nonbank

[ noun non-bangk; adjective non-bangk ]

noun

1. an institution that is not a bank but engages in certain banking bank practices, as lending money or holding deposits.

adjective

1. of, relating to, or handled by a nonbank:

   nonbank loans.

Word History and Origins

Origin of nonbank¹

First recorded in 1945–50; non- + bank ²

Example Sentences

Requiring nonbanks to fund their operations with longer-term securities would eliminate the shadow bank business model, restore market discipline, and improve the stability of our financial markets.

From Fortune

However, financial regulators opened loopholes in Glass-Steagall during the 1980s and 1990s, allowing banks to engage in securities activities and permitting nonbanks to offer bank-like products.

From Fortune

This cheap credit allowed the hedge funds and nonbank actors to keep their doors open.

From Time

Most repo borrowers were “nonbank actors” like hedge funds, according to Bank of America analyst Ralph Axel.

From Time

Five years ago, in 2004, the IRS granted the MF the right to be a nonbank custodian of IRAs.

From The Daily Beast