What is a Thrift Bank?

What is the definition of private development banks?

@Iluviaporos - There are benefits in both kinds of banks, really. A larger bank is going to be more versatile, and a smaller bank will probably be able to give you better interest.

Just because a larger bank is big doesn't keep it from collapsing though. Plenty of large banks have collapsed and taken everyone's money with them. Just as plenty of smaller savings thrift banks have stayed afloat because they aren't trying to put a thumb in every pie.

Personally, I do what my father always advised and not put all my eggs into one basket. I keep my day to day expenses in one bank, some of my savings in another, some bonds and things with yet another and once I get to a certain point in savings I will diversify again. It makes sense because with the internet it's not complicated to get things done and I can take advantage of any offers any of them are giving as well.

@KoiwiGal - Most of what you said about a local thrift bank can apply to local branches of a multi-national bank. Individual branches are often given the ability to choose local events and things to sponsor and they are run by people who live in the local community as well. All banks are run by local people when you come down to it, none of them are run by machines or by people who are brought in specially from out of town.

I prefer to use a bigger bank because they are less likely to fold. A small bank is a liability as far as I can see. My parents had money in a small, local bank and lost most of it when it folded without warning. They had insurance too, but it often doesn't mean you get all your money back.

You're better off putting faith in savings banks that have a proven track record and the size to back up any of their claims.

I think more people should use thrift banks. I get the impression people think that using big banks is somehow easier, or just the better choice in general, but thrift banks often have better interest rates than other banks and those numbers can add up over a few years.

Plus, they will remember your name and might even be your neighbors, so you can be sure you're going to get good service. A local bank is just a better choice for almost everything. They put back into the local community as well. My local thrift bank sponsors half the sports events in my town and has its name on a lot of the public buildings.

It's able to do that because the town supports it and because the people who run the bank are part of the town, they support the town in turn.