Business & Finance

Why the bank need to be supervised?

Top Answer
User Avatar
Wiki User
Answered 2015-07-26 20:46:46

In the US and in almost any nation, banks of every kind must be supervised internally by an auditing department and externally by banking regulation organizations. In the US, governmental and semi-public organizations such as the US Federal Reserve System, supervises and makes certain monetary policy changes they deem are necessary for the proper and lawful operation of the banking industry. The outside supervision is necessary in order to prevent bank failures and/or disruptions in the financial markets.

User Avatar

Your Answer


Still Have Questions?

Related Questions

Why do young children need to be supervised while using a mobile phone?

they dont need to be supervised. u should trust your own children

How can you find out and request a copy of the documents a supervised administrator of an estate gave to a bank?

how to probate a will

When you get your permit and your eighteen how old does the supervised person need to be?

They have to be 25.

Do you need to be supervised when you doing science expriment?

It depends on the experiment and how old you are

What is a sentence for the word supervised?

The Judge ordered supervised visitation. On my job, I was supervised by a long time employee.

What is supervised patrol?

supervised patrol

What are functions of Reserve Bank OF India?

Restructuring of the system of bank inspections introduction of off-site surveillance,strengthening of the role of statutory auditors and strengthening of the internal defenses of supervised institutions.

How do you spell supervised?

Supervised. You spelt it right.

Where is the Sampath Bank based?

The Sampath Bank is a bank supervised by the central bank of Sri Lanka based in Columbo 02, Sri Lanka. The head office is also based in Sri Lanka. The address is 110 Sir James Peiris Mawatha, Columbo 02, Sri Lanka.

No and kind of employees supervised by you?

Kind of Employees Supervised by You

What the difference between supervised and non supervised release from prison on sex offence?

What's the difference between supervised and non supervised release from prison on sex offenders

Does a convicted felon get supervised visits of his child?

That is the purpose of SUPERVISED.

Do you need intermediary bank to transfer money to Bank Central Asia Indonesia?

Yes I need a bank our priority is Chian

Do you need experience to become a bartender?

In any job you need to start somewhere, so a rookie bartender wouyd be supervised by an experienced one

Which objective supports the need for supervised medication when treating drug addicts?

to prevent withdrawal symptoms and cravings

How can one have a personal loan from a bank?

To have a personal loan from a bank you need to have a bank that you have an account with and a financial advisor at that bank. You'll meet with them to tell them why you need the loan and how you will pay it back.

What bank doesn't need money?

of-course...its river bank

What is the appropriate age for children to have their own email address?

Thirteen is the right age. And children need to have their email supervised.

Can methadone take away withdrawals from Oxycontin?

Yes, it will. But you need to take the proper dosage and should be medicaly supervised.

What do you need to sign in to the Compass bank?

The company that you need to sign into with the Compass Bank is the teller. They're right in front of the bank, and probably the first person you see.

Does bank need a capital letter?

If it is in a name (like Bank of America) then it does.

What are non financial institution?

A non bank financial institution is a financial institution that does not have full banking license to supervised any international banking regulatory agency and does not give deposit.

Why is bank supervision important?

Bank supervision is important due to the fact that many people in this world will do anything for money. If banks were not properly supervised, many more crimes could be committed, and the criminal probably would get away with it too. Bank supervision is like Law Enforcement, it is there to ensure that people follow the rules.

Punjab national bank is emerged to which bank?

No need to join,india,s largest second no bank

Is supervise an adjective?

No, the word supervise is a verb; supervise, supervises, supervising, supervised. The adjective forms are the present participle, supervising (the supervising manager), and the past participle, supervised (a supervised staff).