Financial services are the industry that includes companies and people who provide a variety of ways to manage your money and help with investing, borrowing and saving. They are a vital part of any country’s economy, and their health is an important indicator of the overall economic health of a nation. The sector encompasses many different activities, from deposit-taking and lending to credit card services and money transfers. It also includes investment banks and firms that advise on mergers, acquisitions and debt underwriting.
Financial markets facilitate the channeling of savings to those who have investment ideas, and thus promote economic growth. The more developed these markets are, the easier it is for businesses and individuals to raise capital of various types. They also help to lubricate the flow of funds between savers and spenders, as well as to help individuals diversify their investments and thus reduce risks.
Individuals who use financial services can also benefit from hiring a debt resolution service. These third-party companies can negotiate with creditors on behalf of the consumer to lower a person’s outstanding debt load and ease their financial woes. Other financial services include global payment providers like Visa and Mastercard, and exchanges that help with stock, derivative and commodity trades. These services can help make people more wealthy, and they also enable consumers to get the goods and services they need at a price that is affordable for them. Financial services can help improve a consumer’s standard of living by making it possible for them to purchase more expensive products through hire purchase and leasing.