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Financial Institutions

The interest ...

Question

The interest rate on loans is higher than the interest rate that banks offer on deposits.

A

False

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B

True

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Solution

The correct option is B True

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Similar questions

Q. Banks charge a higher interest rate on loans than what they offer on __________.

The rate of interest offered on public deposits is usually higher than that offered on bank deposits.

Rate of interest on loans - Rate of interest on deposits is called ___ .

Q. Rates of interest offered on public deposits are usually _________ than that offered on bank deposits.

Q. Read the following statements and choose the correct option.

Assertion (A): The interest rate on loans is higher than a bank's interest rate on deposits.

Reason (R): The bank earns profit out of this margin.

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