Trending Consumer Lending Discussions

Do banks lend out more money than is entrusted to them by depositors? ‎

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Answer added by  Omar Naffa, Loan Department Supervisor, Midwest Carpenters & Millwrights Federal Credit Union
4 years ago

That should never happen. At least in the US we aim to lend out about 85% to 90% of total assets at the high end. You do want to lend out because the interest you make in ... See More

 

Answer added by  Ashraf E. Mahmoud (PhD), University Lecturer, Freelancer Consultant and Trainer for Int'l Business & Banking TF., FreeLancer
5 years ago

The short answer is "abslotely never". As a matter of fact, banks always are lending or investing less than entrusted money deposits, this is in accordance with ... See More

 

Answer added by  Tamer Elbeshbishy, Financial and Administration Manager , Muscat Towers Holding Group
5 years ago

Of-course not, if the bank is dealing with a conservative mind system, unless if Banks can lend money from other resources with less interest rate to gain the difference. ... See More