Question

Banks make money by. A) charging interest B) charging the fed C) selling customer assets D) time sharing programs

Answer 1

Answer:

Banks make money by; A) charging interest

Explanation:

• Banks make their money through charging interest on the money they loan out.
• Banks get the money they loan out from the deposits their customers make and also from loans from other banks.
• It is this money that they then trade out in different ways including loaning for interests in order to make profit.
• Other that interests from loans, banks also get money through investing their capital in assets that generate revenue, one such asset is; investing in real estate.