S2 Ep2 - Banks Are Loaning Out 90% of YOUR Money. | Money Circulation

EPISODE OVERVIEW What does the bank do with your money after you deposit it? They loan it to someone else 🤯  Banks have to follow the rules of "Fractional Reserve Banking", which means: Banks are required to keep on hand a certain amount of the cash that depositors give them, but banks are not required to keep the entire amount on hand. Only a fraction of bank deposits are backed by actual cash on hand and available for withdrawal. Most banks are required to only keep 10% of the deposit, referred to as reserves. If you've received value from the podcast, please consider supporting the show 👉 anchor.fm/literacy-kings/support We greatly appreciate you! Follow: Corey Paul @CoreyPaulMusic J w/ an MBA @JwithMBA Lit-Eracy Kings @LiteracyKings Music Production: Rafael "Box” Hernandez https://www.beatstars.com/boxoflegacy DISCLAIMER: Description may contain affiliate links, which means that if you click on one of the product links, we’ll receive a small commission. This helps support the podcast and allows us to continue making content like this. Also, none of the information mentioned is financial advice, we are only sharing our research, experience, and beliefs. Love! © Literacy Kings LLC