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OpenStudy (anonymous):
How do banks or services earn profit? Medal and fan for whom ever helps me correctly!
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OpenStudy (austinl):
They take the money that you store in their bank and use it as loan money for others. They then charge interest rates on those loans, and because the money they used wasn't technically yours, they are making pure profit off of the interest.
OpenStudy (anonymous):
Thank you so much AustinL! :)
OpenStudy (austinl):
wasn't technically theirs* And you're very welcome.
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