Our world is driven by capitalism. You need only walk down any high street or through any mall to see just how much our culture is driven by money. And we aren’t saying that is a bad thing. Sure, capitalism has its issues. But so does any societal system.

Capitalism has many benefits for both our culture as a whole and on the individual level as well. But our society only functions as it does because of the key building block holding everything together. The Banks.

Love them or hate them, Banks are everywhere. Every mall, every high street. Every metropolitan cityscape or small-town village. Nowhere is safe from the spread of banks. And a common question we get asked is this: How do banks make their money?

 

Understanding Banks

It is easy to think that banks seem to function without actually making money. They simply store your money and move it around. So how do they pay their staff, afford rent and upkeep? And how is it profitable for anyone to become a banker?

We have spoken to a few experts, such as those at blutin and at Smythes to better understand exactly how banks turn a profit. We are going to break it down for you in simple terms.

 

Loans

This is the key moneymaker for any bank. Loans. Anyone can walk into a bank and apply for a loan. Of course, you need to get the bank’s approval with a solid reason for the loan. And the bank will want to be sure you can pay it back.

All banks will have an interest rate attached to the loan. This is unavoidable. This is how they make money. Say you take out a loan for $100. With interest you could end up paying back $120 to the bank eventually, making a nice $20 profit for the bank.

Now imagine that on a scale of thousands of dollars interest per day. A bank only brings in as much money as they are willing to lend out.

 

Investing

While a physical bank is often designed to store and manage your money, the companies that own the bank will have their hands in many different avenues. Investments and stocks are one area these companies love to dabble in. And where do they get the money?

From you. When you store your money with a bank, you are giving them permission to spend it. Relax, they don’t actually spend your physical cash. While it is in their care, they will use it to invest and bring in profit. This profit is returned to you as interest. The more money you leave with a bank, the more interest it accrues. It’s a win-win situation and a great way for both the bank and you to profit.

 

Mortgages

Mortgages are just very specific loans. They are for buying property exclusively and follow different repayment rules to a traditional loan. The reason for this is due to the size of the money being borrowed and the nature of the investment. Since you will be living in your purchase, the bank is sure you aren’t doing a runner with the money, so the repayment scheme isn’t as taxing (although it is still noticeable) and like a normal loan, the bank profits off a mortgage in the form of interest on your repayments. And, if you can’t pay up, they can simply take the property and sell it for profit as well.

We hope this has highlighted how banks make their money in a helpful and insightful manner.

As we know, exercise is important to maintaining a healthy lifestyle and keeping your body in good shape as you age. However, if you are someone that has a busy work schedule it can feel hard to try and fit a dynamic work out into your schedule. It can be difficult to allocate time outside of work and it’s not like you can fit exercise into your work schedule, or can you?  Here are 6 Steps to Help fit exercise into your busy work schedule.

 

Abandon the chair

If you’re someone who works at a desk all day, you’re really not doing your body any good. A good way to combat this is by abandoning the chair and installing a walking desk. This means that your body isn’t just sitting unused all day, as you can actually move around while you get some work done. If you decide that you want to do this, then you may have to consider why you should wear compression socks.  If you’re on your feet all day, your body may start to feel the effects, and pressure may build in your legs. Compression socks are a great way to combat this and will improve the Blood flow to your heart, making you healthier overall.

 

Use the stairs

This is something that people often neglect when going about their daily business at work, but you can benefit massively from choosing to take the stairs instead of using the lift. The lift may be a tempting option if you want to get somewhere fast, but the small change of using the stairs instead of the lift can really benefit your health in the long run. Sometimes using the stairs can be faster too, as when it comes to using the lift you have to wait for people to get in and out which can really be annoying.

 

Walk to Work

If you live at a reasonable distance from your work, why not walk? Walking is a very good way to stay in shape and walking instead of driving or taking the bus will also save you a lot of money in the long run. It will also help the environment if you choose to walk also, which may tempt you into choosing to walk.

 

10-Minute Exercises

If you are someone who works long hours then it may seem unreasonable to consider fitting in time to exercise. Now, a quick solution for this is to do a number of quick exercises in place of one big exercise session.  This means, instead of doing a full 30-minute workout, take 10 minutes 3 times during the day to do short exercise routines. You can find plenty of short, high energy work out videos available online. Or you can make up some of your own, activities such as push-ups and sit-ups are great for this.

 

Work out with Coworkers

If you have a small business meeting ahead of you, why not make it a fun game of tennis where you can get some exercise done while hashing out any new business plans. This is a great way to fit a work out into your day, but also get to know your coworkers in a competitive environment.

 

Get your Office Active

The more people in your office that take on your health kick, the easier it’ll be to fit exercise into your work schedule. A fun thing that people are doing all around the world is office exercise time, this consists of all of the office getting active at a specific time. This can be anything from completing a lap of the office or doing a little dance, it can be a very fun activity.