/ ˈbɪldɪŋ səˈsaɪəti /
Množina reči building society je building societies.
British equivalent of US savings and loan association.
savings and loan association
/ ˈseɪvɪŋz ənd ˈloʊn əˌsoʊʃiˈeɪʃn̩ /
Množina reči savings and loan association je savings and loan associations.
savings and loan
(SandL) A cooperative, mutual, savings organization that sells stock to its members. Created primarily to finance home mortgages, SandLs at one time provided 40% of the funds for home purchases.
From 1986, an industry-wide crisis developed when, in some parts of the US, declining real estate values and rising unemployment reduced the value of investments and the ability of borrowers to repay loans. For the first time, mergers were permitted across state lines in hopes that the healthier institutions could assume the debt of the weaker, but losses mounted. The Federal Home Loan Board (FHLB) and the Federal Savings and Loan Insurance Corporation (FSLIC) were unable to reverse the tide or cover the losses. By 1989 the losses were enormous, and a federal bailout pledging more than $100 billion in taxpayer funds was negotiated.