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How do the banks lend loan to the customers?​

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User Makariy
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1 Answer

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Answer: In order to lend out more, a bank must secure new deposits by attracting more customers. Without deposits, there would be no loans, or in other words, deposits create loans. Again, deposits create loans, and, consequently, banks need your money in order to make new loans.

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User BishNaboB
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