when do banks make money from deposits?\nwhen people withdraw money from their account\nwhen banks pay…
when do banks make money from deposits?\nwhen people withdraw money from their account\nwhen banks pay interest to account holders\nwhen people add money to their account\nwhen banks loan the money to another consumer
Answer
Brief Explanations:
Banks take in deposits from customers and pay them a certain interest rate. They then loan out these deposited funds to other consumers at a higher - interest rate. The difference between the interest paid to depositors and the interest received from borrowers is a major source of bank profit. Withdrawals, deposits, and paying interest to account - holders do not directly result in profit from deposits in the way that lending does.
Answer:
when banks loan the money to another consumer