Which of the following is a non-depository financial institution?
A) Commercial bank
B) Savings bank
C) Life insurance company
D) Credit union

Question

Quizplus · Accepted Answer

A non-depository financial institution is one that does not accept deposits from customers. Commercial banks, savings banks, and credit unions are all depository financial institutions because they accept deposits. However, a life insurance company is a non-depository financial institution because it does not accept deposits. Instead, it collects premiums from policyholders and invests the funds to generate income.

Which of the Following Is a Non-Depository Financial Institution