Comment by nly

You might want to read this paper from the Bank of England

https://www.bankofengland.co.uk/-/media/boe/files/quarterly-...

Choice quote from page 1:

"Money creation in practice differs from some popular misconceptions — banks do not act simply as intermediaries, lending out deposits that savers place with them, and nor do they ‘multiply up’ central bank money to create new loans and deposit"

The part you are talking about is illustrated in Figure 2.

The transfer of central bank reserves between banks doesn't change the fact that once a loan is written new money enters circulation.