of thieves or economic hardships, a bank earns by lending the same money to borrowers at
higher interest than it pays to it’s depositors. The difference between the two is the profit of the
bank that is used to pay for the expenses and perhaps a small profit.
Incidentally it’s this corporate greed of the banks that forced them to lend to people who can’t
pay it back for a higher interest in turn jeopardizing the safety of the funds they had taken from
depositors
0 comments:
Post a Comment