The Pros And Cons Of Free Business Banking

Banking plays a very important role in the success of the business. A free business banking account can be very beneficial for carrying out your banking activities related to your business. Here are the pros and cons of using such an account for your business:

1. You can find plenty of banks that offer business owners to create business accounts without paying maintenance fees. However, you are required to make sure you that do not fail to maintain a minimum balance as per the terms and conditions of the bank. If you fail to do so, you will have to pay maintenance fees.
2. Banks will allow you to enjoy free checking up to a certain point. In other words, you can avail free checking until you reach certain activity threshold. For example, you are required to pay a fee if your credit or debit threshold activity is crossed.
3. Since you handle a business, the bank will provide you with accounting software such as Quickbooks without asking you to pay anything for it. Such software can help you in managing your finances. However, you can use the software for free for a certain time period. If you want to continue using it, you will have to pay monthly fee.

The Dilemma of the IMF

The International Monetary Fund has to strengthen its role and widened its scope in helping troubled countries. It is the right approach in the midst of global financial crisis triggered by the recession in US.

The IMF was entrusted with the role to bailout countries on the brink of economic fall down. It is also expected of the IMF to prioritize those countries and finance them with larger financial bailouts.

But the IMF monetary capability has been declining lately. Countries that need immediate monetary help have been increasing for months and the IMF funds can not sustain its economic role to finance bailouts if the recession will never be settled in the near future.

Generating funds from countries like China and those oil-rich countries in the Middle East who have an abundant stockpile of cash money may be enough. And the IMF may encourage private lenders to cooperate with their government to lend in some funds for economic revival. But these funds will soon be drained from bailouts if the economic decline continues.

Moreover, strong economies have now the tendencies to spend their money for themselves as they are concern of their local economies. Thus, the flow of money to the troubled developing countries will stop. And eventually as the problem aggravates, some strong economies will need the IMF to finance them from declining. If this scenario arises, it would be a “loss-loss” situation to the IMF and to the whole world.

The source of money to make another bailout will be the biggest problem.