RadioDoc
58ef2c0
Premium,ExMod 2000-03
join:2000-05-11
 ·AT&T Midwest
| reply to Toguro
Re: Banc of AMERICA
Banc of America = Not FDIC insured, investment products.
Bank of America = FDIC insured, banking products.
It's a way to isolate one from the other marketing-wise. A bank can't really offer investments directly so they put up these subsidiaries to keep the regulators happy.
--
Toolmaster of La Grange.
For "Pompous Windbag", see 419381 |
|
Toguro
join:2003-10-23
Ottawa, IL | Thanks I forgot about banc opopular and so fourth ,I just assumed it was a type o. |
|
RadioDoc
58ef2c0
Premium,ExMod 2000-03
join:2000-05-11
·AT&T Midwest
| It's an end-run around the banking regulations. A "bank" is regulated as to what it can and cannot do. A bank holding company, however can do whatever it wants as long as it doesn't call itself a "bank". So some clever marketing type coined "banc" for those names. Sounds the same on radio and TV and looks close enough in print. Since a Bank cannot own other banks these holding companies tend to call themselves RobberBaron Bancorp or RobberBaron Bancshares or something similar so as to not trip over that regulatory line.
Nice shell game, eh?
And to confuse things even more..."Banco Popular" is a Spanish name (for a Puerto Rico-based company), and "banco" is "bank" in Spanish. I wonder if banc is bancoc in Spanish... 
--
Toolmaster of La Grange.
For "Pompous Windbag", see 419381 |
|
