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Amazing the IMF has a misconception of how banks work in their “basics” explanation! From the Bank of England: “[…] Where the stock of bank deposits comes from

• belter 4y ago
  No. The Bank of England has it wrong... "...Transactions on deposit accounts are recorded in a bank's books, and the resulting balance is recorded as a liability of the bank and represents an amount owed by the bank to the customer..." "Deposit account" - https://en.wikipedia.org/wiki/Deposit_account https://en.wikipedia.org/wiki/Deposit_account "Does The Money In Your Bank Account Really Belong To You?" - https://www.sgrlaw.com/does-the-money-in-your-bank-account-really-belong-to-you/#:~:text=At%20the%20moment%20of%20deposit,any%20part%20thereof%2C%20on%20demand https://www.sgrlaw.com/does-the-money-in-your-bank-account-r.... "...At the moment of deposit, the funds become the property of the depository bank...Thus, as a depositor, you are in essence a creditor of the bank. Once the bank accepts your deposit, it agrees to refund the same amount, or any part thereof, on demand..."