> Yes, they create money, but deposits are a requirement to do it. Deposits, although an important source of funding are not a requirement, capital is. There a

> Yes, they create money, but deposits are a requirement to do it. Deposits, although an important source of funding are not a requirement, capital is. There are capital requirements that make starting and running a bank a fairly expensive enterprise - you need to put up a lot of your own money (equity) for use.