Get a clue. Banks need to account for each $ in their balance sheet.
oh they do huh? how about the trillions in SIV's and other off balance sheet accounting vehicles that have been well documented? how about the trillions in loans marked to model vs marked to market? never mind that they were happy to mark to inflated market on the way up but NO, not on the way down!
To lend out money they need to either:
- have the money they just lent out earlier return to them via another customer (ex. the previous owner of your mortgaged house), to which they must pay interest
its common knowledge that some of these banksters like GS or LEH were leveraged over 50-1. thats NOT just lending out what you just took in.
- get it from another bank and pay interest for it; the central bank targets a certain level of this interest, which in US is called Federal Funds rate
- get it from the central bank that will freshly print it for them (discount window/Lombard facility), at an interest higher than the market rate,
LOL!!!! 0-0.25% is higher than market rates? Funny, i have to pay 6-7% to get a mortgage from a bank thats borrowing at 0-0.25%!
this is an important pt which you don't understand; or you do but you just don't want us to understand. b/c they are giving out money to the banksters at BELOW market interest rates, this is precisely why the USD has decreased in value over the last 100 years b/c this is the equivalence of PRINTING money to the banksters benefit via buying down the interest rates on US Treasuries so that they can then turn around and use that cheaply borrowed money to speculate on assets of all kinds like stocks, commodities, real estate, etc.
and requiring good collateral, preventing most banks to make a profit out of it, but useful in case of liquidity crises
are you kidding me again? good collateral like all the bad subprime loans, commercial loans, PIK's, bad CDS (from AIG) that they dumped onto the Fed and by extension the US Treasury?
Bernanke was only supposed to have temporarily lent USD's to the banks to take on this shitpile but this has somehow morphed into a BUY.
The common idea is that they must pay interest to others before they can "print".
As long as you understand that putting your money in the bank means making an investment, and taking risks, FRB are ok. It's only when the government ensures all deposits, remove all risks, and manipulates the credit market to very low interest rates, that the moral hazard starts to happen, bankers turn into banksters, and the economy pops.
let me guess; you're a banker aren't you? i flip the causation logic; the banksters via their printing press has bought off the gov't and influences their legislation to their own benefit. ex: the repeal of Glass Steagall.
Up until recently most of the money printed by the federal reserve went indirectly to the government. Recent bailouts made it about 50-50. In 2011 the fed is accumulating govt. debt like there's no tomorrow.
Bankers are evil alright, but it's still your lawfully elected representatives that take the cake.
deception, deception.
Bitcoin is a solution to the giant scam that is central banking. The sooner you realize this, the sooner you can be freed from banking tyranny.
And the sooner you can participate into the glorious achievement of making a few early adopters very rich. Act swiftly,
you might be an early adopter too 
early adopters are no different than founders of all the stock companies on the NYSE
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