Not really. You. nor the bank, can't lend more money that you have, but you can promise more than you have. That automatically implies something more complicat

Not really. You. nor the bank, can't lend more money that you have, but you can promise more than you have. That automatically implies something more complicated than lending. At the very least, money was borrowed (on a promise) from a third party in order to provide the money they loaned. You and I can do the same, I can promise you whatever I like. And if I manage to convince you, or a third party, that my promise is good, I can even borrow money from them. And loan out that money, despite not owing it; Unless there is something fraudulent in doing that wrt my agreements with the borrower - but the bank has the same, nationally regulated, restrictions too.