After years of banking with Bigbux Bank, Samuel decided to switch to a competing institution. Thanks to changes in government regulation, his search will uncover a variety of options; however, he will also learn that banks and nonbanks have merged in order to be more competitive in the banking and financial services industries, which may or may not increase his options.

Question

Quizplus · Accepted Answer

Due in part to changes in government regulations, brokerage firms now offer many of the same types of accounts and services as banks, including checking accounts. The distinction between nonbanks and commercial banks is becoming less and less apparent. For example, brokerage firms now make loans and offer high-yield combination savings and checking accounts as well as money market accounts. Further, brokerage firms are merging with banks, in order to be more competitive.

After Years of Banking with Bigbux Bank, Samuel Decided to Switch