Commercial Banks and Savings Banks

2019 ◽  
pp. 93-98
Author(s):  
Felix I. Lessambo
Keyword(s):  
Commercial Banks ◽  
Savings Banks

scholarly journals The impact of capital ratio on lending of EU banks – the role of bank specialization and capitalization

Equilibrium ◽  
2016 ◽  
Vol 11 (1) ◽  
pp. 43 ◽  
Author(s):  
Małgorzata Olszak ◽  
Mateusz Pipień ◽  
Sylwia Roszkowska
Keyword(s):  
Commercial Banks ◽  
Robust Estimator ◽  
Bank Capital ◽  
Savings Banks ◽  
Cooperative Banks ◽  
Lending Activity ◽  
The Impact ◽  
The Relationship

In this paper we aim to find out whether bank specialization and bank capitalization affect the relationship between loans growth and capital ratio, both in expansions and in contractions. We hypothesize that the impact of bank capital on lending is relatively strong in cooperative banks and savings banks. We also expect that this effect is nonlinear, and is stronger in “low” capital banks than in “high” capital banks. In order to test our hypotheses, we apply the two-step GMM robust estimator for data spanning the years 1996–2011 on individual banks available in the Bankscope database. Our analysis shows that lending of poorly capitalized banks is more affected by capital ratio than lending of well-capitalized banks. Loans growth of cooperative and savings banks is more capital constrained that lending of commercial banks. Capital matters for the lending activity in contractions only in the case of savings and “low” capital banks.

scholarly journals Corporate social responsibility and customer loyalty: exploring the role of identification, satisfaction and type of company

2015 ◽  
Vol 29 (1) ◽  
pp. 15-25 ◽  
Author(s):  
Andrea Pérez ◽  
Ignacio Rodríguez del Bosque
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Customer Loyalty ◽  
Commercial Banks ◽  
Three Dimensions ◽  
Content Type ◽  
Savings Banks ◽  
Csr Image ◽  
Corporate Social

Purpose – The aim of the authors of this paper is to propose a cognitive – affective – conative sequential model to study how three dimensions of corporate social responsibility (CSR) image (society, customers and employees) impact customer affective (identification and satisfaction) and behavioural (recommendation and repurchase) responses in the banking industry. The authors also test how the type of company (savings banks vs commercial banks) moderates customer responses to these three dimensions of CSR image. Design/methodology/approach – A multi-group structural equation model is tested using information collected from 648 savings banks’ customers and 476 commercial banks’ customers in Spain. Findings – The findings demonstrate that the perceptions of customer-centric CSR initiatives positively and consistently impact customer identification with the banking institution, satisfaction, recommendation and repurchase behaviours in the savings and commercial banks’ samples. The dimensions of CSR image that concern the activities oriented to society and employees only positively impact customer responses in the savings banks’ sample. Practical implications – The findings of this study can assist scholars in creating more informative CSR-based loyalty models that take into consideration new variables (satisfaction and type of company) and better approaches to the conceptualization of CSR image (e.g. the formative approach). The findings can also assist savings and commercial banks in better designing their CSR and communication initiatives to benefit from customer affective and conative responses. Originality/value – The contributions of the paper are threefold: the authors include satisfaction as a new variable in the study of the CSR-based loyalty model; the CSR image is conceptualized as a formative construct, and this provides new justifications for the mixed results reported by previous scholars who have analysed the effects of CSR image on customer loyalty; and the authors explore the moderating role of the type of company on the CSR-based loyalty model proposed in the paper.

scholarly journals Customer CSR expectations in the banking industry

2014 ◽  
Vol 32 (3) ◽  
pp. 223-244 ◽  
Author(s):  
Andrea Pérez ◽  
Ignacio Rodríguez del Bosque
Keyword(s):  
Corporate Governance ◽  
Commercial Banks ◽  
Banking Industry ◽  
Governance Structure ◽  
Corporate Governance Structure ◽  
Content Type ◽  
High Expectations ◽  
Savings Banks ◽  
Corporate Social ◽  
Corporate Crisis

Purpose – The purpose of this paper is to examine customer corporate social responsibility (CSR) expectations in the crisis context of the Spanish banking industry. The paper also takes into consideration the role that corporate governance structure plays in customer CSR expectations. Design/methodology/approach – Analysing 648 customers of savings banks and 476 customers of commercial banks, several univariate statistics and two cluster analyses are implemented. Findings – The authors identify significantly consistent patterns in the CSR expectations of savings banks and commercial banks customers. The customers of both types of banking companies have similar high expectations concerning the CSR oriented to customers, shareholders and supervising boards, employees, the community and legal and ethical CSR. Also customers of both types of banking companies can be consistently classified as customer oriented, legally (customer)-oriented and CSR-oriented customers depending on their CSR expectations. Practical implications – These results have interesting implications for managers because it allows them to develop optimal CSR based on their customers’ expectations. In this regard, it is observed that the CSR expectations of savings banks and commercial banks customers are quite homogeneous in such a way that the traditional differentiation in the CSR implemented by savings banks and commercial banks may be no longer justified. Originality/value – Previous scholars who have analysed customer CSR expectations have not studied them in a crisis context. This paper contributes to literature by proposing new managerial strategies for companies facing a product or corporate crisis. Scholars studying customer CSR expectations in the banking industry have not considered the role of corporate governance structure either. This paper provides detailed information about the CSR expectations of savings banks customers and commercial banks customers.

