How the Bank works to make money?

[sheenshane]

they are just keeping the money and let it work.
banks are open for savings and let it be there.
that is wht we can communicate.
but crypto will never be like that. and crypt must have the way/

Lol, I don't know what is your trying to say.

Technically, banks earn money through their customers by having charges when they've checked our balance through ATM machine and they also have earned via investment into other company that needs to have a loan to start their businesses. There are many ways that banks earn our own money, we save it for a long-term but they also used it and earn at the same time.
Maybe that's the reason why governments or the banks against bitcoin because when all people believed on bitcoin, of course, no one saving their fiat on the bank beside, all are investing bitcoin into their wallet.

[1713549112]

1713549112

[zeaderza]

indeed one of the biggest income banks is from interest but much more bank income apart from interest such as insurance policy, administration fee every month, from auction market, home and vehicle loan financing and many more.

I agree with his statement. I think they are making use of loans and from auction market for them to have a budget that is they are using to pay their employees.

bank could live from monthly fee their customer.without this fee they have no big income source.usually bank performance valued by this and loans.two of them main income for bank.

It is simple and cleared to all of us how banks are making money and almost all the money goes to government. They implement interest rates and transaction costs etc in these ways they make big money with our money that we keep safe in bank amounts, services are providing by the banks while money is ours. This is a stronger way of benefiting economy as do by governments 24 hours.

[denuhaqiqi]

i think the bank make money by runs the business and getting some profit and share from saving and loans. so the customers has a big role in running the business of the bank

[Assface16678]

How do you think banks make money, how does a bank make money to pay its employees and business operational?
Does the bank rely solely on interest on loans from banks?

They earn because of the charges and fees and such. Banks are getting fees higher than others and that makes them create money. At the same time the interest of those credits from them, that is why long term savings to them because they can earn money through that. At the same time government are in favor of them.

[tbterryboy]

The banks generate money through their offered services , like car loans, housing,loans ,business capital loans, mortgages , exchanges and many more ,the interest they generates from their program ,are interest that will payed by the bank to their clients depositors, for their money to gain some profits.

There is another process called the process of credit creation which is the primary way for banks to earn money and this works when an amount is deposited in bank A and keeping the required reserve aside, it extent the remaining money in the form of loan and the same process is repeated by the rest of the banks and so on. In this way, the amount deposited initially is circulated around many banks and ultimately generates handsome amount.

[jrrsparkles]

The banking system is really most mystrious of our world because if we research deeply about all the banks in the world it has been in the control of few people so they were controlling all the money of the world so they can create as much as money they want and can pay the employees.

[Fideend]

There is literally so many different stuff for banks to make money that it would take a lot more details to
explain however if we need to explain a lot more easily they get money and give money and they try to make sure the money they get is more than the money they give. For example simplest knowledge, they pay you certain amount for savings account, you give them your money and they give you certain % yearly for that to stay there, however when you try to take a credit line from them they loan you money for higher amount of % , hence they make money from the difference, of course they use the money they have for multiple stuff like investment and so forth however this is the most layman terms we can explain it.

[Frallen]

Everything from various financial services

[Theldal]

How do you think banks make money, how does a bank make money to pay its employees and business operational?
Does the bank rely solely on interest on loans from banks?

Its easy dude, they just do right clickand edit current page adding more zero to electronic numbers easy as f**k.

Of course this sounds like joke but explain this sick system who give as inflation.
If you store 10 000 dollars for year for same sum you buy not more but even less.
If you store BTCs for same sum you can buy more. (Also Silver and Gold give you this advantage)

[shelemiah31]

Banks borrows money on the interbank market,lend to customers at a higher rate then pay to depositors.The bank works out the cost of making the funds available to the borrower and add they add a profit margin.

[artichandra]

How do you think banks make money, how does a bank make money to pay its employees and business operational?
Does the bank rely solely on interest on loans from banks?

First they gain their money from charging interest on money that they lend, the costumer will pay more than when they lend it and they get money charging fees from services they provide, Investment banks also make their money by trading securities in the secondary markets.

