For most people, the first bank account they will have will likely be a savings account. This traditional account pays you interest in exchange for
Category: Banking
Where Do Banks Get Their Money? Fractional Reserve Banking
Do Banks Create New Money out of Thin Air? **Re-posted after the events of the credit crunch and 700 bailout packages, enjoy the read and
Explaining Clearing Drains and Currency Drains
Here is a brief explanation on the nature of clearing drains and currency drains. The applications include part of how banks lend and settle account
Treasury Bills (T-Bills) and Interest Rates Summary
Here is some brief notes on the function and descriptions of these financial instruments. Treasury Bills (T-Bills) Government of Canada issues T-Bills in certain lengths:
Canadian Housing Market Trends – 1.99% Variable Interest Rates Return
The prime interest rate that banks can borrow from the Central Bank still sits at 1%. Mortgage rates are generally pegged to bond rates, but
Money Creation – Where Does the Money Come From?
How Banks Create Money continued One of our popular posts located here talks about ‘how banks create money’. You should read that link before this