incomes to borrowers who wish to spend more. This function is served by the savings deposit departments of commercial banks, mutual savings banks or trustee savings banks (banks without capital stock whose earnings accrue solely to the savers), savings and loan associations, credit unions, postal savings systems, and municipal savings banks. Except for the commercial banks, these institutions do not accept demand deposits. Postal savings systems and many other European savings institutions enjoy a government guarantee; savings are invested mainly in government securities and other securities guaranteed by the government.Savings banks frequently originated as part of philanthropic efforts to encourage saving among people of modest means. The earliest municipal savings banks developed out of the municipal pawnshops of Italy. Local savings banks were established in The Netherlands through the efforts of a philanthropic society that was founded in 1783, the first bank opening there in 1817. During the same time, private savings banks were developing in Germany, the first being founded in Hamburg in 1778.The first British savings bank was founded in 1810 as a Savings and Friendly Society by a pastor of a poor parish; it proved to be the forerunner of the trustee savings bank. The origin of savings banking in the United States was similar; the first banks were nonprofit institutions founded in the early 1800s for charitable purposes. With the rise of other institutions performing the same function, mutual savings banks remained concentrated in the northeastern United States.
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Look at other dictionaries:
savings bank — n. 1. a bank in which savings may be deposited; esp., a banking establishment whose business is to receive and invest depositors savings, on which it pays interest ☆ 2. a small container with a slot for receiving coins to be saved … English World dictionary
savings bank — see bank Merriam Webster’s Dictionary of Law. Merriam Webster. 1996 … Law dictionary
savings bank — savings ,bank noun count a bank that people have a SAVINGS ACCOUNT with … Usage of the words and phrases in modern English
savings bank — n a bank where people can save small amounts of money and receive ↑interest on it … Dictionary of contemporary English
savings bank — ► NOUN ▪ a non profit making financial institution receiving small deposits at interest … English terms dictionary
Savings bank — A savings bank is a financial institution whose primary purpose is accepting savings deposits. It may also perform some other functions.In Europe, savings banks originated in the 19th or sometimes even the 18th century. Their original objective… … Wikipedia
savings bank — An institution that primarily accepts consumer savings deposits and to make home mortgage loans. Bloomberg Financial Dictionary * * * savings bank savings bank ➔ bank1 * * * savings bank UK US noun [C] BANKING, FINANCE ► a bank whose main purpose … Financial and business terms
savings bank — UK / US noun [countable] Word forms savings bank : singular savings bank plural savings banks a bank that people have a savings account with … English dictionary
savings bank — noun 1. a thrift institution in the northeastern United States; since deregulation in the 1980s they offer services competitive with many commercial banks • Hypernyms: ↑thrift institution • Hyponyms: ↑mutual savings bank, ↑MSB, ↑federal savings… … Useful english dictionary
Savings bank — Saving Sav ing, n. 1. Something kept from being expended or lost; that which is saved or laid up; as, the savings of years of economy. [1913 Webster] 2. Exception; reservation. [1913 Webster] Contend not with those that are too strong for us, but … The Collaborative International Dictionary of English