Comment by kgwgk
9 years ago
Yes, it will be very convenient for people to issue bonds when they need a loan to buy a house or start a business...
9 years ago
Yes, it will be very convenient for people to issue bonds when they need a loan to buy a house or start a business...
Credit Cards are an example of non bank loans.
The difference is people fronting money for loans would need to take on real risks without FDIC protection or have safe deposits but need to pay for bank services.
You know that the large majority of credit card loans are given out by banks, right? https://www.nilsonreport.com/upload/TopIssuersofUSGPCC.3.jpg
Sure, but like GM's finance division making car loans; Credit Cards are a viable business even without access to depositors.
Often the capital for many bank issued credit cards does not come from depositors at all.
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