5 ms·
Banks invest in individuals by offering loans.
by msellout 12y ago
Banks invest in individuals by offering loans.
- coralreef 12y agoLoan = Investment?
- mikeyouse 12y agoA loan is typically the textbook definition of an investment.. Banks give a student X dollars, after college the student pays X + i. The bank takes some risk and receives more money than they started with. I'm not sure how it wouldn't be an investment.
- recursive 12y agoYes, exactly.
- bduerst 12y agoTypically any type of debt is considered an investment by the creditor. Bonds and equity are also considered investments, but the latter is corporate ownership, not debt (which you may be confused about).
- avn2109 12y ago* With Federally guaranteed profits