The bank of england

The Bank of England is the central bank of the United Kingdom. Most countries have a central bank: the Federal Reserve System in the United States, the Deutsche Bundesbank in Germany, the Banque de France, the Bank of Japan.

Founded in 1694 the Bank of England is one of the oldest central banks. It started as a commercial bank with private shareholders, and developed a large private banking business, but after 1946 it began to act as public institution carrying out public functions. Now it is considered to be the government's bank. The Bank has always had the right to issue bank notes in England and Wales, and acquired the monopoly after the Bank Charter Act of 1844. It is known as banker to other banks and to government increasing its influence on monetary policy. The Bank also took on a degree of responsibility for maintaining orderly money and capital markets in London, and watched over the soundness of the banks.

The Bank's functions are: first, maintaining the value of the nation's money, mainly through policies and market operations agreed with the government; second, ensuring the soundness of the financial system, including direct supervision of banks and participants in some City financial markets; and third, promoting the efficiency and competitiveness of the financial system, notably in the field of domestic and international payment and settlement systems, so that the City of London can serve industry and commerce at home and maintain its place as the world's leading international financial centre.

Read and translate the dialogues:

At the Bank

(A. Opening an Accoun)

Steve Kotov, a sales manager, enters a branch of the bank Ukraina. For a moment he is uncertain what to do. Then he comes up to the counter where a young bank teller is sitting at a computer.

S: Good morning.

T: Good morning. What can I help you?

S: I'd like to open an account. I am working for GCM Co and they ask me to open a bank account for my salary. I used to get my wages paid in cash. But here they want to pay my salary into an account.

T: Well, nowadays a lot of people have their salary paid directly into a bank account. I am opening a checking account for you. (GB current account)

S: What is a checking account? Is it something special?

T: No, it isn't. A checking account is an ordinary bank account. It's just the account you need. You can receive money, you can pay in money, you can withdraw money and you can transfer money from your account to other

banks accounts.

S: Are you giving me a check (GB cheque) book?

T: Yes, as soon as the account is open.

S: Can I overdraw the account?

T: You may overdraw your account up to the limit which depends on your monthly income. Is there anything else you want to know?

S: No, thank you, not for the moment. A checking account sounds right for me.

T: Now would you mind answering a few questions so that I can complete the application form? And the next step you must do it to give us a specimen signature.

S: Why do you need it?

T: It's for comparison. Every tune we receive your check or any other order written by you, we have to examine your signature on it to be sure it's genuine.

S: I see. Where do I sign?

T: There is space for your signature at the top of the application form. Would you please have a look at one of our forms while I am making a note of the details of your passport? Just ask me if there are any points you'd like me to

explain.

S: Thank you, but why do you want my passport?

T: Sorry, but we have to ask for identification Banks in our country don't open blind accounts for non-existent or unidentified persons. This is to prevent tax evasion.

S: Oh, I see. Here is my passport. By the way, can my wife use this account?

T: Oh, no. You are the only account holder. An account with two or more account holders who have equal rights is called a joint account. Husbands and wives often open such an account. If you are interested, we could arrange it.

S: No, no, no I just ask.

T: There is one more way for your wife to use your account. You may authorize your wife to use it granting her power of attorney to make withdrawals, sign checks, receive your statements or even overdraw the account.

S: I see I'm going to think it over.

T: Good. Here is your check book. Good luck to you.

(B. The Safety PIN)

Helen Djachenko, a young Ukrainian trainee, who is studying Management in London, visits her local bank branch where she has an account. She is having a talk with Miss Cook, the bank clerk.

D: Hello, Miss Cook. I wonder whether my Eurocheque card has arrived yet?

С: Hello, Miss Djachenko. Yes, I think it has. Could you tell me your account number?

D: 5794693.

С: Here it is. Would you mind signing it here on the back? Use this special pen, please. As you can see, it's valid till the end of the year. Thank you. This sealed envelope contains your PIN. Could you sign this receipt for it,

please?

D: Excuse me, what pm?

С: P-I-N. That stands for personal identification number. You need it to operate the ATM (cash dispenser). Please remember no one else but you must have access to it.

D: Oh, yes, sure. And can I have some Eurocheques as well?

С: I can just print them for you. It'll take me only a minute. Here you are. Ten cheques. And would you sign for them on this slip?

D: Certainly. And I have to show my cheque card whenever I use a cheque to pay for something, don't I?

С: That's right. Simply issue (bring out) the cheque in the usual way and write the card number here in the space on the reverse side of the cheque. Then you show your card to the payee so that he or she can compare the details with those on the cheque.

D: Is there any limit to how much I can write?

С: Oh, it's important. Here in England cheques issued under a cheque card are guaranteed for any amount up to 200 GBP.

D: What do you mean 'guaranteed?

С: The bank guarantees to pay that sum to the beneficiary. That's why our bank's customers so widely accept Eurocheques.

D: Even if there is no money on my account, is there?

С: Yes, Eurochques needn't be covered. The teller debits the customer's account every time he or she writes one. And they can't be stopped either, because the bank, as the drawer, must honoring them.

D: So what should I do if I lose them?

С: In that case you should inform us at once. We advise all our customers to keep all their cheques and cheque cards separate and to look after them carefully.

D: I see I am leaving for Pans for a couple of days. They take Eurocheques in France, don't they?

С: You can use them all over Europe and around the Mediterranean, too. Here is a brochure listing the countries and the limits they usually accept.

D: That's good. See you next time. Good bye.

С: Bye I hope you have a good trip.

UNIT 6