Building Society

DEFINITION of 'Building Society'

A type of financial institution that provides banking and other financial services to its members. Building societies resemble credit unions in the U.S. in that they are owned entirely by their members. These societies offer mortgages and demand-deposit accounts and are often backed by insurance companies.

BREAKING DOWN 'Building Society'

"Building society" was first introduced as a term in 19th century England from groups of co-op savers in the building trades. These institutions are now major competitors of banks in the U.K. and are the equivalent of U.S. savings and loan institutions. Building societies can also be found in other countries, such as Australia, Ireland and Jamaica.

RELATED TERMS
  1. Rate Of Adoption

    The number of members of a society who start using a new technology ...
  2. Diffusion Of Innovations Theory

    A hypothesis outlining how new technological and other advancements ...
  3. Plutonomy

    Economic growth that is powered and consumed by the wealthiest ...
  4. Anarchy

    The condition of a society with no government. Some people think ...
  5. Industrialization

    The process in which a society or country (or world) transforms ...
  6. Affirmative Action

    A policy in which an individual's color, race, sex, religion ...
Related Articles
  1. Options & Futures

    Facing Co-Op Bankruptcy

    Co-op investors can often be penalized for other people's actions. Read on to learn about the most common types of co-op default.
  2. Credit & Loans

    What is a Financial Institution?

    A financial institution is in business to, among other things, accept deposits, make loans, exchange currencies, and broker investment securities.
  3. Home & Auto

    Housing Cooperatives: A Unique Type Of Home Ownership

    Co-ops are often less expensive than apartments and provide some unique benefits and drawbacks for owners.
  4. Options & Futures

    Choose To Beat The Bank

    From internet banking to credit unions, it's in your power to cut fees and maximize service.
  5. Economics

    Understanding Conflict Theory

    Karl Marx advanced conflict theory, which claims society is in a state of perpetual conflict due to the competition for limited resources.
  6. Economics

    What Do the Federal Reserve Banks Do?

    These 12 regional banks are involved with four general tasks: formulate monetary policy, supervise financial institutions, facilitate government policy and provide payment services.
  7. Personal Finance

    What's a Commercial Bank?

    A commercial bank is a type of financial institution that accepts deposits, offers checking account services, makes business, personal and mortgage loans; and offers basic financial products ...
  8. Professionals

    Study Does Not End After The CFA

    Getting your CFA is an admirable achievement, but it doesn't end there. Find out what is expected of CFAs after they become charterholders.
  9. Credit & Loans

    What Are Home-Based Credit Unions?

    They’re a far cry from a traditional bank, but that doesn’t mean you shouldn’t park your money there or get a loan – if one meets your needs.
  10. Credit & Loans

    Check Your Checking-Account History

    Something you never thought you’d have to worry about: whether a bank will grant you a checking account. If you’ve had too many overdrafts, it might not.
RELATED FAQS
  1. In what types of societies does limited government work best?

    See what a society needs to function with a limited government, and how social cooperation can be achieved through voluntary ... Read Answer >>
  2. What is the Mont Pelerin Society?

    The Mont Pelerin Society was formed in 1947 when economist Friedrich von Hayek invited 39 people to meet at Mont Pelerin ... Read Answer >>
  3. What are the major categories of financial institutions and what are their primary ...

    Understand the various types of financial institutions that exist in today's economy, and learn the purpose each serves in ... Read Answer >>
  4. Why do most economists favor capitalism?

    Learn more about how capitalism works and why it is a popular system among economists throughout the world. Read Answer >>
  5. What other sectors are most similar to banking?

    Learn valuable information about the many different subsectors in the financial services sector that most closely resemble ... Read Answer >>
  6. What are some of the drawbacks of industrialization?

    Learn about the major drawbacks of industrialization, such as environmental damage, income inequality, overcrowding of cities, ... Read Answer >>
Hot Definitions
  1. Labor Market

    The labor market refers to the supply and demand for labor, in which employees provide the supply and employers the demand. ...
  2. Demand Curve

    The demand curve is a graphical representation of the relationship between the price of a good or service and the quantity ...
  3. Goldilocks Economy

    An economy that is not so hot that it causes inflation, and not so cold that it causes a recession. This term is used to ...
  4. White Squire

    Very similar to a "white knight", but instead of purchasing a majority interest, the squire purchases a lesser interest in ...
  5. MACD Technical Indicator

    Moving Average Convergence Divergence (or MACD) is a trend-following momentum indicator that shows the relationship between ...
  6. Over-The-Counter - OTC

    Over-The-Counter (or OTC) is a security traded in some context other than on a formal exchange such as the NYSE, TSX, AMEX, ...
Trading Center