The loans that banks make to their clients are not created by the clients themselves, but by the lending. Think about it from the point of view of all the money floating around the online casinos AU and international players enjoy some fun on. Where is it stored?
The lending occurs because the bank creates money out of nothing in order to give it to their clients. With every loan that a bank makes, it gives clients the power to take that money back in their own name.
This process of credit creation occurs by making loans to a client in the client’s own name. The bank never creates a credit balance on a client’s credit card. It makes a credit payment that is money, not credit.
The money that the client uses to pay his debt is not the credit that the bank uses to lend.
The money is the debt. The money that the bank lends is the credit that it creates in its clients’ accounts. In order to lend money that creates debt, the bank needs to create debt, and then credit in a client’s account.
It also creates a credit line for a client that the client can use to make payments in his own name. This credit line is usually called a deposit account. If a client uses his deposit account, the deposit account has no credit. The deposit account is only a liability to the client. But if a client buys something with his credit line, the credit line has become a liability that he has the right to pay.
In addition to the credit lines created by the clients, the banks also make deposits. When the bank creates deposits, it creates the ability to take money out of a client’s account and use it to make payments. The bank needs to create money and credit because it has to transfer the money and the credit it creates.
If a client doesn’t have a credit line, then the client’s account is only a liability. But if a client has a credit line, then the bank has created a debt that it can take to make payments.
The bank never transfers money or credit that is debt to its clients.
The bank simply takes money from a client’s account, and transfers the money and credit it creates to its own account. So, the client’s credit is always a liability, and the credit line created in his account is a liability. This is why the banks are so keen to loan out credit, and it is also the reason that credit cards are so high.
Most people can’t make the payments, because they don’t have the money.
The credit they make is not debt that the bank can transfer, but credit that they use in their own account. This is why credit cards are so expensive.
Credit cards are expensive, because the banks make deposits of credit that creates debt in the credit card holder’s account. However, if you’re making a deposit to play online pokies real money changes hands, but is still represented as some changes in the records kept by the financial institutions involved in the transaction, so there is no credit being created in this process.
But the deposits aren’t the debt that the banks create. The deposits are the credit that the banks create for themselves, because they lend it out to people.