5. Read the dialogue and translate it into Russian.

Bank clerk Mr.Watson – Good morning, sir.

Mr. Finbury - Good morning.

W – What can I do for you?

F - I have got some capital and I’d like to find out about investing it.

W – In order to advise you, may I ask you, what your plans are, the term of your investment, and above all, the sum you have at your disposal.

F – Well, you see, I don’t want to block all my capital. I may need some of it one of these days… I’d like to invest half the capital and have the rest at my immediate disposal. Let’s say, I’d invest 200000.

W – Good. How soon would you like to have access to your capital once it has been invested?

F- I’d like to get a new car in a couple of years and I also plan to take a holiday abroad in a year’s time. The rest can remain blocked.

W – You have several possibilities, then. First, you can keep the part of your money in a current account, which pays a small interest 0f 0,5% but as you know you can withdraw money any time. Our deposit accounts pay 10 – 12% and it is good to use them saving for your holiday and a new car.

F – I quite agree with you but I’d like to have the remaining money available at, say, 4 to 5 years notice. What can you recommend?

W – In that case we can offer you our certificates of deposit at 3, 4 or 5 years. And the interest is higher than on a deposit account.

F – That is interesting. If I give my wife power of attorney, would that be valid on all my accounts?

W – Certainly.

F – Well, I’d like to open a current account as you suggest, and I’d like to put 50000 in it now. We’ll see about the rest later.

W – Here is the form for the opening of an account. Fill in some information and sign it here, please… Thank you. Could I have your passport, please? All right, let’s go over to the counter and deposit 50000.

F – Of course.

6. Answer the questions.

1. How much money does Mr. Finbury have at his disposal?

2. What does the clerk want to know?

3. What expenses does Mr. Finbury plan in the future?

4. What interests are paid on current and deposit accounts?

5. What does Mr. Watson say about certificates of deposit?

6. What is Mr. Finbury’s decision?

7. What does he have to do before opening an account?

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