[andriarto]

The banking system is really most mystrious of our world because if we research deeply about all the banks in the world it has been in the control of few people so they were controlling all the money of the world so they can create as much as money they want and can pay the employees.

i think it's not a mystical thing, but it's their biggest income in terms of trading. so money they collect from customers is traded, so that they can meet their internal needs and earn a large income

[Pasaway2701]

they are just keeping the money and let it work.
banks are open for savings and let it be there.
that is wht we can communicate.
but crypto will never be like that. and crypt must have the way/

Banks are earning from the members. They let them borrow money to pay with high interest. Also they have insurance and open for stockholders which share money to them. Unlike crypto, no one controls it as it is digital. Banks offers services on the competitive companies and lend them money which can make them profitable as they pay an interest.

[Diablesfunis]

They make a lot of money from the loan interest as the difference with saving interest is a lot, in my country the loan intrest is about 11% while the biggest saving interest is about 5%, a normal one is less than 2% so that's already a big different, add more fee based income and they earn a lot of money. There's nothing special about it and I think most people know how it works.

[jrrsparkles]

The banking system is really most mystrious of our world because if we research deeply about all the banks in the world it has been in the control of few people so they were controlling all the money of the world so they can create as much as money they want and can pay the employees.

i think it's not a mystical thing, but it's their biggest income in terms of trading. so money they collect from customers is traded, so that they can meet their internal needs and earn a large income

Still it is a mystery because even the most powerful governments of this world don't have any control over how much money thery were printing so it is like some the secret group like Illuminati comes into our mind.

[tee-rex]

How do you think banks make money, how does a bank make money to pay its employees and business operational?
Does the bank rely solely on interest on loans from banks?

Banks are not just lending money to their clients. They also serve as payment processors for processing transactions of their clients which are mostly companies (in terms of money). For that they charge some interest, and even if it is relatively small, the number of these transactions is so huge that the amount thus earned is pretty good to live even withing lending money to anyone. In a nutshell, banks are at the heart of the fiat system, most money in the economy circulates through them. They know how to take advantage of that. In fact, for many banks lending money is not even a main entry in their revenue books, and some banks don't lend money at all.

[Xenophoto]

The banking system is really most mystrious of our world because if we research deeply about all the banks in the world it has been in the control of few people so they were controlling all the money of the world so they can create as much as money they want and can pay the employees.

That "few people" is called the government. I don't see anything mysterious about that. People just like to think it is. There are other reasons as to why the government have to print more money. One is to replace the old ones that have been worn out. We are using money on a day-to-day basis. It's just paper and paper can break easily. Second one is the economy is actually growing and we need more money printed. Transactions aren't always done digitally and most transactions are still done with paper money.

Just like other things, printing a little bit more of money isn't bad at all and doesn't result to inflation. But too much of something is always bad. Too much printing of money will result to inflation which affects the economy of the whole country and its the people who experience such consequences the most.

[nabinkhadka]

Bank is simply a broker that connects lenders and  costumers and charge some percentage for doing this this is crazy right ? and beside that i think bank also invest their clients money and earn profit from their.

[Dontme]

How do you think banks make money, how does a bank make money to pay its employees and business operational?
Does the bank rely solely on interest on loans from banks?

Its like win-win  strategy. The bank lend the person in once the that person pay it weekly or monthly with Charges on it. They have many ways to earn through that.

[jrrsparkles]

The banking system is really most mystrious of our world because if we research deeply about all the banks in the world it has been in the control of few people so they were controlling all the money of the world so they can create as much as money they want and can pay the employees.

That "few people" is called the government. I don't see anything mysterious about that. People just like to think it is. There are other reasons as to why the government have to print more money. One is to replace the old ones that have been worn out. We are using money on a day-to-day basis. It's just paper and paper can break easily. Second one is the economy is actually growing and we need more money printed. Transactions aren't always done digitally and most transactions are still done with paper money.

Just like other things, printing a little bit more of money isn't bad at all and doesn't result to inflation. But too much of something is always bad. Too much printing of money will result to inflation which affects the economy of the whole country and its the people who experience such consequences the most.

The governments not printing any money only the central Banks from the respective country is printing all the money but which is not controlled by their governments as per the articles I have read on the internet.

Did you remeber the story of Abraham Lincoln assasination? I studied that he was killed by that few people because he want to release money by the governments not by any banks.