For people who work in banks, where does the money come from that's used for paying them?

Apart from overdraft fees, I haven't heard about banks' customers paying their banks.

7 Answers

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  • Anonymous
    8 months ago

    They just take money as they need out of your account.

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  • 8 months ago

    Most from interest paid by borrowers.

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  • Satan
    Lv 7
    8 months ago

    Fees, investment, interest on loans etc

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  • Amy
    Lv 7
    8 months ago

    > "I haven't heard about banks' customers paying their banks."

    Yes you have. You're thinking only of checking accounts, but banks do a lot more than that. They make loans: mortgages, personal loans, even loans to other banks. The customers who borrow money pay interest (at a much higher rate than the bank pays you for your checking account).

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  • Lôn
    Lv 7
    8 months ago

    Mortgage fees are higher than interest on savings accounts.

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  • Anonymous
    8 months ago

    From fractional reserve lending.

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  • NA
    Lv 7
    8 months ago

    The banks loan the deposits out and. Charge interest.

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