How Do Banks Make Money? 🔍 Unveiling the Business Model of Banks

Discover the secrets behind how banks earn profit, from lending to other financial activities. Learn the business model that keeps banks thriving!

How Do Banks Make Money? 🔍 Unveiling the Business Model of Banks
Dhruv Rathee
5.5M views • Dec 28, 2021
How Do Banks Make Money? 🔍 Unveiling the Business Model of Banks

About this video

Banks are often perceived as a money lending entity, but have you ever thought about how do Banks earn money? What is their Business Model? How do they provide you interest over your Deposits? What if all its customers want to withdraw their money at one time? I explain the economics behind how banks earn money and also explain some important concepts such as Cash Reserve Ratio (CRR), Statutory Liquid Ratio (SLR), Bank Run, Non Performing Assets (NPA), etc. in this video.
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00:00 - Introduction
00:32 - Money from Interest Difference
03:24 - What is Bank Run?
05:39 - Other Sources of Bank's Income
06:56 - SBI vs HDFC Comparison
10:46 - Conclusion

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Video Information

Views

5.5M

Likes

193.8K

Duration

11:21

Published

Dec 28, 2021

User Reviews

4.9
(1101)
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