Profitability of Credit Unions, Commercial Banks and Savings Banks: A Comparative Analysis

1996 ◽  
Vol 40 (1) ◽  
pp. 66-78 ◽  
Author(s):  
Surendra K. Kaushik ◽  
Raymond H. Lopez
Keyword(s):  
Commercial Banks ◽  
Price Competition ◽  
Credit Unions ◽  
The United States ◽  
Credit Union ◽  
Equity Capital ◽  
Depository Institutions ◽  
Savings Banks ◽  
Loan Portfolios ◽  
Interest Margins

The liberalization of product and price competition among depository intermediaries in the United States has tended to make them more similar since enactment of the Depository Institutions Deregulation and Monetary Control Act in 1980 (DIDMCA). Credit unions have developed into highly efficient organizations for meeting the basic financial needs of their members. Credit unions, although only one-twelfth their size, are at least as profitable as commercial banks and savings banks. The savings banking industry has maintained its competitive profitability as the industry has shrunk in the late 1980's and early 1990's. Credit union loan portfolios have grown more rapidly than either commercial banks' or savings institutions‘. Their net interest margins have been above the banks' in recent years. Growth in the equity capital accounts of credit unions has been consistently more than double that of commercial banks since 1985, giving them a substantial advantage with regard to overall “safety and soundness” compared with commercial and savings banks.

Banking regulation - burden or blessing?

2019 ◽  
Vol 11 (4) ◽  
pp. 548-562 ◽  
Author(s):  
Kim Abildgren
Keyword(s):  
Commercial Banks ◽  
Natural Experiment ◽  
Positive Impact ◽  
Causal Effect ◽  
Balance Sheet ◽  
Banking Regulation ◽  
Content Type ◽  
Savings Banks ◽  
Short Run ◽  
The Impact

Purpose The purpose of this paper is to explore the impact of regulation on previously unregulated banks’ balance-sheet growth using the 1880 Danish Savings Bank Act as a natural experiment. With the Act, Danish savings banks became, for the first time, subject to regulation and supervision whereas commercial banks continued as unregulated institutions. Design/methodology/approach The main elements of the Act focussed on supervision and provisions to improve information transparency. The paper estimates the impact of the Act on the balance-sheet growth of Danish savings banks using bank-level panel data and a difference-in-differences approach. Findings The paper finds no indications that the Act had a negative effect on the balance-sheet growth of savings banks compared to commercial banks in the short run. Furthermore, there are indications of a positive effect after a couple of years. This suggests that regulation is not always a burden for the regulated institutions and might even have a positive impact on their business activity. Originality/value This paper is the first study using the introduction of banking supervision and regulation in the 1800s as a natural experiment to evaluate the causal effect of regulation on the balance-sheet growth of previously unregulated financial intermediaries.

Customer responses to the CSR of banking companies

2015 ◽  
Vol 24 (5) ◽  
pp. 481-493 ◽  
Author(s):  
Andrea Pérez ◽  
Ignacio Rodríguez del Bosque
Keyword(s):  
Conceptual Model ◽  
Commercial Banks ◽  
Structural Equation ◽  
Banking Industry ◽  
Equation Model ◽  
Content Type ◽  
Behavioural Responses ◽  
Savings Banks ◽  
Savings Bank ◽  
The One

Purpose – The purpose of this paper is to apply a thoroughly tested model to the study of how corporate social responsibility (CSR) perceptions impact customers’ affective and behavioural responses in the banking industry. As a contribution to the previous literature, the moderating role of the type of company (savings banks vs. commercial banks) in the conceptual model is explored. Design/methodology/approach – A structural equation model is tested with information collected from 648 customers of savings banks and 476 customers of commercial banks. Findings – The findings demonstrate that CSR perceptions positively impact customer identification with the banking company, emotions, satisfaction, recommendation and repurchase behaviours in both samples. However, CSR is perceived differently by customers depending on the type of banking company that implements it. Thus, its effects on customers’ affective and behavioural responses are different. Practical implications – Practitioners should not try to promote the best CSR approach for a standardised organisation, regardless of its special industry characteristics. They should be aware of the differences customers perceive in companies to adapt their CSR initiatives to the expectations of their targets. Originality/value – The contributions of the paper are two-fold. On the one hand, the banking industry has been scarcely explored by previous scholars. On the other hand, the authors explain the role that the type of banking company plays in the conceptual model proposed in the paper because significant differences are observed among savings bank customers and commercial bank customers concerning their affective and behavioural responses to CSR perceptions.

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